Text: HSB00523                          Text: HSB00525
Text: HSB00500 - HSB00599               Text: HSB Index
Bills and Amendments: General Index     Bill History: General Index



House Study Bill 524

Bill Text

PAG LIN
  1  1                           DIVISION I
  1  2                            RAILWAYS
  1  3    Section 1.  Section 6A.6, Code 2001, is amended to read as
  1  4 follows:
  1  5    6A.6  RAILWAYS.
  1  6    The Iowa railway finance authority state department of
  1  7 transportation or any railway corporation, may acquire by
  1  8 condemnation property as necessary for the location,
  1  9 construction, and convenient use of a railway.  The Iowa
  1 10 railway finance authority state department of transportation
  1 11 may acquire fee title or a lesser property interest.  The
  1 12 authority department shall offer to sell its interest in the
  1 13 property at fair market value to the adjoining property owners
  1 14 upon abandonment.  The acquisition shall carry the right to
  1 15 use for the construction and repair of the railway and its
  1 16 appurtenances any earth, gravel, stone, timber, or other
  1 17 material, on or from the land taken.
  1 18    Sec. 2.  Section 6A.9, unnumbered paragraph 1, Code 2001,
  1 19 is amended to read as follows:
  1 20    The Iowa railway finance authority state department of
  1 21 transportation or a railway corporation may, by condemnation
  1 22 or otherwise, acquire lands for the following additional
  1 23 purposes:
  1 24    Sec. 3.  Section 6A.10, subsection 2, Code 2001, is amended
  1 25 to read as follows:
  1 26    2.  The railway finance authority state department of
  1 27 transportation may begin condemnation proceedings in district
  1 28 court.
  1 29    Sec. 4.  Section 6A.16, Code 2001, is amended to read as
  1 30 follows:
  1 31    6A.16  RIGHT TO CONDEMN ABANDONED RIGHT-OF-WAY.
  1 32    Railroad right-of-way which that has been abandoned by
  1 33 order of the proper authority, may be condemned by a railway
  1 34 corporation or the Iowa railway finance authority state
  1 35 department of transportation before or after the track
  2  1 materials have been removed.  The procedure to condemn
  2  2 abandoned right-of-way shall be the same as for an original
  2  3 condemnation.
  2  4    Sec. 5.  Section 7E.7, subsection 4, Code 2001, is amended
  2  5 by striking the subsection.
  2  6    Sec. 6.  Section 12.28, subsection 1, paragraph b, Code
  2  7 2001, is amended to read as follows:
  2  8    b.  "State agency" means a board, commission, bureau,
  2  9 division, office, department, or branch of state government.
  2 10 However, state agency does not mean the state board of
  2 11 regents, institutions governed by the board of regents, or
  2 12 authorities created under chapter 16, 16A, 175, 257C, or 261A,
  2 13 or 327I.
  2 14    Sec. 7.  Section 12.30, subsection 1, paragraph a, Code
  2 15 Supplement 2001, is amended to read as follows:
  2 16    a.  "Authority" means a department, or public or quasi-
  2 17 public instrumentality of the state including, but not limited
  2 18 to, the authority created under chapter 12E, 16, 16A, 175,
  2 19 257C, or 261A, or 327I, which has the power to issue
  2 20 obligations, except that "authority" does not include the
  2 21 state board of regents or the Iowa finance authority to the
  2 22 extent it acts pursuant to chapter 260C.
  2 23    Sec. 8.  Section 307.24, Code 2001, is amended to read as
  2 24 follows:
  2 25    307.24  ADMINISTRATION OF HIGHWAYS.
  2 26    The department's administrator of highways is responsible
  2 27 for the planning, design, construction, and maintenance of the
  2 28 state primary highways and shall administer chapters 306 to
  2 29 320 and 327I and perform other duties as assigned by the
  2 30 director.  The administration of highways shall be organized
  2 31 to provide administration for urban systems, for secondary
  2 32 roads, and other categories of administration as necessary.
  2 33    Sec. 9.  Section 327G.76, Code 2001, is amended to read as
  2 34 follows:
  2 35    327G.76  TIME OF REVERSION.
  3  1    Railroad property rights which that are extinguished upon
  3  2 cessation of service by the railroad divest when the railway
  3  3 finance authority department or the railroad, having obtained
  3  4 authority to abandon the rail line, removes the track
  3  5 materials to the right-of-way.  If the railway finance
  3  6 authority department does not acquire the line and the railway
  3  7 company does not remove the track materials, the property
  3  8 rights which are extinguished upon cessation of service by the
  3  9 railroad divest one year after the railway obtains the final
  3 10 authorization necessary from the proper authority to remove
  3 11 the track materials.
  3 12    Sec. 10.  Section 327H.18, Code 2001, is amended to read as
  3 13 follows:
  3 14    327H.18  RAILROAD ASSISTANCE.
  3 15    1.  Moneys provided to the department for railroad
  3 16 assistance under this chapter shall be expended for providing
  3 17 assistance for the restoration, conservation, improvement, and
  3 18 construction of railroad main lines, branch lines, switching
  3 19 yards, and sidings, and for the purposes described in section
  3 20 327H.28.  However, not more than twenty percent of the funds
  3 21 appropriated to the department for railroad assistance from
  3 22 the general fund of the state in any fiscal year shall be used
  3 23 for restoration, conservation, improvement, and construction
  3 24 of railroad main lines, switching yards and sidings.  Any
  3 25 moneys received by the department by agreements, grants,
  3 26 gifts, or other means from individuals, companies, business
  3 27 entities, cities, or counties for the purposes of this section
  3 28 shall be credited to the general fund of the state.
  3 29    2.  Moneys received by or reimbursements made to the
  3 30 department pursuant to this section, section 327H.20, section
  3 31 327H.28, subsection 8, and sections section 327I.7, subsection
  3 32 14, and 327H.20 Code 2001, shall be deposited into the general
  3 33 fund of the state and all moneys received by the department by
  3 34 agreements, grants, gifts, or other means which were deposited
  3 35 into the state general fund as a result of this section are
  4  1 appropriated for state railroad assistance under this chapter.
  4  2 Moneys deposited into the general fund of the state pursuant
  4  3 to this section are subject to the requirements of section
  4  4 8.60.
  4  5    Sec. 11.  Section 327H.20, unnumbered paragraph 1, Code
  4  6 2001, is amended to read as follows:
  4  7    The department may enter into agreements an agreement with
  4  8 a railroad corporations corporation, the United States
  4  9 government, cities a city, counties a county, and other
  4 10 persons or another person for carrying out the purposes of
  4 11 this chapter.  Agreements An agreement entered into between
  4 12 the department and a railroad corporations corporation under
  4 13 this section may require a the railroad corporation to
  4 14 reimburse all or part of the costs paid from funds provided by
  4 15 the department from revenue derived from all railroad cars and
  4 16 traffic using the main line, branch line, switching yard, or
  4 17 sidings defined in the agreement.  An agreement which does not
  4 18 require the repayment of railroad assistance funds used for
  4 19 rehabilitation projects shall require the railroad corporation
  4 20 to establish and maintain a separate corporation account to
  4 21 which an amount equal to all or part of the costs paid from
  4 22 funds provided by the department shall be credited from
  4 23 revenue derived from all railroad cars and traffic using the
  4 24 main line, branch line, switching yard, or siding defined in
  4 25 the agreement.  Credits to the corporation account by the
  4 26 railroad corporation may be used for the restoration,
  4 27 conservation, improvement, and construction of the railroad
  4 28 corporation's main line, branch lines, switching yards, and
  4 29 sidings within the state.  The agreement shall stipulate the
  4 30 terms and conditions governing the use of credits to the
  4 31 corporation account as well as a penalty for the use of the
  4 32 account in a manner other than as provided in the agreement.
  4 33    Sec. 12.  Section 327H.26, Code 2001, is amended to read as
  4 34 follows:
  4 35    327H.26  DEFINITION DEFINITIONS.
  5  1    As used in this chapter, unless the context otherwise
  5  2 requires, "department":
  5  3    1.  "Department" means the state department of
  5  4 transportation.
  5  5    2.  "Financial assistance" means a direct loan or other
  5  6 loan, grant, or form of assistance authorized under this
  5  7 subchapter or chapter 327I, Code 2001.
  5  8    3.  "Governmental action" means an action by a governmental
  5  9 agency relating to the establishment, development, or
  5 10 operation of railway facilities that the governmental agency
  5 11 has authority to take or provide for the purpose stated under
  5 12 law, including, but not limited to, actions relating to
  5 13 contracts and agreements, zoning, building, permits,
  5 14 acquisition and disposition of property, public capital
  5 15 improvements, utility and transportation service, taxation,
  5 16 employee recruitment and training, and liaison and
  5 17 coordination with and among governmental agencies.
  5 18    4.  "Governmental agency" means the state or a state
  5 19 department, division, commission, institution, or authority; a
  5 20 municipal corporation, city, county, or township, or any
  5 21 agency thereof; any other political subdivision or public
  5 22 corporation; the United States or an agency thereof; an
  5 23 agency, commission, or authority established pursuant to an
  5 24 interstate compact or agreement; or any combination of the
  5 25 foregoing.
  5 26    5.  "Person" means an individual, firm, partnership,
  5 27 association, corporation, or governmental agency, or any
  5 28 combination thereof.
  5 29    6.  "Project costs" means any portion of the costs of
  5 30 railway rehabilitation, acquisition, construction,
  5 31 reconstruction, repair, alteration, improvement, or extension
  5 32 of any railway facilities, providing, supplementing, and
  5 33 relocating public capital facilities, studies, surveys, plans,
  5 34 specifications, architectural and engineering services,
  5 35 estimates of costs, legal, organizational, marketing, or
  6  1 feasibility studies, and all other necessary and incidental
  6  2 expenses related to the foregoing, and reimbursement of any
  6  3 moneys advanced or applied by a governmental agency or other
  6  4 person for project costs.
  6  5    7.  "Public capital improvements" means capital
  6  6 improvements or facilities including, but not limited to,
  6  7 railroad facilities and related ancillary facilities, that a
  6  8 governmental agency has authority to acquire, pay the costs
  6  9 of, own or maintain, or to do the foregoing by contract with
  6 10 other persons.
  6 11    8.  "Railway facilities" means land, structures, fixtures,
  6 12 buildings, and equipment, except rolling stock, necessary or
  6 13 useful in providing railroad transportation services,
  6 14 including, but not limited to, roadbeds, track, trestle,
  6 15 depot, switching and signaling equipment, and all necessary,
  6 16 useful, and related equipment and appurtenances and all
  6 17 franchises, easements, and other interests in land and rights-
  6 18 of-way necessary or convenient as a site or sites for any of
  6 19 the foregoing or any part of or combination of the foregoing.
  6 20    Sec. 13.  NEW SECTION.  327H.27  IOWA RAILWAY FINANCE
  6 21 AUTHORITY AGREEMENTS.
  6 22    The department is the successor to the rights and
  6 23 obligations of the Iowa railway finance authority in any
  6 24 contract or agreement.
  6 25    Sec. 14.  NEW SECTION.  327H.28  POWERS OF THE DEPARTMENT.
  6 26    The department may, upon action of the state transportation
  6 27 commission, do any of the following in furtherance of the
  6 28 purposes described in this subchapter:
  6 29    1.  Acquire railway facilities, whether located within Iowa
  6 30 or a contiguous state, directly or through an agent, by
  6 31 purchase, lease, lease-purchase, gift, devise, or otherwise.
  6 32 The department shall not submit a bid to acquire a railway
  6 33 facility if a railroad company or person is negotiating for
  6 34 the facility's purchase and if the railroad company's or
  6 35 person's offer exceeds the net salvage value set by the
  7  1 trustee by at least fifteen percent and the offer is for a
  7  2 segment which originates and terminates at the intersection of
  7  3 another railroad mainline or is for a segment which connects
  7  4 to a mainline if the facility is a branchline.  However, even
  7  5 if a railroad company or person is negotiating for a
  7  6 facility's purchase, the department may submit a bid for the
  7  7 acquisition of the railway facility upon approval of a
  7  8 resolution by the state transportation commission stating that
  7  9 the best interests of the state and the transportation needs
  7 10 thereof might not be served by the railroad company's or
  7 11 person's offer or negotiation.  However, the commission shall
  7 12 not adopt such a resolution if the competing railroad
  7 13 corporation or person files with the department an enforceable
  7 14 undertaking to operate the facility for a period of five years
  7 15 after its purchase.
  7 16    2.  Determine the location of and select any railway
  7 17 facility to be provided financial assistance under this
  7 18 subchapter and acquire, construct, reconstruct, renovate,
  7 19 rehabilitate, improve, extend, replace, maintain, repair, and
  7 20 lease the facility, and enter into contracts for any of these
  7 21 purposes.
  7 22    3.  Enter into contracts, including partnership agreements,
  7 23 with a person for the ownership, operation, management, or use
  7 24 of a railway facility.
  7 25    4.  Designate an agent to perform its powers under
  7 26 subsections 2 and 3.
  7 27    5.  Sell or convey any of the railway facilities upon terms
  7 28 and considerations acceptable to the state transportation
  7 29 commission.
  7 30    6.  Fix, revise, charge, and collect rates, rents, fees,
  7 31 and charges for the use of a railway facility or any portion
  7 32 of a facility that is owned or financially assisted by the
  7 33 department alone or in any other association with any other
  7 34 person and contract with any person in respect to a facility.
  7 35    7.  Mortgage all or any portion of its railway facilities
  8  1 in connection with the financing of the particular railway
  8  2 facility or any portion of the facility.
  8  3    8.  Extend financial assistance for the purpose of
  8  4 providing for project costs.  Make interest-free loans for
  8  5 rehabilitation of railway tracks, roadbeds, or trestles.
  8  6    9.  Receive and accept from any person or governmental
  8  7 agency a loan, guarantee, or grant for or in aid of project
  8  8 costs and receive and accept a grant, gift, or other
  8  9 contribution from any source.
  8 10    10.  Own a railway facility under this subchapter in
  8 11 partnership, or in any other association with a person if
  8 12 necessary or beneficial to preserve part of a railway system,
  8 13 upon the determination that the railway facility is necessary
  8 14 or beneficial to the railway system, to be relinquished to
  8 15 nondepartment ownership or operation as soon as economically
  8 16 practicable.
  8 17    11.  Temporarily operate a railway facility under this
  8 18 subchapter if sufficient need exists or there is an emergency
  8 19 situation as determined by a majority of the state
  8 20 transportation commission.
  8 21    12.  Serve as a general or limited partner in a partnership
  8 22 formed to purchase, renovate, and operate a railway facility.
  8 23    13.  Enter into an agreement with a person to develop,
  8 24 equip, furnish, or otherwise develop and operate a railway
  8 25 facility, and make provision in the agreement for railway
  8 26 facility and governmental action, as authorized by this
  8 27 subchapter and other laws.
  8 28    14.  Enter into appropriate arrangements and agreements
  8 29 with a governmental agency for the taking or the providing by
  8 30 that governmental agency of a governmental action.
  8 31    15.  Acquire property interests, subject to the limitations
  8 32 on purchases provided in subsection 1, in rail lines to ensure
  8 33 continued rail use and preserve abandoned rail lines for
  8 34 future railroad use.
  8 35    16.  Exercise the power of eminent domain.
  9  1    Sec. 15.  NEW SECTION.  327H.29  TAXES ON RAILWAY
  9  2 FACILITIES.
  9  3    This subchapter does not exempt from taxation properties
  9  4 comprising railway facilities financially assisted under this
  9  5 subchapter that are owned by persons other than the department
  9  6 except those leased to the department.  However, properties
  9  7 owned by the department that are leased or rented to a private
  9  8 person shall include as part of the rates, rents, fees, or
  9  9 charges payable by that person a sum equal to the amount of
  9 10 tax, determined by applying the tax rate of the taxing
  9 11 district to the assessed value of the property, which the
  9 12 state, county, city, school district, or other political
  9 13 subdivision would receive if the property were owned by a
  9 14 private person, any other statute to the contrary
  9 15 notwithstanding.  This sum shall be distributed to each taxing
  9 16 district based upon its tax equivalent.  For purposes of
  9 17 arriving at that tax equivalent, the property shall be valued
  9 18 and assessed by the assessor in whose jurisdiction the
  9 19 property is located, in accordance with chapter 441, but the
  9 20 department, or the lessee or renter on behalf of the
  9 21 department, and other persons as are authorized by chapter 441
  9 22 shall be entitled to protest any assessment and take appeals
  9 23 in the same manner as any taxpayer.  The valuations shall be
  9 24 included in any summation of valuations in the taxing district
  9 25 for all purposes known to the law.  Income from this source
  9 26 shall be considered under the provisions of section 384.16,
  9 27 subsection 1, paragraph "b".
  9 28    Sec. 16.  NEW SECTION.  327H.30  EXEMPTION FROM
  9 29 CONSTRUCTION AND BIDDING REQUIREMENTS FOR PUBLIC BUILDINGS.
  9 30    A railway facility is not subject to any requirements
  9 31 relating to public buildings, structures, grounds, works, or
  9 32 improvements imposed by any other law, except as determined by
  9 33 the state transportation commission.  A railway facility is
  9 34 also not subject to any similar requirements that may be
  9 35 lawfully waived by this section.  Any requirement of
 10  1 competitive bidding or other restriction imposed on the
 10  2 procedure for awarding contracts for such purpose or the
 10  3 lease, sale, or other disposition of property of the
 10  4 department is not applicable to any action taken under this
 10  5 subchapter.
 10  6    Sec. 17.  NEW SECTION.  327H.31  LIBERAL CONSTRUCTION.
 10  7    This subchapter, being necessary for the welfare of this
 10  8 state and its inhabitants, shall be liberally construed to
 10  9 effect the purposes of those sections.
 10 10    Sec. 18.  NEW SECTION.  327H.32  GOVERNMENTAL AGENCIES.
 10 11    A governmental agency may enter into an agreement with the
 10 12 department, another governmental agency, or a person to be
 10 13 assisted under this subchapter to take or provide for the
 10 14 purposes of this subchapter any governmental action it is
 10 15 authorized to take or provide and to undertake on behalf and
 10 16 at the request of the department any action which the
 10 17 department and the agency are authorized to undertake.
 10 18 Governmental agencies of the state shall cooperate with and
 10 19 provide assistance to the director and the department in the
 10 20 exercise of their functions under this subchapter.
 10 21    Sec. 19.  NEW SECTION.  327H.33  ADMINISTRATION OF MONEYS.
 10 22    1.  Moneys available, by appropriation or otherwise, to the
 10 23 department for purposes of this subchapter shall be
 10 24 administered by the department and may be used to purchase or
 10 25 upgrade railroad right-of-way and trackage facilities or to
 10 26 purchase general or limited partnership interests in a
 10 27 partnership formed to purchase, upgrade, or operate railroad
 10 28 right-of-way and trackage facilities, to pay obligations,
 10 29 judgments, or debts for which the department becomes liable in
 10 30 its capacity as a general partner, or for any other use
 10 31 authorized under this subchapter.
 10 32    2.  Moneys received from repayment from heartland rail
 10 33 corporation as provided in 1983 Iowa Acts, chapter 198,
 10 34 section 32, as amended by 1987 Iowa Acts, chapter 232, section
 10 35 28, and 1988 Iowa Acts, chapter 1211, section 6, shall be
 11  1 deposited in a separate account within the general fund of the
 11  2 state and are appropriated to the department to be used only
 11  3 for debt service or rehabilitation on branch rail lines whose
 11  4 total projected traffic is at least fifty percent agricultural
 11  5 products.
 11  6    Sec. 20.  NEW SECTION.  327H.34  ACQUISITION OF ABANDONED
 11  7 RIGHT-OF-WAY.
 11  8    1.  A railway corporation that has received authorization
 11  9 to abandon a rail line must offer the line to the department
 11 10 for sale prior to removing the track materials.  The
 11 11 corporation shall state a reasonable price, based on net
 11 12 liquidation value for:
 11 13    a.  The corporation's right, title, and interest in the
 11 14 right-of-way, track materials, and rail facilities.
 11 15    b.  An exclusive, transferable, five-year option to
 11 16 purchase all of the corporation's right, title, and interest
 11 17 in the right-of-way, track materials, and rail facilities.
 11 18    2.  The department may waive the requirements of this
 11 19 section.
 11 20    3.  a.  The department shall have sixty days in which to
 11 21 accept or decline the corporation's offer for all or any part
 11 22 of the rail line.  If the department fails to accept the offer
 11 23 within sixty days of the offer, the corporation may dispose of
 11 24 the property.
 11 25    b.  If the department accepts all or any part of the offer,
 11 26 the corporation shall execute the proper documents upon
 11 27 delivery of the purchase price which shall not be later than
 11 28 ninety days from the date of the offer.
 11 29    Sec. 21.  Section 427.1, subsection 25, Code Supplement
 11 30 2001, is amended to read as follows:
 11 31    25.  RIGHT-OF-WAY.  Railroad right-of-way and improvements
 11 32 on the right-of-way only during that period of time that the
 11 33 Iowa railway finance authority state department of
 11 34 transportation holds an option to purchase the right-of-way
 11 35 under section 327I.24 327H.34.
 12  1    Sec. 22.  Sections 327G.64 through 327G.69, Code 2001, are
 12  2 repealed.
 12  3    Sec. 23.  Chapter 327I, Code 2001, is repealed.
 12  4    Sec. 24.  CODE EDITOR DIRECTIVE.  The Code editor is
 12  5 directed to designate section 327H.26, as amended by this Act,
 12  6 and sections 327H.27 through 327H.34, as enacted by this Act,
 12  7 as a separate subchapter within chapter 327H.  
 12  8                           DIVISION II
 12  9                      TRANSIT COORDINATION
 12 10    Sec. 25.  Section 324A.2, unnumbered paragraphs 2 and 3,
 12 11 Code 2001, are amended by striking the unnumbered paragraphs.
 12 12    Sec. 26.  Section 324A.4, subsection 1, Code 2001, is
 12 13 amended to read as follows:
 12 14    1.  The department shall compile and maintain current
 12 15 information on available and pending the use of federal,
 12 16 state, local, and private aid affecting urban and rural public
 12 17 transit programs.  Public, private, and private nonprofit
 12 18 organizations applying for or receiving federal, state, or
 12 19 local aid for providing transit services shall provide a copy
 12 20 of their fiscal year operating budget annually prior to June 1
 12 21 report to the department the costs of their transportation
 12 22 programs, depicting funds used for public transit programs and
 12 23 such other information as the department may require prior to
 12 24 receiving any federal or state funds or any aid from a
 12 25 political subdivision of the state.  The operating budget
 12 26 report shall list all of the funding sources of the
 12 27 organization along with the listing of funds expended by that
 12 28 organization during the preceding fiscal year.  The
 12 29 department, in co-operation cooperation with the regional
 12 30 planning agencies as the responsible agency for annual
 12 31 updating the regional transit development programs, shall
 12 32 compile this information annually.  Any A state agency or
 12 33 organization administering funds for transit services is
 12 34 required to submit all funding requests through the regional
 12 35 and state clearinghouse and the state department of
 13  1 transportation.  Any An organization, state agency, political
 13  2 subdivision, and or public transit system, except public
 13  3 school transportation, receiving federal, state, or local aid
 13  4 to provide or contract for public transit services or
 13  5 transportation to the general public and specific client
 13  6 groups, must coordinate and consolidate funding and resulting
 13  7 service, to the maximum extent possible, with the urban or
 13  8 regional transit system.
 13  9    Sec. 27.  Section 324A.4, subsection 2, unnumbered
 13 10 paragraph 2, Code 2001, is amended to read as follows:
 13 11    Eligibility to receive or expend federal, state, or local
 13 12 funds for transportation services by all agencies or
 13 13 organizations purchasing or providing these services shall be
 13 14 contingent upon compliance with these criteria as determined
 13 15 by the department, except that services provided by or
 13 16 purchased by the department of human services, which include
 13 17 transportation, shall be subject to section 324A.5, subsection
 13 18 3, paragraph "c".
 13 19    Sec. 28.  Section 324A.5, subsection 1, Code 2001, is
 13 20 amended by striking the subsection.
 13 21    Sec. 29.  Section 324A.5, subsection 3, paragraph c, Code
 13 22 2001, is amended by striking the paragraph.  
 13 23                          DIVISION III
 13 24                            AIRCRAFT
 13 25    Sec. 30.  Section 328.21, subsection 6, Code 2001, is
 13 26 amended to read as follows:
 13 27    6.  An aircraft, unless exempt under section 328.35, which
 13 28 is damaged, is not airworthy, and is not in flying condition
 13 29 is not subject to registration fees if the owner of the
 13 30 aircraft submits information required by the department.  Upon
 13 31 receipt of that information, the department shall issue a
 13 32 certificate which that states that the registration fee has
 13 33 not been paid and that the aircraft shall not use the airports
 13 34 or the air space overlying the state until the fee has been
 13 35 paid.
 14  1    Sec. 31.  Section 328.27, Code 2001, is amended to read as
 14  2 follows:
 14  3    328.27  ISSUANCE OF CERTIFICATES.
 14  4    The department shall issue, upon receipt of proper
 14  5 application and fee for registration, a certificate of
 14  6 registration which shall be numbered and recorded by the
 14  7 department, shall state the name and address of the person to
 14  8 whom it is issued, shall be titled with the designation of the
 14  9 class of registrant covered and shall contain other
 14 10 information as the department may prescribe including, in the
 14 11 case of aircraft, a description of the aircraft.  A
 14 12 certificate of registration or special certificate expires at
 14 13 midnight on the last day of the twelfth month of the
 14 14 registration year.
 14 15    Sec. 32.  Section 328.28, Code 2001, is amended to read as
 14 16 follows:
 14 17    328.28  OPERATION UNDER SPECIAL CERTIFICATE.
 14 18    1.  A manufacturer or dealer owning any an aircraft
 14 19 otherwise required to be registered hereunder under this
 14 20 chapter may operate the same aircraft for purposes of
 14 21 transporting, testing, demonstrating, or selling the same
 14 22 aircraft without registering each such the aircraft, upon
 14 23 condition that any such aircraft display therein a special
 14 24 certificate issued to such be obtained by the owner as
 14 25 provided in this section and sections 328.29 to through
 14 26 328.33.
 14 27    2.  A transporter may operate any such an aircraft
 14 28 described in subsection 1 solely for the purpose of delivery
 14 29 upon likewise displaying therein, obtaining a special
 14 30 certificate issued to the transporter as provided in these
 14 31 sections this section and sections 328.29 through 328.33.
 14 32    3.  The provisions of this section and sections 328.29 to
 14 33 through 328.33 shall not apply to aircraft owned by a
 14 34 manufacturer, transporter, or dealer, which are used for hire
 14 35 or principally for transportation of persons and property,
 15  1 aside from the transporting of the aircraft itself, or testing
 15  2 or demonstrating thereof.
 15  3    Sec. 33.  Section 328.29, Code 2001, is amended to read as
 15  4 follows:
 15  5    328.29  APPLICATION FOR SPECIAL CERTIFICATE – FEE.
 15  6    At the time of annual registration, a A manufacturer,
 15  7 transporter, or dealer, may, upon payment of a one hundred
 15  8 dollar fee and an additional ten dollar fee for each aircraft,
 15  9 make application to the department upon such forms as the
 15 10 department may prescribe for a special certificate issued for
 15 11 each aircraft in inventory.  The applicant shall also submit
 15 12 such reasonable proof of the applicant's status as a bona fide
 15 13 manufacturer, transporter, or dealer as the department may
 15 14 require.  Dealers in new aircraft shall furnish satisfactory
 15 15 evidence of a valid franchise with the manufacturer or
 15 16 distributor of such aircraft authorizing such dealership.
 15 17    Sec. 34.  Section 328.30, Code 2001, is amended to read as
 15 18 follows:
 15 19    328.30  ISSUANCE OF SPECIAL CERTIFICATE.
 15 20    The department upon granting an application shall issue to
 15 21 the applicant a special certificate for each aircraft
 15 22 containing the applicant's name, and address, the
 15 23 distinguishing number assigned to the aircraft, and other
 15 24 information as the department may prescribe.
 15 25    Sec. 35.  Section 328.32, Code 2001, is amended to read as
 15 26 follows:
 15 27    328.32  EXPIRATION OF SPECIAL CERTIFICATE.
 15 28    A special certificate expires at midnight on the last day
 15 29 of the registration year June 30, and a new special
 15 30 certificate for the ensuing year may be obtained by the person
 15 31 to whom the expired special certificate was issued, upon
 15 32 application to the department, and payment of the fee provided
 15 33 by law in section 328.29.
 15 34    Sec. 36.  Section 328.33, Code 2001, is amended to read as
 15 35 follows:
 16  1    328.33  RECORDS REQUIRED.
 16  2    Every A manufacturer, transporter, or dealer shall keep a
 16  3 written record of the aircraft upon which such special
 16  4 certificates are used in the manufacturer's, transporter's, or
 16  5 dealer's inventory, which records shall be open to inspection
 16  6 of any police peace officer, or any officer or employee of the
 16  7 department.
 16  8    Sec. 37.  Section 328.35, subsection 1, Code 2001, is
 16  9 amended by adding the following new paragraph:
 16 10    NEW PARAGRAPH.  f.  An aircraft in the inventory of a
 16 11 manufacturer, transporter, or dealer who has a special
 16 12 certificate issued by the department and the special
 16 13 certificate is in effect.
 16 14    Sec. 38.  Section 328.37, Code 2001, is amended to read as
 16 15 follows:
 16 16    328.37  OPERATIONS UNLAWFUL WITHOUT CERTIFICATE.
 16 17    Except as provided in section 328.35, it is unlawful for a
 16 18 person to operate, or cause or authorize to be operated, a
 16 19 civil aircraft, airport, or landing area in this state, unless
 16 20 there has been issued for the aircraft or to the airport or
 16 21 landing area an appropriate certificate of registration or
 16 22 special certificate by the department and the certificate is
 16 23 in effect.
 16 24    Sec. 39.  Section 328.31, Code 2001, is repealed.  
 16 25                           EXPLANATION
 16 26    This bill makes changes in current law relating to modal
 16 27 transportation, including abolishing the Iowa railway finance
 16 28 authority and transferring certain powers and duties of the
 16 29 authority to the state department of transportation, making
 16 30 changes relating to sanctions for noncompliance with public
 16 31 transit coordination requirements, and making changes relating
 16 32 to aircraft registration.
 16 33    Division I of the bill repeals Code chapter 327I relating
 16 34 to the Iowa railway finance authority, makes corresponding
 16 35 reference changes, and transfers certain powers and duties of
 17  1 the authority to the state department of transportation.  The
 17  2 authority currently has various powers and responsibilities
 17  3 associated with rail preservation and acquisition.  The bill
 17  4 transfers all of the Code provisions relating to the
 17  5 substantive powers and duties of the authority to the
 17  6 department, except provisions relating to the authority's
 17  7 existence as an entity and relating to the bonding capability
 17  8 of the authority.
 17  9    The bill also provides that moneys provided to the
 17 10 department for railroad assistance under Code chapter 327H
 17 11 shall be used for the purposes of the department's exercise of
 17 12 powers formerly exercised by the Iowa railway finance
 17 13 authority.  Currently, such moneys are dedicated to providing
 17 14 assistance for the restoration, conservation, improvement, and
 17 15 construction of railroad main lines, branchlines, switching
 17 16 yards, and sidings.  The bill eliminates a provision
 17 17 restricting the portion of such moneys that may be used for
 17 18 restoration, conservation, improvement, and construction of
 17 19 railroad main lines, switching yards, and sidings to 20
 17 20 percent of the funds appropriated to the department for
 17 21 railroad assistance from the general fund of the state.  The
 17 22 bill also eliminates a provision allowing a railroad
 17 23 assistance agreement between the department and a railroad
 17 24 corporation, the United States government, a city, a county,
 17 25 or another person to require the railroad corporation to
 17 26 establish a separate account.  Currently, such an agreement
 17 27 may require all or a part of the costs paid from funds
 17 28 provided by the department to be credited to the account from
 17 29 revenue derived from use of the main line, branchline,
 17 30 switching yard, or siding defined in the agreement, which
 17 31 account may be used for the restoration, conservation,
 17 32 improvement, and construction of the corporation's main line,
 17 33 branchlines, switching yards, and sidings within the state.
 17 34    The bill repeals Code sections 327G.64 through 327G.69,
 17 35 regulating the construction, operation, and maintenance of
 18  1 spur tracks by railroad corporations.  Some of the regulatory
 18  2 responsibilities assigned to the state department of
 18  3 transportation in those sections have been preempted by
 18  4 federal law.
 18  5    Division II of the bill makes several changes relating to
 18  6 public transportation programs.  The bill eliminates
 18  7 provisions relating to two pilot projects established by the
 18  8 state department of transportation to enable the department to
 18  9 evaluate the feasibility of a cooperative effort among public
 18 10 and private transportation providers, including public school
 18 11 transportation providers.  The pilot projects have been
 18 12 completed.
 18 13    The bill requires public, private, and private nonprofit
 18 14 organizations applying for or receiving federal, state, or
 18 15 local aid for providing transit services to annually report to
 18 16 the department the costs of their transportation programs.
 18 17 Currently, such organizations are required to provide a copy
 18 18 of their fiscal year operating budgets annually prior to June
 18 19 1.
 18 20    The bill eliminates a provision prohibiting the department
 18 21 of human services from purchasing services from any
 18 22 transportation provider that has been denied a certificate of
 18 23 compliance with the provisions of Code chapter 324A regulating
 18 24 transportation programs.  The bill also eliminates a provision
 18 25 requiring all agencies or organizations purchasing or
 18 26 providing transportation services, except public school
 18 27 transportation, with federal, state, or local funds to comply
 18 28 with certain requirements prior to July 1, 1985.
 18 29    Division III of the bill amends Code provisions relating to
 18 30 unairworthy aircraft and aircraft registration.  The bill
 18 31 amends a provision, which exempts unairworthy aircraft from
 18 32 aircraft registration fees if the owner of the aircraft
 18 33 submits information required by the state department of
 18 34 transportation, to eliminate a requirement that the
 18 35 unairworthy aircraft be damaged to receive such exemption.
 19  1    The bill also amends Code provisions relating to issuance
 19  2 of special certificates for aircraft registration.  The bill
 19  3 eliminates the requirement that a special certificate of
 19  4 registration be issued for each aircraft in a manufacturer's,
 19  5 transporter's, or dealer's inventory upon payment of a $100
 19  6 fee and an additional $10 fee for each aircraft.  The bill
 19  7 instead provides for the issuance of one special certificate
 19  8 for all aircraft in the manufacturer's, transporter's, or
 19  9 dealer's inventory upon payment of a $100 fee.  The aircraft
 19 10 may only be operated under the special certificate for
 19 11 purposes of transporting, testing, demonstrating, or selling
 19 12 the aircraft.  The bill makes corresponding changes in Code
 19 13 provisions relating to maintenance of records for aircraft
 19 14 operated under a special certificate and exempting aircraft
 19 15 for which a special certificate has been issued from the
 19 16 regular aircraft registration requirements.
 19 17    The bill provides that a special certificate expires at
 19 18 midnight on June 30 rather than midnight on the last day of
 19 19 the registration year.  The bill also repeals a Code provision
 19 20 relating to issuance of additional special certificates for
 19 21 aircraft added to a manufacturer's, transporter's, or dealer's
 19 22 inventory and removal of aircraft from a manufacturer's,
 19 23 transporter's, or dealer's inventory.  
 19 24 LSB 5330DP 79
 19 25 nh/hk/91
     

Text: HSB00523                          Text: HSB00525
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