(DES MOINES) - Gov. Terry Branstad signed into law Monday a bill that will create an economic development authority, giving private businesses a greater role in shaping programs.
Along with the authority, the legislation creates a nonprofit group that will focus on sparking innovation in the state. Branstad said public-private partnership is needed to raise incomes 25 percent and create 200,000 jobs in the next five years, two of hise campaign promises.
The measure also changes the name of the main state agency that does economic development, the Department of Economic Development, to the Iowa Partnership for Economic Progress. Backers say the name better reflects the structure of the new agency.
"This brings 21st-century thinking into our economic efforts," said Branstad's spokesman Tim Albrecht
Albrecht said many states are moving aggressively to get businesses more involved in developing policies on bolstering the economy because those companies are largely responsible for creating jobs.
Albrecht said that many Iowa cities have adopted the public-private model for economic development and the issue is far from partisan. Branstad picked Debi Durham to head the agency after she developed a public-private effort in Sioux City. At the same time, Democrat Michael Blouin has developed a similar effort in Dubuque.
"We're excited to begin moving in this direction," said Albrecht.