Senate File 347 - Introduced SENATE FILE 347 BY COMMITTEE ON COMMERCE (SUCCESSOR TO SF 168) A BILL FOR An Act relating to the regulation of commercial establishments 1 keeping nonagricultural animals, providing for fees and 2 appropriations, and making penalties applicable. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 1192SV (2) 86 da/nh

S.F. 347 DIVISION I 1 REGULATION, FEES, AND APPROPRIATIONS 2 Section 1. Section 162.2, subsections 6, 14, 15, 17, 23, and 3 26, Code 2015, are amended by striking the subsections. 4 Sec. 2. Section 162.2, subsections 3, 9, and 10, Code 2015, 5 are amended to read as follows: 6 3. “Animal shelter” means a facility which is housing 7 facilities used to receive, house , or contain dogs or cats, 8 or both, or transfer vertebrate animals and which is owned, 9 operated, or maintained by an incorporated humane society, 10 animal welfare society, society for the prevention of cruelty 11 to animals, or other nonprofit organization devoted to the 12 welfare, protection, and humane treatment of such animals. 13 9. “Commercial establishment” or “establishment” means an 14 animal rescue, animal sanctuary, animal shelter, boarding 15 kennel, commercial breeder, commercial kennel, dealer, 16 grooming facility, pet shop, pound, public auction, or research 17 facility. 18 10. a. “Commercial kennel” means a kennel which performs 19 grooming, an establishment where boarding , or training services 20 are provided for dogs or cats in return for a consideration. 21 The establishment may also provide grooming services as an 22 incidental part of its operation. 23 b. “Commercial kennel” does not include an establishment in 24 which a dog or cat remains in the custody of the owner of the 25 dog or cat. 26 Sec. 3. Section 162.2, Code 2015, is amended by adding the 27 following new subsections: 28 NEW SUBSECTION . 2A. “Animal rescue” means a person who 29 during a state fiscal year receives more than six adult dogs 30 or cats, or more than three litters of dogs or cats, and who 31 retains custody of the dogs or cats on a temporary basis until 32 doing any of the following: 33 a. Transferring the dogs or cats to an animal shelter, 34 pound, or another animal rescue. 35 -1- LSB 1192SV (2) 86 da/nh 1/ 25

S.F. 347 b. Relinquishing custody of the dogs or cats by adoption to 1 members of the public. 2 NEW SUBSECTION . 2B. “Animal sanctuary” means a person who 3 during a state fiscal year owns or leases and controls housing 4 facilities where at least six adult dogs or cats have been 5 received from one or more persons, if all of the following 6 apply: 7 a. When received, each dog or cat was any of the following: 8 (1) Abandoned, orphaned, or unwanted, or transferred by a 9 pound or animal shelter. 10 (2) In an impaired condition due to disease, injury, or 11 birth defect, or a threatened animal as defined in section 12 717B.1. 13 b. Each dog or cat is maintained by the person on a 14 permanent basis, until the death of the dog or cat, or the 15 person transfers the dog or cat to any of the following: 16 (1) An animal rescue. 17 (2) Another animal sanctuary. 18 (3) An animal shelter. 19 (4) A pound. 20 NEW SUBSECTION . 15A. “Foster care home” means a private 21 residence that provides an animal with temporary maintenance, 22 including shelter and care, if the animal has been accepted by 23 a person licensed as an animal rescue, animal shelter, or pound 24 and that person is authorized by the department to oversee the 25 operations of the private residence. 26 NEW SUBSECTION . 15B. “Grooming facility” means an 27 establishment including a salon that, as the principal part 28 of its operation, provides grooming services in return for 29 consideration. 30 NEW SUBSECTION . 15C. “Grooming services” means providing 31 a dog or cat with hygienic care or treatment to improve 32 appearance, which may include but is not limited to bathing; 33 the removal of dead hair or skin; hair clipping, shaving, or 34 brushing; nail trimming; or providing flea or tick control. 35 -2- LSB 1192SV (2) 86 da/nh 2/ 25

S.F. 347 NEW SUBSECTION . 16A. “License” means an authorization to 1 operate a commercial establishment as provided in this chapter 2 regardless of whether the authorization is also referred to as 3 a permit or certificate of registration. 4 NEW SUBSECTION . 16B. “Licensee” means a commercial 5 establishment that operates pursuant to a license issued and 6 renewed by the department pursuant to section 162.2A. 7 NEW SUBSECTION . 16C. “Local authority” means the same as 8 defined in section 717B.1. 9 NEW SUBSECTION . 20A. “Practice of veterinary medicine” 10 means the same as defined in section 169.3. 11 NEW SUBSECTION . 28. “Veterinary facility” means an 12 establishment where one or more licensed veterinarians 13 are engaged in the practice of veterinary medicine. The 14 establishment may also provide grooming services as an 15 incidental part of its operation. 16 Sec. 4. Section 162.2A, subsections 1, 2, 4, and 5, Code 17 2015, are amended to read as follows: 18 1. The department shall provide for the operation of 19 issuance or renewal of a license to operate a commercial 20 establishment by issuing or renewing an authorization, 21 including any of the following: . A person who owns a 22 commercial establishment shall be deemed to operate that 23 commercial establishment. 24 a. A certificate of registration for a pound, animal 25 shelter, or research facility. 26 b. A state license for a boarding kennel, commercial kennel, 27 or pet shop. 28 c. A state license or permit for a commercial breeder, 29 dealer, or public auction. A federal licensee must apply for 30 and be issued either a permit or a state license in lieu of a 31 permit. 32 2. a. A person must hold a current, valid license in order 33 to operate a commercial establishment. 34 b. A person must be issued a separate state hold a single 35 -3- LSB 1192SV (2) 86 da/nh 3/ 25

S.F. 347 license , certificate of registration, or permit for each class 1 of commercial establishment owned or operated by the person , 2 regardless of how many locations for that class are operated 3 by the person . Each of the following is a separate class of 4 commercial establishment: 5 (1) An animal rescue. 6 (2) An animal sanctuary. 7 (3) An animal shelter. 8 (4) A boarding kennel. 9 (5) A commercial breeder. 10 (6) A commercial kennel. 11 (7) A grooming facility. 12 (8) A dealer. 13 (9) A pet shop. 14 (10) A pound. 15 (11) A public auction. 16 (12) A research facility. 17 4. The authorization A license expires on an annual basis 18 as provided by the department, and must be renewed by the 19 commercial establishment on an annual basis on or before the 20 authorization’s license’s expiration date. 21 5. a. A commercial establishment applying for the issuance 22 or renewal of a permit shall provide the department with proof 23 that the person is a federal licensee. 24 b. The department shall not require that it must enter onto 25 the premises of a commercial establishment in order to issue a 26 permit. The department shall not require that it must enter 27 onto the premises of a commercial establishment in order to 28 renew a permit, unless it has reasonable cause to monitor the 29 commercial establishment as provided in section 162.10C . The 30 department may deny an application for the issuance or renewal 31 of a license if the department determines that the applicant is 32 in violation of this chapter or has not demonstrated that the 33 applicant will comply with the provisions of this chapter. 34 Sec. 5. Section 162.2B, Code 2015, is amended by striking 35 -4- LSB 1192SV (2) 86 da/nh 4/ 25

S.F. 347 the section and inserting in lieu thereof the following: 1 162.2B Fees. 2 1. The department shall establish, assess, and collect 3 fees for issuing or renewing a license as provided in section 4 162.2A. The fee assessed under this section shall include a 5 base amount plus any applicable scheduled amount. 6 2. For a commercial establishment that is an animal rescue, 7 animal sanctuary, animal shelter, pound, or research facility, 8 all of the following shall apply: 9 a. The base amount equals seventy-five dollars. A single 10 base amount shall be assessed for all locations operated by the 11 commercial establishment. 12 b. A scheduled amount shall not be assessed. 13 3. For a commercial establishment that is a dealer or 14 grooming facility, all of the following shall apply: 15 a. The base amount equals one hundred dollars. A single 16 base amount shall be assessed for all locations operated by the 17 commercial establishment. 18 b. A scheduled amount shall not be assessed. 19 4. For a commercial establishment that is a boarding kennel, 20 commercial kennel, or public auction, all of the following 21 shall apply: 22 a. The base amount equals one hundred seventy-five dollars. 23 A single base amount shall be assessed for all locations 24 operated by the commercial establishment. 25 b. A scheduled amount shall not be assessed. 26 5. For a commercial establishment that is a pet shop, all 27 of the following shall apply: 28 a. The base amount equals one hundred seventy-five dollars. 29 A base amount shall be assessed for each location operated by 30 the pet shop. 31 b. (1) The scheduled amount shall be determined based on 32 the number of dogs and cats kept by the pet shop as follows: 33 (a) For at least one dog or cat but not more than twenty 34 dogs and cats, one hundred dollars. 35 -5- LSB 1192SV (2) 86 da/nh 5/ 25

S.F. 347 (b) For more than twenty dogs and cats but not more than 1 forty dogs and cats, two hundred fifty dollars. 2 (c) For more than forty dogs and cats, five hundred dollars. 3 (2) For purposes of determining the scheduled amount under 4 this paragraph “b” , a dog or cat must be recorded as on hand for 5 sale to the general public during the most recent inspection 6 of the pet shop by the department. The scheduled amount shall 7 be assessed for the total number of dogs or cats kept at all 8 locations operated by the pet shop. 9 6. For a commercial breeder whose license is not reserved 10 as a special type of license as provided in subsection 7, all 11 of the following shall apply: 12 a. The base amount equals one hundred seventy-five dollars. 13 A base amount shall be assessed for each location operated by 14 the commercial breeder. 15 b. (1) The scheduled amount shall be determined based on 16 the number of dogs and cats kept by the commercial breeder as 17 follows: 18 (a) For not more than fifty dogs and cats, seventy-five 19 dollars. 20 (b) For more than fifty dogs and cats but not more than 21 seventy-five dogs and cats, two hundred fifty dollars. 22 (c) For more than seventy-five dogs and cats but not more 23 than one hundred dogs and cats, eight hundred dollars. 24 (d) For more than one hundred dogs and cats but not more 25 than two hundred fifty dogs and cats, two thousand five hundred 26 dollars. 27 (e) For more than two hundred fifty dogs and cats but not 28 more than four hundred dogs and cats, five thousand dollars. 29 (f) For more than four hundred dogs and cats, seven thousand 30 five hundred dollars. 31 (2) For purposes of determining the scheduled amount under 32 this paragraph “b” , a dog or cat must be recorded as an adult 33 on hand for breeding during the most recent inspection of the 34 commercial breeder by the department of agriculture and land 35 -6- LSB 1192SV (2) 86 da/nh 6/ 25

S.F. 347 stewardship or the United States department of agriculture. 1 The scheduled amount shall be assessed for the total number of 2 dogs or cats kept at all locations operated by the commercial 3 breeder. 4 c. Notwithstanding paragraph “a” or “b” , a greyhound dog 5 owned, kept, bred, or transported by a commercial breeder for 6 pari-mutuel wagering at a racetrack as provided in chapter 99D 7 is not subject to a base fee or scheduled fee and is not used 8 in determining the scheduled amount. Rather, the commercial 9 breeder shall pay a different fee for the issuance or renewal 10 of a license as provided in rules adopted by the department. 11 7. For a commercial breeder whose license is a special 12 type of license reserved for small breeders, competitive show 13 breeders, or specialized breeders, all of the following shall 14 apply: 15 a. The base amount equals one hundred dollars. A single 16 base amount shall be assessed for all locations operated by the 17 commercial breeder. 18 b. A scheduled amount shall not be assessed. 19 8. The moneys collected by the department under this section 20 shall be credited to the commercial establishment fund created 21 in section 162.2C. 22 9. The fees provided in this section shall be considered 23 repayment receipts as defined in section 8.2. The general 24 assembly shall appropriate moneys to the department each state 25 fiscal year necessary for the administration and enforcement of 26 this chapter. 27 Sec. 6. Section 162.2C, subsection 3, Code 2015, is amended 28 to read as follows: 29 3. Moneys in the fund are appropriated to the department and 30 without further special authorization by the general assembly. 31 The moneys shall be used exclusively by the department to carry 32 out do all of the following: 33 a. Administer and enforce the provisions of this chapter 34 as determined and directed by the department , and shall not 35 -7- LSB 1192SV (2) 86 da/nh 7/ 25

S.F. 347 require further special authorization by the general assembly . 1 b. Fully fund the animal rescue remediation fund as provided 2 in section 717B.13. For each state fiscal year, the department 3 shall transfer at least twenty thousand dollars from moneys 4 in the commercial establishment fund to the animal rescue 5 remediation fund created in section 717B.13. However, if 6 on March 1 the unobligated and unencumbered balance in the 7 animal rescue remediation fund equals more than sixty thousand 8 dollars, the department shall suspend the transfer for the 9 subsequent state fiscal year. If on March 1 of a state fiscal 10 year for which the transfer is suspended, the unobligated and 11 unencumbered balance in the animal rescue remediation fund is 12 less than forty thousand dollars, the department shall resume 13 the transfer for the subsequent state fiscal year. 14 Sec. 7. NEW SECTION . 162.3A Operation of an animal rescue 15 —— license. 16 1. An animal rescue shall only operate pursuant to a license 17 issued or renewed by the department as provided in section 18 162.2A. The animal rescue shall maintain records as required 19 by section 162.10 in order for the department to ensure the 20 animal rescue’s compliance with the provisions of this chapter. 21 2. An animal rescue shall not maintain a dog or cat received 22 by the animal rescue in housing facilities owned or controlled 23 by the animal rescue. However, the animal rescue may arrange 24 to utilize an animal shelter, pound, or foster care home in 25 order to maintain the dog or cat. 26 Sec. 8. NEW SECTION . 162.3B Operation of an animal 27 sanctuary —— license. 28 1. An animal sanctuary shall only operate pursuant to a 29 license issued or renewed by the department as provided in 30 section 162.2A. The animal sanctuary shall maintain records 31 as required by section 162.10 in order for the department to 32 ensure the animal sanctuary’s compliance with the provisions of 33 this chapter. 34 2. An animal sanctuary shall not buy, sell, trade, 35 -8- LSB 1192SV (2) 86 da/nh 8/ 25

S.F. 347 auction, lease, loan, or breed any dog or cat that is owned or 1 controlled by the animal sanctuary. 2 3. An animal sanctuary shall maintain a dog or cat received 3 by the animal sanctuary in its care until the dog or cat dies 4 by natural causes, is euthanized, or is transferred to another 5 animal sanctuary, an animal rescue, an animal shelter, or a 6 pound. 7 Sec. 9. NEW SECTION . 162.6A Grooming facility —— license. 8 1. A grooming facility shall only operate pursuant to a 9 license issued or renewed by the department as provided in 10 section 162.2A. The grooming facility shall maintain records 11 as required by section 162.10 in order for the department to 12 ensure the grooming facility’s compliance with the provisions 13 of this chapter. 14 2. A grooming facility shall not be in the business of 15 buying and selling animals. 16 Sec. 10. Section 162.8, Code 2015, is amended to read as 17 follows: 18 162.8 Operation of a commercial breeder —— state license or 19 permit . 20 1. A commercial breeder shall only operate pursuant to a 21 state license , or a permit, issued or renewed by the department 22 as provided in section 162.2A . A commercial breeder who is 23 a state licensee shall maintain records as required by the 24 department in section 162.10 in order for the department to 25 ensure the commercial breeder’s compliance with the provisions 26 of this chapter . A commercial breeder who is a permittee may 27 but is not required to maintain records. 28 2. A commercial breeder shall not purchase a dog or cat 29 from a commercial establishment that does not have a valid 30 authorization license issued or renewed under this chapter or a 31 similar authorization issued or renewed by another state. 32 3. a. A commercial breeder shall not operate an animal 33 shelter or maintain a controlling interest in an animal 34 shelter. 35 -9- LSB 1192SV (2) 86 da/nh 9/ 25

S.F. 347 b. Paragraph “a” shall not apply to a commercial breeder who 1 holds a reserved license under section 162.8A. 2 Sec. 11. NEW SECTION . 162.8A Small breeder, competitive 3 show breeder, and specialized breeder —— special type of 4 commercial breeder’s reserved license. 5 1. The department shall provide for the issuance and renewal 6 of a special type of reserved commercial breeder’s license 7 under section 162.8. 8 2. To be eligible for a reserved license issued or renewed 9 under this section, a person must qualify as a small breeder, 10 competitive show breeder, or specialized breeder. 11 3. Notwithstanding subsection 2, a person shall not be 12 eligible for the issuance, maintenance, or renewal of a 13 reserved license if the person does any of the following: 14 a. Holds a public auction license pursuant to section 15 162.9A. 16 b. Owns, keeps, breeds, or transports a greyhound dog for 17 pari-mutuel wagering at a racetrack as provided in chapter 99D. 18 c. In the prior twelve-month period, owned or kept dogs that 19 produced a total of more than three litters or thirty puppies, 20 whichever number is greater. 21 Sec. 12. NEW SECTION . 162.10 Records. 22 1. A commercial establishment shall maintain all records 23 required in this chapter. The department shall adopt rules 24 regarding the types of records required to be kept and the 25 format for keeping such records. 26 2. A commercial establishment shall maintain all records 27 necessary for the department to assess a fee imposed for the 28 issuance or renewal of a license pursuant to section 162.2A. 29 3. A commercial establishment shall maintain inspection 30 reports as required in section 162.10B. 31 Sec. 13. Section 162.10B, Code 2015, is amended to read as 32 follows: 33 162.10B Commercial establishments —— inspecting state 34 licensees and registrants Inspections —— ordinary requirements . 35 -10- LSB 1192SV (2) 86 da/nh 10/ 25

S.F. 347 1. As a condition of issuing or renewing a license, the 1 premises of an applicant shall be open for inspection during 2 normal business hours. 3 2. The department shall conduct at least an annual 4 inspection of a commercial establishment. The department may 5 shall inspect the commercial establishment of a registrant or 6 state licensee by entering onto its business premises at any 7 time during normal working business hours. The department may 8 shall inspect records required to be maintained by the state 9 licensee or registrant commercial establishment as provided 10 in this chapter section 162.10 . If the owner or person in 11 charge of the commercial establishment refuses admittance, the 12 department may obtain an administrative search warrant issued 13 under section 808.14 . The department shall report a potential 14 violation of chapter 717B to the local authority which has 15 jurisdiction over the matter. 16 3. a. A commercial breeder offering to sell a dog to 17 a person shall provide that person with the most recent 18 inspection report completed by all of the following: 19 (1) The department of agriculture and land stewardship. The 20 report shall include the recorded number of adult dogs on hand. 21 (2) The United States department of agriculture, if the 22 commercial breeder is licensed under the Animal Welfare Act. 23 b. The inspection report must be signed by the dog’s 24 purchaser prior to finalizing the sale. 25 c. A copy of each applicable signed inspection report shall 26 be maintained for twelve months by the commercial breeder as 27 part of the commercial breeder’s records as provided in section 28 162.10 and a copy of the signed inspection report completed by 29 the department of agriculture and land stewardship shall be 30 filed with the department. 31 Sec. 14. Section 162.10C, Code 2015, is amended by striking 32 the section and inserting in lieu thereof the following: 33 162.10C Inspections —— restricted requirements. 34 1. Notwithstanding section 162.10B, subsections 1 and 2, 35 -11- LSB 1192SV (2) 86 da/nh 11/ 25

S.F. 347 a person who holds a grooming facility license as provided 1 in section 162.6A is subject to restricted inspection 2 requirements. The department shall conduct the annual 3 inspection of a licensed grooming facility at a scheduled time 4 agreed to by the person and the department. However, the 5 department is not required to schedule an inspection if any of 6 the following applies: 7 a. The person is obstructing the scheduled inspection. 8 b. One or more dogs or cats kept by the person are in 9 immediate need of care. 10 2. Notwithstanding section 162.10B, a person who holds 11 a special type of reserved commercial breeder’s license as 12 provided in section 162.8A is subject to restricted inspection 13 requirements as follows: 14 a. The person is exempt from the inspection requirements of 15 section 162.10B for the period of the reserved license if the 16 person submits evidence to the department that each dog kept by 17 the person complies with all of the following: 18 (1) Has been examined by a licensed veterinarian within the 19 twelve months prior to applying for the issuance or renewal of 20 the reserved license. 21 (2) Received all vaccinations as prescribed by the 22 department based on recommendations of the American veterinary 23 medical association or American animal hospital association. 24 b. If the person does not comply with paragraph “a” , the 25 department shall conduct the annual inspection at a scheduled 26 time agreed to by the person and the department. However, the 27 department is not required to schedule an inspection if any of 28 the following applies: 29 (1) The person is obstructing the scheduled inspection. 30 (2) One or more dogs kept by the person are in immediate 31 need of care. 32 Sec. 15. Section 162.10D, subsections 1 and 2, Code 2015, 33 are amended to read as follows: 34 1. The department may take disciplinary action against a 35 -12- LSB 1192SV (2) 86 da/nh 12/ 25

S.F. 347 person by suspending or revoking the person’s authorization 1 license for violating a violation of a provision of this 2 chapter or chapter 717B , or who commits for the commission of 3 an unlawful practice under section 714.16 . The department may 4 take primary and secondary disciplinary action as follows: 5 a. (1) Primary disciplinary action may be taken against the 6 licensee who committed the violation. 7 (2) Primary disciplinary action may be taken against a 8 commercial breeder operating under a special type of reserved 9 license held by small breeders, competitive show breeders, or 10 specialized breeders under section 162.8A, without affecting 11 the commercial breeder’s general license under section 162.8. 12 b. Secondary disciplinary action may be taken against a 13 person who operates another class of commercial establishment 14 under a separate license pursuant to section 162.2A if such 15 person is the same as the person who is subject to primary 16 disciplinary action under paragraph “a” . 17 2. The department may require an owner, operator, or 18 employee of a commercial establishment subject to disciplinary 19 action under subsection 1 to complete a continuing education 20 program as a condition for retaining an authorization 21 a license . This section does not prevent a person from 22 voluntarily participating in a continuing education program. 23 However, a continuing education program completed voluntarily 24 prior to the imposition of the department’s disciplinary action 25 shall not be part of such disciplinary action. 26 Sec. 16. Section 162.11, subsection 1, Code 2015, is amended 27 by striking the subsection and inserting in lieu thereof the 28 following: 29 1. This chapter does not apply to the operation of a 30 veterinary facility, including any activity that would 31 otherwise classify the veterinary facility as a commercial 32 establishment so long as the activity is incidental to the 33 practice of veterinary medicine. If the operations are 34 conducted at an establishment in which the operations of the 35 -13- LSB 1192SV (2) 86 da/nh 13/ 25

S.F. 347 veterinary facility are segregated, this chapter shall apply 1 only to that part of the establishment that does not operate as 2 a veterinary facility. 3 Sec. 17. Section 162.11, subsection 2, Code 2015, is amended 4 by striking the subsection. 5 Sec. 18. Section 162.11, subsection 3, Code 2015, is amended 6 to read as follows: 7 3. 2. This chapter does not apply to a noncommercial kennel 8 at, in, or adjoining a private residence where dogs or cats are 9 kept , for the hobby of the householder, if the dogs or cats 10 are used for hunting, for practice training, for exhibition 11 at shows or field or obedience trials, or for guarding or 12 protecting the householder’s property. However, the dogs 13 or cats must not be kept for breeding if a person receives 14 consideration for providing the breeding. 15 Sec. 19. NEW SECTION . 162.13A Criminal actions. 16 The attorney general or a county attorney may bring criminal 17 action in order to enforce the provisions of this chapter. 18 Sec. 20. NEW SECTION . 162.13B Injunctive relief. 19 A court of this state may prevent or restrain a violation 20 of this chapter through the issuance of an injunction. The 21 attorney general or a county attorney shall institute a suit on 22 behalf of the state to prevent or restrain a violation of this 23 chapter. 24 Sec. 21. Section 162.20, subsection 4, paragraph c, Code 25 2015, is amended to read as follows: 26 c. A pound or animal shelter which knowingly fails to 27 provide for the sterilization of a dog or cat is subject to a 28 civil penalty of up to two hundred dollars. The department 29 may enforce and collect civil penalties according to rules 30 which shall be adopted by the department. Each violation shall 31 constitute a separate offense. Moneys collected from civil 32 penalties shall be deposited into the general fund of the state 33 and are appropriated on July 1 of each year in equal amounts 34 to each track licensed to race dogs to support the racing dog 35 -14- LSB 1192SV (2) 86 da/nh 14/ 25

S.F. 347 adoption program as provided in section 99D.27 credited to 1 animal rescue remediation fund created in section 717B.13 . 2 Upon the third offense, the department may suspend or revoke 3 a certificate of registration license issued to the pound or 4 animal shelter pursuant to this chapter section 162.2A . The 5 department may bring an action in district court to enjoin a 6 pound or animal shelter from transferring animals in violation 7 of this section . In bringing the action, the department shall 8 not be required to allege facts necessary to show, or tending 9 to show, a lack of adequate remedy at law, that irreparable 10 damage or loss will result if the action is brought at law, or 11 that unique or special circumstances exist. 12 Sec. 22. Section 162.20, subsection 5, paragraph b, Code 13 2015, is amended to read as follows: 14 b. The transfer of a dog or cat by a pound or animal 15 shelter which has obtained an enforcement waiver issued 16 by the department. The pound or shelter may apply for an 17 annual waiver each year as provided by rules adopted by 18 the department. The department shall grant a waiver, if it 19 determines that the pound or animal shelter is subject to 20 an ordinance by a city or county which includes stricter 21 requirements than provided in this section . The department 22 shall not charge more than ten dollars as a waiver application 23 fee. The fees collected by the department shall be deposited 24 in the general fund of the state animal rescue remediation fund 25 created in section 717B.13 . 26 Sec. 23. NEW SECTION . 162.21 Sterilization —— animal 27 sanctuaries. 28 1. An animal sanctuary receiving a dog or cat shall provide 29 for the sterilization of the dog or cat using the veterinary 30 procedures prescribed in section 162.20. 31 2. An animal sanctuary shall provide for the sterilization 32 within ten days from the date that the animal sanctuary 33 receives the dog or cat, unless any of the following apply: 34 a. The department imposes a stricter requirement by rule. 35 -15- LSB 1192SV (2) 86 da/nh 15/ 25

S.F. 347 b. A licensed veterinarian grants an extension of the 1 period required for the completion of the sterilization, if the 2 extension is based on the health of the dog or cat. 3 3. a. An animal sanctuary that knowingly fails to provide 4 for the sterilization of a dog or cat is subject to a civil 5 penalty of up to two hundred dollars. 6 b. The department may enforce and collect civil penalties 7 according to rules which shall be adopted by the department. 8 Each violation shall constitute a separate violation. Moneys 9 collected from civil penalties shall be credited to the animal 10 rescue remediation fund created in section 717B.13. 11 4. Upon the third violation of this section, the department 12 may suspend or revoke the license issued to the animal 13 sanctuary pursuant to section 162.2A. 14 5. The department may bring an action in district court 15 to enjoin an animal sanctuary from transferring animals in 16 violation of this section in the same manner as provided in 17 section 162.20. 18 6. This section shall not apply to the return of a dog or 19 cat to its owner by an animal sanctuary, except as provided by 20 rules adopted by the department. 21 Sec. 24. Section 717B.1, Code 2015, is amended by adding the 22 following new subsection: 23 NEW SUBSECTION . 3A. “Commercial establishment” means the 24 same as defined in section 162.2. 25 Sec. 25. Section 717B.4, subsection 3, paragraph a, Code 26 2015, is amended to read as follows: 27 a. The court may order the responsible party to pay an 28 amount which shall not be more than the dispositional expenses 29 incurred by the local authority. The court may also award 30 the local authority court costs, reasonable attorney fees and 31 expenses related to the investigation and prosecution of the 32 case, which shall be taxed as part of the costs of the action. 33 The amount shall be paid to the animal rescue remediation fund 34 created in section 717B.13 to the extent that moneys from the 35 -16- LSB 1192SV (2) 86 da/nh 16/ 25

S.F. 347 fund were expended to pay for dispositional expenses. 1 Sec. 26. Section 717B.5, Code 2015, is amended by adding the 2 following new subsection: 3 NEW SUBSECTION . 3A. The local authority may apply to the 4 department for reimbursement of expenses incurred by the local 5 authority in providing for the maintenance of the animal. 6 Sec. 27. NEW SECTION . 717B.13 Animal rescue remediation 7 fund. 8 1. An animal rescue remediation fund is created as a 9 separate fund in the state treasury under the control of the 10 department of agriculture and land stewardship. The general 11 fund of the state is not liable for claims presented against 12 the fund. 13 2. The fund consists of moneys appropriated to the fund, 14 moneys transferred from the commercial establishment fund as 15 provided in section 162.2C, moneys credited to the fund as 16 provided in sections 162.20 and 162.21, sums collected on 17 behalf of the fund through legal action or settlement, and 18 moneys contributed to the fund from other sources. 19 3. The moneys in the fund are appropriated to the department 20 to reimburse a local authority for expenses incurred for the 21 rescuing of an animal from a commercial establishment as 22 provided in section 717B.5, for the maintenance of an animal 23 as provided in section 717B.5, and for the disposition of an 24 animal as provided in section 717B.4. 25 4. The department shall utilize moneys from the fund only to 26 the extent that the department determines that expenses cannot 27 be timely paid by utilizing the available provisions of section 28 717B.4. 29 5. The department shall provide payment to a local authority 30 upon a claim submitted by the local authority to the department 31 according to procedures required by the department. Upon 32 a determination that the claim is eligible for payment, 33 the department shall reimburse the local authority for that 34 amount. However, if the department determines that only 35 -17- LSB 1192SV (2) 86 da/nh 17/ 25

S.F. 347 a portion of the claim is eligible, the department shall 1 only pay the eligible portion. If the department determines 2 that insufficient moneys are available to make payment of 3 all claims, the department may defer paying all or part of 4 specified claims. The department shall hold deferred claims 5 for payment when the department determines that the fund again 6 contains sufficient moneys. 7 6. Moneys in the fund shall not be subject to appropriation 8 or expenditure for any other purpose than provided in this 9 section and section 162.2C. 10 7. Notwithstanding section 12C.7, interest earned on 11 amounts deposited in the fund shall be credited to the fund. 12 Notwithstanding section 8.33, any unexpended or unencumbered 13 moneys remaining in the fund at the end of the fiscal year 14 shall not revert to the general fund of the state, but the 15 moneys shall remain available for expenditure by the authority 16 in succeeding fiscal years. 17 Sec. 28. CURRENT AUTHORIZATIONS. 18 1. A current valid certificate of registration issued or 19 renewed by the department of agriculture and land stewardship 20 to an animal shelter, pound, or research facility under section 21 162.2A prior to the effective date of this Act shall remain 22 valid until it expires according to its terms when issued or 23 renewed. 24 2. A current valid state license issued or renewed by the 25 department of agriculture and land stewardship to a commercial 26 kennel that operates as a grooming facility as defined in 27 section 162.2, as amended in this Act, shall remain valid until 28 it expires according to the terms when issued or renewed. 29 DIVISION II 30 COORDINATING PROVISIONS 31 Sec. 29. Section 162.2A, subsection 3, unnumbered paragraph 32 1, Code 2015, is amended to read as follows: 33 A person must apply for the issuance or renewal of an 34 authorization a license on forms and according to procedures 35 -18- LSB 1192SV (2) 86 da/nh 18/ 25