House File 351 - Introduced HOUSE FILE BY MASCHER Passed House, Date Passed Senate, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act providing for an increase in home food establishment, food 2 establishment, and food processing plant fees. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 2282HH 81 5 rn/gg/14 PAG LIN 1 1 Section 1. Section 137D.2, subsection 1, Code 2005, is 1 2 amended to read as follows: 1 3 1. A person shall not open or operate a home food 1 4 establishment until a license has been obtained from the 1 5 department of inspections and appeals. The department shall 1 6 collect a fee oftwenty=fivefifty dollars for a license. 1 7 Fees imposed pursuant to this subsection shall be increased 1 8 annually in an amount equal to the percentage rate of change 1 9 in the consumer price index as tabulated by the federal bureau 1 10 of labor statistics for the current year times the current 1 11 fee, and rounded to the nearest increment of five dollars. 1 12 After collection, the fees shall be deposited in the general 1 13 fund of the state. A license shall expire one year from date 1 14 of issue. A license is renewable. 1 15 Sec. 2. Section 137F.6, Code 2005, is amended to read as 1 16 follows: 1 17 137F.6 LICENSE FEES. 1 18 The regulatory authority shall collect the following annual 1 19 license fees: 1 20 1. For a mobile food unit or pushcart,twentyforty 1 21 dollars. 1 22 2. For a temporary food establishment per fixed location, 1 23twenty=fivefifty dollars. 1 24 3. For a vending machine,twentyforty dollars for the 1 25 first machine andfiveten dollars for each additional 1 26 machine. 1 27 4. For a food establishment which prepares or serves food 1 28 for individual portion service intended for consumption on= 1 29 the=premises, the annual license fee shall correspond to the 1 30 annual gross food and beverage sales of the food 1 31 establishment, as follows: 1 32 a. Annual gross sales of under fifty thousand dollars, 1 33fiftyone hundred dollars. 1 34 b. Annual gross sales of at least fifty thousand dollars 1 35 but less than one hundred thousand dollars,eighty=fiveone 2 1 hundred seventy dollars. 2 2 c. Annual gross sales of at least one hundred thousand 2 3 dollars but less than two hundred fifty thousand dollars,one 2 4 hundred seventy=fivethree hundred fifty dollars. 2 5 d. Annual gross sales of two hundred fifty thousand 2 6 dollars but less than five hundred thousand dollars,twofour 2 7 hundred dollars. 2 8 e. Annual gross sales of five hundred thousand dollars or 2 9 more,two hundred twenty=fivefour hundred fifty dollars. 2 10 5. For a food establishment which sells food or food 2 11 products to consumer customers intended for preparation or 2 12 consumption off=the=premises, the annual license fee shall 2 13 correspond to the annual gross food and beverage sales of the 2 14 food establishment, as follows: 2 15 a. Annual gross sales of under ten thousand dollars, 2 16thirtysixty dollars. 2 17 b. Annual gross sales of at least ten thousand dollars but 2 18 less than two hundred fifty thousand dollars,seventy=fiveone 2 19 hundred fifty dollars. 2 20 c. Annual gross sales of at least two hundred fifty 2 21 thousand dollars but less than five hundred thousand dollars, 2 22one hundred fifteentwo hundred thirty dollars. 2 23 d. Annual gross sales of at least five hundred thousand 2 24 dollars but less than seven hundred fifty thousand dollars, 2 25one hundred fiftythree hundred dollars. 2 26 e. Annual gross sales of seven hundred fifty thousand 2 27 dollars or more,two hundred twenty=fivefour hundred fifty 2 28 dollars. 2 29 6. For a food processing plant, the annual license fee 2 30 shall correspond to the annual gross food and beverage sales 2 31 of the food processing plant, as follows: 2 32 a. Annual gross sales of under fifty thousand dollars, 2 33fiftyone hundred dollars. 2 34 b. Annual gross sales of at least fifty thousand dollars 2 35 but less than two hundred fifty thousand dollars,onetwo 3 1 hundred dollars. 3 2 c. Annual gross sales of at least two hundred fifty 3 3 thousand dollars but less than five hundred thousand dollars, 3 4one hundred fiftythree hundred dollars. 3 5 d. Annual gross sales of five hundred thousand dollars or 3 6 more,two hundred fiftyfive hundred dollars. 3 7 7. For a farmers market where potentially hazardous food 3 8 is sold or distributed, one seasonal license fee ofonetwo 3 9 hundred dollars for each vendor on a countywide basis. 3 10 A food establishment covered by subsections 4 and 5 shall 3 11 be assessed license fees not to exceed seventy=five percent of 3 12 the total fees applicable under both subsections. 3 13 All fees imposed pursuant to this chapter shall be 3 14 increased annually in an amount equal to the percentage rate 3 15 of change in the consumer price index as tabulated by the 3 16 federal bureau of labor statistics for the current year times 3 17 the current fee, and rounded to the nearest increment of five 3 18 dollars. 3 19 Fees collected by the department shall be deposited in the 3 20 general fund of the state. Fees collected by a municipal 3 21 corporation shall be retained by the municipal corporation for 3 22 regulation of food establishments and food processing plants 3 23 licensed under this chapter. 3 24 Each vending machine licensed under this chapter shall bear 3 25 a readily visible identification tag or decal provided by the 3 26 licensee, containing the licensee's business address and phone 3 27 number, and a company license number assigned by the 3 28 regulatory authority. 3 29 EXPLANATION 3 30 This bill provides for an increase in home food 3 31 establishment, food establishment, and food processing plant 3 32 licensing fees. 3 33 The bill provides that with reference to home food 3 34 establishments licensed pursuant to Code chapter 137D, and 3 35 food establishments and food processing plants licensed 4 1 pursuant to Code chapter 137F, the current annual licensing 4 2 fees shall be doubled. The bill provides that for each year 4 3 thereafter, the fees shall be increased annually in an amount 4 4 equal to the percentage rate of change in the consumer price 4 5 index as tabulated by the federal bureau of labor statistics 4 6 for the current year times the current fee, and rounded to the 4 7 nearest increment of $5. 4 8 LSB 2282HH 81 4 9 rn:nh/gg/14