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Eighty-eighth Calendar Day - Sixtieth Session Day Hall of the House of Representatives Des Moines, Iowa, Thursday, April 6, 1995 The House met pursuant to adjournment at 8:45 a.m., Speaker Corbett in the chair. Prayer was offered by Reverend David Ruhe, Plymouth Congregational United Church of Christ, Des Moines. The Journal of Wednesday, April 5, 1995 was approved. PETITIONS FILED The following petitions were received and placed on file: By Arnold of Lucas, from fifty four citizens of District 91 favoring retaining the issuance of driver's licenses in the office of the County Treasurer. By Arnold of Lucas, from nineteen citizens of District 91 favoring reinstatement of funding for the Older Iowans Legislature. By Houser of Pottawattamie, from one hundred seventy-eight constituents of District 85 favoring retaining the issuance of driver's licenses in the office of the County Treasurer. By Vande Hoef of Osceola, from twenty citizens favoring the continued development of renewable energy resources. By Vande Hoef of Osceola, from one hundred sixty students opposing House File 370, relating to the electricity purchase or wheeling requirements for alternate energy production and would cut the amount of money the power company has to pay for alternate energy. INTRODUCTION OF BILLS House File 556, by committee on ways and means, a bill for an act relating to the definition of entities eligible for property tax exemption for construction of speculative shell buildings. Read first time and placed on the ways and means calendar. House File 557, by committee on ways and means, a bill for an act relating to the state franchise tax imposed on financial institutions by disallowing the deduction for expenses related to a financial institution's investment in investment subsidiaries and providing effective and applicability dates. Read first time and placed on the ways and means calendar. House File 558, by committee on ways and means, a bill for an act relating to the recapture tax on property maintained as a fruit-tree or forest reservation for which a property tax exemption was granted and providing effective and applicability date provisions. Read first time and placed on the ways and means calendar. On motion by Siegrist of Pottawattamie, the House was recessed at 8:55 a.m., until 10:00 a.m. SPECIAL PRESENTATION While at recess, Baker of Polk presented to the House, Reverend Jesse Jackson, accompanied by his son, Jesse Jackson, Jr. and Victoria Brunner, of the National Association of Social Workers. Reverend Jackson addressed the House expressing his concern for the children of America. The House rose and expressed its welcome. The House reconvened at 10:00 a.m., Speaker Corbett in the chair. CONSIDERATION OF BILLS Regular Calendar House File 205, a bill for an act relating to health care benefits coverage by providing for coordination of benefits with state medical assistance, for continuation of benefits pursuant to court-ordered medical child support, and for coverage for an adopted child, was taken up for consideration. Halvorson of Clayton offered the following amendment H-3281 filed by him and moved its adoption: H-3281 1 Amend House File 205 as follows: 2 1. Page 2, line 28, by striking the words 3 "entered pursuant to chapter 252E". Amendment H-3281 was adopted. Halvorson of Clayton moved that the bill be read a last time now and placed upon its passage which motion prevailed and the bill was read a last time. On the question "Shall the bill pass?" (H.F. 205) The ayes were, 90: Arnold Baker Bell Bernau Blodgett Boddicker Boggess Bradley Brand Branstad Brauns Brunkhorst Burnett Carroll Cataldo Churchill Cohoon Connors Coon Cormack Cornelius Daggett Dinkla Disney Doderer Drake Ertl Fallon Garman Gipp Gries Grubbs Grundberg Hahn Halvorson Hammitt Hanson Harper Harrison Heaton Holveck Houser Hurley Huseman Jacobs Jochum Klemme Koenigs Kreiman Kremer Lamberti Larkin Larson Main Martin Mascher May McCoy Mertz Metcalf Millage Moreland Murphy Myers Nelson, L. Nutt O'Brien Ollie Rants Renken Running Salton Schrader Schulte Siegrist Sukup Teig Thomson Tyrrell Van Fossen Van Maanen Vande Hoef Veenstra Warnstadt Weidman Weigel Welter Wise Witt Mr. Speaker Corbett The nays were, none. Absent or not voting, 10: Brammer Drees Eddie Greig Greiner Lord Meyer Mundie Nelson, B. Shoultz The bill having received a constitutional majority was declared to have passed the House and the title was agreed to. House File 486, a bill for an act relating to the regulation of cemetery operators and the regulation of perpetual care cemeteries and nonperpetual care cemeteries, establishing fees and use of those fees, and providing penalties, was taken up for consideration. Vande Hoef of Osceola offered amendment H-3533 filed by him as follows: H-3533 1 Amend House File 486 as follows: 2 1. Page 1, by inserting before line 1 the 3 following: 4 "Section 1. Section 359.33, Code 1995, is amended 5 to read as follows: 6 359.33 TAX FOR NONOWNED CEMETERY. 7TheyFor each cemetery not owned by the township, 8 the board of trustees may levy a tax not to exceed six 9 and three-fourths cents per thousand dollars of 10 assessed value of taxable property to improve and 11 maintainany cemetery not owned by the townshipthe 12 cemeteries,providedif thesamecemetery is devoted 13 to general public use." 14 2. By renumbering as necessary. Van Fossen of Scott rose on a point of order that amendment H-3533 was not germane. The Speaker ruled the point well taken and amendment H-3533 not germane. Bradley of Clinton offered the following amendment H-3763 filed by him and Ollie and moved its adoption: H-3763 1 Amend House File 486 as follows: 2 1. Page 5, by inserting after line 4 the 3 following: 4 "Sec. ___. Section 523A.8, subsection 1, Code 5 1995, is amended by adding the following new 6 paragraph: 7 NEW PARAGRAPH. k. State that any financial 8 instrument which is used to make a payment under the 9 agreement is to be made payable to the financial 10 institution or entity where the money is to be 11 deposited in trust." 12 2. Page 35, by inserting after line 17 the 13 following: 14 "Sec. ___. Section 523E.8, subsection 1, Code 15 1995, is amended by adding the following new 16 paragraph: 17 NEW PARAGRAPH. k. State that any financial 18 instrument which is used to make a payment under the 19 agreement is to be made payable to the financial 20 institution or entity where the money is to be 21 deposited in trust." 22 3. Page 67, by inserting after line 24 the 23 following: 24 " . State that any financial instrument which is 25 used to make a payment under the agreement is to be 26 made payable to the financial institution or entity 27 where the money is to be deposited in the cemetery's 28 perpetual care and maintenance guarantee fund." 29 4. By renumbering as necessary. Amendment H-3763 was adopted. Van Fossen of Scott asked and received unanimous consent to withdraw amendment H-3746 filed by him on April 4, 1995. Van Fossen of Scott offered the following amendment H-3772 filed by him and moved its adoption: H-3772 1 Amend House File 486 as follows: 2 1. Page 13, line 5, by striking the word 3 "section" and inserting the following: "subsection". 4 2. Page 44, line 29, by striking the word 5 "section" and inserting the following: "subsection". 6 3. Page 45, lines 3 and 4, by striking the words 7 ", including customers who purchased interment 8 rights,". 9 4. Page 63, by striking lines 1 through 9. 10 5. Page 65, line 8, by inserting after the figure 11 "566A.2C." the following: "A cemetery with average 12 retail sales equal to or less than five thousand 13 dollars for the previous three calendar years is 14 exempt from sections 566A.2C and 566A.2D." 15 6. Page 69, by striking lines 10 through 14 and 16 inserting the following: 17 "3. The report shall be made under oath." 18 7. Page 70, by striking lines 2 through 8 and 19 inserting the following: 20 "3. The report shall be made under oath." 21 8. Page 71, by striking lines 32 and 33. 22 9. Page 72, by striking lines 26 through 28 and 23 inserting the following: "and maintain a public 24 registry of perpetual care cemeteries." 25 10. Title page, line 3, by inserting after the 26 word "cemeteries," the following: "establishing 27 requirements related to the sale of preneed funeral 28 contracts and the sale of funeral and cemetery 29 merchandise,". 30 11. By renumbering and correcting internal 31 numbering and references as necessary. Amendment H-3772 was adopted. Van Fossen of Scott moved that the bill be read a last time now and placed upon its passage which motion prevailed and the bill was read a last time. On the question "Shall the bill pass?" (H.F. 486) The ayes were, 91: Arnold Baker Bell Bernau Blodgett Boddicker Boggess Bradley Brand Branstad Brauns Brunkhorst Burnett Carroll Cataldo Churchill Cohoon Connors Coon Cormack Cornelius Daggett Dinkla Disney Doderer Drake Drees Eddie Ertl Fallon Garman Gipp Gries Grundberg Hahn Hammitt Hanson Harper Harrison Heaton Holveck Houser Hurley Huseman Jacobs Jochum Klemme Koenigs Kreiman Kremer Lamberti Larkin Larson Lord Main Martin Mascher May McCoy Mertz Metcalf Millage Moreland Murphy Myers Nelson, B. Nelson, L. Nutt Ollie Rants Renken Running Salton Schrader Schulte Shoultz Siegrist Sukup Teig Thomson Tyrrell Van Fossen Van Maanen Vande Hoef Veenstra Warnstadt Weidman Weigel Wise Witt Mr. Speaker Corbett The nays were, none. Absent or not voting, 9: Brammer Greig Greiner Grubbs Halvorson Meyer Mundie O'Brien Welter The bill having received a constitutional majority was declared to have passed the House and the title as amended was agreed to. IMMEDIATE MESSAGES Siegrist of Pottawattamie asked and received unanimous consent that the following bills be immediately messaged to the Senate: House Files 205 and 486. House File 177, a bill for an act relating to the applicability of the special valuation provisions for certain wind energy conversion property and providing an effective date, with report of committee recommending passage, was taken up for consideration. Huseman of Cherokee moved that the bill be read a last time now and placed upon its passage which motion prevailed and the bill was read a last time. On the question "Shall the bill pass?" (H.F. 177) The ayes were, 94: Arnold Bell Bernau Blodgett Boddicker Boggess Bradley Brand Carroll Churchill Cohoon Connors Coon Cormack Cornelius Daggett Dinkla Disney Doderer Drake Drees Eddie Ertl Fallon Garman Gipp Greig Greiner Gries Grubbs Grundberg Hahn Hammitt Hanson Harper Harrison Heaton Holveck Houser Hurley Huseman Jacobs Jochum Klemme Koenigs Kreiman Kremer Lamberti Larkin Larson Lord Main Martin Mascher May McCoy Mertz Metcalf Meyer Millage Moreland Murphy Myers Nelson, B. Nelson, L. Nutt O'Brien Rants Renken Running Salton Schrader Schulte Shoultz Siegrist Sukup Teig Thomson Tyrrell Van Fossen Van Maanen Vande Hoef Veenstra Warnstadt Weidman Weigel Welter Wise Witt Mr. Speaker Corbett The nays were, none: Absent or not voting, 6: Baker Brammer Cataldo Halvorson Mundie Ollie The bill having received a constitutional majority was declared to have passed the House and the title was agreed to. IMMEDIATE MESSAGE Siegrist of Pottawattamie asked and received unanimous consent that House File 177 be immediately messaged to the Senate. Eddie of Buena Vista in the chair at 10:27 a.m. House File 503, a bill for an act relating to the payment of patronage dividends by cooperative associations which are public utilities, was taken up for consideration. Sukup of Franklin offered the following amendment H-3445 filed by him and moved its adoption: H-3445 1 Amend House File 503 as follows: 2 1. Page 1, line 18, by inserting after the word 3 "outstanding." the following: "Notwithstanding the 4 twenty percent allocation limitation, the directors of 5 a cooperative association or the articles of 6 incorporation or bylaws of the association may specify 7 any percentage or amount to be currently paid in cash 8 to the estates of deceased natural persons who were 9 members." Amendment H-3445 was adopted. SENATE FILE 377 SUBSTITUTED FOR HOUSE FILE 503 Sukup of Franklin asked and received unanimous consent to substitute Senate File 377 for House File 503. Senate File 377, a bill for an act relating to the payment of patronage dividends by cooperative associations which are public utilities, was taken up for consideration. Siegrist of Pottawattamie asked and received unanimous consent that Senate File 377 be deferred and that the bill be placed on the unfinished business calendar. House File 463, a bill for an act relating to the regulation of state banks and other financial institutions by the division of banking of the department of commerce, was taken up for consideration. Nutt of Woodbury offered the following amendment H-3371 filed by him and moved its adoption: H-3371 1 Amend House File 463 as follows: 2 1. Page 17, line 13, by striking the word 3 "published" and inserting the following: "published". 4 2. Page 17, line 16, by striking the word 5 "published" and inserting the following: "published". 6 3. Page 22, line 30, by striking the word 7 "published" and inserting the following: "published". 8 4. Page 22, line 32, by striking the word 9 "published" and inserting the following: "published". 10 5. Page 31, line 31, by inserting after the word 11 "or" the following: "in". 12 6. Page 85, line 29, by striking the word 13 "published" and inserting the following: "published". 14 7. Page 85, line 34, by striking the word 15 "published" and inserting the following: "published". 16 8. Page 99, line 2, by striking the word 17 "published" and inserting the following: "published". 18 9. Page 99, line 7, by striking the word 19 "published" and inserting the following: "published". 20 10. Page 107, line 15, by striking the word 21 "published" and inserting the following: "published". 22 11. Page 107, line 18, by striking the word 23 "published" and inserting the following: "published". Amendment H-3371 was adopted. SENATE FILE 320 SUBSTITUTED FOR HOUSE FILE 463 Nutt of Woodbury asked and received unanimous consent to substitute Senate File 320 for House File 463. Senate File 320, a bill for an act relating to the regulation of state banks and other financial institutions by the division of banking of the department of commerce, was taken up for consideration. Siegrist of Pottawattamie asked and received unanimous consent that Senate File 320 be deferred and that the bill be placed on the unfinished business calendar. House File 494, a bill for an act relating to the office of secretary of state, the conduct of elections, and the registration of voters in the state and relating to corrective and technical changes to Iowa's election laws, was taken up for consideration. Jacobs of Polk asked and received unanimous consent to withdraw amendment H-3384 filed by her on March 21, 1995. Jacobs of Polk moved that the bill be read a last time now and placed upon its passage which motion prevailed and the bill was read a last time. On the question "Shall the bill pass?" (H.F. 494 The ayes were, 95: Arnold Bell Bernau Blodgett Boddicker Boggess Bradley Brand Branstad Brauns Brunkhorst Burnett Carroll Cataldo Churchill Cohoon Connors Coon Corbett, Spkr. Cormack Cornelius Daggett Dinkla Disney Doderer Drake Drees Ertl Fallon Garman Gipp Greiner Gries Grubbs Grundberg Hahn Hammitt Hanson Harper Harrison Heaton Holveck Houser Hurley Huseman Jacobs Jochum Klemme Kreiman Kremer Lamberti Larkin Larson Lord Main Martin Mascher May McCoy Mertz Metcalf Meyer Millage Moreland Mundie Murphy Myers Nelson, B. Nelson, L. Nutt O'Brien Ollie Rants Renken Running Salton Schrader Schulte Shoultz Siegrist Sukup Teig Thomson Tyrrell Van Fossen Van Maanen Vande Hoef Veenstra Warnstadt Weidman Weigel Welter Wise Witt Eddie, Presiding The nays were, none. Absent or not voting, 5: Baker Brammer Greig Halvorson Koenigs The bill having received a constitutional majority was declared to have passed the House and the title was agreed to. IMMEDIATE MESSAGE Siegrist of Pottawattamie asked and received unanimous consent that House File 494 be immediately messaged to the Senate. Speaker Corbett in the chair at 10:36 a.m. ADOPTION OF HOUSE RESOLUTION 8 Rants of Woodbury called up for consideration of House Resolution 8, as follows and moved its adoption: 1 HOUSE RESOLUTION 8 2 BY COMMITTEE ON ADMINISTRATION AND RULES 3 A House resolution relating to expenses for the daily 4 operations of the House of Representatives. 5 Whereas, the legislative authority of this state is 6 vested in the General Assembly consisting of the House 7 of Representatives and the Senate; and 8 Whereas, the House of Representatives necessarily 9 incurs substantial expenses for its daily operations; 10 and 11 Whereas, the House of Representatives is authorized 12 to expend funds from the state treasury necessary to 13 pay for its expenses and for expenses incurred jointly 14 by the House of Representatives and the Senate; and 15 Whereas, it is deemed advisable and proper for the 16 House of Representatives to make expenditures in 17 accordance with a budgetary plan; Now Therefore, 18 Be It Resolved By The House of Representatives: 19 Section 1. Expenditures of the House of 20 Representatives payable pursuant to Iowa Code sections 21 2.10 through 2.14 for the regular legislative session 22 and the interim period during the fiscal year 23 beginning July 1, 1995, and ending June 30, 1996, are 24 budgeted to be as follows: 25 1. Session expenses including members' annual 26 compensation and temporary staff compensation and 27 other current expenses in an amount not to exceed 28 $4,820,800. 29 2. Interim expenses including members' and staff 30 compensation and other current expenses in an amount Page 2 1 not to exceed $310,000. 2 3. Fixed expenses, including permanent employees' 3 compensation and equipment, in an amount not to exceed 4 $2,050,000. 5 4. A special fund for renovation, restoration, and 6 equipment improvements in the House chamber and 7 adjacent areas to be used with the authorization of 8 the Committee on Administration and Rules, in an 9 amount not to exceed $25,000. 10 Sec. 2. The Chief Clerk of the House of 11 Representatives shall immediately provide written 12 notice to the Speaker and Minority Leader of the House 13 of Representatives and to the Chair and Ranking Member 14 of the House Committee on Appropriations if actual 15 expenditures payable pursuant to Iowa Code sections 16 2.10 through 2.14 exceed the maximum amount allocated 17 to any category of the budget provided by section 1 of 18 this resolution. The written notice shall specify the 19 amount of and reasons for any excess expenditure. 20 Sec. 3. The expenditures referred to in section 2 21 of this resolution shall consist only of those sums 22 required for payment of the various expenses of the 23 General Assembly including items such as legislative 24 printing expenses, unpaid expenses incurred during the 25 interim between sessions of the General Assembly, 26 expenditures incurred pursuant to resolutions, and 27 expenses for purchases of legislative equipment and 28 supplies necessary to carry out the functions of the 29 General Assembly. Joint expenditures or special 30 expenditures approved by the Committee on Page 3 1 Administration and Rules or the Legislative Council 2 are not included in the budget set forth in this 3 resolution. 4 Sec. 4. If a special session of the General 5 Assembly is held, the Committee on Administration and 6 Rules shall provide for consideration of a budget for 7 the special session. The motion prevailed and the resolution was adopted. ADOPTION OF HOUSE RESOLUTION 5 Klemme of Plymouth called up for consideration ouse Resolution 5, a House resolution providing special recognition and support to the seventy-fifth anniversary of Iowa's state parks system and urging all citizens and leaders in government, academia, and business to give special recognition to the many and varied services our state parks have given for three-quarters of a century, and moved its adoption. The motion prevailed and the resolution was adopted. House File 419, a bill for an act providing for class "C" area service system roads and providing a penalty, was taken up for consideration. May of Worth offered the following amendment H-3725 filed by him and moved its adoption: H-3725 1 Amend House File 419 as follows: 2 1. Page 2, line 14, by inserting after the word 3 "classification." the following: "Failure of the 4 board of supervisors to act within the sixty-day time 5 period shall be deemed an approval of the request for 6 area service "C" classification." Amendment H-3725 was adopted. Carroll of Poweshiek moved that the bill be read a last time now and placed upon its passage which motion prevailed and the bill was read a last time. On the question "Shall the bill pass?" (H.F. 419) The ayes were, 95: Arnold Bell Bernau Blodgett Boddicker Boggess Bradley Branstad Brauns Brunkhorst Burnett Carroll Cataldo Churchill Cohoon Connors Coon Cormack Cornelius Daggett Dinkla Disney Doderer Drake Drees Eddie Ertl Fallon Garman Gipp Greig Greiner Gries Grundberg Hahn Hammitt Hanson Harper Harrison Heaton Holveck Houser Hurley Huseman Jacobs Jochum Klemme Koenigs Kreiman Kremer Lamberti Larkin Larson Lord Main Martin Mascher May McCoy Mertz Metcalf Meyer Millage Moreland Mundie Murphy Myers Nelson, B. Nelson, L. Nutt O'Brien Ollie Rants Renken Running Salton Schrader Schulte Shoultz Siegrist Sukup Teig Thomson Tyrrell Van Fossen Van Maanen Vande Hoef Veenstra Warnstadt Weidman Weigel Welter Wise Witt Mr. Speaker Corbett The nays were, none. Absent or not voting, 5: Baker Brammer Brand Grubbs Halvorson The bill having received a constitutional majority was declared to have passed the House and the title was agreed to. House File 306, a bill for an act relating to the suspension and revocation of driver's licenses and providing penalties for violations of out-of-service orders, was taken up for consideration. Blodgett of Cerro Gordo offered the following amendment H-3325 filed by him and moved its adoption: H-3325 1 Amend House File 306 as follows: 2 1. Page 1, by inserting before line 1 the 3 following: 4 "Section 1. Section 321.1, subsection 8, Code 5 1995, is amended by adding the following new 6 unnumbered paragraph: 7 NEW UNNUMBERED PARAGRAPH. If authorized to 8 transport students or clients by the superintendent of 9 the Iowa braille and sight saving school or of the 10 Iowa school for the deaf, or the superintendent's 11 respective designee, an employee of the Iowa braille 12 and sight saving school or the Iowa school for the 13 deaf is not a chauffeur when transporting the students 14 or clients." 15 2. By renumbering as necessary. Amendment H-3325 was adopted. SENATE FILE 233 SUBSTITUTED FOR HOUSE FILE 306 Blodgett of Cerro Gordo asked and received unanimous consent to substitute Senate File 233 for House File 306. Senate File 233, a bill for an act relating to the suspension and revocation of driver's licenses and providing penalties for violations of out-of-service orders, was taken up for consideration. Siegrist of Pottawattamie asked and received unanimous consent that Senate File 233 be deferred and that the bill be placed on the unfinished business calendar. House File 522, a bill for an act relating to the statistical reporting of terminations of pregnancy and establishing penalties, was taken up for consideration. Harper of Black Hawk offered amendment H-3462 filed by her as follows: H-3462 1 Amend House File 522 as follows: 2 1. Page 1, by striking line 9. 3 2. By relettering as necessary. Hammitt of Harrison in the chair at 11:10 a.m. Harper of Black Hawk moved the adoption of amendment H-3462. A non-record roll call was requested. Rule 75 was invoked. The ayes were 49, nays 47. Amendment H-3462 was adopted. Siegrist of Pottawattamie asked and received unanimous consent that House File 522 be deferred and that the bill be placed on the unfinished business calendar. On motion by Siegrist of Pottawattamie, the House was recessed at 12:20 p.m., until 1:30 p.m. AFTERNOON SESSION The House reconvened at 1:30 p.m., Speaker pro tempore Van Maanen of Marion in the chair. HOUSE FILES 463 AND 503 WITHDRAWN Metcalf of Polk asked and received unanimous consent to withdraw House Files 463 and 503 from further consideration by the House. CONSIDERATION OF BILLS Regular Calendar The House resumed consideration of House File 518, a bill for an act relating to authorization of price regulation for utilities providing communications services, previously deferred and placed on the unfinished business calendar. Metcalf of Polk offered amendment H-3610 filed by her as follows: H-3610 1 Amend House File 518 as follows: 2 1. By striking everything after the enacting 3 clause and inserting the following: 4 "Section 1. Section 476.3, subsection 2, Code 5 1995, is amended by adding the following new 6 unnumbered paragraph: 7 NEW UNNUMBERED PARAGRAPH. Notwithstanding the 8 provisions of this subsection, the consumer advocate 9 shall not file a petition under this subsection that 10 alleges a local exchange carrier's rates are excessive 11 while the local exchange carrier is participating in a 12 price regulation plan approved by the board pursuant 13 to section 476.30B. 14 Sec. 2. Section 476.10, unnumbered paragraph 4, 15 Code 1995, is amended to read as follows: 16 Whenever the board shall deem it necessary in order 17 to carry out the duties imposed upon it in connection 18 with rate regulation under section 476.6, 19 investigations under section 476.3, or review 20 proceedings under section 476.31, the board may employ 21 additional temporary or permanent staff, or may 22 contract with persons who are not state employees for 23 engineering, accounting, or other professional 24 services, or both. The costs of these additional 25 employees and contract services shall be paid by the 26 public utility whose rates are being reviewed in the 27 same manner as other expenses are paid under this 28 section. Beginning on July 1, 1991, there is 29 appropriated out of any funds in the state treasury 30 not otherwise appropriated, such sums as may be 31 necessary to enable the board to hire additional staff 32 and contract for services under this section. The 33 board shall increase quarterly assessments specified 34 in unnumbered paragraph 2, by amounts necessary to 35 enable the board to hire additional staff and contract 36 for services under this section. The authority to 37 hire additional temporary or permanent staff that is 38 granted to the board by this section shall not be 39 subject to limitation by any administrative or 40 executive order or decision that restricts the number 41 of state employees or the filling of employee 42 vacancies, and shall not be subject to limitation by 43 any law of this state that restricts the number of 44 state employees or the filling of employee vacancies 45 unless that law is made applicable to this section by 46 express reference to this section. Before the board 47 expends or encumbers an amount in excess of the funds 48 budgeted for rate regulation and before the board 49 increases quarterly assessments pursuant to this 50 paragraph, the director of the department of Page 2 1 management shall approve the expenditure or 2 encumbrance. Before approval is given, the director 3 of the department of management shall determine that 4 the expenses exceed the funds budgeted by the general 5 assembly to the board for rate regulation and that the 6 board does not have other funds from which the 7 expenses can be paid. Upon approval of the director 8 of the department of management the board may expend 9 and encumber funds for the excess expenses, and 10 increase quarterly assessments to raise the additional 11 funds. The board and the office of consumer advocate 12 may add additional personnel or contract for 13 additional assistance to review and evaluate energy 14 efficiency plans and the implementation of energy 15 efficiency programs including, but not limited to, 16 professionally trained engineers, accountants, 17 attorneys, skilled examiners and inspectors, and 18 secretaries and clerks. The board and the office of 19 consumer advocate may also contract for additional 20 assistance in the evaluation and implementation of 21 issues relating to telecommunication competition. The 22 board and the office of the consumer advocate may 23 expend additional sums beyond those sums appropriated. 24 However, the authority to add additional personnel or 25 contract for additional assistance must first be 26 approved by the department of management. The 27 additional sums for energy efficiency shall be 28 provided to the board and the office of the consumer 29 advocate by the utilities subject to the energy 30 efficiency requirements in this chapter. Telephone 31 companies shall pay any additional sums needed for 32 assistance with telecommunication competition issues. 33 The assessments shall be in addition to and separate 34 from the quarterly assessment. 35 Sec. 3. Section 476.11, Code 1995, is amended by 36 adding the following new unnumbered paragraph: 37 NEW UNNUMBERED PARAGRAPH. The board may resolve 38 complaints, upon notice and hearing, that a utility, 39 operating under section 476.29, has failed to provide 40 just, reasonable, and nondiscriminatory arrangements 41 for interconnection of its telecommunications services 42 with another telecommunications provider. 43 Sec. 4. Section 476.29, subsection 2, Code 1995, 44 is amended to read as follows: 45 2. Except as provided in subsection 12, a 46 certificate shall be issued by the board, after notice 47 and opportunity for hearing, if the board determines 48 that the service proposed to be rendered will promote 49 the public convenience and necessity, provided that an 50 applicant other than a local exchange carrier, as Page 3 1 defined in section 476.30A, shall not be denied a 2 certificate if the board finds that the applicant 3 possesses the technical, financial, and managerial 4 ability to provide the service it proposes to render 5 and the board finds the service is consistent with the 6 public interest. The board shall make a determination 7 within ninety days of the submission by the applicant 8 of evidence of its technical, financial, and 9 managerial ability, unless the board determines that 10 additional time is necessary to consider the 11 application, in which case the board may extend the 12 time for making a determination for an additional 13 sixty days. The board may establish reasonable 14 conditions or restrictions on the certificate at the 15 time of issuance. 16 Sec. 5. NEW SECTION. 476.30 FINDINGS -- 17 STATEMENT OF POLICY. 18 The general assembly finds all of the following: 19 1. Communications services should be available 20 throughout the state at just, reasonable, and 21 affordable rates from a variety of providers. 22 2. In rendering decisions with respect to 23 regulation of telecommunications companies, the board 24 shall consider the effects of its decisions on 25 competition in telecommunications markets and, to the 26 extent reasonable and lawful, shall act to further the 27 development of competition in those markets. 28 2A. In order to encourage competition for all 29 telecommunications services, the board should address 30 issues relating to the movement of prices toward cost 31 and the removal of subsidies in the existing price 32 structure of the incumbent local exchange carrier. 33 3. Regulatory flexibility is appropriate when 34 competition provides customers with competitive 35 choices in the variety, quality, and pricing of 36 communications services, and when consistent with 37 consumer protection and other relevant public 38 interests. 39 4. The board should respond with speed and 40 flexibility to changes in the communications industry. 41 5. Economic development can be fostered by the 42 existence of advanced communications networks. 43 Sec. 6. NEW SECTION. 476.30A DEFINITIONS. 44 As used in section 476.30, this section, and 45 sections 476.30B through 476.30E, unless the context 46 otherwise requires: 47 1. "Basic communications service" includes at a 48 minimum, basic local telephone service, switched 49 access, 911 and E-911 services, and dual party relay 50 service. The board is authorized to classify by rule Page 4 1 other two-way switched voice communications services 2 as basic communications services consistent with 3 community expectations and the public interest. 4 2. "Basic local telephone service" means the 5 provision of dial tone access and usage, for the 6 transmission of two-way switched communications within 7 a local exchange area, including, but not limited to, 8 the following: 9 a. Primary residence service and business 10 services, including flat rate or local measured 11 service, private branch exchange trunks, trunk type 12 hunting services, direct inward dialing, and the 13 network access portion of central office switched 14 exchange service. 15 b. Extended area service. 16 c. Touch tone service when provided separately. 17 d. Call tracing. 18 e. Calling number blocking on either a per call or 19 a per line basis. 20 f. Local exchange white pages directories. 21 g. Installation and repair of local network 22 access. 23 h. Local operator services, excluding directory 24 assistance. 25 i. Toll service blocking and 1-900 and 1-976 26 access blocking. 27 3. "Competitive local exchange service provider" 28 means any person that provides local exchange 29 services, other than a local exchange carrier or a 30 nonrate-regulated wireline provider of local exchange 31 services under an authorized certificate of public 32 convenience and necessity within a specific geographic 33 area described in maps filed with and approved by the 34 board as of September 30, 1992. 35 4. "Interim number portability" means one or more 36 mechanisms by which a local exchange customer at a 37 particular location may change the customer's local 38 exchange services provider without any change in the 39 local exchange customer's telephone number, while 40 experiencing as little loss of functionality as is 41 feasible using available technology. 42 5. "Local exchange carrier" means any person that 43 was the incumbent and historical rate-regulated 44 wireline provider of local exchange services or any 45 successor to such person that provides local exchange 46 services under an authorized certificate of public 47 convenience and necessity within a specific geographic 48 area described in maps filed with and approved by the 49 board as of September 30, 1992. 50 6. "Nonbasic communications services" means all Page 5 1 communications services subject to the board's 2 jurisdiction which are not deemed either by statute or 3 by rule to be basic communications services, including 4 any service offered by the local exchange carrier for 5 the first time after the effective date of this Act. 6 A service is not considered new if it constitutes the 7 bundling, unbundling, or repricing of an already 8 existing service. Consistent with community 9 expectations and the public interest, the board may 10 reclassify by rule as nonbasic those two-way switched 11 communications services previously classified by rule 12 as basic. 13 7. "Provider number portability" means the 14 capability of a local exchange customer to change the 15 customer's local exchange services provider at the 16 customer's same location without any change in the 17 local exchange customer's telephone number, while 18 preserving the full range of functionality that the 19 customer currently experiences. "Provider number 20 portability" includes the equal availability of 21 information concerning the local exchange provider 22 serving the number to all carriers, and the ability to 23 deliver traffic directly to that provider without 24 having first to route traffic to the local exchange 25 carrier or otherwise use the services, facilities, or 26 capabilities of the local exchange carrier to complete 27 the call, and without the dialing of additional digits 28 or access codes. 29 Sec. 7. NEW SECTION. 476.30B PRICE REGULATION. 30 1. Notwithstanding contrary provisions of this 31 chapter relating to rate regulation, the board may 32 approve a plan for price regulation submitted by a 33 rate-regulated local exchange carrier. The plan for 34 price regulation is not effective until the approval 35 by the board of tariffs implementing the unbundling of 36 essential facilities pursuant to section 476.30D, 37 subsection 4, except for a local exchange carrier with 38 less than seventy-five thousand access lines whose 39 plan for price regulation will be effective concurrent 40 with the approval of its plan. The board may approve 41 a plan for price regulation prior to the adoption of 42 rules related to the unbundling of essential 43 facilities or concurrent with a rate proceeding under 44 section 476.3, 476.6, or 476.7. During the term of 45 the plan, the board shall regulate the prices of the 46 local exchange carrier's basic and nonbasic 47 communications services pursuant to the requirements 48 of the price regulation plan approved by the board. 49 The local exchange carrier shall not be subject to 50 rate of return regulation during the term of the plan. Page 6 1 2. The board, after notice and opportunity for 2 hearing, may approve, modify, or reject the plan. The 3 local exchange carrier shall have ten days to accept 4 or reject any board modifications to its plan. If the 5 local exchange carrier rejects a modification to its 6 plan, the board shall reject the plan without 7 prejudice to the local exchange carrier to submit 8 another plan. 9 3. A price regulation plan, at a minimum, shall 10 include provisions, consistent with the provisions of 11 this section and any rules adopted by the board, for 12 the following: 13 a. (1) Establishing and changing prices, terms, 14 and conditions for basic communications services. The 15 initial plan for price regulation must include a 16 proposal, which the board shall approve, for reducing 17 the local exchange carrier's average intrastate access 18 service rates to the local exchange carrier's average 19 interstate access service rates in effect as of the 20 last day of the calendar year immediately preceding 21 the date of filing of the plan, as follows: 22 (a) A local exchange carrier with five hundred 23 thousand or more access lines in this state shall 24 reduce its average intrastate access service rates to 25 its average interstate access service rates as of the 26 date that the plan is filed. 27 (b) A local exchange carrier with fewer than five 28 hundred thousand but seventy-five thousand or more 29 access lines in this state shall reduce its average 30 intrastate access service rates to its average 31 interstate access service rates in increments of at 32 least twenty-five percent, with the initial reduction 33 to take effect on approval of the plan and equal 34 annual reductions on each anniversary of the approval 35 during the first three years that its plan is in 36 effect. 37 (c) A local exchange carrier with fewer than 38 seventy-five thousand access lines in this state shall 39 reduce its average intrastate access service rates to 40 its average interstate access service rates with equal 41 annual reductions during a period beginning no more 42 than two years and ending no more than five years from 43 the plan's inception. 44 (2) This section shall not be construed to do 45 either of the following: 46 (a) Prohibit an additional decrease in a carrier's 47 average intrastate access service rate during the term 48 of the plan. 49 (b) Permit any increase in a carrier's average 50 intrastate access service rates during the term of the Page 7 1 plan. 2 (3) The plan shall also provide that the initial 3 prices for basic communications services shall be six 4 percent less than the rates approved and in effect at 5 the time the local exchange carrier files its plan. 6 In lieu of the six percent reduction, a local exchange 7 carrier may elect to establish its rates for basic 8 communications services in a rate proceeding under 9 section 476.3 or 476.6 commenced after the effective 10 date of this Act. The plan shall provide that no 11 price increases shall be undertaken within twelve 12 months of the date of approval of the local exchange 13 carrier's plan, or within twelve months of the last 14 price change for basic communications services. 15 (4) The plan shall provide for both increases and 16 decreases in the prices for basic communications 17 services reflecting annual changes in inflation and 18 productivity. Prior to January 1, 1998, the board 19 shall use the gross domestic product price index, as 20 published by the federal government, for an inflation 21 measure, and two and six-tenths percentage points for 22 a productivity measure. After January 1, 1998, the 23 board by rule may adopt current measures of inflation 24 and productivity. 25 (5) The plan may provide that price increases for 26 basic communications services which are permitted 27 under this section may be deferred and accumulated for 28 a maximum of three years into a single price increase, 29 provided that a deferred and accumulated price 30 increase under this section shall not at any time 31 exceed six percent. A price decrease for basic 32 communications services shall not be deferred or 33 accumulated, except that price decreases of less than 34 two percent may be deferred by the local exchange 35 carrier for one year. A price decrease required under 36 this section may be offset by a price increase for a 37 basic communications service that would have been 38 permitted under this section in the previous twelve- 39 month period, but which was deferred by the local 40 exchange carrier. 41 b. Establishing and changing prices, terms, and 42 conditions for nonbasic communications services. 43 c. Reporting new service offerings to the board. 44 d. Reflecting in rates any changes in revenues, 45 expenses, and investment due to exogenous factors 46 beyond the control of the utility. 47 e. Encouraging modernization of the utility's 48 telecommunications infrastructure. 49 f. Providing notice to customers, the board, and 50 the consumer advocate of changes in prices, terms, or Page 8 1 conditions for basic and nonbasic communications 2 services. 3 4. The board shall consider the extent to which a 4 proposed plan complies with the requirements of 5 subsection 3 and achieves the following: 6 a. Just, nondiscriminatory, and reasonable rates. 7 b. High quality, universally available 8 communications services. 9 c. Encouragement of investment in communications 10 infrastructure, efficiency improvements, and 11 technological innovation. 12 d. The introduction of new communications products 13 and services from a variety of sources. 14 e. Regulatory efficiency including reduction of 15 regulatory costs and delays. A plan shall not provide 16 for waiver of, release from, or delay in implementing 17 the provisions of this section, section 476.30D or 18 476.30E or any rules adopted by the board pursuant to 19 those sections. 20 5. Notwithstanding an approved plan for price 21 regulation, the board shall continue to have 22 regulatory authority over the following: 23 a. The level, extent, and timing of the unbundling 24 of essential facilities offered by a local exchange 25 carrier. 26 b. Ensuring against cross-subsidization between 27 nonbasic communications services and basic 28 communications services. 29 6. Any person, including the consumer advocate, a 30 body politic, or the board on its own motion, may file 31 a written complaint pursuant to section 476.3, 32 subsection 1, regarding a local exchange carrier's 33 implementation, operation under, or satisfaction of 34 the purposes of its price regulation plan. 35 7. The consumer advocate may represent consumers 36 before the board regarding any rule, order, or 37 proceeding pertaining to price regulation. The 38 consumer advocate may act as attorney for and 39 represent consumers generally before any state or 40 federal court concerning a board rule, order, or 41 proceeding pertaining to price regulation. 42 8. In implementing price regulation, the board 43 shall consider competitively neutral methods to assist 44 lower-income Iowans to secure and retain telephone 45 services. 46 9. The board shall determine the duration of any 47 plan. The board shall review a local exchange 48 carrier's operation under its plan, with notice and an 49 opportunity for hearing, within four years of the 50 initiation of the plan and prior to the termination of Page 9 1 the plan. The local exchange carrier, consumer 2 advocate, or any person may propose, and the board may 3 approve, any reasonable modifications to a local 4 exchange carrier's plan as a result of the review, 5 except that such modifications shall not require a 6 reduction in the rates for any basic communications 7 service. 8 Sec. 8. NEW SECTION. 476.30C PROHIBITED ACTS. 9 A local exchange carrier shall not do any of the 10 following: 11 1. Discriminate against another provider of 12 communications services by refusing or delaying access 13 to the local exchange carrier's services. 14 2. Discriminate against another provider of 15 communications services by refusing or delaying access 16 to essential facilities on terms and conditions no 17 less favorable than those the local exchange carrier 18 provides to itself and its affiliates. An essential 19 facility is a local telecommunications facility, 20 feature, function, or capability of the local exchange 21 carrier's network that competitors cannot practically 22 or economically duplicate or obtain from other 23 sources, and to which reasonable access is necessary 24 to enable competition. 25 3. Degrade the quality of access or service 26 provided to another provider of communications 27 services. 28 4. Fail to disclose in a timely manner, upon 29 reasonable request and pursuant to a protective 30 agreement concerning proprietary information, all 31 information reasonably necessary for the design of 32 network interface equipment, network interface 33 services, or software that will meet the 34 specifications of the local exchange carrier's local 35 exchange network. 36 5. Unreasonably refuse or delay interconnections 37 or provide inferior interconnections to another 38 provider. 39 6. Use basic exchange service rates, directly or 40 indirectly, to subsidize or offset the costs of other 41 products or services offered by the local exchange 42 carrier. 43 7. Discriminate in favor of itself or an affiliate 44 in the provision and pricing of, or extension of 45 credit for, any telephone service. 46 Sec. 9. NEW SECTION. 476.30D LOCAL EXCHANGE 47 COMPETITION. 48 1. A certificate of public convenience and 49 necessity to provide local telephone service shall not 50 be interpreted as conveying a monopoly, exclusive Page 10 1 privilege, or franchise. A competitive local exchange 2 service provider shall not be subject to the 3 requirements of this chapter, except that a 4 competitive local exchange service provider shall 5 obtain a certificate of public convenience and 6 necessity pursuant to section 476.29, file tariffs, 7 notify affected customers prior to any rate increase, 8 file reports, information, and pay assessments 9 pursuant to section 476.2, subsection 4, and sections 10 476.9, 476.10, 476.16, 476.30E, and 477C.7, and shall 11 be subject to the board's authority with respect to 12 adequacy of service, interconnection, discontinuation 13 of service, civil penalties, and complaints. If, 14 after notice and opportunity for hearing, the board 15 determines that a competitive local exchange service 16 provider possesses market power in its local exchange 17 market or markets, the board may apply such other 18 provisions of chapter 476 to a competitive local 19 exchange service provider as it deems appropriate. 20 2. The duty of a local exchange carrier includes 21 the duty, in accordance with requirements prescribed 22 by the board pursuant to subsection 3 and other laws, 23 to provide equal access to, and interconnection with, 24 its facilities so that its network is fully 25 interoperable with the telecommunications services and 26 information services of other providers, and to offer 27 unbundled essential facilities. 28 3. A local exchange carrier shall provide 29 reasonable access to ducts, conduits, rights-of-way, 30 and other pathways owned or controlled by the local 31 exchange carrier to which reasonable access is 32 necessary to a competitive local exchange service 33 provider in order for a competitive local exchange 34 service provider to provide service and is feasible 35 for the local exchange carrier. 36 Upon application of a local exchange carrier or a 37 competitive local exchange service provider, the board 38 shall determine any matters concerning reasonable 39 access to ducts, conduits, rights-of-way, and other 40 pathways owned or controlled by the local exchange 41 carrier upon which agreement cannot be reached, 42 including but not limited to, matters regarding 43 valuation, space, and capacity restraints, and 44 compensation for access. 45 4. a. Prior to September 1, 1995, the board shall 46 initiate a rule-making proceeding to adopt rules that 47 satisfy the requirements enumerated in subparagraphs 48 (1) through (4). The rule-making proceeding shall be 49 completed as promptly as possible. The board, upon 50 petition or on its own motion, may conduct a separate Page 11 1 evidentiary hearing on the same or related subjects. 2 The evidence from a hearing may be considered by the 3 board during the rule-making proceeding, provided that 4 the board announces its intention to do so prior to 5 the oral presentation in the rule-making proceeding. 6 The rules shall do the following: 7 (1) Require a local exchange carrier to provide 8 unbundled essential facilities of its network, and 9 allow reasonable and nondiscriminatory equal access 10 to, use of, and interconnection with, those unbundled 11 essential facilities on reasonable, cost-based, and 12 tariffed terms and conditions. The board's rules must 13 require a local exchange carrier, including those 14 operating under a plan of price regulation, to file 15 tariffs implementing the unbundled essential 16 facilities within ninety days of the board's final 17 order adopting such rules. Such access, use, and 18 interconnection shall be on terms and conditions no 19 less favorable than those the local exchange carrier 20 provides to itself and its affiliates for the 21 provision of local exchange, access, and toll 22 services. This subsection shall not be construed to 23 establish a presumption as to the level of 24 interconnection charges, if any, to be determined by 25 the board pursuant to subparagraph (2). 26 (2) Require just, reasonable, and 27 nondiscriminatory compensation or arrangements on a 28 reciprocal, equitable, and tariffed basis for 29 termination of telecommunications services between 30 local exchange carriers and competitive local exchange 31 service providers. 32 (3) Require local exchange carriers to make 33 interim number portability available on request of a 34 competitive local exchange service provider, and to 35 implement provider number portability as soon as the 36 availability of necessary technology makes provider 37 number portability economically and technically 38 feasible, as determined by the board. The rules shall 39 also devise a reasonable and nondiscriminatory 40 mechanism for the recovery of all recurring and 41 nonrecurring costs of interim and provider number 42 portability. 43 (4) Develop the cost methodology appropriate for a 44 competitive telecommunications environment. 45 b. The rules adopted in paragraph "a", 46 subparagraphs (1), (2), and (3), do not apply to local 47 exchange carriers with less than seventy-five thousand 48 access lines until a competitive local exchange 49 service provider has filed for a certificate to 50 provide basic communications services in an exchange Page 12 1 or exchanges of the local exchange carrier, or the 2 board determines that competitive necessity requires 3 the implementation of the rules in paragraph "a", 4 subparagraphs (1), (2), and (3), by the local exchange 5 carrier. 6 5. Local exchange carriers shall file tariffs or 7 price lists in accordance with board rules with 8 respect to the services, features, functions, and 9 capabilities offered to comply with board rules on 10 unbundling of essential facilities and 11 interconnection. Local exchange carriers shall submit 12 with the tariffs or price lists for basic 13 communications services and toll services supporting 14 information that is sufficient for the board to 15 determine the relationship between the proposed 16 charges and the costs of providing such services, 17 features, functions, or capabilities, including the 18 imputed cost of intrastate access service rates in 19 toll service rates pursuant to existing board orders. 20 The board shall review the tariffs or price lists to 21 ensure that the charges are cost-based and that the 22 terms and conditions contained in the tariffs or price 23 lists unbundle any essential facilities in accordance 24 with the board's rules and any other applicable laws. 25 6. This section shall not be construed to prohibit 26 the board from enforcing rules or orders entered in 27 contested cases pending on the effective date of this 28 Act to the extent that such rules and orders are 29 consistent with the provisions of this section. 30 7. Except as provided under section 476.29, 31 subsection 2, and this section, the board shall not 32 impose or allow a local exchange carrier to impose 33 restrictions on the resale of local exchange services, 34 functions, or capabilities. The board may prohibit 35 residential service from being resold as a different 36 class of service. 37 8. Any person may file a written complaint with 38 the board requesting the board to determine compliance 39 by a local exchange carrier with the provisions of 40 sections 476.30A through 476.30C, 476.30E, and this 41 section, or any board rules implementing those 42 sections. Upon the filing of such complaint, the 43 board may promptly initiate a formal complaint 44 proceeding and give notice of the proceeding and the 45 opportunity for hearing. The formal complaint 46 proceeding may be initiated at any time by the board 47 on its own motion. The board shall render a decision 48 in the proceeding within ninety days after the date 49 the written complaint was filed. 50 Sec. 10. NEW SECTION. 476.30E UNIVERSAL SERVICE. Page 13 1 1. The board shall initiate a proceeding to 2 preserve universal service such that it shall be 3 maintained in a competitively neutral fashion. As a 4 part of this proceeding, the board shall determine the 5 difference between the cost of providing universal 6 service and the prices determined to be appropriate 7 for such service. 8 2. The board shall base policies for the 9 preservation of universal service on the following 10 principles: 11 a. A plan adopted by the board should ensure the 12 continued viability of universal service by 13 maintaining quality services at just and reasonable 14 rates. 15 b. The plan should define the nature and extent of 16 the service encompassed within any entities' universal 17 service obligations. 18 c. The plan should establish specific and 19 predictable mechanisms to provide competitively 20 neutral support for universal service. Those 21 mechanisms shall include a nondiscriminatory mechanism 22 by which funds to support universal service shall be 23 collected, and a mechanism for disbursement of support 24 funds to eligible subscribers, either directly to 25 those subscribers, or to the subscriber's provider of 26 local exchange services chosen by the subscriber. 27 d. The plan should be based on other principles as 28 the board determines are necessary and appropriate for 29 the protection of the public interest, convenience, 30 and necessity and consistent with the purposes of 31 sections 476.30 through 476.30D and this section. 32 Sec. 11. REPORT. The utilities board shall submit 33 a report to the general assembly no later than January 34 15, 1999, concerning the implementation of price 35 regulation for local exchange carriers furnishing 36 communications services." Holveck of Polk asked and received unanimous consent to withdraw amendment H-3649 filed by him on March 30, 1995. Brand of Benton offered the following amendment H-3732, to amendment H-3610, filed by him and moved its adoption: H-3732 1 Amend the amendment, H-3610, to House File 518 as 2 follows: 3 1. Page 3, line 33, by inserting after the word 4 "is" the following: "only". Amendment H-3732 lost. Bernau of Story asked and received unanimous consent to withdraw amendment H-3661, to amendment H -3610, filed by him on March 31, 1995. Doderer of Johnson asked and received unanimous consent to withdraw amendment H-3662, to amendment H-3610, filed by her on March 31, 1995. Lamberti of Polk offered the following amendment H-3749, to amendment H-3610, filed by Lamberti, et. al., and moved its adoption: H-3749 1 Amend the amendment, H-3610, to House File 518 as 2 follows: 3 1. Page 4, by striking line 1 and inserting the 4 following: "at any time, any other two-way switched 5 communications services". 6 2. Page 4, line 9, by striking the words "Primary 7 residence" and inserting the following: "Residence". 8 3. Page 7, by striking lines 6 through 14 and 9 inserting the following: "A local exchange carrier 10 which elects to reduce its rates by six percent shall 11 not, at a later time, increase its rates for basic 12 communications services as a result of the carrier's 13 compliance with the board's rules relating to 14 unbundling. In lieu of the six percent reduction, and 15 prior to the adoption of rules relating to unbundling 16 pursuant to section 476.30D, subsection 4, paragraph 17 "a", subparagraph (1), the local exchange carrier may 18 request and the board may establish a regulated 19 revenue requirement in a rate proceeding under section 20 476.3 or 476.6 commenced after the effective date of 21 this Act. After the determination of the local 22 exchange carrier's regulated revenue requirement 23 pursuant to the rate proceeding, the local exchange 24 carrier shall not immediately implement rates designed 25 to recover that regulated revenue requirement. 26 Following the adoption of rules relating to unbundling 27 pursuant to section 476.30D, subsection 4, paragraph 28 "a", subparagraph (1), the local exchange carrier 29 shall commence a tariff proceeding for the approval of 30 tariffs implementing such unbundling. The board has 31 six months to complete this tariff proceeding and 32 determine the local exchange carrier's final unbundled 33 rates. The local exchange carrier shall carry forward 34 the regulated revenue requirement determined by the 35 board pursuant to the rate proceeding and design rates 36 that comply with the board's rules relating to 37 unbundling that recover the regulated revenue 38 requirement, and that implement the board's approved 39 rate design established in the tariff proceeding. 40 In lieu of taking the six percent reduction, a 41 local exchange carrier that submits a plan for price 42 regulation after the board adopts rules relating to 43 unbundling may file a rate proceeding under section 44 476.3 or 476.6 and the board may approve rates 45 designed to comply with those rules which allow the 46 carrier to recover the established regulated revenue 47 requirement and that implement the board's approved 48 rate design established in the tariff proceeding." 49 4. Page 11, line 17, by inserting after the word 50 "rules" the following: ", except for local exchange Page 2 1 carriers with less than seventy-five thousand access 2 lines which must file such tariffs within two years of 3 the effective date of this Act". 4 5. Page 11, line 46, by striking the figures 5 "(1), (2)," and inserting the following: "(2)". 6 6. Page 12, line 4, by striking the figures "(1), 7 (2)," and inserting the following: "(2)". Amendment H-3749 was adopted, placing out of order the following amendments, to amendment H-3610: H-3664 filed by Brand of Benton on March 31, 1995. H-3665 filed by Holveck of Polk on March 31, 1995. The following amendments, to amendment H-3610, were withdrawn by unanimous consent: H-3650 filed by Brand of Benton on March 30, 1995. H-3663 filed by Weigel of Chickasaw on March 31, 1995. H-3751 filed by Holveck of Polk on April 4, 1995. H-3753 filed by Holveck of Polk on April 5, 1995. Metcalf of Polk offered the following amendment H-3722, to amendment H-3610 filed by her and moved its adoption: H-3722 1 Amend the amendment, H-3610, to House File 518 as 2 follows: 3 1. Page 6, line 26, by striking the words "is 4 filed" and inserting the following: "becomes 5 effective". 6 2. Page 7, line 46, by striking the word 7 "utility" and inserting the following: "local 8 exchange carrier". 9 3. Page 7, line 47, by striking the word 10 "utility's" and inserting the following: "local 11 exchange carrier's". Amendment H-3722 was adopted. The following amendments to amendment H-3610, were withdrawn by unanimous consent: H-3651 filed by Bell of Jasper on March 30, 1995. H-3774 filed by Brand of Benton on April 5, 1995. H-3775 filed by Brand of Benton on April 5, 1995 H-3666 filed by Holveck of Polk on March 31, 1995. Brand of Benton asked and received unanimous consent to defer action on amendment H-3752, to amendment H-3610. Weigel of Chickasaw offered the following amendment H-3785, to amendment H-3610, filed by him and Brand from the floor and moved its adoption: H-3785 1 Amend the amendment, H-3610, to House File 518 as 2 follows: 3 1. Page 7, by striking lines 47 and 48. 4 2. Page 9, by inserting after line 7 the 5 following: 6 "Sec. ___. NEW SECTION. 476.30_ ADDITIONAL PRICE 7 REGULATION PLAN PROVISIONS. 8 In addition to the provisions required in section 9 476.30B to be included in a plan of price regulation, 10 the plan shall include provisions for the following: 11 1. Reflecting in rates any changes due to changes 12 in the average cost of the local exchange carrier 13 resulting from the sale of an exchange in this state. 14 2. Encouraging modernization of the local exchange 15 carrier's telecommunications infrastructure. This 16 provision shall include a requirement that the local 17 exchange carrier develop and file with the board an 18 increased modernization plan." 19 3. By renumbering as necessary. Amendment H-3785 was adopted, placing out of order Lines 9, 10 and 11 of amendment H-3722, to amendment H-3610, previously adopted. The following amendments, to amendment H-3610, were withdrawn by unanimous consent: H-3733 filed by Weigel of Chickasaw on April 4, 1995. H-3667 filed by Weigel of Chickasaw on March 31, 1995. H-3704 filed by Weigel of Chickasaw on April 3, 1995. Bernau of Story offered the following amendment H-3652, to amendment H-3610, filed by him and moved its adoption: H-3652 1 Amend the amendment, H-3610, to House File 518 as 2 follows: 3 1. Page 9, by inserting after line 7 the 4 following: 5 "10. The board, in determining whether to file a 6 written complaint pursuant to subsection 6 or prior to 7 reviewing a local exchange carrier's operation 8 pursuant to subsection 9, may request that such 9 carrier provide any information which the board deems 10 necessary to make such determination or conduct such 11 review. The carrier shall provide the requested 12 information upon receipt of the request from the 13 board." 14 2. By renumbering as necessary. Amendment H-3652 was adopted. The following amendments, to amendment H-3610, filed by Dinkla of Guthrie, et. al., on April 5, 1995, were withdrawn by unanimous consent: H-3769 and H-3771. Dinkla of Guthrie offered the following amendment H-3781, to amendment H-3610, filed by Dinkla, Renken, Lamberti, Bell and Carroll from the floor and moved its adoption: H-3781 1 Amend the amendment, H-3610, to House File 518 as 2 follows: 3 1. Page 9, by inserting after line 7 the 4 following: 5 "10. a. Notwithstanding subsections 1 through 9, 6 a local exchange carrier with fewer than five hundred 7 thousand access lines in this state shall have the 8 option to be regulated pursuant to subsections 1 9 through 9 or pursuant to this subsection. 10 b. A local exchange carrier which elects to become 11 price regulated under this subsection shall give 12 written notice to the board of such election not less 13 than thirty days prior to the date such regulation is 14 to commence. 15 c. Upon election of a local exchange carrier to 16 become price-regulated under this subsection, the 17 carrier shall reduce its rates for basic local 18 telephone service an average of three percent. In 19 lieu of the three percent reduction, the local 20 exchange carrier may establish its rates for basic 21 local telephone service in a rate proceeding under 22 section 476.3 or 476.6 commenced after the effective 23 date of this Act. 24 d. Initial prices for basic communications 25 services, other than basic local telephone service, 26 shall be set at the rates in effect as of the first of 27 July prior to the date such regulation is to commence. 28 e. (1) A price-regulated local exchange carrier 29 shall not increase its rates for basic communications 30 services, for a period of twelve months after electing 31 to become price regulated. To the extent necessary, 32 rates for basic services may be increased to carry out 33 the purpose of any rules that may be adopted by the 34 board relating to the terms and conditions of 35 unbundled services and interconnection. A price- 36 regulated local exchange carrier may increase its 37 rates for basic communications services following the 38 initial twelve-month period, to the extent that the 39 change in rate does not exceed two percentage points 40 less than the most recent annual change in the gross 41 domestic product price index, as published by the 42 federal government. If application of such formula 43 achieves a negative result, prices shall be reduced so 44 that the cumulative price change for basic services, 45 including prior price reductions in these services, 46 achieves the negative result. After January 1, 2000, 47 the board by rule may adopt different measures of 48 inflation and productivity if they are found to be 49 more reflective of the individual price-regulated 50 carriers. Page 2 1 (2) Price increases for basic communications 2 services which are permitted under this subsection may 3 be deferred and accumulated for a maximum of three 4 years into a single price increase, provided that a 5 deferred and accumulated price increase under this 6 subsection shall not at any time exceed six percent. 7 A price decrease for basic communications services 8 shall not be deferred or accumulated, except that 9 price decreases of less than two percent may be 10 deferred by the local exchange carrier for one year. 11 A price decrease required under this section may be 12 offset by a price increase for a basic communications 13 service that would have been permitted under this 14 section in the previous twelve-month period, but which 15 was deferred by the local exchange carrier. A rate 16 change pursuant to this subsection may take effect 17 thirty days after the notification of the board and 18 consumers. 19 (3) A price-regulated local exchange carrier shall 20 not increase its aggregate revenue weighted prices for 21 nonbasic communications services more than six percent 22 in any twelve-month period. 23 (4) A price-regulated local exchange carrier may 24 reduce the price for any basic communications service, 25 to an amount not less than the total service long-run 26 incremental cost for such service on one day's notice 27 filed with the board. For purposes of this 28 subsection, "total service long-run incremental costs" 29 means the difference between the company's total cost 30 and the total cost of the company less the applicable 31 service, feature, or function. 32 (5) A price-regulated local exchange carrier may 33 offer new service alternatives for any basic 34 communications services on thirty days prior notice to 35 the board, provided that the preexisting basic com- 36 munications service rate structure continues to be 37 offered to customers. New telecommunications services 38 shall be considered nonbasic communications services 39 as defined in section 476.30A, subsection 6. 40 (6) A price-regulated local exchange carrier must 41 reduce the average intrastate access service rates to 42 the carrier's average interstate access service rates. 43 Such carrier shall reduce the average intrastate 44 access service rates by at least twenty-five percent 45 of the difference of such rates within ninety days of 46 the election to be price-regulated and twenty-five 47 percent each of the next three years. 48 f. A local exchange carrier shall notify customers 49 of a rate change under this subsection at least thirty 50 days prior to the effective date of the rate change. Page 3 1 g. The board may review a local exchange carrier's 2 operation under this subsection, with notice and an 3 opportunity for hearing, after four years of the 4 carrier's election to be price-regulated. The local 5 exchange carrier, consumer advocate, or any person may 6 propose, and the board may approve, any reasonable 7 modifications to the price-regulation requirements in 8 this subsection as a result of the specific carrier 9 review, except that such modifications shall not 10 require a reduction in the rates for any basic 11 communications service or a return to rate-base, rate- 12 of-return regulation." Amendment H-3781 was adopted. Brand of Benton asked and received unanimous consent to withdraw amendment H-3791, to amendment H-3610, filed by him from the floor. Holveck of Polk offered the following amendment H-3792, to amendment H-3610, filed by him from the floor and moved its adoption: H-3792 1 Amend the amendment, H-3610, to House File 518 as 2 follows: 3 1. Page 9, by inserting after line 7 the 4 following: 5 "Sec. ___. NEW SECTION. 476.30__ EARNINGS 6 CALCULATION AND REPORT. 7 1. The consumer advocate shall calculate an 8 estimate of the return of a local exchange carrier 9 operating under a plan of price regulation pursuant to 10 section 476.30B as if the carrier were subject to 11 rate-of-return regulation. The calculation shall be 12 based upon the annual report of such carrier and other 13 information provided to the consumer advocate by the 14 carrier. The calculation shall be made every two 15 years beginning following the end of the second 16 calendar year after the year in which the plan becomes 17 effective. The consumer advocate shall provide a 18 written report to the general assembly including the 19 results of this calculation on or before July 1 of the 20 year immediately following the two-year period for 21 which a calculation is made. If, after a review of 22 the information used to make the calculation required 23 in this section, the consumer advocate determines that 24 the public interest would be better served by a 25 different form of rate regulation, the consumer 26 advocate shall provide a recommendation that the 27 general assembly direct the utilities board to 28 implement a different form of rate regulation." 29 2. Renumber as necessary. Amendment H-3792 was adopted. Holveck of Polk asked and received unanimous consent to withdraw amendment H-3734, to amendment H-3610, filed by him on April 4, 1995. Rants of Woodbury offered the following amendment H-3770, to amendment H-3610, filed by him and Metcalf and moved its adoption: H-3770 1 Amend the amendment, H-3610, to House File 518, as 2 follows: 3 1. Page 11, by striking lines 26 through 31 and 4 inserting the following: 5 "(2) Establish reciprocal cost-based compensation 6 for termination of telecommunications services between 7 local exchange carriers and competitive local exchange 8 service providers. The board may also implement an 9 appropriate surcharge to be effective on July 1, 1997, 10 or upon the availability of provider number 11 portability, whichever is first, if the ratio of 12 residence to business customers served on a facilities 13 basis by a competitive local exchange service provider 14 does not approximate the ratio of residence to 15 business customers served by the local exchange 16 carrier. The board may eliminate the surcharge upon 17 the occurrence of either of the following: 18 (a) When the local exchange carrier's prices for 19 local exchange service cover the carrier's costs as 20 determined by the board. 21 (b) Once the competitive local exchange service 22 provider's ratio of residence to business customers 23 approximates that of the local exchange carrier. 24 The board may require the local exchange carrier, 25 by tariff, to implement an equalization adjustment 26 mechanism on an annual basis that recognizes the 27 competitive local exchange service provider's average 28 annual ratio of residence to business customers and 29 which makes appropriate pro rata reductions in the 30 surcharge if the competitive local exchange service 31 provider demonstrates a year-over-year change in the 32 ratio of residence to business customers served. The 33 tariff may also provide for an equalization adjustment 34 on an annual basis if the local exchange carrier 35 experienced an increase in its residential local 36 service rates during the preceding year." Amendment H-3770 was adopted. The following amendments, to amendment H-3610, were withdrawn by unanimous consent: H-3653 filed by Bell of Jasper on March 30, 1995. H-3703 filed by Fallon of Polk on April 30, 1995. H-3654 filed by Fallon of Polk on March 30, 1995. H-3752, previously deferred, filed by Brand of Benton on April 5, 1995. On motion by Metcalf of Polk, amendment H-3610, as amended, was adopted, placing the following amendments out of order: H-3621 filed by Bernau of Story on March 29, 1995. H-3420 filed by Fallon of Polk on March 22, 1995. H-3629 filed by Weigel of Chickasaw on March 29, 1995. H-3631 filed by Brand of Benton on March 29, 1995. H-3633 filed by Weigel of Chickasaw on March 29, 1995. H-3627 filed by Weigel of Chickasaw on March 29, 1995. H-3630 filed by Holveck of Polk on March 29, 1995. H-3632 filed by Holveck of Polk on March 29, 1995. H-3619 filed by Holveck of Polk on March 29, 1995. H-3617 filed by Brand of Benton on March 29, 1995. H-3628 filed by Bell of Jasper on March 29, 1995. H-3618 filed by Holveck of Polk on March 29, 1995. H-3616 filed by Brand of Benton on March 29, 1995. H-3613 filed by Weigel of Chickasaw on March 29, 1995. H-3614 filed by Weigel of Chickasaw on March 29, 1995. H-3611 filed by Weigel of Chickasaw on March 29, 1995. H-3612 filed by Brand of Benton on March 29, 1995. H-3620 filed by Bell of Jasper on March 29, 1995. H-3615 filed by Fallon of Polk on March 29, 1995. Metcalf of Polk moved that the bill be read a last time now and placed upon its passage which motion prevailed and the bill was read a last time. On the question "Shall the bill pass?" (H.F. 518) The ayes were, 88: Arnold Baker Bell Blodgett Boddicker Boggess Bradley Branstad Brauns Brunkhorst Carroll Cataldo Churchill Cohoon Connors Coon Corbett, Spkr. Cormack Cornelius Daggett Dinkla Disney Doderer Drake Drees Eddie Ertl Garman Gipp Greig Greiner Gries Grubbs Grundberg Hahn Halvorson Hammitt Hanson Harper Harrison Heaton Hurley Huseman Jacobs Jochum Klemme Kremer Lamberti Larkin Larson Lord Main Martin Mascher May McCoy Mertz Metcalf Meyer Millage Moreland Mundie Murphy Myers Nelson, B. Nelson, L. Nutt O'Brien Rants Renken Salton Schrader Schulte Shoultz Siegrist Sukup Teig Thomson Tyrrell Van Fossen Vande Hoef Veenstra Warnstadt Weidman Welter Wise Witt Van Maanen, Presiding The nays were, 10: Bernau Brand Burnett Fallon Holveck Koenigs Kreiman Ollie Running Weigel Absent or not voting, 2: Brammer Houser The bill having received a constitutional majority was declared to have passed the House and the title was agreed to. IMMEDIATE MESSAGE Siegrist of Pottawattamie asked and received unanimous consent that House File 518 be immediately messaged to the Senate. INTRODUCTION OF BILL House File 559, by committee on ways and means, a bill for an act defining multiple housing cooperatives and certain other property of nonprofit organizations as residential property for purposes of assessing the value of the property for taxation purposes, and providing for the Act's retroactive applicability. Read first time and placed on the ways and means calendar. HOUSE FILE 306 WITHDRAWN Welter of Jones asked and received unanimous consent to withdraw House File 306 from further consideration by the House. House File 222, a bill for an act relating to the establishment of home development districts, with report of committee recommending passage, was taken up for consideration. Jacobs of Polk offered amendment H-3777 filed by Jacobs et. al. as follows: H-3777 1 Amend House File 222 as follows: 2 1. By striking everything after the enacting 3 clause and inserting the following: 4 "Section 1. NEW SECTION. 358C.1 DEFINITIONS. 5 As used in this chapter, unless the context 6 otherwise requires: 7 1. "Board" means the board of trustees of a real 8 estate improvement district. 9 2. "Construction" includes materials, labor, acts, 10 operations, and services necessary to complete a 11 public improvement. 12 3. "Cost" of a public improvement includes the 13 cost of engineering, preliminary reports, property 14 valuations, estimates, plans, specifications, notices, 15 legal services, acquisition of land, consequential 16 damages, easements, rights-of-way, construction, 17 repair, supervision, inspection, testing, notices and 18 publication, interest during construction and for not 19 more than six months thereafter, and printing and sale 20 of bonds. 21 4. "District" means a real estate improvement 22 district as created in this chapter. 23 5. "Public improvement" includes the principal 24 structures, works, component parts, and accessories of 25 the facilities or systems specified in section 358C.3. 26 6. "Repair" includes materials, labor, acts, 27 operations, and services necessary for the 28 reconstruction, reconstruction by widening, or 29 resurfacing of a public improvement. 30 Sec. 2. NEW SECTION. 358C.2 REAL ESTATE 31 IMPROVEMENT DISTRICT CREATED. 32 1. A majority of the owners having an interest in 33 the real property within the limits of a proposed 34 district may file a petition in the office of county 35 auditor of the county in which the proposed district 36 or major part of the proposed district is located, 37 requesting that the question be submitted to the 38 registered voters of the proposed district of whether 39 the territory within the boundaries of the proposed 40 district shall be organized as a real estate 41 improvement district as provided in this chapter. 42 Areas of contiguous and noncontiguous territory may be 43 incorporated within a district. The petition shall be 44 addressed to the board of supervisors if all or part 45 of the proposed district includes territory located 46 outside the boundaries of a city, shall be submitted 47 to and approved by the board of supervisors before it 48 is filed with the county auditor, and shall set forth 49 the following information: 50 a. The name of the district. Page 2 1 b. The district shall have perpetual existence. 2 c. The boundaries of the district. 3 d. The names and addresses of the owners of land 4 in the proposed district. 5 e. The description of the tracts of land situated 6 in the proposed district owned by those persons who 7 may organize the district. 8 f. The names and descriptions of the real estate 9 owned by the persons who do not join in the 10 organization of the district, but who will be 11 benefited by the district. 12 g. A listing of one or more of the district 13 improvements specified in section 358C.3 which will be 14 carried out by the district. 15 h. The owners of real estate in the proposed 16 district that are unknown may also be set out in the 17 petition as being unknown. 18 i. That the establishment of the proposed district 19 will be conducive to the public health, comfort, 20 convenience, and welfare. 21 2. The petition shall also state that the owners 22 of real estate who are forming the proposed district 23 are willing to pay the taxes which may be levied 24 against all of the property in the proposed district 25 and special assessments against the real property 26 benefited which may be assessed against them to pay 27 the costs necessary to carry out the purposes of the 28 district. 29 3. The petition shall also state whether or not 30 owners of real estate who are forming the proposed 31 district shall waive any objections to a subsequent 32 annexation by a city if the district has issued bonds 33 or obligations for public improvements within the 34 district and the annexing city assumes those 35 obligations. 36 4. The petition shall propose the names of five or 37 more trustees who shall be owners of real estate in 38 the proposed district, to serve as a board of trustees 39 until their successors are elected and qualified if 40 the district is organized. The board of trustees 41 shall only carry out those purposes which are 42 authorized in this chapter and listed in the petition. 43 5. If the proposed district includes real estate 44 located in whole or in part within the boundaries of a 45 city, the petition shall be submitted to and approved 46 by the city council before it is filed with the county 47 auditor as provided in subsection 1. If a petition 48 includes a proposed district located solely within the 49 boundaries of a city, the petition is not subject to 50 action by the board of supervisors except for the Page 3 1 purpose of selecting the initial trustees and setting 2 the election date to finally organize the district. 3 6. A proposed district shall be created only from 4 parcels of land within the boundaries of a city, on 5 parcels of land within two miles of the boundaries of 6 a city, or on parcels of land from both locations. 7 Sec. 3. NEW SECTION. 358C.3 PUBLIC IMPROVEMENTS 8 AUTHORIZED. 9 1. A district may acquire, construct, reconstruct, 10 install, maintain, and repair any of the public 11 improvements listed in subsection 2. 12 2. A public improvement includes the principal 13 structures, works, component parts, and accessories of 14 any of the following: 15 a. Underground gas, water, heating, sewer, and 16 electrical connections located in streets for private 17 property. 18 b. Sanitary, storm, and combined sewers. 19 c. Waterworks, water mains, and extensions. 20 d. Emergency warning systems. 21 e. Sidewalks and pedestrian underpasses or 22 overpasses. 23 f. Drainage conduits, dikes, and levees for flood 24 protection. 25 g. Public waterways, docks, and wharfs. 26 h. Public parks, playgrounds, and recreational 27 facilities. 28 i. Street grading, paving, graveling, 29 macadamizing, curbing, guttering, and surfacing with 30 oil and gravel or chloride. 31 j. Drives and driveway approaches located within 32 the public right-of-way. 33 k. Street lighting fixtures, connections, and 34 facilities. 35 l. Sewage pumping stations and disposal and 36 treatment plants. 37 m. Traffic control devices, fixtures, connections, 38 and facilities. 39 n. Public roads, streets, and alleys. 40 Sec. 4. NEW SECTION. 358C.4 DATE AND NOTICE OF 41 HEARING. 42 1. The board of supervisors to which the petition 43 is addressed, at its next meeting, shall set the time 44 and place for a hearing on the petition. The board 45 shall direct the county auditor in whose office the 46 petition is filed to cause notice to be given to all 47 persons whom it may concern, without naming them, of 48 the pendency and content of the petition, by 49 publication of a notice as provided in section 50 331.305. Proof of giving the notice shall be made by Page 4 1 affidavit of the publisher and the proof shall be on 2 file with the county auditor at the time the hearing 3 begins. The notice of hearing shall be directed to 4 all persons it may concern, and shall state: 5 a. That a petition has been filed with the county 6 auditor of the county, naming it, for establishment of 7 a proposed district, and the name of the proposed 8 district. 9 b. An intelligible description of the boundaries 10 of the territory to be embraced in the district. 11 c. The date, hour, and the place where the 12 petition will be brought for hearing before the board 13 of supervisors of the named county. 14 d. That the board of supervisors will fix and 15 determine the boundaries of the proposed district as 16 described in the petition or otherwise, and for that 17 purpose may alter and amend the petition. At the 18 hearing all interested persons shall have an 19 opportunity to be heard on the location and boundaries 20 of the proposed district and to make suggestions 21 regarding the location and boundaries. 22 2. For a district which does not include land 23 within a city, copy of the notice shall also be sent 24 by mail to each owner, without naming them, of each 25 tract of land or lot within the proposed district as 26 shown by the transfer books of the auditor's office. 27 The mailings shall be to the last known mailing 28 address unless there is on file an affidavit of the 29 auditor or of a person designated by the board to make 30 the necessary investigation, stating that a mailing 31 address is not known and that diligent inquiry has 32 been made to ascertain it. The copy of notice shall 33 be mailed no less than twenty days before the day set 34 for hearing and proof of service shall be by affidavit 35 of the auditor. The proofs of service required by 36 this subsection shall be on file at the time the 37 hearing begins. 38 3. In lieu of the mailing to the last known 39 address a person owning land affected by a proposed 40 district may file with the county auditor an 41 instrument in writing designating the address for the 42 mailing. This designation when filed is effective for 43 five years and applies to all proceedings under this 44 chapter. The person making the designation may change 45 the address in the same manner as the original 46 designation is made. 47 4. In lieu of publication, personal service of the 48 notice may be made upon an owner of land in the 49 proposed district in the manner and for the time 50 required for service of original notices in the Page 5 1 district court. Proof of the service shall be on file 2 with the auditor on the date of the hearing. 3 Sec. 5. NEW SECTION. 358C.5 HEARING OF PETITION 4 AND ORDER. 5 The board of supervisors to whom the petition is 6 addressed shall preside at the hearing provided for in 7 section 358C.4 and shall continue the hearing in 8 session, with adjournments from day to day, if 9 necessary, until completed, without being required to 10 give any further notice of the hearing. Proof of the 11 residences and qualifications of the petitioners as 12 registered voters shall be made by affidavit or 13 otherwise as the board may direct. The board may 14 consider the boundaries of a proposed district, 15 whether the boundaries are described in the petition 16 or otherwise, and for that purpose may alter and amend 17 the petition and limit or change the boundaries of the 18 proposed district as stated in the petition. The 19 board shall adjust the boundaries of a proposed 20 district as needed to exclude land that has no 21 reasonable likelihood of benefit from inclusion in the 22 proposed district. The boundaries of a proposed 23 district shall not be changed to incorporate property 24 not included in the original petition and published 25 notice until the owner of the property is given notice 26 of inclusion as on the original hearing. All persons 27 in the proposed district shall have an opportunity to 28 be heard regarding the location and boundaries of the 29 proposed district and to make suggestions regarding 30 the location and boundaries, and the board of 31 supervisors, after hearing the statements, evidence, 32 and suggestions made and offered at the hearing, shall 33 enter an order fixing and determining the limits and 34 boundaries of the proposed district and whether or not 35 all present and future property owners within the 36 district have waived any objections to the annexation 37 by a city if the district has issued obligations or 38 bonds for public improvement and the city assumes 39 those obligations, and directing that an election be 40 held for the purpose of submitting to the registered 41 voters owning land within the boundaries of the 42 proposed district the question of organization and 43 establishment of the proposed district as determined 44 by the board of supervisors. The order shall fix a 45 date for the election not more than sixty days after 46 the date of the order. 47 Sec. 6. NEW SECTION. 358C.6 NOTICE OF ELECTION. 48 In its order for the election the board of 49 supervisors shall direct the county commissioner of 50 elections of the county in which the petition is filed Page 6 1 to cause notice of the election to be given at least 2 thirty days before the date of election by publication 3 of the notice as provided in section 331.305. The 4 notice shall state the time and place of holding the 5 election and the hours when the polls will open and 6 close, the purpose of the election, with the name of 7 the proposed district and a description of the 8 boundaries of the proposed district, and shall set 9 forth briefly the limits of each voting precinct and 10 the location of the polling places. Proof of 11 publication shall be made in the manner provided in 12 section 358C.4 and filed with the county auditor. 13 Sec. 7. NEW SECTION. 358C.7 ELECTION. 14 1. Each registered voter resident within the 15 proposed district shall have the right to cast a 16 ballot at the election and a person shall not vote in 17 any precinct but that of the person's residence. 18 Ballots at the election shall be in substantially the 19 following form, to wit: 20 For Real Estate Improvement District 21 Against Real Estate Improvement District 22 2. The board of supervisors shall cause a 23 statement of the result of the election to be included 24 in the records of the county auditor. If a majority 25 of the votes cast upon the question of incorporation 26 of the proposed district shall be in favor of the 27 proposed district, the proposed district shall be 28 deemed an organized real estate improvement district 29 under this chapter and established as conducive to the 30 public health, comfort, convenience, and welfare. 31 3. In the event the petition and order provide 32 that any present or future owner of property within 33 the district waives objection to annexation if the 34 district has issued obligations or bonds for a public 35 improvement and the annexing city assumes those 36 obligations, the board of supervisors shall file a 37 certified declaration of that provision and a legal 38 description of all real estate in the district with 39 the county recorder in each county in which the 40 district is located. 41 Sec. 8. NEW SECTION. 358C.8 EXPENSES AND COSTS 42 OF ELECTION. 43 The election held pursuant to this chapter shall be 44 conducted by the county commissioner of elections. 45 All expenses incurred in carrying out the preceding 46 sections of this chapter, and the costs of the 47 election, as determined by the county commissioner of 48 elections, shall be paid by those who will be 49 benefited by the proposed district. If the district 50 is not established, the expenses and costs shall be Page 7 1 collected upon the bonds of the petitioners. 2 Sec. 9. NEW SECTION. 358C.9 SELECTION OF 3 TRUSTEES -- TERM OF OFFICE. 4 1. At the election provided for in section 358C.7, 5 the names of candidates for trustee of the district 6 shall be submitted to the registered voters, and the 7 board of supervisors which had jurisdiction of the 8 proceedings for establishment of the district, 9 together with the board of supervisors of any other 10 county in which any part of the district is located, 11 shall appoint five trustees from among the five or 12 more persons receiving the greatest number of votes as 13 trustees of the district. One of the trustees shall 14 be designated to serve a term expiring on the first 15 day of January which is not a Sunday or legal holiday 16 following the next general election, two to serve a 17 term expiring on the first day of January which is not 18 a Sunday or legal holiday two years later, and two to 19 serve a term expiring on the first day of January 20 which is not a Sunday or legal holiday four years 21 later. Thereafter, each term shall be for a term of 22 years established by the board of supervisors, not 23 less than three years or more than six years. 24 Successors to trustees shall be elected by special 25 election or at a special meeting of the board of 26 trustees called for that purpose. For each special 27 election called after the initial election, a 28 candidate for office of trustee shall be nominated by 29 a personal affidavit of the candidate or by petition 30 of at least ten registered voters of the district and 31 the candidate's personal affidavit, which shall be 32 filed with the county commissioner of elections at 33 least twenty-five days before the date of the 34 election. The form of the candidate's affidavit shall 35 be substantially the same as provided in section 45.3. 36 2. Vacancies in the office of trustee of a 37 district shall be filled by the remaining members of 38 the board for the period until a successor is chosen 39 in the manner prescribed by this section or by section 40 69.12, whichever is applicable. 41 3. In lieu of a special election, successors to 42 trustees shall be elected at a special meeting of the 43 board of trustees called for that purpose. Upon its 44 own motion, the board of trustees may, or upon 45 petition of landowners owning more than fifty percent 46 of the total land in the district, shall, call a 47 special meeting of the residents of the district to 48 elect successors to trustees of the board. Notice of 49 the meeting shall be given at least ten days before 50 the date of the meeting by publication of the notice Page 8 1 in a newspaper of general circulation in the district. 2 The notice shall state the date, times, and location 3 of the meeting and that the meeting is called for the 4 purpose of electing one or more trustees to the board. 5 Sec. 10. NEW SECTION. 358C.10 TRUSTEE'S BOND. 6 Each trustee, before entering upon the duties of 7 office, shall execute a bond payable to the district, 8 with security to be approved by the board of 9 supervisors which had jurisdiction of the petition for 10 establishment of the district, in such form and amount 11 as the board of supervisors may determine, which bond 12 shall be filed with the county auditor of the county. 13 Sec. 11. NEW SECTION. 358C.11 REAL ESTATE 14 IMPROVEMENT DISTRICT TO BE A BODY CORPORATE -- EMINENT 15 DOMAIN. 16 1. Each district organized under this chapter 17 shall be a body corporate and politic, with the name 18 and style under which it was organized, and by that 19 name and style may sue and be sued, contract and be 20 contracted with, acquire and hold real and personal 21 property necessary for corporate purposes, adopt a 22 corporate seal and alter the same at pleasure, and 23 exercise all the powers conferred in this chapter. 24 2. All courts of this state shall take judicial 25 notice of the existence of real estate improvement 26 districts organized under this chapter. 27 3. A district shall not own or hold land in excess 28 of ten acres unless the land is actually used for a 29 public purpose within three years of its acquisition. 30 A district which owns or holds land in excess of ten 31 acres for more than three years without devoting it to 32 a public purpose as provided in this chapter shall 33 divest itself of the land by public auction to the 34 highest bidder. 35 4. A district may acquire by purchase, 36 condemnation, or gift, real or personal property, 37 right-of-way, and easement within or without its 38 corporate limits necessary for its corporate purposes 39 specified in section 358C.3. 40 5. If the board of trustees of the district decide 41 to make a public improvement pursuant to this chapter 42 which requires that private property be taken or 43 damaged, the board may exercise the power of eminent 44 domain. The procedure to condemn property shall be 45 exercised in the manner provided in chapter 6B. 46 Sec. 12. NEW SECTION. 358C.12 BOARD OF TRUSTEES 47 -- POWERS -- PROHIBITED ACTIONS. 48 1. The board of trustees is the corporate 49 authority of the district and shall manage and control 50 the affairs and property of the district. A majority Page 9 1 of the board of trustees shall constitute a quorum, 2 but a smaller number may adjourn from day to day. The 3 board of trustees shall elect a president, a clerk, 4 and a treasurer from its membership and may employ 5 employees as necessary, who shall hold their 6 employment during the pleasure of the board. The 7 board shall prescribe the duties and fix the 8 compensation of all employees of the district and the 9 amount of bond to be filed by the treasurer of the 10 district and by any employee for whom the board may 11 require bond. The members of the board of trustees 12 shall receive a per diem of forty dollars for 13 attendance at a meeting of the board or while 14 otherwise engaged in official duties, but the total 15 per diem for each member shall not exceed two thousand 16 four hundred dollars for a fiscal year. However, the 17 board of trustees, by resolution, may establish for 18 its members a lower rate of pay than is fixed by this 19 section. The members of the board shall also be 20 reimbursed for their travel and other necessary 21 expenses incurred in performing their official duties. 22 Travel expenses are reimbursable at the rate specified 23 in section 70A.9. 24 2. The board of trustees may adopt the necessary 25 ordinances, resolutions, and regulations for the 26 proper management and conduct of the business of the 27 board of trustees and the corporation and for carrying 28 out the purposes for which the district is formed. 29 3. If the board of trustees wishes to expand its 30 authority to carry out public improvements in addition 31 to the public improvements listed in the board's 32 original petition as provided in section 358C.3, the 33 board shall submit a petition to the board of 34 supervisors specifying the additional public 35 improvements to be included within the authority of 36 the district and requesting that the board of 37 supervisors order an election as provided in section 38 358C.6 to approve or disapprove the amendment. If the 39 petition includes public improvements as specified in 40 section 358C.3, the board of supervisors shall order 41 the election to be conducted as otherwise provided in 42 this chapter. If the amendment is approved, the 43 original petition is amended to include the additional 44 public improvements. 45 4. The board of trustees of a district shall not 46 purchase and resell electric service. 47 Sec. 13. NEW SECTION. 358C.13 TAXES -- POWER TO 48 LEVY -- TAX SALES. 49 1. The board of trustees of a real estate 50 improvement district shall have the power by ordinance Page 10 1 to levy annually for the purpose of paying the 2 administrative costs of the district, or for the 3 payment of deficiencies in special assessments, or for 4 both, a tax upon property within the territorial 5 limits of the district not exceeding fifty-four cents 6 per thousand dollars of the adjusted taxable valuation 7 of the property within the district for the preceding 8 fiscal year. 9 2. All taxes thus levied by the board shall be 10 certified by the clerk on or before March 1 to the 11 county auditor of each county in which any of the 12 property included within the territorial limits of the 13 district is located, and shall be placed upon the tax 14 list for the current fiscal year by the auditor. The 15 county treasurer of more than one county shall collect 16 all taxes so levied in the same manner as other taxes, 17 and when delinquent the taxes shall draw the same 18 interest. All taxes levied and collected shall be 19 paid over by the officer collecting the taxes to the 20 treasurer of the district. 21 3. Sales for delinquent taxes owing to the 22 district shall be made at the same time and in the 23 same manner as the sales are made for other taxes, and 24 all provisions of the law of this state relating to 25 the sale of property for delinquent taxes shall be 26 applicable, so far as may be, to the sales. 27 Sec. 14. NEW SECTION. 358C.14 RENTALS AND 28 CHARGES. 29 1. A board of trustees may by ordinance establish 30 equitable rates, charges, or rentals for the utilities 31 and services furnished by the district to be paid to 32 the district by every person, firm, or corporation 33 whose premises are served by a connection to the 34 utilities and services directly or indirectly. The 35 rates, charges, or rentals, as near as may be in the 36 judgment of the board of trustees, shall be equitable 37 and in proportion to the services rendered and the 38 cost of the services, and taking into consideration in 39 the case of the premises the quantity of sewage or 40 water produced or used and the concentration, 41 strength, and pollution qualities of the sewage. The 42 board of trustees may change the rates, charges, or 43 rentals as it may deem advisable, and by ordinance may 44 provide for collection. The board may contract with 45 any municipality within the district, whereby the 46 municipality may collect or assist in collecting any 47 of the rates, charges, or rentals, whether in 48 conjunction with water rentals or otherwise, and the 49 municipality may undertake the collection and render 50 the service. The rates, charges, or rentals, if not Page 11 1 paid when due, shall constitute a lien upon the real 2 property served by a connection. The lien shall have 3 equal precedence with ordinary taxes, may be certified 4 to the county treasurer and collected in the same 5 manner as taxes, and is not divested by a judicial 6 sale. 7 2. Sewer rentals, charges, or rates may supplant 8 or replace, in whole or in part, any monetary levy of 9 taxes which may be, or have been, authorized by the 10 board of trustees for any of the following purposes: 11 a. To meet interest and principal payments on 12 bonds legally authorized for the financing of sanitary 13 utilities in any manner. 14 b. To pay costs of the construction, maintenance, 15 or repair of the facilities or utilities, including 16 payments to be made under any contract between 17 municipalities for either the joint use of water or 18 sewage facilities, or for the use by one municipality 19 of all or a part of the water or sewer system of 20 another municipality. 21 Sec. 15. NEW SECTION. 358C.15 DEBT LIMIT -- 22 BORROWING -- BONDS -- PURPOSES. 23 1. A district may borrow money for its corporate 24 purposes, but shall not become indebted in any manner 25 or for any purpose to an amount in the aggregate 26 exceeding its constitutional debt limit of five 27 percent on the value of the taxable property within 28 the district, to be ascertained by the last state and 29 county tax lists previous to the incurring of the 30 indebtedness. Indebtedness within this constitutional 31 limit shall not include the indebtedness of any other 32 municipal corporation located wholly or partly within 33 the boundaries of the district, special assessment 34 bonds or obligations authorized under section 358C.16, 35 or revenue bonds authorized under section 358C.17. 36 2. Subject only to this debt limitation, a 37 district shall have the same powers to issue bonds, 38 including both general obligation and revenue bonds, 39 which cities have under the laws of this state. In 40 the application of the laws to this chapter, the words 41 used in the laws referring to municipal corporations 42 or to cities shall be held to include real estate 43 improvement districts organized under this chapter; 44 the words "council" or "city council" shall be held to 45 include the board of trustees of a district; the words 46 "mayor" and "clerk" shall be held to include the 47 president and clerk of a board of trustees; and like 48 construction shall be given to any other words in the 49 laws where required to permit the exercise of the 50 powers by real estate improvement districts. Page 12 1 3. All bonds issued shall be signed by the 2 president of the board of trustees and attested by the 3 clerk, with the seal of the district, if any, affixed, 4 and interest coupons attached to the bonds shall be 5 attested by the signature of the clerk. 6 4. The proceeds of any bond issue made under this 7 section shall be used only for the public improvements 8 specified in section 358C.3. Proceeds from the bond 9 issue may also be used for the payment of special 10 assessment deficiencies. The bonds shall be payable 11 in not more than forty annual installments and with 12 interest at a rate not exceeding that permitted by 13 chapter 74A, and shall be made payable at the place 14 and be of the form as the board of trustees shall by 15 resolution designate. A district issuing bonds as 16 authorized in this section is granted authority to 17 pledge the future avails of a tax levy to the payment 18 of the principal and interest of the bonds after the 19 same come due, and the power to impose and certify the 20 levy is granted to the trustees of real estate 21 improvement districts organized under this chapter. 22 Sec. 16. NEW SECTION. 358C.16 SPECIAL 23 ASSESSMENTS. 24 1. The board of trustees of a real estate 25 improvement district may provide for payment of all or 26 any portion of the costs of a public improvement 27 specified in section 358C.3, by assessing all, or any 28 portion of the costs, on adjacent property according 29 to the benefits derived. For the purposes of this 30 chapter, the board of trustees may define "adjacent 31 property" as all that included within a designated 32 benefited district to be fixed by the board, which may 33 be all of the property located within the real estate 34 improvement district or any lesser portion of that 35 property. It is not a valid objection to a special 36 assessment that the improvement for which the 37 assessment is levied is outside the limits of the 38 district, but a special assessment shall not be made 39 upon property situated outside of the district. 40 Special assessments pursuant to this section shall be 41 in proportion to the special benefits conferred upon 42 the property, and not in excess of the benefits. The 43 value of a property is the present fair market value 44 of the property with the proposed public improvements 45 completed. Payment of installments of a special 46 assessment against property used and assessed as 47 agricultural property shall be deferred upon the 48 filing of a request by the owner in the same manner 49 and under the same procedures as provided in chapter 50 384 for special assessments by cities. Page 13 1 2. The assessments may be made to extend over a 2 period not to exceed fifteen years, payable in as 3 nearly equal annual installments as practicable. A 4 majority vote of the board of trustees is requisite 5 and sufficient for any action required by the board of 6 trustees under this section. 7 3. Subject to the limitations otherwise stated in 8 this section, a district organized under this chapter 9 has all of the powers to specially assess the costs of 10 improvements described in this section, including the 11 power to issue special assessment bonds, warrants, 12 project notes, or other forms of interim financing 13 obligations, which cities have under the laws of this 14 state. 15 Sec. 17. NEW SECTION. 358C.17 REVENUE BONDS. 16 A district incorporated under this chapter may 17 exercise the powers granted to counties in sections 18 331.462 to 331.470, to issue revenue bonds for the 19 purposes in section 358C.3, subsection 2, paragraphs 20 "b", "c", "g", "h", and "l". 21 Sec. 18. NEW SECTION. 358C.18 ADDITIONAL 22 TERRITORY. 23 1. The district may be enlarged and additional 24 territory annexed to the district by either of the 25 following methods: 26 a. By petitions signed by the owners of all the 27 property to be annexed to the district. If a petition 28 requesting annexation is presented to the trustees and 29 approved by the trustees the change in the boundaries 30 to include the additional area shall be certified by 31 the clerk of the district to the county auditor in 32 which the greater portion of the district is located 33 and thereafter the district shall include the area 34 thus annexed. 35 b. By a petition filed with the clerk of the 36 district, signed by persons owning not less than fifty 37 percent of the area to be annexed, but not signed by 38 persons owning all the area requested to be annexed. 39 On the filing of the petition, the trustees of the 40 district shall fix a time and place for a hearing on 41 the petition and give notice of the hearing, as 42 provided in section 331.305, and by certified mail to 43 the record owners of all persons owning land within 44 the territory sought to be annexed, not less than ten 45 days prior to the date of the hearing, if the address 46 of the owners is known or can be ascertained by 47 reasonable diligence by the trustees. At the hearing, 48 any person owning property within the area proposed to 49 be annexed or any person owning property or residing 50 within the district may appear and be heard. If, Page 14 1 after the hearing, the board of trustees determines 2 that annexation of the additional area will be 3 conducive to the public health, convenience, and 4 welfare and will not be an undue burden on the 5 district, the board of trustees may, by resolution, 6 annex the additional area and fix the boundary which 7 shall not include more than the area requested in the 8 petition. A copy of the resolution shall be filed 9 with the county auditor of the county in which the 10 largest portion of the district is located and 11 thereafter the area included by the resolution shall 12 be a part of the district. 13 2. All property, from and after it is annexed to 14 the district, shall be subject to all taxes and other 15 burdens levied by the district, regardless of when the 16 obligation for which the taxes or assessments are 17 levied was incurred. 18 Sec. 19. NEW SECTION. 358C.19 ANNEXATION BY A 19 CITY. 20 When a city or real estate improvement district 21 proposes that the district be annexed by the city, 22 either wholly or partially, an owner of property in 23 the district shall not object to the annexation if the 24 district has issued, and there remain, outstanding 25 obligations of the district for public improvements 26 and the original petition and order of the board of 27 supervisors provide that a property owner has waived 28 any right to object if obligations are issued for 29 public improvements. When a city annexes all the 30 territory within the boundaries of a real estate 31 improvement district, the district shall merge with 32 the city and the city shall succeed to all the 33 property and property rights of every kind, contracts, 34 and obligations, held by or belonging to the district, 35 and the city shall be liable for and recognize, 36 assume, and carry out all valid contracts and 37 obligations of the district. The city may assume and 38 provide for the payment of the obligations of any 39 bonds of the district by issuing general obligation, 40 special assessment, or revenue refunding bonds which 41 may be sold at public or private sale or exchanged for 42 outstanding bonds. General obligation bonds of the 43 city may be issued to refund special assessment and 44 revenue obligations if the governing body of the city 45 determines that it is in the best interest of the 46 city. The refunding of these obligations shall 47 constitute an essential corporate purpose under 48 section 384.24. All taxes, assessments, claims, and 49 demands of every kind due or owing to the district 50 shall be paid to and collected by the city. Any Page 15 1 special assessments which the district was authorized 2 to levy, assess, relevy, or reassess, but which were 3 not levied, assessed, relevied, or reassessed, at the 4 time of the merger, for improvements made by the 5 district or in the process of construction or 6 contracted for may be levied, assessed, relevied, or 7 reassessed by the annexing city to the same extent as 8 the district may have levied or assessed but for the 9 merger. However, this section does not authorize the 10 annexing city to revoke any resolution, order, or 11 finding made by the district in regard to special 12 benefits or increase any assessments made by the 13 district, but the city shall be bound by all findings 14 or orders and assessments to the same extent as the 15 district would be bound. Also, a district shall not 16 levy any special assessments after the effective date 17 of the annexation. 18 Sec. 20. NEW SECTION. 358C.20 EFFECTIVE DATE OF 19 MERGER. 20 The merger shall be effective thirty days after the 21 effective date of the ordinance annexing the territory 22 within the district. However, if the validity of the 23 ordinance annexing the territory is challenged by a 24 court proceeding, the effective date of the merger 25 shall be thirty days after the final determination of 26 the validity of the ordinance. The trustees of a 27 district shall continue in possession and conduct the 28 affairs of the district until the effective date of 29 the merger, but shall not during the period levy any 30 special assessments after the effective date of 31 annexation. 32 Sec. 21. NEW SECTION. 358C.21 PARTIAL ANNEXATION 33 -- DIVISION AGREEMENT. 34 If only a part of the territory within a district 35 is annexed by a city, the district and the city may 36 agree between themselves as to the equitable division 37 of the assets, liabilities, maintenance, or other 38 obligations of the district for a change in the 39 boundaries of the district so as to exclude the 40 portion annexed by the city or may agree upon a merger 41 of the district with the city. If a merger is agreed 42 upon, the city shall have all the rights, privileges, 43 duties, and obligations as provided in this chapter 44 when the city annexes the entire territory within the 45 district, and the trustees shall be relieved of all 46 further duties and liabilities and their bonds 47 exonerated. An agreement between the district and the 48 city shall not be effective until submitted to and 49 approved by the district court of the county in which 50 the major portion of the district is located. An Page 16 1 agreement shall not be approved which may prejudice 2 the rights of any bondholder or creditor of the 3 district. The district court may direct amendments to 4 the agreement before approving the agreement. If the 5 district and city do not agree upon the proper 6 adjustment of all matters growing out of the 7 annexation of a part of the territory located within 8 the district, either the district or the annexing city 9 may apply to the district court of the county where 10 the major portion of the district is located for an 11 adjustment of all matters growing out of or in any way 12 connected with the annexation of the territory, and 13 after a hearing the district court may enter an order 14 or decree fixing the rights, duties, and obligations 15 of the parties. However, in every case the decree or 16 order shall require a change of the district 17 boundaries so as to exclude from the district that 18 portion of the territory of the district which has 19 been annexed. The change of boundaries shall become 20 effective on the date of entry of the decree. Only 21 the district and the city shall be necessary parties 22 to the action. The decree when entered shall be 23 binding on both parties the same as though the parties 24 had voluntarily agreed thereto. This section does not 25 authorize any district to levy any special assessments 26 within the annexed area after the effective date of 27 annexation. 28 Sec. 22. NEW SECTION. 358C.22 DISSOLUTION OF 29 DISTRICT. 30 When a majority of the board of trustees of a 31 district desire that the district be wholly dissolved, 32 the trustees shall first propose a resolution 33 declaring the advisability of the dissolution and 34 setting out the terms and conditions of the 35 dissolution, and also setting out the time and place 36 when the board of trustees shall meet to consider the 37 adoption of the resolution. Notice of the time and 38 place when the resolution shall be set for 39 consideration shall be published as provided in 40 section 331.305, which publication shall contain the 41 entire wording of the proposed resolution. If any 42 part of the district lies within the area of the 43 jurisdiction of a city, then the trustees shall mail a 44 copy of the proposed resolution to the city on the 45 date of first publication of the resolution. At the 46 hearing the owners of property within the district, or 47 a city if any part of the district lies within the 48 city, may appear and make objections to the proposed 49 resolution. If the owners representing a majority of 50 the area of real estate within the district fail to Page 17 1 sign and present to the board, on or prior to the 2 hearing date, a written petition opposing the 3 resolution, a majority of the board of trustees may 4 pass the resolution and adopt the proposed 5 dissolution. However, the resolution shall not be 6 adopted if the district is obligated on any 7 outstanding bonds, warrants, or other debts or 8 obligations unless the holders of the bonds, warrants, 9 or other debts or obligations all sign written 10 consents to the dissolution prior to the adoption of 11 the resolution of dissolution. If the petition 12 opposing the resolution is signed by property owners 13 representing a majority of the area of real estate 14 within the district and presented to the board of 15 trustees on or prior to the hearing date, the board of 16 trustees shall not adopt the resolution. After the 17 board of trustees has adopted the resolution of 18 dissolution, the clerk of the district shall prepare 19 and file a certified copy of the resolution of 20 dissolution in the office of the county auditor where 21 the original petition was filed. 22 Sec. 23. NEW SECTION. 358C.23 DETACHMENT OF 23 LAND. 24 1. When a majority of the board of trustees of a 25 district desires that any property within the district 26 be detached from the district, the trustees shall 27 first propose a resolution declaring the advisability 28 of the detachment and setting out the terms and 29 conditions of the detachment and also setting out the 30 time and place when the board of trustees will meet to 31 consider the adoption of the resolution. Notice of 32 the time and place when the resolution is set for 33 consideration shall be published as provided in 34 section 331.305, which publication shall contain the 35 entire wording of the proposed resolution. If any 36 part of the district lies within a city, then the 37 trustees shall mail a copy of the proposed resolution 38 to the city on the date of first publication of the 39 resolution. At the hearing the owners of property 40 within the district, or any city, may appear and make 41 objections to the proposed resolution. If the owners 42 representing a majority of the area of real estate 43 within the district fail to sign and present to the 44 board of trustees, on or prior to the hearing date, a 45 written petition opposing the resolution, a majority 46 of the board of trustees may pass the resolution and 47 adopt the proposed detachment, except that the 48 resolution shall not be adopted if the district is 49 indebted on any outstanding bonds or warrants of the 50 district unless the holders of the bonds and warrants Page 18 1 all sign written consents to the detachment prior to 2 the adoption of the resolution of detachment. If the 3 petition opposing the resolution is signed by property 4 owners representing a majority of the area of real 5 estate within the district and presented to the board 6 of trustees on or prior to the hearing date, the board 7 of trustees shall not adopt the resolution. After the 8 board of trustees has adopted the resolution of 9 detachment, the clerk of the district shall prepare 10 and file a certified copy of the resolution of 11 detachment in the office of the county auditor where 12 the original petition was filed, and the area detached 13 shall become excluded and detached from the boundaries 14 of the district. 15 2. The owner of a discrete tract of land which is 16 part of a district but which is not connected to the 17 main area of the district may petition the board of 18 trustees of the district to have the property detached 19 from the district. Following receipt of the petition, 20 the board of trustees shall propose a resolution 21 declaring the advisability of the detachment and 22 setting out the terms and conditions of the detachment 23 and setting out the time and place when the board of 24 trustees will meet to consider the adoption of the 25 resolution. Notice of the time and place for the 26 consideration shall be published as provided in 27 subsection 1. If any part of the district lies in 28 whole or in part within a city, the board of trustees 29 shall mail a copy of the proposed resolution to the 30 municipality within five days after the date of first 31 publication of the resolution. At the hearing for 32 consideration of the resolution, the board of trustees 33 shall determine if the tract of land proposed for 34 detachment has all of the following characteristics: 35 a. Has an area of twenty-five acres or more. 36 b. Is wholly detached from the main area of the 37 district and separated from the district by a distance 38 of at least one thousand feet at the nearest points. 39 c. Is undeveloped and predominantly devoted to 40 agricultural uses. 41 d. Has no improvements placed upon it by the 42 district and receives no current services from the 43 district. 44 3. If the board of trustees by majority vote 45 determines that the tract in question meets all of the 46 conditions provided in subsection 2, paragraphs "a" 47 through "d", the resolution shall be adopted, except 48 that the resolution shall not be adopted if the 49 district is indebted on any outstanding bonds or 50 warrants of the district unless the holders of the Page 19 1 bonds and warrants all sign written consents to the 2 detachment. After the board of trustees has adopted 3 the resolution of detachment, the clerk of the 4 district shall prepare and file a certified copy of 5 the resolution of detachment in the office of the 6 county auditor where the original petition was filed 7 and the area detached shall become excluded and 8 detached from the boundaries of the district. 9 Sec. 24. NEW SECTION. 358C.24 CHAPTER LIBERALLY 10 CONSTRUED. 11 The provisions of this chapter shall be liberally 12 construed to facilitate the development of land for 13 housing." 14 2. Title page, by striking lines 1 and 2 and 15 inserting the following: "An Act relating to the 16 creation of real estate improvement districts, 17 authorizing the issuance of general obligation bonds 18 and revenue bonds, the imposition of ad valorem 19 property taxes, special assessments and fees, and 20 other related matters." Jacobs of Polk offered the following amendment H-3780, to amendment H-3777, filed by her and Myers from the floor and moved its adoption: H-3780 1 Amend the amendment, H-3777, to House File 222, as 2 follows: 3 1. Page 1, line 47, by striking the words "and 4 approved by". 5 2. Page 5, line 32, by inserting after the word 6 "hearing," the following: "shall approve or reject 7 the petition. If the petition is approved, the 8 board". Amendment H-3780 was adopted. On motion by Jacobs of Polk, amendment H-3777, as amended, was adopted. RULE 32 INVOKED Siegrist of Pottawattamie asked and received unanimous consent to refer House File 222 to committee on ways and means. House File 396, a bill for an act relating to delayed deposit services businesses and providing penalties, was taken up for consideration. Metcalf of Polk offered the following amendment H-3708 filed by her and moved its adoption: H-3708 1 Amend House File 396 as follows: 2 1. Page 6, by striking lines 16 through 19. 3 2. Page 6, by striking lines 24 through 30 and 4 inserting the following: "date agreed upon." 5 3. Page 10, line 7, by striking the word "-- 6 INJUNCTION". 7 4. Page 10, by striking lines 12 through 15 and 8 inserting the following: "guilty of a serious 9 misdemeanor." 10 5. By renumbering as necessary. Amendment H-3708 was adopted. SENATE FILE 423 SUBSTITUTED FOR HOUSE FILE 396 Metcalf of Polk asked and received unanimous consent to substitute Senate File 423 for House File 396. Senate File 423, a bill for an act relating to delayed deposit services businesses and providing penalties, was taken up for consideration. Siegrist of Pottawattamie asked and received unanimous consent that Senate File 423 be deferred and that the bill be placed on the unfinished business calendar. HOUSE FILE 396 WITHDRAWN Metcalf of Polk asked and received unanimous consent to withdraw House File 396 from further consideration by the House. House File 457, a bill for an act providing for pesticides, by providing for notification of application and providing for the elimination of provisions relating to chemigation, was taken up for consideration. Gipp of Winneshiek asked and received unanimous consent that House File 457 be deferred and that the bill be placed on the unfinished business calendar. House File 344, a bill for an act relating to the determination of the annual salary of a deputy sheriff, was taken up for consideration. Gipp of Winneshiek asked and received unanimous consent that House File 344 be deferred and that the bill be placed on the unfinished business calendar. Appropriations Calendar House File 530, a bill for an act relating to and making appropriations to the department for the blind, the Iowa state civil rights comi mission, the department of elder affairs, the Iowa department of public health, the department of human rights, the commission of veterans affairs, and the governor's alliance on substance abuse, was taken up for consideration. The House stood at ease at 4:05 p.m., until the fall of the gavel. The House resumed session at 4:52 p.m., Gipp of Winneshiek in the chair. Mascher of Johnson asked and received unanimous consent to withdraw amendment H-3545 filed by her and Murphy on March 28, 1995, placing out of order amendment H-3557, to amendment H-3545, filed by Mascher of Johnson and Murphy on March 29, 1995. Mascher of Johnson asked and received unanimous consent to defer action on amendment H-3593. LEAVE OF ABSENCE Leave of absence was granted as follows: Van Maanen of Marion, until he returns, on request of Siegrist of Pottawattamie. Weigel of Chickasaw offered the following amendment H-3541 filed by Weigel, et. al., and moved its adoption: H-3541 1 Amend House File 530 as follows: 2 1. Page 2, by inserting after line 33 the 3 following: 4 "Sec. 100. There is appropriated from the general 5 fund of the state to the department of elder affairs 6 for the fiscal year beginning July 1, 1994, and ending 7 June 30, 1995, the following amount, to be used for 8 the purpose designated: 9 For expansion of the case management program: 10 .................................................. $ 229,863 11 Notwithstanding section 8.33, the department may 12 retain $229,863 which otherwise would revert and may 13 carry over this amount to the fiscal year beginning 14 July 1, 1995, and ending June 30, 1996." 15 2. Page 2, by inserting before line 34 the 16 following: 17 "The appropriation in this section is contingent 18 upon actual revenues of the general fund for the 19 fiscal year beginning July 1, 1994, and ending June 20 30, 1995, exceeding $4,090,500,000 by at least 21 $229,863." 22 3. Page 24, by inserting after line 8 the 23 following: 24 "Sec. ___. EFFECTIVE DATE. Section 100 of this 25 Act which relates to the appropriation of funds to 26 address the expansion of the case management program 27 in the department of elder affairs, being deemed of 28 immediate importance, takes effect upon enactment." 29 4. Title page, line 6, by inserting after the 30 word "abuse" the following: ", and providing an 31 effective date". Roll call was requested by Weigel of Chickasaw and Holveck of Polk. On the question "Shall amendment H-3541 be adopted?" (H.F. 530) The ayes were, 34: Baker Bell Bernau Brand Burnett Cataldo Cohoon Doderer Drees Fallon Harper Holveck Jochum Koenigs Kreiman Larkin Mascher May McCoy Mertz Moreland Mundie Murphy Myers Nelson, L. O'Brien Ollie Running Schrader Shoultz Warnstadt Weigel Wise Witt The nays were, 59: Arnold Boddicker Boggess Bradley Branstad Brauns Brunkhorst Carroll Churchill Coon Corbett, Spkr. Cormack Cornelius Daggett Dinkla Disney Drake Eddie Ertl Garman Greig Greiner Gries Grubbs Grundberg Hahn Halvorson Hammitt Hanson Harrison Heaton Hurley Huseman Jacobs Klemme Kremer Lamberti Larson Lord Main Martin Metcalf Meyer Millage Nutt Rants Renken Salton Schulte Siegrist Sukup Teig Thomson Tyrrell Van Fossen Vande Hoef Veenstra Welter Gipp Presiding Absent or not voting, 7: Blodgett Brammer Connors Houser Nelson, B. Van Maanen Weidman Amendment H-3541 lost. Van Fossen of Scott offered amendment H-3542 filed by Van Fossen, et. al., as follows: H-3542 1 Amend House File 530 as follows: 2 1. Page 3, by striking line 24 and inserting the 3 following: 4 " $ 2,089,708". 5 2. Page 3, line 27, by striking the figure 6 "591,123" and inserting the following: "741,123". 7 3. Page 3, line 29, by inserting after the word 8 "premiums," the following: "travel reimbursement,". 9 4. Page 5, by striking line 31 and inserting the 10 following: 11 " $ 25,000". Weigel of Chickasaw offered the following amendment H-3577, to amendment H-3542 filed by him and moved its adoption: H-3577 1 Amend the amendment, H-3542, to House File 530 as 2 follows: 3 1. Page 1, by striking lines 2 through 11 and 4 inserting the following: 5 " . Page 3, by inserting after line 13 the 6 following: 7 "Sec. 100. There is appropriated from the general 8 fund of the state to the Iowa department of public 9 health for the fiscal year beginning July 1, 1994, and 10 ending June 30, 1995, the following amount, to be used 11 for the purpose designated: 12 For travel reimbursement for the chronic renal 13 disease program: 14 $ 150,000 15 Notwithstanding section 8.33, the department may 16 retain $150,000 which otherwise would revert and may 17 carry over this amount to the fiscal year beginning 18 July 1, 1995, and ending June 30, 1996." 19 . Page 3, by inserting before line 14 the 20 following: 21 "The appropriation in this section is contingent 22 upon actual revenues of the general fund for the 23 fiscal year beginning July 1, 1994, and ending June 24 30, 1995, exceeding $4,090,500,000 by at least 25 $150,000." 26 . Page 24, by inserting after line 8 the 27 following: 28 "Sec. ___. EFFECTIVE DATE. Section 100 of this 29 Act which relates to the appropriation of funds to 30 address the travel reimbursement costs for the chronic 31 renal disease program of the Iowa department of public 32 health, being deemed of immediate importance, takes 33 effect upon enactment." 34 . Title page, line 6, by inserting after the 35 word "abuse" the following: ", and providing an 36 effective date"." Amendment H-3577 lost. Division of amendment H-3542 was requested as follows: Lines 2 through 8, Division A. Lines 9 through 11, Division B. On motion by Van Fossen of Scott, amendment H-3542A was adopted. Kremer of Buchanan offered the following amendment H-3499 filed by him and moved its adoption: H-3499 1 Amend House File 530 as follows: 2 1. Page 5, line 5, by striking the figure 3 "167,310" and inserting the following: "163,859". 4 2. Page 5, line 9, by striking the figure 5 "1,021,792" and inserting the following: "1,015,358". 6 3. Page 5, line 23, by striking the figure 7 "135,385" and inserting the following: "132,629". Amendment H-3499 was adopted. Van Fossen of Scott moved the adoption of amendment H-3542B. Roll call was requested by Weigel of Chickasaw and Murphy of Dubuque. On the question "Shall amendment H-3542B be adopted?" (H.F. 530) The ayes were, 63: Arnold Boddicker Boggess Bradley Branstad Brauns Brunkhorst Churchill Coon Corbett, Spkr. Cormack Cornelius Daggett Dinkla Disney Drake Eddie Ertl Fallon Garman Greig Greiner Grubbs Grundberg Hahn Halvorson Hammitt Hanson Harrison Heaton Houser Hurley Huseman Jacobs Klemme Kremer Lamberti Larson Lord Main Martin McCoy Mertz Metcalf Meyer Millage Nutt Rants Renken Salton Schulte Siegrist Sukup Teig Thomson Tyrrell Van Fossen Van Maanen Vande Hoef Veenstra Weidman Welter Gipp, Presiding The nays were, 34: Baker Bell Bernau Blodgett Brand Burnett Cataldo Cohoon Connors Doderer Drees Gries Harper Holveck Jochum Koenigs Kreiman Larkin Mascher May Moreland Mundie Murphy Myers Nelson, L. O'Brien Ollie Running Schrader Shoultz Warnstadt Weigel Wise Witt Absent or not voting, 3: Brammer Carroll Nelson, B. Amendment H-3542B was adopted. Brunkhorst of Bremer offered amendment H-3434 filed by him as follows: H-3434 1 Amend House File 530 as follows: 2 1. Page 6, by striking line 14 and inserting the 3 following: 4 " $ 2,197,507". 5 2. Page 8, by striking line 19 and inserting the 6 following: 7 " $ 3,040,236". Kremer of Buchanan offered the following amendment H-3579, to amendment H-3434, filed by Kremer, et. al., and moved its adoption: H-3579 1 Amend the amendment, H-3434, to House File 530 as 2 follows: 3 1. Page 1, by striking line 4 and inserting the 4 following: 5 "" $ 2,188,386"." Amendment H-3579 was adopted. On motion by Brunkhorst of Bremer, amendment H-3434, as amended, was adopted. Weigel of Chickasaw offered the following amendment H-3470 filed by him and moved its adoption: H-3470 1 Amend House File 530 as follows: 2 1. By striking page 6, line 35, through page 7, 3 line 4, and inserting the following: "shall also 4 retain $30,000 of federal radon funds for additional 5 radon program activities." A non-record roll call was requested. The ayes were 33, nays 49. Amendment H-3470 lost. Fallon of Polk offered the following amendment H-3430 filed by him and Murphy and moved its adoption: H-3430 1 Amend House File 530 as follows: 2 1. Page 9, by inserting after line 22 the 3 following: 4 "( ) If during the 1995-1996 fiscal year, the 5 federal government incorporates the special 6 supplemental nutrition program for women, infants, and 7 children into a block grant, the department of human 8 services, Iowa department of public health, or any 9 other state agency which administers the block grant 10 shall require a competitive bid process for infant 11 formula purchased by or for families under the block 12 grant." 13 2. By renumbering as necessary. Amendment H-3430 was adopted. Running of Linn offered amendment H-3539 filed by Running et. al. as follows: H-3539 1 Amend House File 530 as follows: 2 1. Page 20, by striking lines 28 and 29 and 3 inserting the following: 4 " $ 102,227 5 FTEs 2.0". Cataldo of Polk in the chair at 5:50 p.m. Running of Linn moved the adoption of amendment H-3539. Roll call was requested by Schrader of Marion and Brunkhorst of Bremer. On the question "Shall amendment H-3539 be adopted?" (H.F. 530) The ayes were, 35: Baker Bell Bernau Brand Burnett Cohoon Connors Doderer Drees Fallon Harper Harrison Holveck Jochum Koenigs Kreiman Larkin Martin Mascher May Mertz Mundie Murphy Myers Nelson, L. O'Brien Ollie Running Schrader Shoultz Warnstadt Weigel Wise Witt Cataldo, Presiding The nays were, 59: Arnold Blodgett Boddicker Boggess Bradley Branstad Brauns Brunkhorst Churchill Coon Corbett, Spkr. Cormack Cornelius Daggett Dinkla Disney Drake Eddie Ertl Garman Gipp Greig Greiner Gries Grubbs Hahn Halvorson Hammitt Hanson Heaton Houser Hurley Huseman Jacobs Klemme Kremer Lamberti Larson Lord Main Metcalf Meyer Millage Nutt Rants Renken Salton Schulte Siegrist Sukup Teig Thomson Tyrrell Van Fossen Van Maanen Vande Hoef Veenstra Weidman Welter Absent or not voting, 6: Brammer Carroll Grundberg McCoy Moreland Nelson, B. Amendment H-3539 lost. LEAVE OF ABSENCE Leave of absence was granted as follows: Nelson of Marshall on request of Siegrist of Pottawattamie. Weigel of Chickasaw asked and received unanimous consent to withdraw amendment H-3540 filed by Weigel, et. al., on March 28, 1995. Running of Linn offered the following amendment H-3538 filed by him and Mascher and moved its adoption: H-3538 1 Amend House File 530 as follows: 2 1. Page 23, by striking line 2 and inserting the 3 following: 4 "................................................. $ 38,195,008". Roll call was requested by Schrader of Marion and Murphy of Dubuque. Rule 75 was invoked. On the question "Shall amendment H-3538 be adopted?" (H.F. 530) The ayes were, 44: Baker Bell Bernau Brand Burnett Cohoon Connors Coon Cormack Cornelius Dinkla Doderer Drees Fallon Garman Hanson Harper Jochum Koenigs Kreiman Larkin Mascher May McCoy Mertz Mundie Murphy Myers Nelson, L. Nutt O'Brien Ollie Renken Running Schrader Schulte Shoultz Thomson Warnstadt Weigel Welter Wise Witt Cataldo, Presiding The nays were, 51: Arnold Blodgett Boddicker Boggess Bradley Branstad Brauns Brunkhorst Churchill Corbett, Spkr. Daggett Disney Drake Eddie Ertl Gipp Greig Greiner Gries Grubbs Grundberg Hahn Halvorson Hammitt Harrison Heaton Houser Hurley Huseman Jacobs Klemme Kremer Lamberti Larson Lord Main Martin Metcalf Meyer Millage Rants Salton Siegrist Sukup Teig Tyrrell Van Fossen Van Maanen Vande Hoef Veenstra Weidman Absent or not voting, 5: Brammer Carroll Holveck Moreland Nelson, B. Amendment H-3538 lost. LEAVE OF ABSENCE Leave of absence was granted as follows: Carroll of Poweshiek on request of Siegrist of Pottawattamie. Murphy of Dubuque asked and received unanimous consent to withdraw amendment H-3608 filed by him on March 29, 1995. Weigel of Chickasaw asked and received unanimous consent to withdraw amendment H-3537 filed by him on March 28, 1995. Mascher of Johnson asked and received unanimous consent to withdraw amendment H-3593, previously deferred, filed by Mascher, et. al., on March 29, 1995. Kremer of Buchanan moved that the bill be read a last time now and placed upon its passage which motion prevailed and the bill was read a last time. On the question "Shall the bill pass?" (H.F. 530) The ayes were, 84: Arnold Baker Bell Bernau Blodgett Boddicker Boggess Bradley Brand Branstad Brauns Brunkhorst Burnett Churchill Coon Corbett, Spkr. Cormack Cornelius Daggett Dinkla Disney Drake Drees Eddie Ertl Garman Gipp Greig Greiner Gries Grubbs Grundberg Hahn Halvorson Hammitt Hanson Harper Harrison Heaton Houser Hurley Huseman Jacobs Klemme Koenigs Kremer Lamberti Larkin Larson Lord Main Martin Mascher May McCoy Mertz Metcalf Meyer Millage Mundie Myers Nelson, L. Nutt Ollie Rants Renken Salton Schulte Shoultz Siegrist Sukup Teig Thomson Tyrrell Van Fossen Van Maanen Vande Hoef Veenstra Warnstadt Weidman Weigel Welter Witt Cataldo, Presiding The nays were, 10: Cohoon Connors Fallon Jochum Kreiman Moreland Murphy O'Brien Schrader Wise Absent or not voting, 6: Brammer Carroll Doderer Holveck Nelson, B. Running The bill having received a constitutional majority was declared to have passed the House and the title was agreed to. IMMEDIATE MESSAGE Siegrist of Pottawattamie asked and received unanimous consent that House File 530 be immediately messaged to the Senate. RULES SUSPENDED Siegrist of Pottawattamie asked and received unanimous consent for the immediate consideration of Senate File 140. Regular Calendar Senate File 140, a bill for an act to legalize the proceedings taken by the administration and board of directors of the Cedar Rapids Community School District concerning the sale of certain school district property and providing an effective date with report of committee recommending passage, was taken up for consideration. Dinkla of Guthrie moved that the bill be read a last time now and placed upon its passage which motion prevailed and the bill was read a last time. On the question "Shall the bill pass?" (S.F. 140) The ayes were, 94: Arnold Baker Bell Bernau Blodgett Boddicker Boggess Bradley Brand Branstad Brauns Brunkhorst Burnett Churchill Cohoon Connors Coon Corbett, Spkr. Cormack Cornelius Daggett Dinkla Disney Doderer Drake Drees Eddie Ertl Fallon Garman Gipp Greig Greiner Gries Hahn Halvorson Hammitt Hanson Harper Harrison Heaton Holveck Houser Hurley Huseman Jacobs Jochum Klemme Koenigs Kreiman Kremer Lamberti Larkin Larson Lord Main Martin Mascher May McCoy Mertz Metcalf Meyer Millage Moreland Mundie Murphy Myers Nelson, L. Nutt O'Brien Ollie Rants Renken Running Salton Schrader Schulte Siegrist Sukup Teig Thomson Tyrrell Van Fossen Van Maanen Vande Hoef Veenstra Warnstadt Weidman Weigel Welter Wise Witt Cataldo, Presiding The nays were, none. Absent or not voting, 6: Brammer Carroll Grubbs Grundberg Nelson, B. Shoultz The bill having received a constitutional majority was declared to have passed the House and the title was agreed to. IMMEDIATE MESSAGE Siegrist of Pottawattamie asked and received unanimous consent that Senate File 140 be immediately messaged to the Senate. House File 479, a bill for an act relating to the duties of the county treasurer and providing effective and applicability dates, was taken up for consideration. Siegrist of Pottawattamie asked and received unanimous consent that House File 479 be deferred and that the bill be placed on the unfinished business calendar. House File 401, a bill for an act relating to public health issues, including certain birth certificates and licensing of athletic trainers, was taken up for consideration. Siegrist of Pottawattamie asked and received unanimous consent that House File 401 be deferred and that the bill be placed on the unfinished business calendar. House File 197, a bill for an act relating to the expansion of the volunteer physician program to include other health care providers, with report of committee recommending passage, was taken up for consideration. Siegrist of Pottawattamie asked and received unanimous consent that House File 197 be deferred and that the bill be placed on the unfinished business calendar. House File 511, a bill for an act relating to open-end credit pursuant to a credit card, including the permissible over-limit or delinquency charges, the offering of credit unemployment insurance, and the time requirements for making certain payments, was taken up for consideration. Siegrist of Pottawattamie asked and received unanimous consent that House File 511 be deferred and that the bill be placed on the unfinished business calendar. INTRODUCTION OF BILL House File 560, by committee on ways and means, a bill for an act relating to the definition of "designated person" for purposes of the family farm tax credit and providing effective and applicability dates. Read first time and placed on the ways and means calendar. SENATE FILES SUBSTITUTED FOR HOUSE FILES AND PLACED ON THE UNFINISHED BUSINESS CALENDAR Siegrist of Pottawattamie asked and received unanimous consent that the following Senate Files be substituted for the indicated House Files and placed on the unfinished business calendar: Senate File 159 for House File 178 Senate File 155 for House File 188 Senate File 272 for House File 209 Senate File 333 for House File 231 Senate File 255 for House File 245 Senate File 341 for House File 279 Senate File 247 for House File 287 Senate File 215 for House File 465 Senate File 298 for House File 501 Senate File 416 for House File 525 Senate File 406 for House File 536 EXPLANATIONS OF VOTE I was temporarily absent from the House chamber on April 6, 1995. Had I been present, I would have voted "aye" on House Files 177, 494 and 419. BAKER of Polk. I was necessarily absent from the House chamber on Tuesday morning, April 4, 1995. Had I been present, I would have voted "aye" on House File 246. HOUSER of Pottawattamie BILLS ENROLLED, SIGNED AND SENT TO GOVERNOR The Chief Clerk of the House submitted the following report: Mr. Speaker: The Chief Clerk of the House respectfully reports that the following bills have been examined and found correctly enrolled, signed by the Speaker of the House and the President of the Senate, and presented to the Governor for his approval on this 7th day of April, 1995: House Files 154 and 515 ELIZABETH A. ISAACSON Chief Clerk of the House Report adopted. BILLS SIGNED BY THE GOVERNOR A communication was received from the Governor announcing that on April 6, 1995, he approved and transmitted to the Secretary of State the following bills: House File 170, an act relating to exempting employees of the State Fair Authority from the State Merit Personnel System. House File 477, an act requiring that a publication whose standards are incorporated by reference in agency rulemaking be purchased and provided by the agency to the administrative rules coordinator for deposit in the State Law Library. House File 478, an act providing limited immunity for persons responding to oil spills. PRESENTATION OF VISITORS The Speaker announced that the following visitors were present in the House chamber: Twenty-five sixth grade students from Cedar Valley Christian, Cedar Rapids, accompanied by Karen Brunkhorst. By Brammer, Corbett and Running of Linn. Fifty-eight fifth grade students from Oak Park Elementary, Des Moines, accompanied by Sue Renaud. By Fallon of Polk. Members from 4-H of Linn County, accompanied by Pat Rector. By Thomson of Linn. Fifty-fifth grade students from East Ballard Elementary, Cambridge, accompanied by Lori Ostrem and Kristen Barta. By Bernau of Story. Thirty-five eighth grade students from MFL Marmac Middle School, McGregor, accompanied by Larry Cox. By Halverson of Clayton. Twenty-three students from Essex High School, Essex, accompanied by Dan Cox. By Boggess of Taylor. Twenty eighth grade students from MFL Mar-Mac School, McGregor, accompanied by Rod Lewis. By Halvorson of Clayton. Two elementary students from Riverside Ainsworth, Travis Stout and Melissa Zimmermann, accompanied by their parents, teacher and principal. By Greiner of Washington and Heaton of Henry. CERTIFICATES OF RECOGNITION MR. SPEAKER: The Chief Clerk of the House respectfully reports that certificates of recognition have been issued as follows. ELIZABETH A. ISAACSON Chief Clerk of the House 1995\181 Steven C. Balvanz Jr., Eldora - For attaining the rank of Eagle Scout, the highest rank in the Boy Scouts of America. 1995\182 Brigadier General Harold M. Thompson, Johnston - For his retirement after thirty six years of dedicated service in the Iowa Army National Guard. 1995\183 Cory Parker, Guthrie Center - For being selected to the 1A All-State Boy's Basketball Team. 1995\184 Michael Haack, Primghar - For being appointed to the United States Air Force Academy. SUBCOMMITTEE ASSIGNMENTS Senate File 360 Local Government: Vande Hoef, Chair; Arnold and Mundie. Senate File 392 Local Government: Hanson, Chair; Drees and Welter. Senate File 394 Local Government: Vande Hoef, Chair; Martin and Mertz. Senate File 422 Local Government: Carroll, Chair; Cohoon and Huseman. Senate File 453 Human Resources: Ertl, Chair; Brand and Salton. HOUSE STUDY BILL COMMITTEE ASSIGNMENT H.S.B. 327 Ways and Means Relating to the electricity purchase or wheeling requirements for alternate energy production and small hydro facilities, providing a methane energy purchase sales tax credit, and providing an effective date. COMMITTEE RECOMMENDATIONS MR. SPEAKER: The Chief Clerk of the House respectfully reports that the following committee recommendations have been received and are on file in the office of the Chief Clerk. ELIZABETH A. ISAACSON Chief Clerk of the House COMMITTEE ON AGRICULTURE Senate Concurrent Resolution 20, a concurrent resolution in support of improvement in the wetland delineation process and a moratorium on wetlands determination until the 1995 farm bill has been passed and signed into the law by the Congress and the President. Fiscal Note not required. Recommended Do Pass and laid over under Rule 25, April 6, 1995. COMMITTEE ON EDUCATION Senate File 83, a bill for an act extending for an additional budget year the regular program district cost guarantee for school districts and increasing the amount of that guarantee and providing an effective date. Fiscal Note is not required. Recommended Do Pass April 5, 1995. Senate File 205, a bill for an act relating to shared superintendents for purposes of the supplementary weighting plan for public school districts and providing effective and retroactive applicability dates. Fiscal Note is not required. Recommended Do Pass April 5, 1995. Senate File 206, a bill for an act striking Code language that conflicts with federal work-study program requirements and language relating to unfunded programs administered by the college student aid commission, and repealing from the Code certain unfunded programs administered by the college student aid commission. Fiscal Note is not required. Recommended Do Pass April 5, 1995. Senate File 390, a bill for an act relating to the Iowa arts and cultural enhancement and endowment program and foundation. Fiscal Note is not required. Recommended Do Pass April 5, 1995. COMMITTEE ON JUDICIARY Senate File 7, a bill for an act relating to the knowing transmission of the human immunodeficiency virus and providing penalties. Fiscal Note is not required. Recommended Do Pass April 5, 1995. Senate File 66, a bill for an act relating to cruelty to police service dogs and providing for enhanced penalties. Fiscal Note is not required. Recommended Amend and Do Pass with amendment H-3786, April 5, 1995. Senate File 88, a bill for an act relating to statutory corrections which may adjust language to reflect current practices, insert earlier omissions, delete redundancies and inaccuracies, delete temporary language, resolve inconsistencies and conflicts, update ongoing provisions, or remove ambiguities. Fiscal Note is not required. Recommended Do Pass April 5, 1995. Senate File 284, a bill for an act relating to the crime of forgery, by prohibiting the knowing possession of forged writings, including documents prescribed for entry into, stay, or employment in the United States, and providing penalties. Fiscal Note is required. Recommended Do Pass April 5, 1995. Senate File 293, a bill for an act relating to providing for a five-year minimum prison term for a person who uses a dangerous weapon in the commission of a forcible felony. Fiscal Note is not required. Recommended Do Pass April 5, 1995. Senate File 359, a bill for an act providing for the modification of no-contact orders in domestic abuse cases in certain circumstances. Fiscal Note is not required. Recommended Do Pass April 5, 1995. Senate File 366, a bill for an act relating to the exhibition of humans. Fiscal Note is not required. Recommended Do Pass April 5, 1995. Senate File 371, a bill for an act relating to prohibiting a polygraph examination of a victim of sexual abuse as a precondition to an investigation by a law enforcement agency. Fiscal Note is not required. Recommended Do Pass April 5, 1995. Senate File 373, a bill for an act to permit the court to find a person in contempt for failure to pay restitution after the period of probation, work release, parole, or the person's sentence has ended. Fiscal Note is not required. Recommended Amend and Do Pass with amendment H-3787, April 5, 1995. Senate File 398, a bill for an act relating to commutation of sentences of persons who have been sentenced to life imprisonment. Fiscal Note is not required. Recommended Amend and Do Pass with amendment H-3789, April 5, 1995. Senate File 428, a bill for an act to provide for the reciprocal rendition of prisoners as witnesses in criminal proceedings and providing an effective date. Fiscal Note is not required. Recommended Do Pass April 5, 1995. Senate File 438, a bill for an act relating to juvenile justice including notice requirements for certain hearings and authorizing associate juvenile judges to perform marriage ceremonies. Fiscal Note is not required. Recommended Do Pass April 5, 1995. Senate File 439, a bill for an act relating to making false reports to law enforcement agencies, making spurious calls to emergency 911 communications centers, or providing false information on citations and establishing penalties and providing a conditional effective date. Fiscal Note is not required. Recommended Amend and Do Pass with amendment H-3788, April 5, 1995. Senate File 446, a bill for an act relating to the possession or use of alcohol while operating a motor vehicle by requiring the administrative revocation of driving privileges of persons under the age of twenty-one who operate a motor vehicle with an alcohol concentration of .02 or more, denying issuance of temporary restricted licenses during the period of revocation, including the revocation under implied consent provisions, providing for civil penalties, excluding the revocation from application of certain motor vehicle financial responsibility requirements, providing for minimum periods of license revocation, providing a scheduled fine for possession of an open alcohol container while operating a motor vehicle, providing for the impoundment or immobilization of motor vehicles driven or owned by persons convicted of operating while intoxicated and being a second or subsequent offender, providing criminal penalties, and other related matters. Fiscal Note is not required. Recommended Do Pass April 5, 1995. COMMITTEE ON LOCAL GOVERNMENT Senate File 225, a bill for an act eliminating requirements for competitive bids regarding the printing of election ballots. Fiscal Note is not required. Recommended Do Pass April 5, 1995. Senate File 360, a bill for an act to increase the fee for the transfer of property in county transfer records. Fiscal Note is not required. Committee Action ; Failed to Pass April 5, 1995. Senate File 394, a bill for an act relating to instruments filed or recorded with the county recorder. Fiscal Note is not required. Recommended Do Pass April 5, 1995. Senate File 422, a bill for an act relating to the duties of the county recorder, by transferring certain duties of the clerk of the district court relating to vital statistics and marriage, by providing for fees, by providing for other properly related matters, and providing effective dates. Fiscal Note is not required. Recommended Do Pass April 5, 1995. COMMITTEE ON WAYS AND MEANS Senate File 403, a bill for an act relating to collection of delinquent restitution payments and providing an effective date. Fiscal Note is not required. Recommended Do Pass April 6, 1995. Committee Bill (Formerly House File 21), relating to the definition of "designated person" for purposes of the family farm tax credit and providing effective and applicability dates. Fiscal Note is not required. Recommended Do Pass April 6, 1995. AMENDMENTS FILED H-3778 H.F. 552 Halvorson of Clayton H-3779 H.F. 552 Halvorson of Clayton H-3782 H.F. 525 Grubbs of Scott H-3783 H.F. 522 Grundberg of Polk H-3784 H.F. 522 Grundberg of Polk H-3786 S.F. 66 Committee of Judiciary H-3787 S.F. 373 Committee on Judiciary H-3788 S.F. 439 Committee on Judiciary H-3789 S.F. 398 Committee of Judiciary H-3790 S.F. 266 Huseman of Cherokee Gries of Crawford H-3793 S.F. 462 Running of Linn H-3794 H.F. 479 Vande Hoef of Osceola H-3795 H.F. 512 Fallon of Polk H-3796 H.F. 534 Witt of Black Hawk Houser of Pottawattamie H-3797 H.F. 512 Koenigs of Mitchell H-3798 S.F. 7 Kreiman of Davis H-3799 H.F. 502 Brand of Benton H-3800 S.F. 266 Brand of Benton H-3801 S.F. 352 Brand of Benton H-3802 H.F. 522 Schulte of Linn Grubbs of Scott McCoy of Polk Mertz of Kossuth O'Brien of Boone Mundie of Webster Lamberti of Polk Teig of Hamilton Witt of Black Hawk H-3803 S.F. 462 Houser of Pottawattamie On motion by Siegrist of Pottawattamie, the House adjourned at 6:48 p.m. until 1:00 p.m., Monday, April 10, 1995. CORRECTION TO JOURNAL OF APRIL 5, 1995 Page 1257, amendment H-3438 by Welter of Jones, should have been withdrawn.
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Iowa General Assembly
Index: House Journal (76th General Assembly: Session 1)
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