15.108 - PRIMARY RESPONSIBILITIES.

        15.108  PRIMARY RESPONSIBILITIES.
         The department has the following areas of primary responsibility:
         1.  Finance.  To provide for financial assistance to
      businesses, local governments, and educational institutions through
      loans and grants of state and federal funds to enable them to promote
      and achieve economic development within the state.  To carry out this
      responsibility, the department shall:
         a.  Expend federal funds received as community development
      block grants as provided in section 8.41.
         b.  Provide staff assistance to the corporation formed under
      authority of sections 15E.11 to 15E.16 to receive and disburse funds
      to further the overall development and well-being of the state.
         2.  Marketing.  To coordinate, develop, and make available
      technical services on the state and local levels in order to aid
      businesses in their start-up or expansion in the state.  To carry out
      this responsibility, the department shall:
         a.  Establish within the department a federal procurement
      office staffed with individuals experienced in marketing to federal
      agencies.
         b.  Aid in the marketing and promotion of Iowa products and
      services.  The department may adopt, subject to the approval of the
      board, a label or trademark identifying Iowa products and services
      together with any other appropriate design or inscription and this
      label or trademark shall be registered in the office of the secretary
      of state.  In authorizing the use of a marketing label or trademark
      to an applicant, the state, and any state agency, official, or
      employee involved in the authorization, is immune from a civil suit
      for damages, including but not limited to a suit based on contract,
      breach of warranty, negligence, strict liability, or tort.
      Authorization of the use of a marketing label or trademark by the
      state, or any state agency, official, or employee, is not an express
      or implied guarantee or warranty concerning the safety, fitness,
      merchantability, or use of the applicant's product or service.  This
      paragraph does not create a duty of care to the applicant or any
      other person.
         (1)  The department may register or file the label or trademark
      under the laws of the United States or any foreign country which
      permits registration, making the registration as an association or
      through an individual for the use and benefit of the department.
         (2)  The department shall establish guidelines for granting
      authority to use the label or trademark to persons or firms who make
      a satisfactory showing to the department that the product or service
      meets the guidelines as manufactured, processed, or originating in
      Iowa.  The trademark or label use shall be registered with the
      department.
         (3)  A person shall not use the label or trademark or advertise
      it, or attach it on any promotional literature, manufactured article
      or agricultural product without the approval of the department.
         (4)  The department may deny permission to use the label or
      trademark if the department believes that the planned use would
      adversely affect the use of the label or trademark as a marketing
      tool for Iowa products or its use would be inconsistent with the
      marketing objectives of the department.  Notwithstanding chapter 17A,
      the Iowa administrative procedure Act, the department may suspend
      permission to use the label or trademark prior to an evidentiary
      hearing which shall be held within a reasonable period of time
      following the denial.
         c.  Promote an import substitution program to encourage the
      purchase of domestically produced Iowa goods by identifying and
      inventorying potential purchasers and the firms that can supply them,
      contacting the suppliers to determine their interest and ability in
      meeting the potential demand, and making the buyers aware of the
      potential suppliers.
         d.  Aid in the promotion and development of the agricultural
      processing industry in the state.
         3.  Local government and service coordination.  To coordinate
      the development of state and local government economic
      development-related programs in order to promote efficient and
      economic use of federal, state, local, and private resources.
         a.  To carry out this responsibility, the department shall:
         (1)  Provide the mechanisms to promote and facilitate the
      coordination of management and technical assistance services to Iowa
      businesses and industries and to communities by the department, by
      the community colleges, and by the state board of regents
      institutions, including the small business development centers, the
      center for industrial research and service, and extension activities.
      In order to achieve this goal, the department may establish periodic
      meetings with representatives from the community colleges and the
      state board of regents institutions to develop this coordination.
      The community colleges and the state board of regents institutions
      shall cooperate with the department in seeking to avoid duplication
      of economic development services through greater coordinating efforts
      in the utilization of space, personnel, and materials and in the
      development of referral and outreach networks.  The department shall
      also establish a registry of applications for federal funds related
      to management and technical assistance programs.
         (2)  Provide office space and staff assistance to the city
      development board as provided in section 368.9.
         (3)  Provide technical and financial assistance to local and
      regional government organizations in Iowa, analyze intergovernmental
      relations in Iowa, and recommend policies to state agencies, local
      governments, the governor, and the general assembly as these pertain
      to economic development.
         (4)  Train field experts in local development and through them
      provide continuing support to small local organizations.
         (5)  Encourage cities, counties, local and regional government
      organizations, and local and regional economic development
      organizations to develop and implement comprehensive community and
      economic development plans.  In evaluating financial assistance
      applications, the department shall award supplementary credit to
      applications submitted by cities, counties, local and regional
      government organizations, and local and regional economic development
      organizations that have developed a comprehensive community and
      economic development plan.
         b.  In addition to the duties specified in paragraph "a",
      the department may:
         (1)  Perform state and interstate comprehensive planning and
      related activities.
         (2)  Perform planning for metropolitan or regional areas or areas
      of rapid urbanization including interstate areas.
         (3)  Provide planning assistance to cities, counties, local and
      regional government organizations, and local and regional economic
      development organizations.  Subject to the availability of funds for
      this purpose, the department may provide financial assistance to
      cities, counties, local and regional government organizations, and
      local and regional economic development organizations for the purpose
      of developing community and economic development plans.
         (4)  Assist public or private universities and colleges and urban
      centers to:
         (a)  Organize, initiate, develop, and expand programs which will
      provide special training in skills needed for economic and efficient
      community development.
         (b)  Support state and local research that is needed in connection
      with community development.
         4.  Exporting.  To promote and aid in the marketing and sale
      of Iowa industrial and agricultural products and services outside of
      the state.  To carry out this responsibility, the department shall:
         a.  Perform the duties and activities specified for the
      agricultural marketing program under sections 15.201 and 15.202.
         b.  To the extent deemed feasible and in coordination with the
      board of regents and the area community colleges, work to establish a
      conversational foreign language training program.
         c.  To the extent deemed feasible, promote and assist in the
      creation of one or more international currency and barter exchanges.

         d.  Seek assistance and advice from the export advisory board
      appointed by the governor and the Iowa district export council which
      advises the United States department of commerce.  The governor is
      authorized to appoint an export advisory board.
         e.  To the extent deemed feasible, develop a program in which
      graduates of Iowa institutions of higher education or former
      residents of the state who are residing in foreign countries and who
      are familiar with the language and customs of those countries are
      utilized as cultural advisors for the department and for Iowa
      businesses participating in trade missions and other foreign trade
      activities, and in which foreign students studying at Iowa
      institutions of higher education are provided means to establish
      contact with Iowa businesses engaged in export activities, and in
      which foreign students returning to their home countries are used as
      contacts for trading purposes.
         5.  Tourism.  To promote Iowa's public and private recreation
      and tourism opportunities to Iowans and out-of-state visitors and aid
      promotional and development efforts by local governments and the
      private sector.  To carry out this responsibility, the department
      shall:
         a.  Build general public consensus and support for Iowa's
      public and private recreation, tourism, and leisure opportunities and
      needs.
         b.  Recommend high quality site management and maintenance
      standards for all public and private recreation and tourism
      opportunities.
         c.  Coordinate and develop with the department of
      transportation, the department of natural resources, the department
      of cultural affairs, the generation Iowa commission, the vision Iowa
      board, other state agencies, and local and regional entities public
      interpretation, marketing, and education programs that encourage
      Iowans and out-of-state visitors to participate in the recreational
      and leisure opportunities available in Iowa.  The department shall
      establish and administer a program that helps connect both Iowa
      residents and residents of other states to new and existing Iowa
      experiences as a means to enhance the economic, social, and cultural
      well-being of the state.  The program shall include a broad range of
      new opportunities, both rural and urban, including main street
      destinations, green space initiatives, and artistic and cultural
      attractions.
         d.  Coordinate with other divisions of the department to add
      Iowa's recreation, tourism, and leisure resources to the agricultural
      and other images which characterize the state on a national level.
         e.  Consolidate and coordinate the many existing sources of
      information about local, regional, statewide, and national
      opportunities into a comprehensive, state-of-the-art information
      delivery system for Iowans and out-of-state visitors.
         f.  Formulate and direct marketing and promotion programs to
      specific out-of-state market populations exhibiting the highest
      potential for consuming Iowa's public and private tourism products.
         g.  Provide ongoing long-range planning on a statewide basis
      for improvements in Iowa's public and private tourism opportunities.

         h.  Provide the private sector and local communities with
      advisory services including analysis of existing resources and
      deficiencies, general development and financial planning, marketing
      guidance, hospitality training, and others.
         i.  Measure the change in public opinion of Iowans regarding
      the importance of recreation, tourism, and leisure.
         j.  Provide annual monitoring of tourism visitation by Iowans
      and out-of-state visitors to Iowa attractions, public and private
      employment levels, and other economic indicators of the recreation
      and tourism industry and report predictable trends.
         k.  Identify new business investment opportunities for private
      enterprise in the recreation and tourism industry.
         l.  Cooperate with and seek assistance from the state
      department of cultural affairs.
         m.  Seek coordination with and assistance from the state
      department of natural resources in regard to the Mississippi river
      parkway under chapter 308 for the purposes of furthering tourism
      efforts.
         n.  Collect, assemble, and publish a list of farmers who have
      agreed to host overnight guests, for purposes of promoting
      agriculture in the state and farm tourism, to the extent that funds
      are available.
         o.  Establish a revolving fund to receive contributions to be
      used for cooperative advertising efforts.  Fees and royalties
      obtained as a result of licensing the use of logos and other creative
      materials for sale by private vendors on selected products may be
      deposited in the fund.  The department shall adopt by rule a schedule
      for fees and royalties to be charged.
         p.  Establish, if the department deems necessary, a revolving
      fund to receive contributions and funds from the product sales center
      to be used for start-up or expansion of tourism special events,
      fairs, and festivals as established by department rule.
         6.  Employee training and retraining.  To develop employee
      training and retraining strategies in coordination with the
      department of education and department of workforce development as
      tools for business development, business expansion, and enhanced
      competitiveness of Iowa industry, which will promote economic growth
      and the creation of new job opportunities and to administer related
      programs.  To carry out this responsibility, the department shall:
         a.  Coordinate and perform the duties specified under the Iowa
      industrial new jobs training Act in chapter 260E, the Iowa jobs
      training Act in chapter 260F, and the workforce development fund in
      section 15.341.
         b.  In performing the duties set out in paragraph "a", the
      department shall:
         (1)  Work closely with representatives of business and industry,
      labor organizations, the department of education, the department of
      workforce development, and educational institutions to determine the
      employee training needs of Iowa employers, and where possible,
      provide for the development of industry-specific training programs.
         (2)  Promote Iowa employee training programs to potential and
      existing Iowa employers and to employer associations.
         (3)  Stimulate the creation of innovative employee training and
      skills development activities, including business consortium and
      supplier network training programs, and new employee development
      training models.
         (4)  Coordinate employee training activities with other economic
      development finance programs to stimulate job growth.
         (5)  Review workforce development initiatives as they relate to
      the state's economic development agenda, recommending action as
      necessary to meet the needs of Iowa's communities and businesses.
         (6)  Incorporate workforce development as a component of
      community-based economic development activities.
         7.  Small business.  To provide assistance to small business,
      targeted small business, microenterprises, and entrepreneurs creating
      small businesses to ensure continued viability and growth.  To carry
      out this responsibility, the department shall:
         a.  Receive and review complaints from individual small
      businesses that relate to rules or decisions of state agencies, and
      refer questions and complaints to a governmental agency where
      appropriate.
         b.  Establish and administer the regulatory information
      service provided for in section 15E.17.
         c.  Aid for the development and implementation of the Iowa
      targeted small business procurement Act established in sections 73.15
      through 73.21 and the targeted small business financial assistance
      program established in section 15.247.
         (1) (a)  By December 1 of each year, the department of
      administrative services shall file a written report with the
      department of economic development regarding the Iowa targeted small
      business procurement Act activities during the previous fiscal year.
      At a minimum, the report shall include a summary of all activities
      undertaken by the department of administrative services in an effort
      to maximize the utilization of the targeted small business
      procurement Act.
         (b)  By December 1 of each year, the department of inspections and
      appeals shall file a written report with the department of economic
      development regarding certifications of targeted small businesses.
      At a minimum, the report shall include the number of certified
      targeted small businesses for the previous year and the increase or
      decrease in that number during the previous fiscal year compared to
      the prior fiscal year, the number of targeted small businesses that
      have been decertified over the previous fiscal year, and a summary of
      all activities undertaken by the department of inspections and
      appeals regarding targeted small business certification.
         (c)  By December 1 of each year, the department of economic
      development shall compile an internal report regarding the targeted
      small business financial assistance program.  At a minimum, the
      report shall contain the number of loans, loan guarantees, and grants
      distributed during the previous fiscal year, the individual amounts
      provided to targeted small businesses during the previous fiscal
      year, and how many financial assistance awards to targeted small
      businesses were the subject of repayment or collection activity
      during the previous fiscal year.
         (d)  By December 1 of each year, the targeted small business
      marketing and compliance manager of the department of economic
      development shall compile a list of the procurement goals established
      pursuant to section 73.16, subsection 2, and the performance of each
      agency in meeting the goals.  The compilation of the performance of
      each agency shall be based upon the reports required to be filed
      under section 73.16, subsection 2.
         (e)  By January 15 of each year, the department of economic
      development shall submit to the governor and the general assembly a
      compilation of reports required under this subparagraph.
         (2)  The director, with cooperation from the other state agencies,
      shall publicize the procurement goal program established in sections
      73.15 through 73.21 to targeted small businesses and to agencies of
      state government, attempt to locate targeted small businesses able to
      perform contracts, and encourage program participation.  The director
      may request the cooperation of the department of administrative
      services, the state department of transportation, the state board of
      regents, or any other agency of state government in publicizing this
      program.
         (3)  The director, in conjunction with other state agencies, shall
      publicize the financial assistance program established in section
      15.247 to targeted small businesses.
         (4)  When the director determines, or is notified by the head of
      another agency of state government, that a targeted small business is
      unable to perform a procurement contract, the director shall assist
      the small business in attempting to remedy the causes of the
      inability to perform.  In assisting the small business, the director
      may use any management or financial assistance programs available
      through state or governmental agencies or private sources.
         (5)  The department of economic development shall establish
      targeted small business advocate service providers for purposes of
      providing mentoring, outreach, and professional development services
      to targeted small businesses certified pursuant to section 10A.104.
      Targeted small business advocate service providers shall be
      established through a request for proposals process.  Entities
      eligible to bid under the request for proposals process shall include
      but not be limited to a business accelerator, a small business
      development center, or any organization that provides mentoring,
      outreach, and professional development services to businesses.  A
      person serving on or staffing a governor's task force on targeted
      small businesses during calendar year 2006 shall not be eligible to
      be part of a bid under the request for proposals process until after
      July 1, 2009.  A person serving on or staffing a governor's targeted
      small business advisory council shall not be eligible to be part of a
      bid under the request for proposals process until three years
      following the termination of service or staffing the advisory
      council.  The advice and services provided by providers shall extend
      to all areas of business management in its practical application,
      including but not limited to accounting, engineering, drafting, grant
      writing, obtaining financing, locating bond markets, market analysis,
      and projections of profit and loss.
         d.  If determined necessary by the board, provide training for
      bank loan officers to increase their level of expertise in regard to
      business loans.
         e.  To the extent feasible, cooperate with the department of
      workforce development to establish a program to educate existing
      employers and new or potential employers on the rates and workings of
      the state unemployment compensation program and the state workers'
      compensation program.
         f.  Study the feasibility of reducing the total number of
      state licenses, permits, and certificates required to conduct small
      businesses.
         g.  Encourage and assist small businesses to obtain state
      contracts and subcontracts by cooperating with the directors of
      purchasing in the department of administrative services, the state
      board of regents, and the state department of transportation in
      performing the following functions:
         (1)  Developing a uniform small business vendor application form
      which can be adopted by all agencies and departments of state
      government to identify small businesses and targeted small businesses
      which desire to sell goods and services to the state.  This form
      shall also contain information which can be used to determine
      certification as a targeted small business pursuant to section
      10A.104, subsection 8.
         (2)  Compiling and maintaining a comprehensive source list of
      small businesses.
         (3)  Assuring that responsible small businesses are solicited on
      each suitable purchase.
         (4)  Assisting small businesses in complying with the procedures
      for bidding and negotiating for contracts.
         (5)  Simplifying procurement specifications and terms in order to
      increase the opportunities for small business participation.
         (6)  When economically feasible, dividing total purchases into
      tasks or quantities to permit maximum small business participation.
         (7)  Preparing timely forecasts of repetitive contracting
      requirements by dollar volume and types of contracts to enhance the
      participation of responsible small businesses in the public
      purchasing process.
         (8)  Developing a mechanism to measure and monitor the amount of
      participation by small businesses in state procurement.
         h.  In addition, the department shall provide assistance to a
      small business advisory council which shall consist of nine members
      appointed as follows:
         (1)  Not more than five of the members shall be from the same
      political party.  The governor shall appoint the members of the
      advisory council to four-year terms beginning and ending as provided
      by section 69.19, subject to confirmation by the senate.  Two-thirds
      of the membership of the advisory council shall consist of
      individuals who own and operate a small business or individuals
      employed in the management of a small business.
         (2)  A vacancy on the advisory council shall be filled in the same
      manner as regular appointments are made for the unexpired portion of
      the regular term.
         (3)  The advisory council shall meet in May of each year for the
      purpose of electing one of its members as chairperson and one of its
      members as vice chairperson.  However, the chairperson and vice
      chairperson shall not be from the same political party.  The advisory
      council shall meet at least quarterly.
         (4)  Members of the advisory council shall be allowed their actual
      and necessary expenses incurred in the performance of their duties.
      All expenses shall be paid from appropriations to the department for
      those purposes.
         (5)  The duties of the advisory council may include but shall not
      be limited to the following:
         (a)  Advise and consult with the board with respect to matters
      which are of concern to small business.
         (b)  Submit recommendations to the board relating to actual or
      proposed activities concerning small business.
         (c)  Submit recommendations for legislative or administrative
      action.
         (d)  Review and monitor small business programs and agencies in
      order to determine their effectiveness and whether they complement or
      compete with each other, and to coordinate the delivery of programs
      and services aimed at small businesses.
         (e)  Initiate small business studies as deemed necessary.
         (f)  Provide other information or perform other duties which would
      be of assistance to small business.
         8.  Case management.  To provide case management assistance to
      low-income persons for the purpose of establishing or expanding small
      business ventures as provided in section 15.246.
         9.  Miscellaneous.  To provide other necessary services, the
      department shall:
         a.  Collect and assemble, or cause to have collected and
      assembled, all pertinent information available regarding the
      industrial, agricultural, and public and private recreation and
      tourism opportunities and possibilities of the state of Iowa,
      including raw materials and products that may be produced from them;
      power and water resources; transportation facilities; available
      markets; the banking and financing facilities; the availability of
      industrial sites; the advantages of the state as a whole, and the
      particular sections of the state, as industrial locations; the
      development of a grain alcohol motor fuel industry and its related
      products; and other fields of research and study as the board deems
      necessary.  This information, as far as possible, shall consider both
      the encouragement of new industrial enterprises in the state and the
      expansion of industries now existing within the state, and allied
      fields to those industries.  The information shall also consider the
      changing composition of the Iowa family and the level of poverty
      among different age groups and different family structures in Iowa
      society and their impact on Iowa families.
         b.  Apply for, receive, contract for, and expend federal funds
      and grants and funds and grants from other sources.
         c.  Except as otherwise provided in sections 8A.110, 260C.14,
      and 262.9, provide that an inventor whose research is funded in whole
      or in part by the state shall assign to the state a proportionate
      part of the inventor's rights to a letter patent resulting from that
      research.  Royalties or earnings derived from a letter patent shall
      be paid to the treasurer of state and credited by the treasurer to
      the general fund of the state.  However, the department in
      conjunction with other state agencies, including the board of
      regents, shall provide incentives to inventors whose research is
      funded in whole or in part by the state for having their products
      produced in the state.  These incentives may include taking a smaller
      portion of the inventor's royalties or earnings than would otherwise
      occur under this paragraph or other provisions of the law.
         d.  Administer or oversee federal rural economic development
      programs in the state.
         e.  At the director's discretion, accept payment by credit
      card of any fees, interest, penalties, subscriptions, registrations,
      purchases, or other payments, or any portion of such payments, which
      are due or collected by the department.  The department may adjust
      the amount of the payment to reflect the costs of processing the
      payment as determined by the treasurer of state and the payment by
      credit card shall include, in addition to all other charges, any
      discount charged by the credit card issuer.
         f.  Provide technical assistance to individuals who are
      pursuing the purchase and operation of employee-owned businesses.
         10.  Economic development planning and research activities.
      To provide leadership and support for economic and community
      development activities statewide.  To carry out this responsibility,
      the department may establish a research center for economic
      development programs and services whose duties may include but are
      not limited to the following:
         a.  Implementation of a comprehensive statewide economic
      development planning process and provision of leadership,
      coordination, and support to regional and local economic and
      community planning efforts.
         b.  Coordination of the delivery of economic and community
      development programs with other local, regional, state, federal, and
      private sector programs and activities.
         c.  Collection and analysis of data and information,
      development of databases and performing research to keep abreast of
      Iowa's present economic base, changing market demands, and emerging
      trends, including identification of targeted markets and development
      of marketing strategies.
         d.  Provision of access to databases to facilitate sales and
      exports by Iowa businesses.
         e.  Establishment of a database of community and economic
      information to aid local, regional, and statewide economic
      development and service delivery efforts.
         11.  Housing development.
         a.  To provide assistance to local governments, housing
      organizations, economic development groups, and other local entities
      to increase the development of housing in the state and to improve
      the quality of existing housing in order to maximize the effects of
      other economic development efforts.
         b.  To carry out this responsibility, the department shall:
         (1)  Provide housing needs assessments.
         (2)  Provide a one-stop source, in coordination with other
      agencies of the state, for housing development assistance.
         (3)  Establish programs which assist communities or local entities
      in developing housing to meet a range of community needs, including
      programs to assist homeless shelter operations and programs to assist
      in the development of housing to enhance economic development
      opportunities in the community.  
         Section History: Recent Form
         86 Acts, ch 1142, §1; 86 Acts, ch 1238, §44; 86 Acts, ch 1245,
      §808; 87 Acts, ch 101, §2; 87 Acts, ch 106, §1; 88 Acts, ch 1098, §1;
      88 Acts, ch 1273, §6--8; 89 Acts, ch 196, §1; 89 Acts, ch 209, §1; 89
      Acts, ch 258, §12; 90 Acts, ch 1047, §1; 90 Acts, ch 1140, §1; 90
      Acts, ch 1156, §3; 90 Acts, ch 1255, §2; 91 Acts, ch 28, §1; 91 Acts,
      ch 109, §1; 92 Acts, ch 1089, § 1; 92 Acts, ch 1244, § 11; 93 Acts,
      ch 167, §9; 93 Acts, ch 180, §34, 35; 94 Acts, ch 1023, §4; 94 Acts,
      ch 1199, §16; 96 Acts, ch 1186, §1--4, 23; 97 Acts, ch 15, §1, 2; 97
      Acts, ch 214, §1; 98 Acts, ch 1175, §1, 2; 99 Acts, ch 197, §20, 23;
      2001 Acts, ch 61, §2--5; 2003 Acts, ch 44, §9; 2003 Acts, ch 71, §1;
      2003 Acts, ch 145, §138, 286; 2003 Acts, 1st Ex, ch 1, §76, 133
         [2003 Acts, 1st Ex, ch 1, § 76, 133, amendment adding new
      paragraph g to subsection 9, stricken pursuant to Rants v.
      Vilsack, 684 N.W.2d 193]
         2006 Acts, ch 1100, §1; 2007 Acts, ch 126, §5; 2007 Acts, ch 207,
      §6, 18; 2008 Acts, ch 1122, §4, 7--9; 2008 Acts, ch 1178, § 2
         Referred to in § 8A.111, 15.104, 19B.7, 73.20, 455B.199B
         Confirmation, see §2.32