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Iowa House OKs more money for economic development

DES MOINES, Iowa (AP) -- House lawmakers have approved more money for the state to spend on tax credits to entice new businesses to Iowa and help others expand.

The Iowa House approved the $50 million credit increase Wednesday in a 94 to 1 vote. The measure increases the tax credit limit that the Iowa Economic Development Authority can offer business to $170 million.

It now moves to Gov. Terry Branstad for his signature.

Director Debi Durham had told lawmakers in January that the agency needed $65 million more to finish negotiating projects during the fiscal year ending June 30.

Republican Rep. Chip Baltimore, of Boone, says the final figure was a good compromise.

If Branstad signs the measure, the agency can apply the tax credits retroactively to projects from the current fiscal year.