Text: SF00339 Text: SF00341 Text: SF00300 - SF00399 Text: SF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 123.183, Code 2001, is amended to read 1 2 as follows: 1 3 123.183 WINE GALLONAGE TAX AND RELATED FUNDS. 1 4 1. In addition to the annual permit fee to be paid by each 1 5 class "A" wine permittee,therea wine gallonage tax shall be 1 6 levied and collected from each class "A" wine permittee on all 1 7 wine manufactured for sale and sold in this state at wholesale 1 8 and on all wine imported into this state for sale at wholesale 1 9 and sold in this state at wholesale, a. The rate of the wine 1 10 gallonage taxofis one dollar and seventy-five cents for 1 11everyeach wine gallonand a like. The same rate shall apply 1 12 for the fractional parts of a wine gallon.AThe wine 1 13 gallonage tax shall not be levied or collected on wine sold by 1 14 one class "A" wine permittee to another class "A" wine 1 15 permittee. 1 16 2. a. Revenuederivedcollected from the wine gallonage 1 17 taxcollectedon wine manufactured for sale and sold in this 1 18 state shall be deposited in the wine gallonage tax fundhereby1 19 as created in this section. 1 20 b. A wine gallonage tax fund is created in the office of 1 21 the treasurer of state. Moneys deposited inthe gallonage tax1 22 the fund are appropriated to the department of economic 1 23 development as provided in section 15E.117. Moneys in the 1 24 fundshall not revert to the general fund of the state without1 25a specific appropriation by the general assemblyare not 1 26 subject to section 8.33. 1 27 3.All otherOf the amount of revenue collected from the 1 28 wine gallonage tax on wine imported into this state for sale 1 29 at wholesale and sold in this state at wholesale, the first 1 30 ten cents shall be deposited in the grape and wine development 1 31 fund as created in section 159B.5. The remaining revenue 1 32derivedcollected from the wine gallonage tax on wine imported 1 33 into this state for sale at wholesale and sold in this state 1 34 at wholesale shall be deposited in the liquor control fund 1 35established bycreated in section 123.53and shall be2 1transferred by the director of revenue and finance to the2 2general fund of the state. 2 3 Sec. 2. NEW SECTION. 159B.1 DEFINITIONS. 2 4 1. "Commission" means the grape and wine development 2 5 commission as established pursuant to section 159B.2. 2 6 2. "Department" means the department of agriculture and 2 7 land stewardship. 2 8 3. "Fund" means the grape and wine development fund 2 9 created pursuant to section 159B.5. 2 10 4. "Grower" means a person who owns a vineyard and is 2 11 actively engaged in growing grapes on a commercial basis in 2 12 this state for use by a winery. 2 13 5. "Retail seller" means a person actively engaged in the 2 14 business of selling wine in this state on a retail basis. 2 15 6. "Vineyard" means a tract of land used for growing 2 16 grapes used in making wine. 2 17 7. "Wine" means the same as defined in section 123.3. 2 18 8. "Winemaker" means a person who owns a winery and is 2 19 actively engaged in producing wine in this state on a 2 20 commercial basis. 2 21 9. "Winery" means a commercial operation using grapes for 2 22 the production of wine on a commercial basis. 2 23 Sec. 3. NEW SECTION. 159B.2 GRAPE AND WINE DEVELOPMENT 2 24 COMMISSION. 2 25 1. A grape and wine development commission is established 2 26 within the department. The commission shall be composed of 2 27 the following persons: 2 28 a. The following persons, or their designees, who shall 2 29 serve as nonvoting, ex officio members: 2 30 (1) The secretary of agriculture. 2 31 (2) The dean of the college of agriculture of Iowa state 2 32 university of science and technology. 2 33 (3) The director of the department of economic 2 34 development. 2 35 (4) The director of the department of natural resources. 3 1 b. The following persons appointed by the secretary of 3 2 agriculture, who shall serve as voting members: 3 3 (1) Two growers. 3 4 (2) Two winemakers. 3 5 (3) One retail seller. 3 6 The secretary of agriculture shall appoint the voting 3 7 members based on a list of nominations submitted by 3 8 organizations representing growers, winemakers, and retail 3 9 sellers as certified by the department according to 3 10 requirements of the department. The secretary of 3 11 agriculture's appointees shall be confirmed by the senate, 3 12 pursuant to section 2.32. 3 13 2. The voting members shall serve three-year terms 3 14 beginning and ending as provided in section 69.19. However, 3 15 the secretary of agriculture shall appoint initial members to 3 16 serve for less than three years to ensure members serve 3 17 staggered terms. A member is eligible for reappointment. A 3 18 vacancy on the commission shall be filled for the unexpired 3 19 portion of the regular term in the same manner as regular 3 20 appointments are made. 3 21 3. The commission shall elect a chairperson from among its 3 22 voting members each year on a rotating basis as provided by 3 23 the commission. The commission shall meet on a regular basis 3 24 and at the call of the chairperson or upon the written request 3 25 to the chairperson of two or more voting members. 3 26 4. The voting members are entitled to receive actual and 3 27 necessary expenses as provided in section 7E.6. 3 28 5. Three voting members constitute a quorum and the 3 29 affirmative vote of a majority of the voting members present 3 30 is necessary for any substantive action to be taken by the 3 31 commission. The majority shall not include any member who has 3 32 a conflict of interest and a statement by a member that the 3 33 member has a conflict of interest is conclusive for this 3 34 purpose. A vacancy in the membership does not impair the 3 35 duties of the commission. 4 1 Sec. 4. NEW SECTION. 159B.3 ADMINISTRATION. 4 2 1. The department shall administer this chapter and shall 4 3 do all of the following: 4 4 a. Establish and administer grape and wine development 4 5 programs as provided in section 159B.4 and account for and 4 6 expend moneys from the grape and wine development fund created 4 7 pursuant to section 159B.5. 4 8 b. Report to the commission regarding the status of grape 4 9 and wine development, including information regarding persons 4 10 receiving assistance under grape and wine development programs 4 11 as provided in section 159B.4 and the status of the grape and 4 12 wine development fund as provided in section 159B.5. 4 13 c. Provide facilities for the commission to meet and carry 4 14 out its powers and duties as provided in this section, 4 15 including by staffing commission meetings. 4 16 d. Adopt all rules necessary to administer this chapter. 4 17 2. The grape and wine development commission shall oversee 4 18 the administration of this chapter by the department and shall 4 19 do all of the following: 4 20 a. Monitor conditions, practices, policies, and programs 4 21 affecting the grape and wine development in this state. 4 22 b. Establish mutually beneficial relationships with local, 4 23 state, and federal governmental agencies and local, regional, 4 24 and national associations representing growers and winemakers. 4 25 c. Contract with a viticulturist or oenologist to provide 4 26 technical assistance under grape and wine development programs 4 27 as provided in section 159B.4. 4 28 d. Approve or disapprove applications for financial 4 29 assistance under grape and wine development programs as 4 30 provided in section 159B.4, after departmental review and 4 31 recommendation and in accordance with rules adopted pursuant 4 32 to this chapter. The department shall adopt rules for 4 33 awarding moneys to persons submitting proposals, including 4 34 procedures for submitting applications and criteria for 4 35 selecting proposals. 5 1 e. Approve rules proposed by the department for adoption 5 2 pursuant to chapter 17A required for the administration of 5 3 this chapter. 5 4 Sec. 5. NEW SECTION. 159B.4 GRAPE AND WINE DEVELOPMENT 5 5 PROGRAMS. 5 6 The department in cooperation with the commission shall 5 7 establish grape and wine development programs, by assisting 5 8 persons in establishing, improving, or expanding vineyards or 5 9 winemaking operations, including wineries. The programs may 5 10 provide for all of the following: 5 11 1. Technical assistance which may include all the 5 12 following: 5 13 a. Viticultural assistance in order to increase the size 5 14 of vineyards, improve yield, and enhance the character, 5 15 composition, and condition of grapes. The department may 5 16 provide technical assistance regarding the selection and 5 17 management of vines suitable for regions of this state; 5 18 cultivation and harvest practices; the implementation of 5 19 practices designed to improve grape growing based on soil 5 20 types, nutrients and minerals, space, climate, and drainage; 5 21 the use of recommended varieties of native or hybrid 5 22 cultivars; and disease, weed, and pest control, including the 5 23 safe and effective application of pesticides or herbicides or 5 24 the use of organic practices. 5 25 b. Oenological assistance which may be based on 5 26 oenological study in order to produce, preserve, and transport 5 27 commercially viable wines, including high-quality wines, wines 5 28 adapted to particular regions of the state, and wines with 5 29 distinctive tastes produced from native or hybrid cultivars. 5 30 The technical assistance may include assistance regarding 5 31 improving practices or constructing facilities designed to 5 32 expand or improve processing, cellarage, or bottling. 5 33 2. Financial assistance which shall be in the form of a 5 34 loan, forgivable loan, loan guarantee, cost share, 5 35 indemnification of costs, or any combination of such financing 6 1 as deemed appropriate by the commission. The financial 6 2 assistance may be awarded to persons beginning or engaged in 6 3 grape growing or winemaking, based on a sound business plan 6 4 that demonstrates the viability of the proposed operations. 6 5 Sec. 6. NEW SECTION. 159B.5 GRAPE AND WINE DEVELOPMENT 6 6 FUND. 6 7 1. A grape and wine development fund is created in the 6 8 state treasury under the control of the department. The fund 6 9 is composed of moneys appropriated by the general assembly and 6 10 moneys available to and obtained or accepted by the department 6 11 from the United States or private sources for placement in the 6 12 fund. The fund shall include moneys deposited in the fund 6 13 derived from the wine gallonage tax as provided in section 6 14 123.183. 6 15 2. Moneys in the fund are appropriated to the department 6 16 exclusively to carry out grape and wine development programs 6 17 as provided in section 159B.4, including contracting with a 6 18 viticulturist or oenologist to provide technical assistance 6 19 and to provide financial assistance to growers and winemakers 6 20 as provided in that section. 6 21 3. Section 8.33 shall not apply to moneys in the fund. 6 22 Notwithstanding section 12C.7, moneys earned as income or 6 23 interest from the fund shall remain in the fund until expended 6 24 as provided in this section. 6 25 EXPLANATION 6 26 This bill creates a new Code chapter 159B, which provides 6 27 for grapes and wine development. 6 28 The bill establishes a grape and wine development 6 29 commission established within the department of agriculture 6 30 and land stewardship. The commission is composed of three 6 31 nonvoting, ex officio members, including the secretary of 6 32 agriculture, the director of the department of economic 6 33 development, and the dean of the college of agriculture of 6 34 Iowa state university, or their designees. The commission 6 35 includes five voting members appointed by the secretary of 7 1 agriculture based on a list of nominations submitted by 7 2 organizations representing growers, winemakers, and retail 7 3 sellers, with senate confirmation. 7 4 The bill provides for the operation of the commission and 7 5 the powers and duties of the commission and the department. 7 6 The department is responsible for administering the provisions 7 7 of the chapter, including establishing grape and wine 7 8 development programs, reporting to the commission regarding 7 9 the status of grape and wine production, providing facilities 7 10 for the commission to meet and carry out its functions, and 7 11 adopting rules as required. The commission is responsible for 7 12 monitoring the grape and wine industries and establishing 7 13 relationships with governmental agencies and interested 7 14 associations. The commission may also contract with a 7 15 viticulturist or oenologist to provide technical assistance 7 16 under grape and wine development programs as provided in the 7 17 bill, and approve or disapprove applications for financial 7 18 assistance under those programs. 7 19 The bill requires that the department, in cooperation with 7 20 the commission, establish grape and wine development programs, 7 21 by assisting persons in establishing, improving, or expanding 7 22 vineyards or winemaking operations, including wineries. The 7 23 programs may provide for technical assistance, including 7 24 viticultural assistance in order to increase the size of 7 25 vineyards, improve yield, and enhance the character, 7 26 composition, and condition of grapes. It also provides for 7 27 oenological assistance in order to produce, preserve, and 7 28 transport commercially viable wines. The bill also provides 7 29 for financial assistance programs in order to assist persons 7 30 beginning or engaged in grape growing or winemaking. 7 31 The bill establishes a grape and wine development fund in 7 32 the state treasury under the control of the department. The 7 33 fund includes moneys deposited in the fund derived from the 7 34 wine gallonage tax as provided in Code section 123.183. 7 35 LSB 1248SV 79 8 1 da/pj/5
Text: SF00339 Text: SF00341 Text: SF00300 - SF00399 Text: SF Index Bills and Amendments: General Index Bill History: General Index
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