S.F. 404 Section 1. NEW SECTION . 137F.7A Suspension or revocation of 1 licenses —— advertising and sale of food products falsely using 2 the term “meat”. 3 A regulatory authority may suspend or revoke a license 4 issued to a person under this chapter if the person is a 5 food product vendor as defined in section 137G.1 and the 6 food product vendor violates section 137G.2. The regulatory 7 authority shall take such action in accordance with rules 8 adopted by the department of inspections and appeals in 9 consultation with the attorney general and the department of 10 agriculture and land stewardship. 11 Sec. 2. NEW SECTION . 137G.1 Definitions. 12 As used in this chapter, unless the context otherwise 13 requires: 14 1. a. “Advertise” means to present a commercial message by 15 auditory or visual means, including but not limited to verbal 16 articulation or by any print or electronic medium. 17 b. “Advertise” includes but is not limited to a message 18 conveyed by a printed sign, label, tag, or by radio, 19 television, or computer transmission. 20 2. “Animal” means a nonhuman species of mammal, bird, or 21 fish. 22 3. “Department” means the department of inspections and 23 appeals. 24 4. “Federal food product agency” means the United States 25 department of agriculture or the United States food and drug 26 administration. 27 5. “Food product” means food as defined in section 28 137F.1, including an ingredient in food, that is presented, 29 prepared, manufactured, or otherwise processed, preserved, or 30 packaged for sale and which is ordinarily purchased for human 31 consumption in accordance with applicable state or federal 32 law, including but not limited to regulations promulgated by 33 a federal food product agency. 34 6. a. “Food product vendor” means a person engaged in the 35 -1- LSB 2203XS (2) 88 da/rn 1/ 6

S.F. 404 sale of a food product to the public in the ordinary course of 1 the person’s business, regardless of whether such food product 2 is ordinarily purchased for human consumption on or off the 3 premises where the sale occurred. 4 b. “Food product vendor” includes but is not limited to a 5 grocery store as defined in section 137F.1, market, restaurant, 6 cafeteria, delicatessen, bakery, or other eat-in, delivery, or 7 carry-out service. 8 7. “Sale” or “sell” means any transfer of title or 9 possession of a food product to the ultimate consumer by 10 agreement or any other means in exchange for consideration, 11 including but not limited to by currency, exchange, or barter. 12 Sec. 3. NEW SECTION . 137G.2 Prohibition. 13 1. A food product vendor shall not advertise for sale or 14 sell a food product by using the term “meat” including any 15 variation of that term, unless such food product derives from 16 an animal’s muscle tissue, fat, gland, or organ. 17 2. The department may exempt from the provisions of 18 subsection 1 any advertising for sale or the selling of a food 19 product if the department determines that the advertisement 20 would not mislead a reasonable consumer purchasing the food 21 product on a retail basis. 22 3. Subsection 1 does not apply to advertising for sale 23 or selling a food product by describing the food product as 24 comparable to meat or as a substitute to meat. However, such 25 a description must be presented in a manner that would not 26 mislead a reasonable consumer purchasing the food product on a 27 retail basis. 28 4. Subsection 1 does not apply if a food product vendor 29 could not have reasonably known that a food product as 30 advertised did not derive from an animal’s muscle tissue, fat, 31 gland, or organ. 32 Sec. 4. NEW SECTION . 137G.3 Administration and enforcement 33 —— general. The department shall administer and enforce this chapter in 35 -2- LSB 2203XS (2) 88 da/rn 2/ 6

S.F. 404 consultation with the attorney general and the secretary of 1 agriculture. 2 Sec. 5. NEW SECTION . 137G.4 Investigations, complaints, 3 inspections, and examinations. 4 1. The department may conduct an investigation to determine 5 if a food product vendor is complying with the requirements of 6 section 137G.2. 7 2. The department may receive a complaint from any person 8 regarding a violation of this chapter. The department may 9 adopt procedures for persons filing complaints. The department 10 may establish procedures for processing complaints including 11 requiring minimum information to determine the verifiability 12 of a complaint. 13 3. The department may conduct an examination of a food 14 product in order to determine if the food product is advertised 15 in compliance with section 137G.2. The department may enter 16 upon the premises of a food product vendor during regular 17 business hours for purposes of carrying out an inspection of 18 food products, including as provided under section 808.14. 19 Sec. 6. NEW SECTION . 137G.5 Legal proceedings. 20 1. The department may commence a contested case proceeding 21 under chapter 17A to enforce a violation of section 137G.2. 22 The attorney general may commence legal proceedings in district 23 court at the request of the department or upon the attorney 24 general’s own initiative to enforce a provision of section 25 137G.2. 26 2. The department or the attorney general is not required to 27 commence an action to enforce a violation of section 137G.2 if 28 the department or attorney general concludes that the public 29 interest will be best served by a suitable notice of warning 30 in writing. 31 Sec. 7. NEW SECTION . 137G.6 Civil penalty. 32 1. The department shall establish, by rule, civil penalties 33 for a violation of this chapter. The amount of the civil 34 penalty shall not exceed one thousand five hundred dollars. 35 -3- LSB 2203XS (2) 88 da/rn 3/ 6

S.F. 404 Each day that a violation continues shall constitute a 1 separate violation. Moneys collected in civil penalties by the 2 department or the attorney general shall be deposited in the 3 general fund of the state. 4 2. A civil penalty shall be administratively assessed only 5 after an opportunity for a contested case hearing under chapter 6 17A. The department may be represented in an administrative 7 hearing or judicial proceeding by the attorney general. 8 Sec. 8. NEW SECTION . 137G.7 Stop sale order and injunctive 9 relief. 10 1. a. The department may issue a written stop sale order 11 to stop a food product vendor from advertising or selling a 12 food product in violation of this chapter. The food product 13 vendor named in the order shall not advertise or sell the food 14 product until the department determines that the food product 15 is advertised or sold in compliance with section 137G.2. 16 b. Paragraph “a” shall not apply to any type of perishable 17 food product that is subject to contamination or spoilage if 18 not sold within five calendar days of being first offered for 19 sale. 20 2. Upon request by the department, the attorney general may 21 petition district court for an order temporarily or permanently 22 enjoining a violation of section 137G.2, without notice or 23 bond. 24 3. Proceedings under this section shall be in addition to, 25 and not in lieu of, the imposition and assessment of penalties 26 provided in section 137G.6. 27 Sec. 9. NEW SECTION . 137G.8 Implementation. 28 If necessary to implement a provision of this chapter, 29 the department shall submit a request to the appropriate 30 federal food product agency for a waiver or other exception 31 from regulations as deemed feasible by the department. The 32 department shall regularly report the status of such request to 33 the legislative services agency. 34 Sec. 10. Section 159.5, Code 2019, is amended by adding the 35 -4- LSB 2203XS (2) 88 da/rn 4/ 6

S.F. 404 following new subsection: 1 NEW SUBSECTION . 8A. Cooperate with the department of 2 inspections and appeals in the administration and enforcement 3 of chapter 137F. 4 EXPLANATION 5 The inclusion of this explanation does not constitute agreement with 6 the explanation’s substance by the members of the general assembly. 7 GENERAL. This bill creates new Code chapter 137G 8 prohibiting a food product vendor (e.g., market, restaurant, 9 cafeteria, delicatessen, bakery, or other eat-in, delivery, 10 or carry-out service) from advertising a food product (food 11 or an ingredient in food) for sale on a retail basis by using 12 the term “meat” unless it derives from the muscle tissue, 13 fat, gland, or organ of an animal (e.g., nonhuman mammal, 14 bird, or fish). There are several exceptions in cases in 15 which an advertisement would not mislead a reasonable consumer 16 purchasing the food product on a retail basis. 17 ADMINISTRATION AND ENFORCEMENT. The provisions of the bill 18 are administered and enforced by the department of inspections 19 and appeals (DIA) in consultation with the attorney general and 20 the secretary of agriculture. DIA may conduct an investigation 21 to determine if a food product vendor is complying with the 22 requirements of the bill. It may also receive complaints 23 from any person reporting a violation. DIA may commence 24 an administrative proceeding and the attorney general may 25 commence legal proceedings in district court to enforce the 26 bill’s provisions. A food product vendor who violates the 27 bill’s provisions is subject to a civil penalty of not more 28 than $1,500, with each day of a violation constituting a 29 separate offense. DIA may issue a temporary stop sale order 30 and the attorney general may petition the district court for a 31 temporary or permanent injunction. 32 IMPLEMENTATION. If necessary to implement the provisions 33 of the bill, DIA is required to submit a request to the 34 appropriate federal food product agency for a waiver or 35 -5- LSB 2203XS (2) 88 da/rn 5/ 6