Text: HF00730                           Text: HF00732
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Bills and Amendments: General Index     Bill History: General Index



House File 731

Partial Bill History

Bill Text

PAG LIN
  1  1                           DIVISION I
  1  2                         PACKER FEEDING
  1  3    Section 1.  Section 9H.1, Code 1999, is amended by adding
  1  4 the following new subsection:
  1  5    NEW SUBSECTION.  2A.  "Animal feeding operation" means the
  1  6 same as defined in section 455B.161.
  1  7    Sec. 2.  Section 9H.1, subsection 19, Code 1999, is amended
  1  8 by striking the subsection and inserting in lieu thereof the
  1  9 following:
  1 10    19.  a.  "Packer" means a person doing business in this
  1 11 state, as follows:
  1 12    (1)  The person is engaged in slaughtering livestock;
  1 13 receiving, purchasing, or soliciting livestock for slaughter;
  1 14 or processing meat products from slaughtered livestock.
  1 15    (2)  The meat products of the slaughtered livestock are
  1 16 directly or indirectly offered for resale or for public
  1 17 consumption, and the meat products have a total annual
  1 18 wholesale value of ten million dollars or more.
  1 19    b.  A "packer" includes all of the following persons:
  1 20    (1)  A dealer or broker as defined in section 172A.1 who is
  1 21 engaged in buying or soliciting livestock for slaughter on
  1 22 behalf of a packer.
  1 23    (2)  A person with a ten percent or greater equity interest
  1 24 in an entity which is a packer.
  1 25    c.  A "packer" does not include any of the following:
  1 26    (1)  A frozen food locker plant regulated under chapter
  1 27 172.
  1 28    (2)  A livestock market as defined in section 455B.161.
  1 29    (3)  A food establishment regulated pursuant to chapter
  1 30 137F.
  1 31    Sec. 3.  Section 9H.2, Code 1999, is amended to read as
  1 32 follows:
  1 33    9H.2  PROHIBITED OPERATIONS – EXCEPTIONS.
  1 34    1.  In order to preserve free and private enterprise,
  1 35 prevent monopoly, and protect consumers, it is unlawful for
  2  1 any processor of beef or pork or limited partnership in which
  2  2 a processor holds partnership shares as a general partner or
  2  3 partnership shares as a limited partner, or limited liability
  2  4 company in which a processor is a member, to all of the
  2  5 following shall apply:
  2  6    a.  A packer shall not directly or indirectly own, control,
  2  7 or operate a feedlot in Iowa in which hogs or cattle are fed
  2  8 for slaughter facility for the care and feeding of swine or
  2  9 cattle in this state, including an animal feeding operation or
  2 10 a feedlot.  In addition, a processor
  2 11    b.  A packer shall not directly or indirectly control the
  2 12 manufacturing, processing, or preparation for sale of pork
  2 13 products derived from swine if the processor contracted
  2 14 contract for the care and feeding of the swine in this state.
  2 15 However, this section does not apply to a cooperative
  2 16 association organized under chapter 497, 498, or 499, if the
  2 17 cooperative association contracts for the care and feeding of
  2 18 swine with a member of the cooperative association who is
  2 19 actively engaged in farming.  This section does not apply to
  2 20 an association organized as a cooperative in which another
  2 21 cooperative association organized under chapter 497, 498, or
  2 22 499 is a member, if the association contracts with a member
  2 23 which is a cooperative association organized under chapter
  2 24 497, 498, or 499, which contracts for the care and feeding of
  2 25 swine with a member of the cooperative who is actively engaged
  2 26 in farming. or another state, if the packer does any of the
  2 27 following:
  2 28    (1)  Slaughters swine in this state.
  2 29    (2)  Receives, purchases, or solicits swine for slaughter
  2 30 in this state.
  2 31    (3)  Processes swine in this state.
  2 32    2.  This section shall not preclude a processor, limited
  2 33 partnership, or limited liability company from contracting
  2 34 prohibit a packer from doing any of the following:
  2 35    a.  Contracting for the purchase of hogs swine or cattle,
  3  1 provided that where the.  However, if the contract sets a date
  3  2 for delivery which is more than twenty days after the making
  3  3 of the contract it the contract shall provide all of the
  3  4 following:
  3  5    1. (1)  Specify a A calendar day for delivery of the
  3  6 livestock; or.
  3  7    2. (2)  Specify the The month for the delivery, and shall.
  3  8 The contract shall allow the farmer seller to set the week for
  3  9 the delivery within such month and the processor, limited
  3 10 partnership, or limited liability company packer to set the
  3 11 date for delivery within such week.  This section shall not
  3 12 prevent processors or educational institutions from carrying
  3 13    b.  Carrying on legitimate research, educational, or
  3 14 demonstration activities, nor shall it prevent processors from
  3 15 owning and operating facilities to provide normal.
  3 16    c.  Owning or operating a facility that provides for the
  3 17 care and feeding of animals swine or cattle for a period not
  3 18 to exceed ten days immediately prior to slaughter, or for a
  3 19 longer period in an emergency.  Any processor or limited
  3 20 partnership which owns, controls, or operates a feedlot on
  3 21 August 15, 1975 shall have until July 1, 1985 to dispose of
  3 22 the property.
  3 23    Sec. 4.  Section 9H.3, Code 1999, is amended to read as
  3 24 follows:
  3 25    9H.3  PENALTIES FOR PROHIBITED OPERATION – INJUNCTIVE
  3 26 RELIEF.
  3 27    A processor packer violating section 9H.2 shall be assessed
  3 28 a civil penalty of not more than twenty-five thousand dollars.
  3 29 The courts of this state may prevent and restrain violations
  3 30 of this chapter through the issuance of an injunction.  The
  3 31 attorney general or a county attorney shall institute suits on
  3 32 behalf of the state to prevent and restrain violations of this
  3 33 chapter.
  3 34    Sec. 5.  Section 9H.9, Code 1999, is amended to read as
  3 35 follows:
  4  1    9H.9  REPORTS BY PROCESSORS PACKERS.
  4  2    Any processor of beef or pork in this state A packer of
  4  3 cattle or swine shall file with the secretary of state on or
  4  4 before March 31 of each year, a report setting forth all of
  4  5 the following:
  4  6    1.  The number of hogs swine and the number of cattle owned
  4  7 and fed more than thirty days by the processor packer in Iowa
  4  8 this state during the preceding calendar or fiscal year.
  4  9    2.  The total number of hogs swine and the total number of
  4 10 cattle owned and fed more than thirty days by the processor
  4 11 packer during the preceding calendar year.
  4 12    3.  The number of hogs swine and the number of cattle
  4 13 slaughtered in Iowa this state by the processor packer during
  4 14 the preceding calendar or fiscal year.
  4 15    4.  The total number of hogs swine and the total number of
  4 16 cattle slaughtered by the processor packer during the
  4 17 preceding calendar or fiscal year.
  4 18    5.  The total number of hogs swine for which the processor
  4 19 packer has contracted for feeding as provided in section 9H.2.
  4 20    Sec. 6.  Section 579A.1, subsection 5, Code 1999, is
  4 21 amended to read as follows:
  4 22    5.  "Processor" "Packer" means the same as defined in
  4 23 section 9H.1.
  4 24    Sec. 7.  Section 579A.3, subsection 2, Code 1999, is
  4 25 amended to read as follows:
  4 26    2.  The processor packer who has purchased the cattle
  4 27 within three days after the cattle have left the custom cattle
  4 28 feedlot.
  4 29    Sec. 8.  APPLICABILITY.  This division of this Act shall
  4 30 not apply to contracts for the care and feeding of swine
  4 31 executed by a cooperative association under section 9H.2 prior
  4 32 to the effective date of this division of this Act.  However,
  4 33 a cooperative association shall not execute a new contract or
  4 34 extend an existing contract except as provided in this Act.  
  4 35                           DIVISION II
  5  1                       PRODUCER MARKETING
  5  2    Sec. 9.  NEW SECTION.  7.23  SWINE CONFINEMENT FEEDING
  5  3 OPERATIONS – MORATORIUM.
  5  4    The governor may issue an executive order declaring a
  5  5 moratorium on the construction of confinement feeding
  5  6 operation buildings which are part of confinement feeding
  5  7 operations associated with the care and feeding of swine.
  5  8    1.  The governor shall issue the executive order only if
  5  9 the governor finds that prices paid to swine producers have
  5 10 created an economic emergency that threatens the viability of
  5 11 the pork industry.
  5 12    2.  The moratorium may apply to the construction of
  5 13 confinement buildings as provided in chapter 455B.  The
  5 14 moratorium may direct the department of natural resources to
  5 15 suspend approving any permit for the construction of
  5 16 confinement buildings pursuant to section 455B.200.
  5 17    3.  The moratorium shall become effective on the date that
  5 18 the executive order is filed with the secretary of state.
  5 19    4.  The moratorium may exempt any of the following:
  5 20    a.  The completion of a confinement building, if
  5 21 construction began prior to the effective date of the
  5 22 moratorium.
  5 23    b.  The approval of an application for a construction
  5 24 permit by the department, if a complete permit was submitted
  5 25 prior to the effective date of the application.
  5 26    5.  The governor may cooperate with governors in other
  5 27 leading swine-producing states, including Illinois and North
  5 28 Carolina, in declaring a moratorium under this section.
  5 29    6.  The moratorium shall expire within two years from its
  5 30 effective date, unless the executive order provides for an
  5 31 earlier date.
  5 32    Sec. 10.  NEW SECTION.  172C.1  DEFINITIONS.
  5 33    As used in this chapter, unless the context otherwise
  5 34 requires:
  5 35    1.  "Marketing contract" means a contract executed between
  6  1 a swine producer and a swine purchaser, for the purchase of
  6  2 swine raised or fed by the swine producer, for slaughter by
  6  3 the swine purchaser or a subsequent purchaser.
  6  4    2.  "Packing" means to be engaged in the business of
  6  5 slaughtering swine or receiving, purchasing, or soliciting
  6  6 swine for slaughter.
  6  7    3.  "Swine market" means any place where swine are
  6  8 assembled from two or more sources for public auction, private
  6  9 sale, or on a commission basis, which is under state or
  6 10 federal supervision, including a livestock sale barn, auction
  6 11 market, street market, buying station, livestock dealer's
  6 12 yard, or packing facility.
  6 13    4.  "Swine producer" means a person who provides for the
  6 14 care and feeding of swine for more than thirty consecutive
  6 15 days.
  6 16    5.  "Swine purchaser" means a person purchasing swine at a
  6 17 swine market or by a marketing contract.
  6 18    Sec. 11.  NEW SECTION.  172C.2  PROVISIONS OF
  6 19 CONFIDENTIALITY PROHIBITED.
  6 20    1.  Except as provided in this section, a provision of a
  6 21 marketing contract is void, if the provision requires that
  6 22 information in the contract, including but not limited to any
  6 23 term or condition, be confidential.
  6 24    2.  This section does not affect other provisions of the
  6 25 contract which can be given effect without the voided
  6 26 provision.
  6 27    3.  The secretary of state, in consultation with the
  6 28 attorney general, may provide by rule that the requirements of
  6 29 subsection 1 do not require either party to divulge the
  6 30 contract information to another person.
  6 31    4.  This section does not apply to a provision or
  6 32 information that is a trade secret as provided in chapter 550.
  6 33    Sec. 12.  NEW SECTION.  172C.3  REPORTING REQUIREMENTS.
  6 34    1.  A swine purchaser shall report the price paid for swine
  6 35 purchased by the person at a swine market or by a marketing
  7  1 contract.  The swine purchaser shall report the price paid at
  7  2 the close of the business day that the swine were purchased at
  7  3 a swine market or the date the marketing contract is executed
  7  4 by the swine producer and the swine purchaser.  This section
  7  5 shall not apply if the prices paid for swine were reported to
  7  6 the agricultural marketing service of the United States
  7  7 department of agriculture.
  7  8    2.  A report required by this section shall be completed on
  7  9 forms developed by the department for comparison of the
  7 10 reported price information with cash market prices reported
  7 11 for other swine to the agricultural marketing service of the
  7 12 United States department of agriculture.  The swine purchaser
  7 13 shall complete and submit the forms to the department as
  7 14 required by the department.  However, the report shall not
  7 15 include information regarding the identity of a swine
  7 16 producer.
  7 17    Sec. 13.  NEW SECTION.  172C.4  PENALTIES.
  7 18    The failure of a swine purchaser to report as required by
  7 19 section 172C.3 is punishable by a civil penalty not to exceed
  7 20 one thousand dollars for each day that a timely or accurate
  7 21 report is not submitted.  The department shall refer to the
  7 22 attorney general any swine purchaser whom the department
  7 23 believes is in violation of this section.  The attorney
  7 24 general may, upon referral from the department, file an action
  7 25 in district court to enforce this section and section 172C.3.
  7 26    Sec. 14.  NEW SECTION.  191A.1  PURPOSE.
  7 27    The purpose of this chapter is to promote this state's
  7 28 economy, by providing for the promotion of pork products that
  7 29 have been processed in this state and offered for sale to
  7 30 consumers in this state, other states, and other nations.
  7 31    Sec. 15.  NEW SECTION.  191A.2  DEFINITIONS.
  7 32    As used in this chapter, unless the context otherwise
  7 33 requires:
  7 34    1.  "Department" means the department of inspections and
  7 35 appeals.
  8  1    2.  "Food product" means any product capable of use as
  8  2 human food.
  8  3    3.  "Identify" means to identify pork products as having
  8  4 been processed in this state, as provided in section 191A.3.
  8  5    4.  "Packer" means a person engaged in the business of
  8  6 slaughtering swine in this state, if the carcasses of the
  8  7 swine are processed or sold for processing into pork products.
  8  8    5.  "Pork product" means any fresh or frozen raw pork
  8  9 derived from the carcass of swine, if the product is sold for
  8 10 use as human food in this state or outside this state.
  8 11    6.  "Processor" means a person engaged in the business of
  8 12 manufacturing pork products derived from the carcasses of
  8 13 swine for sale, including selling cuts of pork or ground pork
  8 14 manufactured by the person, if both of the following apply:
  8 15    a.  The processing occurs in this state.
  8 16    b.  The person's total annual sales of the pork products is
  8 17 five million dollars or more.
  8 18    7.  "Retailer" means a person engaged in the business of
  8 19 selling food products on a retail basis for off-premises
  8 20 consumption, if any of the following applies:
  8 21    a.  The person has gross annual sales of food products of
  8 22 ten million dollars or more.
  8 23    b.  The person has gross annual sales of pork products of
  8 24 one million dollars or more.
  8 25    8.  "Sale" means any transfer, exchange, or barter, in any
  8 26 manner or by any means, for consideration, and includes an
  8 27 offer for sale.
  8 28    9.  "Wholesaler" means a person engaged in the business of
  8 29 packaging and selling pork products on a wholesale basis, if
  8 30 any of the following applies:
  8 31    a.  The person has gross annual sales of food products of
  8 32 three million dollars or more.
  8 33    b.  The person has gross annual sales of pork products of
  8 34 three million dollars or more.
  8 35    Sec. 16.  NEW SECTION.  191A.3  IDENTIFICATION
  9  1 REQUIREMENTS.
  9  2    1.  a.  A processor shall not sell a pork product to the
  9  3 purchaser of the pork product, unless the pork product is
  9  4 identified.
  9  5    b.  A wholesaler who receives a pork product that has been
  9  6 identified shall not sell the pork product to the purchaser of
  9  7 the pork product, unless the pork product is identified.
  9  8    c.  A retailer who receives a pork product that has been
  9  9 identified shall not sell the pork product to the consumer of
  9 10 the pork product, unless the pork product is identified.  The
  9 11 identification shall be in the form of the following
  9 12 statement:  "PRIDE OF IOWA".  The statement shall appear in a
  9 13 conspicuous manner.  If the pork product is offered for sale
  9 14 in a packaged form, the package shall be labeled with the
  9 15 statement.  If the pork product is offered for sale in
  9 16 unpackaged form, the statement shall appear on a placard in
  9 17 close proximity to the pork product.
  9 18    2.  This section does not require any of the following:
  9 19    a.  That a packer designate the origin of swine or swine
  9 20 carcasses.
  9 21    b.  The identification of a pork product that is cooked
  9 22 prior to sale on a retail basis.
  9 23    c.  That a person maintain identification records.
  9 24    Sec. 17.  NEW SECTION.  191A.4  DEPARTMENTAL DUTIES –
  9 25 ADMINISTRATION AND MARKETING.
  9 26    1.  The department shall adopt rules pursuant to chapter
  9 27 17A which are necessary in order to administer and enforce
  9 28 this chapter, including rules required for the identification
  9 29 of pork products by processors, wholesalers, and retailers as
  9 30 provided in section 191A.3.
  9 31    a.  The rules shall require practices and procedures
  9 32 necessary in order to provide a practicable, simple, and cost-
  9 33 effective system for the identification.
  9 34    b.  The department shall provide rules for the labeling of
  9 35 pork products offered for sale by retailers, including the
 10  1 size and shape of labels or placards and the font and point
 10  2 size of the print.  The department may require identification
 10  3 information in addition to the statement required pursuant to
 10  4 section 191A.3.
 10  5    2.  The department of agriculture and land stewardship
 10  6 shall promote the use of labels by retailers outside this
 10  7 state to identify pork products processed in this state.
 10  8    Sec. 18.  NEW SECTION.  191A.5  PENALTIES – EVIDENCE OF A
 10  9 VIOLATION.
 10 10    1.  A person who violates section 191A.3 or 191A.4 is
 10 11 subject to a civil penalty of not more than one thousand
 10 12 dollars for each illegal sale.  The department shall establish
 10 13 a schedule of civil penalties based on the dollar amount of
 10 14 pork products sold in violation of section 191A.3 or 191A.4.
 10 15    2.  A person shall not be subject to a civil penalty for
 10 16 selling a pork product without an identification or with a
 10 17 wrong identification, if the person sells the pork product in
 10 18 good faith.  Evidence of good faith includes compliance with
 10 19 established practices and routine procedures which reasonably
 10 20 provides identification consistent with sections 191A.3 and
 10 21 191A.4.
 10 22    Sec. 19.  Section 714.8, Code 1999, is amended by adding
 10 23 the following new subsection:
 10 24    NEW SUBSECTION.  17.  A swine purchaser who includes a
 10 25 confidentiality provision in a marketing contract in violation
 10 26 of section 172C.2.
 10 27    Sec. 20.  DEPARTMENTAL RULEMAKING.  In adopting rules
 10 28 required to administer chapter 191A, as enacted by this
 10 29 division of this Act, the department of inspections and
 10 30 appeals shall consult with interested parties, including the
 10 31 industries affected, the department of economic development,
 10 32 and the department of agriculture and land stewardship.
 10 33    Sec. 21.  STATE PORK PROMOTION.  The governor, in
 10 34 cooperation with the secretary of agriculture and the Iowa
 10 35 pork producers council, shall designate a month to promote the
 11  1 consumption of pork products and the contributions of the pork
 11  2 producers in this state, including the nutritional and health
 11  3 benefits associated with consuming pork products, and the
 11  4 positive benefit of pork producers to this state's economic
 11  5 vitality.
 11  6    Sec. 22.  INVESTIGATION OF LARGE PORK PRODUCERS AND
 11  7 PROCESSORS.
 11  8    1.  As used in this section:
 11  9    a.  "Large pork producer" means a person who owns or
 11 10 controls one or more confinement feeding operations, if the
 11 11 animal weight capacity of all confinement feeding operations
 11 12 owned or controlled by the person is one million two hundred
 11 13 fifty thousand pounds or more.
 11 14    b.  "Processor" means a person engaged in slaughtering
 11 15 swine for sale of carcasses or the manufacture of meat
 11 16 products from carcasses, including a dealer or broker or an
 11 17 agent licensed pursuant to chapter 172A.
 11 18    2.  The office of attorney general, in cooperation with the
 11 19 department of agriculture and land stewardship, shall conduct
 11 20 an investigation of large producers and processors to
 11 21 determine the extent that large pork producers receive
 11 22 differential pricing for swine produced for or delivered to
 11 23 processors, including the extent to which differential pricing
 11 24 is based on volume of swine marketed to processors.
 11 25    3.  In carrying out the investigation, the attorney general
 11 26 may inspect the premises used by any large producer or
 11 27 processor in conducting its business, and may examine the
 11 28 books, accounts, records, and papers of the large producer or
 11 29 processor which pertain to swine purchases.  The inspections
 11 30 and examinations shall be conducted during ordinary business
 11 31 hours.
 11 32    4.  In conducting the investigation, an official of the
 11 33 attorney general's office or the department shall enter the
 11 34 premises of a large producer or a processor in the same manner
 11 35 as in investigations by an official of the department of
 12  1 natural resources pursuant to section 455B.103.  The person
 12  2 shall also comply with standard biosecurity or health and
 12  3 safety requirements customarily required by the large producer
 12  4 or processor.
 12  5    5.  The attorney general shall submit a report to the
 12  6 general assembly not later than January 10, 2000, providing
 12  7 findings and recommendations, including any proposed
 12  8 legislation.
 12  9    Sec. 23.  EDUCATIONAL SEMINARS FOR PORK PRODUCERS –
 12 10 ECONOMIC RISKS AND BENEFITS ASSOCIATED WITH PRODUCTION AND
 12 11 MARKETING OPPORTUNITIES.
 12 12    1.  The Iowa cooperative extension service in agriculture
 12 13 and home economics of Iowa state university of science and
 12 14 technology shall conduct educational seminars regarding all of
 12 15 the following:
 12 16    a.  The terms and conditions of production and marketing
 12 17 contracts.
 12 18    b.  Corporate farming statutes, including statutes
 12 19 providing for farmers entities as provided in chapter 10,
 12 20 cooperative associations organized under chapter 501, and Iowa
 12 21 agricultural industry finance corporations as provided in
 12 22 chapter 15E.
 12 23    2.  The Iowa cooperative extension service shall cooperate
 12 24 to every extent practicable with all of the following in
 12 25 conducting the seminars:
 12 26    a.  Other colleges of the university as designated by the
 12 27 president of the university.
 12 28    b.  The office of attorney general.
 12 29    c.  The Iowa pork producers association and the Iowa farm
 12 30 bureau federation.
 12 31    3.  The seminars shall be conducted around the state in
 12 32 person or through use of the Iowa telecommunications network
 12 33 created in chapter 8D.
 12 34    4.  The seminars shall provide answers to commonly asked
 12 35 questions regarding executing contracts and participating in
 13  1 entities under chapters 10, 15E, and 501, including associated
 13  2 risks and benefits.  
 13  3                          DIVISION III
 13  4                          SWINE HEALTH
 13  5    Sec. 24.  Section 163.30, subsections 4 and 5, Code 1999,
 13  6 are amended to read as follows:
 13  7    4.  a.  All swine Except as otherwise provided in this
 13  8 subsection, all of the following shall apply:
 13  9    (1)  Swine moved shall be individually identified with a
 13 10 distinctive and easily discernible ear tag affixed in either
 13 11 ear of the animal or other identification acceptable to the
 13 12 department, which has been specified by rule promulgated under
 13 13 the department's rulemaking authority.  The department shall
 13 14 make ear tags available at convenient locations within each
 13 15 county and shall sell such tags at a price not exceeding the
 13 16 cost to producers and others to comply with this section.
 13 17    Every seller, dealer and market operator shall keep a
 13 18 record of the ear tag numbers, or other approved
 13 19 identification, and the farm of origin of swine moved by or
 13 20 through that person, which records shall be made available by
 13 21 that person to any appropriate representative of the
 13 22 department or the United States department of agriculture.
 13 23    5. (2)  All swine Swine moved shall be accompanied by an
 13 24 official health certificate or veterinarian inspection
 13 25 certificate issued by the state of origin and prepared and
 13 26 signed by a veterinarian.  The health certificate or
 13 27 veterinarian inspection certificate shall show the point of
 13 28 origin, the point of destination, individual identification,
 13 29 immunization status, and, when required, any movement permit
 13 30 number assigned to the shipment by the department.  All such
 13 31 movement of swine shall be completed within seventy-two hours
 13 32 unless an extension of time for movement is granted by the
 13 33 department.
 13 34    b.  This subsection does not require an identification or
 13 35 certification as follows:
 14  1    (1)  However, swine Swine may be moved intrastate directly
 14  2 to an approved state, federal or auction market without such
 14  3 an identification or certification, there to be identified and
 14  4 certificated.
 14  5    (2)  However, registered Registered swine for exhibition or
 14  6 breeding purposes which can be are individually identified by
 14  7 an ear notch or tattoo or other method approved by the
 14  8 department are excepted from this the identification
 14  9 requirement.  In addition, native Iowa swine moved from farm
 14 10 to farm shall be are excepted from the identification
 14 11 requirement if the owner transferring possession of the feeder
 14 12 pigs executes a written agreement with the person taking
 14 13 possession of the feeder pigs.  The agreement shall provide
 14 14 that the feeder pigs shall not be commingled with other swine
 14 15 for a period of thirty days.  The owner transferring
 14 16 possession shall be responsible for making certain that the
 14 17 agreement is executed and for providing a copy of the
 14 18 agreement to the person taking possession.
 14 19    c.  Feeder pigs must be inspected for pseudorabies by a
 14 20 veterinarian licensed or certified as provided in chapter 169
 14 21 prior to entering this state as provided in section 166D.10.
 14 22    d.  The department may combine an official health
 14 23 certificate or a veterinarian inspection certificate with a
 14 24 certificate of inspection required under chapter 166D.
 14 25    Sec. 25.  Section 166D.10, subsection 6, Code 1999, is
 14 26 amended to read as follows:
 14 27    6.  In addition to other applicable requirements of this
 14 28 section, all of the following shall apply to feeder swine pigs
 14 29 moved from a location outside of this state to a location
 14 30 within this state shall:
 14 31    a.  The feeder pigs must be inspected by a veterinarian
 14 32 licensed or certified as provided in chapter 169 prior to
 14 33 entering this state.
 14 34    b.  The feeder pigs must be vaccinated if the feeder swine
 14 35 are moved into a county where the department determines that
 15  1 more than three percent of all herds in the county are
 15  2 infected herds.  The feeder swine shall be vaccinated with a
 15  3 differentiable vaccine according to procedures established by
 15  4 rules adopted by the department.  However, this subsection
 15  5 paragraph shall not require vaccination if the feeder swine
 15  6 originate from a qualified negative herd or a qualified
 15  7 differentiable negative herd and are introduced to a qualified
 15  8 negative herd or a qualified differentiable negative herd.
 15  9    Sec. 26.  Section 267.8, Code 1999, is amended to read as
 15 10 follows:
 15 11    267.8  LIVESTOCK DISEASE RESEARCH FUND.
 15 12    There is created in the office of the treasurer of state a
 15 13 fund to be known as the livestock disease research fund.  For
 15 14 each fiscal year, there is appropriated from the general fund,
 15 15 to the livestock disease research fund, the amount of seven
 15 16 hundred fifty thousand dollars.  Any balance in said the fund
 15 17 on June 30 the close of each fiscal year shall revert to the
 15 18 general fund as provided in section 8.33.  
 15 19                           DIVISION IV
 15 20                         EFFECTIVE DATES
 15 21    Sec. 27.  EFFECTIVE DATES.
 15 22    1.  Except as provided in subsection 2, this Act, being
 15 23 deemed of immediate importance, takes effect upon enactment.
 15 24    2.  The amendment to section 267.8 in this Act takes effect
 15 25 July 1, 1999.  
 15 26                           EXPLANATION
 15 27    This bill relates to the care, feeding, and marketing of
 15 28 swine, by providing for packer feeding of swine, the marketing
 15 29 of swine, and the movement of swine into this state.  
 15 30                           DIVISION I
 15 31                         PACKER FEEDING
 15 32    This division amends provisions in Code chapter 9H that
 15 33 currently prohibit processors from owning, controlling, and
 15 34 operating feedlots in this state and from contracting for the
 15 35 care and feeding of swine in this state.  There is an
 16  1 exception for cooperative associations organized in this state
 16  2 that enter into contracts for the care and feeding of swine
 16  3 with its members.
 16  4    This division provides that the prohibition applies to
 16  5 packers.  This division in part defines a "packer" as a person
 16  6 engaged in slaughtering livestock; receiving, purchasing, or
 16  7 soliciting livestock for slaughter; or processing meat
 16  8 products from slaughtered livestock.
 16  9    This division provides that a packer is prohibited from
 16 10 directly or indirectly owning, controlling, or operating any
 16 11 livestock facility in this state including an animal feeding
 16 12 operation or feedlot.
 16 13    This division prohibits a packer from contracting for the
 16 14 care and feeding of the swine in this state or another state,
 16 15 if the packer slaughters swine in this state, receives,
 16 16 purchases, or solicits swine for slaughter in this state, or
 16 17 processes swine in this state.  This division eliminates the
 16 18 exception for cooperative associations.
 16 19    The division states that its provisions do not interfere
 16 20 with contracts for the care and feeding of swine executed by a
 16 21 packer under Code section 9H.2 prior to the effective date of
 16 22 this division.  However, this division prohibits a packer from
 16 23 executing a new contract or extending an existing contract
 16 24 except as provided in this division of the bill.
 16 25    A packer who violates this division's provisions is subject
 16 26 to a civil penalty of not more than $25,000.  
 16 27                           DIVISION II
 16 28                       PRODUCER MARKETING
 16 29    This division authorizes the governor to issue an executive
 16 30 order declaring a moratorium on the construction of structures
 16 31 which are part of confinement feeding operations associated
 16 32 with the care and feeding of swine.  The governor shall issue
 16 33 the executive order only if the governor finds that prices
 16 34 paid to swine producers have created an economic emergency
 16 35 that threatens the viability of the pork industry.  The
 17  1 moratorium becomes effective on the date that the executive
 17  2 order is filed with the secretary of state and may last for
 17  3 two years.
 17  4    This division requires a swine purchaser to report the
 17  5 price paid for swine purchased by the person at a swine market
 17  6 or by a marketing contract.  This division requires the swine
 17  7 purchaser to complete the report at the close of the business
 17  8 day that the swine are purchased at a swine market or on the
 17  9 date the marketing contract is executed by the swine producer
 17 10 and the swine purchaser.
 17 11    This division provides that any provision of a marketing
 17 12 contract that requires the contract information to be
 17 13 confidential is void.
 17 14    This division provides that a failure of a swine purchaser
 17 15 to submit a report as required in this division is punishable
 17 16 by a civil penalty not to exceed $1,000 for each day that a
 17 17 timely or accurate report is not submitted.
 17 18    This bill creates a new Code chapter 191A intended to
 17 19 promote this state's economy, by providing for the promotion
 17 20 of meat products that have been processed in this state.
 17 21    The bill provides that a processor who manufactures raw
 17 22 meat in this state shall not sell the meat, unless the meat is
 17 23 identified to the purchaser of the meat.  The same requirement
 17 24 applies to a wholesaler of the meat.  A retailer who receives
 17 25 the meat must label it with the statement "PRIDE OF IOWA".  If
 17 26 the meat is offered for sale in a packaged form, the package
 17 27 must be labeled with the statement.  If the meat product is
 17 28 offered for sale unpackaged, the statement must appear on a
 17 29 placard in close proximity to the meat.
 17 30    The department of inspections and appeals is responsible
 17 31 for administering and enforcing the chapter.  The department
 17 32 must adopt rules that require practices and procedures
 17 33 necessary in order to provide identification, including
 17 34 labeling.  The department of agriculture and land stewardship
 17 35 is required to promote the use of labels identifying meat
 18  1 processed in this state, directed at persons selling meat
 18  2 products to consumers outside this state.
 18  3    A person who violates this bill is subject to a civil
 18  4 penalty of not more than $1,000 for each illegal sale.  The
 18  5 department of inspections and appeals is required to establish
 18  6 a schedule of penalties based on the dollar amount of sales
 18  7 made in violation of the bill's provisions.  The bill provides
 18  8 that a person is not subject to a civil penalty for selling
 18  9 meat without proper identification if the person sells the
 18 10 meat in good faith.
 18 11    This division allows the governor, in cooperation with the
 18 12 secretary of agriculture and the Iowa pork producers council,
 18 13 to designate a month to promote the consumption of pork
 18 14 products.
 18 15    This division requires that the office of attorney general,
 18 16 in cooperation with the department of agriculture and land
 18 17 stewardship, conduct an investigation of large producers and
 18 18 processors to determine the extent that large pork producers
 18 19 receive differential pricing for swine produced for or
 18 20 delivered to processors.
 18 21    This division requires the Iowa cooperative extension
 18 22 service in agriculture and home economics of Iowa state
 18 23 university of science and technology to conduct educational
 18 24 seminars on the terms and conditions of production and
 18 25 marketing contracts, and Iowa's corporate farming statutes.  
 18 26                          DIVISION III
 18 27                          SWINE HEALTH
 18 28    This division requires that feeder swine must be inspected
 18 29 for pseudorabies by a veterinarian licensed or certified as
 18 30 provided in Code chapter 169 prior to entering this state.  A
 18 31 person who violates the requirement is subject to a civil
 18 32 penalty of at least $100 but not more than $1,000.
 18 33    The division appropriates from the general fund, to the
 18 34 livestock disease research fund, the amount of $750,000 for
 18 35 each fiscal year.  
 19  1                           DIVISION IV
 19  2                         EFFECTIVE DATE
 19  3    Generally, the bill takes effect upon enactment.  However,
 19  4 the provision that appropriates moneys to the livestock
 19  5 disease research fund takes effect on July 1, 1999.  
 19  6 LSB 2177YH 78
 19  7 da/jw/5
     

Text: HF00730                           Text: HF00732
Text: HF00700 - HF00799                 Text: HF Index
Bills and Amendments: General Index     Bill History: General Index

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