Senate File 465 - Enrolled




                                          SENATE FILE 465

                             AN ACT
 RELATING TO IDENTITY THEFT PROTECTION BY REQUIRING REPORTING
    AND BY MAKING CHANGES TO THE DUTIES OF COUNTY RECORDERS,
    THE FEES COLLECTED BY THE COUNTY RECORDERS, AND THE COUNTY
    LAND RECORD INFORMATION SYSTEM.

 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 331.601A, Code 2009, is amended by
 adding the following new subsections:
    NEW SUBSECTION.  0A.  "Batch basis" means the delivery of
 an accumulation of electronic documents or records recorded or
 maintained by the county recorder.
    NEW SUBSECTION.  1A.  "Electronic document" means a
 document or instrument that is received, processed,
 disseminated, or maintained in an electronic format.  The
 submission of an electronic document through the county land
 record information system electronic submission service shall
 be equivalent to delivery of a document through the United
 States postal service or by personal delivery at designated
 offices in each county.  Persons who submit electronic
 documents for recording are responsible for ensuring that the
 electronic documents comply with all requirements for
 recording.
    Sec. 2.  Section 331.603, Code 2009, is amended by adding
 the following new subsection:
    NEW SUBSECTION.  5.  a.  The governing board of the county
 land record information system shall not enter into an
 agreement to provide access to electronic documents or records
 on a batch basis.  The county recorder may collect reasonable
 fees for access to electronic documents and records pursuant
 to an agreement.  The fees shall not exceed the actual cost of
 providing access to the electronic documents and records.
 "Actual cost" means only those expenses directly attributable
 to providing access to electronic documents and records.
 "Actual cost" shall not include costs such as employment
 benefits, depreciation, maintenance, electricity, or insurance
 associated with the administration of the office of the county
 recorder or the county land record information system.
    b.  Electronic documents and records made available under
 this subsection shall not include personally identifiable
 information and shall be subjected to a redaction process
 prior to the transfer of the electronic documents or records
 to another person pursuant to an agreement under paragraph
 "a".
    Sec. 3.  Section 331.604, subsection 3, Code 2009, as
 amended by 2009 Iowa Acts, Senate File 288, section 6, is
 amended to read as follows:
    3.  a.  The Each county shall participate in the county
 land record information system and shall comply with the
 policies and procedures established by the governing board of
 the county land record information system.
    b.  (1)  For the period beginning July 1, 2004, and ending
 June 30, 2009, the county recorder shall also collect a fee of
 one dollar for each recorded transaction, regardless of the
 number of pages, for which a fee is paid pursuant to
 subsection 1 to be used for the purpose set forth in paragraph
 "c" "d".
    (2)  For the period beginning July 1, 2009, and ending June
 30, 2011, the recorder shall also collect a fee of three
 dollars for each recorded transaction, regardless of the
 number of pages, for which a fee is paid pursuant to
 subsection 1 to be used for the following purposes:
    (a)  Maintaining the statewide internet website and the
 county land record information system.
    (b)  Integrating information contained in documents and
 records maintained by the recorder and other land record
 information from other sources with the county land record
 information system.
    (c)  Implementing and maintaining a process for redacting
 personally identifiable information contained in electronic
 documents that are displayed for public access through an
 internet website or that are transferred to another person.
    (3)  Beginning July 1, 2011, the recorder shall also
 collect a fee of one dollar for each recorded transaction,
 regardless of the number of pages, for which a fee is paid
 pursuant to subsection 1 to be used for the purposes in
 subparagraph (2) and for the following purposes:
    (a)  Establishing and implementing standards for recording,
 processing, and archiving electronic documents and records.
    (b)  Expanding access to records by encouraging electronic
 indexing and scanning of documents and instruments recorded in
 prior years.
    (4)  Notwithstanding subparagraph (2), the fee collected by
 the recorder under this subsection for recording a plat of
 survey is one dollar, regardless of the number of pages.  For
 purposes of this subparagraph, "plat of survey" means the same
 as defined in section 355.1, subsection 9.
    (5)  Fees collected in excess of the amount needed for the
 purposes specified in this subsection shall be used by the
 county land record information system to reduce or eliminate
 service fees for electronic submission of documents and
 instruments.
    b.  c.  The county treasurer, on behalf of the recorder,
 shall establish and maintain a county recorder's electronic
 transaction fund into which all moneys collected pursuant to
 paragraph "a" "b" shall be deposited.  Interest earned on
 moneys deposited in this fund shall be computed based on the
 average monthly balance in the fund and shall be credited to
 the county recorder's electronic transaction fund.
    c.  d.  The local government electronic transaction fund is
 established in the office of the treasurer of state under the
 control of the treasurer of state.  Moneys deposited into the
 fund are not subject to section 8.33.  Notwithstanding section
 12C.7, interest or earnings on moneys in the local government
 electronic transaction fund shall be credited to the fund.
 Moneys in the local government electronic transaction fund are
 not subject to transfer, appropriation, or reversion to any
 other fund, or any other use except as provided in this
 paragraph "c" subsection.  On a monthly basis, the county
 treasurer shall pay each fee collected pursuant to paragraph
 "a" the fees deposited into the county recorder's electronic
 transaction fund to the treasurer of state for deposit into
 the local government electronic transaction fund.  Moneys
 credited to the local government electronic transaction fund
 are appropriated to the treasurer of state for the payment of
 claims approved by the governing board of the county land
 record information system.  Expenditures Except as otherwise
 provided in this subsection, expenditures from the fund shall
 be for the purpose of planning and implementing electronic
 recording and electronic transactions in each county, and
 developing county and statewide internet websites to provide
 electronic access to records and information, and to pay the
 ongoing costs of integrating and maintaining the statewide
 internet website.
    d.  e.  The recorder shall make available any information
 required by the county auditor or auditor of state concerning
 the fees collected under this subsection for the purposes of
 determining the amount of fees collected and the uses for
 which such fees are expended.
    Sec. 4.  Section 331.605B, subsection 2, Code 2009, is
 amended to read as follows:
    2.  A recorder or the governing board of the county land
 record information system shall collect only statutorily
 authorized fees for land records management.  A recorder or
 the governing board of the county land record information
 system shall not collect a fee for viewing, accessing, or
 printing documents in the county land record information
 system unless specifically authorized by statute.  However, a
 recorder or the governing board of the county land record
 information system may collect actual third=party fees
 associated with accepting and processing statutorily
 authorized fees, including credit card fees, treasury
 management fees, and other transaction fees required to enable
 electronic payment.  For the purposes of this subsection, the
 term "third=party" does not include the county land record
 information system, the Iowa state association of counties, or
 any of the association's affiliates.
    Sec. 5.  Section 331.606, Code 2009, is amended by adding
 the following new subsection:
    NEW SUBSECTION.  4.  The recorder shall permanently archive
 an unaltered version of each recorded document or instrument.
 A document or instrument may be archived in its original
 format, as an electronic document, or in another format
 suitable for preserving information in the document or
 instrument.  A person may view and copy an original or
 unaltered document or instrument in the office of the
 recorder.
    Sec. 6.  Section 331.606A, subsection 1, paragraph c, Code
 2009, is amended to read as follows:
    c.  "Redact" or "redaction" means the process of
 permanently removing all or a portion of personally
 identifiable information from documents.
    Sec. 7.  Section 331.606A, subsection 2, Code 2009, is
 amended to read as follows:
    2.  INCLUSION OF PERSONALLY IDENTIFIABLE INFORMATION.  The
 preparer of a document shall not include an individual's
 personally identifiable information in a document that is
 prepared and presented for recording in the office of the
 recorder.  This subsection shall not apply to documents that
 were executed by an individual prior to July 1, 2007.  Unless
 provided otherwise by law, all documents described by this
 section are subject to inspection and copying by the public.
    Sec. 8.  Section 331.606A, subsection 3, Code 2009, is
 amended by striking the subsection and inserting in lieu
 thereof the following:
    3.  REDACTION FROM ELECTRONIC DOCUMENTS.  Personally
 identifiable information that is contained in electronic
 documents that are displayed for public access on a website,
 or which are transferred to any person, shall be redacted
 prior to displaying or transferring the documents.  Each
 recorder that displays electronic documents and the county
 land record information system that displays electronic
 documents on behalf of a county shall implement a system for
 redacting personally identifiable information.  The recorder
 and the governing board of the county land record information
 system shall establish a procedure by which individuals may
 request that personally identifiable information contained in
 an electronic document displayed on a website be redacted, at
 no fee to the requesting individual.  The requirements of this
 subsection shall be fully implemented not later than December
 31, 2011.
    Sec. 9.  Section 331.606A, Code 2009, is amended by adding
 the following new subsection:
    NEW SUBSECTION.  3A.  DISSEMINATION OF DOCUMENTS.  Persons
 who have contracted with a county recorder or the governing
 board of the county land record information system to redact
 personally identifiable information from electronic documents
 pursuant to subsection 3 shall not sell, transfer, or
 otherwise disseminate the electronic documents in an unaltered
 or redacted form, except as provided for in the contract.
    Sec. 10.  Section 331.606A, subsection 5, Code 2009, is
 amended to read as follows:
    5.  APPLICABILITY.
    a.  This section Subsection 2 shall not apply to a preparer
 of a state or federal tax lien or release, a military
 separation or discharge record, or a death certificate that is
 prepared for recording in the office of county recorder.
    b.  Subsection 3 shall not apply to a military separation
 or discharge record, a birth record, a death certificate, or
 marriage certificate unless such record or certificate is
 incorporated within another document or instrument that is
 recorded and displayed for public access on a website.
    c.  If a military separation or discharge record or a death
 certificate is recorded in the office of the county recorder,
 the military separation or discharge record or the death
 certificate shall not be accessible through the internet
 displayed for public access on an internet website, public
 access terminal or other medium, or be transferred to any
 person.
    Sec. 11.  Section 331.606A, Code 2009, is amended by adding
 the following new subsection:
    NEW SUBSECTION.  6.  LIMITATION OF LIABILITY.  The county
 land record information system is a unit of local government
 for purposes of chapter 670, relating to tort liability of
 governmental subdivisions.  However, persons who have
 contracted with the governing board of the county land record
 information system to carry out the duties of the board are
 not employees for purposes of chapter 670, relating to tort
 liability of governmental subdivisions.
    Sec. 12.  Section 331.606B, subsection 1, Code 2009, is
 amended by adding the following new paragraph:
    NEW PARAGRAPH.  g.  Each document or instrument presented
 for recording shall meet the requirements of section 331.606A,
 subsection 2.
    Sec. 13.  REPORT TO THE GENERAL ASSEMBLY.  On or before
 January 1, 2012, the governing board of the county land record
 information system shall submit a report to the general
 assembly.  The report shall include a summary of the actions
 taken by the county recorders and the county land record
 information system relating to the redaction of personally
 identifiable information, a detailed financial accounting of
 the county land record information system, a detailed summary
 of expenditures made from the local government electronic
 transaction fund, and an analysis and recommendation regarding
 the continuance or discontinuance of the fee collected under
 section 331.604, subsection 3.
    Sec. 14.  Section 598.21, subsection 2, Code 2009, as
 amended by 2009 Iowa Acts, Senate File 288, section 36, is
 amended to read as follows:
    2.  DUTIES OF COUNTY RECORDER.  The county recorder shall
 record each quitclaim deed or change of title and shall
 collect the fees fee specified in section 331.507, subsection
 2, paragraph "a", and the fee fees specified in section
 331.604.
    Sec. 15.  IMPLEMENTATION OF ACT.  Section 25B.2, subsection
 3, shall not apply to this Act.


                                                             
                               JOHN P. KIBBIE
                               President of the Senate


                                                             
                               PATRICK J. MURPHY
                               Speaker of the House

    I hereby certify that this bill originated in the Senate and
 is known as Senate File 465, Eighty=third General Assembly.


                                                             
                               MICHAEL E. MARSHALL
                               Secretary of the Senate
 Approved                , 2009


                                
 CHESTER J. CULVER
 Governor

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