Bill Text: IA HF2428 | 2013-2014 | 85th General Assembly | Introduced
Bill Title: A bill for an act providing for the reorganization of the Code provisions relating to the Iowa finance authority, revising and eliminating programs, including the beginning farm loan program, providing for existing tax credits, providing for the powers and duties of the authority, and including effective date provisions. (Formerly HSB 618)
Spectrum: Committee Bill
Status: (Introduced - Dead) 2014-03-20 - Withdrawn. H.J. 554. [HF2428 Detail]
Download: Iowa-2013-HF2428-Introduced.html
House
File
2428
-
Introduced
HOUSE
FILE
2428
BY
COMMITTEE
ON
ECONOMIC
GROWTH
(SUCCESSOR
TO
HSB
618)
A
BILL
FOR
An
Act
providing
for
the
reorganization
of
the
Code
provisions
1
relating
to
the
Iowa
finance
authority,
revising
and
2
eliminating
programs,
including
the
beginning
farm
loan
3
program,
providing
for
existing
tax
credits,
providing
4
for
the
powers
and
duties
of
the
authority,
and
including
5
effective
date
provisions.
6
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
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DIVISION
I
1
REORGANIZATION
OF
THE
IOWA
FINANCE
AUTHORITY
2
GENERAL
PROVISIONS
3
Section
1.
Section
16.1,
subsection
1,
paragraphs
a,
f,
g,
4
i,
o,
aa,
ak,
and
al,
Code
2014,
are
amended
by
striking
the
5
paragraphs.
6
Sec.
2.
Section
16.1,
subsection
1,
paragraphs
d,
n,
p,
and
7
af,
Code
2014,
are
amended
to
read
as
follows:
8
d.
“Bond”
means
a
bond
issued
by
the
authority
pursuant
to
9
sections
16.26
to
16.30
,
this
chapter
and
includes
a
note
or
10
other
instrument
evidencing
a
debt
authorized
or
referred
to
in
11
this
chapter
.
12
n.
“Guiding
principles”
means
the
principles
provided
in
13
section
16.4
subchapter
III
which
shall
be
considered
for
14
amplification
and
interpretation
of
the
goals
of
the
authority.
15
p.
(1)
“Housing”
means
single
family
and
multifamily
16
dwellings,
and
facilities
incidental
or
appurtenant
to
the
17
dwellings,
and
includes
group
homes
of
fifteen
beds
or
less
18
licensed
as
health
care
facilities
or
child
foster
care
19
facilities
and
modular
or
mobile
homes
which
are
permanently
20
affixed
to
a
foundation
and
are
assessed
as
realty.
21
(2)
“Adequate
housing”
means
housing
which
meets
minimum
22
structural,
heating,
lighting,
ventilation,
sanitary,
23
occupancy,
and
maintenance
standards
compatible
with
applicable
24
building
and
housing
codes,
as
determined
under
rules
of
the
25
authority.
26
af.
“Programs”
“Program”
means
any
program
administered
27
by
the
authority
or
any
program
in
which
the
authority
is
28
directed
or
authorized
to
participate
pursuant
to
any
statute,
29
executive
order,
or
interagency
agreement,
or
any
other
program
30
participation
or
administration
of
which
the
authority
finds
31
useful
and
convenient
to
further
the
goals
and
purposes
of
the
32
authority.
“Program”
shall
include
but
not
be
limited
to
all
33
of
the
following:
34
(1)
The
housing
assistance
payments
program.
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(2)
The
rent
supplements
program.
1
(3)
The
emergency
housing
fund
program.
2
(4)
The
special
housing
assistance
program.
3
(5)
The
single-family
housing
program.
4
(6)
The
multifamily
housing
program.
5
(7)
The
title
guaranty
program.
6
(8)
The
housing
improvement
fund
program.
7
(9)
The
economic
development
loan
program.
8
(10)
The
Iowa
economic
development
bond
bank
program.
9
(11)
The
sewage
treatment
and
drinking
facilities
financing
10
program.
11
(12)
The
Iowa
tank
assistance
bond
program.
12
(13)
The
residential
treatment
facilities
program.
13
(14)
The
E-911
program.
14
(15)
The
community
college
dormitory
program.
15
(16)
The
prison
infrastructure
program.
16
(17)
The
wastewater
treatment
financial
assistance
program.
17
(18)
Any
other
program
established
by
the
authority
which
18
the
authority
finds
useful
and
convenient
to
further
goals
of
19
the
authority
and
which
is
consistent
with
the
legislative
20
findings.
Such
additional
programs
shall
be
administered
in
21
accordance
with
the
guiding
principles
of
the
authority
after
22
such
notice
and
hearing
as
is
determined
to
be
reasonable
23
by
the
authority
under
the
circumstances.
Such
additional
24
programs
shall
be
administered
in
accordance
with
rules,
if
25
any,
which
the
authority
determines
useful
and
convenient
to
26
adopt
pursuant
to
chapter
17A
.
27
Sec.
3.
Section
16.1,
subsection
1,
Code
2014,
is
amended
by
28
adding
the
following
new
paragraphs:
29
NEW
PARAGRAPH
.
0a.
“Adequate
housing”
means
housing
which
30
meets
minimum
structural,
heating,
lighting,
ventilation,
31
sanitary,
occupancy,
and
maintenance
standards
compatible
with
32
applicable
building
and
housing
codes,
as
determined
under
33
rules
of
the
authority.
34
NEW
PARAGRAPH
.
0g.
“Depreciable
property”
means
personal
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property
for
which
an
income
tax
deduction
for
depreciation
is
1
allowable
in
computing
federal
income
tax
under
the
Internal
2
Revenue
Code
as
defined
in
section
422.3.
3
NEW
PARAGRAPH
.
0p.
“Historic
properties”
means
landmarks,
4
landmark
sites,
or
districts
which
are
significant
in
the
5
history,
architecture,
archaeology,
or
culture
of
this
state,
6
its
communities,
or
the
nation.
7
NEW
PARAGRAPH
.
0v.
(1)
“Lending
institution”
means
8
any
bank,
trust
company,
mortgage
company,
national
banking
9
association,
federal
savings
association,
or
life
insurance
10
company;
any
state
or
federal
governmental
agency
or
11
instrumentality;
the
federal
land
bank
or
any
of
its
local
12
associations;
or
any
other
institution
authorized
to
make
loans
13
in
this
state.
14
(2)
“Lending
institution”
includes
a
financial
institution
15
as
defined
in
section
496B.2,
which
lends
moneys
for
farming
16
purposes
as
provided
in
subchapter
VIII,
or
for
industrial
or
17
business
purposes.
18
NEW
PARAGRAPH
.
0ac.
“Net
worth”
means
a
person’s
total
19
assets
minus
total
liabilities
as
determined
in
accordance
20
with
generally
accepted
accounting
principles
with
appropriate
21
exceptions
and
exemptions
reasonably
related
to
an
equitable
22
determination
of
a
person’s
net
worth.
Assets
shall
be
valued
23
at
fair
market
value.
24
NEW
PARAGRAPH
.
0aj.
“Secured
loan”
means
a
financial
25
obligation
secured
by
a
chattel
mortgage,
security
agreement,
26
or
other
instrument
creating
a
lien
on
an
interest
in
27
depreciable
property.
28
NEW
PARAGRAPH
.
an.
“Veteran”
means
the
same
as
defined
in
29
section
35.1.
30
Sec.
4.
Section
16.1,
subsection
2,
Code
2014,
is
amended
by
31
striking
the
subsection.
32
Sec.
5.
Section
16.1A,
Code
2014,
is
amended
to
read
as
33
follows:
34
16.1A
Creation
——
administration
of
programs.
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1.
The
Iowa
finance
authority
is
created,
and
constitutes
1
a
public
instrumentality
and
agency
of
the
state
exercising
2
public
and
essential
governmental
functions.
3
2.
The
authority
shall
undertake
and
administer
all
of
the
4
following:
5
a.
Programs
established
under
this
chapter
to
assist
in
6
attainment
of
adequate
housing
for
low-
or
moderate-income
7
families,
elderly
families,
and
families
which
include
one
or
8
more
persons
with
disabilities,
and
to
undertake
the
various
9
finance
programs
under
this
chapter
.
10
b.
Programs
which
assist
qualified
farmers
or
agricultural
11
producers,
including
beginning
farmers,
as
provided
in
chapter
12
175
established
by
the
authority
which
the
authority
finds
13
useful
and
convenient
to
further
goals
of
the
authority
and
14
which
is
consistent
with
the
legislative
findings
.
Such
15
programs
shall
be
administered
in
accordance
with
the
guiding
16
principles
of
the
authority
after
such
notice
and
hearing
as
17
is
determined
to
be
reasonable
by
the
authority
under
the
18
circumstances.
Such
additional
programs
shall
be
administered
19
in
accordance
with
rules,
if
any,
which
the
authority
20
determines
useful
and
convenient
to
adopt
pursuant
to
chapter
21
17A.
22
3.
The
Iowa
finance
authority
board
of
directors
shall
23
have
general
control,
supervision,
and
regulation
of
all
24
authority
programs
established
under
this
chapter
and
chapter
25
175
described
in
this
section
.
26
4.
The
authority
is
charged
with
the
broad
administrative
27
authority
to
make,
administer,
interpret,
construe,
repeal,
and
28
execute
the
rules,
and
to
administer,
interpret,
construe,
and
29
execute
the
laws
of
this
state
relating
to
such
programs.
30
5.
The
board
may,
by
resolution,
delegate
to
the
31
agricultural
development
board,
title
guaranty
division
32
board,
executive
director,
or
other
authority
employee
such
33
of
its
powers,
under
such
terms
and
conditions,
as
it
deems
34
appropriate.
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Sec.
6.
Section
16.2,
subsection
9,
Code
2014,
is
amended
by
1
striking
the
subsection.
2
Sec.
7.
Section
16.2A,
subsection
1,
Code
2014,
is
amended
3
to
read
as
follows:
4
1.
A
title
guaranty
division
is
created
within
the
5
authority.
The
powers
of
the
division
relating
to
the
issuance
6
of
title
guaranties
are
vested
in
and
shall
be
exercised
by
7
a
division
board
of
five
members
appointed
by
the
governor
8
subject
to
confirmation
by
the
senate.
The
membership
of
9
the
board
shall
include
an
attorney,
an
abstractor,
a
real
10
estate
broker,
a
representative
of
a
mortgage
lender
lending
11
institution
,
and
a
representative
of
the
housing
development
12
industry.
The
executive
director
of
the
authority
shall
13
appoint
an
attorney
as
director
of
the
title
guaranty
division,
14
who
shall
serve
as
an
ex
officio
member
of
the
board.
The
15
appointment
of
and
compensation
for
the
division
director
16
are
exempt
from
the
merit
system
provisions
of
chapter
8A,
17
subchapter
IV
.
18
Sec.
8.
NEW
SECTION
.
16.2B
Agricultural
development
19
division
——
administration
of
programs.
20
1.
An
agricultural
development
division
is
created
21
within
the
authority.
The
agricultural
development
division
22
shall
administer
subchapter
VIII
,
by
providing
assistance
23
to
beginning
farmers,
agricultural
producers,
displaced
24
farmers,
or
other
persons
qualifying
for
such
assistance
under
25
subchapter
VIII
.
26
2.
The
agricultural
development
division
shall
be
27
administered
in
accordance
with
the
policies
of
the
28
agricultural
development
board
created
in
section
16.2C
.
29
The
executive
director
of
the
authority
may
organize
the
30
agricultural
development
division
and
employ
necessary
31
qualified
personnel
to
administer
subchapter
VIII.
32
3.
The
agricultural
development
division
shall,
to
33
every
extent
practical,
assist
such
persons
to
do
all
of
the
34
following:
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a.
Acquire
agricultural
land,
agricultural
improvements,
1
or
depreciable
agricultural
property,
including
as
provided
in
2
subchapter
VIII.
3
b.
Obtain
agricultural
assets
transfer
tax
credits,
4
including
by
issuing
tax
credit
certificates
pursuant
to
5
subchapter
VIII,
part
5.
6
c.
Obtain
financing
for
other
capital
requirements
or
7
operating
expenses.
8
4.
The
net
earnings
of
the
agricultural
development
9
division,
beyond
that
necessary
for
retirement
of
its
notes,
10
bonds,
or
other
obligations
or
to
implement
the
public
purposes
11
and
programs
authorized
in
subchapter
VIII,
shall
not
inure
to
12
the
benefit
of
any
person
other
than
the
state.
13
5.
a.
At
least
two
of
the
authority’s
full-time
equivalent
14
positions,
as
defined
in
section
8.36A
,
shall
be
entirely
15
dedicated
to
administering
programs
established
pursuant
to
16
subchapter
VIII.
One
of
those
full-time
equivalent
positions
17
shall
be
dedicated
to
overseeing
the
administration
of
those
18
programs,
and
to
the
extent
that
the
programs
are
affected,
the
19
full-time
equivalent
position
shall
be
provided
the
powers
and
20
duties
necessary
to
do
all
of
the
following:
21
(1)
Participate
in
making
managerial
decisions.
22
(2)
Provide
for
outreach
and
promotion.
23
(3)
Improve
delivery
of
services.
24
b.
This
subsection
is
repealed
on
July
1,
2015.
25
Sec.
9.
NEW
SECTION
.
16.2C
Agricultural
development
board.
26
1.
The
powers
of
the
agricultural
development
division,
27
created
within
the
Iowa
finance
authority
under
section
16.2B
,
28
are
vested
in
and
shall
be
exercised
by
the
agricultural
29
development
board
as
provided
in
section
16.2B
and
this
30
section
.
31
2.
The
agricultural
development
board
is
created
to
32
exercise
all
powers
and
perform
all
duties
necessary
to
33
administer
subchapter
VIII
according
to
policies
established
34
by
the
Iowa
finance
authority.
The
authority
shall
establish
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policies
and
practices
for
the
division
and
oversee
its
1
operations.
The
authority
may
review
or
approve
decisions
2
affecting
the
division
or
administration
of
subchapter
VIII,
3
including
decisions
of
the
agricultural
development
board.
4
3.
The
agricultural
development
board
consists
of
five
5
members
appointed
by
the
governor
subject
to
confirmation
6
by
the
senate.
The
executive
director
of
the
Iowa
finance
7
authority
or
the
executive
director’s
designee
shall
serve
as
8
an
ex
officio,
nonvoting
member.
9
4.
The
appointed
members
of
the
agricultural
development
10
board
shall
be
appointed
and
retained
in
office
as
follows:
11
a.
Not
more
than
three
members
shall
belong
to
the
same
12
political
party.
13
b.
As
far
as
possible,
the
governor
shall
include
within
14
the
membership
persons
who
represent
lending
institutions
15
experienced
in
agricultural
lending,
real
estate
sales,
16
farmers,
beginning
farmers,
average
taxpayers,
local
17
government,
soil
and
water
conservation
district
officials,
18
agricultural
educators,
and
other
persons
specially
interested
19
in
family
farm
development.
20
c.
Members
shall
serve
for
staggered
terms
of
six
years
21
beginning
and
ending
as
provided
in
section
69.19
.
A
person
22
appointed
to
fill
a
vacancy
shall
serve
only
for
the
unexpired
23
portion
of
the
member’s
term.
A
member
is
eligible
for
24
reappointment.
An
appointed
member
may
be
removed
from
office
25
by
the
governor
for
misfeasance,
malfeasance,
willful
neglect
26
of
duty,
or
other
just
cause,
after
notice
and
hearing,
unless
27
the
notice
and
hearing
is
expressly
waived
in
writing.
28
5.
The
agricultural
development
board
shall
conduct
29
business
according
to
all
of
the
following:
30
a.
Three
appointed
members
constitute
a
quorum
and
the
31
affirmative
vote
of
a
majority
of
the
appointed
members
is
32
necessary
for
any
substantive
action
taken
by
the
board.
A
33
majority
of
appointed
members
shall
not
include
any
member
who
34
has
a
conflict
of
interest
and
a
statement
by
a
member
that
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the
member
has
a
conflict
of
interest
is
conclusive
for
this
1
purpose.
A
vacancy
in
the
membership
does
not
impair
the
right
2
of
a
quorum
to
exercise
all
rights
and
perform
all
duties
of
3
the
board.
4
b.
Meetings
of
the
board
shall
be
held
at
the
call
of
the
5
chairperson
or
whenever
two
appointed
members
so
request.
6
c.
The
appointed
members
shall
elect
a
chairperson
and
vice
7
chairperson
annually,
and
other
officers
as
they
determine.
8
The
executive
director
of
the
Iowa
finance
authority
or
the
9
executive
director’s
designee
shall
serve
as
secretary
to
the
10
board.
11
6.
An
appointed
member
of
the
agricultural
development
12
board
is
entitled
to
receive
a
per
diem
as
specified
in
section
13
7E.6
for
each
day
spent
in
performance
of
duties
as
a
member,
14
and
shall
be
reimbursed
for
all
actual
and
necessary
expenses
15
incurred
in
the
performance
of
duties
as
a
member.
16
7.
An
appointed
member
of
the
agricultural
development
17
board
shall
give
bond
as
required
for
public
officers
in
18
chapter
64
.
19
Sec.
10.
NEW
SECTION
.
16.2D
Council
on
homelessness.
20
1.
A
council
on
homelessness
is
established
consisting
of
21
thirty-eight
voting
members.
At
least
one
voting
member
at
all
22
times
shall
be
a
member
of
a
minority
group.
23
2.
Members
of
the
council
shall
consist
of
all
of
the
24
following:
25
a.
Twenty-six
members
of
the
general
public
appointed
to
26
two-year
staggered
terms
by
the
governor
in
consultation
with
27
the
nominating
committee
under
subsection
4
,
paragraph
“a”
.
28
(1)
Voting
members
from
the
general
public
may
include
29
but
are
not
limited
to
the
following
types
of
individuals
30
and
representatives
of
the
following
programs:
homeless
or
31
formerly
homeless
individuals
and
their
family
members,
youth
32
shelters,
faith-based
organizations,
local
homeless
service
33
providers,
emergency
shelters,
transitional
housing
providers,
34
family
and
domestic
violence
shelters,
private
business,
local
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government,
and
community-based
organizations.
1
(2)
Five
of
the
twenty-six
voting
members
selected
from
the
2
general
public
shall
be
individuals
who
are
homeless,
formerly
3
homeless,
or
family
members
of
homeless
or
formerly
homeless
4
individuals.
5
(3)
One
of
the
twenty-six
members
selected
from
the
general
6
public
shall
be
a
representative
of
the
Iowa
state
association
7
of
counties.
8
(4)
One
of
the
twenty-six
members
selected
from
the
general
9
public
shall
be
a
representative
of
the
Iowa
league
of
cities.
10
b.
Twelve
agency
director
members
consisting
of
all
of
the
11
following:
12
(1)
The
director
of
the
department
of
education
or
the
13
director’s
designee.
14
(2)
The
director
of
the
economic
development
authority
or
15
the
director’s
designee.
16
(3)
The
director
of
human
services
or
the
director’s
17
designee.
18
(4)
The
attorney
general
or
the
attorney
general’s
19
designee.
20
(5)
The
director
of
the
department
of
human
rights
or
the
21
director’s
designee.
22
(6)
The
director
of
public
health
or
the
director’s
23
designee.
24
(7)
The
director
of
the
department
on
aging
or
the
25
director’s
designee.
26
(8)
The
director
of
the
department
of
corrections
or
the
27
director’s
designee.
28
(9)
The
director
of
the
department
of
workforce
development
29
or
the
director’s
designee.
30
(10)
The
director
of
the
department
of
public
safety
or
the
31
director’s
designee.
32
(11)
The
director
of
the
department
of
veterans
affairs
or
33
the
director’s
designee.
34
(12)
The
executive
director
of
the
Iowa
finance
authority
or
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the
executive
director’s
designee.
1
3.
An
agency
director’s
designee
may
vote
on
council
matters
2
in
the
absence
of
the
director.
3
4.
a.
A
nominating
committee
initially
comprised
of
all
4
twelve
agency
director
members
shall
nominate
persons
to
5
the
governor
to
fill
the
general
public
member
positions.
6
Following
appointment
of
all
twenty-six
general
public
members,
7
the
composition
of
the
nominating
committee
may
be
modified
by
8
rule.
9
b.
The
council
may
establish
other
committees
and
10
subcommittees
comprised
of
members
of
the
council.
11
5.
A
vacancy
on
the
council
shall
be
filled
in
the
same
12
manner
as
the
original
appointment.
A
member
appointed
to
fill
13
a
vacancy
created
other
than
by
expiration
of
a
term
shall
be
14
appointed
for
the
remainder
of
the
unexpired
term.
15
6.
a.
A
majority
of
the
members
of
the
council
constitutes
16
a
quorum.
Any
action
taken
by
the
council
must
be
adopted
by
17
the
affirmative
vote
of
a
majority
of
its
membership.
18
b.
The
council
shall
elect
a
chairperson
and
vice
19
chairperson
from
the
membership
of
the
council.
The
20
chairperson
and
vice
chairperson
shall
each
serve
two-year
21
terms.
The
positions
of
chairperson
and
vice
chairperson
shall
22
not
be
held
by
members
who
are
both
either
general
public
23
members
or
agency
directors.
The
position
of
chairperson
shall
24
rotate
between
agency
director
members
and
general
public
25
members.
26
c.
The
council
shall
meet
at
least
six
times
per
year.
27
Meetings
of
the
council
may
be
called
by
the
chairperson
or
by
28
a
majority
of
the
members.
29
d.
General
public
members
shall
be
reimbursed
by
the
Iowa
30
finance
authority
for
actual
and
necessary
expenses
incurred
31
while
engaged
in
their
official
duties.
32
7.
The
Iowa
finance
authority
shall
provide
staff
33
assistance
and
administrative
support
to
the
council.
34
8.
The
duties
of
the
council
shall
include
but
are
not
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limited
to
the
following:
1
a.
Develop
a
process
for
evaluating
state
policies,
2
programs,
statutes,
and
rules
to
determine
whether
any
state
3
policies,
programs,
statutes,
or
rules
should
be
revised
to
4
help
prevent
and
alleviate
homelessness.
5
b.
Evaluate
whether
state
agency
resources
could
be
more
6
efficiently
coordinated
with
other
state
agencies
to
prevent
7
and
alleviate
homelessness.
8
c.
Work
to
develop
a
coordinated
and
seamless
service
9
delivery
system
to
prevent
and
alleviate
homelessness.
10
d.
Use
existing
resources
to
identify
and
prioritize
efforts
11
to
prevent
persons
from
becoming
homeless
and
to
eliminate
12
factors
that
keep
people
homeless.
13
e.
Identify
and
use
federal
and
other
funding
opportunities
14
to
address
and
reduce
homelessness
within
the
state.
15
f.
Work
to
identify
causes
and
effects
of
homelessness
and
16
increase
awareness
among
policymakers
and
the
general
public.
17
g.
Advise
the
governor’s
office,
the
Iowa
finance
authority,
18
state
agencies,
and
private
organizations
on
strategies
to
19
prevent
and
eliminate
homelessness.
20
9.
a.
The
council
shall
make
annual
recommendations
to
21
the
governor
regarding
matters
which
impact
homelessness
on
or
22
before
September
15.
23
b.
The
council
shall
prepare
and
file
with
the
governor
and
24
the
general
assembly
on
or
before
the
first
day
of
December
in
25
each
odd-numbered
year,
a
report
on
homelessness
in
Iowa.
26
c.
The
council
shall
assist
in
the
completion
of
the
state’s
27
continuum
of
care
application
to
the
United
States
department
28
of
housing
and
urban
development.
29
10.
a.
The
Iowa
finance
authority,
in
consultation
with
the
30
council,
shall
adopt
rules
pursuant
to
chapter
17A
for
carrying
31
out
the
duties
of
the
council
pursuant
to
this
section
.
32
b.
The
council
shall
establish
internal
rules
of
procedure
33
consistent
with
the
provisions
of
this
section
.
34
c.
Rules
adopted
or
internal
rules
of
procedure
established
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pursuant
to
paragraph
“a”
or
“b”
shall
be
consistent
with
the
1
requirements
of
the
federal
McKinney-Vento
Homeless
Assistance
2
Act,
42
U.S.C.
§11301
et
seq.
3
11.
The
council
shall
comply
with
the
requirements
of
4
chapters
21
and
22
.
The
Iowa
finance
authority
shall
be
the
5
official
repository
of
council
records.
6
Sec.
11.
NEW
SECTION
.
16.2E
Legislative
findings
——
7
general.
8
The
general
assembly
finds
and
declares
all
of
the
9
following:
10
1.
The
establishment
of
the
authority
is
in
all
respects
11
for
the
benefit
of
the
people
of
the
state
of
Iowa,
for
the
12
improvement
of
their
health
and
welfare,
and
for
the
promotion
13
of
the
economy,
which
are
public
purposes.
14
2.
The
authority
will
be
performing
an
essential
15
governmental
function
in
the
exercise
of
the
powers
and
duties
16
conferred
upon
it
by
this
chapter.
17
3.
All
of
the
purposes
stated
in
this
section
are
public
18
purposes
and
uses
for
which
public
moneys
may
be
borrowed,
19
expended,
advanced,
loaned,
or
granted.
20
Sec.
12.
Section
16.3,
subsections
1,
2,
14,
15,
16,
17,
and
21
18,
Code
2014,
are
amended
by
striking
the
subsections.
22
Sec.
13.
Section
16.4,
subsection
7,
Code
2014,
is
amended
23
to
read
as
follows:
24
7.
The
authority
shall
encourage
the
protection,
25
restoration
and
rehabilitation
of
historic
properties,
and
26
the
preservation
of
other
properties
of
special
value
for
27
architectural
or
esthetic
reasons.
As
used
in
this
subsection
,
28
“historic
properties”
means
landmarks,
landmark
sites,
or
29
districts
which
are
significant
in
the
history,
architecture,
30
archaeology,
or
culture
of
this
state,
its
communities,
or
the
31
nation.
32
Sec.
14.
NEW
SECTION
.
16.4A
Legislative
findings
——
33
agricultural
development.
34
The
general
assembly
finds
and
declares
all
of
the
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following:
1
1.
There
exists
a
serious
problem
in
this
state
regarding
2
the
ability
of
nonestablished
farmers
to
acquire
agricultural
3
land
and
agricultural
improvements
and
depreciable
agricultural
4
property
in
order
to
enter
farming.
5
2.
This
barrier
to
entry
into
farming
is
conducive
to
6
consolidation
of
acreage
of
agricultural
land
with
fewer
7
individuals
resulting
in
a
grave
threat
to
the
traditional
8
family
farm.
9
3.
These
conditions
result
in
a
loss
in
population,
10
unemployment,
and
a
movement
of
persons
from
rural
communities
11
to
urban
areas
accompanied
by
added
costs
to
communities
for
12
creation
of
new
public
facilities
and
services.
13
4.
One
major
cause
of
this
condition
has
been
recurrent
14
shortages
of
funds
in
private
channels
and
the
high
interest
15
cost
of
borrowing.
16
5.
These
shortages
and
costs
have
made
the
sale
and
17
purchase
of
agricultural
land
to
beginning
farmers
a
virtual
18
impossibility
in
many
parts
of
the
state.
19
6.
The
ordinary
operations
of
private
enterprise
have
not
in
20
the
past
corrected
these
conditions.
21
7.
A
stable
supply
of
adequate
funds
for
agricultural
22
financing
is
required
to
encourage
beginning
farmers
in
23
an
orderly
and
sustained
manner
and
to
reduce
the
problems
24
described
in
this
section
.
25
8.
Article
IX,
2nd
subarticle,
section
3,
of
the
26
Constitution
of
the
State
of
Iowa
requires
that,
“The
27
General
Assembly
shall
encourage,
by
all
suitable
means,
the
28
promotion
of
intellectual,
scientific,
moral,
and
agricultural
29
improvement,”
and
agricultural
improvement
and
the
public
good
30
are
served
by
a
policy
of
facilitating
access
to
capital
by
31
beginning
farmers
unable
to
obtain
capital
elsewhere
in
order
32
to
preserve,
encourage,
and
protect
the
family
farm
which
has
33
been
the
economic,
political,
and
social
backbone
of
rural
34
Iowa.
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9.
It
is
necessary
to
create
a
program
to
encourage
1
ownership
of
farms
by
beginning
farmers
by
providing
purchase
2
money
loans
to
beginning
farmers
who
are
not
able
to
obtain
3
adequate
capital
elsewhere
to
provide
such
funds
and
to
lower
4
costs
through
the
use
of
public
financing.
5
10.
All
of
the
purposes
stated
in
this
section
are
public
6
purposes
and
uses
for
which
public
moneys
may
be
borrowed,
7
expended,
advanced,
loaned,
or
granted.
8
11.
There
exists
a
serious
problem
in
this
state
regarding
9
the
ability
of
farmers
to
obtain
affordable
operating
loans
for
10
reasonable
and
necessary
expenses
and
cash
flow
requirements
11
of
farming.
12
12.
Farming
is
one
of
the
principal
pursuits
of
the
13
inhabitants
of
this
state.
Many
other
industries
and
pursuits,
14
in
turn,
are
wholly
dependent
upon
farming.
15
13.
The
inability
of
farmers
to
obtain
affordable
operating
16
loans
is
conducive
to
a
general
decline
of
the
economy
in
this
17
state.
18
14.
A
serious
problem
continues
to
exist
in
this
state
19
regarding
the
ability
of
agricultural
producers
to
obtain,
20
retain,
restructure,
or
service
loans
or
other
financing
on
21
a
reasonable
and
affordable
basis
for
operating
expenses,
22
cash
flow
requirements,
and
capital
asset
acquisition
or
23
maintenance.
24
15.
Because
the
Iowa
economy
is
dependent
upon
the
25
production
and
marketing
of
agricultural
produce,
the
inability
26
of
agricultural
producers
to
obtain,
retain,
restructure,
27
or
service
loans
or
other
financing
on
a
reasonable
and
28
an
affordable
basis
for
operating
expenses,
cash
flow
29
requirements,
or
capital
asset
acquisition
or
maintenance
30
contributes
to
a
general
decline
of
the
state’s
economy.
31
Sec.
15.
NEW
SECTION
.
16.4B
Guiding
principles
——
32
agricultural
development.
33
In
the
performance
of
its
duties,
implementation
of
its
34
powers,
and
selection
of
specific
programs
and
projects
to
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receive
its
assistance
under
subchapter
VIII,
the
authority
1
shall
be
guided
by
the
following
principles:
2
1.
The
authority
shall
not
become
an
owner
of
real
or
3
depreciable
property,
except
on
a
temporary
basis
where
4
necessary
in
order
to
implement
its
programs,
to
protect
its
5
investments
by
means
of
foreclosure
or
other
means,
or
to
6
facilitate
transfer
of
real
or
depreciable
property
for
the
use
7
of
beginning
farmers.
8
2.
The
authority
shall
exercise
diligence
and
care
in
9
selection
of
projects
to
receive
its
assistance
and
shall
apply
10
customary
and
acceptable
business
and
lending
standards
in
11
selection
and
subsequent
implementation
of
the
projects.
The
12
authority
may
delegate
primary
responsibility
for
determination
13
and
implementation
of
the
projects
to
any
federal
governmental
14
agency
which
assumes
any
obligation
to
repay
the
loan,
either
15
directly
or
by
insurance
or
guaranty.
16
3.
The
authority
shall
establish
a
beginning
farmer
17
loan
program
to
aid
beginning
farmers
in
the
acquisition
of
18
agricultural
land
and
improvements
and
depreciable
agricultural
19
property.
20
4.
The
authority
shall
develop
programs
for
providing
21
financial
assistance
to
agricultural
producers
in
this
state.
22
Sec.
16.
NEW
SECTION
.
16.4C
Legislative
findings
——
title
23
guaranty.
24
The
general
assembly
finds
and
declares
that
the
abstract
25
attorney’s
title
opinion
system
promotes
land
title
stability
26
for
determining
the
marketability
of
land
titles
and
is
a
27
public
purpose.
A
public
purpose
will
be
served
by
providing,
28
as
an
adjunct
to
the
abstract
attorney’s
title
opinion
system,
29
a
low-cost
mechanism
to
provide
for
additional
guaranties
30
of
real
property
titles
in
Iowa.
The
title
guaranties
will
31
facilitate
mortgage
lenders’
participation
in
the
secondary
32
market
and
add
to
the
integrity
of
the
land-title
transfer
33
system
in
the
state.
34
Sec.
17.
NEW
SECTION
.
16.4D
Legislative
findings
——
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economic
development.
1
The
general
assembly
finds
and
declares
all
of
the
2
following:
3
1.
Economic
development
and
expansion
of
business,
4
industry,
and
farming
in
the
state
is
dependent
upon
the
5
availability
of
financing
of
the
development
and
expansion
at
6
affordable
interest
rates.
7
2.
The
pooling
of
private
financing
enhances
the
8
marketability
of
the
obligations
involved
and
increases
access
9
to
other
state,
regional,
and
national
credit
markets.
10
3.
The
creation
of
an
economic
development
program
as
11
provided
in
section
16.102
will
make
the
pooling
of
private
12
financing
available
to
small
businesses,
farmers,
agricultural
13
landowners
and
operators,
and
commercial,
industrial,
and
other
14
business
enterprises
at
favorable
interest
rates
with
reduced
15
marketing
costs.
16
Sec.
18.
Section
16.5,
subsection
1,
paragraph
p,
Code
2014,
17
is
amended
to
read
as
follows:
18
p.
Through
the
Iowa
title
guaranty
division,
make
and
issue
19
title
guaranties
on
Iowa
real
property
in
a
form
acceptable
20
to
the
secondary
market,
to
fix
and
collect
the
charges
for
21
the
guaranties
and
to
procure
reinsurance
against
any
loss
in
22
connection
with
the
guaranties.
23
Sec.
19.
Section
16.5C,
subsections
6
and
8,
Code
2014,
are
24
amended
to
read
as
follows:
25
6.
Renegotiate
a
mortgage
loan
or
loan
to
a
mortgage
lender
26
lending
institution
in
default;
waive
a
default
or
consent
to
27
the
modification
of
the
terms
of
a
mortgage
loan
or
a
loan
to
a
28
mortgage
lender
lending
institution
;
forgive
or
forbear
all
or
29
part
of
a
mortgage
loan
or
a
loan
to
a
mortgage
lender
lending
30
institution
;
and
commence,
prosecute,
and
enforce
a
judgment
31
in
any
action,
including
but
not
limited
to
a
foreclosure
32
action,
to
protect
or
enforce
any
right
conferred
upon
the
33
authority
by
law,
mortgage
loan
agreement,
contract,
or
other
34
agreement,
and
in
connection
with
any
such
action,
bid
for
and
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purchase
the
property
or
acquire
or
take
possession
of
it,
1
complete,
administer,
and
pay
the
principal
of
and
interest
on
2
any
obligations
incurred
in
connection
with
the
property,
and
3
dispose
of
and
otherwise
deal
with
the
property
in
a
manner
as
4
the
authority
deems
advisable
to
protect
its
interests.
5
8.
Purchase,
and
make
advance
commitments
to
purchase,
6
residential
mortgage
loans
from
mortgage
lenders
lending
7
institutions
at
prices
and
upon
terms
and
conditions
it
8
determines
consistent
with
its
goals
and
legislative
findings.
9
However,
the
total
purchase
price
for
all
residential
10
mortgage
loans
which
the
authority
commits
to
purchase
from
11
a
mortgage
lender
lending
institution
at
any
one
time
shall
12
not
exceed
the
total
of
the
unpaid
principal
balances
of
the
13
residential
mortgage
loans
purchased.
Mortgage
lenders
Lending
14
institutions
are
authorized
to
sell
residential
mortgage
loans
15
to
the
authority
in
accordance
with
this
section
and
the
rules
16
of
the
authority.
The
authority
may
charge
a
mortgage
lender
17
lending
institution
a
commitment
fee
or
other
fees
as
set
by
18
rule
as
a
condition
for
the
authority
purchasing
residential
19
mortgage
loans.
20
Sec.
20.
NEW
SECTION
.
16.5D
Specific
powers
and
duties
——
21
agricultural
development.
22
The
authority
has
all
of
the
general
and
specific
powers
23
needed
to
carry
out
its
purposes
and
duties
as
provided
in
24
this
subchapter,
and
to
exercise
its
specific
powers
under
25
subchapter
VIII.
26
Sec.
21.
Section
16.7,
Code
2014,
is
amended
to
read
as
27
follows:
28
16.7
Annual
report.
29
1.
The
authority
shall
submit
to
the
governor
and
to
the
30
general
assembly,
not
later
than
January
15
each
year
,
a
an
31
annual
report.
32
2.
A
complete
report
shall
include
at
least
three
parts
33
which
include
all
of
the
following:
34
a.
A
general
description
of
the
authority
setting
forth:
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a.
(1)
Its
operations
and
accomplishments.
1
b.
(2)
Its
receipts
and
expenditures
during
the
fiscal
2
year,
in
accordance
with
the
classifications
it
establishes
for
3
its
operating
and
capital
accounts.
4
c.
(3)
Its
assets
and
liabilities
at
the
end
of
its
fiscal
5
year
and
the
status
of
reserve,
special
,
and
other
funds.
6
d.
(4)
A
schedule
of
its
bonds
and
notes
outstanding
at
7
the
end
of
its
fiscal
year,
together
with
a
statement
of
the
8
amounts
redeemed
and
issued
during
its
fiscal
year.
9
e.
(5)
A
statement
of
its
proposed
and
projected
10
activities.
11
f.
(6)
Recommendations
to
the
general
assembly,
as
it
deems
12
necessary.
13
g.
An
analysis
of
current
housing
needs
in
the
state.
14
2.
The
annual
report
shall
identify
performance
15
(7)
Performance
goals
of
the
authority,
and
clearly
16
indicate
indicating
the
extent
of
progress
during
the
reporting
17
period,
in
attaining
the
goals.
18
b.
A
summary
of
housing
programs
administered
under
this
19
chapter.
The
summary
shall
include
an
analysis
of
current
20
housing
needs
in
this
state.
Where
possible,
results
shall
be
21
expressed
in
terms
of
housing
units.
22
c.
A
summary
of
agricultural
development
programs
23
administered
under
subchapter
VIII.
Where
possible,
findings
24
and
results
shall
be
expressed
in
terms
of
number
of
loans,
tax
25
credits,
participating
qualified
beginning
farmers,
and
acres
26
of
agricultural
land,
including
by
county.
27
Sec.
22.
Section
16.9,
Code
2014,
is
amended
to
read
as
28
follows:
29
16.9
Nondiscrimination
and
affirmative
action.
30
1.
In
administering
housing
programs
under
this
chapter,
31
all
of
the
following
shall
apply:
32
a.
Housing
financed
or
otherwise
assisted
by
the
authority,
33
directly
or
indirectly,
shall
be
open
to
all
persons
regardless
34
of
race,
creed,
color,
sex,
national
origin,
age,
physical
or
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mental
impairment,
or
religion
except
that
preference
may
be
1
given
to
elderly
families,
families
which
include
one
or
more
2
persons
with
disabilities,
lower
income
families,
or
very
low
3
income
families.
4
2.
b.
The
authority
shall
promote
marketing
plans
to
make
5
housing
available
to
all
persons
without
discrimination.
6
3.
c.
The
authority
shall
require
adoption
and
submission
7
of
an
affirmative
action
program
for
employment
by
all
8
contractors
and
subcontractors
of
housing
financed
or
otherwise
9
assisted
by
the
authority.
10
4.
d.
The
authority
shall
require
all
mortgage
lenders
who
11
lending
institutions
which
participate
in
programs
financed
12
or
otherwise
assisted
by
it
the
authority
to
agree
that
they
13
will
not
designate
certain
areas
as
unsuitable
for
the
making
14
of
mortgage
loans
because
of
the
prevailing
income,
racial,
15
ethnic,
or
other
characteristics
of
the
inhabitants
of
the
16
area.
This
subsection
paragraph
is
intended
to
prohibit
all
17
mortgage
lenders
who
lending
institutions
which
participate
in
18
authority
programs
from
engaging
in
the
practice
commonly
known
19
as
“redlining”
redlining
.
20
5.
e.
The
authority
may
require
mortgage
lenders
who
21
lending
institutions
which
participate
in
programs
financed
or
22
otherwise
assisted
by
the
authority
to
take
affirmative
action
23
to
make
mortgage
loans
in
areas
with
a
higher
than
average
24
concentration
of
lower
income
families
or
members
of
racial
or
25
ethnic
minorities.
26
2.
In
administering
agricultural
development
programs
under
27
subchapter
VIII,
all
of
the
following
apply:
28
a.
The
opportunity
to
acquire
agricultural
land
and
29
agricultural
improvements
and
depreciable
agricultural
property
30
financed
or
otherwise
assisted
by
the
authority,
directly
or
31
indirectly,
shall
be
open
to
all
persons
regardless
of
race,
32
creed,
color,
sex,
national
origin,
age,
physical
or
mental
33
impairment,
or
religion.
34
b.
The
authority
shall
promote
marketing
plans
for
its
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programs
under
subchapter
VIII.
1
Sec.
23.
NEW
SECTION
.
16.11
Assistance
by
state
officers,
2
agencies,
and
departments.
3
State
officers
and
state
departments
and
agencies
may
render
4
services
to
the
authority
within
their
respective
functions
as
5
requested
by
the
authority.
6
Sec.
24.
NEW
SECTION
.
16.13
Conflicts
of
interest.
7
1.
a.
If
a
member
or
employee
of
the
authority
other
than
8
the
executive
director
of
the
authority
has
an
interest,
either
9
direct
or
indirect,
in
a
contract
to
which
the
authority
is,
10
or
is
to
be,
a
party,
or
in
a
mortgage
lender
requesting
a
loan
11
from,
or
offering
to
sell
mortgage
loans
to,
the
authority,
12
the
interest
shall
be
disclosed
to
the
authority
in
writing
13
and
shall
be
set
forth
in
the
minutes
of
the
authority.
The
14
member
or
employee
having
the
interest
shall
not
participate
15
in
any
action
of
the
authority
with
respect
to
that
contract
16
or
mortgage
lender.
17
b.
A
violation
of
a
provision
of
this
subsection
is
18
misconduct
in
office
under
section
721.2.
However,
a
19
resolution
of
the
authority
is
not
invalid
because
of
a
vote
20
cast
by
a
member
in
violation
of
this
subsection
unless
the
21
vote
was
decisive
in
the
passage
of
the
resolution.
22
c.
For
the
purposes
of
this
subsection,
“action
of
the
23
authority
with
respect
to
that
contract
or
mortgage
lender”
24
means
only
an
action
directly
affecting
a
separate
contract
or
25
mortgage
lender,
and
does
not
include
an
action
which
benefits
26
the
general
public
or
which
affects
all
or
a
substantial
27
portion
of
the
contracts
or
mortgage
lenders
included
in
a
28
program
of
the
authority.
29
2.
Nothing
in
this
section
shall
be
deemed
to
limit
the
30
right
of
a
member,
officer,
or
employee
of
the
authority
to
31
acquire
an
interest
in
bonds
or
notes
of
the
authority
or
to
32
limit
the
right
of
a
member,
officer,
or
employee
other
than
33
the
executive
director
to
have
an
interest
in
a
financial
34
institution,
including
a
lending
institution,
in
which
the
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funds
of
the
authority
are,
or
are
to
be,
deposited
or
which
1
is,
or
is
to
be,
acting
as
trustee
or
paying
agent
under
a
trust
2
indenture
to
which
the
authority
is
a
party.
3
3.
The
executive
director
shall
not
have
an
interest
in
4
a
financial
institution,
including
a
lending
institution,
in
5
which
the
funds
of
the
authority
are,
or
are
to
be,
deposited
6
or
which
is,
or
is
to
be,
acting
as
trustee
or
paying
agent
7
under
a
trust
indenture
to
which
the
authority
is
a
party.
The
8
executive
director
shall
not
receive,
in
addition
to
fixed
9
salary
or
compensation,
any
money
or
valuable
thing,
either
10
directly
or
indirectly,
or
through
any
substantial
interest
11
in
any
other
corporation
or
business
unit,
for
negotiating,
12
procuring,
recommending,
or
aiding
in
any
purchase
or
sale
13
of
property,
or
loan,
made
by
the
authority,
nor
shall
the
14
executive
director
be
pecuniarily
interested,
either
as
15
principal,
coprincipal,
agent,
or
beneficiary,
either
directly
16
or
indirectly,
or
through
any
substantial
interest
in
any
other
17
corporation
or
business
unit,
in
any
such
purchase,
sale,
or
18
loan.
19
Sec.
25.
NEW
SECTION
.
16.16
Liability.
20
1.
A
member
of
the
authority,
or
a
person
acting
on
behalf
21
of
the
authority
while
acting
within
the
scope
of
the
member’s
22
or
person’s
agency
or
employment,
is
not
subject
to
personal
23
liability
resulting
from
carrying
out
the
powers
and
duties
in
24
this
chapter.
25
2.
The
United
States
and
the
secretary
of
agriculture
of
26
the
United
States
are
not
subject
to
liability
by
virtue
of
the
27
transfer
of
the
assets
to
the
authority
under
this
chapter.
28
3.
The
treasurer
of
state
shall
not
be
subject
to
personal
29
liability
resulting
from
carrying
out
the
powers
and
duties
30
of
the
authority
or
the
treasurer
of
state,
as
applicable,
in
31
subchapter
X,
part
15.
32
Sec.
26.
NEW
SECTION
.
16.17
Further
definitions.
33
The
authority
may
establish
by
rule
further
definitions
34
applicable
to
this
chapter,
and
clarification
of
the
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definitions
in
this
chapter,
as
it
deems
convenient
and
1
necessary
to
carry
out
the
public
purposes
of
this
chapter
2
including
all
the
following:
3
1.
Any
rules
necessary
to
assure
eligibility
for
funds
4
available
under
federal
housing
laws,
or
to
assure
compliance
5
with
federal
tax
laws
relating
to
the
issuance
of
tax
exempt
6
bonds
pursuant
to
the
Internal
Revenue
Code
or
relating
to
the
7
allowance
of
low-income
credits
under
Internal
Revenue
Code
8
§42.
9
2.
Any
rule
as
necessary
to
assure
eligibility
for
funds,
10
insurance,
or
guaranties
available
under
federal
laws
and
to
11
carry
out
the
public
purposes
of
subchapter
VIII.
12
Sec.
27.
NEW
SECTION
.
16.18
Inconsistent
provisions.
13
This
chapter
takes
precedence
over
any
conflicting
14
provisions
contained
in
section
535.8,
subsection
2,
with
15
respect
to
the
use
or
enforcement
of
a
due-on-sale
or
similar
16
clause
in
a
mortgage
loan
agreement,
and
takes
precedence
over
17
any
conflicting
provisions
contained
in
laws
enacted
after
18
July
1,
1981,
with
respect
to
the
use
or
enforcement
of
a
19
due-on-sale
or
similar
clause
in
a
mortgage
loan
agreement
20
unless
those
laws
expressly
provide
that
they
take
precedence
21
over
this
chapter.
22
Sec.
28.
NEW
SECTION
.
16.19
Liberal
interpretation.
23
This
chapter,
being
necessary
for
the
welfare
of
this
state
24
and
its
inhabitants,
shall
be
liberally
construed
to
effect
its
25
purposes.
26
Sec.
29.
NEW
SECTION
.
16.22
Application
of
funds
from
sales
27
of
obligations.
28
All
moneys
received
by
or
on
behalf
of
the
authority,
whether
29
as
proceeds
from
the
sale
of
obligations
or
as
revenues,
are
30
trust
funds
to
be
held
and
applied
solely
for
the
purposes
31
specified
in
the
appropriation,
bond
resolution,
or
other
32
document
authorizing
receipt
of
the
moneys
by
the
authority.
33
A
person
with
which
the
moneys
are
deposited
shall
act
as
34
trustee
of
the
moneys
and
shall
hold
and
apply
the
moneys
for
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the
purposes
specified
in
this
chapter
subject
to
limitations
1
specified
in
this
chapter
and
in
the
bond
resolution
2
authorizing
the
issuance
of
the
obligations.
3
Sec.
30.
Section
16.26,
subsection
4,
paragraph
a,
Code
4
2014,
is
amended
to
read
as
follows:
5
a.
State
the
date
and
series
of
the
issue,
be
consecutively
6
numbered,
and
state
on
their
face
that
they
are
payable
both
7
as
to
principal
and
interest
solely
out
of
the
assets
of
the
8
authority
and
do
not
constitute
an
indebtedness
of
this
state
9
or
any
political
subdivision
of
this
state
other
than
the
10
authority
within
the
meaning
of
any
constitutional
or
statutory
11
debt
limit.
12
Sec.
31.
Section
16.26,
subsections
5
and
6,
Code
2014,
are
13
amended
to
read
as
follows:
14
5.
The
authority
may
issue
its
bonds
for
the
purpose
of
15
refunding
any
bonds
or
notes
of
the
authority
then
outstanding,
16
including
the
payment
of
any
redemption
premiums
thereon
and
17
any
interest
accrued
or
to
accrue
to
the
date
of
redemption
18
of
the
outstanding
bonds
or
notes.
Until
the
proceeds
19
of
bonds
issued
for
the
purpose
of
refunding
outstanding
20
bonds
or
notes
are
applied
to
the
purchase
or
retirement
of
21
outstanding
bonds
or
notes
or
the
redemption
of
outstanding
22
bonds
or
notes,
the
proceeds
may
be
placed
in
escrow
and
be
23
invested
and
reinvested
in
accordance
with
the
provisions
of
24
this
chapter
.
The
interest,
income,
and
profits
earned
or
25
realized
on
an
investment
may
also
be
applied
to
the
payment
26
of
the
outstanding
bonds
or
notes
to
be
refunded
by
purchase,
27
retirement,
or
redemption.
After
the
terms
of
the
escrow
have
28
been
fully
satisfied
and
carried
out,
any
balance
of
proceeds
29
and
interest
earned
or
realized
on
the
investments
may
be
30
returned
to
the
authority
for
use
by
it
in
any
lawful
manner.
31
All
refunding
bonds
shall
be
issued
and
secured
and
subject
to
32
the
provisions
of
this
chapter
in
the
same
manner
and
to
the
33
same
extent
as
other
bonds
issued
pursuant
to
this
chapter
.
34
6.
The
authority
may
issue
negotiable
bond
anticipation
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notes
and
may
renew
them
from
time
to
time
but
the
maximum
1
maturity
of
the
notes,
including
renewals,
shall
not
exceed
2
ten
years
from
the
date
of
issue
of
the
original
notes.
Notes
3
Bond
anticipation
notes
are
payable
from
any
available
moneys
4
of
the
authority
not
otherwise
pledged,
or
from
the
proceeds
5
of
the
sale
of
bonds
of
the
authority
in
anticipation
of
6
which
the
bond
anticipation
notes
were
issued.
Notes
Bond
7
anticipation
notes
may
be
issued
for
any
corporate
purpose
8
of
the
authority.
Notes
Bond
anticipation
notes
shall
be
9
issued
in
the
same
manner
as
bonds
,
and
bond
anticipation
10
notes
,
and
the
resolution
authorizing
them
may
contain
any
11
provisions,
conditions,
or
limitations,
not
inconsistent
12
with
the
provisions
of
this
subsection
,
which
the
bonds
or
13
a
bond
resolution
of
the
authority
may
contain.
Notes
Bond
14
anticipation
notes
may
be
sold
at
public
or
private
sale.
In
15
case
of
default
on
its
bond
anticipation
notes
or
violation
16
of
any
obligations
of
the
authority
to
the
noteholders,
the
17
noteholders
shall
have
all
the
remedies
provided
in
this
18
chapter
for
bondholders.
Notes
Bond
anticipation
notes
shall
19
be
as
fully
negotiable
as
bonds
of
the
authority.
20
Sec.
32.
Section
16.26,
subsection
7,
Code
2014,
is
amended
21
by
striking
the
subsection
and
inserting
in
lieu
thereof
the
22
following:
23
7.
It
is
the
intention
of
the
general
assembly
that
a
pledge
24
made
in
respect
of
bonds
or
notes
shall
be
valid
and
binding
25
from
the
time
the
pledge
is
made,
that
the
money
or
property
26
so
pledged
and
received
after
the
pledge
by
the
authority
27
shall
immediately
be
subject
to
the
lien
of
the
pledge
without
28
physical
delivery
or
further
act,
and
that
the
lien
of
the
29
pledge
shall
be
valid
and
binding
as
against
all
parties
having
30
claims
of
any
kind
in
tort,
contract,
or
otherwise
against
31
the
authority
whether
or
not
the
parties
have
notice
of
the
32
lien.
Neither
the
resolution,
trust
agreement,
nor
any
other
33
instrument
by
which
a
pledge
is
created
needs
to
be
recorded
or
34
filed
under
the
Iowa
uniform
commercial
code,
chapter
554,
to
35
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be
valid,
binding,
or
effective
against
the
parties.
1
Sec.
33.
Section
16.26,
Code
2014,
is
amended
by
adding
the
2
following
new
subsection:
3
NEW
SUBSECTION
.
10.
It
is
the
intention
of
the
general
4
assembly
that
a
pledge
made
in
respect
of
bonds
or
notes
shall
5
be
valid
and
binding
from
the
time
the
pledge
is
made,
that
6
the
money
or
property
so
pledged
and
received
after
the
pledge
7
by
the
authority
shall
immediately
be
subject
to
the
lien
of
8
the
pledge
without
physical
delivery
or
further
act,
and
that
9
the
lien
of
the
pledge
shall
be
valid
and
binding
as
against
10
all
parties
having
claims
of
any
kind
in
tort,
contract,
or
11
otherwise
against
the
authority
whether
or
not
the
parties
have
12
notice
of
the
lien.
Neither
the
resolution,
trust
agreement,
13
nor
any
other
instrument
by
which
a
pledge
is
created
needs
to
14
be
recorded
or
filed
under
the
Iowa
uniform
commercial
code,
15
chapter
554
,
to
be
valid,
binding,
or
effective
against
the
16
parties.
17
Sec.
34.
Section
16.27,
Code
2014,
is
amended
by
adding
the
18
following
new
subsections:
19
NEW
SUBSECTION
.
3A.
To
assure
the
continued
operation
20
and
solvency
of
the
authority
for
the
carrying
out
of
its
21
corporate
purposes,
provision
is
made
in
subsection
1
for
the
22
accumulation
in
each
bond
reserve
fund
of
an
amount
equal
to
23
the
bond
reserve
fund
requirement
for
the
fund.
In
order
24
further
to
assure
maintenance
of
the
bond
reserve
funds,
the
25
chairperson
of
the
authority
shall,
on
or
before
July
1
of
each
26
calendar
year,
make
and
deliver
to
the
governor
a
certificate
27
stating
the
sum,
if
any,
required
to
restore
each
bond
reserve
28
fund
to
its
bond
reserve
fund
requirement.
Within
thirty
days
29
after
the
beginning
of
the
session
of
the
general
assembly
30
next
following
the
delivery
of
the
certificate,
the
governor
31
may
submit
to
both
houses
printed
copies
of
a
budget
including
32
any
sum
required
to
restore
each
bond
reserve
fund
to
its
bond
33
reserve
fund
requirement.
Sums
appropriated
by
the
general
34
assembly
and
paid
to
the
authority
under
this
section
shall
be
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deposited
by
the
authority
in
the
applicable
bond
reserve
fund.
1
NEW
SUBSECTION
.
3B.
Amounts
paid
over
to
the
authority
2
by
the
state
pursuant
to
the
provisions
of
this
section
shall
3
constitute
and
be
accounted
for
as
advances
by
the
state
to
4
the
authority
and,
subject
to
the
rights
of
the
holders
of
any
5
bonds
or
notes
of
the
authority,
shall
be
repaid
to
the
state
6
without
interest
from
all
available
operating
revenues
of
the
7
authority
in
excess
of
amounts
required
for
the
payment
of
8
bonds,
notes,
or
obligations
of
the
authority,
the
bond
reserve
9
fund,
and
operating
expenses.
10
NEW
SUBSECTION
.
3C.
In
the
event
that
the
principal
amount
11
of
any
bonds
or
notes
deposited
in
a
bond
reserve
fund
is
12
withdrawn
for
payment
of
principal
or
interest
thereby
reducing
13
the
amount
of
that
fund
to
less
than
the
bond
reserve
fund
14
requirement,
the
authority
shall
immediately
notify
the
general
15
assembly
of
this
event
and
shall
take
steps
to
restore
the
16
fund
to
its
bond
reserve
fund
requirement
from
any
amounts
17
available,
other
than
principal
of
a
bond
issue,
which
are
not
18
pledged
to
the
payment
of
other
bonds
or
notes.
19
Sec.
35.
NEW
SECTION
.
16.27A
Powers
relating
to
loans.
20
Subject
to
any
agreement
with
bondholders
or
noteholders,
21
the
authority
may
renegotiate
a
mortgage
or
secured
loan
or
22
a
loan
to
a
lending
institution
in
default,
waive
a
default
23
or
consent
to
the
modification
of
the
terms
of
a
mortgage
or
24
secured
loan
or
a
loan
to
a
lending
institution,
forgive
or
25
forbear
all
or
part
of
a
mortgage
or
secured
loan
or
a
loan
to
26
a
lending
institution,
and
commence,
prosecute,
and
enforce
27
a
judgment
in
any
action,
including
but
not
limited
to
a
28
foreclosure
action,
to
protect
or
enforce
any
right
conferred
29
upon
it
by
law,
mortgage
or
secured
loan
agreement,
contract
30
or
other
agreement,
and
in
connection
with
any
action,
bid
for
31
and
purchase
the
property
or
acquire
or
take
possession
of
it,
32
complete,
administer,
pay
the
principal
of
and
interest
on
33
any
obligations
incurred
in
connection
with
the
property,
and
34
dispose
of
and
otherwise
deal
with
the
property
in
a
manner
the
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authority
deems
advisable
to
protect
its
interests.
1
Sec.
36.
NEW
SECTION
.
16.29
Agreement
of
the
state.
2
The
state
pledges
and
agrees
with
the
holders
of
any
bonds
or
3
notes
that
the
state
will
not
limit
or
alter
the
rights
vested
4
in
the
authority
to
fulfill
the
terms
of
agreements
made
with
5
the
holders
or
in
any
way
to
impair
the
rights
and
remedies
of
6
the
holders
until
the
bonds
or
notes
together
with
the
interest
7
on
them,
plus
interest
on
unpaid
installments
of
interest,
8
and
all
costs
and
expenses
in
connection
with
an
action
by
or
9
on
behalf
of
the
holders
are
fully
met
and
discharged.
The
10
authority
may
include
this
pledge
and
agreement
of
the
state
in
11
any
agreement
with
the
holders
of
bonds
or
notes.
12
Sec.
37.
NEW
SECTION
.
16.32
Surplus
moneys
——
loan
and
13
grant
fund.
14
1.
Moneys
declared
by
the
authority
to
be
surplus
moneys
15
which
are
not
required
to
service
bonds
and
notes
issued
by
the
16
authority,
to
pay
administrative
expenses
of
the
authority,
17
or
to
accumulate
necessary
operating
or
loss
reserves,
shall
18
be
used
by
the
authority
to
provide
grants,
loans,
subsidies,
19
and
services
or
assistance
through
programs
authorized
in
this
20
chapter.
21
2.
The
authority
may
establish
a
loan
and
grant
fund
which
22
may
be
comprised
of
the
proceeds
of
appropriations,
grants,
23
contributions,
surplus
moneys
transferred
as
provided
in
this
24
section,
and
repayment
of
authority
loans
made
from
such
fund.
25
Sec.
38.
NEW
SECTION
.
16.34A
Special
definition.
26
As
used
in
this
subchapter,
unless
the
context
otherwise
27
requires,
“state
housing
credit
ceiling”
means
the
state
28
housing
credit
ceiling
as
defined
in
Internal
Revenue
Code
29
§42(h)(3)(C).
30
Sec.
39.
NEW
SECTION
.
16.35
State
housing
credit
ceiling
31
allocation.
32
1.
The
authority
is
designated
the
housing
credit
agency
33
for
the
allowance
of
low-income
housing
credits
under
the
state
34
housing
credit
ceiling.
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2.
The
authority
shall
adopt
rules
and
allocation
1
procedures
which
will
ensure
the
maximum
use
of
available
tax
2
credits
in
order
to
encourage
development
of
low-income
housing
3
in
the
state.
The
authority
shall
consider
the
following
4
factors
in
the
adoption
and
application
of
the
allocation
5
rules:
6
a.
Timeliness
of
the
application.
7
b.
Location
of
the
proposed
housing
project.
8
c.
Relative
need
in
the
proposed
area
for
low-income
9
housing.
10
d.
Availability
of
low-income
housing
in
the
proposed
area.
11
e.
Economic
feasibility
of
the
proposed
project.
12
f.
Ability
of
the
applicant
to
proceed
to
completion
of
the
13
project
in
the
calendar
year
for
which
the
credit
is
sought.
14
3.
a.
The
authority
shall
adopt
rules
specifying
the
15
application
procedure
and
the
allowance
of
low-income
housing
16
credits
under
the
state
housing
credit
ceiling.
17
b.
The
authority
shall
not
allow
more
than
ninety
percent
of
18
the
low-income
housing
credits
under
the
state
housing
credit
19
ceiling
to
projects
other
than
qualified
low-income
housing
20
projects
as
defined
in
Internal
Revenue
Code
§42(h)(5)(B).
21
Sec.
40.
NEW
SECTION
.
16.36
Participation
in
federal
22
housing
assistance
payments
program.
23
The
authority
shall
participate
in
the
housing
assistance
24
payments
program
under
section
8
of
the
United
States
Housing
25
Act
of
1937,
as
amended
by
§201
of
the
Housing
and
Community
26
Development
Act
of
1974,
Pub.
L.
No.
93-383,
codified
at
42
27
U.S.C.
§1437
et
seq.
28
Sec.
41.
NEW
SECTION
.
16.38
Loans
to
lending
institutions.
29
1.
The
authority
may
make,
and
contract
to
make,
loans
to
30
lending
institutions
on
terms
and
conditions
as
the
authority
31
determines
which
are
reasonably
related
to
protecting
the
32
security
of
the
authority’s
investment
and
to
implementing
the
33
purposes
of
this
chapter
,
and
subject
to
this
section
,
and
34
all
lending
institutions
are
authorized
to
borrow
from
the
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authority
in
accordance
with
the
provisions
of
this
section
and
1
the
rules
of
the
authority.
2
2.
The
authority
shall
require
as
a
condition
of
each
3
loan
to
a
lending
institution
that
the
lending
institution,
4
within
a
reasonable
period
after
receipt
of
the
loan
proceeds
5
as
the
authority
prescribes
by
rule,
shall
have
entered
into
6
written
commitments
to
make,
and,
within
a
reasonable
period
7
thereafter
as
the
authority
prescribes
by
rule,
shall
have
8
disbursed
the
loan
proceeds
in
new
mortgage
loans
to
low
or
9
moderate
income
families
in
an
aggregate
principal
amount
equal
10
to
the
amount
of
the
loan.
New
mortgage
loans
shall
have
terms
11
and
conditions
as
the
authority
prescribes
by
rules
which
12
are
reasonably
related
to
implementing
the
purposes
of
this
13
chapter
.
14
3.
The
authority
shall
require
the
submission
to
the
15
authority
by
each
lending
institution
to
which
the
authority
16
has
made
a
loan,
of
evidence
satisfactory
to
the
authority
of
17
the
making
of
new
mortgage
loans
to
low
or
moderate
income
18
families
as
required
by
this
section
,
and
in
that
connection
19
may,
through
its
members,
employees,
or
agents,
inspect
the
20
books
and
records
of
a
lending
institution.
21
4.
Compliance
by
a
lending
institution
with
the
terms
of
22
its
agreement
with
the
authority
with
respect
to
the
making
23
of
new
mortgage
loans
to
low
or
moderate
income
families
may
24
be
enforced
by
decree
of
any
district
court
of
this
state.
25
The
authority
may
require
as
a
condition
of
a
loan
to
a
26
national
banking
association
or
a
federally
chartered
savings
27
and
loan
association,
the
consent
of
the
association
to
the
28
jurisdiction
of
courts
of
this
state
over
any
such
proceeding.
29
The
authority
may
also
require,
as
a
condition
of
a
loan
to
30
a
lending
institution,
agreement
by
the
lending
institution
31
to
the
payment
of
penalties
to
the
authority
for
violation
by
32
the
lending
institution
of
its
agreement
with
the
authority,
33
and
the
penalties
shall
be
recoverable
at
the
suit
of
the
34
authority.
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5.
The
authority
shall
require
that
each
lending
1
institution
receiving
a
loan
pursuant
to
this
section
2
shall
issue
and
deliver
to
the
authority
an
evidence
of
its
3
indebtedness
to
the
authority
which
shall
constitute
a
general
4
obligation
of
the
lending
institution
and
shall
bear
a
date,
5
mature
at
a
time,
be
subject
to
prepayment,
and
contain
other
6
provisions
consistent
with
this
section
and
reasonably
related
7
to
protecting
the
security
of
the
authority’s
investment,
as
8
the
authority
determines.
9
6.
Notwithstanding
any
other
provision
of
this
section
to
10
the
contrary,
the
interest
rate
and
other
terms
of
loans
to
11
lending
institutions
made
from
the
proceeds
of
an
issue
of
12
bonds
or
notes
of
the
authority
shall
be
at
least
sufficient
13
to
assure
the
payment
of
the
bonds
or
notes
and
the
interest
on
14
them
as
they
become
due.
15
7.
The
authority
shall
require
that
loans
to
lending
16
institutions
are
additionally
secured
as
to
payment
of
both
17
principal
and
interest
by
a
pledge
of
and
lien
upon
collateral
18
security
by
special
escrow
funds
or
other
forms
of
guaranty
and
19
in
such
amounts
and
forms
as
the
authority
shall
by
resolution
20
determine
to
be
necessary
to
assure
the
payment
of
the
loans
21
and
the
interest
thereon
as
they
become
due.
Collateral
22
security
shall
consist
of
direct
obligations
of,
or
obligations
23
guaranteed
by,
the
United
States
or
one
of
its
agencies,
24
obligations
satisfactory
to
the
authority
which
are
issued
by
25
other
federal
agencies,
direct
obligations
of
or
obligations
26
guaranteed
by
a
state
or
a
political
subdivision
of
a
state,
or
27
investment
quality
obligations
approved
by
the
authority.
28
8.
The
authority
may
require
that
collateral
for
loans
29
be
deposited
with
a
bank,
trust
company,
or
other
financial
30
institution
acceptable
to
the
authority
located
in
this
state
31
and
designated
by
the
authority
as
custodian.
In
the
absence
32
of
such
a
requirement,
each
lending
institution
shall
enter
33
into
an
agreement
with
the
authority
containing
provisions
34
as
the
authority
deems
necessary
to
adequately
identify
and
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maintain
the
collateral,
service
the
collateral,
and
require
1
the
lending
institution
to
hold
the
collateral
as
an
agent
2
for
the
authority
and
be
accountable
to
the
authority
as
the
3
trustee
of
an
express
trust
for
the
application
and
disposition
4
of
the
collateral
and
the
income
from
it.
The
authority
may
5
also
establish
additional
requirements
as
the
authority
deems
6
necessary
with
respect
to
the
pledging,
assigning,
setting
7
aside,
or
holding
of
collateral
and
the
making
of
substitutions
8
for
it
or
additions
to
it
and
the
disposition
of
income
and
9
receipts
from
it.
10
9.
The
authority
may
require
as
a
condition
of
loans
to
11
lending
institutions,
any
representations
and
warranties
the
12
authority
determines
are
necessary
to
secure
the
loans
and
13
carry
out
the
purposes
of
this
section
.
14
10.
If
a
provision
of
this
section
is
inconsistent
with
a
15
provision
of
law
of
this
state
governing
lending
institutions,
16
the
provision
of
this
section
controls
for
the
purposes
of
this
17
section
.
18
Sec.
42.
NEW
SECTION
.
16.39
Purchase
of
mortgage
loans.
19
1.
The
authority
may
purchase,
and
make
advance
commitments
20
to
purchase,
mortgage
loans
from
lending
institutions
at
prices
21
and
upon
terms
and
conditions
as
the
authority
determines
22
subject
to
this
section
.
However,
the
total
purchase
price
23
for
all
mortgage
loans
which
the
authority
commits
to
purchase
24
from
a
lending
institution
at
any
one
time
shall
not
exceed
25
the
total
of
the
unpaid
principal
balances
of
the
mortgage
26
loans
purchased.
Lending
institutions
are
authorized
to
27
sell
mortgage
loans
to
the
authority
in
accordance
with
the
28
provisions
of
this
section
and
the
rules
of
the
authority.
29
2.
The
authority
shall
require
as
a
condition
of
purchase
30
of
mortgage
loans
from
lending
institutions
that
the
lending
31
institutions,
within
a
reasonable
period
after
receipt
of
the
32
purchase
price
as
the
authority
prescribes
by
rule,
shall
enter
33
into
written
commitments
to
loan
and,
within
a
reasonable
34
period
thereafter
as
the
authority
prescribes
by
rule,
shall
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loan
an
amount
equal
to
the
entire
purchase
price
of
the
1
mortgage
loans,
on
new
mortgage
loans
to
low
or
moderate
2
income
families
or
certify
that
mortgage
loans
purchased
are
3
mortgage
loans
made
to
low
or
moderate
income
families.
New
4
mortgage
loans
to
be
made
by
lending
institutions
shall
have
5
terms
and
conditions
as
the
authority
prescribes
by
rule.
The
6
authority
may
make
a
commitment
to
purchase
mortgage
loans
7
from
lending
institutions
in
advance
of
the
time
such
loans
8
are
made
by
lending
institutions.
The
authority
shall
require
9
as
a
condition
of
such
commitment
that
lending
institutions
10
certify
in
writing
that
all
mortgage
loans
represented
by
the
11
commitment
will
be
made
to
low
or
moderate
income
families,
and
12
that
other
authority
specifications
will
be
complied
with.
13
3.
The
authority
shall
require
the
submission
to
the
14
authority
by
each
lending
institution
from
which
the
authority
15
has
purchased
mortgages,
of
evidence
satisfactory
to
the
16
authority
of
the
making
of
new
mortgage
loans
to
low
or
17
moderate
income
families
as
required
by
this
section
and
in
18
that
connection
may,
through
its
members,
employees,
or
agents,
19
inspect
the
books
and
records
of
a
lending
institution.
20
4.
Compliance
by
a
lending
institution
with
the
terms
of
21
its
agreement
with
the
authority
with
respect
to
the
making
of
22
new
mortgage
loans
to
low
or
moderate
income
families
may
be
23
enforced
by
decree
of
any
district
court
of
this
state.
The
24
authority
may
require
as
a
condition
of
purchase
of
mortgage
25
loans
from
any
national
banking
association
or
federally
26
chartered
savings
and
loan
association,
the
consent
of
the
27
association
to
the
jurisdiction
of
courts
of
this
state
over
28
any
such
proceeding.
The
authority
may
also
require
as
a
29
condition
of
the
authority’s
purchase
of
mortgage
loans
from
30
a
lending
institution,
agreement
by
the
lending
institution
31
to
the
payment
of
penalties
to
the
authority
for
violation
by
32
the
lending
institution
of
its
agreement
with
the
authority,
33
and
the
penalties
shall
be
recoverable
at
the
suit
of
the
34
authority.
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5.
The
authority
may
require
as
a
condition
of
purchase
of
1
a
mortgage
loan
from
a
lending
institution
that
the
lending
2
institution
represent
and
warrant
to
the
authority
that:
3
a.
The
unpaid
principal
balance
of
the
mortgage
loan
and
4
the
interest
rate
on
it
have
been
accurately
stated
to
the
5
authority.
6
b.
The
amount
of
the
unpaid
principal
balance
is
justly
due
7
and
owing.
8
c.
The
lending
institution
has
no
notice
of
the
existence
of
9
any
counterclaim,
offset,
or
defense
asserted
by
the
mortgagor
10
or
the
mortgagor’s
successor
in
interest.
11
d.
The
mortgage
loan
is
evidenced
by
a
bond
or
promissory
12
note
and
a
mortgage
which
has
been
properly
recorded
with
the
13
appropriate
public
official.
14
e.
The
mortgage
constitutes
a
valid
first
lien
on
the
15
real
property
described
to
the
authority
subject
only
to
real
16
property
taxes
not
yet
due,
installments
of
assessments
not
17
yet
due,
and
easements
and
restrictions
of
record
which
do
not
18
adversely
affect,
to
a
material
degree,
the
use
or
value
of
the
19
real
property
or
improvements
on
it.
20
f.
The
mortgagor
is
not
now
in
default
in
the
payment
of
21
any
installment
of
principal
or
interest,
escrow
funds,
or
real
22
property
taxes,
or
otherwise
in
the
performance
of
obligations
23
under
the
mortgage
documents
and
has
not
to
the
knowledge
of
24
the
lending
institution
been
in
default
in
the
performance
of
25
any
obligation
under
the
mortgage
for
a
period
of
longer
than
26
sixty
days
during
the
life
of
the
mortgage.
27
g.
The
improvements
to
the
mortgaged
real
property
are
28
covered
by
a
valid
and
subsisting
policy
of
insurance
issued
29
by
a
company
authorized
to
issue
such
policies
in
this
state
30
and
providing
fire
and
extended
coverage
in
amounts
as
the
31
authority
prescribes
by
rule.
32
h.
The
mortgage
loan
meets
the
prevailing
investment
quality
33
standards
for
mortgage
loans
in
this
state.
34
6.
A
lending
institution
is
liable
to
the
authority
for
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damages
suffered
by
the
authority
by
reason
of
the
untruth
1
of
a
representation
or
the
breach
of
a
warranty
and,
in
the
2
event
that
a
representation
proves
to
be
untrue
when
made
or
3
in
the
event
of
a
breach
of
warranty,
the
lending
institution
4
shall,
at
the
option
of
the
authority,
repurchase
the
mortgage
5
loan
for
the
original
purchase
price
adjusted
for
amounts
6
subsequently
paid
on
it,
as
the
authority
determines.
7
7.
The
authority
shall
require
the
recording
of
an
8
assignment
of
a
mortgage
loan
purchased
by
the
authority
from
9
a
lending
institution
and
shall
not
be
required
to
notify
10
the
mortgagor
of
the
authority’s
purchase
of
the
mortgage
11
loan.
The
authority
shall
not
be
required
to
inspect
or
take
12
possession
of
the
mortgage
documents
if
the
mortgage
lender
13
from
which
the
mortgage
loan
is
purchased
by
the
authority
14
enters
into
a
contract
to
service
the
mortgage
loan
and
account
15
to
the
authority
for
it.
16
8.
If
a
provision
of
this
section
is
inconsistent
with
17
another
provision
of
law
of
this
state
governing
lending
18
institutions,
the
provision
of
this
section
controls
for
the
19
purposes
of
this
section
.
20
Sec.
43.
Section
16.40,
subsection
3,
Code
2014,
is
amended
21
to
read
as
follows:
22
3.
The
authority
may
use
moneys
in
the
fund
to
provide
23
financial
assistance
to
a
housing
sponsor
or
an
individual
in
24
the
form
of
a
loan,
loan
guarantee
guaranty
,
grant,
or
interest
25
subsidy,
or
by
other
means
under
the
general
powers
of
the
26
authority.
27
Sec.
44.
NEW
SECTION
.
16.43
Housing
improvement
fund
28
program.
29
1.
A
housing
improvement
fund
is
created
within
the
30
authority.
The
moneys
in
the
housing
improvement
fund
are
31
annually
appropriated
to
the
authority
which
shall
allocate
32
the
available
funds
among
and
within
the
programs
authorized
33
by
this
section
.
Notwithstanding
section
8.33
,
unencumbered
34
or
unobligated
moneys
remaining
in
the
fund
on
June
30
of
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any
fiscal
year
shall
not
revert
to
any
other
fund
but
shall
1
be
available
for
expenditure
for
subsequent
fiscal
years.
2
Notwithstanding
section
12C.7
,
interest
or
earnings
on
moneys
3
in
the
fund
or
appropriated
to
the
fund
shall
be
credited
to
4
the
fund.
The
authority
may
expend
up
to
four
percent
of
5
the
moneys
appropriated
for
the
programs
in
this
section
for
6
administrative
costs
of
the
authority
for
those
programs.
7
The
authority
may
provide
financial
assistance
to
a
housing
8
sponsor
or
an
individual
in
the
form
of
loans,
guaranties,
9
grants,
interest
subsidies,
or
by
other
means
for
the
programs
10
authorized
by
this
section
.
11
2.
By
rule,
the
authority
shall
establish
the
following
12
financial
assistance
programs
and
provide
the
requirements
for
13
their
proper
administration:
14
a.
A
home
maintenance
and
repair
program
providing
repair
15
services
to
families
which
include
persons
who
are
elderly
or
16
persons
with
disabilities
and
which
qualify
as
lower
income
or
17
very
low
income
families.
18
b.
A
rental
rehabilitation
program
for
the
construction
19
or
rehabilitation
of
single
or
multifamily
rental
properties
20
leased
to
lower
income
or
very
low
income
families.
21
c.
(1)
A
home
ownership
incentive
program
to
help
lower
22
income
and
very
low
income
families
achieve
single
family
home
23
ownership.
Funds
provided
under
this
program
shall
not
be
24
restricted
to
first-time
home
buyers
but
shall
be
limited
to
25
mortgages
under
fifty-five
thousand
dollars,
except
in
those
26
areas
of
the
state
where
the
median
price
of
homes
exceeds
the
27
state
average.
The
assistance
provided
shall
include
at
least
28
one
of
the
following
kinds
of
assistance:
29
(a)
Closing
costs
assistance.
30
(b)
Down
payment
assistance.
31
(c)
Home
maintenance
and
repair
assistance.
32
(d)
Loan
processing
assistance
through
a
loan
endorser
33
review
contractor
who
acts
on
behalf
of
the
authority
in
34
assisting
lenders
in
processing
loans
that
will
qualify
for
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government
insurance
or
guaranty
or
for
financing
under
the
1
authority’s
mortgage
revenue
bond
program.
2
(e)
Mortgage
insurance
program.
3
(2)
Five
percent
of
the
moneys
expended
under
this
program
4
shall
be
used
to
finance
the
purchase
or
acquisition,
in
5
communities
with
a
population
of
less
than
ten
thousand,
of
6
manufactured
homes
as
defined
in
42
U.S.C.
§5403.
Moneys
7
available
for
this
purpose
which
are
unencumbered
or
8
unobligated
at
the
end
of
the
fiscal
year
shall
revert
to
the
9
housing
improvement
fund
for
reallocation
for
the
next
fiscal
10
year.
11
(3)
Not
more
than
fifty
percent
of
the
assistance
provided
12
under
this
program
shall
be
provided
under
subparagraph
(1),
13
subparagraph
divisions
(d)
and
(e).
So
long
as
at
least
one
14
of
the
kinds
of
assistance
described
in
subparagraph
(1),
15
subparagraph
divisions
(a)
through
(e)
is
provided,
additional
16
assistance
not
described
in
subparagraph
(1),
subparagraph
17
divisions
(a)
through
(e)
may
also
be
provided.
18
3.
The
authority
shall
coordinate
the
programs
authorized
19
by
this
section
with
the
other
programs
under
the
jurisdiction
20
of
the
authority.
21
4.
Each
application
for
financial
assistance
shall
22
be
rated
based
on
local,
housing
sponsor,
and
recipient
23
financial
commitment,
proposals
for
leveraging
other
financial
24
assistance,
experience
with
the
recipient
group
involved,
25
consideration
for
the
housing
project
in
the
context
of
overall
26
community
needs,
including
vacancy
rate
of
rental
property
27
and
ratio
of
subsidized
rental
housing
to
nonsubsidized
28
housing,
ability
to
provide
a
counseling
support
system
to
29
the
recipients,
and
a
demonstrated
capability
by
the
housing
30
sponsor
to
provide
follow-up
monitoring
of
recipients
to
31
determine
if
identifiable
results
have
been
achieved.
32
5.
For
the
purposes
of
this
section
,
“housing
sponsor”
is
33
a
for-profit
entity,
nonprofit
corporation,
local
government,
34
or
a
joint
venture
involving
a
for-profit
entity,
nonprofit
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corporation,
or
local
government.
1
6.
None
of
the
funds
provided
to
a
housing
sponsor
under
2
this
section
shall
be
used
for
the
costs
of
administration.
3
7.
During
each
regular
session
of
the
general
assembly,
4
the
authority
shall
present,
to
the
appropriate
appropriations
5
subcommittee,
a
report
concerning
the
total
estimated
resources
6
to
be
available
for
expenditure
under
this
section
for
the
next
7
fiscal
year
and
the
amount
the
authority
proposes
to
allocate
8
to
each
program
under
this
section
.
9
8.
A
homelessness
advisory
committee
is
created
consisting
10
of
the
executive
director
or
the
executive
director’s
designee,
11
the
directors
or
their
designees
from
the
departments
of
human
12
services
and
human
rights,
the
economic
development
authority,
13
the
director
of
the
department
on
aging
or
the
director’s
14
designee,
and
at
least
three
individuals
from
the
private
15
sector
to
be
selected
by
the
executive
director.
The
advisory
16
committee
shall
advise
the
authority
in
coordinating
programs
17
that
provide
for
the
homeless.
18
9.
Notwithstanding
any
provision
to
the
contrary,
19
all
assets
held
in
the
housing
improvement
fund
shall
be
20
transferred
to
the
housing
trust
fund
created
in
section
16.45
.
21
Any
moneys
or
assets
received
for
deposit
in
the
housing
22
improvement
fund
shall
be
transferred
to
the
housing
trust
23
fund.
24
Sec.
45.
NEW
SECTION
.
16.45
Housing
trust
fund.
25
1.
a.
A
housing
trust
fund
is
created
within
the
26
authority.
The
moneys
in
the
housing
trust
fund
are
annually
27
appropriated
to
the
authority
to
be
used
for
the
development
28
and
preservation
of
affordable
housing
for
low-income
people
29
in
the
state
and
for
the
Iowa
mortgage
help
initiative.
30
Payment
of
interest,
recaptures
of
awards,
or
other
repayments
31
to
the
housing
trust
fund
shall
be
deposited
in
the
fund.
32
Notwithstanding
section
12C.7
,
interest
or
earnings
on
moneys
33
in
the
housing
trust
fund
or
appropriated
to
the
fund
shall
34
be
credited
to
the
fund.
Notwithstanding
section
8.33
,
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unencumbered
and
unobligated
moneys
remaining
in
the
fund
1
at
the
close
of
each
fiscal
year
shall
not
revert
but
shall
2
remain
available
for
expenditure
for
the
same
purposes
in
the
3
succeeding
fiscal
year.
4
b.
Assets
in
the
housing
trust
fund
shall
consist
of
all
of
5
the
following:
6
(1)
Any
moneys
received
by
the
authority
from
the
national
7
housing
trust
fund
created
pursuant
to
the
federal
Housing
and
8
Economic
Recovery
Act
of
2008,
Pub.
L.
No.
110-289.
9
(2)
Any
assets
transferred
by
the
authority
for
deposit
in
10
the
housing
trust
fund.
11
(3)
Any
other
moneys
appropriated
by
the
general
assembly
12
and
any
other
moneys
available
to
and
obtained
or
accepted
by
13
the
authority
for
placement
in
the
housing
trust
fund.
14
c.
The
authority
shall
create
the
following
programs
within
15
the
housing
trust
fund:
16
(1)
Local
housing
trust
fund
program.
At
least
sixty
17
percent
of
available
moneys
in
the
housing
trust
fund
shall
be
18
allocated
for
the
local
housing
trust
fund
program.
19
(2)
Project-based
housing
program.
Moneys
remaining
in
20
the
housing
trust
fund
after
the
allocation
in
subparagraph
21
(1)
shall
be
used
to
make
awards
to
project-based
housing
22
programs
located
in
areas
where
a
local
housing
trust
fund
does
23
not
exist
or
for
a
project-based
housing
program
that
is
not
24
eligible
for
funding
through
a
local
housing
trust
fund.
25
2.
a.
In
order
to
be
eligible
to
apply
for
funding
from
26
the
local
housing
trust
fund
program,
a
local
housing
trust
27
fund
must
be
approved
by
the
authority
and
have
all
of
the
28
following:
29
(1)
A
local
governing
board
recognized
by
the
city,
county,
30
council
of
governments,
or
regional
officials
as
the
board
31
responsible
for
coordinating
local
housing
programs.
32
(2)
A
housing
assistance
plan
approved
by
the
authority.
33
(3)
Sufficient
administrative
capacity
in
regard
to
housing
34
programs.
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(4)
A
local
match
requirement
approved
by
the
authority.
1
b.
An
award
from
the
local
housing
trust
fund
program
shall
2
not
exceed
ten
percent
of
the
balance
in
the
program
at
the
3
beginning
of
the
fiscal
year
plus
ten
percent
of
any
deposits
4
made
during
the
fiscal
year.
5
c.
By
December
31
of
each
year,
a
local
housing
trust
fund
6
receiving
moneys
from
the
local
housing
trust
fund
program
7
shall
submit
a
report
to
the
authority
itemizing
expenditures
8
of
the
awarded
moneys.
9
Sec.
46.
NEW
SECTION
.
16.45A
Housing
trust
fund
——
10
appropriations.
11
There
is
appropriated
from
the
rebuild
Iowa
infrastructure
12
fund
to
the
Iowa
finance
authority
for
deposit
in
the
housing
13
trust
fund
created
in
section
16.45
,
for
the
fiscal
year
14
beginning
July
1,
2014,
and
for
each
succeeding
fiscal
year,
15
the
sum
of
three
million
dollars.
16
Sec.
47.
NEW
SECTION
.
16.46
Senior
living
revolving
loan
17
program
fund.
18
1.
A
senior
living
revolving
loan
program
fund
is
created
19
within
the
authority.
The
moneys
in
the
senior
living
20
revolving
loan
program
fund
shall
be
used
by
the
authority
for
21
the
development
and
operation
of
a
revolving
loan
program
to
22
provide
financing
to
construct
affordable
assisted
living
and
23
service-enriched
affordable
housing
for
seniors
and
persons
24
with
disabilities,
including
through
new
construction
or
25
acquisition
and
rehabilitation.
26
2.
Moneys
transferred
by
the
authority
for
deposit
in
the
27
senior
living
revolving
loan
program
fund,
moneys
appropriated
28
to
the
senior
living
revolving
loan
program,
and
any
other
29
moneys
available
to
and
obtained
or
accepted
by
the
authority
30
for
placement
in
the
senior
living
revolving
loan
program
fund
31
shall
be
deposited
in
the
fund.
Additionally,
payment
of
32
interest,
recaptures
of
awards,
and
other
repayments
to
the
33
senior
living
revolving
loan
program
fund
shall
be
deposited
34
in
the
fund.
Notwithstanding
section
12C.7,
subsection
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2
,
interest
or
earnings
on
moneys
in
the
senior
living
1
revolving
loan
program
fund
shall
be
credited
to
the
fund.
2
Notwithstanding
section
8.33
,
moneys
that
remain
unencumbered
3
or
unobligated
at
the
end
of
the
fiscal
year
shall
not
4
revert
but
shall
remain
available
for
the
same
purpose
in
the
5
succeeding
fiscal
year.
6
3.
The
authority
shall
annually
allocate
moneys
available
7
in
the
senior
living
revolving
loan
program
fund
for
the
8
development
of
affordable
assisted
living
and
service-enriched
9
affordable
housing
for
seniors
and
persons
with
disabilities.
10
The
authority
shall
develop
a
joint
application
process
for
11
the
allocation
of
federal
low-income
housing
tax
credits
and
12
funds
available
under
this
section
.
Moneys
allocated
to
13
such
developments
may
be
in
the
form
of
loans,
grants,
or
a
14
combination
of
loans
and
grants.
15
Sec.
48.
NEW
SECTION
.
16.47
Home
and
community-based
16
services
revolving
loan
program
fund.
17
1.
A
home
and
community-based
services
revolving
loan
18
program
fund
is
created
within
the
authority
to
further
the
19
goals
specified
in
section
231.3
,
adult
day
services,
respite
20
services,
congregate
meals,
health
and
wellness,
health
21
screening,
and
nutritional
assessments.
The
moneys
in
the
home
22
and
community-based
services
revolving
loan
program
fund
shall
23
be
used
by
the
authority
for
the
development
and
operation
24
of
a
revolving
loan
program
to
develop
and
expand
facilities
25
and
infrastructure
that
provide
adult
day
services,
respite
26
services,
congregate
meals,
and
programming
space
for
health
27
and
wellness,
health
screening,
and
nutritional
assessments
28
that
address
the
needs
of
persons
with
low
incomes.
29
2.
Moneys
transferred
by
the
authority
for
deposit
in
the
30
home
and
community-based
services
revolving
loan
program
fund,
31
moneys
appropriated
to
the
home
and
community-based
services
32
revolving
loan
program,
and
any
other
moneys
available
to
33
and
obtained
or
accepted
by
the
authority
for
placement
in
34
the
home
and
community-based
services
revolving
loan
program
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fund
shall
be
deposited
in
the
fund.
Additionally,
payment
of
1
interest,
recaptures
of
awards,
and
other
repayments
to
the
2
home
and
community-based
services
revolving
loan
program
fund
3
shall
be
deposited
in
the
fund.
Notwithstanding
section
12C.7,
4
subsection
2
,
interest
or
earnings
on
moneys
in
the
home
and
5
community-based
services
revolving
loan
program
fund
shall
be
6
credited
to
the
fund.
Notwithstanding
section
8.33
,
moneys
7
that
remain
unencumbered
or
unobligated
at
the
end
of
the
8
fiscal
year
shall
not
revert
but
shall
remain
available
for
the
9
same
purpose
in
the
succeeding
fiscal
year.
10
3.
The
authority,
in
cooperation
with
the
department
on
11
aging,
shall
annually
allocate
moneys
available
in
the
home
12
and
community-based
services
revolving
loan
program
fund
to
13
develop
and
expand
facilities
and
infrastructure
that
provide
14
adult
day
services,
respite
services,
congregate
meals,
and
15
programming
space
for
health
and
wellness,
health
screening,
16
and
nutritional
assessments
that
address
the
needs
of
persons
17
with
low
incomes.
18
Sec.
49.
NEW
SECTION
.
16.48
Transitional
housing
revolving
19
loan
program
fund.
20
1.
A
transitional
housing
revolving
loan
program
fund
is
21
created
within
the
authority
to
further
the
availability
of
22
affordable
housing
for
parents
that
are
reuniting
with
their
23
children
while
completing
or
participating
in
substance
abuse
24
treatment.
The
moneys
in
the
fund
are
annually
appropriated
25
to
the
authority
to
be
used
for
the
development
and
operation
26
of
a
revolving
loan
program
to
provide
financing
to
construct
27
affordable
transitional
housing,
including
through
new
28
construction
or
acquisition
and
rehabilitation
of
existing
29
housing.
The
housing
provided
shall
be
geographically
located
30
in
close
proximity
to
licensed
substance
abuse
treatment
31
programs.
Preference
in
funding
shall
be
given
to
projects
32
that
reunite
mothers
with
the
mothers’
children.
33
2.
Moneys
transferred
by
the
authority
for
deposit
in
34
the
transitional
housing
revolving
loan
program
fund,
moneys
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appropriated
to
the
transitional
housing
revolving
loan
1
program,
and
any
other
moneys
available
to
and
obtained
or
2
accepted
by
the
authority
for
placement
in
the
fund
shall
be
3
deposited
in
the
fund.
Additionally,
payment
of
interest,
4
recaptures
of
awards,
and
other
repayments
to
the
transitional
5
housing
revolving
loan
program
fund
shall
be
credited
to
the
6
fund.
Notwithstanding
section
12C.7,
subsection
2
,
interest
or
7
earnings
on
moneys
in
the
transitional
housing
revolving
loan
8
program
fund
shall
be
credited
to
the
fund.
Notwithstanding
9
section
8.33
,
moneys
that
remain
unencumbered
or
unobligated
at
10
the
close
of
the
fiscal
year
shall
not
revert
but
shall
remain
11
available
for
the
same
purpose
in
the
succeeding
fiscal
year.
12
3.
The
authority
shall
annually
allocate
moneys
available
13
in
the
transitional
housing
revolving
loan
program
fund
for
14
the
development
of
affordable
transitional
housing
for
parents
15
that
are
reuniting
with
the
parents’
children
while
completing
16
or
participating
in
substance
abuse
treatment.
The
authority
17
shall
develop
a
joint
application
process
for
the
allocation
of
18
federal
low-income
housing
tax
credits
and
the
funds
available
19
under
this
section
.
Moneys
allocated
to
such
projects
may
be
20
in
the
form
of
loans,
grants,
or
a
combination
of
loans
and
21
grants.
22
Sec.
50.
NEW
SECTION
.
16.49
Community
housing
and
services
23
for
persons
with
disabilities
revolving
loan
program
fund.
24
1.
A
community
housing
and
services
for
persons
with
25
disabilities
revolving
loan
program
fund
is
created
within
the
26
authority
to
further
the
availability
of
affordable
housing
and
27
supportive
services
for
Medicaid
waiver-eligible
individuals
28
with
behaviors
that
provide
significant
barriers
to
accessing
29
traditional
rental
and
supportive
services
opportunities.
The
30
moneys
in
the
fund
are
annually
appropriated
to
the
authority
31
to
be
used
for
the
development
and
operation
of
a
revolving
32
loan
program
to
provide
financing
to
construct
affordable
33
permanent
supportive
housing
or
develop
infrastructure
in
34
which
to
provide
supportive
services,
including
through
new
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construction,
acquisition
and
rehabilitation
of
existing
1
housing
or
infrastructure,
or
conversion
or
adaptive
reuse.
2
2.
Moneys
transferred
by
the
authority
for
deposit
in
the
3
community
housing
and
services
for
persons
with
disabilities
4
revolving
loan
program
fund,
moneys
appropriated
to
the
5
community
housing
and
services
for
persons
with
disabilities
6
revolving
loan
program,
and
any
other
moneys
available
to
and
7
obtained
or
accepted
by
the
authority
for
placement
in
the
8
fund
shall
be
credited
to
the
fund.
Additionally,
payment
of
9
interest,
recaptures
of
awards,
and
other
repayments
to
the
10
community
housing
and
services
for
persons
with
disabilities
11
revolving
loan
program
fund
shall
be
credited
to
the
fund.
12
Notwithstanding
section
12C.7,
subsection
2
,
interest
or
13
earnings
on
moneys
in
the
fund
shall
be
credited
to
the
fund.
14
Notwithstanding
section
8.33
,
moneys
credited
to
the
fund
from
15
any
other
fund
that
remain
unencumbered
or
unobligated
at
the
16
close
of
the
fiscal
year
shall
not
revert
to
the
other
fund.
17
3.
a.
The
authority
shall
annually
allocate
moneys
18
available
in
the
fund
for
the
development
of
permanent
19
supportive
housing
for
Medicaid
waiver-eligible
individuals.
20
The
authority
shall
develop
a
joint
application
process
for
the
21
allocation
of
United
States
housing
and
urban
development
HOME
22
investment
partnerships
program
funding
and
the
funds
available
23
under
this
section
.
Moneys
allocated
to
such
projects
may
be
24
in
the
form
of
loans,
forgivable
loans,
or
a
combination
of
25
loans
and
forgivable
loans.
26
b.
The
authority
shall
annually
allocate
moneys
available
27
in
the
fund
for
the
development
of
infrastructure
in
which
28
to
provide
supportive
services
for
Medicaid
waiver-eligible
29
individuals
who
meet
the
psychiatric
medical
institution
for
30
children
level
of
care.
Moneys
allocated
to
such
projects
may
31
be
in
the
form
of
loans,
forgivable
loans,
or
a
combination
of
32
loans
and
forgivable
loans.
33
4.
a.
A
project
shall
demonstrate
written
approval
of
the
34
project
by
the
department
of
human
services
to
the
authority
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prior
to
application
for
funding
under
this
section
.
1
b.
In
order
to
be
approved
by
the
department
of
human
2
services
for
application
for
funding
for
development
of
3
permanent
supportive
housing
under
this
section,
a
project
4
shall
include
all
of
the
following
components:
5
(1)
Provision
of
services
to
any
of
the
following
Medicaid
6
waiver-eligible
individuals:
7
(a)
Individuals
who
are
currently
underserved
in
community
8
placements,
including
individuals
who
are
physically
aggressive
9
or
have
behaviors
that
are
difficult
to
manage
or
individuals
10
who
meet
the
psychiatric
medical
institution
for
children
level
11
of
care.
12
(b)
Individuals
who
are
currently
residing
in
out-of-state
13
facilities.
14
(c)
Individuals
who
are
currently
receiving
care
in
a
15
licensed
health
care
facility.
16
(2)
A
plan
to
provide
each
individual
with
crisis
17
stabilization
services
to
ensure
that
the
individual’s
18
behavioral
issues
are
appropriately
addressed
by
the
provider.
19
(3)
Policies
and
procedures
that
prohibit
discharge
of
the
20
individual
from
the
waiver
services
provided
by
the
project
21
provider
unless
an
alternative
placement
that
is
acceptable
to
22
the
client
or
the
client’s
guardian
is
identified.
23
c.
In
order
to
be
approved
by
the
department
of
human
24
services
for
application
for
funding
for
development
of
25
infrastructure
in
which
to
provide
supportive
services
under
26
this
section
,
a
project
shall
include
all
of
the
following
27
components:
28
(1)
Provision
of
services
to
Medicaid
waiver-eligible
29
individuals
who
meet
the
psychiatric
medical
institution
for
30
children
level
of
care.
31
(2)
Policies
and
procedures
that
prohibit
discharge
of
the
32
individual
from
the
waiver
services
provided
by
the
project
33
provider
unless
an
alternative
placement
that
is
acceptable
to
34
the
client
or
the
client’s
guardian
is
identified.
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d.
Housing
provided
through
a
project
under
this
section
is
1
exempt
from
the
requirements
of
chapter
135O
.
2
Sec.
51.
NEW
SECTION
.
16.50
Workforce
housing
assistance
3
grant
fund.
4
1.
A
workforce
housing
assistance
grant
fund
is
created
5
under
the
authority
of
the
Iowa
finance
authority.
The
fund
6
shall
consist
of
appropriations
made
to
the
fund.
The
fund
7
shall
be
separate
from
the
general
fund
of
the
state
and
the
8
balance
in
the
fund
shall
not
be
considered
part
of
the
balance
9
of
the
general
fund
of
the
state.
However,
the
fund
shall
be
10
considered
a
special
account
for
the
purposes
of
section
8.53
,
11
relating
to
generally
accepted
accounting
principles.
12
2.
Notwithstanding
section
12C.7,
subsection
2
,
interest
or
13
earnings
on
moneys
in
the
fund
shall
be
credited
to
the
fund.
14
3.
a.
Moneys
in
the
fund
in
a
fiscal
year
are
appropriated
15
to
the
Iowa
finance
authority
to
be
used
for
grants
for
16
projects
that
create
workforce
housing
or
for
projects
that
17
include
adaptive
reuse
of
buildings
for
workforce
housing.
For
18
purposes
of
this
section
,
“workforce
housing”
means
housing
that
19
is
affordable
for
a
household
whose
income
does
not
exceed
one
20
hundred
twenty
percent
of
the
median
income
for
the
area.
21
b.
Priority
shall
be
given
to
the
following
types
of
22
projects:
23
(1)
Projects
that
are
eligible
for
historic
preservation
24
and
cultural
and
entertainment
district
tax
credits
under
25
section
404A.1
.
26
(2)
Projects
for
the
construction
of
new
single-family
27
dwellings
that
incorporate
one
or
more
energy-efficient
28
measures.
The
authority
shall
by
rule
identify
the
types
of
29
energy-efficient
measures
that
will
qualify
a
project
for
30
priority
under
this
subparagraph.
31
(3)
Projects
that
utilize
new
markets
tax
credits,
32
established
under
the
federal
Community
Renewal
Tax
Relief
Act
33
of
2000,
Pub.
L.
No.
106-554,
114
Stat.
2763A,
and
undertaken
34
by
a
qualified
community
development
entity,
as
defined
in
the
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federal
Act.
1
(4)
Projects
that
are
located
in
an
area
where
other
state
2
funding
has
been
used
to
support
the
creation
of
new
jobs.
3
c.
In
any
fiscal
year,
an
area
shall
not
receive
grants
4
totaling
more
than
twenty-five
percent
of
the
moneys
expended
5
from
the
fund
in
that
fiscal
year.
For
purposes
of
this
6
paragraph,
“area”
means
the
same
area
used
to
determine
the
7
median
income
under
paragraph
“a”
.
8
4.
Annually,
on
or
before
January
15
of
each
year,
the
9
authority
shall
report
to
the
legislative
services
agency
and
10
the
department
of
management
the
status
of
all
projects
that
11
received
moneys
from
the
workforce
housing
assistance
grant
12
fund.
The
report
shall
include
a
description
of
each
project,
13
the
progress
of
work
completed,
the
total
estimated
cost
of
14
each
project,
a
list
of
all
revenue
sources
being
used
to
fund
15
each
project,
the
amount
of
funds
expended,
the
amount
of
16
funds
obligated,
and
the
date
each
project
was
completed
or
an
17
estimated
completion
date
of
each
project,
where
applicable.
18
5.
Payment
of
moneys
from
appropriations
from
the
fund
shall
19
be
made
in
a
manner
that
does
not
adversely
affect
the
tax
20
exempt
status
of
any
outstanding
bonds
issued
by
the
treasurer
21
of
state
pursuant
to
section
12.87
.
22
Sec.
52.
NEW
SECTION
.
16.55
Solar
and
renewable
energy
23
systems
loans.
24
The
authority
may
make
loans
to
lending
institutions
or
25
purchase
loans
from
lending
institutions
under
part
3
to
be
26
used
to
finance
property
improvement
loans
for
solar
and
other
27
renewable
energy
systems.
These
loans
shall
be
limited
to
low
28
or
moderate
income
families.
29
Sec.
53.
NEW
SECTION
.
16.56
Jumpstart
housing
assistance
30
program.
31
1.
As
used
in
this
section
,
unless
the
context
otherwise
32
requires:
33
a.
“Disaster-affected
home”
means
a
primary
residence
that
34
was
destroyed
or
damaged
due
to
a
natural
disaster
occurring
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after
May
24,
2008,
and
before
August
14,
2008.
1
b.
“Local
government
participant”
means
the
cities
of
Ames,
2
Cedar
Falls,
Cedar
Rapids,
Council
Bluffs,
Davenport,
Des
3
Moines,
Dubuque,
Iowa
City,
Waterloo,
and
West
Des
Moines;
a
4
council
of
governments
whose
territory
includes
at
least
one
5
county
that
was
declared
a
disaster
area
by
the
president
6
of
the
United
States
after
May
24,
2008,
and
before
August
7
14,
2008;
and
any
county
that
is
not
part
of
any
council
of
8
governments
and
was
declared
a
disaster
area
by
the
president
9
of
the
United
States
after
May
24,
2008,
and
before
August
14,
10
2008.
11
2.
The
Iowa
finance
authority
shall
establish
and
12
administer
a
jumpstart
housing
assistance
program.
Under
13
the
program,
the
authority
shall
provide
grants
to
local
14
government
participants
for
purposes
of
distributing
the
moneys
15
to
eligible
residents
for
eligible
purposes
which
relate
to
16
disaster-affected
homes.
17
3.
An
eligible
resident
is
a
person
residing
in
a
18
disaster-affected
home
who
is
the
owner
of
record
of
a
right,
19
title,
or
interest
in
the
disaster-affected
home
and
who
has
20
been
approved
by
the
federal
emergency
management
agency
for
21
housing
assistance.
An
eligible
resident
must
have
a
family
22
income
equal
to
or
less
than
one
hundred
fifty
percent
of
the
23
area
median
family
income.
24
4.
Eligible
purposes
include
forgivable
loans
for
down
25
payment
assistance,
emergency
housing
repair
or
rehabilitation,
26
and
interim
mortgage
assistance.
An
eligible
resident
who
27
receives
a
forgivable
loan
may
also
receive
energy
efficiency
28
assistance
which
shall
be
added
to
the
principal
of
the
29
forgivable
loan.
30
5.
A
local
government
participant
may
retain
a
portion
of
31
the
grant
moneys
for
administrative
purposes
as
provided
in
a
32
grant
agreement
between
the
authority
and
the
local
government
33
participant.
34
6.
Any
money
paid
to
a
local
government
participant
by
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an
eligible
resident
shall
be
remitted
to
the
authority
for
1
deposit
in
the
housing
assistance
fund
created
in
section
2
16.40
.
3
7.
As
determined
by
the
authority,
unused
or
unobligated
4
moneys
may
be
reclaimed
and
reallocated
by
the
authority
to
5
other
local
government
participants.
6
Sec.
54.
NEW
SECTION
.
16.57
Residential
treatment
7
facilities.
8
1.
The
authority
may
issue
its
bonds
and
notes
and
loan
the
9
proceeds
of
the
bonds
or
notes
to
a
nonprofit
corporation
for
10
the
purpose
of
financing
the
acquisition
or
construction
of
11
residential
housing
or
treatment
facilities
serving
juveniles
12
or
persons
with
disabilities.
13
2.
The
authority
may
enter
into
a
loan
agreement
with
14
a
nonprofit
corporation
for
the
purpose
of
financing
the
15
acquisition
or
construction
of
residential
housing
or
treatment
16
facilities
serving
juveniles
or
persons
with
disabilities
and
17
shall
provide
for
payment
of
the
loan
and
security
for
the
loan
18
as
the
authority
deems
advisable.
19
3.
In
the
resolution
authorizing
the
issuance
of
the
20
bonds
or
notes
pursuant
to
this
section
,
the
authority
may
21
provide
that
the
related
principal
and
interest
are
limited
22
obligations
payable
solely
out
of
the
revenues
derived
from
the
23
debt
obligation,
collateral,
or
other
security
furnished
by
or
24
on
behalf
of
the
nonprofit
corporation,
and
the
principal
or
25
interest
does
not
constitute
an
indebtedness
of
the
authority
26
or
a
charge
against
the
authority’s
general
credit
or
general
27
fund.
28
4.
The
powers
granted
the
authority
under
this
section
are
29
in
addition
to
the
authority’s
other
powers
under
this
chapter
.
30
All
other
provisions
of
this
chapter
,
except
section
16.28,
31
subsection
4
,
apply
to
bonds
or
notes
issued
pursuant
to,
and
32
powers
granted
to
the
authority
under
this
section
,
except
to
33
the
extent
the
provisions
are
inconsistent
with
this
section
.
34
Sec.
55.
NEW
SECTION
.
16.58
Definitions.
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As
used
in
this
subchapter
,
unless
the
context
otherwise
1
requires:
2
1.
“Agricultural
assets”
means
agricultural
land,
3
depreciable
agricultural
property,
crops,
or
livestock.
4
2.
“Agricultural
improvements”
means
any
improvements,
5
buildings,
structures,
or
fixtures
suitable
for
use
in
farming
6
which
are
located
on
agricultural
land.
7
3.
“Agricultural
land”
means
land
suitable
for
use
in
8
farming.
9
4.
“Agricultural
producer”
means
a
person
that
engages
10
or
wishes
to
engage
or
intends
to
engage
in
the
business
of
11
producing
and
marketing
agricultural
produce
in
this
state.
12
5.
“Bankhead-Jones
Farm
Tenant
Act”
means
the
Act
cited
as
13
50
Stat.
522
(1937),
formerly
codified
as
7
U.S.C.
§1000
et
14
seq.,
repealed
by
Pub.
L.
No.
87-128
(1961).
15
6.
“Beginning
farmer”
means
an
individual,
partnership,
16
family
farm
corporation,
or
family
farm
limited
liability
17
company,
with
a
low
or
moderate
net
worth
that
engages
in
18
farming
or
wishes
to
engage
in
farming.
19
7.
“Beginning
farmer
tax
credit
program”
means
all
of
the
20
following:
21
a.
The
agricultural
assets
transfer
tax
credit
as
provided
22
in
section
16.80
.
23
b.
The
custom
farming
contract
tax
credit
as
provided
in
24
section
16.81
.
25
8.
“Family
farm
corporation”
means
the
same
as
defined
in
26
section
9H.1.
27
9.
“Family
farm
limited
liability
company”
means
the
same
as
28
defined
in
section
9H.1.
29
10.
“Farming”
means
the
cultivation
of
land
for
the
30
production
of
agricultural
crops,
the
raising
of
poultry,
the
31
production
of
eggs,
the
production
of
milk,
the
production
of
32
fruit
or
other
horticultural
crops,
grazing,
the
production
of
33
livestock,
aquaculture,
hydroponics,
the
production
of
forest
34
products,
or
other
activities
designated
by
the
authority
by
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rules
subject
to
chapter
17A
.
1
11.
“Low
or
moderate
net
worth”
means
a
net
worth
that
does
2
not
exceed
the
maximum
allowable
net
worth
established
by
the
3
authority.
The
authority
shall
establish
the
maximum
allowable
4
net
worth
in
accordance
with
the
prices
paid
by
farmers
index
5
as
compiled
by
the
United
States
department
of
agriculture.
6
12.
“Production
item”
includes
tools,
machinery,
or
7
equipment
principally
used
to
produce
crops
or
livestock.
8
13.
“Qualified
beginning
farmer”
means
a
beginning
farmer
9
who
meets
the
requirements
to
participate
in
a
beginning
farmer
10
tax
credit
program
as
provided
in
part
5,
subpart
B.
11
Sec.
56.
NEW
SECTION
.
16.59
Special
financing
——
12
calculations.
13
A
low
or
moderate
net
worth
requirement
provided
in
this
14
subchapter
applies
to
an
individual,
partnership,
family
farm
15
corporation,
or
family
farm
limited
liability
company.
The
16
requirement
as
applied
to
each
such
person
is
calculated
as
17
follows:
18
1.
For
an
individual,
an
aggregate
net
worth
of
the
19
individual
and
the
individual’s
spouse
and
minor
children
not
20
greater
than
the
low
or
moderate
net
worth.
21
2.
For
a
partnership,
an
aggregate
net
worth
of
all
22
partners,
including
each
partner’s
net
capital
in
the
23
partnership,
and
each
partner’s
spouse
and
minor
children
not
24
greater
than
twice
the
low
or
moderate
net
worth.
However,
the
25
aggregate
net
worth
of
each
partner
and
that
partner’s
spouse
26
and
minor
children
shall
not
exceed
the
low
or
moderate
net
27
worth.
28
3.
For
a
family
farm
corporation,
an
aggregate
net
worth
29
of
all
shareholders,
including
the
value
of
each
shareholder’s
30
share
in
the
family
farm
corporation,
and
each
shareholder’s
31
spouse
and
minor
children
not
greater
than
twice
the
low
or
32
moderate
net
worth.
However,
the
aggregate
net
worth
of
each
33
shareholder
and
that
shareholder’s
spouse
and
minor
children
34
shall
not
exceed
the
low
or
moderate
net
worth.
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4.
For
a
family
farm
limited
liability
company,
an
aggregate
1
net
worth
of
all
members,
including
each
member’s
ownership
2
interest
in
the
family
farm
limited
liability
company,
and
each
3
member’s
spouse
and
minor
children
of
not
greater
than
the
low
4
or
moderate
net
worth.
However,
the
aggregate
net
worth
of
5
each
member
and
that
member’s
spouse
and
minor
children
shall
6
not
exceed
the
low
or
moderate
net
worth.
7
Sec.
57.
NEW
SECTION
.
16.60
Combination
programs.
8
Programs
authorized
in
this
subchapter
may
be
combined
with
9
any
other
programs
authorized
in
this
chapter
or
any
other
10
public
or
private
programs.
11
Sec.
58.
NEW
SECTION
.
16.62
Trust
assets.
12
The
authority
shall
make
application
to
and
receive
from
the
13
United
States
secretary
of
agriculture,
or
any
other
proper
14
federal
official,
pursuant
and
subject
to
the
provisions
of
15
Pub.
L.
No.
81-499,
64
Stat.
152
(1950),
formerly
codified
at
16
40
U.S.C.
§440
et
seq.
(1976),
all
of
the
trust
assets
held
by
17
the
United
States
in
trust
for
the
Iowa
rural
rehabilitation
18
corporation
now
dissolved.
19
Sec.
59.
NEW
SECTION
.
16.63
Agreements.
20
The
authority
may
enter
into
agreements
with
the
United
21
States
secretary
of
agriculture
pursuant
to
Pub.
L.
No.
81-499
22
§2(f)
(1950)
upon
terms
and
conditions
and
for
periods
of
23
time
as
mutually
agreeable,
authorizing
the
authority
to
24
accept,
administer,
expend,
and
use
in
the
state
of
Iowa
all
25
or
any
part
of
the
trust
assets
or
other
funds
in
the
state
26
of
Iowa
which
have
been
appropriated
for
use
in
carrying
out
27
the
purposes
of
the
Bankhead-Jones
Farm
Tenant
Act
and
to
do
28
any
and
all
things
necessary
to
effectuate
and
carry
out
the
29
purposes
of
such
agreements.
30
Sec.
60.
NEW
SECTION
.
16.64
Bonds
and
notes
——
tax
31
exemption.
32
1.
An
action
shall
not
be
brought
questioning
the
legality
33
of
any
bonds
or
notes
or
the
power
of
the
authority
to
issue
34
any
bonds
or
notes
or
to
the
legality
of
any
proceedings
in
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connection
with
the
authorization
or
issuance
of
the
bonds
or
1
notes
after
determination
by
the
board
of
the
authority
to
2
proceed
with
the
issuance
of
the
bonds
or
notes
sixty
days
from
3
the
date
of
publication
of
the
notice.
4
2.
Bonds
and
notes
issued
by
the
authority
for
purposes
of
5
financing
the
beginning
farmer
loan
program
provided
in
section
6
16.75
are
exempt
from
taxation
by
the
state,
and
interest
7
earned
on
the
bonds
and
notes
is
deductible
in
determining
8
net
income
for
purposes
of
the
state
individual
and
corporate
9
income
tax
under
divisions
II
and
III
of
chapter
422.
10
Sec.
61.
NEW
SECTION
.
16.68
Surplus
moneys.
11
Moneys
declared
by
the
authority
to
be
surplus
moneys
12
which
are
not
required
to
service
bonds
and
notes,
to
pay
13
administrative
expenses
of
the
authority,
or
to
accumulate
14
necessary
operating
or
loss
reserves,
shall
be
used
by
the
15
authority
to
provide
loans,
grants,
subsidies,
and
other
16
services
or
assistance
to
beginning
farmers
or
agricultural
17
producers
through
any
of
the
programs
authorized
in
this
18
subchapter.
19
Sec.
62.
NEW
SECTION
.
16.70
Loans
to
lending
institutions.
20
1.
The
authority
may
make
and
contract
to
make
loans
to
21
lending
institutions
on
terms
and
conditions
the
authority
22
determines
are
reasonably
related
to
protecting
the
security
of
23
the
authority’s
investment
and
to
implementing
the
purposes
of
24
this
subchapter
.
Lending
institutions
are
authorized
to
borrow
25
from
the
authority
in
accordance
with
the
provisions
of
this
26
section
and
the
rules
of
the
authority.
27
2.
The
authority
shall
require
as
a
condition
of
each
loan
28
to
a
lending
institution
that
the
lending
institution,
within
29
a
reasonable
period
after
receipt
of
the
loan
proceeds
as
the
30
authority
prescribes
by
rule,
shall
have
entered
into
written
31
commitments
to
make
and,
within
a
reasonable
period
thereafter
32
as
the
authority
prescribes
by
rule,
shall
have
disbursed
the
33
loan
proceeds
in
new
mortgage
or
secured
loans
to
beginning
34
farmers
in
an
aggregate
principal
amount
of
not
less
than
the
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amount
of
the
loan.
New
mortgage
or
secured
loans
shall
have
1
terms
and
conditions
as
the
authority
prescribes
by
rules
which
2
are
reasonably
related
to
implementing
the
purposes
of
this
3
subchapter
as
provided
in
subchapter
III.
4
3.
The
authority
shall
require
the
submission
by
each
5
lending
institution
to
which
the
authority
has
made
a
loan,
of
6
evidence
satisfactory
to
the
authority
of
the
making
of
new
7
mortgage
or
secured
loans
to
beginning
farmers
as
required
by
8
this
section
,
and
in
that
connection
may,
through
its
members,
9
employees,
or
agents,
inspect
the
books
and
records
of
a
10
lending
institution.
11
4.
Compliance
by
a
lending
institution
with
the
terms
of
12
its
agreement
with
the
authority
with
respect
to
the
making
13
of
new
mortgage
or
secured
loans
to
beginning
farmers
may
be
14
enforced
by
decree
of
any
district
court
of
this
state.
The
15
authority
may
require
as
a
condition
of
a
loan
to
a
national
16
banking
association
or
a
federally
chartered
savings
and
loan
17
association,
the
consent
of
the
association
to
the
jurisdiction
18
of
the
courts
of
this
state
over
any
enforcement
proceeding.
19
The
authority
may
also
require,
as
a
condition
of
a
loan
to
20
a
lending
institution,
agreement
by
the
lending
institution
21
to
the
payment
of
penalties
to
the
authority
for
violation
by
22
the
lending
institution
of
its
agreement
with
the
authority,
23
and
the
penalties
shall
be
recoverable
at
the
suit
of
the
24
authority.
25
5.
The
authority
shall
require
that
each
lending
26
institution
receiving
a
loan
pursuant
to
this
section
shall
27
issue
and
deliver
to
the
authority
evidence
of
its
indebtedness
28
to
the
authority
which
shall
constitute
a
general
obligation
29
of
the
lending
institution
and
shall
bear
a
date,
mature
at
a
30
time,
be
subject
to
prepayment,
and
contain
other
provisions
31
consistent
with
this
section
and
reasonably
related
to
32
protecting
the
security
of
the
authority’s
investment,
as
the
33
authority
determines.
34
6.
Notwithstanding
any
other
provision
of
this
section
,
the
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interest
rate
and
other
terms
of
loans
to
lending
institutions
1
made
from
the
proceeds
of
an
issue
of
bonds
or
notes
of
the
2
authority
shall
be
at
least
sufficient
to
assure
the
payment
of
3
the
bonds
or
notes
and
the
interest
on
them
as
they
become
due.
4
7.
The
authority
may
require
that
loans
to
lending
5
institutions
are
additionally
secured
as
to
payment
of
both
6
principal
and
interest
by
a
pledge
of
and
lien
upon
collateral
7
security
by
special
escrow
funds
or
other
forms
of
guaranty
and
8
in
amounts
and
forms
as
the
authority
by
resolution
determines
9
to
be
necessary
to
assure
the
payment
of
the
loans
and
the
10
interest
as
they
become
due.
Collateral
security
shall
consist
11
of
direct
obligations
of
or
obligations
guaranteed
by
the
12
United
States
or
one
of
its
agencies,
obligations
satisfactory
13
to
the
authority
which
are
issued
by
other
federal
agencies,
14
direct
obligations
of
or
obligations
guaranteed
by
a
state
15
or
a
political
subdivision
of
a
state,
or
investment
quality
16
obligations
approved
by
the
authority.
17
8.
The
authority
may
require
that
collateral
for
loans
18
be
deposited
with
a
bank,
trust
company,
or
other
financial
19
institution
acceptable
to
the
authority
located
in
this
state
20
and
designated
by
the
authority
as
custodian.
In
the
absence
21
of
that
requirement,
each
lending
institution
shall
enter
22
into
an
agreement
with
the
authority
containing
provisions
23
the
authority
deems
necessary
to
adequately
identify
and
24
maintain
the
collateral,
service
the
collateral
and
require
the
25
lending
institution
to
hold
the
collateral
as
an
agent
for
the
26
authority,
and
be
accountable
to
the
authority
as
the
trustee
27
of
an
express
trust
for
the
application
and
disposition
of
the
28
collateral
and
the
income
from
it.
The
authority
may
also
29
establish
additional
requirements
the
authority
deems
necessary
30
with
respect
to
the
pledging,
assigning,
setting
aside,
or
31
holding
of
collateral
and
the
making
of
substitutions
for
it
or
32
additions
to
it
and
the
disposition
of
income
and
receipts
from
33
it.
34
9.
The
authority
may
require
as
a
condition
of
loans
to
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lending
institutions
any
representations
and
warranties
the
1
authority
determines
are
necessary
to
secure
the
loans
and
2
carry
out
the
purposes
of
this
section
.
3
10.
The
authority
may
require
the
beginning
farmer
to
4
satisfy
conditions
and
requirements
normally
imposed
by
lending
5
institutions
in
making
similar
loans,
including
but
not
limited
6
to
the
purchase
of
capital
stock
in
the
federal
land
bank.
7
11.
If
a
provision
of
this
section
is
inconsistent
with
a
8
provision
of
law
of
this
state
governing
lending
institutions,
9
the
provision
of
this
section
controls
for
the
purposes
of
this
10
section
.
11
Sec.
63.
NEW
SECTION
.
16.71
Purchase
of
loans.
12
1.
The
authority
may
purchase
and
make
advance
commitments
13
to
purchase
mortgage
or
secured
loans
from
lending
institutions
14
at
prices
and
upon
terms
and
conditions
as
the
authority
15
determines.
However,
the
total
purchase
price
for
all
mortgage
16
or
secured
loans
which
the
authority
commits
to
purchase
from
a
17
lending
institution
at
any
one
time
shall
not
exceed
the
total
18
of
the
unpaid
principal
balances
of
the
mortgage
or
secured
19
loans
purchased.
Lending
institutions
are
authorized
to
sell
20
mortgage
or
secured
loans
to
the
authority
in
accordance
with
21
the
provisions
of
this
section
and
the
rules
of
the
authority.
22
2.
The
authority
shall
require
as
a
condition
of
purchase
23
of
mortgage
or
secured
loans
from
lending
institutions
that
24
the
lending
institutions
certify
that
the
mortgage
or
secured
25
loans
purchased
are
loans
made
to
beginning
farmers.
Mortgage
26
or
secured
loans
to
be
made
by
lending
institutions
shall
have
27
terms
and
conditions
as
the
authority
prescribes
by
rule.
28
The
authority
may
make
a
commitment
to
purchase
mortgage
or
29
secured
loans
from
lending
institutions
in
advance
of
the
time
30
the
loans
are
made
by
lending
institutions.
The
authority
31
shall
require
as
a
condition
of
a
commitment
that
lending
32
institutions
certify
in
writing
that
all
mortgage
or
secured
33
loans
represented
by
the
commitment
will
be
made
to
beginning
34
farmers
and
that
the
lending
institution
will
comply
with
other
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authority
specifications.
1
3.
The
authority
shall
require
the
submission
to
it
by
each
2
lending
institution
from
which
the
authority
has
purchased
3
loans
of
evidence
satisfactory
to
the
authority
of
the
making
4
of
mortgage
or
secured
loans
to
beginning
farmers
as
required
5
by
this
section
and
in
that
connection
may,
through
its
6
members,
employees,
or
agents,
inspect
the
books
and
records
of
7
a
lending
institution.
8
4.
Compliance
by
a
lending
institution
with
the
terms
of
9
its
agreement
with
the
authority
with
respect
to
the
making
10
of
mortgage
or
secured
loans
to
beginning
farmers
may
be
11
enforced
by
decree
of
any
district
court
of
this
state.
The
12
authority
may
require
as
a
condition
of
purchase
of
mortgage
13
or
secured
loans
from
any
national
banking
association
or
14
federally
chartered
savings
and
loan
association
the
consent
15
of
the
association
to
the
jurisdiction
of
the
courts
of
this
16
state
over
any
enforcement
proceeding.
The
authority
may
also
17
require
as
a
condition
of
the
purchase
of
mortgage
or
secured
18
loans
from
a
lending
institution
agreement
by
the
lending
19
institution
to
the
payment
of
penalties
to
the
authority
for
20
violation
by
the
lending
institution
of
its
agreement
with
the
21
authority
and
the
penalties
shall
be
recoverable
at
the
suit
22
of
the
authority.
23
5.
The
authority
may
require
as
a
condition
of
purchase
of
24
a
mortgage
or
secured
loan
from
a
lending
institution
that
the
25
lending
institution
make
representations
and
warranties
the
26
authority
requires.
A
lending
institution
is
liable
to
the
27
authority
for
damages
suffered
by
the
authority
by
reason
of
28
the
untruth
of
a
representation
or
the
breach
of
a
warranty
29
and,
in
the
event
that
a
representation
proves
to
be
untrue
30
when
made
or
in
the
event
of
a
breach
of
warranty,
the
lending
31
institution
shall,
at
the
option
of
the
authority,
repurchase
32
the
mortgage
or
secured
loan
for
the
original
purchase
price
33
adjusted
for
amounts
subsequently
paid
on
it,
as
the
authority
34
determines.
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6.
The
authority
shall
require
the
recording
of
an
1
assignment
of
a
mortgage
loan
purchased
by
the
authority
2
from
a
lending
institution
and
is
not
required
to
notify
the
3
mortgagor
of
the
authority’s
purchase
of
the
mortgage
loan.
4
The
authority
is
not
required
to
inspect
or
take
possession
5
of
the
mortgage
documents
if
the
lending
institution
from
6
which
the
mortgage
loan
is
purchased
enters
into
a
contract
to
7
service
the
mortgage
loan
and
account
to
the
authority
for
it.
8
7.
If
a
provision
of
this
section
is
inconsistent
with
9
another
provision
of
law
of
this
state
governing
lending
10
institutions,
the
provision
of
this
section
controls
for
the
11
purposes
of
this
section
.
12
Sec.
64.
NEW
SECTION
.
16.75
Beginning
farmer
loan
program.
13
1.
The
authority
shall
develop
a
beginning
farmer
loan
14
program
to
facilitate
the
acquisition
of
agricultural
land
and
15
improvements
and
depreciable
agricultural
property
by
beginning
16
farmers.
The
authority
shall
exercise
the
powers
granted
to
17
the
authority
in
this
chapter
in
order
to
fulfill
the
goal
of
18
providing
financial
assistance
to
beginning
farmers
in
the
19
acquisition
of
agricultural
land
and
agricultural
improvements
20
and
depreciable
agricultural
property.
The
authority
may
21
participate
in
and
cooperate
with
programs
of
the
United
States
22
department
of
agriculture
consolidated
farm
service
agency,
23
federal
land
bank,
or
any
other
agency
or
instrumentality
of
24
the
federal
government
or
with
any
program
of
any
other
state
25
agency
in
the
administration
of
the
beginning
farmer
loan
26
program
and
in
the
making
of
loans
or
purchasing
of
mortgage
or
27
secured
loans
pursuant
to
this
subchapter
.
28
2.
The
authority
may
participate
in
any
federal
programs
29
designed
to
assist
beginning
farmers
or
in
any
related
federal
30
or
state
programs.
31
3.
The
authority
shall
provide
in
a
beginning
farmer
loan
32
program
that
a
loan
to
or
on
behalf
of
a
beginning
farmer
shall
33
be
provided
only
if
the
following
criteria
are
satisfied:
34
a.
The
beginning
farmer
is
a
resident
of
the
state.
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b.
The
agricultural
land
and
agricultural
improvements
or
1
depreciable
agricultural
property
the
beginning
farmer
proposes
2
to
purchase
will
be
located
in
the
state.
3
c.
The
beginning
farmer
has
sufficient
education,
training,
4
or
experience
in
the
type
of
farming
for
which
the
beginning
5
farmer
requests
the
loan.
6
d.
If
the
loan
is
for
the
acquisition
of
agricultural
7
land,
the
beginning
farmer
has
or
will
have
access
to
adequate
8
working
capital,
farm
equipment,
machinery,
or
livestock.
If
9
the
loan
is
for
the
acquisition
of
depreciable
agricultural
10
property,
the
beginning
farmer
has
or
will
have
access
to
11
adequate
working
capital
or
agricultural
land.
12
e.
The
beginning
farmer
shall
materially
and
substantially
13
participate
in
farming.
14
f.
The
agricultural
land
and
agricultural
improvements
shall
15
only
be
used
for
farming
by
the
beginning
farmer,
the
beginning
16
farmer’s
spouse,
or
the
beginning
farmer’s
minor
children.
17
g.
Other
criteria
as
the
authority
prescribes
by
rule.
18
4.
The
authority
may
provide
in
a
loan
made
or
purchased
19
pursuant
to
this
subchapter
that
the
loan
shall
not
be
assumed
20
or
any
interest
in
the
agricultural
land
or
improvements
or
21
depreciable
agricultural
property
may
not
be
leased,
sold,
or
22
otherwise
conveyed
without
its
prior
written
consent
and
may
23
provide
a
due-on-sale
clause
with
respect
to
the
occurrence
24
of
any
of
the
foregoing
events
without
its
prior
written
25
consent.
The
authority
may
provide
by
rule
the
grounds
for
26
permitted
assumptions
of
a
mortgage
or
for
the
leasing,
sale,
27
or
other
conveyance
of
any
interest
in
the
agricultural
land
28
or
improvements.
However,
the
authority
shall
provide
and
29
state
in
a
loan
that
the
authority
has
the
power
to
raise
the
30
interest
rate
of
the
loan
to
the
prevailing
market
rate
if
31
the
loan
is
assumed
by
a
farmer
who
is
already
established
in
32
that
field
at
the
time
of
the
assumption
of
the
loan.
This
33
provision
controls
with
respect
to
a
loan
made
or
purchased
34
pursuant
to
this
subchapter
notwithstanding
the
provisions
of
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chapter
535
.
1
5.
The
authority
may
participate
in
any
interest
in
any
2
loan
made
or
purchased
pursuant
to
this
subchapter
with
a
3
lending
institution.
The
participation
interest
may
be
on
a
4
parity
with
the
interest
in
the
loan
retained
by
the
authority,
5
equally
and
ratably
secured
by
a
mortgage
or
security
agreement
6
securing
the
loan.
7
Sec.
65.
NEW
SECTION
.
16.76
Loans
to
beginning
farmers.
8
1.
As
used
in
this
section,
“loan”
includes
financing
9
pursuant
to
an
installment
contract
or
contract
for
purchase
10
arrangement.
11
2.
The
authority
may
make
loans,
including
but
not
limited
12
to
mortgage
or
secured
loans,
or
loans
insured,
guaranteed,
13
or
otherwise
secured
by
the
federal
government
or
a
federal
14
governmental
agency
or
instrumentality,
or
a
state
agency
or
15
private
mortgage
insurers,
to
beginning
farmers
to
provide
16
financing
for
agricultural
land
and
agricultural
improvements
17
or
depreciable
agricultural
property.
18
3.
A
loan
shall
contain
terms
and
provisions,
including
19
interest
rates,
and
be
in
a
form
established
by
rules
of
the
20
authority.
The
authority
may
require
the
beginning
farmer
21
to
execute
a
note,
loan,
or
financing
agreement,
or
other
22
evidence
of
indebtedness
and
furnish
additional
assurances
23
and
guaranties,
including
insurance,
reasonably
related
to
24
protecting
the
security
of
the
loan,
as
the
authority
deems
25
necessary.
26
Sec.
66.
NEW
SECTION
.
16.78
Administration
of
beginning
27
farmer
tax
credit
program.
28
1.
To
every
extent
practicable,
the
authority
shall
29
administer
tax
credits
under
the
beginning
farmer
tax
credit
30
program
in
a
uniform
manner
that
encourages
participation
by
31
qualified
beginning
farmers.
The
authority
shall
determine
a
32
qualified
beginning
farmer’s
low
or
moderate
net
worth
by
using
33
a
single
method
applicable
to
all
its
programs,
including
the
34
beginning
farmer
tax
credit
program.
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2.
The
authority
shall
establish
a
due
date
to
receive
1
applications
to
participate
in
the
beginning
farmer
tax
credit
2
program.
The
authority
may
establish
different
due
dates
for
3
applications
to
qualify
for
each
beginning
farmer
tax
credit.
4
3.
The
department
of
revenue
shall
cooperate
with
the
5
authority
in
administering
the
beginning
farmer
tax
credit
6
program.
7
Sec.
67.
NEW
SECTION
.
16.79
Criteria
for
beginning
farmers
8
qualifying
to
participate
in
the
beginning
farmer
tax
credit
9
program.
10
A
beginning
farmer
qualifies
to
participate
in
the
beginning
11
farmer
tax
credit
program
as
provided
in
this
subchapter
by
12
meeting
all
of
the
following
criteria:
13
1.
Is
a
resident
of
the
state.
If
the
beginning
farmer
is
a
14
partnership,
all
partners
must
be
residents
of
the
state.
If
a
15
beginning
farmer
is
a
family
farm
corporation,
all
shareholders
16
must
be
residents
of
the
state.
If
the
beginning
farmer
is
17
a
family
farm
limited
liability
company,
all
members
must
be
18
residents
of
the
state.
19
2.
Has
sufficient
education,
training,
or
experience
in
20
farming.
If
the
beginning
farmer
is
a
partnership,
each
21
partner
who
is
not
a
minor
must
have
sufficient
education,
22
training,
or
experience
in
farming.
If
the
beginning
farmer
23
is
a
family
farm
corporation,
each
shareholder
who
is
not
a
24
minor
must
have
sufficient
education,
training,
or
experience
25
in
farming.
If
the
beginning
farmer
is
a
family
farm
limited
26
liability
company,
each
member
who
is
not
a
minor
must
have
27
sufficient
education,
training,
or
experience
in
farming.
28
3.
Has
access
to
adequate
working
capital
and
production
29
items.
30
4.
Will
materially
and
substantially
participate
in
31
farming.
If
the
beginning
farmer
is
a
partnership,
family
32
farm
corporation,
or
family
farm
limited
liability
company,
33
each
partner,
shareholder,
or
member
who
is
not
a
minor
must
34
materially
and
substantially
participate
in
farming.
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5.
Is
not
responsible
for
managing
or
maintaining
1
agricultural
land
and
other
agricultural
assets
that
are
2
greater
than
necessary
to
adequately
support
a
beginning
farmer
3
as
determined
by
the
authority
according
to
rules
which
shall
4
be
adopted
by
the
authority.
5
Sec.
68.
NEW
SECTION
.
16.80
Agricultural
assets
transfer
6
tax
credit
——
agreement.
7
1.
An
agricultural
assets
transfer
tax
credit
is
allowed
8
under
this
section
.
The
tax
credit
is
allowed
against
the
9
taxes
imposed
in
chapter
422,
division
II
,
as
provided
in
10
section
422.11M
,
and
in
chapter
422,
division
III
,
as
provided
11
in
section
422.33
,
to
facilitate
the
transfer
of
agricultural
12
assets
from
a
taxpayer
to
a
qualified
beginning
farmer.
13
2.
In
order
to
qualify
for
the
tax
credit,
the
taxpayer
14
must
meet
qualifications
established
by
rules
adopted
by
the
15
authority.
At
a
minimum,
the
taxpayer
must
comply
with
all
of
16
the
following:
17
a.
Be
a
person
who
may
acquire
or
otherwise
obtain
or
lease
18
agricultural
land
in
this
state
pursuant
to
chapter
9H
or
9I
.
19
However,
the
taxpayer
must
not
be
a
person
who
may
acquire
20
or
otherwise
obtain
or
lease
agricultural
land
exclusively
21
because
of
an
exception
provided
in
one
of
those
chapters
or
in
22
a
provision
of
another
chapter
of
this
Code
including
but
not
23
limited
to
chapter
10
,
10D
,
or
501
,
or
section
15E.207
.
24
b.
Execute
an
agricultural
assets
transfer
agreement
with
a
25
qualified
beginning
farmer
as
provided
in
this
section
.
26
3.
An
individual
may
claim
a
tax
credit
under
this
section
27
of
a
partnership,
limited
liability
company,
S
corporation,
28
estate,
or
trust
electing
to
have
income
taxed
directly
to
29
the
individual.
The
amount
claimed
by
the
individual
shall
30
be
based
upon
the
pro
rata
share
of
the
individual’s
earnings
31
from
the
partnership,
limited
liability
company,
S
corporation,
32
estate,
or
trust.
33
4.
The
tax
credit
is
allowed
only
for
agricultural
assets
34
that
are
subject
to
an
agricultural
assets
transfer
agreement.
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The
agreement
shall
provide
for
the
lease
of
agricultural
land
1
located
in
this
state,
including
any
improvements
and
may
2
provide
for
the
rental
of
agricultural
equipment
as
defined
in
3
section
322F.1
.
4
a.
The
agreement
shall
include
a
lease
made
on
a
cash
basis
5
or
on
a
commodity
share
basis
which
includes
a
share
of
the
6
crops
or
livestock
produced
on
the
agricultural
land.
The
7
agreement
must
be
in
writing.
8
b.
The
agreement
shall
be
for
at
least
two
years,
but
9
not
more
than
five
years.
The
agreement
or
that
part
of
10
the
agreement
providing
for
the
lease
may
be
renewed
by
the
11
qualified
beginning
farmer
for
a
term
of
at
least
two
years,
12
but
not
more
than
five
years.
An
agreement
does
not
include
a
13
lease
or
the
rental
of
equipment
intended
as
a
security.
14
c.
The
agricultural
transfer
agreement
cannot
be
assigned
15
and
the
land
subject
to
the
agreement
cannot
be
subleased.
16
5.
The
tax
credit
shall
be
based
on
the
agricultural
assets
17
transfer
agreement.
The
agreement
shall
be
based
on
a
cash
18
basis
or
a
commodity
share
basis
or
both.
19
a.
For
an
agreement
that
includes
a
lease
on
a
cash
basis,
20
the
tax
credit
shall
be
computed
as
follows:
21
(1)
If
the
qualified
beginning
farmer
is
not
a
veteran,
the
22
taxpayer
may
claim
a
tax
credit
equal
to
seven
percent
of
the
23
gross
amount
paid
to
the
taxpayer
under
the
agreement
for
each
24
tax
year
that
the
tax
credit
is
allowed.
25
(2)
If
the
qualified
beginning
farmer
is
a
veteran,
the
26
taxpayer
may
claim
eight
percent
of
the
gross
amount
paid
to
27
the
taxpayer
under
the
agreement
for
the
first
year
that
the
28
tax
credit
is
allowed
and
seven
percent
of
the
gross
amount
29
paid
to
the
taxpayer
for
each
subsequent
tax
year
that
the
30
tax
credit
is
allowed.
However,
the
taxpayer
may
only
claim
31
seven
percent
of
the
gross
amount
paid
to
the
taxpayer
under
32
a
renewed
agreement
or
a
new
agreement
executed
by
the
same
33
parties.
34
b.
For
an
agreement
that
includes
a
lease
on
a
commodity
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share
basis,
the
tax
credit
shall
be
computed
as
follows:
1
(1)
(a)
If
the
qualified
beginning
farmer
is
not
a
veteran,
2
the
taxpayer
may
claim
a
tax
credit
equal
to
seventeen
percent
3
of
the
amount
paid
to
the
taxpayer
from
crops
or
animals
sold
4
under
the
agreement
in
which
the
payment
is
exclusively
made
5
from
the
sale
of
crops
or
animals.
6
(b)
If
the
qualified
beginning
farmer
is
a
veteran,
the
7
taxpayer
may
claim
a
tax
credit
equal
to
eighteen
percent
of
8
the
amount
paid
to
the
taxpayer
from
crops
or
animals
sold
9
under
the
agreement
for
the
first
tax
year
that
the
taxpayer
10
is
allowed
the
tax
credit
and
seventeen
percent
of
the
amount
11
paid
to
the
taxpayer
for
each
subsequent
tax
year
that
the
12
taxpayer
is
allowed
the
tax
credit.
However,
the
taxpayer
may
13
only
claim
seventeen
percent
of
the
amount
paid
to
the
taxpayer
14
from
crops
or
animals
sold
for
any
tax
year
under
a
renewed
15
agreement
or
a
new
agreement
executed
by
the
same
parties.
16
(2)
Notwithstanding
subparagraph
(1),
the
authority
may
17
elect
an
alternative
method
to
compute
a
tax
credit
for
a
lease
18
based
on
a
crop
share
basis.
The
alternative
method
shall
19
utilize
a
formula
which
uses
data
compiled
by
the
United
States
20
department
of
agriculture.
The
formula
shall
calculate
the
21
amount
of
the
tax
credit
by
multiplying
the
average
per
bushel
22
yield
for
the
same
type
of
grain
as
produced
under
the
lease
23
in
the
same
county
where
the
leased
land
is
located
by
a
per
24
bushel
state
price
established
for
such
type
of
grain
harvested
25
the
previous
fall.
26
6.
A
tax
credit
in
excess
of
the
taxpayer’s
liability
for
27
the
tax
year
may
be
credited
to
the
tax
liability
for
the
28
following
five
years
or
until
depleted,
whichever
is
earlier.
29
A
tax
credit
shall
not
be
carried
back
to
a
tax
year
prior
to
30
the
tax
year
in
which
the
taxpayer
redeems
the
tax
credit.
A
31
tax
credit
shall
not
be
transferable
to
any
other
person
other
32
than
the
taxpayer’s
estate
or
trust
upon
the
taxpayer’s
death.
33
7.
A
taxpayer
shall
not
claim
a
tax
credit
under
this
34
section
unless
a
tax
credit
certificate
issued
by
the
authority
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is
attached
to
the
taxpayer’s
tax
return
for
the
tax
year
for
1
which
the
tax
credit
is
claimed.
The
authority
must
review
2
and
approve
an
application
for
a
tax
credit
as
provided
by
3
rules
adopted
by
the
authority.
The
application
must
include
4
a
copy
of
the
agricultural
assets
transfer
agreement.
The
5
authority
may
approve
an
application
and
issue
a
tax
credit
6
certificate
to
a
taxpayer
who
has
previously
been
allowed
a
7
tax
credit
under
this
section
.
The
authority
may
require
8
that
the
parties
to
an
agricultural
assets
transfer
agreement
9
provide
additional
information
as
determined
relevant
by
the
10
authority.
The
authority
shall
review
an
application
for
11
a
tax
credit
which
includes
the
renewal
of
an
agricultural
12
assets
transfer
agreement
to
determine
that
the
parties
to
the
13
renewed
agreement
meet
the
same
qualifications
as
required
for
14
an
original
application.
The
authority
shall
not
approve
an
15
application
or
issue
a
tax
credit
certificate
to
a
taxpayer
for
16
an
amount
in
excess
of
fifty
thousand
dollars.
In
addition,
17
the
authority
shall
not
approve
an
application
or
issue
a
18
certificate
to
a
taxpayer
if
any
of
the
following
applies:
19
a.
The
taxpayer
is
at
fault
for
terminating
a
prior
20
agricultural
assets
transfer
agreement
as
determined
by
the
21
authority.
22
b.
The
taxpayer
is
any
of
the
following:
23
(1)
A
party
to
a
pending
administrative
or
judicial
action,
24
including
a
contested
case
proceeding
under
chapter
17A
,
25
relating
to
an
alleged
violation
involving
an
animal
feeding
26
operation
as
regulated
by
the
department
of
natural
resources,
27
regardless
of
whether
the
pending
action
is
brought
by
the
28
department
or
the
attorney
general.
29
(2)
Classified
as
a
habitual
violator
for
a
violation
of
30
state
law
involving
an
animal
feeding
operation
as
regulated
by
31
the
department
of
natural
resources.
32
c.
The
agricultural
assets
are
being
leased
or
rented
at
33
a
rate
which
is
substantially
higher
or
lower
than
the
market
34
rate
for
similar
agricultural
assets
leased
or
rented
within
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the
same
community,
as
determined
by
the
authority.
1
8.
A
taxpayer
or
the
qualified
beginning
farmer
may
2
terminate
an
agricultural
assets
transfer
agreement
as
provided
3
in
the
agreement
or
by
law.
The
taxpayer
must
immediately
4
notify
the
authority
of
the
termination.
5
a.
If
the
authority
determines
that
the
taxpayer
is
not
6
at
fault
for
the
termination,
the
authority
shall
not
issue
a
7
tax
credit
certificate
to
the
taxpayer
for
a
subsequent
tax
8
year
based
on
the
approved
application.
Any
prior
tax
credit
9
is
allowed
as
provided
in
this
section
.
The
taxpayer
may
10
apply
for
and
be
issued
another
tax
credit
certificate
for
the
11
same
agricultural
assets
as
provided
in
this
section
for
any
12
remaining
tax
years
for
which
a
certificate
was
not
issued.
13
b.
If
the
authority
determines
that
the
taxpayer
is
at
fault
14
for
the
termination,
any
prior
tax
credit
allowed
under
this
15
section
is
disallowed.
The
amount
of
the
tax
credit
shall
be
16
immediately
due
and
payable
to
the
department
of
revenue.
If
17
a
taxpayer
does
not
immediately
notify
the
authority
of
the
18
termination,
the
taxpayer
shall
be
conclusively
deemed
at
fault
19
for
the
termination.
20
Sec.
69.
NEW
SECTION
.
16.81
Custom
farming
contract
tax
21
credit.
22
1.
A
custom
farming
contract
tax
credit
is
allowed
under
23
this
section
.
The
tax
credit
is
allowed
against
the
taxes
24
imposed
in
chapter
422,
division
II
,
as
provided
in
section
25
422.11M
,
and
in
chapter
422,
division
III
,
as
provided
in
26
section
422.33
,
to
encourage
taxpayers
who
are
considering
27
custom
farming
agricultural
land
located
in
this
state
to
28
negotiate
with
qualified
beginning
farmers.
29
2.
In
order
to
be
eligible
to
claim
a
custom
farming
30
contract
tax
credit,
the
taxpayer
must
meet
qualifications
31
established
by
rules
adopted
by
the
authority.
At
a
minimum,
32
the
taxpayer
must
be
a
person
who
may
acquire
or
otherwise
33
obtain
or
lease
agricultural
land
in
the
same
manner
as
34
provided
for
a
taxpayer
claiming
an
agricultural
assets
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transfer
tax
credit
under
section
16.80
.
1
3.
An
individual
may
claim
a
custom
farming
contract
2
tax
credit
of
a
partnership,
limited
liability
company,
3
S
corporation,
estate,
or
trust
electing
to
have
income
4
taxed
directly
to
the
individual.
The
amount
claimed
by
the
5
individual
shall
be
based
upon
the
pro
rata
share
of
the
6
individual’s
earnings
from
the
partnership,
limited
liability
7
company,
S
corporation,
estate,
or
trust.
8
4.
A
custom
farming
contract
tax
credit
is
allowed
only
for
9
the
amount
paid
by
the
taxpayer
to
a
qualified
beginning
farmer
10
under
a
custom
farming
contract
as
provided
in
rules
adopted
by
11
the
department.
The
contract
must
provide
for
the
production
12
of
crops
located
on
agricultural
land
or
the
production
of
13
livestock
principally
located
on
agricultural
land.
The
14
agricultural
land
must
be
real
estate
and
any
improvements
used
15
for
farming
in
which
the
taxpayer
holds
a
legal
or
equitable
16
interest.
17
5.
The
custom
farming
contract
must
provide
that
the
18
taxpayer
pay
the
qualified
beginning
farmer
on
a
cash
basis.
19
The
contract
must
be
in
writing
for
a
term
of
not
more
than
20
twelve
months.
The
total
cash
payment
must
equal
at
least
one
21
thousand
dollars.
22
6.
The
taxpayer
must
make
all
management
decisions
23
substantially
contributing
to
or
affecting
the
production
24
of
crops
located
on
the
agricultural
land
or
the
production
25
of
livestock
principally
located
on
the
agricultural
land.
26
However,
nothing
in
this
subsection
prohibits
a
qualified
27
beginning
farmer
from
regularly
or
frequently
taking
part
in
28
making
day-to-day
operational
decisions
affecting
production.
29
The
qualified
beginning
farmer
must
provide
for
all
of
the
30
following:
31
a.
Production
items
principally
used
to
produce
crops
32
located
on
the
agricultural
land
or
to
produce
livestock
33
principally
located
on
the
agricultural
land.
34
b.
Labor
principally
used
to
produce
crops
located
on
the
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agricultural
land
or
to
produce
livestock
principally
located
1
on
the
agricultural
land.
The
qualified
beginning
farmer
must
2
personally
provide
such
labor
on
a
regular,
continuous,
and
3
substantial
basis.
4
7.
A
custom
farming
contract
tax
credit
is
not
allowed
if
5
the
taxpayer
and
qualified
beginning
farmer
are
related
as
any
6
of
the
following:
7
a.
Persons
who
hold
a
legal
or
equitable
interest
in
the
8
same
agricultural
land,
including
as
individuals
or
as
general
9
partners,
limited
partners,
shareholders,
or
members
in
the
10
same
business
entity
as
defined
in
section
501A.102
.
11
b.
Family
members
related
as
spouse,
child,
stepchild,
12
brother,
or
sister.
13
c.
Partners
in
the
same
partnership
which
holds
agricultural
14
land,
or
shareholders
in
the
same
family
farm
corporation
or
15
members
in
the
same
family
farm
limited
liability
company
and
16
defined
in
section
9H.1
.
17
8.
A
custom
farming
contract
tax
credit
shall
be
calculated
18
based
on
the
gross
amount
paid
to
the
qualified
beginning
19
farmer
under
the
custom
farming
contract.
20
a.
If
the
qualified
beginning
farmer
is
not
a
veteran,
the
21
taxpayer
may
claim
a
tax
credit
equal
to
seven
percent
of
the
22
gross
amount
paid
to
the
qualified
beginning
farmer
under
the
23
contract
for
each
tax
year
that
the
tax
credit
is
allowed.
24
b.
If
the
qualified
beginning
farmer
is
a
veteran,
the
25
taxpayer
may
claim
a
tax
credit
equal
to
eight
percent
of
the
26
gross
amount
paid
to
the
qualified
beginning
farmer
under
the
27
contract
for
the
first
year
that
the
tax
credit
is
allowed
28
and
seven
percent
of
the
gross
amount
paid
to
the
qualified
29
beginning
farmer
under
the
contract
for
each
subsequent
tax
30
year
that
the
tax
credit
is
allowed.
However,
the
taxpayer
31
may
only
claim
seven
percent
of
the
gross
amount
paid
to
the
32
qualified
beginning
farmer
under
a
renewed
contract
or
a
new
33
contract
executed
by
the
same
parties.
34
9.
A
custom
farming
contract
tax
credit
in
excess
of
the
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taxpayer’s
liability
for
the
tax
year
may
be
credited
to
the
1
tax
liability
for
the
following
five
years
or
until
depleted,
2
whichever
is
earlier.
A
tax
credit
shall
not
be
carried
back
3
to
a
tax
year
prior
to
the
tax
year
in
which
the
taxpayer
4
redeems
the
tax
credit.
A
tax
credit
shall
not
be
transferable
5
to
any
other
person
other
than
the
taxpayer’s
estate
or
trust
6
upon
the
taxpayer’s
death.
7
10.
A
taxpayer
shall
not
claim
a
custom
farming
contract
8
tax
credit
unless
a
tax
credit
certificate
issued
by
the
9
authority
under
this
section
is
attached
to
the
taxpayer’s
tax
10
return
for
the
tax
year
for
which
the
tax
credit
is
claimed.
11
The
authority
must
review
and
approve
an
application
for
a
12
tax
credit
certificate
as
provided
by
rules
adopted
by
the
13
authority.
The
application
must
include
a
copy
of
the
custom
14
farming
contract.
The
authority
may
approve
an
application
15
and
issue
a
tax
credit
certificate
to
a
taxpayer
who
has
16
previously
been
allowed
a
tax
credit
under
this
section
.
17
The
authority
may
require
that
the
parties
to
the
contract
18
provide
additional
information
as
determined
relevant
by
the
19
authority.
The
authority
shall
review
an
application
for
a
tax
20
credit
certificate
which
includes
the
renewal
of
a
contract
to
21
determine
that
the
parties
to
the
renewed
contract
meet
the
22
same
qualifications
as
required
for
an
original
application.
23
The
authority
shall
not
approve
an
application
or
issue
a
tax
24
credit
certificate
to
a
taxpayer
for
an
amount
in
excess
of
25
fifty
thousand
dollars.
In
addition,
the
authority
shall
not
26
approve
an
application
or
issue
a
tax
credit
certificate
to
a
27
taxpayer
if
any
of
the
following
applies:
28
a.
The
taxpayer
is
at
fault
for
terminating
another
custom
29
farming
contract,
as
determined
by
the
authority.
30
b.
The
taxpayer
is
party
to
a
pending
administrative
or
31
judicial
action,
or
classified
as
a
habitual
violator
in
the
32
same
manner
as
provided
in
section
16.80
.
33
c.
The
contract
amount
is
substantially
higher
or
lower
34
than
the
market
rate
for
a
similar
custom
farming
contract,
as
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determined
by
the
authority.
1
11.
A
taxpayer
or
the
qualified
beginning
farmer
may
2
terminate
a
custom
farming
contract
as
provided
in
the
contract
3
or
by
law.
The
taxpayer
must
immediately
notify
the
authority
4
of
the
termination.
5
a.
If
the
authority
determines
that
the
taxpayer
is
not
6
at
fault
for
the
termination,
the
authority
shall
not
issue
a
7
tax
credit
certificate
to
the
taxpayer
for
a
subsequent
tax
8
year
based
on
the
approved
application.
Any
prior
tax
credit
9
is
allowed
as
provided
in
this
section
until
its
expiration.
10
The
taxpayer
may
apply
for
and
be
issued
another
tax
credit
11
certificate
for
the
same
agricultural
land
under
a
custom
12
farming
contract
with
another
qualified
beginning
farmer.
13
b.
If
the
authority
determines
that
the
taxpayer
is
at
fault
14
for
the
termination,
any
prior
tax
credit
allowed
under
this
15
section
is
disallowed,
and
the
amount
of
the
tax
credit
shall
16
be
immediately
due
and
payable
to
the
department
of
revenue.
17
If
a
taxpayer
does
not
immediately
notify
the
authority
of
the
18
termination,
the
taxpayer
shall
be
conclusively
deemed
at
fault
19
for
the
termination.
20
Sec.
70.
NEW
SECTION
.
16.82
Tax
credit
certificates
——
21
availability.
22
1.
The
amount
of
tax
credits
that
may
be
issued
to
support
23
the
beginning
farmer
tax
credit
program
shall
not
in
the
24
aggregate
exceed
twelve
million
dollars
in
any
year.
Of
the
25
aggregate
amount,
eight
million
dollars
is
allocated
to
support
26
the
agricultural
assets
transfer
tax
credit
as
provided
in
27
section
16.80
and
four
million
dollars
is
allocated
to
support
28
the
custom
farming
contract
tax
credit
as
provided
in
section
29
16.81.
However,
the
authority’s
board
of
directors
may
at
30
any
time
during
the
year
adjust
the
allocation
by
adopting
a
31
resolution.
32
2.
The
authority
shall
issue
tax
certificates
to
support
33
a
beginning
farmer
tax
credit
on
a
first-come,
first-served
34
basis.
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Sec.
71.
NEW
SECTION
.
16.83
Additional
loan
program.
1
1.
The
authority
may
enter
into
a
loan
agreement
with
a
2
beginning
farmer
to
finance
in
whole
or
in
part
the
acquisition
3
by
construction
or
purchase
of
agricultural
land,
agricultural
4
improvements,
or
depreciable
agricultural
property.
The
5
repayment
obligation
of
the
beginning
farmer
may
be
unsecured,
6
or
may
be
secured
by
a
mortgage
or
security
agreement
or
by
7
other
security
as
the
authority
deems
advisable,
and
may
8
be
evidenced
by
one
or
more
notes
of
the
beginning
farmer.
9
The
loan
agreement
may
contain
terms
and
conditions
as
the
10
authority
deems
advisable.
11
2.
The
authority
may
issue
its
bonds
and
notes
for
the
12
purposes
set
forth
in
subsection
1
and
may
enter
into
a
lending
13
agreement
or
purchase
agreement
with
one
or
more
bondholders
14
or
noteholders
containing
the
terms
and
conditions
of
the
15
repayment
of
and
the
security
for
the
bonds
or
notes.
Bonds
16
and
notes
must
be
authorized
by
a
resolution
of
the
authority.
17
The
authority
and
the
bondholders
or
noteholders
may
enter
into
18
an
agreement
to
provide
for
any
of
the
following:
19
a.
That
the
proceeds
of
the
bonds
and
notes
and
investments
20
thereon
may
be
received,
held,
and
disbursed
by
the
bondholders
21
or
noteholders,
or
by
a
trustee
or
agent
designated
by
the
22
authority.
23
b.
That
the
bondholders
or
noteholders
or
a
trustee
or
agent
24
designated
by
the
authority
may
collect,
invest,
and
apply
the
25
amounts
payable
under
the
loan
agreement
or
any
other
security
26
instrument
securing
the
debt
obligation
of
the
beginning
27
farmer.
28
c.
That
the
bondholders
or
noteholders
may
enforce
the
29
remedies
provided
in
the
loan
agreement
or
security
instrument
30
on
their
own
behalf
without
the
appointment
or
designation
of
31
a
trustee
and
if
there
is
a
default
in
the
principal
of
or
32
interest
on
the
bonds
or
notes
or
in
the
performance
of
any
33
agreement
contained
therein,
the
payment
or
performance
may
be
34
enforced
in
accordance
with
the
provisions
contained
therein.
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d.
That
if
there
is
a
default
in
the
payment
of
the
1
principal
or
interest
on
a
mortgage
or
security
instrument
2
or
a
violation
of
an
agreement
contained
in
the
mortgage
or
3
security
instrument,
the
mortgage
or
security
instrument
4
may
be
foreclosed
or
enforced
and
any
collateral
sold
under
5
proceedings
or
actions
permitted
by
law
and
a
trustee
under
the
6
mortgage
or
security
agreement
or
the
holder
of
any
bonds
or
7
notes
secured
thereby
may
become
a
purchaser
if
the
trustee
or
8
holder
is
the
highest
bidder.
9
e.
Other
terms
and
conditions.
10
3.
The
authority
may
provide
in
the
resolution
authorizing
11
the
issuance
of
the
bonds
or
notes
that
the
principal
and
12
interest
shall
be
limited
obligations
payable
solely
out
of
the
13
revenues
derived
from
the
debt
obligation,
collateral,
or
other
14
security
furnished
by
or
on
behalf
of
the
beginning
farmer,
15
and
that
the
principal
and
interest
does
not
constitute
an
16
indebtedness
of
the
authority
or
a
charge
against
its
general
17
credit
or
general
fund.
18
4.
The
powers
granted
the
authority
under
this
section
19
are
in
addition
to
other
powers
granted
to
the
authority
20
to
administer
this
subchapter
as
provided
in
this
chapter
.
21
All
other
provisions
of
this
chapter
,
except
section
16.28,
22
subsection
4
,
apply
to
bonds
or
notes
issued
pursuant
to
and
23
powers
granted
to
the
authority
under
this
section
except
to
24
the
extent
that
they
are
inconsistent
with
this
section
.
25
Sec.
72.
NEW
SECTION
.
16.84
Financial
assistance
for
26
agricultural
producers.
27
1.
In
addition
to
the
other
programs
authorized
pursuant
28
to
this
subchapter
,
the
authority
is
authorized
to
provide
29
any
type
of
economic
assistance
directly
or
indirectly
to
30
agricultural
producers,
and
may
develop
and
implement
programs
31
including
but
not
limited
to
the
making
of
loan
guaranties,
32
interest
buy-downs,
grants,
secured
or
unsecured
direct
33
loans,
secondary
market
purchases
of
loans
or
mortgages,
loans
34
to
lending
institutions
or
other
agricultural
lenders
as
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designated
by
rule
of
the
authority,
or
entities
that
provide
1
funds
or
credits
to
such
lenders
or
institutions,
to
assist
2
agricultural
producers
within
the
state.
The
authority
may
3
exercise
any
of
the
powers
granted
to
the
authority
in
this
4
chapter
in
order
to
fulfill
the
goal
of
providing
financial
5
assistance
to
agricultural
producers.
The
authority
may
6
participate
in
and
cooperate
with
programs
of
any
agency
or
7
instrumentality
of
the
federal
government
or
with
programs
of
8
any
other
state
agency
in
the
administration
of
the
programs
to
9
provide
economic
assistance
to
agricultural
producers.
10
2.
The
authority
shall
provide
in
any
program
developed
and
11
implemented
pursuant
to
this
section
that
assistance
shall
be
12
provided
only
if
the
following
criteria
are
satisfied:
13
a.
The
agricultural
producer
is
a
resident
of
the
state.
14
b.
The
agricultural
producer’s
land
and
farm
operations
are
15
located
within
the
state.
16
c.
Based
upon
the
agricultural
producer’s
net
worth,
cash
17
flow,
debt-to-asset
ratio,
and
other
criteria
as
prescribed
by
18
rule
of
the
authority,
the
authority
determines
that
without
19
such
assistance
the
agricultural
producer
could
not
reasonably
20
be
expected
to
be
able
to
obtain,
retain,
restructure,
or
21
service
loans
or
other
financing
for
operating
expenses,
cash
22
flow
requirements,
or
capital
acquisition
and
maintenance
upon
23
a
reasonable
and
affordable
basis.
24
d.
Other
criteria
as
the
authority
prescribes
by
rule.
25
3.
The
authority
is
granted
all
powers
which
are
necessary
26
or
useful
to
develop
and
implement
programs
and
authorizations
27
pursuant
to
subsection
1
.
These
powers
include
but
are
not
28
limited
to:
29
a.
All
general
and
specific
powers
stated
in
subchapter
IV
30
and
this
subchapter.
31
b.
The
power
to
make
or
enter
into
or
to
require
the
32
making
or
entry
into
of
agreements
of
any
type,
with
or
33
by
any
person,
that
are
necessary
to
effect
the
purposes
34
of
this
section
.
These
agreements
may
include
but
are
not
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limited
to
contracts,
notes,
bonds,
guaranties,
mortgages,
1
loan
agreements,
trust
indentures,
reimbursement
agreements,
2
letters
of
credit
or
other
liquidity
or
credit
enhancement
3
agreements,
reserve
agreements,
loan
or
mortgage
purchase
4
agreements,
buy-down
agreements,
grants,
collateral
or
security
5
agreements,
insurance
contracts,
or
other
similar
documents.
6
The
agreements
may
contain
any
terms
and
conditions
which
the
7
authority
determines
are
reasonably
necessary
or
useful
to
8
implement
the
purposes
of
this
section
or
which
are
usually
9
included
in
agreements
or
documents
between
private
or
public
10
persons
in
similar
transactions.
11
c.
The
power
to
require
submission
of
evidence
satisfactory
12
to
the
authority
of
the
receipt
by
an
agricultural
producer
13
of
the
assistance
intended
under
a
program
developed
and
14
implemented
pursuant
to
this
section
.
In
that
connection,
15
the
authority,
through
its
members,
employees,
or
agents,
16
may
inspect
the
books
and
records
of
any
person
receiving
or
17
involved
in
the
provision
of
assistance
in
accordance
with
this
18
section
.
19
d.
The
power
to
establish
by
rule
appropriate
enforcement
20
provisions
in
order
to
assure
compliance
with
this
section
and
21
rules
adopted
pursuant
to
this
section
,
to
seek
the
enforcement
22
of
such
rules
and
the
terms
of
any
agreement
or
document
by
23
decree
of
any
court
of
competent
jurisdiction,
and
to
require
24
as
a
condition
of
providing
assistance
pursuant
to
this
25
section
the
consent
of
any
person
receiving
or
involved
in
the
26
provision
of
the
assistance
to
the
jurisdiction
of
the
courts
27
of
this
state
over
any
enforcement
proceeding.
28
e.
The
power
to
require,
as
a
condition
of
the
provision
29
of
assistance
pursuant
to
this
section
,
any
representations
30
and
warranties
on
the
part
of
any
person
receiving
or
31
involved
in
providing
such
assistance
that
the
authority
32
determines
are
reasonably
necessary
or
useful
to
carry
out
the
33
purposes
of
this
section
.
A
person
receiving
or
involved
in
34
providing
assistance
pursuant
to
this
section
is
liable
to
the
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authority
for
damages
suffered
by
the
authority
by
reason
of
a
1
misrepresentation
or
the
breach
of
a
warranty.
2
4.
All
persons,
public
and
private,
are
authorized
to
3
cooperate
with
the
authority
and
to
participate
in
the
programs
4
developed
and
implemented
pursuant
to
this
section
and
in
5
accordance
with
the
rules
of
the
authority.
6
5.
The
powers
granted
the
authority
under
this
section
7
are
in
addition
to
other
powers
contained
in
this
chapter
.
8
All
other
provisions
of
this
chapter
,
except
section
16.28,
9
subsection
4
,
apply
to
bonds
or
notes
issued
pursuant
to
powers
10
granted
to
the
authority
under
this
section
,
to
reserve
funds,
11
to
appropriations,
and
to
the
remedies
of
bondholders
and
12
noteholders
except
to
the
extent
that
they
are
inconsistent
13
with
this
section
.
14
Sec.
73.
NEW
SECTION
.
16.90
Definition.
15
As
used
in
this
subchapter,
unless
the
context
otherwise
16
requires,
“title
guaranty”
means
a
guaranty
against
loss
or
17
damage
caused
by
a
defective
title
to
real
property.
18
Sec.
74.
Section
16.91,
subsection
1,
Code
2014,
is
amended
19
to
read
as
follows:
20
1.
The
authority
through
the
Iowa
title
guaranty
division
21
shall
initiate
and
operate
a
program
in
which
the
division
22
shall
offer
guaranties
of
real
property
titles
in
this
state.
23
The
terms,
conditions
and
form
of
the
guaranty
contract
shall
24
be
forms
approved
by
the
division
board.
The
division
shall
25
fix
a
charge
for
the
guaranty
in
an
amount
sufficient
to
permit
26
the
program
to
operate
on
a
self-sustaining
basis,
including
27
payment
of
administrative
costs
and
the
maintenance
of
an
28
adequate
reserve
against
claims
under
the
title
guaranty
29
program.
A
title
guaranty
fund
is
created
in
the
office
of
30
the
treasurer
of
state.
Funds
collected
under
this
program
31
shall
be
placed
in
the
title
guaranty
fund
and
are
available
32
to
pay
all
claims,
necessary
reserves
and
all
administrative
33
costs
of
the
title
guaranty
program.
Moneys
in
the
fund
shall
34
not
revert
to
the
general
fund
and
interest
on
the
moneys
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in
the
fund
shall
be
deposited
in
the
housing
trust
fund
1
established
in
section
16.181
16.45
and
shall
not
accrue
to
the
2
general
fund.
If
the
authority
board
in
consultation
with
the
3
division
board
determines
that
there
are
surplus
funds
in
the
4
title
guaranty
fund
after
providing
for
adequate
reserves
and
5
operating
expenses
of
the
division,
the
surplus
funds
shall
be
6
transferred
to
the
housing
assistance
fund
created
pursuant
to
7
section
16.40
.
8
Sec.
75.
Section
16.92,
subsection
1,
paragraph
c,
Code
9
2014,
is
amended
to
read
as
follows:
10
c.
“Division”
means
the
Iowa
title
guaranty
division
in
11
the
Iowa
finance
authority,
the
director
of
the
division,
or
a
12
designee
of
the
director.
13
Sec.
76.
Section
16.93,
subsection
1,
unnumbered
paragraph
14
1,
Code
2014,
is
amended
to
read
as
follows:
15
The
authority
through
the
Iowa
title
guaranty
division
16
may
issue
a
closing
protection
letter
to
a
person
to
whom
a
17
proposed
title
guaranty
is
to
be
issued,
upon
the
request
of
18
the
person,
if
the
division
issues
a
commitment
for
title
19
guaranty
or
title
guaranty
certificate.
The
closing
protection
20
letter
shall
conform
to
the
terms
of
coverage
and
form
of
the
21
instrument
as
approved
by
the
division
board
and
may
indemnify
22
a
person
to
whom
a
proposed
title
guaranty
is
to
be
issued
23
against
loss
of
settlement
funds
due
to
only
the
following
acts
24
of
the
division’s
named
participating
attorney,
participating
25
abstractor,
or
closer:
26
Sec.
77.
Section
16.102,
Code
2014,
is
amended
to
read
as
27
follows:
28
16.102
Establishment
of
bond
bank
economic
development
29
program
——
bonds
and
notes
——
projects.
30
The
authority
may
assist
the
development
and
expansion
31
of
family
farming,
soil
conservation,
housing,
and
business
32
in
the
state
through
the
establishment
of
the
Iowa
economic
33
development
bond
bank
program.
The
authority
may
issue
its
34
bonds
or
notes,
or
series
of
bonds
or
notes
for
the
purpose
of
35
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defraying
the
cost
of
one
or
more
projects
and
make
secured
1
and
unsecured
loans
for
the
acquisition
and
construction
of
2
projects
on
terms
the
authority
determines.
3
Sec.
78.
Section
16.103,
unnumbered
paragraph
1,
Code
2014,
4
is
amended
to
read
as
follows:
5
In
carrying
out
the
Iowa
economic
development
bond
bank
6
program,
the
authority
may
do
any
of
the
following:
7
Sec.
79.
Section
16.105,
subsection
1,
unnumbered
paragraph
8
1,
Code
2014,
is
amended
to
read
as
follows:
9
The
authority
may
provide
in
the
resolution
authorizing
10
the
issuance
of
its
bonds
or
notes
for
the
Iowa
economic
11
development
bond
bank
program
that
the
principal
of,
premium,
12
if
any,
and
interest
on
the
bonds
or
notes
are
payable
13
exclusively
from
any
of
the
following:
14
Sec.
80.
Section
16.105,
subsections
10
and
13,
Code
2014,
15
are
amended
by
striking
the
subsections.
16
Sec.
81.
Section
16.131,
subsection
1,
Code
2014,
is
amended
17
to
read
as
follows:
18
1.
The
authority
shall
cooperate
with
the
department
19
of
natural
resources
in
the
creation,
administration,
and
20
financing
of
the
Iowa
water
pollution
control
works
and
21
drinking
water
facilities
financing
program
established
in
22
sections
455B.291
through
455B.299
.
23
Sec.
82.
Section
16.131A,
subsection
8,
Code
2014,
is
24
amended
to
read
as
follows:
25
8.
“Program”
means
the
Iowa
water
pollution
control
works
26
and
drinking
water
facilities
financing
program
created
27
pursuant
to
section
455B.294
.
28
Sec.
83.
Section
16.132,
subsection
6,
Code
2014,
is
amended
29
by
striking
the
subsection.
30
Sec.
84.
Section
16.134,
subsection
4,
paragraph
c,
Code
31
2014,
is
amended
to
read
as
follows:
32
c.
Priority
shall
be
given
to
projects
in
which
the
33
financial
assistance
is
used
to
obtain
financing
under
the
Iowa
34
water
pollution
control
works
and
drinking
water
facilities
35
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financing
program
pursuant
to
section
16.131
or
other
federal
1
or
state
financing.
2
EFFECTIVE
DATE
3
Sec.
85.
EFFECTIVE
DATE.
This
division
of
this
Act
takes
4
effect
January
1,
2015.
5
DIVISION
II
6
COORDINATING
AMENDMENTS
7
GENERAL
PROVISIONS
8
Sec.
86.
Section
2.48,
subsection
3,
paragraph
c,
9
subparagraph
(4),
Code
2014,
is
amended
by
striking
the
10
subparagraph.
11
Sec.
87.
Section
2.48,
subsection
3,
paragraph
e,
12
subparagraph
(1),
Code
2014,
is
amended
to
read
as
follows:
13
(1)
(a)
The
agricultural
assets
transfer
tax
credit
under
14
as
provided
in
section
175.37
and
the
16.80.
15
(b)
The
custom
farming
contract
tax
credit
as
provided
in
16
section
175.38
16.81
.
17
Sec.
88.
Section
7C.4A,
subsection
4,
Code
2014,
is
amended
18
to
read
as
follows:
19
4.
Twenty-one
percent
of
the
state
ceiling
shall
be
20
allocated
to
qualified
small
issue
bonds
issued
for
first-time
21
farmers
under
chapter
175
16,
subchapter
VIII
.
However,
at
any
22
time
during
the
calendar
year
the
governor’s
designee,
with
the
23
approval
of
the
Iowa
finance
authority,
may
determine
that
a
24
lesser
amount
need
be
allocated
to
qualified
small
issue
bonds
25
for
first-time
farmers
and
on
that
date
this
lesser
amount
26
shall
be
the
amount
allocated
for
those
bonds
and
the
excess
27
shall
be
allocated
under
subsection
7
.
28
Sec.
89.
Section
15F.204,
subsection
8,
paragraph
e,
Code
29
2014,
is
amended
by
striking
the
paragraph.
30
Sec.
90.
Section
159.18,
subsection
1,
Code
2014,
is
amended
31
to
read
as
follows:
32
1.
As
used
in
this
section
,
“farm
programs”
includes
,
but
33
is
not
limited
to
,
financial
incentive
programs
established
34
within
the
division
of
soil
conservation
of
the
department
of
35
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agriculture
and
land
stewardship
as
provided
in
section
161A.70
1
and
the
beginning
farmer
loan
program
administered
by
the
Iowa
2
finance
authority
as
provided
in
section
175.12
16.75
.
3
Sec.
91.
Section
237.14,
Code
2014,
is
amended
to
read
as
4
follows:
5
237.14
Enhanced
foster
care
services.
6
The
department
shall
provide
for
enhanced
foster
7
care
services
by
establishing
supplemental
per
diem
or
8
performance-based
contracts
which
include
payment
of
costs
9
relating
to
payments
of
principal
and
interest
for
bonds
and
10
notes
issued
pursuant
to
section
16.155
16.57
with
facilities
11
licensed
under
this
chapter
which
provide
special
services
to
12
children
who
would
otherwise
be
placed
in
a
state
juvenile
13
institution
or
an
out-of-state
program.
Before
completion
of
14
the
department’s
budget
estimate
as
required
by
section
8.23
,
15
the
department
shall
determine
and
include
in
the
estimate
the
16
amount
which
should
be
appropriated
for
enhanced
foster
care
17
services
for
the
forthcoming
fiscal
year
in
order
to
provide
18
sufficient
services.
19
Sec.
92.
Section
422.7,
subsection
2,
paragraphs
e
and
k,
20
Code
2014,
are
amended
to
read
as
follows:
21
e.
Iowa
water
Water
pollution
control
works
and
drinking
22
facilities
financing
program
bonds
pursuant
to
section
16.131,
23
subsection
5
.
24
k.
Iowa
finance
authority
beginning
farmer
loan
program
25
bonds
pursuant
to
section
175.17
16.64
,
subsection
10
2
.
26
Sec.
93.
Section
422.11M,
Code
2014,
is
amended
to
read
as
27
follows:
28
422.11M
Beginning
farmers
——
agricultural
assets
transfer
29
tax
credit
and
custom
farming
contract
tax
credit.
30
The
taxes
imposed
under
this
division
,
less
the
credits
31
allowed
under
section
422.12
,
shall
be
reduced
by
the
32
following:
33
1.
An
agricultural
assets
transfer
tax
credit
as
allowed
34
under
section
175.37
16.80
.
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2.
A
custom
farming
contract
tax
credit
as
allowed
under
1
section
175.38
16.81
.
2
Sec.
94.
Section
422.33,
subsection
21,
Code
2014,
is
3
amended
to
read
as
follows:
4
21.
The
taxes
imposed
under
this
division
shall
be
reduced
5
by
the
following:
6
a.
An
agricultural
assets
transfer
tax
credit
as
allowed
7
under
section
175.37
16.80
.
8
b.
A
custom
farming
contract
tax
credit
as
allowed
under
9
section
175.38
16.81
.
10
Sec.
95.
Section
422.33,
subsection
27,
Code
2014,
is
11
amended
by
striking
the
subsection.
12
Sec.
96.
Section
428A.8,
subsection
2,
unnumbered
paragraph
13
1,
Code
2014,
is
amended
to
read
as
follows:
14
The
treasurer
of
state
shall
deposit
or
transfer
the
15
receipts
paid
the
treasurer
of
state
pursuant
to
subsection
1
16
to
either
the
general
fund
of
the
state,
the
shelter
assistance
17
fund
created
in
section
16.41,
or
the
housing
trust
fund
18
created
in
section
16.181
,
or
the
shelter
assistance
fund
19
created
in
section
16.41
16.45
as
follows:
20
Sec.
97.
Section
455B.291,
subsection
8,
Code
2014,
is
21
amended
to
read
as
follows:
22
8.
“Program”
means
the
Iowa
water
pollution
control
works
23
and
drinking
water
facilities
financing
program
created
24
pursuant
to
section
455B.294
.
25
Sec.
98.
Section
455B.294,
Code
2014,
is
amended
to
read
as
26
follows:
27
455B.294
Establishment
of
the
Iowa
water
pollution
control
28
works
and
drinking
water
facilities
financing
program.
29
The
Iowa
water
pollution
control
works
and
drinking
water
30
facilities
financing
program
is
established
for
the
purpose
of
31
making
loans
available
to
eligible
entities
to
finance
all
or
32
part
of
the
costs
of
projects.
The
program
shall
be
a
joint
and
33
cooperative
undertaking
of
the
department
and
the
authority.
34
The
department
and
the
authority
may
enter
into
and
provide
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any
agreements,
documents,
instruments,
certificates,
data,
1
or
information
necessary
in
connection
with
the
operation,
2
administration,
and
financing
of
the
program
consistent
with
3
this
part,
the
Safe
Drinking
Water
Act,
the
Clean
Water
Act,
4
the
rules
of
the
department
and
the
commission,
the
rules
of
5
the
authority,
and
other
applicable
federal
and
state
law.
The
6
authority
and
the
department
may
act
to
conform
the
program
to
7
the
applicable
guidance
and
regulations
adopted
by
the
United
8
States
environmental
protection
agency.
9
Sec.
99.
Section
456A.38,
subsection
1,
paragraph
a,
Code
10
2014,
is
amended
to
read
as
follows:
11
a.
“Agricultural
land”
,
“authority”
,
“beginning
farmer”
,
and
12
“farming”
mean
the
same
as
defined
in
section
175.2
16.58
.
13
Sec.
100.
Section
456A.38,
subsection
4,
Code
2014,
is
14
amended
to
read
as
follows:
15
4.
The
department
shall
execute
a
lease
with
a
beginning
16
farmer
selected
to
participate
in
the
program
after
such
person
17
has
been
certified
by
the
authority
as
a
beginning
farmer
who
18
meets
the
requirements
of
the
authority,
which
shall
be
based
19
on
section
175.12
16.75
,
subsection
3
,
paragraphs
“a”
,
“c”
,
“f”
,
20
and
“g”
.
21
Sec.
101.
Section
502.201,
subsection
9B,
Code
2014,
is
22
amended
to
read
as
follows:
23
9B.
Iowa
finance
authority.
Any
security
issued
by
the
24
Iowa
finance
authority
under
chapter
175
16,
subchapter
VIII
.
25
Sec.
102.
Section
535B.10,
subsection
6,
paragraph
h,
Code
26
2014,
is
amended
to
read
as
follows:
27
h.
The
administrator
may
furnish
information
to
the
Iowa
28
title
guaranty
division
of
the
Iowa
finance
authority
relating
29
to
supervision
of
closing
agent
licensees
whose
activities
30
relate
to
the
issuance
of
title
guaranty
certificates
issued
31
by
the
title
guaranty
division.
The
Iowa
title
guaranty
32
division
may
use
this
information
to
satisfy
its
reinsurance
33
requirements
and
may
provide
the
information
to
its
reinsurer
34
to
the
extent
necessary
to
satisfy
reinsurer
requirements
35
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provided
the
reinsurer
agrees
to
maintain
the
confidentiality
1
of
the
information.
The
Iowa
title
guaranty
division
shall
2
maintain
the
confidentiality
of
the
information
provided
3
pursuant
to
this
paragraph
in
all
other
respects.
4
Sec.
103.
Section
543B.46,
subsection
1,
Code
2014,
is
5
amended
to
read
as
follows:
6
1.
Each
real
estate
broker
shall
maintain
a
common
trust
7
account
in
a
bank,
savings
association,
or
credit
union
for
8
the
deposit
of
all
down
payments,
earnest
money
deposits,
9
or
other
trust
funds
received
by
the
broker
or
the
broker’s
10
salespersons
on
behalf
of
the
broker’s
principal,
except
that
a
11
broker
acting
as
a
salesperson
shall
deposit
these
funds
in
the
12
common
trust
account
of
the
broker
for
whom
the
broker
acts
as
13
salesperson.
The
account
shall
be
an
interest-bearing
account.
14
The
interest
on
the
account
shall
be
transferred
quarterly
to
15
the
treasurer
of
state
and
transferred
to
the
Iowa
finance
16
authority
for
deposit
in
the
housing
trust
fund
established
17
in
section
16.181
16.45
unless
there
is
a
written
agreement
18
between
the
buyer
and
seller
to
the
contrary.
The
broker
shall
19
not
benefit
from
interest
received
on
funds
of
others
in
the
20
broker’s
possession.
21
Sec.
104.
Section
543D.21,
subsection
3,
Code
2014,
is
22
amended
to
read
as
follows:
23
3.
In
addition
to
or
as
an
alternative
to
making
application
24
to
the
district
court
for
an
injunction,
the
board
may
issue
25
an
order
to
a
person
who
is
not
certified
or
registered
under
26
this
chapter
to
require
compliance
with
this
chapter
and
may
27
impose
a
civil
penalty
against
such
person
for
any
violation
28
of
subsection
4
in
an
amount
up
to
one
thousand
dollars
for
29
each
violation.
All
civil
penalties
collected
pursuant
to
this
30
subsection
shall
be
deposited
in
the
housing
trust
fund
created
31
in
section
16.181
16.45
.
An
order
issued
pursuant
to
this
32
section
may
prohibit
a
person
from
applying
for
certification
33
or
registration
under
this
chapter
.
34
Sec.
105.
Section
654.16,
unnumbered
paragraph
1,
Code
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2014,
is
amended
to
read
as
follows:
1
If
a
sheriff’s
sale
is
ordered
on
agricultural
land
used
for
2
farming,
as
defined
in
section
175.2
16.58
,
the
mortgagor
may,
3
by
a
date
set
by
the
court
but
not
later
than
ten
days
before
4
the
sale,
designate
to
the
court
the
portion
of
the
land
which
5
the
mortgagor
claims
as
a
homestead.
The
homestead
may
be
any
6
contiguous
portion
of
forty
acres
or
less
of
the
real
estate
7
subject
to
the
sheriff’s
sale.
The
homestead
shall
contain
8
the
residence
of
the
mortgagor
and
shall
be
as
compact
as
9
practicable.
10
Sec.
106.
Section
654.16A,
subsection
1,
Code
2014,
is
11
amended
to
read
as
follows:
12
1.
Not
later
than
the
time
a
sheriff’s
deed
to
agricultural
13
land
used
for
farming,
as
defined
in
section
175.2
16.58
,
is
14
recorded,
the
grantee
recording
the
sheriff’s
deed
shall
notify
15
the
mortgagor
of
the
mortgagor’s
right
of
first
refusal.
The
16
grantee
shall
record
the
sheriff’s
deed
within
one
year
and
17
sixty
days
from
the
date
of
the
sheriff’s
sale.
A
copy
of
18
this
section
,
titled
“Notice
of
Right
of
First
Refusal”
is
19
sufficient
notice.
20
EFFECTIVE
DATE
21
Sec.
107.
EFFECTIVE
DATE.
This
division
of
this
Act
takes
22
effect
January
1,
2015.
23
DIVISION
III
24
CODIFICATION
25
GENERAL
PROVISIONS
26
Sec.
108.
REORGANIZATION.
The
Code
editor
shall
create
new
27
subchapters,
parts,
and
subparts
in
chapter
16,
as
amended
in
28
this
Act,
for
publication
in
the
2015
Code
as
follows:
29
1.
Subchapter
I
may
include
section
16.1
as
amended
in
this
30
Act.
The
subchapter
may
be
entitled
“General
Definitions”.
31
2.
Subchapter
II
may
include
sections
16.1A,
16.2,
and
32
16.2A,
as
amended
in
this
Act,
and
sections
16.2B
through
33
16.2D
as
enacted
in
this
Act.
The
subchapter
may
be
entitled
34
“Governance”.
The
subchapter
may
be
divided
into
parts
as
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follows:
1
a.
Part
1
may
include
sections
16.1A
and
16.2
as
amended
in
2
this
Act.
The
part
may
be
entitled
“General”.
3
b.
Part
2
may
include
section
16.2A
as
amended
in
this
Act
4
and
sections
16.2B
through
16.2D
as
enacted
in
this
Act.
The
5
part
may
be
entitled
“Special
Governing
Units”.
6
3.
Subchapter
III
may
include
section
16.2E
as
enacted
in
7
this
Act,
section
16.3
as
amended
by
this
Act,
reserved
section
8
16.3A
as
repealed
in
this
Act,
section
16.4
as
amended
in
9
this
Act,
and
sections
16.4A
through
16.4D
as
enacted
in
this
10
Act.
The
subchapter
may
be
entitled
“Legislative
Findings
and
11
Guiding
Principles”.
The
subchapter
may
be
divided
into
parts
12
as
follows:
13
a.
Part
1
may
include
section
16.2E
as
enacted
in
this
Act.
14
The
part
may
be
entitled
“General”.
15
b.
Part
2
may
include
sections
16.3
as
amended
by
this
16
Act,
reserved
section
16.3A
as
repealed
in
this
Act,
and
17
section
16.4
as
amended
in
this
Act.
The
part
may
be
entitled
18
“Housing”.
19
c.
Part
3
may
include
sections
16.4A
and
16.4B
as
enacted
in
20
this
Act.
The
part
may
be
entitled
“Agricultural
Development”.
21
d.
Part
4
may
include
section
16.4C
as
enacted
in
this
Act.
22
The
part
may
be
entitled
“Title
Guaranty”.
23
e.
Part
5
may
include
section
16.4D
as
enacted
in
this
Act.
24
The
part
may
be
entitled
“Economic
Development”.
25
4.
Subchapter
IV
may
include
sections
16.5
as
amended
in
26
this
Act,
reserved
sections
16.5A
and
16.5B,
section
16.5C
27
as
amended
in
this
Act,
and
section
16.5D
as
enacted
in
this
28
Act.
The
subchapter
may
be
entitled
“Powers
and
Duties”.
The
29
subchapter
may
be
divided
into
parts
as
follows:
30
a.
Part
1
may
include
section
16.5
as
amended
in
this
31
Act,
and
reserved
sections
16.5A
and
16.5B.
The
part
may
be
32
entitled
“General
Powers
and
Duties”.
33
b.
Part
2
may
include
section
16.5C
as
amended
in
this
Act
34
and
section
16.5D
as
enacted
in
this
Act.
The
part
may
be
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entitled
“Specific
Powers”.
1
5.
Subchapter
V
may
include
section
16.6,
section
16.7
2
as
amended
in
this
Act,
reserved
section
16.8,
section
16.9
3
as
amended
in
this
Act,
reserved
section
16.10
as
repealed
4
in
this
Act,
section
16.11
as
enacted
in
this
Act,
reserved
5
section
16.12,
section
16.13
as
enacted
in
this
Act,
reserved
6
section
16.14,
reserved
section
16.15
as
repealed
in
this
Act,
7
and
sections
16.16
through
16.19
as
enacted
in
this
Act.
The
8
subchapter
may
be
entitled
“Administration”.
The
subchapter
9
may
be
divided
into
parts
as
follows:
10
a.
Part
1
may
include
section
16.6.
The
part
may
be
11
entitled
“Executive
Director”.
12
b.
Part
2
may
include
section
16.7
as
amended
in
this
13
Act,
reserved
section
16.8,
section
16.9
as
amended
in
this
14
Act,
reserved
section
16.10
as
repealed
in
this
Act,
section
15
16.11
as
enacted
in
this
Act,
reserved
section
16.12,
section
16
16.13
as
enacted
in
this
Act,
reserved
section
16.14,
reserved
17
section
16.15
as
repealed
in
this
Act,
and
section
16.16
as
18
enacted
in
this
Act.
The
part
may
be
entitled
“General”.
19
c.
Part
3
may
include
sections
16.17
through
16.19
as
20
enacted
in
this
Act.
The
part
may
be
entitled
“Statutory
21
Construction”.
22
6.
Subchapter
VI
may
include
reserved
sections
16.20
and
23
16.21
as
repealed
in
this
Act,
section
16.22
as
enacted
in
this
24
Act,
reserved
sections
16.23
through
16.25,
sections
16.26
25
and
16.27
as
amended
in
this
Act,
section
16.27A
as
enacted
26
in
this
Act,
section
16.28,
section
16.29
as
enacted
in
this
27
Act,
sections
16.30
and
16.31,
section
16.32
as
enacted
in
this
28
Act,
and
reserved
section
16.33
as
repealed
in
this
Act.
The
29
subchapter
may
be
entitled
“Financing”.
30
7.
Subchapter
VII
may
include
reserved
section
16.34
as
31
repealed
in
this
Act,
sections
16.34A
through
16.36
as
enacted
32
in
this
Act,
reserved
section
16.37
as
repealed
in
this
Act,
33
sections
16.38
and
16.39
as
enacted
in
this
Act,
section
16.40
34
as
amended
in
this
Act,
section
16.41,
reserved
section
16.42
35
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as
repealed
in
this
Act,
section
16.43
as
enacted
in
this
Act,
1
section
16.44,
sections
16.45
through
16.50
as
enacted
in
2
this
Act,
section
16.51,
reserved
section
16.52
as
repealed
3
in
this
Act,
sections
16.53
and
16.54,
and
sections
16.55
4
through
16.57
as
enacted
in
this
Act.
The
subchapter
may
be
5
entitled
“Housing”.
The
subchapter
may
be
divided
into
parts
6
as
follows:
7
a.
Part
1
may
include
reserved
section
16.34
as
repealed
in
8
this
Act
and
section
16.34A
as
enacted
in
this
Act.
The
part
9
may
be
entitled
“Special
Definition”.
10
b.
Part
2
may
include
sections
16.35
through
16.36
as
11
enacted
in
this
Act,
and
reserved
section
16.37
as
repealed
in
12
this
Act.
The
part
may
be
entitled
“Administration”.
13
c.
Part
3
may
include
sections
16.38
and
16.39
as
enacted
in
14
this
Act.
The
part
may
be
entitled
“Lending
Institutions”.
15
d.
Part
4
may
include
section
16.40
as
amended
in
this
16
Act,
section
16.41,
reserved
section
16.42
as
repealed
in
this
17
Act,
section
16.43
as
enacted
in
this
Act,
section
16.44,
and
18
sections
16.45
through
16.50
as
enacted
in
this
Act.
The
part
19
may
be
entitled
“Special
Funds”.
20
e.
Part
5
may
include
section
16.51,
reserved
section
16.52
21
as
repealed
in
this
Act,
sections
16.53
and
16.54,
and
sections
22
16.55
through
16.57
as
enacted
in
this
Act.
The
part
may
be
23
entitled
“Additional
Programs”.
24
8.
Subchapter
VIII
may
include
sections
16.58
through
16.64
25
as
enacted
in
this
Act,
reserved
sections
16.65
through
16.67,
26
section
16.68
as
enacted
in
this
Act,
reserved
section
16.69,
27
sections
16.70
and
16.71
as
enacted
in
this
Act,
reserved
28
section
16.72,
reserved
section
16.73
as
repealed
in
this
Act,
29
reserved
section
16.74,
sections
16.75
and
16.76
as
enacted
30
in
this
Act,
reserved
section
16.77,
sections
16.78
through
31
16.84
as
enacted
in
this
Act,
and
reserved
sections
16.85
32
through
16.89.
The
subchapter
may
be
entitled
“Agricultural
33
Development”.
The
subchapter
may
be
divided
into
parts
as
34
follows:
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a.
Part
1
may
include
sections
16.58
and
16.59
as
enacted
in
1
this
Act.
The
part
may
be
entitled
“General”.
2
b.
Part
2
may
include
sections
16.60
through
16.63
3
as
enacted
in
this
Act.
The
part
may
be
entitled
4
“Administration”.
5
c.
Part
3
may
include
section
16.64
as
enacted
in
this
6
Act,
reserved
sections
16.65
through
16.67,
section
16.68
as
7
enacted
in
this
Act,
and
reserved
section
16.69.
The
part
may
8
be
entitled
“Special
Financing”.
9
d.
Part
4
may
include
sections
16.70
and
16.71
as
enacted
10
in
this
Act,
reserved
section
16.72,
reserved
section
16.73
as
11
repealed
in
this
Act,
and
reserved
section
16.74.
The
part
may
12
be
entitled
“Loans
to
Lending
Institutions”.
13
e.
Part
5
may
include
sections
16.75
and
16.76
as
enacted
in
14
this
Act,
reserved
section
16.77,
and
sections
16.78
through
15
16.84
as
enacted
in
this
Act,
and
reserved
sections
16.85
16
through
16.89.
The
part
may
be
entitled
“Beginning
Farmer
17
Programs”.
The
part
may
be
divided
into
subparts
as
follows:
18
(1)
Subpart
A
may
include
sections
16.75
and
16.76
as
19
enacted
in
this
Act
and
reserved
section
16.77.
The
subpart
20
may
be
entitled
“Beginning
Farmer
Loan
Program”.
21
(2)
Subpart
B
may
include
sections
16.78
through
16.82
as
22
enacted
in
this
Act.
The
subpart
may
be
entitled
“Beginning
23
Farmer
Tax
Credit
Program”.
24
(3)
Subpart
C
may
include
sections
16.83
and
16.84
as
25
enacted
in
this
Act,
and
reserved
sections
16.85
through
16.89.
26
The
subpart
may
be
entitled
“Agricultural
Producer
Programs”.
27
9.
Subchapter
IX
may
include
section
16.90
as
enacted
28
in
this
Act,
and
section
16.91
as
amended
in
this
Act,
and
29
sections
16.92
through
16.97.
The
subchapter
may
be
entitled
30
“Title
Guaranty”.
The
subchapter
may
be
divided
into
parts
as
31
follows:
32
a.
Part
1
may
include
section
16.90
as
enacted
in
this
Act.
33
The
part
may
be
entitled
“General”.
34
b.
Part
2
may
include
section
16.91
as
amended
in
this
Act,
35
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sections
16.92
and
16.93,
and
reserved
sections
16.94
through
1
16.97.
The
part
may
be
entitled
“Program”.
2
10.
Subchapter
X
may
include
reserved
sections
16.98
and
3
16.99,
reserved
sections
16.100
and
16.100A
as
repealed
in
4
this
Act,
reserved
section
16.101,
section
16.102,
section
5
16.103
as
amended
in
this
Act,
section
16.104,
section
16.105
6
as
amended
in
this
Act,
section
16.106
as
repealed
by
this
7
Act,
reserved
sections
16.107
through
16.130,
section
16.131
8
and
section
16.132
as
amended
in
this
Act,
sections
16.133
9
and
16.133A,
sections
16.134
as
amended
in
this
Act,
section
10
16.135,
reserved
sections
16.136
through
16.140,
section
11
16.141,
reserved
sections
16.142
through
16.154,
reserved
12
section
16.155
as
repealed
in
this
Act,
reserved
sections
13
16.156
through
16.160,
sections
16.161
and
16.162,
reserved
14
sections
16.163
through
16.170,
repealed
section
16.171
as
15
repealed
in
this
Act,
reserved
sections
16.172
through
16.176,
16
section
16.177,
reserved
sections
16.178
through
16.180,
17
reserved
sections
16.181
through
16.185
as
repealed
in
this
18
Act,
reserved
sections
16.186
and
16.187,
reserved
section
19
16.188
as
repealed
in
this
Act,
reserved
sections
16.189
20
through
16.192,
sections
16.193
through
16.196,
reserved
21
section
16.197
as
repealed
by
this
Act,
reserved
sections
22
16.198
through
16.200,
reserved
section
16.201
as
repealed
in
23
this
Act,
reserved
sections
16.202
through
16.210,
reserved
24
sections
16.211
and
16.212
as
repealed
in
this
Act,
reserved
25
sections
16.213
through
16.220,
and
reserved
section
16.221
as
26
repealed
in
this
Act.
The
subchapter
may
be
entitled
“Special
27
Financing
Programs”.
The
subchapter
may
be
divided
into
parts
28
as
follows:
29
a.
Part
1
may
include
reserved
sections
16.98
and
16.99,
30
reserved
sections
16.100
and
16.100A
as
repealed
in
this
Act,
31
reserved
section
16.101,
sections
16.102
and
16.103
as
amended
32
in
this
Act,
section
16.104,
section
16.105
as
amended
in
this
33
Act,
section
16.106
as
repealed
in
this
Act,
and
reserved
34
sections
16.107
through
16.130.
The
part
may
be
entitled
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“Economic
Development
Program”.
1
b.
Part
2
may
include
sections
16.131
through
16.132
as
2
amended
in
this
Act,
sections
16.133
and
16.133A,
section
3
16.134
as
amended
in
this
Act,
section
16.135,
and
reserved
4
sections
16.136
through
16.140.
The
part
may
be
entitled
5
“Water
Pollution
Control
Works
and
Drinking
Water
Facilities
6
Financing”.
7
c.
Part
3
may
include
section
16.141
and
reserved
sections
8
16.142
through
16.154.
The
part
may
be
entitled
“Unsewered
9
Community
Revolving
Loan
Program”.
10
d.
Part
4
may
include
section
16.155
as
repealed
in
this
11
Act,
reserved
sections
16.156
through
16.160,
and
section
12
16.161.
The
part
may
be
entitled
“E911
Program”.
13
e.
Part
5
may
include
section
16.162
and
reserved
sections
14
16.163
through
16.170.
The
part
may
be
entitled
“Community
15
College
Dormitories”.
16
f.
Part
6
may
include
section
16.171
and
reserved
sections
17
16.172
through
16.176.
The
part
may
be
entitled
“Recovery
Zone
18
Bonds”.
19
g.
Part
7
may
include
section
16.177,
reserved
sections
20
16.178
through
16.180,
reserved
sections
16.181
through
16.185
21
as
repealed
in
this
Act,
reserved
sections
16.186
and
16.187,
22
reserved
section
16.188
as
repealed
in
this
Act,
and
reserved
23
sections
16.189
and
16.190.
The
part
may
be
entitled
“Prison
24
Infrastructure
Revenue
Bonds”.
25
h.
Part
8
may
include
reserved
sections
16.191
and
16.192,
26
sections
16.193
through
16.196,
reserved
section
16.197
as
27
repealed
in
this
Act,
reserved
sections
16.198
through
16.200,
28
reserved
section
16.201
as
repealed
in
this
Act,
reserved
29
sections
16.202
through
16.210,
reserved
sections
16.211
and
30
16.212
as
repealed
in
this
Act,
reserved
sections
16.213
31
through
16.220,
and
reserved
section
16.221
as
repealed
by
this
32
Act.
The
part
may
be
entitled
“Iowa
Jobs
Program”.
33
CORRECTIONS
AND
FURTHER
REORGANIZATION
34
Sec.
109.
AUTHORITY
TO
CODE
EDITOR.
In
reorganizing
35
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2428
chapter
16
for
publication
as
part
of
the
2015
Code,
all
of
the
1
following
shall
apply:
2
1.
The
Code
editor
shall
correct
internal
references
as
3
necessary.
4
2.
Nothing
in
this
Act
prevents
the
Code
editor
from
5
organizing
chapter
16,
as
provided
in
section
2B.13,
in
a
6
manner
other
than
specified
in
this
division.
The
Code
editor
7
may
consolidate
the
subchapters,
parts,
subparts,
or
sections
8
in
chapter
16,
including
by
eliminating
unused
section
numbers
9
and
renumbering
sections
included
in
chapter
16
as
amended
by
10
this
Act,
and
correcting
internal
references
in
a
manner
that
11
enhances
its
readability.
12
EFFECTIVE
DATE
13
Sec.
110.
EFFECTIVE
DATE.
This
division
of
this
Act
takes
14
effect
upon
enactment.
15
DIVISION
IV
16
TRANSITIONAL
PROVISIONS
17
ADMINISTRATION
18
Sec.
111.
POWERS
AND
DUTIES
OF
THE
IOWA
FINANCE
19
AUTHORITY.
This
Act
does
not
do
any
of
the
following:
20
1.
Substantively
affect
the
powers
and
duties
of
the
Iowa
21
finance
authority
provided
for
in
chapter
16
or
175
as
either
22
chapter
existed
immediately
prior
to
the
effective
date
of
this
23
division
of
this
Act.
24
2.
Restrict
the
Iowa
finance
authority
from
adopting
a
rule,
25
form,
order,
or
directive
that
it
could
have
adopted
under
26
chapter
16
or
175
as
either
chapter
existed
immediately
prior
27
to
the
effective
date
of
this
division
of
this
Act.
28
Sec.
112.
ADMINISTRATION
OF
ONGOING
PROGRAMS.
The
Iowa
29
finance
authority
shall
continue
the
administration
of
ongoing
30
programs
under
chapter
16
or
175,
in
progress
on
the
effective
31
date
of
this
division
of
this
Act.
32
Sec.
113.
ADMINISTRATIVE
RULES
AND
OTHER
ACTIONS
AND
33
DOCUMENTS.
Any
rule,
form,
order,
or
directive
promulgated
by
34
the
Iowa
finance
authority
pursuant
to
chapter
16,
including
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section
16.1A,
or
chapter
175,
as
required
to
administer
1
and
enforce
the
provisions
of
chapter
16
as
amended
in
this
2
Act,
shall
continue
in
full
force
and
effect
until
amended,
3
rescinded,
or
supplemented
by
the
affirmative
action
of
the
4
Iowa
finance
authority.
5
Sec.
114.
GOVERNING
BODIES.
6
1.
This
Act’s
repeal
of
section
175.3
and
the
enactment
of
7
section
16.2C
shall
not
affect
the
original
appointment
or
term
8
of
office
of
a
member
to
the
agricultural
development
board
by
9
the
governor
pursuant
to
2013
Iowa
Acts,
chapter
100.
However,
10
such
a
member
shall
comply
with
any
new
requirement
as
provided
11
in
this
Act
upon
reappointment
and
a
new
member
shall
comply
12
with
all
requirements
as
provided
in
this
Act
upon
appointment
13
or
reappointment.
14
2.
This
Act’s
repeal
of
section
16.100
and
the
enactment
15
of
section
16.2D
shall
not
affect
the
appointment
or
term
of
16
office
of
a
member
to
the
council
on
homelessness.
17
Sec.
115.
PERSONNEL.
Nothing
in
this
Act
affects
personnel
18
in
the
state
merit
system
of
employment.
19
LEGAL
OR
EQUITABLE
RIGHTS
20
Sec.
116.
PENDING
ADMINISTRATIVE
OR
JUDICIAL
PROCEEDINGS.
21
1.
An
administrative
or
judicial
proceeding
arising
under
22
chapter
16
or
175
prior
to
the
effective
date
of
this
division
23
of
this
Act,
and
pending
on
the
effective
date
of
this
division
24
of
this
Act,
shall
not
be
affected
due
to
the
enactment
of
this
25
Act.
26
2.
A
cause
of
action
or
statute
of
limitation
relating
to
27
an
action
taken
by
a
party
in
a
matter
arising
under
chapter
16
28
or
175
prior
to
the
effective
date
of
this
division
of
this
Act
29
shall
not
be
affected
by
this
Act.
30
3.
The
Iowa
finance
authority
or
the
attorney
general
acting
31
on
behalf
of
the
Iowa
finance
authority
in
an
administrative
32
or
judicial
proceeding
pending
on
the
effective
date
of
this
33
division
of
this
Act
shall
not
be
affected
as
result
of
this
34
Act.
Any
statute
of
limitation
that
would
have
otherwise
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applied
to
the
parties
in
such
proceeding
shall
continue
to
1
apply
to
the
parties
as
if
this
Act
had
not
been
enacted.
2
Sec.
117.
EXISTING
RIGHTS
AND
OBLIGATIONS
OF
THE
IOWA
3
FINANCE
AUTHORITY.
Nothing
in
this
Act
affects
any
of
the
4
following:
5
1.
An
interest
in
real
property,
tangible
personal
6
property,
or
intangible
personal
property
held
by
the
Iowa
7
finance
authority.
8
2.
A
property
right,
security
interest,
or
lien
held
by
the
9
Iowa
finance
authority,
including
but
not
limited
to
a
deed,
10
contract,
or
endorsement.
11
3.
Any
debt,
obligation,
or
liability
incurred
by
the
Iowa
12
finance
authority
which
shall
continue
according
to
the
same
13
terms
and
conditions
as
applied
prior
to
the
effective
date
of
14
this
division
of
this
Act.
15
Sec.
118.
PRESERVATION
OF
EXISTING
RIGHTS.
16
1.
This
Act
shall
preserve
and
shall
neither
increase
nor
17
decrease
a
right
or
obligation
of
a
party
or
any
other
person
18
connected
with
the
issuance,
holding,
transfer,
redemption,
or
19
payment
of
a
bond
or
note
under
chapter
16
or
175
as
either
20
chapter
existed
prior
to
the
effective
date
of
this
division
21
of
this
Act.
22
2.
This
Act
shall
not
limit,
modify,
or
otherwise
affect
23
the
term
or
condition
of
an
agreement
between
the
Iowa
finance
24
authority
and
another
person
which
was
originally
executed
25
under
chapter
16
or
175
as
either
chapter
existed
prior
to
26
the
effective
date
of
this
division
of
this
Act.
This
Act
27
specifically
does
not
affect
any
program
for
beginning
farmers
28
or
first-time
farmers
as
that
program
existed
under
chapter
175
29
prior
to
the
effective
date
of
this
division
of
this
Act.
30
3.
This
Act
shall
not
limit,
modify,
or
otherwise
31
adversely
affect
a
taxpayer’s
right
to
claim
or
redeem
a
tax
32
credit
issued,
awarded,
or
allowed
under
sections
175.36A
33
through
175.39,
including
but
not
limited
to
any
tax
credit
34
carryforward
amount
so
long
as
the
tax
credit
was
issued,
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awarded,
or
allowed
when
sections
175.36A
through
175.39
were
1
in
effect.
A
person
shall
not
claim
or
be
issued,
awarded,
2
or
allowed
the
same
tax
credit
under
sections
175.36A
through
3
175.39
in
effect
prior
to
the
effective
date
of
this
division
4
of
this
Act
and
chapter
16,
subchapter
VIII,
part
5,
as
enacted
5
in
this
Act
on
and
after
the
effective
date
of
this
division
of
6
this
Act.
7
EFFECTIVE
DATE
8
Sec.
119.
EFFECTIVE
DATE.
This
division
of
this
Act
takes
9
effect
on
January
1,
2015.
10
DIVISION
V
11
CURRENT
REPEAL
PROVISIONS
12
GENERAL
13
Sec.
120.
REPEAL.
Sections
16.3A,
16.10,
16.15,
16.20,
14
16.21,
16.33,
16.34,
16.37,
16.42,
16.44,
16.52,
16.73,
16.100,
15
16.100A,
16.106,
16.155,
16.171,
16.181,
16.181A,
16.182,
16
16.183,
16.184,
16.185,
16.188,
16.197,
16.201,
16.211,
16.212,
17
16.221,
and
422.11X,
Code
2014,
are
repealed.
18
Sec.
121.
REPEAL.
Chapter
175,
Code
2014,
is
repealed.
19
REPEAL
OF
CONFLICTING
INTERVENING
PROVISION
20
Sec.
122.
REPEAL.
Any
intervening
provision
effective
21
prior
to
the
effective
date
of
this
division
of
this
Act
that
22
amends
a
section
or
chapter
repealed
in
another
section
of
23
this
division
of
this
Act
is
also
repealed,
unless
that
Act
or
24
another
Act
specifically
provides
otherwise.
25
EFFECTIVE
DATE
26
Sec.
123.
EFFECTIVE
DATE.
This
division
of
this
Act
takes
27
effect
January
1,
2015.
28
DIVISION
VI
29
FUTURE
PROVISIONS
30
REPEAL
OF
THE
BEGINNING
FARMER
TAX
CREDIT
PROGRAM
31
Sec.
124.
REPEAL.
Section
2.48,
subsection
3,
paragraph
e,
32
subparagraph
(1),
subparagraph
division
(b),
as
amended
by
this
33
Act,
is
amended
by
striking
the
subparagraph
division.
34
Sec.
125.
REPEAL.
Section
16.1,
subsection
1,
paragraph
an,
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as
enacted
by
this
Act,
is
amended
by
striking
the
paragraph.
1
Sec.
126.
REPEAL.
Section
16.58,
subsections
7,
13,
2
and
14,
as
enacted
by
this
Act,
are
amended
by
striking
the
3
subsections.
4
Sec.
127.
REPEAL.
Section
422.11M,
subsection
2,
as
amended
5
by
this
Act,
is
amended
by
striking
the
subsection.
6
Sec.
128.
REPEAL.
Section
422.33,
subsection
21,
7
paragraph
b,
as
amended
by
this
Act,
is
amended
by
striking
the
8
paragraph.
9
Sec.
129.
REPEAL.
Sections
16.78,
16.79,
16.81,
and
16.82,
10
are
repealed.
11
Sec.
130.
REPEAL.
2013
Iowa
Acts,
chapter
125,
division
II,
12
is
repealed.
13
ENACTMENT
OF
THE
AGRICULTURAL
ASSETS
TRANSFER
TAX
CREDIT
14
Sec.
131.
Section
16.80,
as
enacted
by
this
Act,
is
amended
15
by
striking
the
section
and
inserting
in
lieu
thereof
the
16
following:
17
16.80
Agricultural
assets
transfer
tax
credit
——
agreement.
18
1.
An
agricultural
assets
transfer
tax
credit
is
allowed
19
under
this
section.
The
tax
credit
is
allowed
against
the
20
taxes
imposed
in
chapter
422,
division
II,
as
provided
in
21
section
422.11M,
and
in
chapter
422,
division
III,
as
provided
22
in
section
422.33,
to
facilitate
the
transfer
of
agricultural
23
assets
from
a
taxpayer
to
a
beginning
farmer.
24
2.
In
order
to
qualify
for
the
tax
credit,
the
taxpayer
25
must
meet
qualifications
established
by
rules
adopted
by
the
26
authority.
At
a
minimum,
the
taxpayer
must
comply
with
all
of
27
the
following:
28
a.
Be
a
person
who
may
acquire
or
otherwise
obtain
or
lease
29
agricultural
land
in
this
state
pursuant
to
chapter
9H
or
9I.
30
However,
the
taxpayer
must
not
be
a
person
who
may
acquire
31
or
otherwise
obtain
or
lease
agricultural
land
exclusively
32
because
of
an
exception
provided
in
one
of
those
chapters
or
in
33
a
provision
of
another
chapter
of
this
Code
including
but
not
34
limited
to
chapter
10,
10D,
or
501,
or
section
15E.207.
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b.
Execute
an
agricultural
assets
transfer
agreement
with
a
1
beginning
farmer
as
provided
in
this
section.
2
3.
An
individual
may
claim
a
tax
credit
under
this
section
3
of
a
partnership,
limited
liability
company,
S
corporation,
4
estate,
or
trust
electing
to
have
income
taxed
directly
to
5
the
individual.
The
amount
claimed
by
the
individual
shall
6
be
based
upon
the
pro
rata
share
of
the
individual’s
earnings
7
from
the
partnership,
limited
liability
company,
S
corporation,
8
estate,
or
trust.
9
4.
The
tax
credit
is
allowed
only
for
agricultural
assets
10
that
are
subject
to
an
agricultural
assets
transfer
agreement.
11
The
agreement
shall
provide
for
the
lease
of
agricultural
land
12
including
any
improvements
and
may
provide
for
the
rental
of
13
agricultural
equipment
as
defined
in
section
322F.1.
14
a.
The
agreement
may
be
made
on
a
cash
basis
or
on
a
15
commodity
share
basis
which
includes
a
share
of
the
crops
or
16
livestock
produced
on
the
agricultural
land.
The
agreement
17
must
be
in
writing.
18
b.
The
agreement
shall
be
for
at
least
two
years,
but
19
not
more
than
five
years.
The
agreement
or
that
part
of
20
the
agreement
providing
for
the
lease
may
be
renewed
by
the
21
beginning
farmer
for
a
term
of
at
least
two
years,
but
not
more
22
than
five
years.
An
agreement
does
not
include
a
lease
or
the
23
rental
of
equipment
intended
as
a
security.
24
5.
The
tax
credit
shall
be
calculated
based
on
the
gross
25
amount
paid
to
the
taxpayer
under
the
agricultural
assets
26
transfer
agreement.
27
a.
Except
as
provided
in
paragraph
“b”
,
the
tax
credit
shall
28
equal
five
percent
of
the
amount
paid
to
the
taxpayer
under
the
29
agreement.
30
b.
The
tax
credit
shall
equal
fifteen
percent
of
the
31
amount
paid
to
the
taxpayer
from
crops
or
animals
sold
under
32
an
agreement
in
which
the
payment
is
exclusively
made
from
the
33
sale
of
crops
or
animals.
34
6.
In
order
to
qualify
as
a
beginning
farmer,
a
person
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must
be
eligible
to
receive
financial
assistance
under
section
1
16.75.
2
7.
A
tax
credit
in
excess
of
the
taxpayer’s
liability
for
3
the
tax
year
may
be
credited
to
the
tax
liability
for
the
4
following
five
years
or
until
depleted,
whichever
is
earlier.
5
A
tax
credit
shall
not
be
carried
back
to
a
tax
year
prior
to
6
the
tax
year
in
which
the
taxpayer
redeems
the
tax
credit.
A
7
tax
credit
shall
not
be
transferable
to
any
other
person
other
8
than
the
taxpayer’s
estate
or
trust
upon
the
taxpayer’s
death.
9
8.
A
taxpayer
shall
not
claim
a
tax
credit
under
this
10
section
unless
a
tax
credit
certificate
issued
by
the
authority
11
is
attached
to
the
taxpayer’s
tax
return
for
the
tax
year
for
12
which
the
tax
credit
is
claimed.
The
authority
must
review
13
and
approve
an
application
for
a
tax
credit
as
provided
by
14
rules
adopted
by
the
authority.
The
application
must
include
15
a
copy
of
the
agricultural
assets
transfer
agreement.
The
16
authority
may
approve
an
application
and
issue
a
tax
credit
17
certificate
to
a
taxpayer
who
has
previously
been
allowed
a
18
tax
credit
under
this
section.
The
authority
may
require
19
that
the
parties
to
an
agricultural
assets
transfer
agreement
20
provide
additional
information
as
determined
relevant
by
the
21
authority.
The
authority
shall
review
an
application
for
a
tax
22
credit
which
includes
the
renewal
of
an
agricultural
assets
23
transfer
agreement
to
determine
that
the
parties
to
the
renewed
24
agreement
meet
the
same
qualifications
as
required
for
an
25
original
application.
However,
the
authority
shall
not
approve
26
an
application
or
issue
a
certificate
to
a
taxpayer
if
any
of
27
the
following
applies:
28
a.
The
taxpayer
is
at
fault
for
terminating
a
prior
29
agricultural
assets
transfer
agreement
as
determined
by
the
30
authority.
31
b.
The
taxpayer
is
any
of
the
following:
32
(1)
A
party
to
a
pending
administrative
or
judicial
action,
33
including
a
contested
case
proceeding
under
chapter
17A,
34
relating
to
an
alleged
violation
involving
an
animal
feeding
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operation
as
regulated
by
the
department
of
natural
resources,
1
regardless
of
whether
the
pending
action
is
brought
by
the
2
department
or
the
attorney
general.
3
(2)
Classified
as
a
habitual
violator
for
a
violation
of
4
state
law
involving
an
animal
feeding
operation
as
regulated
by
5
the
department
of
natural
resources.
6
c.
The
beginning
farmer
is
responsible
for
managing
or
7
maintaining
agricultural
land
and
other
agricultural
assets
8
that
are
greater
than
necessary
to
adequately
support
a
9
beginning
farmer
as
determined
by
the
authority
according
to
10
rules
which
shall
be
adopted
by
the
authority.
11
d.
The
agricultural
assets
are
being
leased
or
rented
at
12
a
rate
which
is
substantially
higher
or
lower
than
the
market
13
rate
for
similar
agricultural
assets
leased
or
rented
within
14
the
same
community,
as
determined
by
the
authority.
15
9.
A
taxpayer
or
the
beginning
farmer
may
terminate
an
16
agricultural
assets
transfer
agreement
as
provided
in
the
17
agreement
or
by
law.
The
taxpayer
must
immediately
notify
the
18
authority
of
the
termination.
19
a.
If
the
authority
determines
that
the
taxpayer
is
not
20
at
fault
for
the
termination,
the
authority
shall
not
issue
a
21
tax
credit
certificate
to
the
taxpayer
for
a
subsequent
tax
22
year
based
on
the
approved
application.
Any
prior
tax
credit
23
is
allowed
as
provided
in
this
section.
The
taxpayer
may
24
apply
for
and
be
issued
another
tax
credit
certificate
for
the
25
same
agricultural
assets
as
provided
in
this
section
for
any
26
remaining
tax
years
for
which
a
certificate
was
not
issued.
27
b.
If
the
authority
determines
that
the
taxpayer
is
at
fault
28
for
the
termination,
any
prior
tax
credit
allowed
under
this
29
section
is
disallowed.
The
tax
credit
shall
be
recaptured
30
and
the
amount
of
the
tax
credit
shall
be
immediately
due
and
31
payable
to
the
department
of
revenue.
If
a
taxpayer
does
32
not
immediately
notify
the
authority
of
the
termination,
33
the
taxpayer
shall
be
conclusively
deemed
at
fault
for
the
34
termination.
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10.
The
amount
of
tax
credit
certificates
that
may
be
issued
1
pursuant
to
this
section
shall
not
exceed
six
million
dollars
2
in
any
fiscal
year.
The
authority
shall
issue
the
tax
credit
3
certificates
on
a
first-come,
first-served
basis.
4
REPEAL
OF
INTERVENING
PROVISIONS
5
Sec.
132.
REPEAL.
Any
intervening
provision
effective
6
prior
to
the
effective
date
of
this
division
of
this
Act
7
that
amends
a
section,
subsection,
paragraph,
subparagraph,
8
or
subparagraph
division
repealed
in
another
section
of
this
9
division
of
this
Act
is
also
repealed,
unless
that
Act
or
10
another
Act
specifically
provides
otherwise.
11
PROPOSED
LEGISLATION
12
Sec.
133.
IOWA
FINANCE
AUTHORITY.
The
Iowa
finance
13
authority
established
in
chapter
16
shall
propose
legislation
14
to
the
general
assembly
necessary
to
implement
this
division
15
of
this
Act.
The
Iowa
finance
authority
shall
propose
such
16
legislation
for
consideration
by
the
general
assembly
during
17
its
2017
legislative
session.
18
EFFECTIVE
DATE
19
Sec.
134.
EFFECTIVE
DATES.
20
1.
a.
Except
as
provided
in
subsection
2,
this
division
of
21
this
Act
takes
effect
January
1,
2018.
22
b.
The
section
of
this
division
of
this
Act
which
enacts
23
the
agricultural
assets
transfer
tax
credit
as
codified
in
24
section
16.80
takes
effect
instantly
upon
the
repeal
of
the
25
agricultural
assets
transfer
tax
credit
previously
codified
in
26
section
16.80
and
enacted
in
another
division
of
this
Act.
27
2.
The
section
of
this
division
of
this
Act
which
requires
28
the
Iowa
finance
authority
to
propose
legislation
for
29
consideration
by
the
general
assembly
takes
effect
July
1,
30
2016.
31
EXPLANATION
32
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
33
the
explanation’s
substance
by
the
members
of
the
general
assembly.
34
BACKGROUND
——
GENERAL.
Code
chapter
16
establishes
the
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Iowa
finance
authority
(IFA)
under
the
authority
of
a
board
1
of
directors
and
supervised
by
an
executive
director.
The
2
IFA
administers
a
number
of
programs
including
programs
that
3
address
housing
needs,
such
as
programs
to
assist
low-income
4
to
moderate-income
families
in
attaining
housing,
and
homeless
5
assistance.
The
authority
also
provides
a
number
of
other
6
programs
relating
to
title
guaranties,
and
financing
to
further
7
economic
development,
drinking
water
and
waste
water
systems,
8
residential
treatment
facilities,
E-911,
community
college
9
dormitories,
prison
infrastructure,
Iowa
job
creation,
and
10
disaster
recovery.
11
BACKGROUND
——
2013
LEGISLATION.
In
2013,
the
85th
General
12
Assembly
enacted
HF
607
(2013
Iowa
Acts,
chapter
100)
which
13
transferred
the
powers
and
duties
of
the
agricultural
14
development
authority
organized
under
Code
chapter
175
to
IFA.
15
Code
chapter
175
establishes
a
number
of
programs
to
assist
16
farmers,
including
beginning
farmers,
to
start
or
expand
their
17
operations.
Code
chapter
16
and
Code
chapter
175
include
18
provisions
authorizing
debt
financing,
including
the
issuance
19
of
bonds
and
debts,
and
provides
a
framework
for
the
state
20
to
cooperate
with
financial
institutions
in
order
to
provide
21
affordable
credit.
22
GOVERNING
STRUCTURE.
IFA
is
headed
by
a
board
of
directors
23
appointed
by
the
governor
and
is
supervised
by
an
executive
24
director.
House
File
607
created
an
agricultural
development
25
division
within
the
authority.
The
division
is
administered
by
26
a
new
agricultural
development
board.
27
BILL’S
PROVISIONS
——
REORGANIZATION.
This
bill
incorporates
28
the
provisions
of
Code
chapter
175
into
Code
chapter
16.
It
29
also
effectively
moves
provisions
within
Code
chapter
16
in
30
order
to
enhance
its
readability.
It
accomplishes
this
goal
by
31
repealing
provisions
in
the
two
Code
chapters
and
reenacting
32
the
provisions
within
Code
chapter
16,
and
dividing
the
Code
33
chapter
into
a
number
of
subchapters
and
parts
within
those
34
subchapters.
In
some
instances,
the
provisions
in
Code
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chapter
175
are
similar
to
provisions
in
Code
chapter
16
and
1
in
those
circumstances
the
bill
either
amends
the
provisions
2
in
Code
chapter
16
or
does
not
enact
the
duplicative
provision
3
currently
in
Code
chapter
175.
In
all
other
cases,
the
4
bill
enacts
provisions
in
Code
chapter
175
as
part
of
a
new
5
subchapter
in
Code
chapter
16.
6
BILL’S
PROVISIONS
——
NAME
CHANGES.
The
bill
makes
changes
in
7
a
number
of
names.
The
name
of
the
“title
guaranty
division”
8
is
changed
to
the
“Iowa
title
guaranty
division”.
The
name
of
9
the
“Iowa
economic
development
bond
bank
program”
is
changed
10
to
the
“economic
development
program”.
The
name
of
the
“Iowa
11
water
pollution
control
works
and
drinking
water
facilities
12
financing
program”
is
changed
to
the
“water
pollution
control
13
works
and
drinking
water
facilities
financing
program”.
14
BILL’S
PROVISIONS
——
TERMINOLOGY
CHANGES.
The
bill
changes
15
the
term
“mortgage
lender”
to
“lending
institution”.
A
lending
16
institution
is
defined
to
include
a
bank,
trust
company,
17
mortgage
company,
national
banking
association,
federal
savings
18
association,
or
life
insurance
company;
any
state
or
federal
19
governmental
agency
or
instrumentality;
the
federal
land
bank
20
or
any
of
its
local
associations;
or
any
other
institution
21
authorized
to
make
loans
in
this
state.
22
BILL’S
PROVISIONS
——
REVISION
OR
ELIMINATION
OF
PROGRAMS
23
AND
DUTIES.
The
bill
eliminates
a
number
of
programs,
24
including
the
disaster
recovery
housing
project
tax
credit,
25
the
soil
conservation
loan
program,
and
the
assistance
and
26
management
programs
for
beef
cattle
producers.
It
eliminates
27
a
requirement
that
the
authority
report
semiannually
to
the
28
standing
committees
on
government
oversight.
It
provides
29
that
members
of
the
agricultural
development
board
are
to
be
30
confirmed
by
the
senate.
It
expands
the
provisions
which
31
allow
programs
to
be
combined
to
include
any
public
or
private
32
program.
The
bill
revises
a
number
of
requirements
regarding
33
the
beginning
farmer
program,
including
by
expanding
the
types
34
of
loans
that
may
be
provided
to
beginning
farmers,
eliminating
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requirements
that
all
partners
in
a
family
farm
partnership,
1
shareholders
in
a
family
farm
corporation,
and
members
of
2
a
family
farm
limited
liability
company
all
be
residents
3
of
the
state.
It
removes
a
requirement
that
all
partners,
4
shareholders,
or
members
have
sufficient
education,
training,
5
or
experience
in
farming.
It
removes
a
requirement
that
6
agricultural
land
or
improvements
financed
under
the
program
7
can
only
be
used
for
farming
by
partners,
shareholders,
or
8
members.
9
BILL’S
PROVISIONS
——
CONSOLIDATION.
The
bill
consolidates
a
10
number
of
provisions
that
were
included
in
Code
chapter
16
and
11
applicable
to
certain
programs
or
under
Code
chapter
175,
and
12
makes
them
generally
applicable
to
all
programs
administered
13
by
the
authority
under
the
Code
chapter,
including
provisions
14
which
apply
to
the
management
of
reserve
funds,
and
powers
15
relating
to
loans.
16
BEGINNING
FARMER
TAX
CREDIT
PROGRAM.
In
2013,
the
general
17
assembly
also
enacted
HF
599
(2013
Iowa
Acts,
chapter
125)
18
which
created
a
beginning
farmer
tax
credit
program,
which
19
expanded
an
existing
agricultural
assets
transfer
tax
credit
20
and
created
a
new
custom
farming
contract
tax
credit.
On
21
December
31,
2017,
the
provisions
of
that
Act
are
repealed
22
and
the
former
version
of
the
agricultural
assets
transfer
23
tax
credit
is
to
be
restored.
The
bill
still
repeals
the
24
provisions
in
HF
599
and
restores
the
old
agricultural
assets
25
transfer
tax
credit
on
the
same
date
but
the
bill
codifies
the
26
old
tax
credit
as
part
of
its
new
subchapter
in
Code
chapter
27
16.
28
TRANSITIONAL
PROVISIONS.
The
bill
includes
a
number
of
29
transitional
provisions
that
provide
that
IFA
will
continue
to
30
administer
programs
under
new
Code
chapter
16
as
it
formally
31
did
under
current
Code
chapter
16
or
repealed
Code
chapter
175.
32
EFFECTIVE
DATES.
Generally,
the
bill’s
provisions
take
33
effect
on
January
1,
2015,
except
for
the
elimination
of
the
34
beginning
farmer
tax
credit
program
and
the
resurrection
of
the
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