Senate File 516 H-1452 Amend the amendment, H-1448, to Senate File 516, as amended, 1 passed, and reprinted by the Senate, as follows: 2 1. By striking page 1, line 1, through page 25, line 29, and 3 inserting: 4 < Amend Senate File 516, as amended, passed, and reprinted by 5 the Senate, as follows: 6 1. By striking everything after the enacting clause and 7 inserting: 8 < DIVISION I 9 STANDING APPROPRIATIONS AND RELATED MATTERS 10 Section 1. BUDGET PROCESS FOR FISCAL YEAR 2018-2019. 11 1. For the budget process applicable to the fiscal year 12 beginning July 1, 2018, on or before October 1, 2017, in lieu 13 of the information specified in section 8.23, subsection 14 1, unnumbered paragraph 1, and section 8.23, subsection 1, 15 paragraph “a”, all departments and establishments of the 16 government shall transmit to the director of the department 17 of management, on blanks to be furnished by the director, 18 estimates of their expenditure requirements, including every 19 proposed expenditure, for the ensuing fiscal year, together 20 with supporting data and explanations as called for by the 21 director of the department of management after consultation 22 with the legislative services agency. 23 2. The estimates of expenditure requirements shall be 24 in a form specified by the director of the department of 25 management, and the expenditure requirements shall include all 26 proposed expenditures and shall be prioritized by program or 27 the results to be achieved. The estimates shall be accompanied 28 by performance measures for evaluating the effectiveness of the 29 programs or results. 30 Sec. 2. BUDGET PROCESS FOR FISCAL YEAR 2019-2020. 31 1. For the budget process applicable to the fiscal year 32 beginning July 1, 2019, on or before October 1, 2018, in lieu 33 of the information specified in section 8.23, subsection 34 1, unnumbered paragraph 1, and section 8.23, subsection 1, 35 -1- H1448.2692 (2) 87 tm/rn 1/ 43 #1.

paragraph “a”, all departments and establishments of the 1 government shall transmit to the director of the department 2 of management, on blanks to be furnished by the director, 3 estimates of their expenditure requirements, including every 4 proposed expenditure, for the ensuing fiscal year, together 5 with supporting data and explanations as called for by the 6 director of the department of management after consultation 7 with the legislative services agency. 8 2. The estimates of expenditure requirements shall be 9 in a form specified by the director of the department of 10 management, and the expenditure requirements shall include all 11 proposed expenditures and shall be prioritized by program or 12 the results to be achieved. The estimates shall be accompanied 13 by performance measures for evaluating the effectiveness of the 14 programs or results. 15 Sec. 3. LIMITATIONS OF STANDING APPROPRIATIONS —— FY 16 2017-2018. Notwithstanding the standing appropriations 17 in the following designated sections for the fiscal year 18 beginning July 1, 2017, and ending June 30, 2018, the amounts 19 appropriated from the general fund of the state pursuant to 20 these sections for the following designated purposes shall not 21 exceed the following amounts: 22 1. For payment of claims for nonpublic school 23 transportation under section 285.2: 24 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 8,197,091 25 If total approved claims for reimbursement for nonpublic 26 school pupil transportation exceed the amount appropriated in 27 accordance with this subsection, the department of education 28 shall prorate the amount of each approved claim. 29 2. For distribution for the tribal council of the Sac and 30 Fox Indian settlement for educating American Indian children 31 under section 256.30: 32 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 95,750 33 Sec. 4. LIMITATIONS OF STANDING APPROPRIATIONS —— FY 34 2018-2019. Notwithstanding the standing appropriations 35 -2- H1448.2692 (2) 87 tm/rn 2/ 43

in the following designated sections for the fiscal year 1 beginning July 1, 2018, and ending June 30, 2019, the amounts 2 appropriated from the general fund of the state pursuant to 3 these sections for the following designated purposes shall not 4 exceed the following amounts: 5 1. For payment of claims for nonpublic school 6 transportation under section 285.2: 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 8,197,091 8 If total approved claims for reimbursement for nonpublic 9 school pupil transportation exceed the amount appropriated in 10 accordance with this subsection, the department of education 11 shall prorate the amount of each approved claim. 12 2. For distribution for the tribal council of the Sac and 13 Fox Indian settlement for educating American Indian children 14 under section 256.30: 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 95,750 16 Sec. 5. GENERAL ASSEMBLY. 17 1. The appropriations made pursuant to section 2.12 for the 18 expenses of the general assembly and legislative agencies for 19 the fiscal year beginning July 1, 2017, and ending June 30, 20 2018, are reduced by the following amount: 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 400,000 22 2. The budgeted amounts for the general assembly and 23 legislative agencies for the fiscal year beginning July 1, 24 2017, may be adjusted to reflect the unexpended budgeted 25 amounts from the previous fiscal year. 26 3. Annual membership dues for organizations, associations, 27 and conferences shall not be paid from moneys appropriated 28 pursuant to section 2.12. 29 4. Costs for out-of-state travel and per diems for 30 out-of-state travel shall not be paid from moneys appropriated 31 pursuant to section 2.12. 32 Sec. 6. INSTRUCTIONAL SUPPORT STATE AID —— FY 2017-2018. In 33 lieu of the appropriation provided in section 257.20, 34 subsection 2, the appropriation for the fiscal year 35 -3- H1448.2692 (2) 87 tm/rn 3/ 43

beginning July 1, 2017, and ending June 30, 2018, for paying 1 instructional support state aid under section 257.20 for such 2 fiscal years is zero. 3 Sec. 7. SPECIAL FUNDS —— SALARY ADJUSTMENTS —— FY 2017-2018 4 —— FY 2018-2019. For the fiscal year beginning July 1, 2017, 5 and ending June 30, 2018, and for the fiscal year beginning 6 July 1, 2018, and ending June 30, 2019, salary adjustments may 7 be funded using departmental revolving, trust, or special funds 8 for which the general assembly has established an operating 9 budget, provided that doing so does not exceed the operating 10 budget established by the general assembly. 11 Sec. 8. OPERATIONAL APPROPRIATIONS —— REVERSION —— FY 12 2016-2017. Notwithstanding section 8.62, at the close of 13 the fiscal year beginning July 1, 2016, and ending June 30, 14 2017, any balance of an operational appropriation that remains 15 unexpended or unencumbered shall not be encumbered or deposited 16 in the cash reserve fund as provided in section 8.62, but shall 17 instead revert to the general fund of the state at the close of 18 the fiscal year as provided in section 8.33. 19 Sec. 9. SPECIAL FUNDS —— SALARY ADJUSTMENTS —— 20 UNAPPROPRIATED MONEYS —— FY 2017-2018 —— FY 2018-2019. For the 21 fiscal year beginning July 1, 2017, and ending June 30, 2018, 22 and for the fiscal year beginning July 1, 2018, and ending 23 June 30, 2019, salary adjustments otherwise provided may be 24 funded as determined by the department of management using 25 unappropriated moneys remaining in the department of commerce 26 revolving fund, the gaming enforcement revolving fund, the 27 gaming regulatory revolving fund, the primary road fund, the 28 road use tax fund, the fish and game protection fund, the Iowa 29 public employees’ retirement fund, and in other departmental 30 revolving, trust, or special funds for which the general 31 assembly has not made an operating budget appropriation. 32 Sec. 10. SALARY MODEL ADMINISTRATOR. The salary model 33 administrator shall work in conjunction with the legislative 34 services agency to maintain the state’s salary model used for 35 -4- H1448.2692 (2) 87 tm/rn 4/ 43

analyzing, comparing, and projecting state employee salary 1 and benefit information, including information relating to 2 employees of the state board of regents. The department of 3 revenue, the department of administrative services, the five 4 institutions under the jurisdiction of the state board of 5 regents, the judicial district departments of correctional 6 services, and the state department of transportation shall 7 provide salary data to the department of management and the 8 legislative services agency to operate the state’s salary 9 model. The format and frequency of provision of the salary 10 data shall be determined by the department of management and 11 the legislative services agency. The information shall be 12 used in collective bargaining processes under chapter 20 and 13 in calculating the funding needs contained within the annual 14 salary adjustment legislation. A state employee organization 15 as defined in section 20.3, subsection 4, may request 16 information produced by the model, but the information provided 17 shall not contain information attributable to individual 18 employees. 19 Sec. 11. Section 257.35, Code 2017, is amended by adding the 20 following new subsection: 21 NEW SUBSECTION . 11A. Notwithstanding subsection 1, and in 22 addition to the reduction applicable pursuant to subsection 23 2, the state aid for area education agencies and the portion 24 of the combined district cost calculated for these agencies 25 for the fiscal year beginning July 1, 2017, and ending June 26 30, 2018, shall be reduced by the department of management by 27 fifteen million dollars. The reduction for each area education 28 agency shall be prorated based on the reduction that the agency 29 received in the fiscal year beginning July 1, 2003. 30 Sec. 12. EFFECTIVE UPON ENACTMENT. The following provision 31 or provisions of this division of this Act, being deemed of 32 immediate importance, take effect upon enactment: 33 1. The section of this division of this Act reverting to 34 the general fund any unexpended or unencumbered moneys from 35 -5- H1448.2692 (2) 87 tm/rn 5/ 43

operational appropriations. 1 DIVISION II 2 MISCELLANEOUS PROVISIONS 3 Sec. 13. VICTIM ASSISTANCE GRANTS. There is appropriated 4 from the general fund of the state to the department of justice 5 for the fiscal year beginning July 1, 2017, and ending June 30, 6 2018, the following amount, or so much thereof as is necessary, 7 to be used for the purposes designated: 8 For victim assistance grants: 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 150,000 10 Sec. 14. Section 2.43, unnumbered paragraph 1, Code 2017, 11 is amended to read as follows: 12 The legislative council in cooperation with the officers of 13 the senate and house shall have the duty and responsibility for 14 preparing for each session of the general assembly. Pursuant 15 to such duty and responsibility, the legislative council 16 shall assign the use of areas in the state capitol except for 17 the areas used by the governor as of January 1, 1986, and by 18 the courts as of July 1, 2003, and, in consultation with the 19 director of the department of administrative services and the 20 capitol planning commission, may assign areas in other state 21 office buildings for use of the general assembly or legislative 22 agencies. The legislative council shall provide the courts 23 with use of space in the state capitol for ceremonial purposes. 24 The legislative council may authorize the renovation, 25 remodeling and preparation of the physical facilities used or 26 to be used by the general assembly or legislative agencies 27 subject to the jurisdiction of the legislative council and 28 award contracts pursuant to such authority to carry out such 29 preparation. The legislative council may purchase supplies and 30 equipment deemed necessary for the proper functioning of the 31 legislative branch of government. 32 Sec. 15. Section 8A.322, subsection 2, Code 2017, is amended 33 to read as follows: 34 2. Except for buildings and grounds described in section 35 -6- H1448.2692 (2) 87 tm/rn 6/ 43

216B.3, subsection 6 ; section 2.43 , unnumbered paragraph 1; and 1 any buildings under the custody and control of the Iowa public 2 employees’ retirement system, the director shall assign office 3 space at the capitol, other state buildings, and elsewhere in 4 the city of Des Moines, and the state laboratories facility 5 in Ankeny, for all executive and judicial state agencies. 6 Assignments may be changed at any time. The various officers 7 to whom rooms have been so assigned may control the same while 8 the assignment to them is in force. Official apartments shall 9 be used only for the purpose of conducting the business of the 10 state. The term “capitol” or “capitol building” as used in the 11 Code shall be descriptive of all buildings upon the capitol 12 grounds. The capitol building itself is reserved for the 13 operations of the general assembly , and the governor, and , for 14 ceremonial purposes, for the courts and the . The assignment 15 and use of physical facilities for the general assembly shall 16 be pursuant to section 2.43 . 17 Sec. 16. Section 8C.7A, subsection 3, paragraph b, 18 unnumbered paragraph 1, if enacted by 2017 Iowa Acts, Senate 19 File 431, is amended to read as follows: 20 An authority shall not require a person to apply for or 21 enter into an individual license, franchise, or other agreement 22 with the authority or any other entity for the siting of 23 a small wireless facility on a utility pole located in a 24 public right-of-way. However, an authority may, through the 25 conditions set forth in a building permit obtained pursuant to 26 this subsection, do any of the following: 27 Sec. 17. Section 321N.4, subsection 6, Code 2017, is amended 28 to read as follows: 29 6. Insurance maintained under this chapter shall be 30 provided by an insurer governed by chapter 515 or 518 , or by 31 a surplus lines insurer governed by chapter 515I . A surplus 32 lines insurer that issues a policy pursuant to this section 33 shall be considered an insurance carrier duly authorized to 34 transact business in this state for the purposes of chapter 35 -7- H1448.2692 (2) 87 tm/rn 7/ 43

321A . 1 Sec. 18. SMOKING AND USE OF CERTAIN PRODUCTS —— CAPITOL 2 COMPLEX. 3 1. Pursuant to section 8A.322 and chapter 142D, the 4 department of administrative services shall adopt rules 5 prohibiting smoking and the use of alternative nicotine 6 products, tobacco products, and vapor products in the public 7 buildings and on the grounds of the capitol complex as follows: 8 a. Smoking shall be prohibited within the confines of all 9 buildings operated or owned by the state. 10 b. Smoking shall be prohibited on the grounds of any public 11 building on the capitol complex. 12 c. The use of alternative nicotine products, tobacco 13 products, and vapor products shall be prohibited in all spaces 14 in capitol complex buildings including tunnels and enclosures. 15 d. Use of alternative nicotine products, tobacco products, 16 and vapor products shall be prohibited on the grounds of the 17 capitol complex. 18 2. For the purposes of this section: 19 a. “Alternative nicotine product” means as defined in 20 section 453A.1. 21 b. “Grounds” means an outdoor area of a public building 22 that is used in connection with the building, including but not 23 limited to a sidewalk immediately adjacent to the building, a 24 sitting or standing area immediately adjacent to the building, 25 a patio, a deck, a curtilage or courtyard, or any other outdoor 26 area as designated by the person having custody or control of 27 the public building. 28 c. “Smoking” means as defined in section 142D.2 and also 29 includes but is not limited to burning or vaporizing tobacco 30 or other products in a cigarette, cigar, pipe, electronic 31 cigarette, or any noncombustible product, which may or may 32 not contain nicotine, that employs a heating element, power 33 source, electronic circuit, or other electronic, chemical, or 34 mechanical means, regardless of shape or size, that can be used 35 -8- H1448.2692 (2) 87 tm/rn 8/ 43

to produce vapor from a solution or other substance. 1 d. “Tobacco products” means as defined in section 453A.1. 2 e. “Vapor product” means as defined in section 453A.1. 3 Sec. 19. TAX CREDIT INTERIM STUDY COMMITTEE. The 4 legislative council is requested to appoint an interim 5 study committee for purposes of studying tax credits and 6 the contingent liability report issued by the department of 7 revenue. The committee shall study the ability to refund and 8 transfer tax credits, the fiscal impact ratio of tax credits, 9 the rate of growth of tax credits, and the impact tax credits 10 have on general fund revenue. The committee shall submit a 11 report that includes recommendations to the members of the 12 general assembly by December 29, 2017. 13 DIVISION III 14 CORRECTIVE PROVISIONS 15 Sec. 20. Section 22.13A, subsection 5, paragraph b, as 16 enacted by 2017 Iowa Acts, House File 291, section 51, is 17 amended to read as follows: 18 b. If paragraph “a” , subparagraph (1) or (2) is not 19 consistent with the provision of a collective bargaining 20 agreement, a state agency shall provide the individuals 21 referenced in this subsection , as applicable, with regular 22 reports regarding any personnel settlement agreements entered 23 into with state employees by the state agency. 24 Sec. 21. Section 27.1, as enacted by 2017 Iowa Acts, Senate 25 File 499, section 1, is amended to read as follows: 26 27.1 Definitions. 27 1. For purposes of this section chapter : 28 a. 1. “Monitoring device” means a digital video or audio 29 streaming or recording device that is part of a system of 30 monitoring activity in an area or building using a system in 31 which signals are transmitted from a video camera or microphone 32 to the receivers by cables or wirelessly, forming a closed 33 circuit. 34 b. 2. “Public hospital” means a hospital licensed pursuant 35 -9- H1448.2692 (2) 87 tm/rn 9/ 43

to chapter 135B and governed pursuant to chapter 145A, 263, 1 347, 347A, or 392. 2 c. 3. “Public library” means a library district as 3 described in chapter 336. 4 d. 4. “Public school” means a school district as described 5 in chapter 274. 6 e. 5. “Reasonable expectation of privacy” means a person’s 7 reasonable belief, under the circumstances, that the person can 8 disrobe or partially disrobe in privacy without being concerned 9 that the person is being viewed, photographed, or filmed when 10 doing so. 11 Sec. 22. Section 73A.26, as enacted by 2017 Iowa Acts, 12 Senate File 438, section 6, is amended to read as follows: 13 73A.26 Purpose. 14 The purpose of this chapter subchapter is to provide for 15 more economical, nondiscriminatory, neutral, and efficient 16 procurement of construction-related goods and services by this 17 state and political subdivisions of this state. 18 Sec. 23. Section 80B.19, subsection 2, if enacted by 2017 19 Iowa Acts, Senate File 509, section 22, is amended to read as 20 follows: 21 2. Internal training funds in the internal training 22 clearing fund shall be administered by the academy and shall 23 consist of moneys collected by the academy from billings issued 24 in accordance with this chapter 80B , and any other moneys 25 obtained or accepted by the academy, including but not limited 26 to gifts, loans, donations, grants, and contributions, which 27 are obtained or designated to support the activities of the 28 academy. 29 Sec. 24. Section 84A.1A, subsection 1, paragraph a, 30 subparagraph (8), subparagraph division (b), subparagraph 31 subdivision (iii), as enacted by 2017 Iowa Acts, House File 32 572, section 1, is amended to read as follows: 33 (iii) Two representatives of community-based organizations 34 that have demonstrated experience and expertise in addressing 35 -10- H1448.2692 (2) 87 tm/rn 10/ 43

the employment, training, or education needs of individuals 1 with barriers to employment as defined in the federal Workforce 2 Innovation and Opportunity Act, Pub. L. No. 113-128, §3(24), 3 including but not limited to organizations that serve veterans , 4 or that provide or support competitive, integrated employment 5 for individuals with disabilities; or that serve eligible 6 youth, as defined in the federal Workforce Innovation and 7 Opportunity Act, Pub. L. No. 113-128, §3(18), including 8 representatives of organizations that serve out-of-school 9 youth, as defined in the federal Workforce Innovation and 10 Opportunity Act, Pub. L. No. 113-128, §129(a)(1)(B). 11 Sec. 25. Section 225D.1, subsection 8, Code 2017, as amended 12 by 2017 Iowa Acts, House File 215, section 1, is amended to 13 read as follows: 14 8. “Eligible individual” means a child less than fourteen 15 years of age who has been diagnosed with autism based on a 16 diagnostic assessment of autism, is not otherwise eligible for 17 coverage for applied behavioral analysis treatment or applied 18 behavior analysis treatment under the medical assistance 19 program, section 514C.28 , 514C.31 , or other private insurance 20 coverage, and whose household income does not exceed five 21 hundred percent of the federal poverty level. 22 Sec. 26. Section 261.9, subsection 2A, paragraph b, if 23 enacted by 2017 Iowa Acts, House File 642, section 15, is 24 amended to read as follows: 25 b. Is a barber school licensed under section 158.7 or 26 a school of cosmetology arts and sciences licensed under 27 chapter 157 and is accredited by a national accrediting agency 28 recognized by the United States department of education. For 29 the fiscal year beginning July 1, 2017, an eligible institution 30 under this paragraph shall provide a matching aggregate amount 31 of institutional financial aid equal to at least seventy-five 32 percent of the amount received by the institution’s students 33 for Iowa tuition grant assistance under section 261.16A. 34 For the fiscal year beginning July 1, 2018, the institution 35 -11- H1448.2692 (2) 87 tm/rn 11/ 43

shall provide a matching aggregate amount of institutional 1 financial aid equal to at least eighty-five percent of the 2 amount received in that fiscal year. Commencing with the 3 fiscal year beginning July 1, 2019, and each succeeding fiscal 4 year, the matching aggregate amount of institutional financial 5 aid shall be at least equal to the match provided by eligible 6 institutions under section 261.16A, subsection 2 paragraph “a” . 7 Sec. 27. 2017 Iowa Acts, House File 488, section 57, as 8 enacted, is amended by striking the section and inserting in 9 lieu thereof the following: 10 SEC. 57. Section 455B.474, subsection 2, paragraph a, 11 subparagraph (1), Code 2017, is amended to read as follows: 12 (1) (a) Financial responsibility required by this 13 subsection may be established in accordance with rules adopted 14 by the commission by any one, or any combination, of the 15 following methods: insurance, guarantee, surety bond, letter 16 (i) Insurance. 17 (ii) Guarantee. 18 (iii) Surety bond. 19 (iv) Letter of credit , or qualification . 20 (v) Qualification as a self-insurer. 21 (b) In adopting requirements under this subsection , the 22 commission may specify policy or other contractual terms, 23 conditions, or defenses which are necessary or are unacceptable 24 in establishing the evidence of financial responsibility. 25 Sec. 28. 2017 Iowa Acts, House File 642, section 44, 26 subsection 1, paragraph f, unnumbered paragraph 2, if enacted, 27 is amended to read as follows: 28 From the moneys appropriated in this lettered paragraph 29 “f”, not more than $50,000 shall be used by the department for 30 expenses associated with the activities of the secondary career 31 and technical programming task force convened pursuant to this 32 Act to provide statewide support for work-based learning . 33 Sec. 29. 2017 Iowa Acts, House File 642, section 52, 34 subsection 4, paragraph c, subparagraph (4), is amended to read 35 -12- H1448.2692 (2) 87 tm/rn 12/ 43

as follows: 1 (4) Notwithstanding section 8.33, of the moneys 2 appropriated in this paragraph “c” that remain unencumbered 3 or unobligated at the close of the fiscal year, an amount 4 equivalent to not more than 5 percent of the amount 5 appropriated in this paragraph “c” shall not revert by but 6 shall remain available for expenditure for summer programs for 7 students until the close of the succeeding fiscal year. 8 Sec. 30. 2017 Iowa Acts, House File 642, section 55, 9 subsection 1, paragraph f, unnumbered paragraph 2, if enacted, 10 is amended to read as follows: 11 From the moneys appropriated in this lettered paragraph 12 “f”, not more than $25,000 shall be used by the department for 13 expenses associated with the activities of the secondary career 14 and technical programming task force convened pursuant to this 15 Act to provide statewide support for work-based learning . 16 Sec. 31. 2017 Iowa Acts, Senate File 510, section 22, 17 subsection 1, if enacted, is amended to read as follows: 18 1. Notwithstanding section 466A.2, and the repeal of 19 chapter 466A as provided in this division of this Act, on and 20 after December 31, 2017, the department of agriculture and 21 land stewardship shall manage moneys credited to the watershed 22 improvement fund in the same manner as required in 2016 23 Acts, chapter 1134, section 35, including by making necessary 24 payments to satisfy any outstanding obligations incurred by the 25 watershed improvement review board prior to December 31, 2017. 26 Sec. 32. EFFECTIVE UPON ENACTMENT. The following sections 27 of this division of this Act, being deemed of immediate 28 importance, take effect upon enactment: 29 1. The section of this division of this Act amending section 30 22.13A, subsection 5, paragraph “b”. 31 2. The section of this division of this Act amending section 32 73A.26. 33 3. The section of this division of this Act amending 34 section 84A.1A, subsection 1, paragraph “a”, subparagraph (8), 35 -13- H1448.2692 (2) 87 tm/rn 13/ 43

subparagraph division (b), subparagraph subdivision (iii). 1 Sec. 33. EFFECTIVE DATE. The section of this division of 2 this Act amending section 225D.1, subsection 8, takes effect 3 January 1, 2018. 4 DIVISION IV 5 WEAPONS 6 Sec. 34. Section 724.2A, as enacted by 2017 Iowa Acts, House 7 File 517, section 5, is amended to read as follows: 8 724.2A Peace officer and reserve peace officer —— defined. 9 As used in sections 724.4, 724.6 , and 724.11 , “peace officer” 10 means a certified “peace officer” and includes a reserve peace 11 officer as defined in section 80D.1A . 12 Sec. 35. Section 724.4C, subsection 1, unnumbered paragraph 13 1, as enacted by 2017 Iowa Acts, House File 517, section 8, is 14 amended to read as follows: 15 Except as provided in subsection 2, a person commits a 16 serious misdemeanor if the person is intoxicated as provided 17 under the conditions set out in section 321J.2, subsection 18 1 , paragraph “a” , “b” , or “c” , and the person does any of the 19 following: 20 Sec. 36. Section 724.17, subsection 1, as enacted by 2017 21 Iowa Acts, House File 517, section 22, is amended to read as 22 follows: 23 1. The application for a permit to acquire pistols or 24 revolvers may be made to the sheriff of the county of the 25 applicant’s residence and shall be on a form prescribed 26 and published by the commissioner of public safety. The 27 application shall require only the full name of the applicant, 28 the driver’s license or nonoperator’s identification card 29 number of the applicant, the residence of the applicant, and 30 the date and place of birth of the applicant , and whether the 31 applicant meets the criteria specified in section 724.15 . 32 The applicant shall also display an identification card that 33 bears a distinguishing number assigned to the cardholder, the 34 full name, date of birth, sex, residence address, and brief 35 -14- H1448.2692 (2) 87 tm/rn 14/ 43

description and color photograph of the cardholder, or other 1 identification as specified by rule of the department of public 2 safety. The sheriff shall conduct a criminal history check 3 concerning each applicant by obtaining criminal history data 4 from the department of public safety which shall include an 5 inquiry of the national instant criminal background check 6 system maintained by the federal bureau of investigation or any 7 successor agency. A person who makes what the person knows 8 to be a false statement of material fact on an application 9 submitted under this section or who submits what the person 10 knows to be any materially falsified or forged documentation in 11 connection with such an application commits a class “D” felony. 12 Sec. 37. Section 724.22, subsection 9, as enacted by 2017 13 Iowa Acts, House File 517, section 29, is amended to read as 14 follows: 15 9. A parent, guardian, spouse, or instructor, who knowingly 16 provides direct supervision under subsection 5, of a person 17 while intoxicated as provided under the conditions set out 18 in section 321J.2, subsection 1, or under the influence of 19 an illegal drug paragraph “a” , “b” , or “c” , commits child 20 endangerment in violation of section 726.6, subsection 1, 21 paragraph “i” . 22 Sec. 38. Section 726.6, subsection 1, paragraph i, as 23 enacted by 2017 Iowa Acts, House File 517, section 30, is 24 amended to read as follows: 25 i. Knowingly provides direct supervision of a person under 26 section 724.22, subsection 5, while intoxicated as provided 27 under the conditions set out in section 321J.2, subsection 1, 28 or under the influence of an illegal drug paragraph “a” , “b” , 29 or “c” . 30 Sec. 39. 2017 Iowa Acts, House File 517, section 50, 31 subsection 1, as enacted, is amended to read as follows: 32 1. The section sections of this Act amending section 33 sections 724.22 and 726.6 . 34 Sec. 40. REPEAL. 2017 Iowa Acts, House File 517, section 35 -15- H1448.2692 (2) 87 tm/rn 15/ 43

16, as enacted, is repealed. 1 Sec. 41. EFFECTIVE UPON ENACTMENT. The section of this 2 division of this Act amending 2017 Iowa Acts, House File 517, 3 section 50, subsection 1, being deemed of immediate importance, 4 takes effect upon enactment. 5 Sec. 42. RETROACTIVE APPLICABILITY. The section of this 6 division of this Act amending 2017 Iowa Acts, House File 517, 7 section 50, subsection 1, applies retroactively to April 13, 8 2017. 9 DIVISION V 10 VAPOR AND ALTERNATIVE NICOTINE PRODUCTS —— TAX 11 Sec. 43. Section 453A.1, Code 2017, is amended by adding the 12 following new subsection: 13 NEW SUBSECTION . 7A. “Delivery sale” means any sale of 14 an alternative nicotine product or a vapor product to a 15 purchaser in this state where the purchaser submits the order 16 for such sale by means of a telephonic or other method of 17 voice transmission, mail or any other delivery service, or the 18 internet or other online service and the alternative nicotine 19 product or vapor product is delivered by use of mail or a 20 delivery service. The sale of an alternative nicotine product 21 or vapor product shall constitute a delivery sale regardless of 22 whether the seller is located in this state. “Delivery sale” 23 does not include a sale to a distributor or retailer of any 24 alternative nicotine product or vapor product not for personal 25 consumption. 26 Sec. 44. Section 453A.1, subsection 20, Code 2017, is 27 amended to read as follows: 28 20. “Place of business” is construed to mean and include any 29 place where cigarettes are sold or where cigarettes are stored 30 within or without the state of Iowa by the holder of an Iowa 31 permit or kept for the purpose of sale or consumption; or if 32 sold from any vehicle or train, the vehicle or train on which 33 or from which such cigarettes are sold shall constitute a place 34 of business ; or for a business within or without the state that 35 -16- H1448.2692 (2) 87 tm/rn 16/ 43

conducts delivery sales, any place where alternative nicotine 1 products or vapor products are sold or where alternative 2 nicotine products or vapor products are kept for the purpose 3 of sale . 4 Sec. 45. Section 453A.13, subsection 1, Code 2017, is 5 amended to read as follows: 6 1. Permits required. Every distributor, wholesaler, 7 cigarette vendor, and retailer, now engaged or who desires to 8 become engaged in the sale or use of cigarettes, upon which a 9 tax is required to be paid, and every retailer now engaged or 10 who desires to become engaged in selling, offering for sale, or 11 distributing alternative nicotine products or vapor products , 12 including through delivery sales, shall obtain a state or 13 retail permit as a distributor, wholesaler, cigarette vendor, 14 or retailer, as the case may be. 15 Sec. 46. Section 453A.13, subsection 2, paragraph a, Code 16 2017, is amended to read as follows: 17 a. The department shall issue state permits to distributors, 18 wholesalers, and cigarette vendors and retailers that make 19 delivery sales of alternative nicotine products and vapor 20 products subject to the conditions provided in this division . 21 If an out-of-state retailer makes delivery sales of alternative 22 nicotine products or vapor products, an application shall be 23 filed with the department and a permit shall be issued for the 24 out-of-state retailer’s principal place of business. Cities 25 may issue retail permits to dealers retailers with a place of 26 business located within their respective limits. County boards 27 of supervisors may issue retail permits to dealers retailers 28 with a place of business in their respective counties, outside 29 of the corporate limits of cities. 30 Sec. 47. Section 453A.42, Code 2017, is amended by adding 31 the following new subsection: 32 NEW SUBSECTION . 2A. “Delivery sale” means any sale of 33 an alternative nicotine product or a vapor product to a 34 purchaser in this state where the purchaser submits the order 35 -17- H1448.2692 (2) 87 tm/rn 17/ 43

for such sale by means of a telephonic or other method of 1 voice transmission, mail or any other delivery service, or the 2 internet or other online service and the alternative nicotine 3 product or vapor product is delivered by use of mail or a 4 delivery service. The sale of an alternative nicotine product 5 or vapor product shall constitute a delivery sale regardless of 6 whether the seller is located in this state. “Delivery sale” 7 does not include a sale to a distributor or retailer of any 8 alternative nicotine product or vapor product not for personal 9 consumption. 10 Sec. 48. Section 453A.42, subsection 8, Code 2017, is 11 amended to read as follows: 12 8. “Place of business” means any place where tobacco 13 products are sold or where tobacco products are manufactured, 14 stored, or kept for the purpose of sale or consumption, 15 including any vessel, vehicle, airplane, train, or vending 16 machine ; or for a business within or without the state that 17 conducts delivery sales, any place where alternative nicotine 18 products or vapor products are sold or where alternative 19 nicotine products or vapor products are kept for the purpose of 20 sale, including delivery sales . 21 Sec. 49. Section 453A.47A, subsections 1, 3, and 6, Code 22 2017, are amended to read as follows: 23 1. Permits required. A person shall not engage in 24 the business of a retailer of tobacco, tobacco products, 25 alternative nicotine products, or vapor products at any place 26 of business , or through delivery sales, without first having 27 received a permit as a retailer. 28 3. Number of permits. An application shall be filed and a 29 permit obtained for each place of business owned or operated by 30 a retailer located in the state . If an out-of-state retailer 31 makes delivery sales of alternative nicotine products or vapor 32 products, an application shall be filed with the department 33 and a permit shall be issued for the out-of-state retailer’s 34 principal place of business. 35 -18- H1448.2692 (2) 87 tm/rn 18/ 43