SS/SCS/SB 672 - This act modifies provisions relating to workforce development.JOINT COMMITTEE ON RURAL ECONOMIC DEVELOPMENT
This act establishes the Joint Committee on Rural Economic Development, which shall be composed of five members of the Senate to be appointed by the President Pro Tem, no more than three of which shall be from the majority party, and five members of the House of Representatives to be appointed by the Speaker of the House of Representatives, no more than three of which shall be from the majority party. The Committee shall investigate and examine issues relating to the economic development of rural areas of the state, as described in the act. The Committee may submit a report of its activities to the General Assembly, which shall include any recommendations for legislative action or administrative and procedural changes.
This provision is identical to a provision in SCS/SB 705 (2022), SCS/SB 750 (2022), CCS/SS/SCS/HCS/HB 1720 (2022), and HCS/HB 2203 (2022).
FAST TRACK WORKFORCE INCENTIVE GRANT
This act modifies provisions relating to the Fast Track Workforce Incentive Grant program.
Under the act, an eligible student shall include an individual who is enrolled with an eligible training provider, as such term is defined in the act.
Occupations relating to eligible apprenticeships are added to the programs of study that the Coordinating Board for Higher Education shall annually review.
Grants shall be awarded in an amount equal to the related educational costs for an eligible apprentice after all other governmental assistance provided for the apprenticeship has been applied.
This act repeals requirements that the eligible student complete counseling and execute a promissory note in order to be eligible for a grant. (Section 173.2553)
Current law allows a Fast Track grant to be converted into a loan if a student fails to meet certain conditions. This act repeals such ability. (Section 173.2554)
This act shall sunset on August 28, 2029, unless reauthorized by the General Assembly.
This provision is identical to a provision in HCS/HB 2203 (2022).
TARGETED INDUSTRIAL MANUFACTURING ENHANCEMENT ZONES
This act establishes the "Targeted Industrial Manufacturing Enhancement Zones Act".
This act allows any two or more contiguous or overlapping political subdivisions, as defined in the act, to create targeted industrial manufacturing enhancement (TIME) zones for the purpose of completing infrastructure projects to promote economic development. Prior to the creation of a TIME zone, each political subdivision shall propose an ordinance or resolution that sets forth the names of the political subdivisions which will form the zone, the general nature of the proposed improvements, the estimated cost of such improvements, the boundaries of the proposed TIME zone, and the estimated number of new jobs to be created in the TIME zone. The political subdivisions shall hold a public hearing prior to approving the ordinance or resolution creating the TIME zone.
This act allows the zone board governing the TIME zone to retain twenty-five percent of withholding taxes on new jobs created within the TIME zone to fund improvements made in the TIME zone. Prior to retaining such withholding taxes, the zone board shall enter into an agreement with the Department of Economic Development. Such agreement shall specify the estimated number of new jobs to be created, the estimated average wage of new jobs to be created, the estimated net fiscal impact of the new jobs, the estimated costs of improvements, and the estimated amount of withholding tax to be retained over the period of the agreement. The Department shall not approve an agreement unless the zone board commits to the creation of a certain number of new jobs, as described in the act.
The term of such agreement shall not exceed ten years. A zone board may apply to the Department for approval to renew any agreement. In determining whether to approve the renewal of an agreement, the Department shall consider the number of new jobs created and the average wage and net fiscal impact of such new jobs, and the outstanding improvements to be made within the TIME zone, the funding necessary to complete such improvements, and any other factor the Department requires. The Department may approve the renewal of an agreement for a period not to exceed ten years. If a zone board has not met the new job creation requirement s by the end of the agreement, the Department shall recapture the withholding taxes retained by the zone board.
The zone board shall submit an annual report to the Department and to the General Assembly, as described in the act.
No political subdivision shall establish a TIME zone with boundaries that overlap the boundaries of an advanced industrial manufacturing (AIM) zone.
The total amount of withholding taxes retained by TIME zones under this act shall not exceed $5 million per year.
No new TIME zone shall be created after August 28, 2025. (Section 620.2250)
This provision is identical to HB 1685 (2022) and to a provision in HCS/HB 2203 (2022), and is substantially similar to HCS/HB 379 (2021) and HCS/HB 1695 (2020), and to a provision contained in SCS/SB 174 (2021), CCS/HCS/SB 365 (2021), HCS/SS/SCS/SB 594 (2020), HCS/SS/SCS/SB 570 (2020), HCS/SCS/SB 725 (2020), and SS#2/SCS/HCS/HB 1854 (2020).
JOSH NORBERG