ARC 2161C
CORRECTIONS DEPARTMENT[201]
Notice of Intended Action
Twenty-five interested persons, a governmental subdivision, an agency or association of 25 or more persons may demand an oral presentation hereon as provided in Iowa Code section 17A.4(1)“b.”
Notice is also given to the public that the Administrative Rules Review Committee may, on its own motion or on written request by any individual or group, review this proposed action under section 17A.8(6) at a regular or special meeting where the public or interested persons may be heard.
Pursuant to the authority of Iowa Code section 904.804, the Department of Corrections gives Notice of Intended Action to amend Chapter 37, “Iowa State Industries,” Iowa Administrative Code.
With these amendments, Iowa State Industries proposes to update rules on routine matters such as addresses, hours of operation, and location of product catalogs. The proposed amendments also clarify that products may be sold to contractors when the products will be sold to a public entity, adopt by reference the provisions of Department of Administrative Services rules dealing with procurement of goods and services, and add a definition governing private sector employment of offenders.
Any interested person may make written suggestions or comments on the proposed amendments on or before October 20, 2015. Such written materials should be sent to the Director of Prison Industries, 510 East 12th Street, Des Moines, Iowa 50319.
There will be a public hearing on October 20, 2015, from 11 a.m.	to 1 p.m.	in the Department of Corrections Conference Room, 510 East 12th Street, Des Moines, Iowa, at which time persons may present their views either orally or in writing. At the hearing, persons will be asked to give their names and addresses for the record and to confine their remarks to the subject of the amendments.
Any person who intends to attend the public hearing and has special requirements should contact the Department of Corrections and advise of specific needs.
These rules do not provide for waivers in specified situations. An agencywide waiver provision is provided in 201—Chapter 7.
After analysis and review of this rule making, no impact on jobs has been found.
These amendments are intended to implement Iowa Code section 904.804.
The following amendments are proposed.
	Item 1. Adopt the following new subrule 37.2(5):
	37.2(5) Iowa state industries may sell products to a general contractor when the products purchased will be sold to a public entity as provided in subrules 37.2(1) to 37.2(3). The public entity shall submit a written request to Iowa state industries specifying the products and quantities to be purchased. Such sales shall be limited to contractors involved in construction, renovation, and remodeling projects. Sales to a general contractor shall be approved by the Iowa state industries board of advisors.
	Item 2. Rescind rules 201—37.3(904) and 201—37.4(904) and adopt the following new rules in lieu thereof:
201—37.3(904) Catalogs. Catalogs are available online at the Iowa state industries Internet home page http://www.iaprisonind.com, or at the Iowa state industries showroom located at 1445 East Grand Avenue, Des Moines, Iowa 50316. Requests for mailed copies may be sent to the Iowa state industries showroom address.
201—37.4(904) Offices. The showroom and main office for Iowa state industries are located at 1445 East Grand Avenue, Des Moines, Iowa 50316; telephone (515)242-5778. Office hours are 8 a.m.	to 4:30 p.m., Monday through Friday, excluding holidays.
	Item 3. Amend rule 201—37.7(904) as follows:
201—37.7(904) Procurement of goods and services. The provisions of 11—Chapter 105 117 are hereby adopted by reference with the following amendments.
	1.	Strike “Department of Administrative Services” and insert in lieu thereof “Iowa State Industries” in all rules except rule 11—105.10(8A) 11—117.11(8A), which pertains to procurement of information technology devices and services.
	2.	In lieu of the definitions of “Department” and “Director,” insert the following:
“Department” means the division of Iowa state industries.
“Director” means the director of the division of Iowa state industries or the director’s designee.
	3.	Rules 11—105.6(8A), 11—105.13(8A), and 11—105.15(8A) are not adopted. Rules 11—117.7(8A) and 11—117.15(8A) and subrule 117.4(3) are not adopted.
	4.	In lieu of the text of 11—subrule 105.14(1) 117.14(1), insert the following: “Purchase of goods. An agency may acquire goods not otherwise available through a master agreement in accordance with the procurement threshold guidelines in 11—105.3(8A) subrule 117.5(3) ”.”
	5.	In lieu of the text of rule 11—105.20(8A) 117.20(8A), insert the following: “Appeal process. Vendors may appeal actions by Iowa state industries under these rules as follows:
“Step 1. Appeals shall be filed in writing to the Business Manager, Iowa State Industries, 406 North High Street, Anamosa, Iowa 52205, within five 5 working days of notification of the action being appealed. The appeal shall state the specific grounds upon which the vendor is challenging the action. The business manager, Iowa state industries, shall notify the vendor in writing of the decision within 10 working days.
“Step 2. If the appeal is not resolved, it may be further appealed by the vendor to the Director of Iowa State Industries, Jessie Parker State Office Bldg., 510 East 12th Street, Des Moines, Iowa 50319, within ten 10 working days of the notification of the Step 1 appeal response. The director of Iowa state industries shall notify the vendor in writing of the decision within 15 working days.
“Step 3. An unresolved appeal to the Director of Iowa State Industries shall be referred to the Director of the Department of Corrections, Jessie Parker State Office Bldg., 510 East 12th Street, Des Moines, Iowa 50319, within ten 10 working days of the notification of the Step 2 appeal response. The director of the department of corrections shall notify the vendor in writing of the decision within 15 working days.”
This rule is intended to implement Iowa Code section 904.813.
	Item 4. Amend subrule 37.8(1) as follows:
	37.8(1) Rules of procedure. The seven-member prison industries advisory board is represented by five appointees of the governor, one appointee of the parole board, and one appointee of the director, department of corrections. The principal duties of the advisory board are to promulgate and adopt rules and to advise the director, Iowa state industries, regarding the management of Iowa state industries.
	a. 	A quorum shall consist of five members.
	b. 	When a quorum is present, a position is carried by a majority of the members of the board.
	c. 	The board shall meet at least once per calendar quarter. The meetings will be held at the seat of government unless notification is given otherwise. Other meetings shall be held at the call of the chairperson or of any three members when necessary for the board to discharge its duties.
	(1)	The communications media shall be notified at least two weeks in advance of board meetings.
	(1)	Notice of the meetings shall be given pursuant to Iowa Code chapter 21.
	(2)	When it is necessary to hold an emergency meeting, the communications media shall be notified as far in advance of the meeting as time allows. The nature of the emergency shall be stated in the minutes.
	d. 	Copies of the minutes are kept on file in the office of the director, Iowa state industries. Minutes are available from the director’s office to interested persons upon request. Organizations may request to be placed on a mailing list. Copies of administrative rules and other materials considered are made a part of the minutes by reference.
	e. 	In cases not covered by these rules, Robert’s Rules of Order shall govern.
	Item 5. Amend rule 201—37.9(904) as follows:
201—37.9(904) Private sector employment projects.
	37.9(1) Definitions.
“Advisory board” means the prison industries advisory board.
“Deputy director of prison industries” means the department of corrections deputy director responsible for the day-to-day operations of prison industries including private sector individuals.
“Director” means the chief executive officer of the department of corrections.
“Wage range” means the wage paid that is commensurate to wages paid to persons in similar jobs outside the correctional institution.
“Workforce development board” means the state workforce development board.
“Workforce development director” means the chief executive officer of the department of workforce development.
	37.9(2) to 37.9(9) No change.
This rule is intended to implement Iowa Code section 904.809.