House File 856 H-1087 Amend House File 856 as follows: 1 1. Page 1, before line 1 by inserting: 2 < DIVISION I 3 STATE ENTITIES —— DIVERSITY, EQUITY, AND INCLUSION ACTIVITIES 4 PROHIBITED > 5 2. Page 5, line 3, after < This > by inserting < division of 6 this > 7 3. Page 5, after line 4 by inserting: 8 < DIVISION ___ 9 COMMUNITY COLLEGES —— DIVERSITY, EQUITY, AND INCLUSION 10 ACTIVITIES PROHIBITED 11 Sec. ___. Section 261J.1, subsection 3, as enacted by 2024 12 Iowa Acts, chapter 1152, section 31, is amended to read as 13 follows: 14 3. “Public institution of higher education” means an 15 institution of higher learning governed by the state board of 16 regents or a community college . 17 Sec. ___. Section 261J.4, as enacted by 2024 Iowa Acts, 18 chapter 1152, section 34, is amended to read as follows: 19 261J.4 Reporting. 20 Each public institution of higher education governed by 21 the state board of regents shall, on or before December 1 of 22 each year, submit an annual report to the general assembly and 23 the governor that certifies the public institution of higher 24 education’s institution’s compliance with this chapter . 25 Sec. ___. 2024 Iowa Acts, chapter 1152, section 36, is 26 amended to read as follows: 27 SEC. 36. FY 2025-2026 APPROPRIATIONS —— REALLOCATION. At 28 the close of the fiscal year beginning July 1, 2025, all 29 unexpended moneys appropriated by the general assembly for the 30 fiscal year that would have been expended by an institution 31 of higher learning governed by the state board of regents on 32 diversity, equity, and inclusion offices or diversity, equity, 33 and inclusion officers on or after the effective date of this 34 division of this Act are reallocated to the Iowa workforce 35 -1- HF 856.909 (2) 91 je/ns 1/ 5 #1. #2. #3.

grant and incentive program fund established pursuant to 1 section 256.230, subsection 8 . 2 DIVISION ___ 3 PRIVATE INSTITUTIONS OF HIGHER EDUCATION —— DIVERSITY, EQUITY, 4 AND INCLUSION ACTIVITIES PROHIBITED 5 Sec. ___. Section 256.183, subsection 1, unnumbered 6 paragraph 1, Code 2025, is amended to read as follows: 7 “Accredited private institution” means an institution of 8 higher learning located in Iowa which is operated privately 9 and not controlled or administered by any state agency or 10 any subdivision of the state and which meets the criteria in 11 paragraphs “a” and “b” and all of the criteria in paragraphs “d” 12 through “j” “k” , except that institutions defined in paragraph 13 “c” of this subsection are exempt from the requirements of 14 paragraphs “a” and “b” : 15 Sec. ___. Section 256.183, subsection 1, Code 2025, is 16 amended by adding the following new paragraph: 17 NEW PARAGRAPH . k. Adopt a policy for compliance with 18 chapter 261K. 19 Sec. ___. Section 256.183, subsection 3, Code 2025, is 20 amended to read as follows: 21 3. “Eligible institution” means an institution of higher 22 learning located in Iowa which is operated privately and 23 not controlled or administered by any state agency or any 24 subdivision of the state, which is not exempt from taxation 25 under section 501(c)(3) of the Internal Revenue Code, and which 26 meets all of the criteria in subsection 1 , paragraphs “d” 27 through “j” “k” , and is a school of barbering and cosmetology 28 arts and sciences licensed under chapter 157 and is accredited 29 by a national accrediting agency recognized by the United 30 States department of education. For the fiscal year beginning 31 July 1, 2017, such a school of barbering and cosmetology arts 32 and sciences shall provide a matching aggregate amount of 33 institutional financial aid equal to at least seventy-five 34 percent of the amount received by the institution’s students 35 -2- HF 856.909 (2) 91 je/ns 2/ 5

for Iowa tuition grant assistance under section 256.191 . For 1 the fiscal year beginning July 1, 2018, the school of barbering 2 and cosmetology arts and sciences shall provide a matching 3 aggregate amount of institutional financial aid equal to at 4 least eighty-five percent of the amount received in that fiscal 5 year. Commencing with the fiscal year beginning July 1, 2019, 6 and each succeeding fiscal year, the matching aggregate amount 7 of institutional financial aid shall be at least equal to the 8 match provided by eligible institutions under section 261.9, 9 subsection 3 , paragraph “a” , Code 2023. 10 Sec. ___. NEW SECTION . 261K.1 Definitions. 11 As used in this chapter, unless the context otherwise 12 requires: 13 1. “Department” means the department of education. 14 2. “Diversity, equity, and inclusion” means the same as 15 defined in section 261J.1, as enacted by 2024 Iowa Acts, ch. 16 1152, §31. 17 3. “Diversity, equity, and inclusion office” means the same 18 as defined in section 261J.1, as enacted by 2024 Iowa Acts, ch. 19 1152, §31. 20 4. “Private institution of higher education” means an 21 accredited private institution as defined in section 256.183 or 22 an eligible institution as defined in section 256.183. 23 Sec. ___. NEW SECTION . 261K.2 Diversity, equity, and 24 inclusion office prohibited. 25 1. A private institution of higher education shall not, 26 except as otherwise provided by federal or state law or 27 accreditation standards, establish, sustain, support, or staff 28 a diversity, equity, and inclusion office. 29 2. Subsection 1 shall not be construed to cover or affect a 30 private institution of higher education’s funding of any of the 31 following: 32 a. Academic course instruction. 33 b. Research or creative works by the private institution 34 of higher education’s students, faculty, or other research 35 -3- HF 856.909 (2) 91 je/ns 3/ 5

personnel, and the dissemination of such research or creative 1 works. 2 c. Activities of registered student organizations. 3 d. Arrangements for guest speakers and performers with 4 short-term engagements. 5 e. Mental or physical health services provided by licensed 6 professionals. 7 3. Subsection 1 shall not be construed as prohibiting bona 8 fide qualifications based on sex that are reasonably necessary 9 to the normal operation of private higher education. 10 Sec. ___. NEW SECTION . 261K.3 Enforcement. 11 1. Any person may report a private institution of higher 12 education’s potential violation of section 261K.2 to the 13 attorney general. The attorney general shall provide notice 14 of such report to the department and the institution within 15 fifteen days. No later than thirty days after receiving such 16 notice, the institution shall do one of the following: 17 a. Correct the violation and provide documentation of the 18 correction to the attorney general and the department. 19 b. Provide documentation to the attorney general and the 20 department demonstrating that the action of the institution 21 upon which the report was based was not a violation of section 22 261K.2. 23 2. If, upon the conclusion of the thirty-day period 24 provided in subsection 1, the institution has not complied 25 with subsection 1, paragraph “a” , or provided documentation 26 under subsection 1, paragraph “b” , that demonstrates to 27 the satisfaction of the attorney general that a violation 28 of section 261K.2 did not occur, the institution shall be 29 ineligible to participate in the tuition grant program under 30 chapter 256, subchapter VII, part 4, subpart B, as of the 31 next academic year beginning thereafter. If either action is 32 carried out by the institution by October 1 of an academic 33 year, eligibility shall be restored as of the next academic 34 year beginning after such action is carried out. The attorney 35 -4- HF 856.909 (2) 91 je/ns 4/ 5

general shall notify the college student aid commission to this 1 effect. > 2 4. Title page, by striking lines 1 through 4 and inserting 3 < An Act prohibiting public entities from engaging in certain 4 activities relating to diversity, equity, and inclusion, 5 creating a private cause of action, and including > 6 5. By renumbering as necessary. 7 ______________________________ COLLINS of Des Moines -5- HF 856.909 (2) 91 je/ns 5/ 5 #4. #5.