Senate File 147
SENATE FILE
BY SIEVERS
Passed Senate, Date Passed House, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act providing for the administration of funds for animal
2 agriculture, including moneys transferred from and deposited
3 into these funds, and providing an effective date.
4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
5 TLSB 2192XS 80
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PAG LIN
1 1 Section 1. Section 459.102, subsection 26, Code 2003, is
1 2 amended to read as follows:
1 3 26. "Indemnity fee" means the a fee provided in section
1 4 459.502 or 459.503.
1 5 Sec. 2. Section 459.501, subsection 2, Code 2003, is
1 6 amended to read as follow:
1 7 2. The fund consists of moneys from indemnity fees
1 8 remitted by permittees to the department as provided in
1 9 section 459.502; moneys from indemnity fees remitted by
1 10 persons required to submit manure management plans to the
1 11 department pursuant to section 459.503; sums collected on
1 12 behalf of the fund by the department through legal action or
1 13 settlement; moneys required to be repaid to the department by
1 14 a county pursuant to this subchapter; civil penalties assessed
1 15 and collected by the department or the attorney general
1 16 pursuant to chapter 455B, against animal feeding operations;
1 17 moneys paid as a settlement involving an enforcement action
1 18 for a civil penalty subject to assessment and collection
1 19 against permittees by the department or the attorney general
1 20 pursuant to chapter 455B; interest, property, and securities
1 21 acquired through the use of moneys in the fund; or moneys
1 22 contributed to the fund from other sources.
1 23 Sec. 3. Section 459.501, subsection 5, paragraph a, Code
1 24 2003, is amended by striking the paragraph.
1 25 Sec. 4. NEW SECTION. 459.503A INDEMNITY FEE == WAIVER
1 26 AND REINSTATEMENT.
1 27 The indemnity fee required under sections 459.502 and
1 28 459.503 shall be waived and the fee shall not be assessable or
1 29 owing if at the end of any three=month period, unobligated and
1 30 unencumbered moneys in the manure storage indemnity fund, not
1 31 counting the department's estimate of the cost to the fund for
1 32 pending or unsettled claims, exceed three million dollars.
1 33 The department shall reinstate the indemnity fee under those
1 34 sections if unobligated and unencumbered moneys in the fund,
1 35 not counting the department's estimate of the cost to the fund
2 1 for pending or unsettled claims, are less than two million
2 2 dollars.
2 3 Sec. 5. TRANSFER OF MONEYS FROM THE MANURE STORAGE
2 4 INDEMNITY FUND. Notwithstanding 2002 Iowa Acts, chapter 1137,
2 5 section 59, the department shall not transfer any amount of
2 6 the balance of the manure storage indemnity fund to the animal
2 7 agriculture compliance fund on or after the effective date of
2 8 this Act. The department shall return any amount already
2 9 transferred in accordance with the schedule established by the
2 10 department pursuant to 2002 Iowa Acts, chapter 1137, section
2 11 59.
2 12 Sec. 6. EFFECTIVE DATE. This Act, being deemed of
2 13 immediate importance, takes effect upon enactment.
2 14 EXPLANATION
2 15 GENERAL. This bill amends provisions in Code chapter 459
2 16 regulating confinement feeding operations including provisions
2 17 establishing a manure storage indemnity fund administered by
2 18 the department of natural resources. The bill eliminates the
2 19 department's authority to transfer moneys from the fund for
2 20 placement in an animal agriculture compliance fund and
2 21 provides for the waiver of fees deposited into the fund.
2 22 MANURE STORAGE INDEMNITY FUND. Under Code section 459.506,
2 23 moneys in the manure storage indemnity fund are dedicated for
2 24 the purpose of reimbursing expenses incurred by a county or
2 25 the department in cleaning up contamination which originates
2 26 from a confinement feeding operation. The fund contains
2 27 moneys from a number of sources, including a one=time variable
2 28 rate fee imposed on persons obtaining a permit to construct a
2 29 confinement feeding operation structure and a fee for
2 30 submitting an original manure management plan.
2 31 ANIMAL AGRICULTURE COMPLIANCE FUND. This fund established
2 32 by S.F. 2293 during the 2002 legislative session provides a
2 33 funding source for the administration and enforcement of
2 34 provisions regulating animal feeding operations under new Code
2 35 chapter 459. A number of fees are deposited into the fund,
3 1 including a variable annual compliance fee paid by owners of
3 2 confinement feeding operations required to submit updated
3 3 manure management plans, and a number of one=time filing fees
3 4 such as a construction permit application filing fee and an
3 5 original manure management plan fee.
3 6 TRANSFER OF MONEYS. Since S.F. 2293 provides that the
3 7 annual compliance fees required to be deposited into the new
3 8 animal agriculture compliance fund is effective on and after
3 9 March 1, 2003, S.F. 2293 authorized the department to
3 10 temporarily transfer moneys from the manure storage indemnity
3 11 fund into the general account of the animal agriculture
3 12 compliance fund. The department must return the amount
3 13 transferred according to a schedule established by the
3 14 department. The bill prohibits the department from
3 15 transferring any amount of the balance of the manure storage
3 16 indemnity fund to the animal agriculture compliance fund on or
3 17 after the effective date of the bill.
3 18 DEPOSIT OF MONEYS. The bill eliminates an obsolete
3 19 provision which provides for the deposit of moneys collected
3 20 through enforcement actions. Such moneys are deposited into
3 21 the animal agriculture compliance fund pursuant to Code
3 22 section 459.401. The bill eliminates a provision in Code
3 23 section 459.501 that requires that moneys in the fund in
3 24 excess of $3 million be deposited in the organic nutrient
3 25 management fund created in Code section 161C.5 for purposes of
3 26 supporting an organic nutrient management program. The bill
3 27 also provides that if moneys in the fund exceed $3 million the
3 28 indemnity fees are waived. The department must reinstate the
3 29 fees if the balance of the fund is $2 million or less.
3 30 EFFECTIVE DATE. The bill takes effect upon enactment.
3 31 LSB 2192XS 80
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