Senate File 209 H-1097 Amend Senate File 209, as amended, passed, and 1 reprinted by the Senate, as follows: 2 1. Page 21, after line 23 by inserting: 3 < DIVISION ___ 4 TAX RELIEF FUND 5 Sec. ___. Section 8.55, subsection 2, Code 2011, is 6 amended to read as follows: 7 2. a. The maximum balance of the fund is the 8 amount equal to two and one-half percent of the 9 adjusted revenue estimate for the fiscal year. If the 10 amount of moneys in the Iowa economic emergency fund is 11 equal to the maximum balance, moneys in excess of this 12 amount shall be transferred to the general tax relief 13 fund. 14 b. Notwithstanding paragraph “a” , any moneys 15 in excess of the maximum balance in the economic 16 emergency fund after the distribution of the surplus 17 in the general fund of the state at the conclusion 18 of each fiscal year shall not be transferred to the 19 general tax relief fund of the state but shall be 20 transferred to the senior living trust fund. The 21 total amount appropriated, reverted, or transferred, 22 in the aggregate, under this paragraph, section 23 8.57, subsection 2 , and any other law providing 24 for an appropriation or reversion or transfer of an 25 appropriation to the credit of the senior living trust 26 fund, for all fiscal years beginning on or after July 27 1, 2004, shall not exceed the amount specified in 28 section 8.57, subsection 2 , paragraph “c” . 29 Sec. ___. NEW SECTION . 8.57E Tax relief fund. 30 1. The tax relief fund is created. The fund shall 31 be separate from the general fund of the state and 32 the balance in the fund shall not be considered part 33 of the balance of the general fund of the state. The 34 moneys credited to the fund are not subject to section 35 8.33 and shall not be transferred, used, obligated, 36 appropriated, or otherwise encumbered except as 37 provided in this section. 38 2. Moneys in the tax relief fund shall only be 39 used as pursuant to appropriations made by the general 40 assembly to reduce taxes. 41 3. a. Moneys in the fund may be used for cash flow 42 purposes during a fiscal year provided that any moneys 43 so allocated are returned to the fund by the end of 44 that fiscal year. 45 b. Except as provided in section 8.58, the tax 46 relief fund shall be considered a special account for 47 the purposes of section 8.53 in determining the cash 48 position of the general fund of the state for the 49 payment of state obligations. 50 -1- SF209.589 (5) 84 jp/sc 1/ 8 #1.

4. Notwithstanding section 12C.7, subsection 2, 1 interest or earnings on moneys deposited in the tax 2 relief fund shall be credited to the fund. 3 Sec. ___. Section 8.58, Code 2011, is amended to 4 read as follows: 5 8.58 Exemption from automatic application. 6 1. To the extent that moneys appropriated under 7 section 8.57 do not result in moneys being credited 8 to the general fund under section 8.55, subsection 9 2 , moneys appropriated under section 8.57 and moneys 10 contained in the cash reserve fund, rebuild Iowa 11 infrastructure fund, environment first fund, and Iowa 12 economic emergency fund , and tax relief fund shall not 13 be considered in the application of any formula, index, 14 or other statutory triggering mechanism which would 15 affect appropriations, payments, or taxation rates, 16 contrary provisions of the Code notwithstanding. 17 2. To the extent that moneys appropriated under 18 section 8.57 do not result in moneys being credited 19 to the general fund under section 8.55, subsection 20 2 , moneys appropriated under section 8.57 and moneys 21 contained in the cash reserve fund, rebuild Iowa 22 infrastructure fund, environment first fund, and Iowa 23 economic emergency fund , and tax relief fund shall not 24 be considered by an arbitrator or in negotiations under 25 chapter 20 . 26 Sec. ___. TAX RELIEF FUND —— LEGISLATIVE 27 INTENT. It is the intent of the general assembly to 28 enact appropriations from the tax relief fund created 29 by this division of this Act pursuant to tax relief 30 legislation which shall be proposed by the standing 31 committees on ways and means of the senate and house 32 of representatives. 33 Sec. ___. EFFECTIVE DATE AND APPLICABILITY. 34 1. This division of this Act, being deemed of 35 immediate importance, takes effect upon enactment. 36 2. The amendment in this division to section 37 8.55, providing for transfer of moneys from the Iowa 38 economic emergency fund to the tax relief fund instead 39 of the general fund of the state applies to transfers 40 made from the Iowa economic emergency fund after 41 the effective date of this division and the state 42 general fund expenditure limitation calculated for the 43 fiscal year beginning July 1, 2011, shall be adjusted 44 accordingly. 45 DIVISION ___ 46 STATE EMPLOYEES —— REVENUE ESTIMATE 47 Sec. ___. GROUP HEALTH INSURANCE PREMIUM COSTS FOR 48 STATE EMPLOYEES. 49 1. The state’s executive and judicial branch 50 -2- SF209.589 (5) 84 jp/sc 2/ 8

authorities responsible for negotiating the collective 1 bargaining agreements entered into under chapter 20 2 shall engage in discussions with the applicable state 3 employee organizations to renegotiate provisions 4 involving health insurance coverage of state employees 5 and their families in order to achieve cost savings 6 for the state. The discussions shall include but are 7 not limited to a requirement for a state employee who 8 is covered by a collective bargaining agreement and 9 is a member of state group health insurance plan for 10 employees of the state established under chapter 509A 11 to pay at least one hundred dollars per month of the 12 total premium for such health plan coverage for single 13 persons or increase the amount paid per month for 14 family coverage by the same amount that would be paid 15 for the single persons coverage. 16 2. If collective bargaining agreements are 17 renegotiated to achieve cost savings pursuant to 18 subsection 1, the cost savings provisions shall 19 also apply to state employees who are not covered by 20 collective bargaining as provided in chapter 20 and 21 are members of a state group health insurance plan for 22 employees of the state established under chapter 509A. 23 3. Beginning on the effective date of this section 24 or March 1, 2011, whichever is earlier, a state 25 legislator or legislative staff member who is a member 26 of a state group health insurance plan for employees 27 of the state established under chapter 509A shall pay 28 at least one hundred dollars per month of the total 29 premium for such health care coverage for single 30 persons or increase the amount paid per month for 31 family coverage by the same amount that would be paid 32 for the single persons coverage. The payment amount 33 shall be determined by the legislative council, subject 34 to the minimum amount specified in this subsection. 35 Sec. ___. REVENUE ESTIMATING CONFERENCE 36 MEETING. Upon the request of the speaker of the 37 house of representatives or the majority leader of the 38 senate, the revenue estimating conference shall meet on 39 a date in February or March 2011, as specified in the 40 request. At this meeting, in addition to the estimates 41 normally agreed to at the meetings of the conference, 42 the conference shall also agree on estimates for fiscal 43 year 2012-2013. 44 Sec. ___. NEW SECTION . 8A.440 Group health 45 insurance premium costs. 46 1. Collective bargaining agreements entered into 47 pursuant to chapter 20 for state employees shall 48 provide that a state employee covered by that agreement 49 who is a member of a state group health insurance plan 50 -3- SF209.589 (5) 84 jp/sc 3/ 8

for employees of the state established under chapter 1 509A shall pay at least one hundred dollars per month 2 of the total premium for such insurance for single 3 persons or increase the amount paid per month for 4 family coverage by the same amount that would be paid 5 for the single persons coverage. 6 2. A state employee not covered by a collective 7 bargaining agreement as provided in chapter 20 who 8 is a member of a state group health insurance plan 9 for employees of the state established under chapter 10 509A shall pay the same amount per month of the 11 total premium for such insurance as is paid under 12 the collective bargaining agreement that covers 13 the greatest number of state employees in the state 14 government entity employing the state employee. 15 Sec. ___. APPLICABILITY. The provision of this 16 division of this Act enacting section 8A.440, applies 17 to collective bargaining agreements entered into on or 18 after the effective date of this division of this Act. 19 Sec. ___. EFFECTIVE UPON ENACTMENT. This division 20 of this Act, being deemed of immediate importance, 21 takes effect upon enactment. 22 DIVISION ___ 23 NATURAL RESOURCES 24 Sec. ___. DEPARTMENT OF NATURAL RESOURCES —— REAL 25 PROPERTY ACQUISITION CURTAILED. 26 1. Notwithstanding any provision to the contrary, 27 for the period beginning on the effective date of this 28 section through the close of the fiscal year ending 29 on June 30, 2011, the department of natural resources 30 shall not enter into a new arrangement to acquire or 31 otherwise control real property. 32 2. For the purposes of this section, “new 33 arrangement” means an obligation entered into on 34 or after the effective date of this section. An 35 obligation includes but is not limited to an agreement, 36 contract, lease-purchase arrangement, or any other 37 instrument leading to state ownership or control 38 of real property that was not previously owned or 39 controlled by the state. “New arrangement” does 40 not include a real property acquisition or control 41 project for which an appropriation to the department 42 was encumbered prior to the effective date of this 43 section. “New arrangement” does not include a donated 44 real property acquisition or control project received 45 or entered into on or after the effective date of this 46 section. 47 3. This section, being deemed of immediate 48 importance, takes effect upon enactment. 49 Sec. ___. 2010 Iowa Acts, chapter 1191, section 20, 50 -4- SF209.589 (5) 84 jp/sc 4/ 8

is amended to read as follows: 1 SEC. 13. IOWA RESOURCES ENHANCEMENT AND PROTECTION 2 FUND. Notwithstanding the amount of the standing 3 appropriation from the general fund of the state to 4 the Iowa resources enhancement and protection fund as 5 provided in section 455A.18 , there is appropriated from 6 the environment first fund created in section 8.57A to 7 the Iowa resources enhancement and protection fund, 8 in lieu of the appropriation made in section 455A.18 , 9 for the fiscal year beginning July 1, 2010, and ending 10 June 30, 2011, the following amount, to be allocated as 11 provided in section 455A.19 : 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 15,000,000 13 11,931,189 14 Sec. ___. EFFECTIVE UPON ENACTMENT. This division 15 of this Act, being deemed of immediate importance, 16 takes effect upon enactment. 17 DIVISION ___ 18 COUNTY MENTAL HEALTH 19 AND DISABILITY SERVICES 20 Sec. ___. COUNTY WAITING LISTS. 21 1. There is appropriated from the general fund of 22 the state to the department of human services for the 23 fiscal year beginning July 1, 2010, and ending June 30, 24 2011, the following amount, or so much thereof as is 25 necessary, to be used for the purposes designated: 26 To be credited to the risk pool in the property tax 27 relief fund created in chapter 426B and expended as 28 provided in this section: 29 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 25,000,000 30 2. The amount appropriated in this section is 31 appropriated from the risk pool to the department 32 of human services for distribution as provided in 33 this section. Notwithstanding section 8.33, moneys 34 appropriated in this section that remain unencumbered 35 or unobligated at the close of the fiscal year shall 36 not revert but shall remain available for expenditure 37 for the purposes designated until the close of the 38 succeeding fiscal year. 39 3. a. For the purposes of this section, “services 40 fund” means a county’s mental health, mental 41 retardation, and developmental disabilities services 42 fund created in section 331.424A. 43 b. The risk pool board shall implement a process 44 for distribution of the amount appropriated in this 45 section to counties to be used to provide eligibility 46 for services and other support payable from the 47 counties’ services funds for persons who are eligible 48 under county management plans in effect as of December 49 31, 2010, but due to insufficient funding are on a 50 -5- SF209.589 (5) 84 jp/sc 5/ 8

waiting list for the services and other support. The 1 period addressed by the funding appropriated in this 2 section begins on or after the effective date of 3 this section and ends June 30, 2012. Of the amount 4 appropriated in this section, up to $5,000,000 shall 5 be targeted to expand medical assistance program 6 waiver slots for those waivers for which counties pay 7 the nonfederal share of the costs. The distribution 8 allocations shall be completed on or before July 1, 9 2011. 10 c. The general assembly finds that as of the time 11 of enactment of this section, the funding appropriated 12 in this section is sufficient to eliminate the need 13 for continuing , instituting, or reinstituting waiting 14 lists during the period addressed by the appropriation. 15 However, the process implemented by the risk pool 16 board shall ensure there is adequate funding so that 17 a person made eligible for services and other support 18 from the waiting list would not be required to return 19 to the waiting list if a later projection indicates the 20 funding is insufficient to cover for the entire period 21 all individuals removed from the waiting list pursuant 22 to this section. 23 d. The funding provided in this section is intended 24 to provide necessary services for adults in need of 25 mental health, mental retardation, or developmental 26 disabilities services until improvements to the current 27 system can be developed and enacted. 28 Sec. ___. ADULT MENTAL HEALTH AND DISABILITY 29 SERVICE SYSTEM REFORM. 30 1. The general assembly finds there is need to 31 reform the adult mental health and disability services 32 system administered by counties to address the needs 33 of persons with mental illness, mental retardation, or 34 developmental disabilities. Issues with the current 35 system include the following: 36 a. Lack of a set of core services uniformly 37 available throughout the state. 38 b. Lack of uniformity in service expenditures 39 throughout the state. 40 c. Disparity in county levy rates for the services 41 funds for this system. 42 d. The need to improve the array of community-based 43 services and services to avoid the use or continued use 44 of crisis services. 45 e. The need to expand the availability of dual 46 diagnosis mental health and substance abuse services. 47 f. The need to improve the consistency of services 48 available to both youth and adult populations. 49 g. The need to address the medical assistance 50 -6- SF209.589 (5) 84 jp/sc 6/ 8

(Medicaid) program changes in the federal Patient 1 Protection and Affordable Care Act (PPACA) that will 2 greatly expand the program’s eligibility for persons in 3 the service system beginning in calendar year 2014. 4 h. Dissatisfaction with using county of legal 5 settlement determinations to determine county and state 6 financial responsibility for services. 7 2. In order to address the issues identified in 8 subsection 1, the committees on human resources, 9 appropriations, and ways and means of the senate and 10 house of representatives shall propose legislation to 11 address the following actions by the dates indicated: 12 a. Phase-in of the state fully assuming the 13 nonfederal share of the costs for Medicaid program 14 services now borne by counties by the implementation 15 date of the Medicaid eligibility changes under PPACA. 16 b. Provide property tax relief and equity by having 17 the state assume a greater role in funding the adult 18 mental health and disability services system from 19 counties by July 1, 2012, when the repeals contained in 20 this division of this Act take effect. 21 c. Shift the balance of responsibilities for the 22 services system between the state and counties so 23 that the state ensures greater uniformity and there 24 is sufficient size to develop effective services 25 while maintaining the county role of bringing local 26 resources together in unique ways that best meet the 27 needs of clients, by implementing a new services system 28 structure by July 1, 2012, when the repeals contained 29 in this division of this Act take effect. 30 Sec. ___. Section 331.424A, Code 2011, is amended 31 by adding the following new subsection: 32 NEW SUBSECTION . 6. This section is repealed July 33 1, 2012. 34 Sec. ___. Section 331.438, Code 2011, is amended by 35 adding the following new subsection: 36 NEW SUBSECTION . 5. This section is repealed July 37 1, 2012. 38 Sec. ___. Section 331.439, Code 2011, is amended by 39 adding the following new subsection: 40 NEW SUBSECTION . 10. This section is repealed July 41 1, 2012. 42 Sec. ___. Section 331.440, Code 2011, is amended by 43 adding the following new subsection: 44 NEW SUBSECTION . 7. This section is repealed July 45 1, 2012. 46 Sec. ___. NEW SECTION . 426B.6 Future repeal. 47 This chapter is repealed July 1, 2012. 48 Sec. ___. 2010 Iowa Acts, chapter 1193, section 1, 49 is amended to read as follows: 50 -7- SF209.589 (5) 84 jp/sc 7/ 8

SECTION 1. ADULT MH/MR/DD SERVICES ALLOWED 1 GROWTH FUNDING —— FY 2011-2012. Notwithstanding 2 section 331.439, subsection 3 , the allowed growth 3 factor adjustment for county mental health, mental 4 retardation, and developmental disabilities service 5 expenditures for the fiscal year beginning July 1, 6 2011, shall be established by statute which shall be 7 enacted within thirty calendar days of the convening of 8 the Eighty-fourth General Assembly, 2011 Session, on 9 January 10, 2011 date the governor’s recommendation is 10 submitted to the general assembly . The governor shall 11 submit to the general assembly a recommendation for 12 such allowed growth factor adjustment and the amounts 13 of related appropriations to the general assembly 14 on or before January 11 27 , 2011. The governor’s 15 recommendation and the allowed growth factor adjustment 16 enacted by the general assembly pursuant to this 17 section shall incorporate measures to ensure that 18 the funding appropriated during the 2011 legislative 19 session to the risk pool in the property tax relief 20 fund to eliminate county waiting lists for services can 21 be relied upon to remain available for the long term to 22 support the services provided for the individuals who 23 were removed from a waiting list. 24 Sec. ___. CONFORMING PROVISIONS. The legislative 25 services agency shall prepare a study bill for 26 consideration by the committees on human resources of 27 the senate and house of representatives for the 2012 28 legislative session, providing conforming Code changes 29 for implementation of the repeal provisions contained 30 in this division of this Act. 31 Sec. ___. EFFECTIVE UPON ENACTMENT. This division 32 of this Act, being deemed of immediate importance, 33 takes effect upon enactment. 34 Sec. ___. RETROACTIVE APPLICABILITY. The provision 35 of this division of this Act amending 2010 Iowa Acts, 36 chapter 1193, section 1, applies retroactively to April 37 29, 2010. > 38 2. By renumbering as necessary. 39 ______________________________ COMMITTEE ON APPROPRIATIONS RAECKER of Polk, Chairperson -8- SF209.589 (5) 84 jp/sc 8/ 8 #2.