Iowa 2023-2024 Regular Session

Iowa House Bill HF642

Introduced
3/7/23  
Introduced
3/7/23  

Caption

A bill for an act establishing the major economic growth attraction program to be administered by the economic development authority, and providing penalties.(Formerly HSB 147.)

Impact

The MEGA Program provisionally simplifies the process for foreign businesses seeking to invest in agricultural land under certain conditions. This provision is expected to foster increased foreign investment in Iowa's economy, contingent on specific compliance requirements such as retaining a significant level of in-state jobs and suppliers. Critics, however, express concerns that the bill might facilitate the acquisition of valuable agricultural land by foreign entities without adequate oversight, potentially compromising local interests.

Summary

House File 642 introduces the Major Economic Growth Attraction Program (MEGA Program), which is designed to enhance Iowa's economic growth by providing tax incentives to eligible businesses. The bill stipulates that businesses must propose a project located on a certified site larger than 250 acres, with a minimum qualifying investment of $1 billion. The program aims to attract high-wage jobs and sustainable economic activities, particularly in advanced manufacturing, biosciences, and research and development sectors, while placing restrictions on data centers and retail businesses.

Contention

Notable contention surrounding HF642 includes concerns over the long-term implications for local economies and agricultural land usage. Proponents argue that the program will significantly stimulate economic growth and job creation, while opponents fear it may allow foreign corporations to gain too much control over local resources. Additionally, there are debates about the effectiveness and accountability of the tax incentives provided, particularly regarding the potential for misuse and whether these investments will truly benefit Iowans in the long run.

Companion Bills

IA HSB147

Related A bill for an act establishing the major economic growth attraction program to be administered by the economic development authority, and providing penalties.(See HF 642.)

IA SSB1162

Related A bill for an act establishing the major economic growth attraction program to be administered by the economic development authority, and providing penalties.(See SF 574.)

IA SF574

Similar To A bill for an act relating to programs administered by the economic development authority by establishing the economic growth attraction program, modifying the certified site and high-quality jobs programs, making appropriations, providing penalties, and including effective date provisions. (Formerly SSB 1162.) Effective date: 05/10/2024.

Previously Filed As

IA SF2373

A bill for an act modifying the major economic growth attraction program to include incentivizing the building of a professional sports stadium by a national football league franchise in the state.(Formerly SF 2252.)

IA SB809

The opportunity attraction and promotion program administered by the Wisconsin Economic Development Corporation.

IA AB813

The opportunity attraction and promotion program administered by the Wisconsin Economic Development Corporation.

IA SF2301

A bill for an act relating to matters under the purview of the economic development authority, the utilities commission, and the department of education, including creation of the headquarters expansion and development for growth and employment program, and the business incentives for growth program training fund; repeal of the new jobs tax credit program; the major economic growth attraction program; load forecasting and analysis of electric transmission system expansion plans; creation of the electric transmission system expansion planning and analysis and load forecasting fund; the industrial new jobs training program; and including effective date provisions.(Formerly SSB 3103; See SF 2506.)

IA SF2252

A bill for an act modifying the major economic growth attraction program to include incentivizing the building of a professional sports stadium by a national football league franchise in the state.(See SF 2373.)

IA HB4112

Economic development: Michigan economic growth authority; definition of new construction under the Michigan economic growth authority act; modify. Amends sec. 3 of 1995 PA 24 (MCL 207.803). TIE BAR WITH: HB 4111'25

IA SF2506

A bill for an act relating to matters under the purview of the economic development authority, the utilities commission, and the department of education, including creation of the headquarters expansion and development for growth and employment program, and the business incentives for growth program training fund; repeal of the new jobs tax credit program; the major economic growth attraction program; load forecasting and analysis of electric transmission system expansion plans; creation of the electric transmission system expansion planning and analysis and load forecasting fund; the industrial new jobs training program; establishing the new jobs training program interim study committee; the research activities credit; and including effective date provisions.(Formerly SF 2301, SSB 3103.)

IA HF2799

A bill for an act relating to matters under the purview of the economic development authority, the utilities commission, and the department of education, including creation of the headquarters expansion and development for growth and employment program, and the business incentives for growth program training fund; repeal of the new jobs tax credit program; the major economic growth attraction program; load forecasting and analysis of electric transmission system expansion plans; creation of the electric transmission system expansion planning and analysis and load forecasting fund; the industrial new jobs training program; and establishing the new jobs training program interim study committee; and including effective date provisions. (Formerly HSB 755.) Effective date: 06/02/2026, 07/01/2026.

IA SSB3103

A bill for an act relating to matters under the purview of the economic development authority, the utilities commission, and the department of education, including creation of the headquarters expansion and development for growth and employment program, and the business incentives for growth program training fund; repeal of the new jobs tax credit program; the major economic growth attraction program; load forecasting and analysis of electric transmission system expansion plans; creation of the electric transmission system expansion planning and analysis and load forecasting fund; the industrial new jobs training program; and including effective date provisions.(See SF 2301, SF 2506.)

IA HSB755

A bill for an act relating to matters under the purview of the economic development authority, the utilities commission, and the department of education, including creation of the headquarters expansion and development for growth and employment program, and the business incentives for growth program training fund; repeal of the new jobs tax credit program; the major economic growth attraction program; load forecasting and analysis of electric transmission system expansion plans; creation of the electric transmission system expansion planning and analysis and load forecasting fund; the industrial new jobs training program; and including effective date provisions.(See HF 2799.)

Similar Bills

No similar bills found.