HF 2599 — A bill for an act creating a grocer reinvestment program, a local produce processing grant program, and a grocer reinvestment and local food processing fund under the purview of the economic development authority, modifying the local food and farm program, and making appropriations.

Bill Text

• Introduced View text Current pdf

AI-generated reading aid from the bill's amendatory text — verify against the official bill.

The bill establishes new programs and funding mechanisms to support grocery stores and local produce processing in Iowa.

• Section 267A.1

  "food entrepreneurs, and grocery stores" → "food entrepreneurs, grocery stores, and"

  This change includes grocery stores in the purpose statement of the chapter.

• Section 267A.1

  "Increase the number of jobs in this state’s farm and business economies associated with producing, processing, distributing, retailing, and marketing local food." → "Increase the number of jobs in this state’s farm and business economies associated with producing, processing, distributing, retailing, and marketing local food, and increase the availability and viability of grocery stores in this state."

  This adds a goal of increasing the availability and viability of grocery stores to the section.

• Section 267A.1

  "e. Increase the availability and viability of grocery stores in this state."

  This adds a new objective focused on the viability of grocery stores.

• Section 267A.2

  "4A. “Grocery store” means the same as defined in section 15.413."

  This introduces a definition for 'grocery store' based on the new section 15.413.

• Section 267A.6

  "food entrepreneurs, grocers," → "food entrepreneurs, grocers, and consumers."

  This change broadens the focus of communication and cooperation to include consumers.

• Section 267A.6

  "c. Demonstrate the value of processing, distributing, retailing, and marketing local foods. A demonstration project must be capable of being replicated on a statewide basis."

  This adds a requirement for demonstration projects related to local foods.

• Section 15.413

  "Grants shall be provided only from the funds and assets legally available to the authority pursuant to this section."

  This specifies the source of funding for the grocer reinvestment program.

• Section 15.414

  "The authority shall establish and administer the local produce processing grant program for the purpose of awarding grants to Iowa-based entities to increase the availability of local produce processing."

  This establishes a new grant program aimed at local produce processing.

• Section 15.415

  "A grocer reinvestment and local food processing fund is created in the state treasury under the control of the authority."

  This creates a specific fund to support the established programs.

• Section 15.415

  "The fund shall be used to award financial assistance as provided under the grocer reinvestment program established in section 15.413 and the local produce processing grant program established in section 15.414."

  This delineates the purpose of the fund created.

• Section 15.415

  "By November 1, 2025, and each November 1 thereafter, if financial assistance has been provided in the immediately preceding fiscal year, the director shall submit a report to the general assembly describing the activities of the program."

  This mandates reporting on the program's activities to the general assembly.

• Section 15.415

  "Notwithstanding section 8.33, moneys in the fund that remain unencumbered or unobligated at the close of the fiscal year shall not revert but shall remain available for expenditure for the purposes designated until the close of the succeeding fiscal year."

  This ensures that unspent funds can be carried over to the next fiscal year.

• Section 15.415

  "The authority may use not more than five percent of the moneys in the fund at the beginning of the fiscal year for purposes of administrative costs, marketing, technical assistance, and other program support."

  This allows a portion of the fund to be used for administration and support costs.

• Section 15.415

  "one hundred thousand dollars of the annual appropriation to the fund... shall be allocated to the local produce processing grant program established in section 15.414." → "one hundred thousand dollars of the annual appropriation to the fund, or ten percent of the moneys in the fund available on July 1, whichever is less, shall be allocated to the local produce processing grant program established in section 15.414."

  This modifies the allocation mechanism for the local produce processing grant program.

• Section 15.415

  "The authority may adopt rules pursuant to chapter 17A to administer this section."

  This grants rule-making authority to the authority for the administration of the program.

• Section to be created

  "The authority shall establish eligibility criteria for the program by rule."

  This establishes that the authority can set eligibility criteria for the programs.

• Section to be created

  "Financial assistance awarded under the program shall not exceed two hundred thousand dollars."

  This sets a cap on the amount of financial assistance available.

Action History

1. February 19, 2024

   Introduced, referred to Appropriations.

Sponsors

• COMMITTEE ON ECONOMIC GROWTH AND TECHNOLOGY · Primary

Subjects