Senate Study Bill 3179 SENATE/HOUSE FILE BY (PROPOSED DEPARTMENT OF NATURAL RESOURCES BILL) Passed Senate, Date Passed House, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act relating to water use permit fees, creating a new water 2 use permit fund, and making appropriations. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 5447XD 82 5 tw/nh/5 PAG LIN 1 1 Section 1. Section 423.3, Code Supplement 2007, is amended 1 2 by adding the following new subsection: 1 3 NEW SUBSECTION. 93. Water use permit fees paid pursuant 1 4 to section 455B.265. 1 5 Sec. 2. Section 455B.265, Code 2007, is amended by adding 1 6 the following new subsection: 1 7 NEW SUBSECTION. 6. The department may charge an annual 1 8 fee to a person who has been granted a permit pursuant to this 1 9 section or is required to have a permit pursuant to section 1 10 455B.268. The commission shall adopt by rule a schedule 1 11 setting the fee amounts. 1 12 a. The amount of a fee shall be based on all of the 1 13 following: 1 14 (1) The amount of water allocated for storage, withdrawal, 1 15 or diversion. 1 16 (2) The department's reasonable cost of reviewing 1 17 applications, issuing permits, and ensuring compliance with 1 18 the terms of the permits. 1 19 b. Fees collected pursuant to this subsection shall be 1 20 credited to the water use permit fund created in section 1 21 455B.265A. 1 22 c. The commission shall annually review the amount of 1 23 moneys generated by the fees, the balance in the water use 1 24 permit fund, and the anticipated expenses for the succeeding 1 25 fiscal year. 1 26 d. Fees paid pursuant to this section shall not be subject 1 27 to sales or services taxes. 1 28 Sec. 3. NEW SECTION. 455B.265A WATER USE PERMIT FUND == 1 29 APPROPRIATION. 1 30 1. A water use permit fund is created in the state 1 31 treasury. The fund shall be separate from the general fund of 1 32 the state and shall be under the control of the department. 1 33 2. Moneys credited to the fund from the fees assessed 1 34 pursuant to section 455B.265, subsection 6, are appropriated 1 35 to the department and shall be used for all of the following 2 1 purposes: 2 2 a. Gathering scientific information about surface water 2 3 and groundwater including but not limited to aquifer 2 4 characteristics including the quantity of water stored in an 2 5 aquifer and the effects of withdrawing water from an aquifer. 2 6 b. Reviewing applications for permits under section 2 7 455B.265, issuing permits, and providing technical assistance 2 8 to permit applicants. 2 9 c. Ensuring compliance with the terms of the permits. 2 10 d. Managing the state's water resources, including 2 11 implementing and enforcing the provisions of sections 455B.261 2 12 through 455B.281 pertaining to water allocation, use, 2 13 diversion, storage, and withdrawal, and completing water 2 14 resource studies. 2 15 3. Notwithstanding section 8.33, any unexpended balance in 2 16 the fund at the end of a fiscal year shall be retained in the 2 17 fund. 2 18 4. Notwithstanding section 12C.7, subsection 2, interest, 2 19 earnings on investments, or time deposits of the moneys in the 2 20 fund shall be retained in the fund. 2 21 EXPLANATION 2 22 This bill relates to water use permit fees for diverting, 2 23 storing, or withdrawing water. 2 24 The bill creates a water use permit fund for revenue 2 25 generated by annual water use permit fees. The bill allows 2 26 the environmental protection commission to set the fee 2 27 schedule according to the allocation of water and the 2 28 department of natural resources' costs relating to the 2 29 permits. The fees paid are not subject to sales or services 2 30 taxes. 2 31 The bill appropriates the money in the fund to the 2 32 department to be used for the purposes provided in the bill. 2 33 Specifically, the bill requires that moneys be used to gather 2 34 scientific information about surface water and groundwater; to 2 35 review applications, issue permits, and provide technical 3 1 assistance to permit applicants; and to ensure compliance with 3 2 the terms of the permits. 3 3 The bill requires the commission to annually review the 3 4 amount of moneys generated by fees, the balance in the fund, 3 5 and anticipated expenses for the succeeding fiscal year. 3 6 LSB 5447XD 82 3 7 tw/nh/5.1