House File 336 - Introduced



                                       HOUSE FILE       
                                       BY  SWAIM and WHITAKER


    Passed House,  Date               Passed Senate, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to the proceeds of penalties collected for
  2    possession of unstamped cigarettes in the state.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  4 TLSB 2322YH 83
  5 pf/nh/5

PAG LIN



  1  1    Section 1.  Section 453A.35, Code 2009, is amended to read
  1  2 as follows:
  1  3    453A.35  TAX AND FEES PAID TO GENERAL FUND OR CITY OR
  1  4 COUNTY GENERAL FUND == STANDING APPROPRIATION TO HEALTH CARE
  1  5 TRUST FUND.
  1  6    1.  The Except as otherwise provided in this section, the
  1  7 proceeds derived from the sale of stamps and the payment of
  1  8 taxes, fees, and penalties provided for under this chapter,
  1  9 and the permit fees received from all permits issued by the
  1 10 department, shall be credited to the general fund of the
  1 11 state.  However, beginning July 1, 2007, of the revenues
  1 12 generated from the tax on cigarettes pursuant to section
  1 13 453A.6, subsection 1, and from the tax on tobacco products as
  1 14 specified in section 453A.43, subsections 1, 2, 3, and 4, and
  1 15 credited to the general fund of the state under this
  1 16 subsection, there is appropriated, annually, to the health
  1 17 care trust fund created in section 453A.35A, the first one
  1 18 hundred twenty=seven million six hundred thousand dollars.
  1 19    2.  All permit fees provided for in this chapter and
  1 20 collected by cities in the issuance of permits granted by the
  1 21 cities shall be paid to the treasurer of the city where the
  1 22 permit is effective, or to another city officer as designated
  1 23 by the council, and credited to the general fund of the city.
  1 24 Permit fees so collected by counties shall be paid to the
  1 25 county treasurer.
  1 26    3.  Notwithstanding subsection 1, all proceeds from
  1 27 penalties collected pursuant to section 453A.31, subsection 1,
  1 28 paragraph "a", for the possession of unstamped cigarettes
  1 29 shall be paid to the treasurer of the city or county and
  1 30 credited to the general fund of the city or county, if
  1 31 collection of the proceeds from the penalty is the result of
  1 32 enforcement by the city or county.
  1 33                           EXPLANATION
  1 34    This bill provides for the deposit of proceeds collected
  1 35 from penalties relating to the possession of unstamped
  2  1 cigarettes in the general fund of a city or county rather than
  2  2 the general fund of the state, if enforcement by the city or
  2  3 county resulted in collection of the proceeds.  Under current
  2  4 law, all proceeds from these penalties are initially deposited
  2  5 in the general fund of the state.
  2  6 LSB 2322YH 83
  2  7 pf/nh/5