Bill Text: IA HF3 | 2021-2022 | 89th General Assembly | Introduced
Bill Title: A bill for an act permitting businesses' new onsite daycare facilities or businesses' expansion of existing onsite daycare facilities to qualify as projects under the high quality jobs program, and making penalties applicable.(See HF 363, HF 606.)
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2021-03-09 - Withdrawn. H.J. 679. [HF3 Detail]
Download: Iowa-2021-HF3-Introduced.html
House
File
3
-
Introduced
HOUSE
FILE
3
BY
BOSSMAN
A
BILL
FOR
An
Act
permitting
businesses’
new
onsite
daycare
facilities
or
1
businesses’
expansion
of
existing
onsite
daycare
facilities
2
to
qualify
as
projects
under
the
high
quality
jobs
program,
3
and
making
penalties
applicable.
4
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
5
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Section
1.
NEW
SECTION
.
15.329A
Eligible
business
——
onsite
1
daycare
facilities.
2
1.
As
used
in
this
section,
unless
the
context
otherwise
3
requires:
4
a.
“Child”
or
“children”
means
a
person
or
persons
twelve
5
years
of
age
or
younger.
6
b.
“Child
care”
means
the
care,
supervision,
and
guidance
of
7
a
child
or
children
by
a
person
other
than
the
child’s
parent,
8
guardian,
or
custodian.
9
c.
“Project
completion”
means
the
first
date
upon
which
the
10
business’s
onsite
daycare
facility
begins
offering
child
care
11
for
the
business’s
employees’
children.
12
2.
Notwithstanding
section
15.327,
subsection
20,
the
13
authority
may
provide
tax
incentives
or
project
completion
14
assistance
under
this
part
to
a
business
for
a
project
that
15
involves
a
new
onsite
child
care
facility,
or
the
expansion
of
16
an
existing
onsite
child
care
facility,
that
offers
low-cost
17
child
care
for
the
business’s
employees.
18
3.
Notwithstanding
section
15.329,
subsection
1,
paragraphs
19
“c”
and
“g”
,
the
authority
may
provide
tax
incentives
or
20
project
completion
assistance
under
this
part
to
a
business
21
for
a
project
pursuant
to
this
section
if
the
project
creates
22
or
retains
jobs
that
will
pay
a
percent
of
the
qualifying
23
wage
threshold
as
determined
pursuant
to
rules
adopted
by
the
24
authority.
25
4.
Notwithstanding
section
15.329,
subsection
1,
paragraph
26
“e”
,
the
authority
may,
pursuant
to
rules
adopted
by
the
27
authority,
determine
alternative
metrics,
other
than
the
fiscal
28
impact
ratio,
to
qualify
a
business
to
be
eligible
for
tax
29
incentives
or
project
completion
assistance
for
a
project
under
30
this
section.
31
5.
Notwithstanding
section
15.329,
subsection
3,
the
32
authority
shall
consider
a
variety
of
factors,
including
but
33
not
limited
to
the
following,
in
determining
the
eligibility
34
of
a
business
to
participate
in
the
program
pursuant
to
this
35
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section:
1
a.
The
quality
of
the
jobs
to
be
created
or
retained.
2
In
rating
the
quality
of
the
jobs,
the
authority
shall
3
place
greater
emphasis
on
those
jobs
that
are
full-time
or
4
career-type
positions,
that
provide
comprehensive
health
5
benefits,
and
that
pay
a
wage
equal
to
or
higher
than
similar
6
jobs
within
a
twenty-five-mile
radius
of
the
proposed
project.
7
b.
The
impact
of
the
proposed
project
on
other
businesses
8
in
competition
with
the
business’s
proposed
project.
The
9
authority
shall
make
a
good-faith
effort
to
identify
existing
10
child
care
providers
in
competition
with
the
business’s
11
proposed
project.
The
authority
shall
make
a
good-faith
effort
12
to
determine
the
probability
that
the
proposed
tax
incentives
13
or
project
completion
assistance
will
displace
workers
at
14
existing
child
care
providers.
In
determining
the
impact
15
on
child
care
providers
in
competition
with
the
business’s
16
proposed
project,
jobs
created
or
retained
as
a
result
of
17
similar
jobs
being
displaced
elsewhere
in
a
twenty-five-mile
18
radius
shall
not
be
considered
direct
jobs
created
or
retained.
19
c.
The
economic
impact
to
the
state
of
the
proposed
project.
20
In
measuring
the
economic
impact,
the
authority
shall
place
21
greater
emphasis
on
projects
that
meet
one
or
more
of
the
22
following
conditions:
23
(1)
Are
located
in
an
economically
distressed
area.
For
24
purposes
of
this
section,
“economically
distressed
area”
means
25
a
county
that
ranks
among
the
bottom
thirty-three
of
all
Iowa
26
counties,
as
measured
by
one
of
the
following:
27
(a)
Average
monthly
unemployment
level
for
the
most
recent
28
twelve-month
period.
29
(b)
Average
annualized
unemployment
level
for
the
most
30
recent
five-year
period.
31
(2)
Will
have
the
capacity
to
care
for
twenty
or
more
32
children.
33
(3)
Are
located
in
an
area
that
has
an
inadequate
number
34
of
existing
child
care
providers
based
on
the
population
of
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children
in
the
area.
1
(4)
Will
provide
child
care
to
a
business’s
employees
at
a
2
low-cost
rate
as
determined
pursuant
to
rules
adopted
by
the
3
authority.
4
6.
If
a
business
that
is
approved
to
receive
tax
incentives
5
or
project
completion
assistance
under
this
section
closes
or
6
reduces
the
capacity
of
the
child
care
facility
for
which
the
7
tax
incentives
or
project
completion
assistance
was
received,
8
the
authority
shall
have
the
discretion
to
reduce
or
eliminate
9
some
or
all
of
the
tax
incentives
or
project
completion
10
assistance,
and
the
business
may
be
subject
to
repayment
of
11
all
or
a
portion
of
the
tax
incentives
or
project
completion
12
assistance
that
the
business
has
received.
13
7.
a.
A
business
that
is
awarded
tax
incentives
pursuant
14
to
this
section
shall
be
entitled
to
a
refund
of
the
sales
15
and
use
taxes
paid
under
chapter
423
for
gas,
electricity,
16
water,
or
sewer
utility
services,
goods,
wares,
or
merchandise,
17
or
on
services
rendered,
furnished,
or
performed
to
or
for
a
18
contractor
or
subcontractor
and
used
in
the
fulfillment
of
a
19
written
contract
relating
to
the
construction
or
equipping
20
of
a
child
care
facility
that
is
part
of
the
project
of
the
21
eligible
business.
Taxes
attributable
to
intangible
property,
22
furniture,
and
furnishings
shall
not
be
refunded.
23
b.
To
receive
a
refund,
a
claim
shall
be
filed
by
the
24
eligible
business
with
the
department
as
follows:
25
(1)
The
contractor
or
subcontractor
shall
state
under
oath,
26
on
forms
provided
by
the
department,
the
amount
of
the
sales
27
of
goods,
wares,
or
merchandise,
or
the
services
rendered,
28
furnished,
or
performed,
including
gas,
electric,
water,
and
29
sewer
utility
services
upon
which
sales
or
use
tax
has
been
30
paid
prior
to
project
completion,
and
shall
file
the
forms
with
31
the
eligible
business
before
final
settlement
is
made
between
32
the
business
and
the
contractor
or
subcontractor.
33
(2)
The
eligible
business
shall,
not
more
than
one
year
34
after
project
completion,
make
application
to
the
department
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for
any
refund
of
the
amount
of
the
sales
and
use
taxes
paid
1
pursuant
to
chapter
423
upon
any
sales
of
goods,
wares,
or
2
merchandise,
or
the
services
rendered,
furnished,
or
performed,
3
including
gas,
electric,
water,
and
sewer
utility
services
4
prior
to
project
completion.
The
application
shall
be
made
in
5
the
manner
and
upon
forms
to
be
provided
by
the
department.
6
The
department
shall
audit
the
claim
and,
if
approved,
issue
7
a
warrant
to
the
eligible
business
in
the
amount
of
the
sales
8
or
use
tax
approved
by
the
department.
A
claim
filed
by
an
9
eligible
business
in
accordance
with
this
subsection
shall
not
10
be
denied
by
reason
of
a
limitation
provision
set
forth
in
11
chapter
421
or
423.
12
(3)
The
eligible
business
shall
inform
the
department
of
13
revenue
of
the
project
completion
in
writing
within
two
weeks
14
of
the
project
completion.
15
(4)
A
contractor
or
subcontractor
who
willfully
makes
a
16
false
report
of
the
sales
or
tax
paid
under
the
provisions
of
17
this
subsection
commits
a
simple
misdemeanor
and
is
liable
for
18
the
payment
of
the
sales
and
use
tax
and
any
applicable
penalty
19
and
interest.
20
8.
The
authority
shall
adopt
rules
pursuant
to
chapter
17A
21
as
necessary
to
administer
this
section.
22
9.
The
department
of
revenue
may
adopt
rules
pursuant
to
23
chapter
17A
as
necessary
to
administer
this
section.
24
EXPLANATION
25
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
26
the
explanation’s
substance
by
the
members
of
the
general
assembly.
27
This
bill
permits
businesses’
new
onsite
daycare
facilities
28
or
businesses’
expansion
of
existing
onsite
daycare
facilities
29
to
qualify
as
projects
under
the
high
quality
jobs
program,
and
30
makes
penalties
applicable.
31
The
bill
permits
the
economic
development
authority
32
(authority)
to
provide
tax
incentives
(incentives)
or
project
33
completion
assistance
(assistance)
under
the
high
quality
jobs
34
program
(program)
to
a
business
for
a
project
that
involves
a
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new
onsite
child
care
facility
or
the
expansion
of
an
existing
1
onsite
facility
that
offers
low-cost
child
care
for
the
2
business’s
employees.
The
authority
may
provide
incentives
3
or
assistance
under
the
program
to
a
business
for
a
project
4
that
creates
or
retains
jobs
that
will
pay
a
percent
of
the
5
qualifying
wage
threshold
as
determined
pursuant
to
rules
6
adopted
by
the
authority.
The
bill
permits
the
authority,
7
pursuant
to
rules
adopted
by
the
authority,
to
determine
8
metrics
to
qualify
a
business
to
be
eligible
for
the
program.
9
In
determining
the
eligibility
of
a
business’s
project
under
10
the
program,
the
bill
requires
the
authority
to
consider
the
11
quality
of
the
jobs
to
be
created
or
retained,
with
an
emphasis
12
placed
on
jobs
that
are
full-time
or
career-type
positions,
13
that
provide
comprehensive
health
benefits,
and
that
pay
wages
14
equal
to
or
higher
than
similar
jobs
within
a
25-mile
radius
15
of
the
business’s
proposed
project.
The
authority
is
also
16
required
to
consider
the
impact
of
the
proposed
project
on
17
other
child
care
providers
in
competition
with
the
proposed
18
project.
19
The
authority
must
make
a
good-faith
effort
to
identify
20
existing
child
care
providers
in
competition
with
the
21
business’s
proposed
project
and
the
probability
that
the
22
proposed
project
will
displace
employees
of
the
existing
child
23
care
providers.
Jobs
created
or
retained
by
the
proposed
24
project
as
a
result
of
similar
jobs
being
displaced
in
a
25
25-mile
radius
from
the
business
cannot
be
considered
by
the
26
authority
as
jobs
created
or
retained.
27
The
bill
also
requires
the
authority
to
consider
the
28
economic
impact
of
the
proposed
project
on
the
state.
In
29
measuring
economic
impact,
the
authority
must
place
greater
30
emphasis
on
projects
that
are
located
in
economically
31
distressed
areas,
that
will
have
the
capacity
to
care
for
32
20
or
more
children,
that
are
located
in
areas
that
have
an
33
inadequate
number
of
existing
child
care
providers,
and
that
34
will
provide
child
care
to
the
business’s
employees
at
a
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low-cost
rate
as
determined
pursuant
to
rules
adopted
by
the
1
authority.
The
bill
defines
“economically
distressed
area”
as
2
a
county
that
ranks
among
the
bottom
33
of
all
Iowa
counties,
3
as
measured
by
either
the
average
monthly
unemployment
level
4
for
the
most
recent
12-month
period,
or
the
average
annualized
5
unemployment
level
for
the
most
recent
five-year
period.
6
If
a
business
that
is
approved
by
the
authority
to
receive
7
incentives
or
assistance
for
its
project
either
closes
or
8
reduces
the
capacity
of
the
child
care
facility
for
which
the
9
incentives
or
assistance
was
received,
the
authority
has
the
10
discretion
to
reduce
or
eliminate
some
or
all
of
the
incentives
11
or
assistance,
and
the
business
may
be
subject
to
repayment
of
12
all
or
a
portion
of
the
incentives
or
assistance
that
it
has
13
received.
14
A
business
that
is
awarded
tax
incentives
for
a
child
care
15
facility
is
entitled
to
a
refund
of
the
sales
and
use
taxes
16
paid
under
Code
chapter
423
for
gas,
electricity,
water,
or
17
sewer
utility
services,
goods,
wares,
or
merchandise,
or
18
on
services
rendered,
furnished,
or
performed
to
or
for
a
19
contractor
or
subcontractor
and
used
in
the
fulfillment
of
a
20
written
contract
relating
to
the
construction
or
equipping
21
of
a
child
care
facility
that
is
part
of
the
project
of
the
22
eligible
business.
Taxes
attributable
to
intangible
property,
23
furniture,
and
furnishings
cannot
be
refunded.
The
process
24
by
which
a
business
may
receive
a
refund
of
the
sales
and
use
25
taxes
paid
is
outlined
in
the
bill.
A
business
that
is
awarded
26
tax
incentives
for
a
child
care
facility
may
also
be
eligible
27
for
a
value-added
property
tax
exemption
pursuant
to
Code
28
section
15.332.
29
A
contractor
or
subcontractor
who
willfully
makes
a
false
30
report
of
sales
and
use
taxes
paid
under
the
provisions
of
the
31
bill
commits
a
simple
misdemeanor
and
is
liable
for
the
payment
32
of
the
taxes
and
any
applicable
penalties
and
interest.
A
33
simple
misdemeanor
is
punishable
by
confinement
for
no
more
34
than
30
days
or
a
fine
of
at
least
$105
but
not
more
than
$855
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