House File 2439 - Introduced HOUSE FILE BY WHITAKER, FREVERT, and KUHN (COMPANION TO LSB 5773SS BY BOLKCOM) Passed House, Date Passed Senate, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act relating to organic food by providing for the 2 establishment of a center, a council, and a fund. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 5773HH 81 5 da/sh/8 PAG LIN 1 1 Section 1. NEW SECTION. 175B.1 DEFINITIONS. 1 2 As used in this chapter, unless the context otherwise 1 3 requires: 1 4 1. "Agricultural product" means any agricultural commodity 1 5 or product, whether raw or processed, including any commodity 1 6 or finished product derived from a plant or animal having 1 7 commercial value, including but not limited to the following: 1 8 a. For plants, stalks, trunks and branches, cuttings, 1 9 grafts, scions, leaves, buds, fruit, vegetables, roots, bulbs, 1 10 or seeds. 1 11 b. For animals, muscle tissue, organs, fat, blood, manure, 1 12 bones, milk, wool, hide, pelt, feathers, eggs, semen, embryos, 1 13 or honey. 1 14 2. "Center" means the Iowa organics center created 1 15 pursuant to section 175B.3. 1 16 3. "Coordinator" means the administrative head of the Iowa 1 17 organics center as provided in section 175B.3. 1 18 4. "Council" means the Iowa organics council established 1 19 pursuant to section 175B.4. 1 20 5. "Department" means the department of agriculture and 1 21 land stewardship. 1 22 6. "Fund" means the Iowa organics fund established 1 23 pursuant to section 175B.5. 1 24 7. "Identity=preserved agricultural product" means an 1 25 agricultural product that may be traced from production 1 26 through handling, processing, and marketing channels to the 1 27 retailer in order to ensure that a specific process or 1 28 characteristic, including but not limited to a genetic trait, 1 29 associated with the agricultural product has been followed or 1 30 is delivered to the final consumer. 1 31 8. "Iowa foods" means identity=preserved agricultural 1 32 products or organic agricultural products that are produced in 1 33 this state and intended for or marketed as foods or which are 1 34 produced in this state and processed into products that are 1 35 intended for or marketed as foods. 2 1 9. "Organic agricultural product" means an agricultural 2 2 product that is certified or otherwise qualifies as organic in 2 3 accordance with the provisions of chapter 190C. 2 4 10. "Secretary" means the secretary of agriculture. 2 5 Sec. 2. NEW SECTION. 175B.2 IOWA FOODS POLICY. 2 6 The state declares an Iowa foods policy, which is to 2 7 promote the production, handling, processing, and marketing of 2 8 Iowa foods in a manner that does all of the following: 2 9 1. Provides for sound soil conservation and sustainable 2 10 agricultural practices, enhances the quality of the 2 11 environment, promotes the development of local and statewide 2 12 food systems, expands domestic and foreign markets, 2 13 revitalizes rural communities, and furnishes consumers with 2 14 widely available wholesome food. 2 15 2. Ensures that the majority of the wealth created by Iowa 2 16 agricultural producers is retained in this state, and that 2 17 employment for industries associated with the handling, 2 18 processing, and marketing of Iowa's identity=preserved 2 19 agricultural products and organic agricultural products in 2 20 this state. 2 21 Sec. 3. NEW SECTION. 175B.3 IOWA ORGANICS CENTER == 2 22 ESTABLISHMENT AND DUTIES. 2 23 An Iowa organics center is established in the department. 2 24 The center is headed by a coordinator who shall be appointed 2 25 by the secretary. 2 26 1. The center shall carry out the Iowa foods policy 2 27 provided in section 175B.2 by developing and implementing a 2 28 comprehensive strategy which shall include at least all of the 2 29 following: 2 30 a. Monitoring the production, handling, processing, and 2 31 marketing of identity=preserved agricultural products and 2 32 organic agricultural products in this state, and periodically 2 33 advising the secretary regarding the center's findings and 2 34 recommendations or proposals regarding such matters. 2 35 b. Serving as an information clearinghouse to assist 3 1 agricultural producers interested in producing identity= 3 2 preserved agricultural products and organic agricultural 3 3 products. The center shall serve as a referral agency to 3 4 assist agricultural producers in obtaining assistance from 3 5 private persons and state and federal agencies, including the 3 6 organic advisory council, the Iowa cooperative extension 3 7 service in agriculture and home economics at Iowa state 3 8 university, and the department of economic development. The 3 9 center shall establish programs to ensure that interested 3 10 agricultural producers may achieve a practicable transition to 3 11 producing and marketing identity=preserved agricultural 3 12 products and organic agricultural products. 3 13 c. Initiating or supporting programs or projects which 3 14 establish, improve, or expand private and public efforts to 3 15 develop markets for identity=preserved agricultural products 3 16 and organic agricultural products. The center shall assist 3 17 persons in developing infrastructure for the production, 3 18 handling, processing, and marketing of identity=preserved 3 19 agricultural products and organic agricultural products, 3 20 including local distribution systems such as grocery stores, 3 21 restaurants, and farmers markets, and direct producer=to= 3 22 consumer sales by production contract and internet sales. 3 23 d. Providing for educational and promotional campaigns, 3 24 including sponsoring events or publishing electronic or 3 25 printed materials which increase the public's awareness of 3 26 identity=preserved agricultural products and organic 3 27 agricultural products and their connection to Iowa farm 3 28 families. The center may design labels or placards which 3 29 identify foods as identity=preserved agricultural products or 3 30 organic agricultural products. 3 31 e. Assisting state and local governments when considering 3 32 legislative or administrative measures which may have an 3 33 impact upon the production, handling, processing, or marketing 3 34 of identity=preserved agricultural products or organic 3 35 agricultural products. The center shall cooperate with state 4 1 and local governments to ensure that when purchasing foods, 4 2 consideration is provided to identity=preserved agricultural 4 3 products and organic agricultural products whenever the price 4 4 and quality are reasonably competitive. 4 5 2. The center and state and local agencies, including the 4 6 department of administrative services, the department of 4 7 corrections, the department of economic development, the state 4 8 department of transportation, the department of natural 4 9 resources, the state board of regents institutions, and the 4 10 state board for community colleges, shall cooperate to carry 4 11 out the mission of the center. 4 12 3. The center shall prepare a report as follows: 4 13 a. The report shall describe the status of the state's 4 14 efforts under this chapter to accomplish the Iowa foods policy 4 15 set forth in section 175B.2, and the center's performance 4 16 goals and activities, including programs and projects designed 4 17 to achieve those goals, as provided in its comprehensive 4 18 strategy. 4 19 b. The report shall be incorporated into the department's 4 20 annual performance plan and agency strategic plan as provided 4 21 in chapter 8E, subchapter II. The report shall be delivered 4 22 to the secretary and the legislative services agency not later 4 23 than February 10 of each year. 4 24 Sec. 4. NEW SECTION. 175B.4 IOWA ORGANICS COUNCIL. 4 25 1. An Iowa organics council is established within the 4 26 department. The council shall provide general oversight of 4 27 the center and its administrative operations. However, the 4 28 council shall not control policy decisions or direct the 4 29 administration of this chapter. The council, in cooperation 4 30 with the coordinator and the organic advisory council as 4 31 provided in section 190C.2, shall do all of the following: 4 32 a. Develop and review the comprehensive strategy necessary 4 33 to carry out the Iowa foods policy as provided in section 4 34 175B.3. 4 35 b. Review the operations of the center, establish 5 1 performance goals for the center, and adopt recommendations 5 2 relating to improving the functions of the center as is 5 3 necessary to further the Iowa foods policy as provided in 5 4 section 175B.2. 5 5 c. Encourage the full support of initiatives of the center 5 6 performed pursuant to its comprehensive strategy as provided 5 7 in section 175B.3. 5 8 2. The council shall be composed of all of the following: 5 9 a. Four members who shall include all of the following: 5 10 (1) The chairperson of the organic advisory council as 5 11 provided in section 190C.2. 5 12 (2) The director of the Leopold center for sustainable 5 13 agriculture as provided in section 266.39. 5 14 (3) A person appointed by the director of the department 5 15 of economic development who shall be familiar with that 5 16 department's agricultural marketing programs and the value= 5 17 added agricultural products and processes financial assistance 5 18 program as provided in section 15E.111. 5 19 (4) A person appointed by the president of Iowa state 5 20 university who is a specialist in organic agricultural 5 21 production and associated with the Iowa cooperative extension 5 22 service in agriculture and home economics. 5 23 b. Nine public members who shall be appointed by the 5 24 secretary. The public members must be presently actively 5 25 engaged or have long been actively engaged in the production, 5 26 handling, processing, or marketing of identity=preserved 5 27 agricultural products and organic agricultural products. The 5 28 membership must include at least one person who has been 5 29 involved in producing identity=preserved agricultural 5 30 products. The membership must include at least four persons 5 31 who have been involved in producing organic agricultural 5 32 products. At least one member must be a member of the Iowa 5 33 food policy council and at least one member must be a member 5 34 of the practical farmers of Iowa. 5 35 (1) The secretary shall appoint the public members based 6 1 on a list of nominations submitted by organizations 6 2 representing areas of expertise in the production, handling, 6 3 processing, and marketing of identity=preserved agricultural 6 4 products and organic agricultural products, as certified by 6 5 the department according to requirements of the department. 6 6 (2) Appointments of the public members are subject to the 6 7 requirements of sections 69.16 and 69.16A. In addition, the 6 8 appointments shall be geographically balanced. Unless the 6 9 secretary determines that it is not feasible, at least one 6 10 member must reside in each of the six geographic regions known 6 11 as state fair board districts as provided in section 173.4A. 6 12 The members shall be confirmed by the senate, pursuant to 6 13 section 2.32. 6 14 (3) The members shall serve five=year terms beginning and 6 15 ending as provided in section 69.19. However, the secretary 6 16 shall appoint initial members to serve for less than five 6 17 years to ensure members serve staggered terms. A member is 6 18 eligible for reappointment. A vacancy on the council shall be 6 19 filled for the unexpired portion of the regular term in the 6 20 same manner as regular appointments are made. 6 21 3. The council shall elect a chairperson from among its 6 22 public members each year on a rotating basis as provided by 6 23 the council. The council shall meet on a regular basis and at 6 24 the call of the chairperson or upon the written request to the 6 25 chairperson of five or more public members. 6 26 4. Members are not entitled to receive compensation but 6 27 public members shall receive reimbursement of expenses from 6 28 the department as provided in section 7E.6. 6 29 5. Seven members constitute a quorum and the affirmative 6 30 vote of a majority of both the nonpublic members and public 6 31 members present is necessary for any substantive action to be 6 32 taken by the council. The majority shall not include any 6 33 member who has a conflict of interest and a statement by a 6 34 member that the member has a conflict of interest is 6 35 conclusive for this purpose. A vacancy in the membership does 7 1 not impair the duties of the council. 7 2 6. The department shall assist the council in carrying out 7 3 the Iowa foods policy as provided in section 175B.2 by doing 7 4 all of the following: 7 5 a. Furnishing facilities, supplies, and clerical 7 6 assistance. The coordinator shall staff the council. 7 7 b. Execute contracts with or award moneys for programs or 7 8 projects as provided in section 175B.3. 7 9 c. Administer the Iowa organics fund as provided in 7 10 section 175B.5. 7 11 Sec. 5. NEW SECTION. 175B.5 IOWA ORGANICS FUND. 7 12 1. An Iowa organics fund is created in the state treasury 7 13 under the control of the department. The fund is composed of 7 14 moneys appropriated by the general assembly and moneys 7 15 available to and obtained or accepted by the department from 7 16 the United States or private sources for placement in the 7 17 fund. 7 18 2. Moneys in the fund are appropriated to the department 7 19 exclusively to assist the center in carrying out its 7 20 comprehensive strategy as provided in section 175B.3. 7 21 3. Section 8.33 shall not apply to moneys in the fund. 7 22 Notwithstanding section 12C.7, moneys earned as income or 7 23 interest from the fund shall remain in the fund until expended 7 24 as provided in this section. 7 25 EXPLANATION 7 26 This bill provides for an Iowa foods policy, which is to 7 27 promote the production, handling, processing, and marketing of 7 28 Iowa's foods which are identity=preserved agricultural 7 29 products or organic agricultural products that are produced in 7 30 this state and intended for or marketed as foods or 7 31 agricultural products processed in this state and intended for 7 32 or marketed as foods. 7 33 The bill establishes an Iowa organics center in the 7 34 department of agriculture and land stewardship. The center is 7 35 headed by a coordinator. The center is responsible for 8 1 carrying out the state policy by implementing a comprehensive 8 2 strategy which must include: (1) monitoring the current 8 3 status of the production, handling, processing, and marketing 8 4 of identity=preserved agricultural products and organic 8 5 agricultural products; (2) serving as an information 8 6 clearinghouse to assist agricultural producers interested in 8 7 producing those products; (3) initiating or supporting 8 8 programs or projects which establish, improve, or expand 8 9 private and public efforts to develop markets for the 8 10 products; (4) providing for educational and promotional 8 11 campaigns designed to increase the public's awareness of the 8 12 products; and (5) assisting state and local governments when 8 13 considering legislative or administrative measures which may 8 14 have an impact upon the production, handling, processing, or 8 15 marketing of the products. The bill requires state and local 8 16 agencies to cooperate with the center in performing its 8 17 duties. The center is required to submit an annual report to 8 18 the secretary and legislative services agency regarding its 8 19 activities and goals. 8 20 The bill also establishes an Iowa organics council. The 8 21 council is to provide general oversight of the center and 8 22 assist the center in developing and carrying out its 8 23 comprehensive strategy. The council is composed of state 8 24 officials who have knowledge regarding identity=preserved 8 25 agricultural products and organic agricultural products, and 8 26 public members appointed by the secretary who are presently 8 27 actively engaged or have long been actively engaged in the 8 28 production, handling, processing, or marketing of identity= 8 29 preserved agricultural products and organic agricultural 8 30 products. The bill provides a number of procedures for the 8 31 appointment, voting, conduct of meetings, and reimbursement of 8 32 members, which is consistent with other statutes establishing 8 33 citizen appointed members of official bodies. The bill 8 34 requires the department to assist the council in performing 8 35 its duties. 9 1 Finally, the bill establishes an Iowa organics fund under 9 2 the control of the department. Moneys in the fund are 9 3 appropriated to the department exclusively to assist the 9 4 center in carrying out its duties associated with its 9 5 comprehensive strategy. 9 6 LSB 5773HH 81 9 7 da:nh/sh/8