House File 688 - Enrolled House File 688 AN ACT CONCERNING THE STATE RULEMAKING PROCESS, RELATED MATTERS PERTAINING TO AGENCY FUNCTIONS, AND INCLUDING EFFECTIVE DATE PROVISIONS. BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: DIVISION I RULEMAKING PROCEDURES AND RELATED MATTERS Section 1. Section 2B.13, subsection 2, paragraphs b, d, and f, Code 2023, are amended to read as follows: b. Correct references to rules or Code sections , or chapters or subunits of rules or Code sections, which are cited erroneously or have been repealed, amended, or renumbered. d. Transfer, divide, or combine rules or parts of rules and add or amend catchwords to rules and subrules or parts of rules . f. Update the address, telephone number, facsimile number, or electronic mail address , or internet site address of an agency, officer, or other entity. Sec. 2. Section 2B.17, subsection 5, paragraph a, Code 2023, is amended to read as follows: a. The Iowa Administrative Bulletin shall be cited as the IAB, with references identifying the volume number which may be based on a fiscal year cycle, the issue number, the publication date, and the ARC number assigned to the rulemaking document by the administrative rules coordinator pursuant to section 17A.4

House File 688, p. 2 or 17A.5 . Subject to the legislative services agency style manual, the citation may also include the publication’s page number. Sec. 3. Section 17A.2, subsection 1, Code 2023, is amended to read as follows: 1. “Agency” means each board, commission, department, officer or other administrative office or unit of the state. “Agency” does not mean the general assembly or any of its components , the judicial branch or any of its components, the office of consumer advocate, the governor, or a political subdivision of the state or its offices and units. Unless provided otherwise by statute, no less than two-thirds of the members eligible to vote of a multimember agency constitute a quorum authorized to act in the name of the agency. Sec. 4. Section 17A.2, subsection 11, paragraph g, Code 2023, is amended to read as follows: g. A specification of the prices to be charged for goods or services sold by an agency as distinguished from a license fee, application fee, or other fees as described in section 17A.6C . Sec. 5. Section 17A.4, subsection 1, paragraph a, Code 2023, is amended to read as follows: a. Give notice of its intended action by submitting the notice to the administrative rules coordinator and the administrative code editor. The administrative rules coordinator shall assign an ARC number to each rulemaking document. The administrative code editor shall publish each notice meeting the requirements of this chapter in the Iowa administrative bulletin created pursuant to section 2B.5A . The legislative services agency shall also submit a copy of the notice to provide the chairpersons and ranking members of the appropriate standing committees of the general assembly a means to receive an electronic copy of the notice for additional study. Any notice of intended action shall be published at least thirty-five days in advance of the action. The notice shall include a statement of either the terms or substance of the intended action or a description of the subjects and issues involved, and the time when, the place where, and the manner in which interested persons may present their views. Sec. 6. Section 17A.4, subsection 8, Code 2023, is amended

House File 688, p. 3 to read as follows: 8. Upon the vote of two-thirds of its members, the administrative rules review committee, following notice of intended action as provided in subsection 1 and prior to adoption of a rule pursuant to that notice, may suspend further action relating to the agency from adopting that notice for seventy days. Notice that adoption of a notice of intended action was suspended under this provision shall be published in the Iowa administrative code and bulletin. Sec. 7. Section 17A.5, subsection 1, Code 2023, is amended to read as follows: 1. Each agency shall file each rule adopted by the agency with the office of the administrative rules coordinator and provide an exact copy to the administrative code editor. The administrative rules coordinator shall assign an ARC number to each rulemaking document. The administrative rules coordinator code editor shall keep a permanent electronic register of the rules open to public inspection. The administrative code editor shall publish each rule adopted in accordance with this chapter in the Iowa administrative code. Sec. 8. Section 17A.6, Code 2023, is amended to read as follows: 17A.6 Publications —— copy of standards adopted by reference. 01. For purposes of subsections 2 through 5, unless the context otherwise requires: a. “Adopt by reference” or “adoption by reference” means incorporating the text of a cited publication, or a part thereof, into a rule without including the text of the publication in the rule. b. “Publication” does not include the Iowa Code, Iowa Acts, Iowa administrative code, Iowa court rules, or uniform rules on agency procedure. 1. The administrative code editor shall publish the Iowa administrative bulletin and the Iowa administrative code as provided in section 2B.5A . 2. An agency which that adopts standards by reference to another publication shall deliver an electronic a printed copy of the publication, or the relevant part of the publication, containing the standards to the administrative code editor who

House File 688, p. 4 shall publish it on the general assembly’s internet site. If an electronic copy of the publication is not available, the agency shall deliver a printed copy of the publication to the administrative code editor who shall deposit the copy in the state law library where it which shall be made make it available for inspection and reference. The agency may instead deposit a printed copy of the publication, or the relevant part of the publication, in the state law library directly. This subsection does not apply to a publication that is a federal statute or regulation. 3. In lieu of the procedures established in subsection 2 , an agency may establish alternative procedures providing for public access to an electronic or printed copy of a publication containing standards adopted by reference if the publication is proprietary or contains proprietary information. 4. An agency that adopts standards by reference to another publication or a part thereof shall include as part of the reference a date certain, edition or amendment number, or other information identifying the specific version of the publication or the specific point in time from which the text of the publication can be determined. The adoption of standards by reference to another publication or a part thereof shall not include adoption of any amendment, edition, or version of the publication subsequent to the effective date of the adoption. 5. An agency shall include in the preamble to each rule submitted pursuant to section 17A.4 or 17A.5 that adopts standards by reference to another publication or part thereof a brief explanation of the content of the publication or part. If such a rule updates a reference to a publication previously adopted by reference, the agency shall include in the preamble a brief explanation of any significant changes in the content of the publication or part. Sec. 9. NEW SECTION . 17A.6C Agency fees —— rules. When an agency establishes the amount of a license fee, application fee, or other fee, including any subsequent increase or decrease in the amount, the amount shall be specified in a notice of intended action and a rule adopted by the agency. This section does not apply when the amount of a fee is specifically established or described in the Iowa Code,

House File 688, p. 5 Iowa Acts, or Iowa court rules, or by federal law. This section shall not be construed to authorize an agency to establish a fee without statutory authority. Sec. 10. Section 17A.8, subsection 9, Code 2023, is amended by adding the following new paragraph: NEW PARAGRAPH . c. Notice of an effective date that was delayed or of applicability that was suspended under this provision shall be published in the Iowa administrative code and bulletin. Sec. 11. Section 17A.8, subsection 10, paragraph b, Code 2023, is amended to read as follows: b. Notice of an effective date that was delayed or of applicability that was suspended under this provision shall be published in the Iowa administrative code and bulletin. Sec. 12. Section 256.54, subsection 2, paragraph b, Code 2023, is amended to read as follows: b. Maintain, as an integral part of the law library, reports of various boards and agencies, copies of bills, journals, other information relating to current or proposed legislation, and copies of the Iowa administrative bulletin and Iowa administrative code and , consistent with section 17A.6, subsection 2, copies of any publications incorporated by reference in the bulletin or code. Sec. 13. NEW SECTION . 505.35 Adoption of standards by reference —— rules. Rules adopted by the commissioner pursuant to chapter 17A that adopt a standard by reference to another publication or portion thereof are exempt from the requirements of section 17A.6, subsection 4, with respect to the following: 1. Professional standards of practice and membership requirements established by the actuarial standards board, the American academy of actuaries, the American institute of certified public accountants, or their successor organizations. 2. The following publications of the national association of insurance commissioners: a. Valuation manual used to establish principle-based reserves for the life insurance industry. b. Accounting practices and procedures manual. c. Financial examiners handbook.

House File 688, p. 6 d. Financial analysis handbook. e. Annual/quarterly financial statement blank and instructions. Sec. 14. EFFECTIVE DATE. This division of this Act takes effect January 1, 2024. DIVISION II AGENCY STATUTES AND RULES Sec. 15. Section 7E.7, subsection 2, Code 2023, is amended by striking the subsection. Sec. 16. Section 12.28, subsection 1, paragraph b, Code 2023, is amended to read as follows: b. “State agency” means a board, commission, bureau, division, office, department, or branch of state government. However, state agency does not mean the state board of regents, institutions governed by the board of regents, or authorities created under chapter 16 , 257C , or 261A . Sec. 17. Section 12.30, subsection 1, paragraph a, Code 2023, is amended to read as follows: a. “Authority” means a department, or public or quasi-public instrumentality of the state including but not limited to the authority created under chapter 12E , 16 , 257C , or 261A , which has the power to issue obligations, except that “authority” does not include the state board of regents or the Iowa finance authority to the extent the Iowa finance authority acts pursuant to chapter 260C . “Authority” also includes a port authority created under chapter 28J . Sec. 18. Section 15E.63, subsection 11, Code 2023, is amended to read as follows: 11. The board shall adopt rules pursuant to chapter 17A necessary to administer the duties of the board. The department of revenue may adopt rules pursuant to chapter 17A related to the duties of the board or this chapter. Sec. 19. REPEAL. Chapter 257C, Code 2023, is repealed. Sec. 20. RESCISSION OF ADMINISTRATIVE RULES. 1. The following Iowa administrative rules are rescinded as of July 1, 2023: a. 285 Iowa administrative code, chapter 1. b. 791 Iowa administrative code, chapter 1. 2. As soon as practicable after July 1, 2023, the Iowa

House File 688, p. 7 administrative code editor shall remove the language of the Iowa administrative rules referenced in subsection 1 of this section from the Iowa administrative code. ______________________________ PAT GRASSLEY Speaker of the House ______________________________ AMY SINCLAIR President of the Senate I hereby certify that this bill originated in the House and is known as House File 688, Ninetieth General Assembly. ______________________________ MEGHAN NELSON Chief Clerk of the House Approved _______________, 2023 ______________________________ KIM REYNOLDS Governor