House Amendment 1703


PAG LIN




     1  1    Amend House File 882, as amended, passed, and
     1  2 reprinted by the House, as follows:
     1  3 #1.  Page 4, by inserting after line 22, the
     1  4 following:
     1  5    <Sec.    .  Section 8.8, Code 2005, is amended to
     1  6 read as follows:
     1  7    8.8  SPECIAL OLYMPICS FUND == APPROPRIATION.
     1  8    A special olympics fund is created in the office of
     1  9 the treasurer of state under the control of the
     1 10 department of management.  There is appropriated
     1 11 annually from the general fund of the state to the
     1 12 special olympics fund thirty fifty thousand dollars
     1 13 for distribution to one or more organizations which
     1 14 administer special olympics programs benefiting the
     1 15 citizens of Iowa with disabilities.>
     1 16 #2.  Page 5, by inserting after line 11 the
     1 17 following:
     1 18    <Sec.    .  DEPARTMENT OF CULTURAL AFFAIRS ==
     1 19 NONPROFIT MUSIC ENTITIES.  There is appropriated from
     1 20 the general fund of the state to the department of
     1 21 cultural affairs for the fiscal year beginning July 1,
     1 22 2005, and ending June 30, 2006, fifty thousand dollars
     1 23 for purposes of providing two twenty=five thousand
     1 24 dollar grants to nonprofit music entities.  A
     1 25 recipient of a grant shall be a nonprofit entity that
     1 26 is formed with members including local musicians,
     1 27 music promoters, representatives of music venues and
     1 28 businesses, community leaders, and live music
     1 29 enthusiasts who discuss, assess, and expedite the
     1 30 implementation of a unified music agenda for a local
     1 31 community and aggressively advocates, sponsors, and
     1 32 develops an independent, progressive live music
     1 33 economy in a local community.>
     1 34 #3.  Page 5, line 20, by striking the figure
     1 35 <100,000> and inserting the following:  <160,000>.
     1 36 #4.  Page 5, by striking lines 21 through 29.
     1 37 #5.  Page 5, lines 31 and 32, by striking the words
     1 38 <state department of transportation> and inserting the
     1 39 following:  <homeland security and emergency
     1 40 management division of the department of public
     1 41 safety>.
     1 42 #6.  Page 6, by striking lines 2 through 19.
     1 43 #7.  Page 6, by inserting before line 20, the
     1 44 following:
     1 45    <Sec.    .  TRANSITIONAL HOUSING REVOLVING LOAN
     1 46 PROGRAM FUND == TRANSFER.  Of the amount appropriated
     1 47 from the general fund of the state to the department
     1 48 of human services for the fiscal year beginning July
     1 49 1, 2005, and ending June 30, 2006, for purposes of
     1 50 child and family services in 2005 Iowa Acts, House
     2  1 File 825, if enacted, $1,400,000 is transferred to the
     2  2 transitional housing revolving loan program fund
     2  3 created in section 16.184, if enacted by 2005 Iowa
     2  4 Acts, House File 825, to be used for purposes of that
     2  5 fund.  The transfer shall be completed on or before
     2  6 August 1, 2005.
     2  7    Sec.    .  HEALTHY IOWANS TOBACCO TRUST == AIDS
     2  8 DRUG ASSISTANCE PROGRAM.  There is appropriated from
     2  9 the healthy Iowans tobacco trust created in section
     2 10 12.65 to the Iowa department of public health for the
     2 11 fiscal year beginning July 1, 2005, and ending June
     2 12 30, 2006, the following amount, or so much thereof as
     2 13 is necessary, to be used for the purpose designated:
     2 14    For additional funding to leverage federal funding
     2 15 through the federal Ryan White Care Act, Title II,
     2 16 AIDS drug assistance program supplemental drug
     2 17 treatment grants:
     2 18 .................................................. $    275,000
     2 19    Sec.    .  GREAT PLACES.  There is appropriated
     2 20 from the general fund of the state to the department
     2 21 of cultural affairs for the fiscal year beginning July
     2 22 1, 2004, and ending June 30, 2005, the following
     2 23 amount, or so much thereof as is necessary, to be used
     2 24 for the purposes designated:
     2 25    GREAT PLACES.  For salaries, support, maintenance,
     2 26 and miscellaneous purposes:
     2 27 .................................................. $    100,000
     2 28    Notwithstanding section 8.33, any moneys
     2 29 appropriated in this section that remain unencumbered
     2 30 or unobligated at the close of the fiscal year shall
     2 31 not revert but shall remain available for expenditure
     2 32 for the purposes designated until the close of the
     2 33 succeeding fiscal year.
     2 34    Sec.    .  IOWA LEARNING TECHNOLOGY.  There is
     2 35 appropriated from the general fund of the state to the
     2 36 department of education for the fiscal year beginning
     2 37 July 1, 2005, and ending June 30, 2006, the following
     2 38 amount, or so much thereof as is necessary, to be used
     2 39 for the purpose designated:
     2 40    For implementation of the provisions of Code
     2 41 chapter 280A, as amended by 2005 Iowa Acts, House File
     2 42 739, if enacted:
     2 43 .................................................. $    500,000
     2 44    Sec.    .  UNDERGROUND STORAGE TANK FUND == GENERAL
     2 45 FUND.  Notwithstanding section 455G.3, subsection 1,
     2 46 there is transferred from the Iowa comprehensive
     2 47 petroleum underground storage tank fund created in
     2 48 section 455G.3, subsection 1, to the general fund of
     2 49 the state during the fiscal year beginning July 1,
     2 50 2005, and ending June 30, 2006, the following amount:
     3  1 .................................................. $    500,000
     3  2    Sec.    .  UNDERGROUND STORAGE TANK FUND ==
     3  3 WATERSHED IMPROVEMENT FUND == FY 2005=2006.
     3  4 Notwithstanding section 455G.3, subsection 1, there is
     3  5 appropriated from the Iowa comprehensive petroleum
     3  6 underground storage tank fund created in section
     3  7 455G.3, subsection 1, to the Iowa finance authority
     3  8 during the fiscal year beginning July 1, 2005, and
     3  9 ending June 30, 2006, the following amount, or so much
     3 10 thereof as is necessary, to be used for the purpose
     3 11 designated:
     3 12    For deposit in the watershed improvement fund
     3 13 created in 2005 Iowa Acts, Senate File 200, if
     3 14 enacted:
     3 15 .................................................. $  4,500,000
     3 16    The moneys deposited in the watershed improvement
     3 17 fund pursuant to this section are appropriated to the
     3 18 Iowa finance authority for the fiscal year beginning
     3 19 July 1, 2005, and ending June 30, 2006, to be used as
     3 20 provided in section 16.185, if enacted by 2005 Iowa
     3 21 Acts, Senate File 200. The appropriations made in this
     3 22 section are contingent upon the enactment of 2005 Iowa
     3 23 Acts, Senate File 200, and the creation of the
     3 24 watershed improvement fund in accordance with section
     3 25 16.185, if enacted by 2005 Iowa Acts, Senate File 200.
     3 26    Sec.    .   UNDERGROUND STORAGE TANK FUND ==
     3 27 WATERSHED IMPROVEMENT FUND == FY 2006=2007.
     3 28 Notwithstanding section 455G.3, subsection 1, there is
     3 29 appropriated from the Iowa comprehensive petroleum
     3 30 underground storage tank fund created in section
     3 31 455G.3, subsection 1, to the Iowa finance authority
     3 32 during the fiscal year beginning July 1, 2006, and
     3 33 ending June 30, 2007, the following amount, or so much
     3 34 thereof as is necessary, to be used for the purpose
     3 35 designated:
     3 36    For deposit in the watershed improvement fund
     3 37 created in 2005 Iowa Acts, Senate File 200, if
     3 38 enacted:
     3 39 .................................................. $  5,000,000
     3 40    The moneys deposited in the watershed improvement
     3 41 fund pursuant to this section are appropriated to the
     3 42 Iowa finance authority for the fiscal year beginning
     3 43 July 1, 2006, and ending June 30, 2007, to be used as
     3 44 provided in section 16.185, if enacted by 2005 Iowa
     3 45 Acts, Senate File 200.  The appropriations made in
     3 46 this section are contingent upon the enactment of 2005
     3 47 Iowa Acts, Senate File 200, and the creation of the
     3 48 watershed improvement fund in accordance with section
     3 49 16.185, if enacted by 2005 Iowa Acts, Senate File 200.
     3 50    Sec.    .  GROW IOWA VALUES FUND == FY 2004=2005.
     4  1 There is appropriated from the general fund of the
     4  2 state to the department of economic development for
     4  3 the fiscal year beginning July 1, 2004, and ending
     4  4 June 30, 2005, the following amount, or so much
     4  5 thereof as is necessary, to be used for the purpose
     4  6 designated:
     4  7    To be credited to the grow Iowa values fund created
     4  8 in section 15G.108, if enacted by 2005 Iowa Acts,
     4  9 House File 868:
     4 10 .................................................. $ 25,000,000
     4 11    Notwithstanding section 8.33, moneys appropriated
     4 12 in this section that remain unencumbered or
     4 13 unobligated at the close of the fiscal year shall not
     4 14 revert but shall remain available for expenditure for
     4 15 the purpose designated until the close of the
     4 16 succeeding fiscal year.  The appropriation made in
     4 17 this section shall be distributed and credited to the
     4 18 grow Iowa values fund on July 1, 2005.
     4 19    Sec.    .  GROW IOWA VALUES FUND == FY 2005=2006.
     4 20 There is appropriated from the general fund of the
     4 21 state for the fiscal year beginning July 1, 2005, and
     4 22 ending June 30, 2006, to the department of economic
     4 23 development in lieu of the appropriation made from the
     4 24 general fund of the state in section 15G.110, if
     4 25 enacted by 2005 Iowa Acts, House File 809, for the
     4 26 fiscal year beginning July 1, 2005, and ending June
     4 27 30, 2006, to be used for the purpose designated:
     4 28    For deposit in the grow Iowa values fund created in
     4 29 section 15G.108, if enacted by 2005 Iowa Acts, House
     4 30 File 868:
     4 31 .................................................. $ 25,000,000>
     4 32 #8.  Page 6, by striking lines 20 through 30.
     4 33 #9.  Page 7, by striking lines 1 through 20.
     4 34 #10.  By striking page 7, line 21, through page 9,
     4 35 line 32.
     4 36 #11.  By striking page 9, line 33, through page 11,
     4 37 line 16.
     4 38 #12.  Page 11, by inserting before line 17, the
     4 39 following:
     4 40    <Sec.    .  NATIONAL GOVERNORS ASSOCIATION MEETING.
     4 41 2004 Iowa Acts, chapter 1175, section 12, subsection
     4 42 4, AS AMENDED BY 2005 Iowa Acts, House File 810, if
     4 43 enacted, is amended to read as follows:
     4 44    4.  NATIONAL GOVERNORS ASSOCIATION
     4 45    For payment of Iowa's membership in the national
     4 46 governors association:
     4 47 .................................................. $    364,393
     4 48                                                         264,393
     4 49    Of the funds appropriated in this subsection,
     4 50 $300,000 $200,000 is allocated for security=related
     5  1 costs and other expenses associated with the national
     5  2 governors association national meeting.
     5  3 Notwithstanding section 8.33, the moneys allocated for
     5  4 the meeting that remain unencumbered or unobligated at
     5  5 the close of the fiscal year shall not revert but
     5  6 shall remain available for expenditure for the
     5  7 purposes designated until the close of the succeeding
     5  8 fiscal year.
     5  9    Sec.    .  2005 Iowa Acts, House File 881, section
     5 10 5, unnumbered paragraphs 1 and 2, if enacted, are
     5 11 amended to read as follows:
     5 12    There is appropriated from the general fund of the
     5 13 state to the salary adjustment fund for distribution
     5 14 by the department of management to the various state
     5 15 departments, boards, commissions, councils, and
     5 16 agencies, excluding the state board of regents, for
     5 17 the fiscal year beginning July 1, 2005, and ending
     5 18 June 30, 2006, the amount of $38,500,000 43,300,000,
     5 19 or so much thereof as may be necessary, to fully fund
     5 20 annual pay adjustments, expense reimbursements, and
     5 21 related benefits implemented pursuant to the
     5 22 following:
     5 23    Of the amount appropriated in this section,
     5 24 $4,880,000 5,488,000 shall be allocated to the
     5 25 judicial branch for the purpose of funding annual pay
     5 26 adjustments, expense reimbursements, and related
     5 27 benefits implemented for judicial branch employees.>
     5 28 #13.  By striking page 12, line 18, through page
     5 29 13, line 4.
     5 30 #14.  Page 13, by inserting after line 21, the
     5 31 following:
     5 32    <Sec.    .  MEDICAL ASSISTANCE APPROPRIATION.  If
     5 33 2005 Iowa Acts, House File 825, is enacted and
     5 34 provides for an appropriation from the general fund of
     5 35 the state to the department of human services for the
     5 36 fiscal year beginning July 1, 2005, and ending June
     5 37 30, 2006, for the medical assistance program, there is
     5 38 appropriated from the general fund of the state, in
     5 39 lieu of such appropriation in 2005 Iowa Acts, House
     5 40 File 825, the following amount, or so much thereof as
     5 41 is necessary:
     5 42    For purposes of the medical assistance program in
     5 43 accordance with the provisions of 2005 Iowa Acts,
     5 44 House File 825, as enacted:
     5 45 .................................................. $509,416,519
     5 46    Sec.    .  SENIOR LIVING TRUST FUND APPROPRIATION.
     5 47 If 2005 Iowa Acts, House File 825, is enacted and
     5 48 provides for an appropriation from the senior living
     5 49 trust fund to the department of human services for the
     5 50 fiscal year beginning July 1, 2005, and ending June
     6  1 30, 2006, to supplement the medical assistance
     6  2 appropriation, there is appropriated from the senior
     6  3 living trust fund, in lieu of such appropriation in
     6  4 2005 Iowa Acts, House File 825, the following amount,
     6  5 or so much thereof as is necessary:
     6  6    For purposes of supplementation of the medical
     6  7 assistance appropriation in accordance with the
     6  8 provisions of 2005 Iowa Acts, House File 825, as
     6  9 enacted:
     6 10 .................................................. $ 75,253,926
     6 11    Sec.    .  JUVENILE HOME AT TOLEDO.  If 2005 Iowa
     6 12 Acts, House File 875, is enacted and provides for an
     6 13 appropriation from the rebuild Iowa infrastructure
     6 14 fund to the department of administrative services for
     6 15 the fiscal year beginning July 1, 2005, and ending
     6 16 June 30, 2006, for powerhouse facilities at the
     6 17 juvenile home at Toledo, there is appropriated from
     6 18 the rebuild Iowa infrastructure fund in lieu of such
     6 19 appropriation in 2005 Iowa Acts, House File 875, the
     6 20 following amount, or so much thereof as is necessary:
     6 21    For the costs associated with the replacement of
     6 22 the powerhouse facilities at the juvenile home at
     6 23 Toledo:
     6 24 .................................................. $   861,045
     6 25    Sec.    .  ENRICH IOWA LIBRARIES PROGRAM.  If 2005
     6 26 Iowa Acts, House File 875, is enacted and provides for
     6 27 an appropriation from the rebuild Iowa infrastructure
     6 28 fund to the department of education for the fiscal
     6 29 year beginning July 1, 2005, and ending June 30, 2006,
     6 30 for resources for local libraries and the enrich Iowa
     6 31 program, there is appropriated from the rebuild Iowa
     6 32 infrastructure fund in lieu of such appropriation in
     6 33 2005 Iowa Acts, House File 875, the following amount,
     6 34 or so much thereof as is necessary:
     6 35    To provide resources for structural and
     6 36 technological improvements to local libraries and for
     6 37 the enrich Iowa program, notwithstanding section 8.57,
     6 38 subsection 6, paragraph "c":
     6 39 .................................................. $   900,000
     6 40    Sec.    .  NATIONAL PROGRAM FOR PLAYGROUND SAFETY.
     6 41 If 2005 Iowa Acts, House File 875, is enacted and
     6 42 provides for an appropriation from the rebuild Iowa
     6 43 infrastructure fund to the university of northern Iowa
     6 44 for the fiscal year beginning July 1, 2005, and ending
     6 45 June 30, 2006, for the national program for playground
     6 46 safety, there is appropriated from the rebuild Iowa
     6 47 infrastructure fund in lieu of such appropriation in
     6 48 2005 Iowa Acts, House File 875, the following amount,
     6 49 or so much thereof as is necessary:
     6 50    For the Iowa safe surfacing initiative,
     7  1 notwithstanding section 8.57, subsection 6, paragraph
     7  2 "c":
     7  3 .................................................. $   500,000
     7  4    Sec.    .  JUVENILE HOME AT TOLEDO.  If 2005 Iowa
     7  5 Acts, House File 875, is enacted and provides for an
     7  6 appropriation from the rebuild Iowa infrastructure
     7  7 fund to the department of administrative services for
     7  8 the fiscal year beginning July 1, 2006, and ending
     7  9 June 30, 2007, for powerhouse facilities at the
     7 10 juvenile home at Toledo, there is appropriated from
     7 11 the rebuild Iowa infrastructure fund in lieu of such
     7 12 appropriation in 2005 Iowa Acts, House File 875, the
     7 13 following amount, or so much thereof as is necessary:
     7 14    For the costs associated with the replacement of
     7 15 the powerhouse facilities at the juvenile home at
     7 16 Toledo:
     7 17 .................................................. $ 1,821,045>
     7 18 #15.  Page 13, line 23, by striking the figure <1>.
     7 19 #16.  Page 13, by striking lines 27 through 33.
     7 20 #17.  Page 13, by inserting before line 34, the
     7 21 following:
     7 22    <__.  The section of this division of this Act
     7 23 providing an appropriation from the general fund of
     7 24 the state to the department of economic development
     7 25 for the fiscal year beginning July 1, 2004, for
     7 26 deposit in the grow Iowa values fund, is contingent
     7 27 upon enactment of the provisions of 2005 Iowa Acts,
     7 28 House File 809, enacting section 15G.110, and 2005
     7 29 Iowa Acts, House File 868, enacting section 15G.108,
     7 30 and being deemed of immediate importance, takes effect
     7 31 upon enactment.
     7 32       .  The sections of this division of this Act
     7 33 appropriating moneys to the department of cultural
     7 34 affairs for great places and amending 2004 Iowa Acts,
     7 35 chapter 1175, section 12, subsection 4, being deemed
     7 36 of immediate importance, take effect upon enactment.>
     7 37 #18.  Page 13, by inserting after line 35 the
     7 38 following:
     7 39    <Sec.    .  Section 8D.2, subsection 5, paragraph
     7 40 b, Code 2005, is amended to read as follows:
     7 41    b.  For the purposes of this chapter, "public
     7 42 agency" also includes any homeland security or defense
     7 43 facility or disaster response agency established by
     7 44 the administrator of the homeland security and
     7 45 emergency management division of the department of
     7 46 public defense or the governor or any facility
     7 47 connected with a security or defense system or
     7 48 disaster response as required by the administrator of
     7 49 the homeland security and emergency management
     7 50 division of the department of public defense or the
     8  1 governor.
     8  2    Sec.    .  Section 8D.9, subsection 3, Code 2005,
     8  3 is amended to read as follows:
     8  4    3.  A facility that is considered a public agency
     8  5 pursuant to section 8D.2, subsection 5, paragraph "b",
     8  6 shall be authorized to access the Iowa communications
     8  7 network strictly for homeland security communication
     8  8 purposes and disaster communication purposes.  Any
     8  9 utilization of the network that is not related to
     8 10 communications concerning homeland security or a
     8 11 disaster, as defined in section 29C.2, is expressly
     8 12 prohibited.  Access under this subsection shall be
     8 13 available only if a state of disaster emergency is
     8 14 proclaimed by the governor pursuant to section 29C.6
     8 15 or a homeland security or disaster event occurs
     8 16 requiring connection of disparate communications
     8 17 systems between public agencies to provide for a
     8 18 multi=agency or multi=jurisdictional response.  Access
     8 19 shall continue only for the period of time the
     8 20 homeland security or disaster event exists.  For
     8 21 purposes of this subsection, disaster communication
     8 22 purposes includes training and exercising for a
     8 23 disaster if public notice of the training and
     8 24 exercising session is posted on the website of the
     8 25 homeland security and emergency management division of
     8 26 the department of public defense.  A scheduled and
     8 27 noticed training and exercising session shall not
     8 28 exceed five days.  Interpretation and application of
     8 29 the provisions of this subsection shall be strictly
     8 30 construed.>
     8 31 #19.  By striking page 14, line 1, through page 15,
     8 32 line 17.
     8 33 #20.  Page 18, by inserting after line 11, the
     8 34 following:
     8 35    <Sec.    .  NEW SECTION.  16.191  NEW GROWTH
     8 36 PROGRAM.
     8 37    1.  The authority shall establish and administer a
     8 38 new growth program for purposes of providing financial
     8 39 assistance to encourage entrepreneurial activity in
     8 40 rural and urban areas in the state.
     8 41    2.  The authority shall identify twenty communities
     8 42 in the state to serve as new growth program
     8 43 communities.  A community may consist of a city or
     8 44 county, or a portion of a city or county.  Not more
     8 45 than five of the new growth program communities shall
     8 46 be located in cities with a population of fifty
     8 47 thousand or greater.
     8 48    3.  The authority shall identify a facilitator.
     8 49 The facilitator shall be a statewide, faith=based
     8 50 organization for purposes of facilitating the
     9  1 activities in each new growth program community.  The
     9  2 activities shall be structured around fifteen meetings
     9  3 designed to bring local entrepreneurs and business
     9  4 development entities together to exchange information
     9  5 on product and service research, business planning,
     9  6 finance and credit, licensing and regulations, use of
     9  7 technology, business practices, product development
     9  8 and testing, and marketing.
     9  9    4.  The authority may provide financial assistance
     9 10 to the facilitator for each new growth program
     9 11 community.  The authority shall not provide more than
     9 12 ten thousand dollars in financial assistance to the
     9 13 facilitator for each new growth program community.  In
     9 14 order to receive the maximum amount of financial
     9 15 assistance, the facilitator must secure ten thousand
     9 16 dollars in local financial assistance and ten thousand
     9 17 dollars worth of in=kind contributions.>
     9 18 #21.  Page 18, by inserting after line 30, the
     9 19 following:
     9 20    <Sec.    .  Section 331.439, Code 2005, is amended
     9 21 by adding the following new subsection:
     9 22    NEW SUBSECTION.  9.  The county management plan
     9 23 shall designate at least one hospital licensed under
     9 24 chapter 135B that the county has contracted with to
     9 25 provide services covered under the plan.  If the
     9 26 designated hospital does not have a bed available to
     9 27 provide the services, the county is responsible for
     9 28 the cost of covered services provided at an alternate
     9 29 hospital licensed under chapter 135B.
     9 30    Sec.    .  Section 364.17, subsection 3, paragraph
     9 31 a, Code 2005, is amended to read as follows:
     9 32    a.  A schedule of civil penalties or criminal fines
     9 33 for violations.  A city may charge the owner of
     9 34 housing a late payment fee of twenty=five dollars and
     9 35 may add interest of up to one and one=half percent per
     9 36 month if a penalty or fine imposed under this
     9 37 paragraph is not paid within thirty days of the date
     9 38 that the penalty or fine is due.  The city shall send
     9 39 a notice of the late payment fee to such owner by
     9 40 first class mail to the owner's personal or business
     9 41 mailing address.  The late payment fee and the
     9 42 interest shall not accrue if such owner files an
     9 43 appeal with either the city, if the city has
     9 44 established an appeals procedure, or the district
     9 45 court.  Any unpaid penalty, fine, fee, or interest
     9 46 shall constitute a lien on the real property and may
     9 47 be collected in the same manner as a property tax.
     9 48 However, before a lien is filed, the city shall send a
     9 49 notice of intent to file a lien to the owner of the
     9 50 housing by first class mail to such owner's personal
    10  1 or business mailing address.
    10  2    Sec.    .  Section 364.17, subsection 5, Code 2005,
    10  3 is amended to read as follows:
    10  4    5.  Cities may establish reasonable fees for
    10  5 inspection and enforcement procedures.  A city may
    10  6 charge the owner of housing a late payment penalty of
    10  7 twenty=five dollars and may add interest of up to one
    10  8 and one=half percent per month if a fee imposed under
    10  9 this subsection is not paid within thirty days of the
    10 10 date that the fee is due.  The city shall send a
    10 11 notice of the late payment penalty to such owner by
    10 12 first class mail to the owner's personal or business
    10 13 mailing address.  The late payment penalty and the
    10 14 interest shall not accrue if such owner files an
    10 15 appeal with either the city, if the city has
    10 16 established an appeals procedure, or the district
    10 17 court.  Any unpaid fee, penalty, or interest shall
    10 18 constitute a lien on the real property and may be
    10 19 collected in the same manner as a property tax.
    10 20 However, before a lien is filed, the city shall send a
    10 21 notice of intent to file a lien to the owner of the
    10 22 housing by first class mail to such owner's personal
    10 23 or business mailing address.
    10 24    Sec.    .  Section 384.16, subsection 1, unnumbered
    10 25 paragraph 2, Code 2005, is amended to read as follows:
    10 26    A budget must show comparisons between the
    10 27 estimated expenditures in each program in the
    10 28 following year and the actual expenditures in each
    10 29 program during the two preceding years, the latest
    10 30 estimated expenditures in each program in the current
    10 31 year, and the actual expenditures in each program from
    10 32 the annual report as provided in section 384.22, or as
    10 33 corrected by a subsequent audit report.  Wherever
    10 34 practicable, as provided in rules of the committee, a
    10 35 budget must show comparisons between the levels of
    10 36 service provided by each program as estimated for the
    10 37 following year, and actual levels of service provided
    10 38 by each program during the two preceding years.
    10 39    Sec.    .  Section 384.16, Code 2005, is amended by
    10 40 adding the following new subsection:
    10 41    NEW SUBSECTION.  7.  A city that does not submit a
    10 42 budget in compliance with this section shall have all
    10 43 state funds withheld until a budget that is in
    10 44 compliance with this section is filed with the county
    10 45 auditor and subsequently received by the department of
    10 46 management.  The department of management shall send
    10 47 notice to state agencies responsible for disbursement
    10 48 of state funds and that notice is sufficient
    10 49 authorization for those funds to be withheld until
    10 50 later notice is given by the department of management
    11  1 to release those funds.>
    11  2 #22.  Page 20, by inserting after line 34, the
    11  3 following:
    11  4    <Sec.    .  Section 427.1, subsection 21, Code
    11  5 2005, is amended to read as follows:
    11  6    21.  LOW=RENT HOUSING.  The property owned and
    11  7 operated or controlled by a nonprofit organization, as
    11  8 recognized by the internal revenue service, providing
    11  9 low=rent housing for persons who are elderly and
    11 10 persons with physical and mental disabilities.  The
    11 11 exemption granted under the provisions of this
    11 12 subsection shall apply only until the terms final
    11 13 payment due date of the borrower's original low=rent
    11 14 housing development mortgage or until the borrower's
    11 15 original low=rent housing development mortgage is paid
    11 16 in full or expires, whichever is sooner, subject to
    11 17 the provisions of subsection 14.  However, if the
    11 18 borrower's original low=rent housing development
    11 19 mortgage is refinanced, the exemption shall apply only
    11 20 until the date that would have been the final payment
    11 21 due date under the terms of the borrower's original
    11 22 low=rent housing development mortgage or until the
    11 23 refinanced mortgage is paid in full or expires,
    11 24 whichever is sooner, subject to the provisions of
    11 25 subsection 14.>
    11 26 #23.  Page 21, by inserting after line 8, the
    11 27 following:
    11 28    Sec.    .  Section 427.1, subsection 30, Code 2005,
    11 29 is amended to read as follows:
    11 30    30.  MANUFACTURED HOME COMMUNITY OR MOBILE HOME
    11 31 PARK STORM SHELTER.  A structure constructed as a
    11 32 storm shelter at a manufactured home community or
    11 33 mobile home park as defined in section 435.1.  An
    11 34 application for this exemption shall be filed with the
    11 35 assessing authority not later than February 1 of the
    11 36 first year for which the exemption is requested, on
    11 37 forms provided by the department of revenue.  The
    11 38 application shall describe and locate the storm
    11 39 shelter to be exempted.  If the storm shelter
    11 40 structure is used exclusively as a storm shelter, all
    11 41 of the structure's assessed value shall be exempt from
    11 42 taxation.  If the storm shelter structure is not used
    11 43 exclusively as a storm shelter, the storm shelter
    11 44 structure shall be assessed for taxation at seventy=
    11 45 five fifty percent of its value as commercial
    11 46 property.>
    11 47 #24.  Page 21, by inserting after line 31 the
    11 48 following:
    11 49    <Sec.    .  Section 459.301, Code 2005, is amended
    11 50 by adding the following new subsection:
    12  1    NEW SUBSECTION.  3A.  For purposes of complying
    12  2 with requirements relating to submitting a manure
    12  3 management plan as required in section 459.312, a
    12  4 confinement feeding operation housing poultry which
    12  5 was regulated as a small animal feeding operation
    12  6 prior to April 29, 2002, shall be deemed to be a small
    12  7 animal feeding operation as provided in section
    12  8 459.312, if the animal weight capacity of the
    12  9 confinement feeding operation has not increased since
    12 10 April 29, 2002.
    12 11    Sec.    .  Section 463C.11, subsection 1, if
    12 12 enacted by 2005 Iowa Acts, House File 875, is amended
    12 13 to read as follows:
    12 14    1.  The honey creek premier destination park bond
    12 15 fund is established as a separate and distinct fund in
    12 16 the state treasury consisting of honey creek premier
    12 17 destination park revenues, any moneys appropriated by
    12 18 the general assembly to the fund, and any other moneys
    12 19 available to and obtained or accepted by the authority
    12 20 for placement in the fund.  The moneys in the fund
    12 21 shall be used to develop the honey creek premier
    12 22 destination park in the state by funding the
    12 23 development and construction of facilities in the park
    12 24 including but not limited to lodges, campgrounds,
    12 25 cabins, and golf courses.  The treasurer of state is
    12 26 authorized to establish separate and distinct accounts
    12 27 within the honey creek premier destination park bond
    12 28 fund in connection with the issuance of the
    12 29 authority's bonds in accordance with the trust
    12 30 indenture or resolution authorizing the bonds and the
    12 31 authority is authorized to determine which revenues
    12 32 and accounts shall be pledged as security for the
    12 33 bonds.  Amounts deposited in the honey creek premier
    12 34 destination park bond fund shall be deposited in the
    12 35 separate and distinct accounts as set forth in the
    12 36 trust indenture or resolution authorizing the bonds.
    12 37 The authority is authorized to pledge and use the
    12 38 gross revenues from the honey creek premier
    12 39 destination park to and for payment of the bonds.
    12 40 Revenues may also be used for the payment of
    12 41 insurance, other credit enhancements, and other
    12 42 financing arrangements.  Operating expenses of the
    12 43 honey creek premier destination park may be paid from
    12 44 the revenues to the extent the revenues exceed the
    12 45 amount determined by the authority to be necessary for
    12 46 debt service on the bonds.
    12 47    Sec.    .  Section 463C.13, subsection 4, if
    12 48 enacted by 2005 Iowa Acts, House File 875, is amended
    12 49 to read as follows:
    12 50    4.  To assure the continued operation and solvency
    13  1 of the authority for the carrying out of its corporate
    13  2 purposes, provision is made in subsection 1 for the
    13  3 accumulation in each bond reserve fund of an amount
    13  4 equal to the bond reserve fund requirement for the
    13  5 fund.  In order further to assure maintenance of the
    13  6 bond reserve funds, the chairperson of the authority
    13  7 shall, on or before July January 1 of each calendar
    13  8 year, make and deliver to the governor the
    13  9 chairperson's certificate stating the sum, if any,
    13 10 required to restore each bond reserve fund to the bond
    13 11 reserve fund requirement for that fund.  Within thirty
    13 12 days after the beginning of the session of the general
    13 13 assembly next following the delivery of the
    13 14 certificate, the governor may shall submit to both
    13 15 houses printed copies of a budget including the sum,
    13 16 if any, required to restore each bond reserve fund to
    13 17 the bond reserve fund requirement for that fund.  Any
    13 18 sums appropriated by the general assembly and paid to
    13 19 the authority pursuant to this section shall be
    13 20 deposited by the authority in the applicable bond
    13 21 reserve fund.
    13 22    Sec.    .  Section 476C.1, subsection 6, paragraph
    13 23 b, if enacted by 2005 Iowa Acts, Senate File 390,
    13 24 section 7, is amended by adding the following new
    13 25 subparagraph:
    13 26    (8)  A community college as defined in section
    13 27 260C.2.
    13 28    Sec.    .  Section 476C.1, subsection 6, paragraph
    13 29 d, if enacted by 2005 Iowa Acts, Senate File 390,
    13 30 section 7, is amended to read as follows:
    13 31    d.  Was initially placed into service on or after
    13 32 July January 1, 2005, and before January 1, 2011.
    13 33    Sec.    .  Section 537.2401, subsection 1, Code
    13 34 2005, is amended to read as follows:
    13 35    1.  Except as provided with respect to a finance
    13 36 charge for loans pursuant to open end credit under
    13 37 section 537.2402 and loans secured by a certificate of
    13 38 title of a motor vehicle under section 537.2403, a
    13 39 lender may contract for and receive a finance charge
    13 40 not exceeding the maximum charge permitted by the laws
    13 41 of this state or of the United States for similar
    13 42 lenders, and, in addition, with respect to a consumer
    13 43 loan, a supervised financial organization or a
    13 44 mortgage lender may contract for and receive a finance
    13 45 charge, calculated according to the actuarial method,
    13 46 not exceeding twenty=one percent per year on the
    13 47 unpaid balance of the amount financed.  This Except as
    13 48 provided in section 537.2403, this subsection does not
    13 49 prohibit a lender from contracting for and receiving a
    13 50 finance charge exceeding twenty=one percent per year
    14  1 on the unpaid balance of the amount financed on
    14  2 consumer loans if authorized by other provisions of
    14  3 the law.
    14  4    Sec.    .  Section 537.2402, subsection 1, Code
    14  5 2005, is amended to read as follows:
    14  6    1.  If authorized to make supervised loans, a
    14  7 creditor may contract for and receive a finance charge
    14  8 without limitation as to amount or rate with respect
    14  9 to a loan pursuant to open=end credit as permitted in
    14 10 this section except as provided in section 537.2403.
    14 11    Sec.    .  NEW SECTION.  537.2403  FINANCE CHARGE
    14 12 FOR CONSUMER LOANS SECURED BY A MOTOR VEHICLE.
    14 13    1.  A lender shall not contract for or receive a
    14 14 finance charge exceeding twenty=one percent per year
    14 15 on the unpaid balance of the amount financed for a
    14 16 loan of money secured by a certificate of title to a
    14 17 motor vehicle used for personal, family, or household
    14 18 purpose except as authorized under chapter 536 or
    14 19 536A.  A consumer who is charged a finance charge in
    14 20 excess of the limitation in this section may seek any
    14 21 remedies available pursuant to this chapter for an
    14 22 excess charge.
    14 23    2.  It shall be a violation of this section and an
    14 24 unlawful practice under section 714.16 to attempt to
    14 25 avoid application of this section by structuring a
    14 26 loan of money secured by certificate of title to a
    14 27 motor vehicle as a sale, sale and repurchase, sale and
    14 28 lease, pawn, rental purchase, lease, or other type of
    14 29 transaction with the intent to avoid application of
    14 30 this section or any other applicable provision of this
    14 31 chapter.>
    14 32 #25.  Page 23, by inserting after line 35, the
    14 33 following:
    14 34    <Sec.    .  Section 602.10110, Code 2005, is
    14 35 amended to read as follows:
    14 36    602.10110  OATH.
    14 37    All persons on being admitted to the bar shall take
    14 38 an oath or affirmation, as promulgated by the supreme
    14 39 court, declaring to support the Constitutions of the
    14 40 United States and of the state of Iowa, and to
    14 41 faithfully discharge, according to the best of their
    14 42 ability, the duties of an attorney and counselor of
    14 43 this state according to the best of their ability.
    14 44    Sec.    .  Section 602.10112, Code 2005, is
    14 45 repealed.
    14 46    Sec.    .  2005 Iowa Acts, House File 825, section
    14 47 29, subsection 1, paragraph l, if enacted, relating to
    14 48 reimbursement under the medical assistance program to
    14 49 physicians who administer injectable drugs, is amended
    14 50 by striking the paragraph.
    15  1    Sec.    .  NEW GROWTH PROGRAM.  There is
    15  2 appropriated from the general fund of the state to the
    15  3 Iowa finance authority, for the fiscal year beginning
    15  4 July 1, 2005, and ending June 30, 2006, two hundred
    15  5 thousand dollars, or so much thereof as is necessary,
    15  6 to be used for the new growth program established in
    15  7 section 16.191, if enacted in this division of this
    15  8 Act.>
    15  9 #26.  Page 24, by inserting before line 1, the
    15 10 following:
    15 11    <Sec.    .  VEHICLE DEALERSHIP STUDY.  The
    15 12 legislative council is requested to appoint an interim
    15 13 study committee that will study the motor vehicle
    15 14 licensing law as it pertains to motor vehicle
    15 15 dealerships' moves from one facility and location to
    15 16 another facility and location in the state.  A report
    15 17 should be provided to the general assembly by January
    15 18 15, 2006.>
    15 19 #27.  Page 24, line 18, by striking the word
    15 20 <section> and inserting the following:  <sections>.
    15 21 #28.  Page 24, line 19, by inserting after the word
    15 22 <Act> the following:  <amending section 427.1,
    15 23 subsection 21, and>.
    15 24 #29.  Page 24, line 20, by striking the words <a
    15 25 property tax exemption> and inserting the following:
    15 26 <property tax exemptions>.
    15 27 #30.  Page 24, by inserting after line 21, the
    15 28 following:
    15 29    <Sec.    .  RETROACTIVE APPLICABILITY DATE.  The
    15 30 section of this division of this Act amending section
    15 31 423E.5, being deemed of immediate importance, takes
    15 32 effect upon enactment and applies retroactively to
    15 33 July 1, 2004.
    15 34    Sec.    .  EFFECTIVE AND APPLICABILITY DATES.  The
    15 35 sections of this division of this Act amending section
    15 36 427.1, subsection 21, and enacting new subsection 21A
    15 37 to section 427.1, being deemed of immediate
    15 38 importance, take effect upon enactment and apply
    15 39 retroactively to January 1, 2005, for assessment years
    15 40 beginning on or after that date.
    15 41    Sec.    .  APPLICABILITY.  Section 25B.7 does not
    15 42 apply to the amendment to section 427.1, subsection
    15 43 30, in this division of this Act.
    15 44    Sec.    .  EFFECTIVE DATE.  The sections of this
    15 45 division of this Act amending section 476C.1, if
    15 46 enacted, being deemed of immediate importance, take
    15 47 effect upon enactment and are applicable beginning on
    15 48 the enactment date of 2005 Iowa Acts, Senate File 390,
    15 49 if enacted.>
    15 50 #31.  Page 24, by inserting after line 27, the
    16  1 following:
    16  2    <Sec.    .  EFFECTIVE DATE.  The sections of this
    16  3 division of this Act amending section 602.10110 and
    16  4 repealing section 602.10112, being deemed of immediate
    16  5 importance, take effect upon enactment.>
    16  6 #32.  Page 24, by inserting after line 29, the
    16  7 following:
    16  8    <Sec.    .  CRIMINAL CODE REVISIONS INTERIM STUDY
    16  9 COMMITTEE.  There is appropriated from the general
    16 10 fund of the state to the legislative council for the
    16 11 fiscal year beginning July 1, 2005, and ending June
    16 12 30, 2006, the following amount, or so much thereof as
    16 13 is necessary, to be used for the purpose designated:
    16 14    For a criminal code revisions interim study
    16 15 committee:
    16 16 .................................................. $     75,000
    16 17    The funds appropriated in this section are
    16 18 contingent upon receipt by the general fund of the
    16 19 state of an amount not exceeding $75,000 from costs or
    16 20 attorney fees awarded the state in settlement of its
    16 21 antitrust action against Microsoft brought under
    16 22 chapter 553.  However, if the amounts received as a
    16 23 result of this settlement are in excess of $75,000,
    16 24 the excess amounts shall not be appropriated to the
    16 25 legislative council pursuant to this section.  If the
    16 26 appropriation made in this section occurs, the amount
    16 27 appropriated from the same source to the department of
    16 28 public safety for the same fiscal year to be used for
    16 29 vehicle depreciation, in accordance with 2005 Iowa
    16 30 Acts, House File 811, is reduced by $75,000.>
    16 31 #33.  By striking page 24, line 30, through page
    16 32 28, line 30, and inserting the following:
    16 33    <Sec.    .  2005 Iowa Acts, House File 881, section
    16 34 1, subsection 2, if enacted, is amended to read as
    16 35 follows:
    16 36    2.  The following annual salary rates shall be paid
    16 37 to the persons holding the judicial positions
    16 38 indicated during the fiscal year beginning July 1,
    16 39 2005, effective with the pay period beginning July 1,
    16 40 2005, and for subsequent pay periods.
    16 41    a.  Chief justice of the supreme court:
    16 42 .................................................. $    132,720
    16 43                                                         146,000
    16 44    b.  Each justice of the supreme court:
    16 45 .................................................. $    128,000
    16 46                                                         138,500
    16 47    c.  Chief judge of the court of appeals:
    16 48 .................................................. $    127,920
    16 49                                                         134,600
    16 50    d.  Each associate judge of the court of appeals:
    17  1 .................................................. $    123,120
    17  2                                                         129,600
    17  3    e.  Each chief judge of a judicial district:
    17  4 .................................................. $    122,000
    17  5                                                         126,000
    17  6    f.  Each district judge except the chief judge of a
    17  7 judicial district:
    17  8 .................................................. $    117,040
    17  9                                                         121,000
    17 10    g.  Each district associate judge:
    17 11 .................................................. $    102,000
    17 12                                                         105,500
    17 13    h.  Each associate juvenile judge:
    17 14 .................................................. $    102,000
    17 15                                                         105,500
    17 16    i.  Each associate probate judge:
    17 17 .................................................. $    102,000
    17 18                                                         105,500
    17 19    j.  Each judicial magistrate:
    17 20 .................................................. $     30,400
    17 21                                                          31,500
    17 22    k.  Each senior judge:
    17 23 .................................................. $      6,800
    17 24                                                           7,020
    17 25    Sec.    .  YOUTH LEADERSHIP PROGRAM.  There is
    17 26 appropriated from the general fund of the state to the
    17 27 department of corrections for the fiscal year
    17 28 beginning July 1, 2005, and ending June 30, 2006, the
    17 29 following amount, or so much thereof as is necessary,
    17 30 to be used for the purpose designated:
    17 31    For the sixth judicial district department of
    17 32 correctional services:
    17 33 .................................................. $    100,000
    17 34    The appropriation made in this section shall be
    17 35 used by the judicial district department of
    17 36 correctional services to establish or maintain a youth
    17 37 leadership model program to help at=risk youth in the
    17 38 judicial district department of correctional services.
    17 39 As a part of the program, the judicial district
    17 40 department of correctional services may recruit
    17 41 college or high school students in the judicial
    17 42 district to work with at=risk youth.  The student
    17 43 workers shall be recruited regardless of gender, be
    17 44 recommended by their respective schools as good role
    17 45 models, including, but not limited to, students who
    17 46 possess capabilities in one or more of the following
    17 47 areas of ability:  intellectual capacity, athletic,
    17 48 visual arts, or performing arts.
    17 49    Sec.    .  FULL=TIME EQUIVALENT POSITIONS FOR THE
    17 50 DIVISION OF CRIMINAL INVESTIGATION AND BUREAU OF
    18  1 IDENTIFICATION.  Notwithstanding the full=time
    18  2 equivalent positions authorization in the
    18  3 appropriation made for the fiscal year beginning July
    18  4 1, 2005, to the department of public safety for the
    18  5 division of criminal investigation and bureau of
    18  6 identification in 2005 Iowa Acts, House File 811, if
    18  7 enacted, the number of full=time equivalent positions
    18  8 is increased from 225.50 positions to 228.50
    18  9 positions.>
    18 10 #34.  By striking page 35, line 25, through page
    18 11 36, line 25 and inserting the following:
    18 12    <Sec.    .  COUNTY REAL ESTATE ELECTRONIC
    18 13 GOVERNMENT ADVISORY COMMITTEE.
    18 14    1.  A county real estate electronic government
    18 15 advisory committee is created.  Staffing services for
    18 16 the advisory committee shall be provided by the
    18 17 auditor of state.  The advisory committee membership
    18 18 shall consist of the following:
    18 19    a.  Two members selected by the Iowa state
    18 20 association of county auditors.
    18 21    b.  Two members selected by the Iowa state county
    18 22 treasurers association.
    18 23    c.  Two members selected by the Iowa county
    18 24 recorders association.
    18 25    d.  Two members selected by the Iowa state
    18 26 association of assessors.
    18 27    e.  One member selected by each of the following
    18 28 organizations:
    18 29    (1)  Iowa state association of counties.
    18 30    (2)  Iowa land title association.
    18 31    (3)  Iowa bankers association.
    18 32    (4)  Iowa credit union league.
    18 33    (5)  Iowa state bar association.
    18 34    (6)  Iowa association of realtors.
    18 35    2.  The county real estate electronic government
    18 36 advisory committee shall facilitate discussion to
    18 37 integrate the county land record information system
    18 38 created pursuant to section 331.605C with the
    18 39 electronic government internet applications of county
    18 40 treasurers, county recorders, county auditors, and
    18 41 county assessors.  The advisory committee shall file
    18 42 an integration plan with the governor and the general
    18 43 assembly on or before November 1, 2005.>
    18 44 #35.  By striking page 36, line 34, through page
    18 45 37, line 2, and inserting the following:  <of the
    18 46 county land record information system.  The Iowa
    18 47 county recorders>.
    18 48 #36.  Page 37, by striking line 21, and inserting
    18 49 the following:  <documents in the county land record
    18 50 information system until authorized by the>.
    19  1 #37.  Page 37, line 22, by inserting after the word
    19  2 <assembly.> the following:  <However, county recorders
    19  3 may collect actual third=party fees associated with
    19  4 accepting and processing statutorily authorized fees
    19  5 including credit card fees, treasury management fees,
    19  6 and other transaction fees required to enable
    19  7 electronic payment.  For the purposes of this
    19  8 subsection, the term "third=party" does not include
    19  9 the county land record information system, the Iowa
    19 10 state association of counties, or any of the
    19 11 association's affiliates.>
    19 12 #38.  Page 37, lines 24 and 25, by striking the
    19 13 words <and the department of administrative services>.
    19 14 #39.  Page 37, by inserting after line 33, the
    19 15 following:
    19 16    <Sec.    .  DATA SECURITY AUDIT.
    19 17    1.  The Iowa county recorders association shall
    19 18 select a vendor to conduct a data security audit of
    19 19 the county land record information system created
    19 20 pursuant to section 331.605C.  The review and
    19 21 assessment utilized in the audit shall include, but
    19 22 are not limited to, a review of the functional and
    19 23 system requirements, design documentation, software
    19 24 code developed to support the business requirements,
    19 25 operational procedures, financial flows including a
    19 26 financial forecast, requests for proposals, and all
    19 27 contracts.
    19 28    2.  The costs of the data security audit conducted
    19 29 pursuant to subsection 1 shall be paid from moneys
    19 30 appropriated to the treasurer of state pursuant to
    19 31 section 331.605C.
    19 32    3.  The Iowa county recorders association shall
    19 33 forward the complete results of the data security
    19 34 audit to the government oversight committees of the
    19 35 senate and the house of representatives and the
    19 36 general assembly on or before December 1, 2005, and
    19 37 the government oversight committees may request
    19 38 additional updates.>
    19 39 #40.  Page 48, by inserting after line 23 the
    19 40 following:
    19 41    <Sec.    .  Section 805.8C, subsection 6, as
    19 42 amended by 2005 Iowa Acts, Senate File 169, section 9,
    19 43 is amended to read as follows:
    19 44    6.  PSEUDOEPHEDRINE SALES VIOLATIONS.  For
    19 45 violations of section 126.23A, subsection 1, by an
    19 46 employee of a retailer, or for violations of section
    19 47 126.23A, subsection 2, paragraph "a", by a purchaser,
    19 48 the scheduled fine is as follows:
    19 49    a.  If the violation is a first offense, the
    19 50 scheduled fine is one hundred dollars.
    20  1    b.  If the violation is a second offense, the
    20  2 scheduled fine is two hundred fifty dollars.
    20  3    c.  If the violation is a third or subsequent
    20  4 offense, the scheduled fine is five hundred dollars.>
    20  5 #41.  Page 48, by inserting after line 23, the
    20  6 following:
    20  7    <Sec.    .  2005 Iowa Acts, House File 839, is
    20  8 amended by adding the following new section:
    20  9    SEC.    .  EFFECTIVE DATE.  This Act, being deemed
    20 10 of immediate importance, takes effect upon enactment
    20 11 of 2005 Iowa Acts, House File 882.>
    20 12 #42.  Page 48, by inserting after line 26 the
    20 13 following:
    20 14                      <DIVISION    
    20 15                 STATE LIQUOR ACTIVITIES
    20 16    Sec.    .  Section 123.53, subsection 3, Code 2005,
    20 17 is amended to read as follows:
    20 18    3.  The treasurer of state shall transfer into a
    20 19 special revenue account in the general fund of the
    20 20 state, a sum of money at least equal to seven percent
    20 21 of the gross amount of sales made by the division from
    20 22 the beer and liquor control fund on a monthly basis
    20 23 but not less than nine million dollars annually, and
    20 24 any amounts so.  Of the amounts transferred, two
    20 25 million dollars, plus an additional amount determined
    20 26 by the general assembly, shall be used by appropriated
    20 27 to the substance abuse division of the Iowa department
    20 28 of public health to be used for substance abuse
    20 29 treatment and prevention programs in an amount
    20 30 determined by the general assembly and any.  Any
    20 31 amounts received in excess of the amounts appropriated
    20 32 to the substance abuse division of the Iowa department
    20 33 of public health shall be considered part of the
    20 34 general fund balance.
    20 35    Sec.    .  ALCOHOLIC BEVERAGES DIVISION == STATE
    20 36 LIQUOR WAREHOUSE AND TRUCKING FUNCTIONS.  The
    20 37 department of administrative services shall issue a
    20 38 request for proposals developed with the alcoholic
    20 39 beverages division of the department of commerce or
    20 40 otherwise utilize a competitive process not
    20 41 inconsistent with the division's current charter
    20 42 agency agreement to select a provider to perform the
    20 43 state liquor warehouse and trucking functions.  The
    20 44 request for proposals or competitive process shall be
    20 45 issued or commenced as soon as is reasonably possible
    20 46 and a provider shall be selected no later than
    20 47 December 31, 2005.  The division may submit a bid in
    20 48 response to a request for proposals issued or
    20 49 competitive process conducted pursuant to this
    20 50 section.  If the division submits a bid, the division
    21  1 shall include in the bid the cost of labor to perform
    21  2 the contract which shall be calculated by using the
    21  3 cost of hiring full=time equivalent positions to
    21  4 perform the contract pursuant to state pay grade
    21  5 classifications and benefits as outlined in the most
    21  6 recent collective bargaining agreement applicable to
    21  7 other employees of the division.  Notwithstanding any
    21  8 provision of chapter 22 to the contrary, the
    21  9 division's bid and any documents the division uses in
    21 10 developing its bid shall be considered a confidential
    21 11 record until the department of administrative services
    21 12 announces the results of the request for proposals or
    21 13 competitive process.
    21 14    Sec.    .  EFFECTIVE DATE.  The section of this Act
    21 15 amending section 123.53 takes effect July 1, 2006.
    21 16                      DIVISION    
    21 17                    BOARD OF REGENTS
    21 18    Sec.    .  Section 12B.10C, Code 2005, is amended
    21 19 by adding the following new subsection:
    21 20    NEW SUBSECTION.  10.  The state board of regents
    21 21 governed by chapter 262.
    21 22    Sec.    .  Section 73A.1, subsection 2, Code 2005,
    21 23 is amended to read as follows:
    21 24    2.  "Municipality" as used in this chapter means
    21 25 township, school corporation, and state fair board,
    21 26 and state board of regents.
    21 27    Sec.    .  Section 262.9, subsection 7, Code 2005,
    21 28 is amended to read as follows:
    21 29    7.  With the approval of the executive council,
    21 30 acquire Acquire real estate for the proper uses of
    21 31 said institutions under its control, and dispose of
    21 32 real estate belonging to said the institutions when
    21 33 not necessary for their purposes.  A The disposal of
    21 34 such real estate shall be made upon such terms,
    21 35 conditions, and consideration as the board may
    21 36 recommend and subject to the approval of the executive
    21 37 council.  If real estate subject to sale hereunder has
    21 38 been purchased or acquired from appropriated funds,
    21 39 the proceeds of such sale shall be deposited with the
    21 40 treasurer of state and credited to the general fund of
    21 41 the state.  There is hereby appropriated from the
    21 42 general fund of the state a sum equal to the proceeds
    21 43 so deposited and credited to the general fund of the
    21 44 state to the state board of regents, which, with the
    21 45 prior approval of the executive council, may be used
    21 46 to purchase other real estate and buildings, and for
    21 47 the construction and alteration of buildings and other
    21 48 capital improvements.  All transfers shall be by state
    21 49 patent in the manner provided by law.  The board is
    21 50 also authorized to grant easements for rights=of=way
    22  1 over, across, and under the surface of public lands
    22  2 under its jurisdiction when in the board's judgment
    22  3 such easements are desirable and will benefit the
    22  4 state of Iowa.
    22  5    Sec.    .  Section 262.9, subsection 15, unnumbered
    22  6 paragraph 2, Code 2005, is amended by striking the
    22  7 unnumbered paragraph.
    22  8    Sec.    .  Section 262.10, unnumbered paragraph 1,
    22  9 Code 2005, is amended to read as follows:
    22 10    No sale or purchase of real estate shall be made
    22 11 save upon the order of the board, made at a regular
    22 12 meeting, or one called for that purpose, and then in
    22 13 such manner and under such terms as the board may
    22 14 prescribe and only with the approval of the executive
    22 15 council.  No member of the board or any of its
    22 16 committees, offices or agencies nor any officer of any
    22 17 institution, shall be directly or indirectly
    22 18 interested in such purchase or sale.
    22 19    Sec.    .  Section 262.33A, Code 2005, is amended
    22 20 to read as follows:
    22 21    262.33A  FIRE AND ENVIRONMENTAL SAFETY == REPORT ==
    22 22 EXPENDITURES.
    22 23    It is the intent of the general assembly that each
    22 24 institution of higher education under the control of
    22 25 the state board of regents shall, in consultation with
    22 26 the state fire marshal, identify and correct all
    22 27 critical fire and environmental safety deficiencies.
    22 28 The state fire marshal shall report annually to the
    22 29 joint subcommittee on education appropriations.  The
    22 30 report shall include, but is not limited to, the
    22 31 identified deficiencies in fire and environmental
    22 32 safety at the institutions, and plans for correction
    22 33 of the deficiencies and for compliance with this
    22 34 section.  Commencing July 1, 1993, each institution
    22 35 under the control of the state board of regents shall
    22 36 expend annually for fire safety and deferred
    22 37 maintenance at least the amount budgeted for these
    22 38 purposes for the fiscal year beginning July 1, 1992,
    22 39 in addition to any moneys appropriated from the
    22 40 general fund for these purposes in succeeding years.
    22 41    Sec.    .  Section 262.34, Code 2005, is amended to
    22 42 read as follows:
    22 43    262.34  IMPROVEMENTS == ADVERTISEMENT FOR BIDS ==
    22 44 DISCLOSURES == PAYMENTS.
    22 45    1.  When the estimated cost of construction,
    22 46 repairs, or improvement of buildings or grounds under
    22 47 charge of the state board of regents exceeds twenty=
    22 48 five one hundred thousand dollars, the board shall
    22 49 advertise for bids for the contemplated improvement or
    22 50 construction and shall let the work to the lowest
    23  1 responsible bidder.  However, if in the judgment of
    23  2 the board bids received are not acceptable, the board
    23  3 may reject all bids and proceed with the construction,
    23  4 repair, or improvement by a method as the board may
    23  5 determine.  All plans and specifications for repairs
    23  6 or construction, together with bids on the plans or
    23  7 specifications, shall be filed by the board and be
    23  8 open for public inspection.  All bids submitted under
    23  9 this section shall be accompanied by a deposit of
    23 10 money, a certified check, or a credit union certified
    23 11 share draft in an amount as the board may prescribe.
    23 12    2.  A bidder awarded a contract shall disclose the
    23 13 names of all subcontractors, who will work on the
    23 14 project being bid, within forty=eight hours after the
    23 15 award of the contract.  If a subcontractor named by a
    23 16 bidder awarded a contract is replaced, or if the cost
    23 17 of work to be done by a subcontractor is reduced, the
    23 18 bidder shall disclose the name of the new
    23 19 subcontractor or the amount of the reduced cost.
    23 20    3.  Payments made by the board for the construction
    23 21 of public improvements shall be made in accordance
    23 22 with the provisions of chapter 573 except that:
    23 23    a.  Payments may be made without retention until
    23 24 ninety=five percent of the contract amount has been
    23 25 paid.  The remaining five percent of the contract
    23 26 amount shall be paid as provided in section 573.14,
    23 27 except that:
    23 28    (1)  At any time after all or any part of the work
    23 29 is substantially completed in accordance with
    23 30 paragraph "c", the contractor may request the release
    23 31 of all or part of the retainage owed.  Such request
    23 32 shall be accompanied by a waiver of claim rights under
    23 33 the provisions of chapter 573 from any person, firm,
    23 34 or corporation who has, under contract with the
    23 35 principal contractor or with subcontractors performed
    23 36 labor, or furnished materials, service, or
    23 37 transportation in the construction of that portion of
    23 38 the work for which release of the retainage is
    23 39 requested.
    23 40    (2)  Upon receipt of the request, the board shall
    23 41 release all or part of the unpaid funds.  Retainage
    23 42 that is approved as payable shall be paid at the time
    23 43 of the next monthly payment or within thirty days,
    23 44 whichever is sooner.  If partial retainage is released
    23 45 pursuant to a contractor's request, no retainage shall
    23 46 be subsequently held based on that portion of the
    23 47 work.  If within thirty days of when payment becomes
    23 48 due the board does not release the retainage due,
    23 49 interest shall accrue on the retainage amount due as
    23 50 provided in section 573.14 until that amount is paid.
    24  1    (3)  If at the time of the request for the
    24  2 retainage there are remaining or incomplete minor
    24  3 items, an amount equal to two hundred percent of the
    24  4 value of each remaining or incomplete item, as
    24  5 determined by the board's authorized contract
    24  6 representative, may be withheld until such item or
    24  7 items are completed.
    24  8    (4)  An itemization of the remaining or incomplete
    24  9 items, or the reason that the request for release of
    24 10 the retainage was denied, shall be provided to the
    24 11 contractor in writing within thirty calendar days of
    24 12 the receipt of the request for release of retainage.
    24 13    b.  For purposes of this section, "authorized
    24 14 contract representative" means the architect or
    24 15 engineer who is in charge of the project and chosen by
    24 16 the board to represent its interests, or if there is
    24 17 no architect or engineer, then such other contract
    24 18 representative or officer as designated in the
    24 19 contract documents as the party representing the
    24 20 board's interest regarding administration and
    24 21 oversight of the project.
    24 22    c.  For purposes of this section, "substantially
    24 23 completed" means the first date on which any of the
    24 24 following occurs:
    24 25    (1)  Completion of the project or when the work has
    24 26 been substantially completed in general accordance
    24 27 with the terms and provisions of the contract.
    24 28    (2)  The work or the portion designated is
    24 29 sufficiently complete in accordance with the
    24 30 requirements of the contract so the board can occupy
    24 31 or utilize the work for its intended purpose.
    24 32    (3)  The project is certified as having been
    24 33 substantially completed by either of the following:
    24 34    (a)  The architect or engineer authorized to make
    24 35 such certification.
    24 36    (b)  The contracting authority representing the
    24 37 board.
    24 38    4.  Each contractor or subcontractor shall withhold
    24 39 retainage, if at all, in the same manner as retainage
    24 40 is withheld from the contractor or subcontractor; and
    24 41 each subcontractor shall pass through all retainage
    24 42 payments to lower tier subcontractors in accordance
    24 43 with the provisions of chapter 573.
    24 44    Sec.    .  Section 262.57, unnumbered paragraph 1,
    24 45 Code 2005, is amended to read as follows:
    24 46    To pay all or any part of the cost of carrying out
    24 47 any project at any institution the board is authorized
    24 48 to borrow money and to issue and sell negotiable bonds
    24 49 or notes and to refund and refinance bonds or notes
    24 50 heretofore issued or as may be hereafter issued for
    25  1 any project or for refunding purposes at a lower rate,
    25  2 the same rate or a higher rate or rates of interest
    25  3 and from time to time as often as the board shall find
    25  4 it to be advisable and necessary so to do.  Such bonds
    25  5 or notes may be sold by said board at public sale in
    25  6 the manner prescribed by chapter 75 but if the board
    25  7 shall find it to be advantageous and in the public
    25  8 interest to do so, such bonds or notes may be sold by
    25  9 the board at private sale without published notice of
    25 10 any kind and without regard to the requirements of
    25 11 chapter 75 in such manner and upon such terms as may
    25 12 be prescribed by the resolution authorizing the same,
    25 13 but such bonds or notes shall in any event be sold
    25 14 upon terms of not less than par plus accrued interest.
    25 15 Bonds or notes issued to refund other bonds or notes
    25 16 heretofore or hereafter issued by the board for
    25 17 residence hall or dormitory purposes at any
    25 18 institution, including dining or other facilities and
    25 19 additions, or heretofore or hereafter issued for
    25 20 refunding purposes, may either be sold in the manner
    25 21 hereinbefore specified and the proceeds thereof
    25 22 applied to the payment of the obligations being
    25 23 refunded, or the refunding bonds or notes may be
    25 24 exchanged for and in payment and discharge of the
    25 25 obligations being refunded, and a finding by the board
    25 26 in the resolution authorizing the issuance of such
    25 27 refunding bonds or notes that the bonds or notes being
    25 28 refunded were issued for a purpose specified in this
    25 29 division and constitute binding obligations of the
    25 30 board shall be conclusive and may be relied upon by
    25 31 any holder of any refunding bond or note issued under
    25 32 the provisions of this division.  The refunding bonds
    25 33 or notes may be sold or exchanged in installments at
    25 34 different times or an entire issue or series may be
    25 35 sold or exchanged at one time.  Any issue or series of
    25 36 refunding bonds or notes may be exchanged in part or
    25 37 sold in parts in installments at different times or at
    25 38 one time.  The refunding bonds or notes may be sold or
    25 39 exchanged at any time on, before, or after the
    25 40 maturity of any of the outstanding notes, bonds or
    25 41 other obligations to be refinanced thereby and may be
    25 42 issued for the purpose of refunding a like or greater
    25 43 principal amount of bonds or notes, except that the
    25 44 principal amount of the refunding bonds or notes may
    25 45 exceed the principal amount of the bonds or notes to
    25 46 be refunded to the extent necessary to pay any premium
    25 47 due on the call of the bonds or notes to be refunded
    25 48 or to fund interest in arrears or about to become due.
    25 49    Sec.    .  Section 262.78, subsection 6, Code 2005,
    25 50 is amended by striking the subsection.
    26  1    Sec.    .  Section 262A.5, unnumbered paragraph 1,
    26  2 Code 2005, is amended to read as follows:
    26  3    The board is authorized to borrow money under this
    26  4 chapter, and the board may issue and sell negotiable
    26  5 bonds to pay all or any part of the cost of carrying
    26  6 out any project at any institution and may refund and
    26  7 refinance bonds issued for any project or for
    26  8 refunding purposes at the same rate or at a higher or
    26  9 lower rate or rates of interest.  Bonds issued under
    26 10 the provisions of this chapter shall be sold by said
    26 11 board at public sale on the basis of sealed proposals
    26 12 received pursuant to a notice specifying the time and
    26 13 place of sale and the amount of bonds to be sold which
    26 14 shall be published at least once not less than seven
    26 15 days prior to the date of sale in a newspaper
    26 16 published in the state of Iowa and having a general
    26 17 circulation in said state.  The provisions of chapter
    26 18 75 shall not apply to bonds issued under authority
    26 19 contained in this chapter, but such bonds shall be
    26 20 sold upon terms of not less than par plus accrued
    26 21 interest to the extent not in conflict with this
    26 22 chapter.  Bonds issued to refund other bonds issued
    26 23 under the provisions of this chapter may either be
    26 24 sold in the manner hereinbefore specified and the
    26 25 proceeds thereof applied to the payment of the
    26 26 obligations being refunded, or the refunding bonds may
    26 27 be exchanged for and in payment and discharge of the
    26 28 obligations being refunded.  The refunding bonds may
    26 29 be sold or exchanged in installments at different
    26 30 times or an entire issue or series may be sold or
    26 31 exchanged at one time.  Any issue or series of
    26 32 refunding bonds may be exchanged in part or sold in
    26 33 parts in installments at different times or at one
    26 34 time.  The refunding bonds may be sold or exchanged at
    26 35 any time on, before, or after the maturity of any of
    26 36 the outstanding bonds or other obligations to be
    26 37 refinanced thereby and may be issued for the purpose
    26 38 of refunding a like or greater principal amount of
    26 39 bonds, except that the principal amount of the
    26 40 refunding bonds may exceed the principal amount of the
    26 41 bonds to be refunded to the extent necessary to pay
    26 42 any premium due on the call of the bonds to be
    26 43 refunded or to fund interest in arrears or which is to
    26 44 become due.
    26 45    Sec.    .  Section 266.39F, subsection 2,
    26 46 unnumbered paragraph 2, Code 2005, is amended to read
    26 47 as follows:
    26 48    The provisions of section 262.9, subsection 7, and
    26 49 section 262.10, shall not apply to the sale of any
    26 50 portion of land to be sold in accordance with this
    27  1 section or to the use of the proceeds from the sale of
    27  2 the land.
    27  3    Sec.    .  Section 573.12, subsection 1, unnumbered
    27  4 paragraph 1, Code 2005, is amended to read as follows:
    27  5    Payments made under contracts for the construction
    27  6 of public improvements, unless provided otherwise by
    27  7 law, shall be made on the basis of monthly estimates
    27  8 of labor performed and material delivered, as
    27  9 determined by the project architect or engineer.  The
    27 10 public corporation shall retain from each monthly
    27 11 payment not more than five percent of that amount
    27 12 which is determined to be due according to the
    27 13 estimate of the architect or engineer.  However,
    27 14 institutions governed pursuant to chapter 262 may, on
    27 15 contracts where a bond is required under section
    27 16 573.2, make payments under this section without
    27 17 retention until ninety=five percent of the contract
    27 18 amount has been paid and the remaining five percent of
    27 19 the contract amount shall be paid as provided under
    27 20 section 573.14.
    27 21    Sec.    .  Section 573.14, unnumbered paragraph 2,
    27 22 Code 2005, is amended to read as follows:
    27 23    The public corporation shall order payment of any
    27 24 amount due the contractor to be made in accordance
    27 25 with the terms of the contract.  Except as provided in
    27 26 section 573.12 for progress payments, failure to make
    27 27 payment pursuant to this section, of any amount due
    27 28 the contractor, within forty days, unless a greater
    27 29 time period not to exceed fifty days is specified in
    27 30 the contract documents, after the work under the
    27 31 contract has been completed and if the work has been
    27 32 accepted and all required materials, certifications,
    27 33 and other documentations required to be submitted by
    27 34 the contractor and specified by the contract have been
    27 35 furnished the awarding public corporation by the
    27 36 contractor, shall cause interest to accrue on the
    27 37 amount unpaid to the benefit of the unpaid party.
    27 38 Interest shall accrue during the period commencing the
    27 39 thirty=first day following the completion of work and
    27 40 satisfaction of the other requirements of this
    27 41 paragraph and ending on the date of payment.  The rate
    27 42 of interest shall be determined by the period of time
    27 43 during which interest accrues, and shall be the same
    27 44 as the rate of interest that is in effect under
    27 45 section 12C.6, as of the day interest begins to
    27 46 accrue, for a deposit of public funds for a comparable
    27 47 period of time.  However, for institutions governed
    27 48 pursuant to chapter 262, the rate of interest shall be
    27 49 determined by the period of time during which interest
    27 50 accrues, and shall be calculated as the prime rate
    28  1 plus one percent per year as of the day interest
    28  2 begins to accrue.  This paragraph does not abridge any
    28  3 of the rights set forth in section 573.16.  Except as
    28  4 provided in sections 573.12 and 573.16, interest shall
    28  5 not accrue on funds retained by the public corporation
    28  6 to satisfy the provisions of this section regarding
    28  7 claims on file.  This chapter does not apply if the
    28  8 public corporation has entered into a contract with
    28  9 the federal government or accepted a federal grant
    28 10 which is governed by federal law or rules that are
    28 11 contrary to the provisions of this chapter.  For
    28 12 purposes of this unnumbered paragraph, "prime rate"
    28 13 means the prime rate charged by banks on short=term
    28 14 business loans, as determined by the board of
    28 15 governors of the federal reserve system and published
    28 16 in the federal reserve bulletin.
    28 17    Sec.    .  Sections 262.64A, 262.67, 262A.3,
    28 18 262A.6A, 263A.11, 265.6, and 473.12, Code 2005, are
    28 19 repealed.
    28 20                      DIVISION    
    28 21             ENTREPRENEURS WITH DISABILITIES
    28 22    Sec.    .  ENTREPRENEURS WITH DISABILITIES PROGRAM
    28 23 == TRANSFER OF ADMINISTRATION.  The department of
    28 24 economic development shall transfer the administrative
    28 25 duties of the entrepreneurs with disabilities program
    28 26 to the Iowa finance authority.  The authority shall
    28 27 adopt rules pursuant to chapter 17A for purposes of
    28 28 administering the program.  Any contract entered into
    28 29 under the program by the department of economic
    28 30 development remains valid.  The transfer of
    28 31 administrative duties to the authority shall not
    28 32 constitute grounds for recision or modification of a
    28 33 contract under the program entered into with the
    28 34 department.
    28 35    Sec.    .  ENTREPRENEURS WITH DISABILITIES PROGRAM
    28 36 == APPROPRIATION.  For the fiscal year beginning July
    28 37 1, 2005, and ending June 30, 2006, there is
    28 38 appropriated from the general fund of the state to the
    28 39 Iowa finance authority two hundred thousand dollars
    28 40 for purposes of the entrepreneurs with disabilities
    28 41 program.
    28 42                      DIVISION    
    28 43               GRAPE AND WINE DEVELOPMENT
    28 44    Sec.    .  Section 175A.1, subsection 2, Code 2005,
    28 45 is amended to read as follows:
    28 46    2.  "Department" means the Iowa department of
    28 47 agriculture and land stewardship economic development
    28 48 as created in section 15.105.
    28 49    Sec.    .  Section 175A.1, Code 2005, is amended by
    28 50 adding the following new subsection:
    29  1    NEW SUBSECTION.  2A.  "Director" means the director
    29  2 of the department as appointed by the governor
    29  3 pursuant to section 15.105.
    29  4    Sec.    .  Section 175A.2, subsection 1, paragraph
    29  5 a, subparagraph (1), Code 2005, is amended to read as
    29  6 follows:
    29  7    (1)  The secretary of agriculture director.
    29  8    Sec.    .  Section 175A.2, subsection 1, paragraph
    29  9 a, subparagraph (3), Code 2005, is amended by striking
    29 10 the paragraph.
    29 11    Sec.    .  Section 175A.2, subsection 1, paragraph
    29 12 b, unnumbered paragraph 1, Code 2005, is amended to
    29 13 read as follows:
    29 14    The following persons appointed by the secretary of
    29 15 agriculture director, who shall serve as voting
    29 16 members:
    29 17    Sec.    . Section 175A.2, subsection 1, unnumbered
    29 18 paragraph 2, Code 2005, is amended to read as follows:
    29 19    The secretary of agriculture director shall appoint
    29 20 the voting members based on a list of nominations
    29 21 submitted by organizations representing growers,
    29 22 winemakers, and retail sellers as certified by the
    29 23 department according to requirements of the
    29 24 department.  Appointments of voting members are
    29 25 subject to the requirements of sections 69.16 and
    29 26 69.16A.  In addition, the appointments shall be
    29 27 geographically balanced.  Unless the secretary of
    29 28 agriculture director determines that it is not
    29 29 feasible, at least one person appointed as a voting
    29 30 member shall reside in each of the state's
    29 31 congressional districts at the time of appointment.
    29 32 The secretary of agriculture's director's appointees
    29 33 shall be confirmed by the senate, pursuant to section
    29 34 2.32.
    29 35    Sec.    .  Section 175A.2, subsection 2, Code 2005,
    29 36 is amended to read as follows:
    29 37    2.  The voting members shall serve three=year terms
    29 38 beginning and ending as provided in section 69.19.
    29 39 However, the secretary of agriculture shall appoint
    29 40 initial members to serve for less than three years to
    29 41 ensure members serve staggered terms.  A member is
    29 42 eligible for reappointment.  A vacancy on the
    29 43 commission shall be filled for the unexpired portion
    29 44 of the regular term in the same manner as regular
    29 45 appointments are made.
    29 46    Sec.    .  TRANSITIONAL PROVISIONS.
    29 47    1.  Any agreement made by the department of
    29 48 agriculture and land stewardship which is executed
    29 49 pursuant to chapter 175A and which is in effect on the
    29 50 effective date of the amendments to sections 175A.1
    30  1 and 175A.2 in this division of this Act shall continue
    30  2 in full force and effect until the agreement expires
    30  3 by its terms or is amended, terminated, or
    30  4 supplemented by the affirmative action of the Iowa
    30  5 department of economic development.
    30  6    2.  Any rule, regulation, form, order, or directive
    30  7 adopted or issued by the department of agriculture and
    30  8 land stewardship pursuant to chapter 175A which is in
    30  9 effect on the effective date of amendments to sections
    30 10 175A.1 and 175A.2 in this division of this Act shall
    30 11 continue in full force and effect until amended,
    30 12 repealed, or supplemented by the affirmative action of
    30 13 the Iowa department of economic development as
    30 14 provided in chapter 17A.
    30 15    3.  A person who holds a position as a member of
    30 16 the grape and wine development commission who was
    30 17 appointed by the secretary of agriculture pursuant to
    30 18 section 175A.2 prior to the effective date of
    30 19 amendments to sections 175A.1 and 175A.2 in this
    30 20 division of this Act shall continue to hold such
    30 21 position until the end of the member's term of office.
    30 22    Sec.    .  EFFECTIVE DATE.  The amendments to
    30 23 sections 175.1 and 175.2 in this division of this Act
    30 24 which provide for the transfer of administrative
    30 25 duties and powers of chapter 175A from the department
    30 26 of agriculture and land stewardship to the Iowa
    30 27 department of economic development and transitional
    30 28 provisions applying to that transfer as provided in
    30 29 this division of this Act take effect upon enactment.
    30 30 #43.  Page 48, by inserting after line 26 the
    30 31 following:
    30 32                      <DIVISION    
    30 33       RENEWABLE ENERGY GENERATION AND TAX CREDITS
    30 34    Sec.    .  Section 422.11J, Code 2005, is amended
    30 35 to read as follows:
    30 36    422.11J  WIND ENERGY PRODUCTION TAX CREDIT CREDITS
    30 37 FOR WIND ENERGY PRODUCTION AND RENEWABLE ENERGY.
    30 38    The taxes imposed under this division, less the
    30 39 credits allowed under sections 422.12 and 422.12B,
    30 40 shall be reduced by a wind energy production tax
    30 41 credit credits for wind energy production allowed
    30 42 under chapter 476B and for renewable energy allowed
    30 43 under chapter 476C.
    30 44    Sec.    .  Section 422.33, subsection 16, Code
    30 45 2005, is amended to read as follows:
    30 46    16.  The taxes imposed under this division shall be
    30 47 reduced by a wind energy production tax credit credits
    30 48 for wind energy production allowed under chapter 476B
    30 49 and for renewable energy allowed under chapter 476C.
    30 50    Sec.    .  Section 422.60, subsection 8, Code 2005,
    31  1 is amended to read as follows:
    31  2    8.  The taxes imposed under this division shall be
    31  3 reduced by a wind energy production tax credit credits
    31  4 for wind energy production allowed under chapter 476B
    31  5 and for renewable energy allowed under chapter 476C.
    31  6    Sec.    .  Section 423.4, Code 2005, is amended by
    31  7 adding the following new subsection:
    31  8    NEW SUBSECTION.  4.  A person in possession of a
    31  9 renewable energy tax credit certificate issued
    31 10 pursuant to chapter 476C may apply to the director for
    31 11 refund of the amount of sales or use tax imposed and
    31 12 paid upon purchases made by the applicant.
    31 13    a.  The refunds may be obtained only in the
    31 14 following manner and under the following conditions:
    31 15    (1)  On forms furnished by the department and filed
    31 16 by January 31 after the end of the calendar year in
    31 17 which the tax credit certificate is to be applied, the
    31 18 applicant shall report to the department the total
    31 19 amount of sales and use tax paid during the reporting
    31 20 period on purchases made by the applicant.
    31 21    (2)  The applicant shall separately list the
    31 22 amounts of sales and use tax paid during the reporting
    31 23 period.
    31 24    (3)  If required by the department, the applicant
    31 25 shall prove that the person making the sales has
    31 26 included the amount thereof in the computation of the
    31 27 sales price of such person and that such person has
    31 28 paid the tax levied by this subchapter or subchapter
    31 29 III, based upon such computation of the sales price.
    31 30    (4)  The applicant shall provide the tax credit
    31 31 certificates issued pursuant to chapter 476C to the
    31 32 department with the forms required by this paragraph
    31 33 "a".
    31 34    b.  If satisfied that the foregoing conditions and
    31 35 requirements have been complied with, the director
    31 36 shall refund the amount claimed by the applicant for
    31 37 an amount not greater than the amount of tax credits
    31 38 issued in tax credit certificates pursuant to chapter
    31 39 476C.
    31 40    Sec.    .  Section 432.12E, Code 2005, is amended
    31 41 to read as follows:
    31 42    432.12E  WIND ENERGY PRODUCTION TAX CREDIT CREDITS
    31 43 FOR WIND ENERGY PRODUCTION AND RENEWABLE ENERGY.
    31 44    The taxes imposed under this chapter shall be
    31 45 reduced by a wind energy production tax credit credits
    31 46 for wind energy production allowed under chapter 476B
    31 47 and for renewable energy allowed under chapter 476C.
    31 48    Sec.    .  NEW SECTION.  437A.17B  REIMBURSEMENT
    31 49 FOR RENEWABLE ENERGY.
    31 50    A person in possession of a renewable energy tax
    32  1 credit certificate issued pursuant to chapter 476C may
    32  2 apply to the director for a reimbursement of the
    32  3 amount of taxes imposed and paid by the person
    32  4 pursuant to this chapter in an amount not more than
    32  5 the person received in renewable energy tax credit
    32  6 certificates pursuant to chapter 476C.  To obtain the
    32  7 reimbursement, the person shall attach to the return
    32  8 required under section 437A.8 the renewable energy tax
    32  9 credit certificates issued to the person pursuant to
    32 10 chapter 476C, and provide any other information the
    32 11 director may require.  The director shall direct a
    32 12 warrant to be issued to the person for an amount equal
    32 13 to the tax imposed and paid by the person pursuant to
    32 14 this chapter but for not more than the amount of the
    32 15 renewable energy tax credit certificates attached to
    32 16 the return.
    32 17    Sec.    .  NEW SECTION.  476C.1  DEFINITIONS.
    32 18    For purposes of this chapter, unless the context
    32 19 otherwise requires:
    32 20    1.  "Anaerobic digester system" means a system of
    32 21 components that processes plant or animal materials
    32 22 based on the absence of oxygen and produces methane or
    32 23 other biogas used to generate electricity, hydrogen
    32 24 fuel, or heat for a commercial purpose.
    32 25    2.  "Biogas recovery facility" means an anaerobic
    32 26 digester system that is located in this state.
    32 27    3.  "Biomass conversion facility" means a facility
    32 28 in this state that converts plant=derived organic
    32 29 matter including, but not limited to, agricultural
    32 30 food and feed crops, crop wastes and residues, wood
    32 31 wastes and residues, or aquatic plants to generate
    32 32 electricity, hydrogen fuel, or heat for a commercial
    32 33 purpose.
    32 34    4.  "Board" means the utilities board within the
    32 35 utilities division of the department of commerce.
    32 36    5.  "Department" means the department of revenue.
    32 37    6.  "Eligible renewable energy facility" means a
    32 38 wind energy conversion facility, a biogas recovery
    32 39 facility, a biomass conversion facility, a methane gas
    32 40 recovery facility, or a solar energy conversion
    32 41 facility that meets all of the following requirements:
    32 42    a.  Is located in this state.
    32 43    b.  Is at least fifty=one percent owned by one or
    32 44 more of any combination of the following:
    32 45    (1)  A resident of this state.
    32 46    (2)  Any of the following as defined in section
    32 47 9H.1:
    32 48    (a)  An authorized farm corporation.
    32 49    (b)  An authorized limited liability company.
    32 50    (c)  An authorized trust.
    33  1    (d)  A family farm corporation.
    33  2    (e)  A family farm limited liability company.
    33  3    (f)  A family trust.
    33  4    (g)  A revocable trust.
    33  5    (h)  A testamentary trust.
    33  6    (3)  A small business as defined in section 15.102.
    33  7    (4)  An electric cooperative association organized
    33  8 pursuant to chapter 499 that sells electricity to end
    33  9 users located in this state.
    33 10    (5)  An electric cooperative association that has
    33 11 one or more members organized pursuant to chapter 499.
    33 12    (6)  A cooperative corporation organized pursuant
    33 13 to chapter 497 or a limited liability corporation
    33 14 organized pursuant to chapter 490A whose shares and
    33 15 membership are held by an entity that is not
    33 16 prohibited from owning agricultural land under chapter
    33 17 9H.
    33 18    (7)  A school district located in this state.
    33 19    c.  Has at least one owner that meets the
    33 20 requirements of paragraph "b" for each two and one=
    33 21 half megawatts of nameplate generating capacity or the
    33 22 energy production capacity equivalent for hydrogen
    33 23 fuel or heat for a commercial purpose of the otherwise
    33 24 eligible renewable energy facility.
    33 25    d.  Was initially placed into service on or after
    33 26 July 1, 2005, and before January 1, 2011, or on or
    33 27 after February 1, 2005, and before January 1, 2011, if
    33 28 the facility meets the requirements of subsection 6,
    33 29 paragraph "b", subparagraph (7).
    33 30    7.  "Energy production capacity equivalent" means
    33 31 the amount of energy in a standard cubic foot of
    33 32 hydrogen gas or the number of British thermal units
    33 33 that are equal to the energy in a kilowatt=hour of
    33 34 electricity.  For the purposes of this chapter, one
    33 35 kilowatt=hour shall be deemed equivalent to three
    33 36 thousand three hundred thirty=three British thermal
    33 37 units of heat or ten and forty=five one hundredths of
    33 38 standard cubic feet of hydrogen gas.
    33 39    8.  "Heat for a commercial purpose" means the heat
    33 40 in British thermal unit equivalents from methane or
    33 41 other biogas produced in this state sold to a
    33 42 purchaser of renewable energy for use for a commercial
    33 43 purpose.
    33 44    9.  "Hydrogen fuel" means hydrogen produced in this
    33 45 state from a renewable source that is used in a fuel
    33 46 cell or hydrogen=powered internal combustion engine.
    33 47    10.  "Methane gas recovery facility" means a
    33 48 facility in this state which is used in connection
    33 49 with a sanitary landfill or which uses wastes that
    33 50 would otherwise be deposited in a sanitary landfill,
    34  1 that collects methane gas or other gases and converts
    34  2 the gas into energy to generate electricity, hydrogen
    34  3 fuel, or heat for a commercial purpose.
    34  4    11.  "Producer of renewable energy" means a person
    34  5 who owns an eligible renewable energy facility.
    34  6    12.  "Purchaser of renewable energy" means a person
    34  7 who buys electric energy, hydrogen fuel, methane gas
    34  8 or other biogas used to generate electricity, or heat
    34  9 for a commercial purpose from an eligible renewable
    34 10 energy facility.
    34 11    13.  "Solar energy conversion facility" means a
    34 12 solar energy facility in this state that collects and
    34 13 converts incident solar radiation into energy to
    34 14 generate electricity.
    34 15    14.  "Wind energy conversion facility" means a wind
    34 16 energy conversion system in this state that collects
    34 17 and converts wind into energy to generate electricity.
    34 18    Sec.    .  NEW SECTION.  476C.2  TAX CREDIT AMOUNT
    34 19 == LIMITATIONS.
    34 20    1.  A producer or purchaser of renewable energy may
    34 21 receive renewable energy tax credits under this
    34 22 chapter in an amount equal to one and one=half cents
    34 23 per kilowatt=hour of electricity, or four dollars and
    34 24 fifty cents per million British thermal units of heat
    34 25 for a commercial purpose, or four dollars and fifty
    34 26 cents per million British thermal units of methane gas
    34 27 or other biogas used to generate electricity, or one
    34 28 dollar and forty=four cents per one thousand standard
    34 29 cubic feet of hydrogen fuel generated by and purchased
    34 30 from an eligible renewable energy facility.
    34 31    2.  The renewable energy tax credit shall not be
    34 32 allowed for any kilowatt=hour of electricity, British
    34 33 thermal unit of heat for a commercial purpose, British
    34 34 thermal unit of methane gas or other biogas used to
    34 35 generate electricity, or standard cubic foot of
    34 36 hydrogen fuel that is purchased from an eligible
    34 37 renewable energy facility by a related person.  For
    34 38 purposes of this subsection, persons shall be treated
    34 39 as related to each other if either person owns an
    34 40 eighty percent or more equity interest in the other
    34 41 person.
    34 42    Sec.    .  NEW SECTION.  476C.3  DETERMINATION OF
    34 43 ELIGIBILITY.
    34 44    1.  A producer or purchaser of renewable energy may
    34 45 apply to the board for a written determination
    34 46 regarding whether a facility is an eligible renewable
    34 47 energy facility by submitting to the board a written
    34 48 application containing all of the following:
    34 49    a.  Information regarding the ownership of the
    34 50 facility including the percentage of equity interest
    35  1 held by each owner.
    35  2    b.  The nameplate generating capacity of the
    35  3 facility or energy production capacity equivalent.
    35  4    c.  Information regarding the facility's initial
    35  5 placement in service.
    35  6    d.  Information regarding the type of facility and
    35  7 what type of renewable energy the facility will
    35  8 produce.
    35  9    e.  A copy of the power purchase agreement or other
    35 10 agreement to purchase electricity, hydrogen fuel,
    35 11 methane or other biogas, or heat for a commercial
    35 12 purpose which shall designate either the producer or
    35 13 purchaser of renewable energy as eligible to apply for
    35 14 the renewable energy tax credit.
    35 15    f.  Any other information the board may require.
    35 16    2.  The board shall review the application and
    35 17 supporting information and shall make a preliminary
    35 18 determination regarding whether the facility is an
    35 19 eligible renewable energy facility.  The board shall
    35 20 notify the applicant of the approval or denial of the
    35 21 application within thirty days of receipt of the
    35 22 application and information required.  If the board
    35 23 fails to notify the applicant of the approval or
    35 24 denial within thirty days, the application shall be
    35 25 deemed denied.  An applicant who receives a
    35 26 determination denying an application may file an
    35 27 appeal with the board within thirty days from the date
    35 28 of the denial pursuant to the provisions of chapter
    35 29 17A.  In the absence of a timely appeal, the
    35 30 preliminary determination shall be final.  If the
    35 31 application is incomplete, the board may grant an
    35 32 extension of time for the provision of additional
    35 33 information.
    35 34    3.  A facility that is not operational within
    35 35 eighteen months after issuance of an approval for the
    35 36 facility by the board shall cease to be an eligible
    35 37 renewable energy facility.  A facility that is granted
    35 38 and thereafter loses approval may reapply to the board
    35 39 for a new determination.
    35 40    4.  The maximum amount of nameplate generating
    35 41 capacity of all wind energy conversion facilities the
    35 42 board may find eligible under this chapter shall not
    35 43 exceed ninety megawatts of nameplate generating
    35 44 capacity.  The maximum amount of energy production
    35 45 capacity equivalent of all other facilities the board
    35 46 may find eligible under this chapter shall not exceed
    35 47 a combined output of ten megawatts of nameplate
    35 48 generating capacity.
    35 49    5.  An owner meeting the requirements of section
    35 50 476C.1, subsection 6, paragraph "b" shall not be an
    36  1 owner of more than two eligible renewable energy
    36  2 facilities.
    36  3    Sec.    .  NEW SECTION.  476C.4  TAX CREDIT
    36  4 CERTIFICATE PROCEDURE.
    36  5    1.  A producer or purchaser of renewable energy may
    36  6 apply to the board for the renewable energy tax credit
    36  7 by submitting to the board all of the following:
    36  8    a.  A completed application in a form prescribed by
    36  9 the board.
    36 10    b.  A copy of the determination granting approval
    36 11 of the facility as an eligible renewable energy
    36 12 facility by the board.
    36 13    c.  A copy of a signed power purchase agreement or
    36 14 other agreement to purchase electricity, hydrogen
    36 15 fuel, methane or other biogas, or heat for a
    36 16 commercial purpose from an eligible renewable energy
    36 17 facility which shall designate either the producer or
    36 18 purchaser of renewable energy as eligible to apply for
    36 19 the renewable energy tax credit.
    36 20    d.  Sufficient documentation that the electricity,
    36 21 heat for a commercial purpose, methane gas or other
    36 22 biogas, or hydrogen fuel has been generated by the
    36 23 eligible renewable energy facility and sold to the
    36 24 purchaser of renewable energy.
    36 25    e.  Any other information the board deems
    36 26 necessary.
    36 27    2.  The board shall notify the department of the
    36 28 amount of kilowatt=hours, British thermal units of
    36 29 heat for a commercial purpose, British thermal units
    36 30 of methane gas or other biogas used to generate
    36 31 electricity, or standard cubic feet of hydrogen fuel
    36 32 generated and purchased from an eligible renewable
    36 33 energy facility.  The department shall calculate the
    36 34 amount of the tax credit for which the applicant is
    36 35 eligible and shall issue the tax credit certificate
    36 36 for that amount or notify the applicant in writing of
    36 37 its refusal to do so.  An applicant whose application
    36 38 is denied may file an appeal with the department
    36 39 within sixty days from the date of the denial pursuant
    36 40 to the provisions of chapter 17A.
    36 41    3.  Each tax credit certificate shall contain the
    36 42 person's name, address, and tax identification number,
    36 43 the amount of tax credits, the first taxable year the
    36 44 certificate may be used, the type of tax to which the
    36 45 tax credits shall be applied, and any other
    36 46 information required by the department.  The tax
    36 47 credit certificate shall only list one type of tax to
    36 48 which the amount of the tax credit may be applied.
    36 49 Once issued by the department, the tax credit
    36 50 certificate shall not be terminated or rescinded.
    37  1    4.  If the tax credit application is filed by a
    37  2 partnership, limited liability company, S corporation,
    37  3 estate, trust, or other reporting entity all of the
    37  4 income of which is taxed directly to its equity
    37  5 holders or beneficiaries, for the taxes imposed under
    37  6 chapter 422, division II or III, the tax credit
    37  7 certificate shall be issued directly to equity holders
    37  8 or beneficiaries of the applicant in proportion to
    37  9 their pro rata share of the income of such entity.
    37 10 The applicant shall, in the application made under
    37 11 this section, identify its equity holders or
    37 12 beneficiaries, and the percentage of such entity's
    37 13 income that is allocable to each equity holder or
    37 14 beneficiary.  If the tax credit application is filed
    37 15 by a partnership, limited liability company, S
    37 16 corporation, estate, trust, or other reporting entity,
    37 17 all of whose income is taxed directly to its equity
    37 18 holders or beneficiaries for the taxes imposed under
    37 19 chapter 422, division V, or under chapter 423, 432, or
    37 20 437A, the tax credit certificate shall be issued
    37 21 directly to the partnership, limited liability
    37 22 company, S corporation, estate, trust, or other
    37 23 reporting entity.
    37 24    5.  The department shall not issue a tax credit
    37 25 certificate if the facility approved by the board as
    37 26 an eligible renewable energy facility is not
    37 27 operational within eighteen months after the approval
    37 28 is issued.
    37 29    6.  The department shall not issue a tax credit
    37 30 certificate to any person who has received a tax
    37 31 credit pursuant to chapter 476B.
    37 32    7.  Once a tax credit certificate is issued
    37 33 pursuant to this section, the tax credit may only be
    37 34 claimed against the type of tax reflected on the
    37 35 certificate.
    37 36    Sec.    .  NEW SECTION.  476C.5  CERTIFICATE
    37 37 ISSUANCE PERIOD.
    37 38    A producer or purchaser of renewable energy may
    37 39 receive renewable energy tax credit certificates for a
    37 40 ten=year period for each eligible renewable energy
    37 41 facility under this chapter.  The ten=year period for
    37 42 issuance of the tax credit certificates begins with
    37 43 the date the purchaser of renewable energy first
    37 44 purchases electricity, hydrogen fuel, methane gas or
    37 45 other biogas used to generate electricity, or heat for
    37 46 commercial purposes from the eligible renewable energy
    37 47 facility for which a tax credit is issued under this
    37 48 chapter.  Renewable energy tax credit certificates
    37 49 shall not be issued for renewable energy purchased
    37 50 after December 31, 2020.
    38  1    Sec.    .  NEW SECTION.  476C.6  TRANSFERABILITY
    38  2 AND USE OF TAX CREDIT CERTIFICATES == REGISTRATION.
    38  3    1.  Renewable energy tax credit certificates issued
    38  4 under this chapter may be transferred to any person.
    38  5 A tax credit certificate shall only be transferred
    38  6 once.  However, for purposes of this transfer
    38  7 provision, a decision between a producer and purchaser
    38  8 of renewable energy regarding who claims the tax
    38  9 credit issued pursuant to this chapter shall not be
    38 10 considered a transfer and must be set forth in the
    38 11 application for the tax credit pursuant to section
    38 12 476C.4.  Within thirty days of transfer, the
    38 13 transferee must submit the transferred tax credit
    38 14 certificate to the department along with a statement
    38 15 containing the transferee's name, tax identification
    38 16 number, and address, and the denomination that each
    38 17 new certificate is to carry and any other information
    38 18 required by the department.  Within thirty days of
    38 19 receiving the transferred tax credit certificate and
    38 20 the transferee's statement, the department shall issue
    38 21 one or more replacement tax credit certificates to the
    38 22 transferee.  Each replacement tax credit certificate
    38 23 must contain the information required under section
    38 24 476C.4, subsection 3, and must have the same effective
    38 25 taxable year and the same expiration date that
    38 26 appeared in the transferred tax credit certificate.
    38 27 Tax credit certificate amounts of less than the
    38 28 minimum amount established by rule shall not be
    38 29 transferable.  A tax credit shall not be claimed by a
    38 30 transferee under this chapter until a replacement tax
    38 31 credit certificate identifying the transferee as the
    38 32 proper holder has been issued.  The replacement tax
    38 33 credit certificate may reflect a different type of tax
    38 34 than the type of tax noted on the original tax credit
    38 35 certificate.
    38 36    The transferee may use the amount of the tax credit
    38 37 transferred against taxes imposed under chapter 422,
    38 38 divisions II, III, and V, and chapter 432 for any tax
    38 39 year the original transferor could have claimed the
    38 40 tax credit.  The transferee may claim a refund under
    38 41 chapter 423 or 437A for any tax year within the time
    38 42 period set forth in section 423.47 or 437A.14 for
    38 43 which the original transferor could have claimed the
    38 44 refund.  Any consideration received for the transfer
    38 45 of the tax credit shall not be included as income
    38 46 under chapter 422, divisions II, III, and V.  Any
    38 47 consideration paid for the transfer of the tax credit
    38 48 shall not be deducted from income under chapter 422,
    38 49 divisions II, III, and V.
    38 50    2.  To claim a renewable energy tax credit under
    39  1 this chapter, a taxpayer must attach one or more tax
    39  2 credit certificates to the taxpayer's tax return, or
    39  3 if used against taxes imposed under chapter 423, the
    39  4 taxpayer shall comply with section 423.4, or if used
    39  5 against taxes imposed under chapter 437A, the taxpayer
    39  6 shall comply with section 437A.17B, subsection 4.  A
    39  7 tax credit certificate shall not be used or attached
    39  8 to a return filed for a taxable year beginning prior
    39  9 to July 1, 2006.  The tax credit certificate or
    39 10 certificates attached to the taxpayer's tax return
    39 11 shall be issued in the taxpayer's name, expire on or
    39 12 after the last day of the taxable year for which the
    39 13 taxpayer is claiming the tax credit, and show a tax
    39 14 credit amount equal to or greater than the tax credit
    39 15 claimed on the taxpayer's tax return.  Any tax credit
    39 16 in excess of the taxpayer's tax liability for the
    39 17 taxable year may be credited to the taxpayer's tax
    39 18 liability for the following seven tax years or until
    39 19 the credit is depleted, whichever is earlier.  If the
    39 20 tax credit is applied against the taxes imposed under
    39 21 chapter 423 or 437A, any credit in excess of the
    39 22 taxpayer's tax liability is carried over and can be
    39 23 filed with the refund claim for the following seven
    39 24 tax years or until depleted, whichever is earlier.
    39 25 However, the certificate shall not be used to reduce
    39 26 tax liability for a tax period ending after the
    39 27 expiration date of the certificate.
    39 28    3.  The department shall develop a system for the
    39 29 registration of the renewable energy tax credit
    39 30 certificates issued or transferred under this chapter
    39 31 and a system that permits verification that any tax
    39 32 credit claimed on a tax return is valid and that
    39 33 transfers of the tax credit certificates are made in
    39 34 accordance with the requirements of this chapter.  The
    39 35 tax credit certificates issued under this chapter
    39 36 shall not be classified as a security pursuant to
    39 37 chapter 502.
    39 38    Sec.    .  NEW SECTION.  476C.7  RULES.
    39 39    The department and the board may adopt rules
    39 40 pursuant to chapter 17A for the administration and
    39 41 enforcement of this chapter.
    39 42    Sec.    .  EFFECTIVE DATE.  This division of this
    39 43 Act, being deemed of immediate importance, takes
    39 44 effect upon enactment.>
    39 45 #44.  Page 48, by inserting after line 26 the
    39 46 following:
    39 47                      <DIVISION    
    39 48     PROVISIONS RELATING TO THE PRACTICE OF PHARMACY
    39 49    Sec.    .  Section 155A.3, subsection 11, Code
    39 50 2005, is amended to read as follows:
    40  1    11.  "Dispense" means to deliver a prescription
    40  2 drug, device, or controlled substance to an ultimate
    40  3 user or research subject by or pursuant to the lawful
    40  4 prescription drug order or medication order of a
    40  5 practitioner, including the prescribing,
    40  6 administering, packaging, labeling, or compounding
    40  7 necessary to prepare the substance for that delivery.
    40  8    Sec.    .  Section 155A.3, Code 2005, is amended by
    40  9 adding the following new subsection:
    40 10    NEW SUBSECTION.  22A.  "Logistics provider" means
    40 11 an entity that provides or coordinates warehousing,
    40 12 distribution, or other services on behalf of a
    40 13 manufacturer or other owner of a drug, but does not
    40 14 take title to the drug or have general responsibility
    40 15 to direct its sale or other disposition.
    40 16    Sec.    .  Section 155A.3, Code 2005, is amended by
    40 17 adding the following new subsection:
    40 18    NEW SUBSECTION.  23A.  "Pedigree" means a recording
    40 19 of each distribution of any given drug or device, from
    40 20 the sale by the manufacturer through acquisition and
    40 21 sale by any wholesaler, pursuant to rules adopted by
    40 22 the board.
    40 23    Sec.    .  Section 155A.3, subsection 33, paragraph
    40 24 b, Code 2005, is amended to read as follows:
    40 25    b.  A drug or device that under federal law is
    40 26 required, prior to being dispensed or delivered, to be
    40 27 labeled with either one of the following statements:
    40 28    (1)  Caution:  Federal law prohibits dispensing
    40 29 without a prescription.
    40 30    (2)  Caution:  Federal law restricts this drug to
    40 31 use by or on the order of a licensed veterinarian.
    40 32    (3)  Caution:  Federal law restricts this device to
    40 33 sale by, or on the order of, a physician.
    40 34    (4)  Rx only.
    40 35    Sec.    .  Section 155A.3, subsection 35, Code
    40 36 2005, is amended to read as follows:
    40 37    35.  "Proprietary medicine" or "over=the=counter
    40 38 medicine" means a nonnarcotic drug or device that may
    40 39 be sold without a prescription and that is labeled and
    40 40 packaged in compliance with applicable state or
    40 41 federal law.
    40 42    Sec.    .  Section 155A.3, subsection 38, Code
    40 43 2005, is amended to read as follows:
    40 44    38.  "Wholesaler" means a person operating or
    40 45 maintaining, either within or outside this state, a
    40 46 manufacturing plant, wholesale distribution center,
    40 47 wholesale business, or any other business in which
    40 48 prescription drugs or devices, medicinal chemicals,
    40 49 medicines, or poisons are sold, manufactured,
    40 50 compounded, dispensed, stocked, exposed, distributed
    41  1 from, or offered for sale at wholesale in this state.
    41  2 "Wholesaler" does not include those wholesalers who
    41  3 sell only proprietary or over=the=counter medicines.
    41  4 "Wholesaler" also does not include a commercial
    41  5 carrier that temporarily stores prescription drugs or
    41  6 devices, medicinal chemicals, medicines, or poisons
    41  7 while in transit.
    41  8    Sec.    .  Section 155A.4, subsection 2, paragraph
    41  9 a, Code 2005, is amended to read as follows:
    41 10    a.  A manufacturer or wholesaler to distribute
    41 11 prescription drugs or devices as provided by state or
    41 12 federal law.
    41 13    Sec.    .  Section 155A.13, subsection 6,
    41 14 unnumbered paragraph 1, Code 2005, is amended to read
    41 15 as follows:
    41 16    To qualify for a pharmacy license, the applicant
    41 17 shall submit to the board a license fee as determined
    41 18 by the board and a completed application on a form
    41 19 prescribed by the board that shall include the
    41 20 following information and.  The application shall
    41 21 include the following and such other information as
    41 22 required by rules of the board and shall be given
    41 23 under oath:
    41 24    Sec.    .  Section 155A.17, subsection 2, Code
    41 25 2005, is amended to read as follows:
    41 26    2.  The board shall establish standards for drug
    41 27 wholesaler licensure and may define specific types of
    41 28 wholesaler licenses.  The board may deny, suspend, or
    41 29 revoke a drug wholesale license for failure to meet
    41 30 the applicable standards or for a violation of the
    41 31 laws of this state, another state, or the United
    41 32 States relating to prescription drugs, devices, or
    41 33 controlled substances, or for a violation of this
    41 34 chapter, chapter 124, 124A, 124B, 126, or 205, or a
    41 35 rule of the board.
    41 36    Sec.    .  Section 155A.17, subsection 3, Code
    41 37 2005, is amended to read as follows:
    41 38    3.  The board shall adopt rules pursuant to chapter
    41 39 17A on matters pertaining to the issuance of a
    41 40 wholesale drug license.  The rules shall provide for
    41 41 conditions of licensure, compliance standards,
    41 42 licensure fees, disciplinary action, and other
    41 43 relevant matters.  Additionally, the rules shall
    41 44 establish provisions or exceptions for pharmacies,
    41 45 chain pharmacy distribution centers, logistics
    41 46 providers, and other types of wholesalers relating to
    41 47 pedigree requirements, drug or device returns, and
    41 48 other related matters, so as not to prevent or
    41 49 interfere with usual, customary, and necessary
    41 50 business activities.
    42  1    Sec.    .  Section 155A.19, subsection 1, paragraph
    42  2 f, Code 2005, is amended by striking the paragraph and
    42  3 inserting in lieu thereof the following:
    42  4    f.  Change of legal name or doing=business=as name.
    42  5    Sec.    .  Section 155A.19, Code 2005, is amended
    42  6 by adding the following new subsection:
    42  7    NEW SUBSECTION.  3.  A wholesaler shall report in
    42  8 writing to the board, pursuant to its rules, the
    42  9 following:
    42 10    a.  Permanent closing or discontinuation of
    42 11 wholesale distributions into this state.
    42 12    b.  Change of ownership.
    42 13    c.  Change of location.
    42 14    d.  Change of the wholesaler's responsible
    42 15 individual.
    42 16    e.  Change of legal name or doing=business=as name.
    42 17    f.  Theft or significant loss of any controlled
    42 18 substance on discovery of the theft or loss.
    42 19    g.  Disasters, accidents, and emergencies that may
    42 20 affect the strength, purity, or labeling of drugs,
    42 21 medications, devices, or other materials used in the
    42 22 diagnosis or the treatment of injury, illness, and
    42 23 disease.
    42 24    h.  Other information or activities as required by
    42 25 rule.
    42 26    Sec.    .  Section 155A.20, subsection 1, Code
    42 27 2005, is amended to read as follows:
    42 28    1.  A person, other than a pharmacy or wholesaler
    42 29 licensed under this chapter, shall not display in or
    42 30 on any store, internet site, or place of business, nor
    42 31 use in any advertising or promotional literature,
    42 32 communication, or representation, the word or words:
    42 33 "apothecary", "drug", "drug store", or "pharmacy",
    42 34 either in English or any other language, any other
    42 35 word or combination of words of the same or similar
    42 36 meaning, or any graphic representation in a manner
    42 37 that would mislead the public unless it is a pharmacy
    42 38 or drug wholesaler licensed under this chapter.
    42 39    Sec.    .  Section 155A.21, Code 2005, is amended
    42 40 to read as follows:
    42 41    155A.21  UNLAWFUL POSSESSION OF PRESCRIPTION DRUG
    42 42 OR DEVICE == PENALTY.
    42 43    1.  A person found in possession of a drug or
    42 44 device limited to dispensation by prescription, unless
    42 45 the drug or device was so lawfully dispensed, commits
    42 46 a serious misdemeanor.
    42 47    2.  Subsection 1 does not apply to a licensed
    42 48 pharmacy, licensed wholesaler, physician,
    42 49 veterinarian, dentist, podiatric physician,
    42 50 therapeutically certified optometrist, advanced
    43  1 registered nurse practitioner, physician assistant, a
    43  2 nurse acting under the direction of a physician, or
    43  3 the board of pharmacy examiners, its officers, agents,
    43  4 inspectors, and representatives, nor to a common
    43  5 carrier, manufacturer's representative, or messenger
    43  6 when transporting the drug or device in the same
    43  7 unbroken package in which the drug or device was
    43  8 delivered to that person for transportation.
    43  9    Sec.    .  Section 155A.23, Code 2005, is amended
    43 10 to read as follows:
    43 11    155A.23  PROHIBITED ACTS.
    43 12    A person shall not perform or cause the performance
    43 13 of or aid and abet any of the following acts:
    43 14    1.  Obtain or attempt Obtaining or attempting to
    43 15 obtain a prescription drug or device or procure or
    43 16 attempt procuring or attempting to procure the
    43 17 administration of a prescription drug or device by:
    43 18    a.  Fraud Engaging in fraud, deceit,
    43 19 misrepresentation, or subterfuge.
    43 20    b.  Forgery or alteration of Forging or altering a
    43 21 written, electronic, or facsimile prescription or of
    43 22 any written, electronic, or facsimile order.
    43 23    c.  Concealment of Concealing a material fact.
    43 24    d.  Use of Using a false name or the giving of a
    43 25 false address.
    43 26    2.  Willfully make making a false statement in any
    43 27 prescription, report, or record required by this
    43 28 chapter.
    43 29    3.  For the purpose of obtaining a prescription
    43 30 drug or device, falsely assume assuming the title of
    43 31 or claim claiming to be a manufacturer, wholesaler,
    43 32 pharmacist, pharmacy owner, physician, dentist,
    43 33 podiatric physician, veterinarian, or other authorized
    43 34 person.
    43 35    4.  Make or utter Making or uttering any false or
    43 36 forged oral, written, electronic, or facsimile
    43 37 prescription or oral, written, electronic, or
    43 38 facsimile order.
    43 39    5.  Affix any false or forged label to a package or
    43 40 receptacle containing prescription drugs Forging,
    43 41 counterfeiting, simulating, or falsely representing
    43 42 any drug or device without the authority of the
    43 43 manufacturer, or using any mark, stamp, tag, label, or
    43 44 other identification device without the authorization
    43 45 of the manufacturer.
    43 46    6.  Manufacturing, repackaging, selling,
    43 47 delivering, or holding or offering for sale any drug
    43 48 or device that is adulterated, misbranded,
    43 49 counterfeit, suspected of being counterfeit, or that
    43 50 has otherwise been rendered unfit for distribution.
    44  1    7.  Adulterating, misbranding, or counterfeiting
    44  2 any drug or device.
    44  3    8.  Receiving any drug or device that is
    44  4 adulterated, misbranded, stolen, obtained by fraud or
    44  5 deceit, counterfeit, or suspected of being
    44  6 counterfeit, and delivering or proffering delivery of
    44  7 such drug or device for pay or otherwise.
    44  8    9.  Adulterating, mutilating, destroying,
    44  9 obliterating, or removing the whole or any part of the
    44 10 labeling of a drug or device or committing any other
    44 11 act with respect to a drug or device that results in
    44 12 the drug or device being misbranded.
    44 13    10.  Purchasing or receiving a drug or device from
    44 14 a person who is not licensed to distribute the drug or
    44 15 device to that purchaser or recipient.
    44 16    11.  Selling or transferring a drug or device to a
    44 17 person who is not authorized under the law of the
    44 18 jurisdiction in which the person receives the drug or
    44 19 device to purchase or possess the drug or device from
    44 20 the person selling or transferring the drug or device.
    44 21    12.  Failing to maintain or provide records as
    44 22 required by this chapter, chapter 124, or rules of the
    44 23 board.
    44 24    13.  Providing the board or any of its
    44 25 representatives or any state or federal official with
    44 26 false or fraudulent records or making false or
    44 27 fraudulent statements regarding any matter within the
    44 28 scope of this chapter, chapter 124, or rules of the
    44 29 board.
    44 30    14.  Distributing at wholesale any drug or device
    44 31 that meets any of the following conditions:
    44 32    a.  The drug or device was purchased by a public or
    44 33 private hospital or other health care entity.
    44 34    b.  The drug or device was donated or supplied at a
    44 35 reduced price to a charitable organization.
    44 36    c.  The drug or device was purchased from a person
    44 37 not licensed to distribute the drug or device.
    44 38    d.  The drug or device was stolen or obtained by
    44 39 fraud or deceit.
    44 40    15.  Failing to obtain a license or operating
    44 41 without a valid license when a license is required
    44 42 pursuant to this chapter or chapter 147.
    44 43    16.  Engaging in misrepresentation or fraud in the
    44 44 distribution of a drug or device.
    44 45    17.  Distributing a drug or device to a patient
    44 46 without a prescription drug order or medication order
    44 47 from a practitioner licensed by law to use or
    44 48 prescribe the drug or device.
    44 49    18.  Distributing a drug or device that was
    44 50 previously dispensed by a pharmacy or distributed by a
    45  1 practitioner except as provided by rules of the board.
    45  2    19.  Failing to report any prohibited act.
    45  3    Information communicated to a physician in an
    45  4 unlawful effort to procure a prescription drug or
    45  5 device or to procure the administration of a
    45  6 prescription drug shall not be deemed a privileged
    45  7 communication.
    45  8    Subsections 6 and 7 shall not apply to the
    45  9 wholesale distribution by a manufacturer of a
    45 10 prescription drug or device that has been delivered
    45 11 into commerce pursuant to an application approved by
    45 12 the federal food and drug administration.
    45 13    Sec.    .  Section 155A.24, Code 2005, is amended
    45 14 to read as follows:
    45 15    155A.24  PENALTIES.
    45 16    1.  A Except as otherwise provided in this section,
    45 17 a person who violates a provision of section 155A.23
    45 18 or who sells or offers for sale, gives away, or
    45 19 administers to another person any prescription drug or
    45 20 device in violation of this chapter commits a public
    45 21 offense and shall be punished as follows:
    45 22    a.  If the prescription drug is a controlled
    45 23 substance, the person shall be punished pursuant to
    45 24 section 124.401, subsection 1, and section 124.411
    45 25 chapter 124, division IV.
    45 26    b.  If the prescription drug is not a controlled
    45 27 substance, the person, upon conviction of a first
    45 28 offense, is guilty of a serious misdemeanor.  For a
    45 29 second offense, or if in case of a first offense the
    45 30 offender previously has been convicted of any
    45 31 violation of the laws of the United States or of any
    45 32 state, territory, or district thereof relating to
    45 33 prescription drugs or devices, the offender is guilty
    45 34 of an aggravated misdemeanor.  For a third or
    45 35 subsequent offense or if in the case of a second
    45 36 offense the offender previously has been convicted two
    45 37 or more times in the aggregate of any violation of the
    45 38 laws of the United States or of any state, territory,
    45 39 or district thereof relating to prescription drugs or
    45 40 devices, the offender is guilty of a class "D" felony.
    45 41    2.  A person who violates any provision of this
    45 42 chapter by selling, giving away, or administering any
    45 43 prescription drug or device to a minor is guilty of a
    45 44 class "C" felony.
    45 45    3.  A wholesaler who, with intent to defraud or
    45 46 deceive, fails to deliver to another person, when
    45 47 required by rules of the board, complete and accurate
    45 48 pedigree concerning a drug prior to transferring the
    45 49 drug to another person is guilty of a class "C"
    45 50 felony.
    46  1    4.  A wholesaler who, with intent to defraud or
    46  2 deceive, fails to acquire, when required by rules of
    46  3 the board, complete and accurate pedigree concerning a
    46  4 drug prior to obtaining the drug from another person
    46  5 is guilty of a class "C" felony.
    46  6    5.  A wholesaler who knowingly destroys, alters,
    46  7 conceals, or fails to maintain, as required by rules
    46  8 of the board, complete and accurate pedigree
    46  9 concerning any drug in the person's possession is
    46 10 guilty of a class "C" felony.
    46 11    6.  A wholesaler who is in possession of pedigree
    46 12 documents required by rules of the board, and who
    46 13 knowingly fails to authenticate the matters contained
    46 14 in the documents as required, and who nevertheless
    46 15 distributes or attempts to further distribute drugs is
    46 16 guilty of a class "C" felony.
    46 17    7.  A wholesaler who, with intent to defraud or
    46 18 deceive, falsely swears or certifies that the person
    46 19 has authenticated any documents related to the
    46 20 wholesale distribution of drugs or devices is guilty
    46 21 of a class "C" felony.
    46 22    8.  A wholesaler who knowingly forges,
    46 23 counterfeits, or falsely creates any pedigree, who
    46 24 falsely represents any factual matter contained in any
    46 25 pedigree, or who knowingly omits to record material
    46 26 information required to be recorded in a pedigree is
    46 27 guilty of a class "C" felony.
    46 28    9.  A wholesaler who knowingly purchases or
    46 29 receives drugs or devices from a person not authorized
    46 30 to distribute drugs or devices in wholesale
    46 31 distribution is guilty of a class "C" felony.
    46 32    10.  A wholesaler who knowingly sells, barters,
    46 33 brokers, or transfers a drug or device to a person not
    46 34 authorized to purchase the drug or device under the
    46 35 jurisdiction in which the person receives the drug or
    46 36 device in a wholesale distribution is guilty of a
    46 37 class "C" felony.
    46 38    11.  A person who knowingly manufacturers, sells,
    46 39 or delivers, or who possesses with intent to sell or
    46 40 deliver, a counterfeit, misbranded, or adulterated
    46 41 drug or device is guilty of the following:
    46 42    a.  If the person manufactures or produces a
    46 43 counterfeit, misbranded, or adulterated drug or
    46 44 device; or if the quantity of a counterfeit,
    46 45 misbranded, or adulterated drug or device being sold,
    46 46 delivered, or possessed with intent to sell or deliver
    46 47 exceeds one thousand units or dosages; or if the
    46 48 violation is a third or subsequent violation of this
    46 49 subsection, the person is guilty of a class "C"
    46 50 felony.
    47  1    b.  If the quantity of a counterfeit, misbranded,
    47  2 or adulterated drug or device being sold, delivered,
    47  3 or possessed with intent to sell or deliver exceeds
    47  4 one hundred units or dosages but does not exceed one
    47  5 thousand units or dosages; or if the violation is a
    47  6 second or subsequent violation of this subsection, the
    47  7 person is guilty of a class "D" felony.
    47  8    c.  All other violations of this subsection shall
    47  9 constitute an aggravated misdemeanor.
    47 10    12.  A person who knowingly forges, counterfeits,
    47 11 or falsely creates any label for a drug or device or
    47 12 who falsely represents any factual matter contained on
    47 13 any label of a drug or device is guilty of a class "C"
    47 14 felony.
    47 15    13.  A person who knowingly possesses, purchases,
    47 16 or brings into the state a counterfeit, misbranded, or
    47 17 adulterated drug or device is guilty of the following:
    47 18    a.  If the quantity of a counterfeit, misbranded,
    47 19 or adulterated drug or device being possessed,
    47 20 purchased, or brought into the state exceeds one
    47 21 hundred units or dosages; or if the violation is a
    47 22 second or subsequent violation of this subsection, the
    47 23 person is guilty of a class "D" felony.
    47 24    b.  All other violations of this subsection shall
    47 25 constitute an aggravated misdemeanor.
    47 26    14.  This section does not prevent a licensed
    47 27 practitioner of medicine, dentistry, podiatry,
    47 28 nursing, veterinary medicine, optometry, or pharmacy
    47 29 from acts necessary in the ethical and legal
    47 30 performance of the practitioner's profession.
    47 31    15.  Subsections 1 and 2 shall not apply to a
    47 32 parent or legal guardian administering, in good faith,
    47 33 a prescription drug or device to a child of the parent
    47 34 or a child for whom the individual is designated a
    47 35 legal guardian.
    47 36    Sec.    .  NEW SECTION.  155A.40  CRIMINAL HISTORY
    47 37 RECORD CHECKS.
    47 38    1.  The board may request and obtain,
    47 39 notwithstanding section 692.2, subsection 5, criminal
    47 40 history data for any applicant for an initial or
    47 41 renewal license or registration issued pursuant to
    47 42 this chapter or chapter 147, any applicant for
    47 43 reinstatement of a license or registration issued
    47 44 pursuant to this chapter or chapter 147, or any
    47 45 licensee or registrant who is being monitored as a
    47 46 result of a board order or agreement resolving an
    47 47 administrative disciplinary action, for the purpose of
    47 48 evaluating the applicant's, licensee's, or
    47 49 registrant's eligibility for licensure, registration,
    47 50 or suitability for continued practice of the
    48  1 profession.  Criminal history data may be requested
    48  2 for all owners, managers, and principal employees of a
    48  3 pharmacy or drug wholesaler licensed pursuant to this
    48  4 chapter.  The board shall adopt rules pursuant to
    48  5 chapter 17A to implement this section.  The board
    48  6 shall inform the applicant, licensee, or registrant of
    48  7 the criminal history requirement and obtain a signed
    48  8 waiver from the applicant, licensee, or registrant
    48  9 prior to submitting a criminal history data request.
    48 10    2.  A request for criminal history data shall be
    48 11 submitted to the department of public safety, division
    48 12 of criminal investigation and bureau of
    48 13 identification, pursuant to section 692.2, subsection
    48 14 1.  The board may also require such applicants,
    48 15 licensees, and registrants to provide a full set of
    48 16 fingerprints, in a form and manner prescribed by the
    48 17 board.  Such fingerprints may be submitted to the
    48 18 federal bureau of investigation through the state
    48 19 criminal history repository for a national criminal
    48 20 history check.  The board may authorize alternate
    48 21 methods or sources for obtaining criminal history
    48 22 record information.  The board may, in addition to any
    48 23 other fees, charge and collect such amounts as may be
    48 24 incurred by the board, the department of public
    48 25 safety, or the federal bureau of investigation in
    48 26 obtaining criminal history information.  Amounts
    48 27 collected shall be considered repayment receipts as
    48 28 defined in section 8.2.
    48 29    3.  Criminal history information relating to an
    48 30 applicant, licensee, or registrant obtained by the
    48 31 board pursuant to this section is confidential.  The
    48 32 board may, however, use such information in a license
    48 33 or registration denial proceeding.  In a disciplinary
    48 34 proceeding, such information shall constitute
    48 35 investigative information under section 272C.6,
    48 36 subsection 4, and may be used only for purposes
    48 37 consistent with that section.
    48 38    4.  This section shall not apply to a manufacturer
    48 39 of a prescription drug or device that has been
    48 40 delivered into commerce pursuant to an application
    48 41 approved by the federal food and drug administration.
    48 42    Sec.    .  NEW SECTION.  155A.41  CONTINUOUS
    48 43 QUALITY IMPROVEMENT PROGRAM.
    48 44    1.  Each licensed pharmacy shall implement or
    48 45 participate in a continuous quality improvement
    48 46 program to review pharmacy procedures in order to
    48 47 identify methods for addressing pharmacy medication
    48 48 errors and for improving patient use of medications
    48 49 and patient care services.  Under the program, each
    48 50 pharmacy shall assess its practices and identify areas
    49  1 for quality improvement.
    49  2    2.  The board shall adopt rules for the
    49  3 administration of a continuous quality improvement
    49  4 program.  The rules shall address all of the
    49  5 following:
    49  6    a.  Program requirements and procedures.
    49  7    b.  Program record and reporting requirements.
    49  8    c.  Any other provisions necessary for the
    49  9 administration of a program.>
    49 10 #45.  Title page, line 1, by inserting after the
    49 11 word <Act> the following:  <relating to state and
    49 12 local finances by providing for tax exemptions,
    49 13 credits, tax credit transfers, and other tax=related
    49 14 matters and by>.
    49 15 #46.  Title page, line 2, by inserting after the
    49 16 word <matters> the following:  <and penalties>
    49 17 #47.  Title page, line 2, by inserting after the
    49 18 word <fees,> the following:  <providing for the
    49 19 generation and purchase of and tax credits for
    49 20 renewable energy,>.
    49 21 #48.  By renumbering, relettering, or redesignating
    49 22 and correcting internal references as necessary.
    49 23 HF 882.S
    49 24 mg/cc/26

                              -1-