H-1398

   Amend House File 859 as follows:
   1.  Page 1, by striking lines 26 through 29.
   2.  Page 1, line 30, by striking <29B.> and inserting <29A.>
   3.  Page 1, line 33, by striking <29C.> and inserting <29B.>
   4.  Page 2, line 6, after <classification> by inserting <not subject to restrictions>
   5.  Page 2, line 9, after <classification> by inserting <not subject to restrictions>
   6.  Page 5, line 11, by striking <two> and inserting <one>
   7.  Page 5, line 21, by striking <two> and inserting <one>
   8.  Page 6, line 5, by striking <two> and inserting <one>
   9.  By striking page 7, line 32, through page 8, line 4, and inserting: 
   <NEW SUBSECTION.  4.  A retail dealer shall not be subject to a criminal or civil penalty under this section or an administrative action suspending or revoking a license under this section or section 214.2A for a violation of any of the following:
   a.  A restriction applying to special use gasoline sold at a retail motor fuel site as provided in section 214A.31, subsections 1 and 2, if all of the following apply:
   (1)  The special use gasoline dispensed at the retail motor fuel site is selected by the end consumer of the gasoline.
   (2)  Each dispensing unit located at the retail motor fuel site is labeled in compliance with applicable federal and state requirements, including as provided in sections 214A.35 and 214A.36.
   b.  (1)  A restriction applying to special use gasoline sold at a retail motor fuel site provided in section 214A.32, subsections 1 and 2, if all of the following apply:
   (a)  The special use gasoline dispensed at the retail motor fuel site is selected by the end consumer of the gasoline.
   (b)  Each dispensing unit located at the retail motor fuel site is labeled in compliance with applicable federal and state requirements, including as provided in sections 214A.35 and 214A.36.
   (2)  (a)  This paragraph “b” shall be implemented on January 1, 2026.
   (b)  This subparagraph (2) is repealed January 2, 2026.
   c.  (1)  A restriction applying to special use diesel fuel sold at a retail motor fuel site provided in section 214A.34, subsections 1 and 2, if all of the following apply:
   (a)  The special use diesel fuel dispensed at the retail motor fuel site is selected by the end consumer of the gasoline.
   (b)  Each dispensing unit located at the retail motor fuel site is labeled in compliance with applicable federal and state requirements, including as provided in sections 214A.35 and 214A.36.
   (2)  (a)  This paragraph “c” shall be implemented on April 1, 2022.
   (b)  This subparagraph (2) is repealed April 2, 2022.>
   10.  Page 8, by striking lines 7 through 10 and inserting: 
   <1.  A retail dealer shall not knowingly advertise for sale or knowingly sell special use gasoline classified as E-0 as provided in section 214A.2.
   2.  Notwithstanding subsection 1, a retail dealer may advertise for sale or sell special use gasoline classified as E-0 as provided in section 214A.2 to power an engine that operates any of the following: 
   a.  A 1985 or older model year motor vehicle. 
   b.  A motorcycle as defined in section 321.1. 
   c.  An all-terrain vehicle as defined in section 321.1. 
   d.  A snowmobile as defined in section 321G.1. 
   e.  A vehicle serviced by a marina, dock, or airport. 
   f.  A vehicle principally designed for use off a public highway.
   g.  Machinery or equipment not primarily designed to transport a person or property.
   3.  A retail dealer shall not knowingly advertise for sale or knowingly sell special use gasoline classified as E-0 as provided in subsection 2, unless the gasoline is premium grade unleaded gasoline as provided in section 214A.2.>
   11.  Page 8, line 13, after <sale> by inserting <or knowingly sell>
   12.  Page 8, line 17, after <sale> by inserting <or sell>
   13.  Page 8, line 18, after <higher> by inserting <as provided in section 214A.2>
   14.  Page 8, after line 27 by inserting: 
   <3.  A retail dealer shall not knowingly advertise for sale or knowingly sell special use gasoline classified as E-10 or higher up to but not including E-15 as provided in subsection 2, unless the gasoline is premium grade unleaded gasoline as provided in section 214A.2.>
   15.  Page 8, line 28, by striking <3.> and inserting <4.>
   16.  Page 8, line 28, by striking <2028> and inserting <2026>
   17.  Page 8, line 29, by striking <2028> and inserting <2026>
   18.  By striking page 8, line 30, through page 9, line 4 and inserting:
   <Sec. ___.  NEW SECTION.  214A.33  Gasoline classified as E-15 or higher —— retail motor fuel sites.
   1.  A retail dealer who advertises for sale or sells gasoline from more than two dispensing units located at a retail motor fuel site shall not knowingly advertise for sale or knowingly sell gasoline classified as less than E-15 from any number of its dispensing units, unless the retail dealer also advertises for sale or sells gasoline classified as E-15 or higher from at least one of the dispensing units located at the retail motor fuel site.
   2.  Subsection 1 does not apply to a retail motor fuel site that was used by a retail dealer as a permanent location to sell and dispense gasoline at any time within six months prior to the effective date of this section of this division of this Act.>
   19.  Page 9, line 9, after <sale> by inserting <or knowingly sell>
   20.  Page 9, line 12, after <sale> by inserting <or sell>
   21.  Page 9, line 13, after <higher> by inserting <as provided in section 214A.2>
   22.  Page 9, after line 22 by inserting: 
   <4.  a.  This section shall be implemented on April 1, 2022.
   b.  This subsection is repealed April 2, 2022.>
   23.  Page 9, line 33, by striking <the sale of> and inserting <for sale or selling>
   24.  Page 10, line 2, after <gasoline.> by inserting <To the extent required by the department, the decal shall describe the types of engines that may be powered by using that gasoline as provided in section 214A.31, subsection 2.>
   25.  Page 10, lines 3 and 4, by striking <the sale of> and inserting <for sale or selling>
   26.  Page 10, line 7, by striking <gasoline and list> and inserting <gasoline. To the extent required by the department, the decal shall describe>
   27.  Page 10, line 11, by striking <2028> and inserting <2026>
   28.  Page 10, line 12, by striking <2028> and inserting <2026>
   29.  Page 10, line 13, by striking <the sale of> and inserting <for sale or selling>
   30.  Page 10, line 17, after <4.> by inserting <a.>
   31.  Page 10, lines 17 and 18, by striking <the sale of> and inserting <for sale or selling>
   32.  Page 10, line 21, by striking <fuel and list> and inserting <fuel. To the extent required by the department, the decal shall describe>
   33.  Page 10, after line 23 by inserting: 
   <b.  (1)  This subsection shall be implemented on April 1, 2022.
   (2)  This paragraph “b” is repealed April 2, 2022.>
   34.  Page 11, by striking lines 4 through 12 and inserting: 
   <2.  a.  The order may allow the retail dealer to advertise for sale or sell special use gasoline classified as E-0 without restriction, notwithstanding section 214A.31, subsections 1 and 2. If the order allows the retail dealer to sell the special use gasoline, it may also allow the retail dealer to advertise for sale or sell the E-0 as regular grade unleaded gasoline, notwithstanding section 214A.31, subsection 3.
   b.  The order may require that the retail dealer affix a clearly visible decal to each dispensing unit discharging such gasoline that describes the gasoline’s allowable use under the order, notwithstanding section 214A.36, subsection 1.
   3.  a.  The order may allow the retail dealer to advertise for sale or sell special use gasoline classified as E-10 without restriction, notwithstanding section 214A.32, subsections 1 and 2. If the order allows the retail dealer to sell the special use gasoline, it may also allow the retail dealer to advertise for sale or sell the E-10 as regular grade unleaded gasoline, notwithstanding section 214A.32, subsection 3.
   b.  The order may require that the retail dealer affix a clearly visible decal to each dispensing unit discharging such gasoline that describes the gasoline’s allowable use under the order, notwithstanding section 214A.36, subsection 2.>
   35.  Page 11, line 13, by striking <b.> and inserting <c.>
   36.  Page 11, line 14, by striking <2028> and inserting <2026>
   37.  Page 11, line 15, by striking <“b”> and inserting <“c”>
   38.  Page 11, line 15, by striking <2028> and inserting <2026>
   39.  Page 11, after line 15 by inserting: 
   <4.  The order may allow the retail dealer to advertise for sale or sell ethanol blended gasoline classified as E-10 in lieu of E-15 from a dispensing unit located at a retail motor fuel site without restriction, notwithstanding section 214A.33. If the order allows a retail dealer to advertise for sale and sell E-10 from the dispensing unit, it may require that the gasoline is premium grade unleaded gasoline as provided in section 214A.2.>
   40.  Page 11, line 16, by striking <4.> by inserting <5.a.>
   41.  Page 11, by striking lines 17 and 18 and inserting <for sale or sell diesel fuel classified as B-0 or biodiesel blended fuel without restriction, notwithstanding section 214A.34.
   b.  The order may require that the retail dealer affix a clearly visible decal to each dispensing unit discharging such diesel fuel that describes the diesel fuel’s allowable use under the order, notwithstanding section 214A.36, subsection 4.
   c.  (1)  This subsection shall be implemented on April 1, 2022.
   (2)  This paragraph “c” is repealed April 2, 2022.>
   42.  Page 11, line 19, by striking <5.> and inserting <6.>
   43.  Page 11, line 21, by striking <grade or classification> and inserting <classification or grade>
   44.  Page 11, line 22, before <standard> by inserting <obtain the required classification of>
   45.  Page 11, line 24, by striking <6.> and inserting <7.>
   46.  Page 11, line 27, by striking <7.> and inserting <8.>
   47.  Page 11, line 29, by striking <8.> and inserting <9.>
   48.  Page 12, by striking lines 4 through 12 and inserting: 
   <2.  a.  The order may allow the retail dealer to advertise for sale or sell special use gasoline classified as E-0 without restriction, notwithstanding section 214A.31, subsections 1 and 2. If the order allows the retail dealer to sell the special use gasoline, it may also allow the retail dealer to advertise for sale or sell the E-0 as regular grade unleaded gasoline, notwithstanding section 214A.31, subsection 3.
   b.  The order may require that the retail dealer affix a clearly visible decal to each dispensing unit discharging such gasoline that describes the gasoline’s allowable use under the order notwithstanding section 214A.36, subsection 1.
   3.  a.  The order may allow the retail dealer to advertise for sale or sell special use gasoline classified as E-10 without restriction, notwithstanding section 214A.32, subsections 1 and 2. If the order allows the retail dealer to sell the special use gasoline, it may also allow the retail dealer to advertise for sale or sell the E-10 as regular grade unleaded gasoline, notwithstanding section 214A.32, subsection 3.
   b.  The order may require that the retail dealer affix a clearly visible decal to each dispensing unit discharging such gasoline that describes the gasoline’s allowable use under the order, notwithstanding section 214A.36, subsection 2.>
   49.  Page 12, line 13, by striking <b.> and inserting <c.>
   50.  Page 12, line 14, by striking <2028> and inserting <2026>
   51.  Page 12, line 15, by striking <“b”> and inserting <“c”>
   52.  Page 12, line 15, by striking <2028> and inserting <2026>
   53.  Page 12, after line 15 by inserting: 
   <4.  The order may allow the retail dealer to advertise for sale or sell ethanol blended gasoline classified as E-10 in lieu of E-15 from a dispensing unit located at a retail motor fuel site without restriction, notwithstanding section 214A.33. If the order allows a retail dealer to advertise for sale and sell E-10 from the dispensing unit, it may require that the gasoline is premium grade unleaded gasoline as provided in section 214A.2.>
   54.  Page 12, by striking lines 16 through 19 and inserting: 
   <5.  a.  The order may allow retail dealers to advertise for sale or sell diesel fuel classified as B-0 or biodiesel blended fuel as provided in section 214A.2 without restriction, notwithstanding section 214A.34.
   b.  The order may require that the retail dealer affix a clearly visible decal to each dispensing unit discharging such diesel fuel that describes the diesel fuel’s allowable use under the order, notwithstanding section 214A.36, subsection 4.
   c.  (1)  This subsection shall be implemented on April 1, 2022.
   (2)  This paragraph “c” is repealed April 2, 2022.>
   55.  Page 12, line 20, by striking <5.> and inserting <6.>
   56.  Page 12, by striking lines 26 and 27 and inserting: 
   <b.  It is not commercially feasible to obtain the required classification or grade of gasoline or the required classification of diesel fuel to be advertised for>
   57.  Page 12, line 30, by striking <6.> and inserting <7.>
   58.  By striking page 13, line 1, through page 14, line 23, and inserting: 
   <Sec. ___.  NEW SECTION.  214A.43  Exception for special use gasoline requirements —— future implementation.
   1.  As used in this section, “department” means the department of natural resources.
   2.  The director of the department may issue an administrative order granting a retail dealer an exception from the requirements of section 214A.32.
   a.  The order may allow the retail dealer to advertise for sale or sell gasoline classified as E-10 or higher and that is premium grade gasoline as provided in section 214A.2 without restriction, notwithstanding section 214A.32. 
   b.  The order may require the retail dealer to affix a clearly visible decal to each dispensing unit discharging such gasoline that describes the gasoline’s allowable use under the order, notwithstanding section 214A.36, subsection 2.
   3.  A retail dealer must apply for an exception by submitting a form to the department in a manner and according to procedures required by the department.
   4.  The department shall grant an exception to a retail dealer for each retail motor fuel site identified in the application, if all of the following apply:
   a.  The retail dealer cannot comply with section 214A.32 because the retail motor fuel site’s existing underground motor fuel storage and dispensing infrastructure is incompatible with standard use gasoline classified as E-15 or higher.
   b.  The retail motor fuel site’s existing underground motor fuel storage and dispensing infrastructure has not been installed, replaced, or converted on or after January 1, 2010.
   5.  The department shall terminate the order granting the exception when the department determines that the retail dealer has installed, replaced, or converted underground motor fuel storage and dispensing infrastructure on or after the effective date of this section of this division of this Act.
   6.  The department shall file the order granting the exception or terminating the exception in the same manner as a final order pursuant to section 17A.3. The order shall take effect on a date stated in the order.>
   59.  Page 14, line 24, by striking <2028> and inserting <2026>
   60.  Page 14, line 25, by striking <2028> and inserting <2026>
   61.  Page 14, by striking lines 26 through 31 and inserting: 
   <Sec. ___.  RULEMAKING —— EXCEPTION FROM STANDARD USE GASOLINE REQUIREMENTS.  The department of natural resources shall adopt rules pursuant to chapter 17A on or before January 1, 2025, as necessary to allow retail dealers to apply for an exception from the standard use gasoline requirements and for the department to receive and consider such application as provided in section 214A.43, prior to January 1, 2026.>
   62.  Page 15, line 11, by striking <214A.1A> and inserting <214A.1A, subject to the exemptions provided in section 214A.11>
   63.  Page 16, by striking lines 11 through 15 and inserting <to allow retail dealers to apply for an exception from the standard use gasoline requirements as provided in section 214A.43 and for the department to consider those applications takes effect upon enactment.>
   64.  Page 16, by striking lines 20 through 26 and inserting: 
   <Sec. ___.  Section 159A.11, Code 2021, is amended by adding the following new subsection:
   NEW SUBSECTION.  6A.  “Small retail dealer” means a retail dealer engaged in the business of storing and dispensing motor fuel from a motor fuel pump advertised for sale or sold on a retail basis at fewer than ten permanent retail motor fuel sites.>
   65.  Page 17, line 35, by striking <(1)>
   66.  Page 18, by striking lines 2 and 3 and inserting: 
   <(a)  (1)  Store and dispense biodiesel classified as B-l00 or biodiesel blended fuel classified as B-20 or higher.
   (2)  Dispense biodiesel blended fuel classified as B-20 or higher.>
   67.  Page 18, line 4, by striking <(b)> and inserting   <(b)  (3)>
   68.  Page 18, by striking line 12.
   69.  By striking page 18, line 24, through page 19, line 4, and inserting: 
   <a.  (1)  The department shall establish an annual deadline for submitting applications by persons seeking to participate in the program. Of all unobligated or unencumbered moneys available to finance eligible persons submitting timely applications, the infrastructure board shall allocate those moneys according to the following formula:
   (a)  For the first category, sixty percent of the available moneys shall be used to finance eligible persons submitting applications to improve retail motor fuel sites that have been constructed and are operating.
   (b)  For the second category, forty percent of the available moneys shall be used to finance eligible persons submitting applications to improve retail motor fuel sites that are in any stage of construction and are not operating. 
   (2)  Whether a retail motor fuel site is constructed and operating shall be determined on the date that the application is submitted to the department.
   (3)  For each category the infrastructure board shall provide priority to small retail dealers.
   (4)  If available moneys remain after all applications submitted by eligible persons assigned to one category have been approved, the infrastructure board shall use those remaining moneys to finance any eligible persons assigned to the other category.
   b.  The department shall award financial incentives on a cost-share basis to an eligible person whose application was approved by the infrastructure board.>
   70.  Page 20, by striking line 31.
   71.  Page 20, line 32, by striking <(1)>
   72.  Page 21, by striking line 3.
   73.  Page 23, by striking lines 1 through 9.
   74.  Page 24, after line 27 by inserting: 
   <Sec. ___.  Section 422.11O, subsection 5, Code 2021, is amended to read as follows:
   5.  a.  A retail dealer is eligible to claim an E-85 gasoline promotion tax credit as provided in this section even though the retail dealer claims an E-15 plus gasoline promotion tax credit pursuant to section 422.11Y for the same tax year.
   b.  This subsection is repealed January 1, 2026.>
   75.  Page 26, line 13, by striking <2028> and inserting <2026>
   76.  Page 26, line 22, by striking <2028> and inserting <2026>
   77.  Page 27, line 32, by striking <2027, and> and inserting <2025, and>
   78.  Page 27, line 32, by striking <2024 2027> and inserting <2024 2025>
   79.  Page 28, line 4, by striking <2027> and inserting <2025>
   80.  Page 28, line 7, by striking <2027> and inserting <2025>
   81.  By renumbering as necessary.

______________________________
HEIN of Jones