HF 389 (LSB 1813YH (3) 86)

HOUSE FILE 389

BY  KLEIN

A BILL FOR

An Act relating to the regulation of agricultural seed, by providing that seed exchanges and seed libraries are exempt from testing requirements and the payment of permit fees.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 199.1, Code 2015, is amended by adding the following new subsections:
   NEW SUBSECTION.  21A.  a.  “Seed exchange” means a person who is all of the following:
   (1)  An individual; a government entity; a person organized and operating on a cooperative or nonprofit basis; or a partnership, business corporation, limited liability company, or trust if all its partners, shareholders, members, or beneficiaries are individuals.
   (2)  Engaged in transferring agricultural seed to persons in return for agricultural seed having equivalent value.
   b.  “Seed exchange” does not include a person who during any twelve-month period transfers or receives agricultural seed having a total fair market value of more than one hundred thousand dollars.
   NEW SUBSECTION.  21B.  “Seed library” means a government entity, or a person organized and operating on a cooperative or nonprofit basis, that donates and receives donations of agricultural seed in order to do any of the following:
   a.  Preserve varieties of agricultural seed.
   b.  Educate the public regarding the value of agricultural seed varieties.
   c.  Provide agricultural seed to persons without receiving legal consideration or receiving agricultural seed of equivalent value.
    Sec. 2.  Section 199.9, Code 2015, is amended by adding the following new subsection:
   NEW SUBSECTION.  3.  The department shall not require any of the following:
   a.  Agricultural seed owned and possessed by a seed exchange or seed library to be subject to inspection, analysis, or testing, including as provided in sections 199.10 and 199.11.
   b.  A seed exchange or a seed library to pay a fee for a new or renewed permit as otherwise required in section 199.15.
EXPLANATION
The inclusion of this explanation does not constitute agreement with

the explanation’s substance by the members of the general assembly.
   BILL —— SUMMARY. This bill provides that a seed exchange or seed library is exempt from certain requirements otherwise imposed on persons engaged in selling, distributing, transporting, offering for sale, or advertising agricultural seed. The bill provides that any agricultural seed owned and possessed by a seed exchange or seed library is exempt from inspection, analysis, and testing requirements (Code sections 199.10 and 199.11) or paying a fee for obtaining a permit (Code section 199.15).
   BILL —— SEED EXCHANGE AND SEED LIBRARY DEFINED. The bill defines a “seed exchange” as an individual, a government entity, a person organized and operating on a nonprofit or cooperative basis, or another entity entirely owned by individuals (e.g., as shareholders of a corporation), if the person is engaged in transferring agricultural seed to persons in return for agricultural seed of equivalent value, up to $100,000 during any 12-month period. The bill defines a “seed library” as a government entity, or a person organized and operating on a cooperative or nonprofit basis, that donates and receives donations of agricultural seed for promotion, education, or transfer without receiving legal consideration in return.
   BACKGROUND. The department of agriculture and land stewardship acting with Iowa state university of science and technology provides for the regulation of agricultural seed sold, offered for sale, exposed for sale, or transported within this state. Agricultural seed includes grass, forage, cereal, oil, fiber, and any other kind of crop seed, lawn seed, vegetable seed, or seed mixtures.