House File 751 - Introduced
HOUSE FILE
BY COMMITTEE ON STATE GOVERNMENT
(SUCCESSOR TO HSB 29)
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to the regulation of liquefied petroleum gas
2 storage tanks, making an appropriation, and providing
3 penalties.
4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
5 TLSB 1873HV 81
6 tm/sh/8
PAG LIN
1 1 Section 1. NEW SECTION. 101.41 DEFINITIONS.
1 2 As used in this division, unless the context otherwise
1 3 requires:
1 4 1. "Liability policy" means an owner's or operator's
1 5 policy of liability insurance for a tank site or activities
1 6 associated with the tank site, provided as proof of financial
1 7 responsibility.
1 8 2. "Liquefied petroleum gas storage tank" means a tank,
1 9 which is used to contain liquefied petroleum gas, and which
1 10 has a capacity of more than four thousand gallons in volume.
1 11 3. "Operator" means a person in control of, or having
1 12 responsibility for, the daily operation of a liquefied
1 13 petroleum gas storage tank.
1 14 4. "Owner" means all of the following:
1 15 a. In the case of a liquefied petroleum gas storage tank
1 16 in use on or after July 1, 2005, a person who owns the
1 17 liquefied petroleum gas storage tank used for the storage,
1 18 use, or dispensing of liquefied petroleum gas.
1 19 b. In the case of a liquefied petroleum gas storage tank
1 20 in use before July 1, 2005, but no longer in use on or after
1 21 that date, a person who owned the tank immediately before the
1 22 discontinuation of its use.
1 23 5. "State fire marshal" means the state fire marshal or
1 24 the state fire marshal's designee.
1 25 6. "Tank site" means a liquefied petroleum gas storage
1 26 tank or grouping of liquefied petroleum gas storage tanks
1 27 within close proximity of each other located within a facility
1 28 for the purpose of storing liquefied petroleum gas.
1 29 Sec. 2. NEW SECTION. 101.42 REPORT OF EXISTING AND NEW
1 30 TANKS == REGISTRATION FEE == STICKER == PENALTY.
1 31 1. The owner or operator of a liquefied petroleum gas
1 32 storage tank existing on or before July 1, 2005, shall
1 33 register the liquefied petroleum gas storage tank by notifying
1 34 the state fire marshal in writing by May 1, 2006, of the
1 35 existence of each tank. The notice shall also specify the
2 1 age, manufacturer's serial number, size, type, location, and
2 2 uses of the liquefied petroleum gas storage tank and shall be
2 3 in a form specified by the state fire marshal.
2 4 2. An owner or operator who brings into use a liquefied
2 5 petroleum gas storage tank after July 1, 2005, shall register
2 6 the liquefied petroleum gas storage tank by notifying the
2 7 state fire marshal in writing within thirty days of the
2 8 existence of the tank. The notice shall also specify the age,
2 9 manufacturer's serial number, size, type, location, and uses
2 10 of the liquefied petroleum gas storage tank and shall be in a
2 11 form specified by the state fire marshal.
2 12 3. The registration notice provided by an owner or
2 13 operator to the state fire marshal under subsection 1 or 2
2 14 shall be accompanied by a fee of twenty=five dollars for each
2 15 liquefied petroleum gas storage tank included in the notice
2 16 and the owner or operator shall furnish proof of financial
2 17 responsibility for the period of registration as provided in
2 18 section 101.43. The registration of all liquefied petroleum
2 19 gas storage tanks registered under subsection 1 or 2 shall be
2 20 renewed on an annual basis. All moneys collected pursuant to
2 21 this subsection shall be retained by the department of public
2 22 safety, shall be deposited in the liquefied petroleum gas
2 23 storage tank registration fund established in section 101.49,
2 24 and are appropriated for the use of the state fire marshal in
2 25 performance of the duties set forth in this division. An
2 26 annual registration renewal fee of twenty=five dollars for
2 27 each liquefied petroleum gas storage tank applies to all
2 28 owners or operators who filed a registration notice with the
2 29 state fire marshal pursuant to subsection 1 or 2.
2 30 4. A person who sells or constructs a tank intended to be
2 31 used as a liquefied petroleum gas storage tank shall notify
2 32 the purchaser of the tank in writing of the registration and
2 33 notification requirements of this section applicable to the
2 34 purchaser.
2 35 5. It is unlawful to make, cause to be made, or receive a
3 1 deposit of liquefied petroleum gas in a liquefied petroleum
3 2 gas storage tank which has not been registered pursuant to
3 3 subsection 1 or 2. A person shall not deposit liquefied
3 4 petroleum gas in a liquefied petroleum gas tank after
3 5 receiving notice from the state fire marshal that the storage
3 6 tank is not covered by financial responsibility in accordance
3 7 with section 101.43.
3 8 6. The state fire marshal shall furnish the owner or
3 9 operator of a liquefied petroleum gas storage tank with a
3 10 numbered registration sticker for each liquefied petroleum gas
3 11 storage tank registered with the state fire marshal. The
3 12 owner or operator shall affix the sticker next to or in close
3 13 proximity to the float or rotary gauge of each registered
3 14 liquefied petroleum gas storage tank.
3 15 7. It is the tank owner's or tank operator's duty to
3 16 comply with registration requirements. A late registration
3 17 penalty of fifty dollars is imposed in addition to the
3 18 registration fee for a tank registered after the required
3 19 date. The penalty shall be applicable for each year in which
3 20 the tank is operated without registration.
3 21 8. A liquefied petroleum gas storage tank that is subject
3 22 to regulation under or registration with either the federal
3 23 department of transportation or state department of
3 24 transportation, or both, is exempt from the registration
3 25 requirements of this division.
3 26 Sec. 3. NEW SECTION. 101.43 FINANCIAL RESPONSIBILITY.
3 27 1. A person required to register a liquefied petroleum gas
3 28 storage tank pursuant to section 101.42 shall furnish proof of
3 29 financial responsibility for damages occurring after the
3 30 effective date of the proof, arising out of the ownership,
3 31 maintenance, or use of the liquefied petroleum gas storage
3 32 tank.
3 33 2. Proof of financial responsibility shall be filed with
3 34 the state fire marshal in accordance with rules adopted by the
3 35 fire marshal pursuant to chapter 17A. Proof of financial
4 1 responsibility may be in the form of a copy of a declarations
4 2 of coverage or a binder issued pending the issuance of a
4 3 liability policy by any insurance company duly authorized to
4 4 do business in this state. The declarations of coverage or
4 5 binder shall state the name and address of the named insured,
4 6 the location covered, the coverage afforded, the policy
4 7 period, and the limits of liability, which shall not be less
4 8 than one million dollars, for bodily injury and death or
4 9 property damage, or both. In the event of a transfer of
4 10 ownership of a tank site, a new owner shall file proof of
4 11 financial responsibility within thirty days of the transfer of
4 12 ownership. Documentation submitted as proof of financial
4 13 responsibility shall be a confidential record.
4 14 3. A person whose liability policy, when required under
4 15 this chapter, has been canceled or terminated shall not
4 16 display the person's registration stickers.
4 17 Sec. 4. NEW SECTION. 101.44 RULES.
4 18 The state fire marshal shall adopt rules pursuant to
4 19 chapter 17A necessary to administer this division. The rules
4 20 may provide for fees for inspections completed pursuant to
4 21 this division. The fees shall be reasonably related to costs
4 22 incurred by the state fire marshal in completing inspections.
4 23 Revenue generated from the fees shall be deposited in the
4 24 liquefied petroleum gas storage tank registration fund
4 25 established in section 101.49.
4 26 Sec. 5. NEW SECTION. 101.45 STATE FIRE MARSHAL == DUTIES
4 27 AND POWERS.
4 28 The state fire marshal shall do all of the following:
4 29 1. Conduct inspections and, when warranted, investigations
4 30 in response to complaints received or otherwise as determined
4 31 necessary by the state fire marshal. An inspection or
4 32 investigation shall be conducted subject to the procedures
4 33 provided in subsection 4. For purposes of developing a rule,
4 34 maintaining an accurate inventory, or enforcing this division,
4 35 the state fire marshal may:
5 1 a. At reasonable times, enter an establishment or other
5 2 place where a liquefied petroleum gas storage tank is located.
5 3 b. Inspect and obtain samples of liquefied petroleum gas
5 4 and conduct monitoring or testing of the tanks, associated
5 5 equipment, contents, or surrounding soils or air. An
5 6 inspection shall be commenced and completed with reasonable
5 7 promptness.
5 8 (1) If the state fire marshal obtains a sample, prior to
5 9 leaving the premises the state fire marshal shall give the
5 10 owner, operator, or agent in charge a receipt describing the
5 11 sample obtained and, if requested, a portion of each sample
5 12 equal in volume or weight to the portion retained. If the
5 13 state fire marshal causes the sample to be analyzed, a copy of
5 14 the results of the analysis shall be furnished promptly to the
5 15 owner, operator, or agent in charge.
5 16 (2) Documents or information obtained from a person
5 17 pursuant to this subsection shall be available to the public
5 18 except as provided in this subparagraph. Upon a showing
5 19 satisfactory to the state fire marshal that public disclosure
5 20 of documents or information, or a particular part of the
5 21 documents or information to which the state fire marshal has
5 22 access under this subsection, would divulge commercial or
5 23 financial information entitled to protection as a trade
5 24 secret, the state fire marshal shall consider the documents or
5 25 information or the particular portion of the documents or
5 26 information confidential.
5 27 2. Maintain an accurate inventory of liquefied petroleum
5 28 gas storage tanks. The inventory shall be maintained so that
5 29 it is accessible through the internet and searchable by tank
5 30 location, owner name, operator name, and any other category
5 31 relevant to an inquiry to ascertain whether the tank is
5 32 properly registered and eligible to receive liquefied
5 33 petroleum gas.
5 34 3. Take any action allowed by law which, in the judgment
5 35 of the state fire marshal, is necessary to enforce or secure
6 1 compliance with this division or any rule adopted pursuant to
6 2 this division.
6 3 4. a. Conduct investigations of complaints received
6 4 directly or referred by other agencies, and conduct other
6 5 investigations deemed necessary. While conducting an
6 6 investigation, the state fire marshal may enter at any
6 7 reasonable time in and upon any private or public property to
6 8 investigate any actual or possible violation of this division
6 9 or the rules adopted under this division. However, the owner,
6 10 operator, or agent in charge shall be notified of such
6 11 entrance.
6 12 b. If the owner, operator, or agent in charge of any
6 13 property refuses admittance, or if prior to such refusal the
6 14 state fire marshal demonstrates the necessity for a warrant,
6 15 the state fire marshal may make application under oath or
6 16 affirmation to the district court of the county in which the
6 17 property is located for the issuance of a search warrant.
6 18 c. In the search warrant application the state fire
6 19 marshal shall state that an inspection of the premises is
6 20 mandated by the laws of this state or that a search of certain
6 21 premises, areas, or things designated in the application may
6 22 result in evidence tending to reveal the existence of
6 23 violations of public health, safety, or welfare requirements
6 24 imposed by statutes, rules, or ordinances established by the
6 25 state or a political subdivision of the state. The search
6 26 warrant application shall describe the area, premises, or
6 27 thing to be searched, give the date of the last inspection if
6 28 known, give the date and time of the proposed inspection,
6 29 declare the need for such inspection, recite that notice of
6 30 the desire to make an inspection has been given to affected
6 31 persons and that admission was refused if that be the fact,
6 32 and state that the inspection has no purpose other than to
6 33 carry out the purpose of the statute, rule, or ordinance
6 34 pursuant to which inspection is to be made. If an item of
6 35 property is sought by the state fire marshal, it shall be
7 1 identified in the application.
7 2 d. If the district court is satisfied from an examination
7 3 of the search warrant applicant, of other witnesses, and of
7 4 the application allegations regarding the existence of grounds
7 5 for the application, or that there is probable cause to
7 6 believe in their existence, the court may issue a search
7 7 warrant.
7 8 e. In making inspections and searches pursuant to the
7 9 authority of this division, the state fire marshal must
7 10 execute the warrant as follows:
7 11 (1) Within ten days after its date of issuance.
7 12 (2) In a reasonable manner, and any property seized shall
7 13 be treated in accordance with the provisions of chapters 808
7 14 and 809.
7 15 (3) Subject to any restrictions imposed by the statute,
7 16 rule, or ordinance pursuant to which inspection is made.
7 17 Sec. 6. NEW SECTION. 101.46 VIOLATIONS == ORDERS.
7 18 1. If substantial evidence exists that a person has
7 19 violated or is violating a provision of this division or a
7 20 rule adopted under this division, the state fire marshal may
7 21 issue an order directing the person to cease and desist in the
7 22 practice which constitutes the violation and to take
7 23 corrective action as necessary to ensure that the violation
7 24 will cease. The order may also include an appropriate
7 25 administrative penalty pursuant to section 101.47. The person
7 26 to whom the order is issued may appeal the order as provided
7 27 in chapter 17A and the rules of the department of public
7 28 safety and the state fire marshal. On appeal, an order of the
7 29 state fire marshal may be affirmed, modified, or vacated.
7 30 2. However, if it is determined by the state fire marshal
7 31 that an emergency exists respecting any matter affecting or
7 32 likely to affect the public health, the state fire marshal may
7 33 issue any order necessary to terminate the emergency without
7 34 notice and without hearing. The order is binding and
7 35 effective immediately and until the order is modified or
8 1 vacated at an administrative hearing or by a district court.
8 2 3. The state fire marshal may request the attorney general
8 3 to institute legal proceedings pursuant to section 101.47.
8 4 Sec. 7. NEW SECTION. 101.47 PENALTIES == BURDEN OF
8 5 PROOF.
8 6 1. A person who violates this division or a rule or order
8 7 adopted or issued pursuant to this division is subject to a
8 8 civil penalty not to exceed one hundred dollars for each day
8 9 during which the violation continues, up to a maximum of ten
8 10 thousand dollars. However, if a person violates this division
8 11 by failing to register a liquefied petroleum gas storage tank
8 12 under section 101.42, and if the tank is registered within
8 13 thirty days after the state fire marshal issues a cease and
8 14 desist order pursuant to section 101.46, subsection 1, the
8 15 civil penalty under this section shall not accrue. The civil
8 16 penalty is an alternative to a criminal penalty provided under
8 17 this section.
8 18 2. A person who knowingly fails to register under section
8 19 101.42 or makes a false statement, representation, or
8 20 certification in a record, report, or other document filed or
8 21 required to be maintained under this division, or violates an
8 22 order issued under this division, is guilty of an aggravated
8 23 misdemeanor.
8 24 3. The attorney general, at the request of the state fire
8 25 marshal, shall institute any legal proceeding, including an
8 26 action for an injunction, necessary to enforce the penalty
8 27 provisions of this division or to obtain compliance with the
8 28 provisions of this division or rules adopted or order issued
8 29 pursuant to this division. In any action, previous findings
8 30 of fact of the state fire marshal after notice and hearing are
8 31 conclusive if supported by substantial evidence in the record
8 32 when the record is viewed as a whole.
8 33 4. In all proceedings with respect to an alleged violation
8 34 of this division or a rule adopted or order issued by the
8 35 state fire marshal pursuant to this division, the burden of
9 1 proof is upon the state fire marshal.
9 2 5. If the attorney general has instituted legal
9 3 proceedings in accordance with this section, all related
9 4 issues which could otherwise be raised by the alleged violator
9 5 in a proceeding for judicial review under section 101.48 shall
9 6 be raised in the legal proceedings instituted in accordance
9 7 with this section.
9 8 Sec. 8. NEW SECTION. 101.48 JUDICIAL REVIEW.
9 9 Except as provided in section 101.47, subsection 5,
9 10 judicial review of an order or other action of the state fire
9 11 marshal pursuant to this division or rule adopted pursuant to
9 12 this division may be sought in accordance with chapter 17A.
9 13 Notwithstanding chapter 17A, petitions for judicial review may
9 14 be filed in the district court of the county in which the
9 15 alleged offense was committed or the final order was entered.
9 16 Sec. 9. NEW SECTION. 101.49 LIQUEFIED PETROLEUM GAS
9 17 STORAGE TANK REGISTRATION FUND.
9 18 1. A liquefied petroleum gas storage tank registration
9 19 fund is created as a separate fund in the state treasury under
9 20 the control of the department of public safety, division of
9 21 fire protection. Interest, fees, and other moneys earned by
9 22 the fund shall be deposited in the fund. Moneys credited to
9 23 the fund shall be administered by the department of public
9 24 safety and expended by the division of fire protection for the
9 25 purposes of administering this chapter, including the
9 26 employment of personnel.
9 27 2. Notwithstanding section 8.33, moneys credited to the
9 28 fund which remain unobligated or unexpended at the close of
9 29 the fiscal year shall not revert to the general fund of the
9 30 state.
9 31 Sec. 10. CODE EDITOR DIRECTIVE. The Code editor shall
9 32 organize this Act as a separate division of Code chapter 101.
9 33 EXPLANATION
9 34 This bill relates to the regulation of liquefied petroleum
9 35 gas storage tanks.
10 1 The bill requires an owner or operator of a liquefied
10 2 petroleum gas storage tank existing on or before July 1, 2005,
10 3 to register the tank by notifying the state fire marshal in
10 4 writing by May 1, 2006, of the existence of each tank. The
10 5 bill requires an owner or operator who brings into use a
10 6 liquefied petroleum gas storage tank after July 1, 2005, to
10 7 register the tank by notifying the state fire marshal in
10 8 writing within 30 days of the existence of the tank. The bill
10 9 requires a $25 registration fee for each tank and requires
10 10 proof of financial responsibility for the period of
10 11 registration to accompany the notice. The bill requires a
10 12 renewal of the registration on an annual basis. The bill
10 13 provides that all registration fees collected shall be
10 14 retained by the department of public safety, deposited in a
10 15 liquefied petroleum gas storage tank registration fund, and
10 16 appropriated for the use of the state fire marshal in
10 17 performance of the duties set forth in the bill.
10 18 The bill requires a person who sells or constructs a tank
10 19 intended to be used as a liquefied petroleum gas storage tank
10 20 to notify the purchaser of the tank in writing of the state
10 21 fire marshal registration and notification requirements
10 22 applicable to the purchaser. The bill provides that it is
10 23 unlawful to make, cause to be made, or receive a deposit of
10 24 liquefied petroleum gas in a liquefied petroleum gas storage
10 25 tank which has not been registered with the state fire
10 26 marshal. The bill provides that the state fire marshal shall
10 27 furnish the owner or operator of a liquefied petroleum gas
10 28 storage tank with a numbered registration sticker for each
10 29 liquefied petroleum gas storage tank registered with the state
10 30 fire marshal. The bill provides that a late registration
10 31 penalty of $50 is imposed in addition to the registration fee
10 32 for a tank registered after the required date. The bill
10 33 provides that a liquefied petroleum gas storage tank which is
10 34 subject to regulation by or registration with either the
10 35 federal department of transportation or state department of
11 1 transportation, or both, is exempt from the state fire marshal
11 2 registration requirements.
11 3 The bill requires a person who registers a liquefied
11 4 petroleum gas storage tank to furnish proof of financial
11 5 responsibility for damages occurring after the effective date
11 6 of the proof, arising out of the ownership, maintenance, or
11 7 use of liquefied petroleum gas storage tanks. The bill
11 8 provides requirements for furnishing proof of financial
11 9 responsibility and provides that documentation submitted as
11 10 proof of financial responsibility shall be a confidential
11 11 record. The bill provides that a person whose liability
11 12 policy has been canceled or terminated shall not display their
11 13 registration stickers.
11 14 The bill provides that the state fire marshal shall conduct
11 15 inspections and, when warranted, investigations in response to
11 16 complaints received or otherwise as determined necessary by
11 17 the state fire marshal. The bill provides that the state fire
11 18 marshal may, at reasonable times, enter an establishment or
11 19 other place where a liquefied petroleum gas storage tank is
11 20 located and inspect and obtain samples of liquefied petroleum
11 21 gas and conduct monitoring or testing of the tanks, associated
11 22 equipment, contents, or surrounding soils or air. The bill
11 23 provides that if the state fire marshal obtains a sample,
11 24 prior to leaving the premises the state fire marshal shall
11 25 give the owner, operator, or agent in charge a receipt
11 26 describing the sample obtained and, if requested, a portion of
11 27 each sample equal in volume or weight to the portion retained.
11 28 The bill provides that if the state fire marshal causes the
11 29 sample to be analyzed, a copy of the results of the analysis
11 30 shall be furnished promptly to the owner, operator, or agent
11 31 in charge. The bill provides that documents or information
11 32 obtained from a person shall be available to the public unless
11 33 a showing satisfactory to the state fire marshal that public
11 34 disclosure of documents or information, or a particular part
11 35 of the documents or information to which the state fire
12 1 marshal has access, would divulge commercial or financial
12 2 information entitled to protection as a trade secret.
12 3 The bill requires the state fire marshal to maintain an
12 4 accurate inventory of liquefied petroleum gas storage tanks
12 5 and to take any action allowed by law which, in the judgment
12 6 of the state fire marshal, is necessary to enforce or secure
12 7 compliance. The bill requires the state fire marshal to
12 8 conduct investigations of complaints received directly or
12 9 referred by other agencies, and conduct other investigations
12 10 deemed necessary. The bill provides that if the owner,
12 11 operator, or agent in charge of any property refuses
12 12 admittance, or if prior to such refusal the state fire marshal
12 13 demonstrates the necessity for a warrant, the state fire
12 14 marshal may make application under oath or affirmation to the
12 15 district court of the county in which the property is located
12 16 for the issuance of a search warrant.
12 17 The bill provides that if substantial evidence exists that
12 18 a person has violated or is violating a provision of this
12 19 bill, the state fire marshal may issue an order directing the
12 20 person to desist in the practice which constitutes the
12 21 violation and to take corrective action as necessary to ensure
12 22 that the violation will cease. The bill provides that the
12 23 order may also include an appropriate administrative penalty.
12 24 The bill provides that the person to whom the order is issued
12 25 may appeal the order as provided in Code chapter 17A. The
12 26 bill provides that if it is determined by the state fire
12 27 marshal that an emergency exists respecting any matter
12 28 affecting or likely to affect the public health, the state
12 29 fire marshal may issue any order necessary to terminate the
12 30 emergency without notice and without hearing. The bill
12 31 provides that the state fire marshal may request the attorney
12 32 general to institute legal proceedings.
12 33 The bill provides that a person who violates a provision of
12 34 this bill is subject to a civil penalty not to exceed $100 for
12 35 each day during which the violation continues, up to a maximum
13 1 of $10,000. However, if an unregistered tank is registered
13 2 within 30 days after the state fire marshal issues a cease and
13 3 desist order, the civil penalty shall not accrue. The bill
13 4 provides that a civil penalty is an alternative to a criminal
13 5 penalty. The bill provides that a person who knowingly fails
13 6 to register a tank or makes a false statement, representation,
13 7 or certification in a record, report, or other document filed
13 8 or required to be maintained, or violates an order issued by
13 9 the state fire marshal, is guilty of an aggravated
13 10 misdemeanor. The bill provides that the attorney general, at
13 11 the request of the state fire marshal, shall institute any
13 12 legal proceedings, including an action for an injunction,
13 13 necessary to enforce penalty provisions or to obtain
13 14 compliance.
13 15 The bill provides that a liquefied petroleum gas storage
13 16 tank registration fund is created as a separate fund in the
13 17 state treasury under the control of the department of public
13 18 safety, division of fire protection. The bill provides that
13 19 moneys credited to the fund shall be administered by the
13 20 department of public safety and expended by the division of
13 21 fire protection for the purposes of administering the
13 22 provisions of the bill, including the employment of personnel.
13 23 The bill directs the Code editor to organize the provisions
13 24 of this bill as a separate division of Code chapter 101.
13 25 LSB 1873HV 81
13 26 tm:nh/sh/8.1