House
File
2328
-
Introduced
HOUSE
FILE
2328
BY
COMMITTEE
ON
JUDICIARY
(SUCCESSOR
TO
HSB
606)
(COMPANION
TO
SF
2203)
A
BILL
FOR
An
Act
relating
to
nonsubstantive
Code
corrections
and
1
including
effective
date
provisions.
2
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
3
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2328
DIVISION
I
1
NONSUBSTANTIVE
CHANGES
2
Section
1.
Section
6B.14,
subsection
2,
Code
2011,
is
3
amended
to
read
as
follows:
4
2.
Prior
to
the
meeting
of
the
commission,
the
commission
5
or
a
commissioner
shall
not
communicate
with
the
applicant,
6
property
owner,
or
tenant,
or
their
agents,
regarding
the
7
condemnation
proceedings.
The
commissioners
shall
meet
in
8
open
session
to
view
the
property
and
to
receive
evidence,
but
9
may
deliberate
in
closed
session.
When
deliberating
in
closed
10
session,
the
meeting
is
closed
to
all
persons
who
are
not
11
commissioners
except
for
personnel
from
the
sheriff’s
office
12
if
such
personnel
is
are
requested
by
the
commission.
After
13
deliberations
commence,
the
commission
and
each
commissioner
is
14
prohibited
from
communicating
with
any
party
to
the
proceeding.
15
However,
if
the
commission
is
deliberating
in
closed
session,
16
and
after
deliberations
commence
the
commission
requires
17
further
information
from
a
party
or
a
witness,
the
commission
18
shall
notify
the
property
owner
and
the
acquiring
agency
that
19
they
are
allowed
to
attend
the
meeting
at
which
such
additional
20
information
shall
be
provided
but
only
for
that
period
of
time
21
during
which
the
additional
information
is
being
provided.
22
The
property
owner
and
the
acquiring
agency
shall
be
given
a
23
reasonable
opportunity
to
attend
the
meeting.
The
commission
24
shall
keep
minutes
of
all
its
meetings
showing
the
date,
time,
25
and
place,
the
members
present,
and
the
action
taken
at
each
26
meeting.
The
minutes
shall
show
the
results
of
each
vote
taken
27
and
information
sufficient
to
indicate
the
vote
of
each
member
28
present.
The
vote
of
each
member
present
shall
be
made
public
29
at
the
open
session.
The
minutes
shall
be
public
records
open
30
to
public
inspection.
31
Sec.
2.
Section
8F.2,
subsection
8,
paragraph
b,
32
subparagraph
(8),
Code
2011,
is
amended
to
read
as
follows:
33
(8)
A
contract
for
services
provided
from
resources
made
34
available
under
Title
Tit.
XVIII,
XIX,
or
XXI
of
the
federal
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Social
Security
Act.
1
Sec.
3.
Section
10B.4,
subsection
2,
paragraph
g,
Code
2
Supplement
2011,
is
amended
to
read
as
follows:
3
g.
If
the
reporting
entity
is
a
life
science
enterprise,
as
4
provided
in
chapter
10C
,
Code
2011,
as
that
chapter
exists
on
5
or
before
June
30,
2005,
the
total
amount
of
commercial
sale
6
of
life
science
products
and
products
other
than
life
science
7
products
which
are
produced
from
the
agricultural
land
held
by
8
the
life
science
enterprise.
9
Sec.
4.
Section
12.87,
subsection
1,
paragraph
a,
Code
10
Supplement
2011,
is
amended
to
read
as
follows:
11
a.
The
treasurer
of
state
is
authorized
to
issue
and
sell
12
bonds
on
behalf
of
the
state
to
provide
funds
for
certain
13
infrastructure
projects
and
for
purposes
of
the
Iowa
jobs
14
program
established
in
section
16.194
.
The
treasurer
of
state
15
shall
have
all
of
the
powers
which
are
necessary
or
convenient
16
to
issue,
sell,
and
secure
bonds
and
carry
out
the
treasurer
of
17
state’s
duties,
and
exercise
the
treasurer
of
state’s
authority
18
under
this
section
and
sections
12.88
through
12.90
.
The
19
treasurer
of
state
may
issue
and
sell
bonds
in
such
amounts
as
20
the
treasurer
of
state
determines
to
be
necessary
to
provide
21
sufficient
funds
for
certain
infrastructure
projects
and
the
22
revenue
bonds
capitals
fund,
the
revenue
bonds
capitals
II
23
fund,
the
payment
of
interest
on
the
bonds,
the
establishment
24
of
reserves
to
secure
the
bonds,
the
payment
of
costs
of
25
issuance
of
the
bonds,
the
payment
of
other
expenditures
of
26
the
treasurer
of
state
incident
to
and
necessary
or
convenient
27
to
carry
out
the
issuance
and
sale
of
the
bonds,
and
the
28
payment
of
all
other
expenditures
of
the
treasurer
of
state
29
necessary
or
convenient
to
administer
the
funds
and
to
carry
30
out
the
purposes
for
which
the
bonds
are
issued
and
sold.
The
31
treasurer
of
state
may
issue
and
sell
bonds
as
provided
in
32
paragraph
“b”
in
one
or
more
series
on
the
terms
and
conditions
33
the
treasurer
of
state
determines
to
be
in
the
best
interest
of
34
the
state,
in
accordance
with
this
section
in
such
amounts
as
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the
treasurer
of
state
determines
to
be
necessary
to
fund
the
1
purposes
for
which
such
bonds
are
issued
and
sold
as
follows:
.
2
Sec.
5.
Section
15.104,
subsection
3,
unnumbered
paragraph
3
1,
Code
Supplement
2011,
is
amended
to
read
as
follows:
4
Review
and
approve
or
disapprove
a
life
science
enterprise
5
plan
or
amendments
to
that
plan
as
provided
in
chapter
10C
,
6
Code
2011,
and
according
to
rules
adopted
by
the
board.
A
7
life
science
plan
shall
make
a
reasonable
effort
to
provide
8
for
participation
by
persons
who
are
individuals
or
family
9
farm
entities
actively
engaged
in
farming
as
defined
in
10
section
10.1
.
The
persons
may
participate
in
the
life
science
11
enterprise
by
holding
an
equity
position
in
the
life
science
12
enterprise
or
providing
goods
or
service
to
the
enterprise
13
under
contract.
The
plan
must
be
filed
with
the
board
not
14
later
than
June
30,
2005.
The
life
science
enterprise
may
file
15
an
amendment
to
a
plan
at
any
time.
A
life
science
enterprise
16
is
not
eligible
to
file
a
plan,
unless
the
life
science
17
enterprise
files
a
notice
with
the
board.
The
notice
shall
be
18
a
simple
statement
indicating
that
the
life
science
enterprise
19
may
file
a
plan
as
provided
in
this
section
.
The
notice
must
be
20
filed
with
the
board
not
later
than
June
1,
2005.
The
notice,
21
plan,
or
amendments
shall
be
submitted
by
a
life
science
22
enterprise
as
provided
by
the
board.
The
board
shall
consult
23
with
the
department
of
agriculture
and
land
stewardship
during
24
its
review
of
a
life
science
plan
or
amendments
to
that
plan.
25
The
plan
shall
include
information
regarding
the
life
science
26
enterprise
as
required
by
rules
adopted
by
the
board,
including
27
but
not
limited
to
all
of
the
following:
28
Sec.
6.
Section
15.117A,
subsection
6,
paragraph
b,
Code
29
Supplement
2011,
is
amended
to
read
as
follows:
30
b.
Review
annually
all
of
the
economic
development
programs
31
administered
by
the
authority
and
the
board
that
relate
to
the
32
targeted
industries
and
make
recommendations
for
adjustments
33
that
enhance
efficiency
and
effectiveness.
In
reviewing
the
34
programs,
the
council
shall,
to
the
greatest
extent
possible,
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2328
utilize
economic
development
data
and
research
in
order
to
make
1
objective,
fact-based
recommendations.
2
Sec.
7.
Section
15.247,
subsection
8,
paragraphs
c
and
d,
3
Code
Supplement
2011,
are
amended
to
read
as
follows:
4
c.
A
person
within
the
third
degree
of
consanguinity
of
an
5
employee
of
the
authority,
a
person
within
the
third
degree
6
of
consanguinity
of
a
member
of
the
targeted
small
business
7
financial
assistance
board
or
member’s
relative,
or
a
business
8
with
any
financial
ties
to
a
member
shall
not
be
eligible
for
9
financial
assistance
under
the
program
during
the
employee’s
10
employment
or
the
member’s
tenure
on
the
board,
as
applicable.
11
d.
Members
shall
serve
two
year
two-year
terms
and
may
be
12
reappointed.
A
member
shall
not
serve
more
than
two
terms.
13
d.
e.
The
targeted
small
business
financial
assistance
14
board
shall
consider
all
applications
for
financial
assistance
15
under
the
program
submitted
on
or
after
July
1,
2007.
16
Sec.
8.
Section
15A.9,
subsection
1,
paragraph
b,
Code
17
Supplement
2011,
is
amended
to
read
as
follows:
18
b.
(1)
In
order
to
assist
a
community
or
communities
19
located
within
the
state
to
secure
new
industrial
manufacturing
20
jobs,
the
state
of
Iowa
makes
economic
development
assistance
21
available
within
the
zone
or
zones,
and
the
department
of
22
economic
development
shall
designate
a
site
or
sites,
which
23
shall
not
be
larger
than
two
thousand
five
hundred
acres,
24
within
thirty
days
of
March
4,
1994,
as
a
quality
jobs
25
enterprise
zone
or
zones
for
the
purpose
of
attracting
a
26
primary
business
and
supporting
businesses
to
locate
facilities
27
within
the
state.
28
(2)
The
primary
business
or
a
supporting
business
shall
not
29
be
prohibited
from
participating
in
or
receiving
other
economic
30
development
programs
or
services
or
electing
to
utilize
other
31
tax
provisions
to
the
extent
authorized
elsewhere
by
law.
32
Sec.
9.
Section
34A.15,
subsection
1,
paragraphs
c,
e,
and
33
h,
Code
Supplement
2011,
are
amended
to
read
as
follows:
34
c.
One
person
appointed
by
the
Iowa
association
of
chiefs
of
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police
and
peace
officers
association
.
1
e.
One
person
appointed
by
the
Iowa
association
of
2
professional
fire
fighters.
3
h.
One
person
appointed
by
the
Iowa
chapter
of
the
4
association
of
public
safety
public-safety
communications
5
officials-international,
inc.
6
Sec.
10.
Section
80B.11A,
Code
2011,
is
amended
to
read
as
7
follows:
8
80B.11A
Jailer
training
standards.
9
The
director
of
the
academy,
subject
to
the
approval
of
10
the
council,
and
in
consultation
with
the
Iowa
department
of
11
corrections,
Iowa
state
sheriffs’
and
deputies’
association,
12
and
the
Iowa
association
of
chiefs
of
police
and
peace
officers
13
association
,
shall
adopt
rules
in
accordance
with
this
chapter
14
and
chapter
17A
establishing
minimum
standards
for
training
of
15
jailers.
16
Sec.
11.
Section
80B.11C,
Code
2011,
is
amended
to
read
as
17
follows:
18
80B.11C
Telecommunicator
training
standards.
19
The
director
of
the
academy,
subject
to
the
approval
of
20
the
council,
in
consultation
with
the
Iowa
state
sheriffs’
21
and
deputies’
association,
the
Iowa
police
executive
forum,
22
the
Iowa
association
of
chiefs
of
police
and
peace
officers
23
association
,
the
Iowa
state
police
association,
the
Iowa
24
association
of
professional
fire
fighters,
the
Iowa
emergency
25
medical
services
association,
the
joint
council
of
Iowa
26
fire
service
organizations,
the
Iowa
department
of
public
27
safety,
the
Iowa
chapter
of
the
association
of
public
safety
28
public-safety
communications
officials-international,
inc.,
the
29
Iowa
chapter
of
the
national
emergency
number
association,
the
30
homeland
security
and
emergency
management
division
of
the
Iowa
31
department
of
public
defense,
and
the
Iowa
department
of
public
32
health,
shall
adopt
rules
pursuant
to
chapter
17A
establishing
33
minimum
standards
for
training
of
telecommunicators.
For
34
purposes
of
this
section
,
“telecommunicator”
means
a
person
who
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receives
requests
for,
or
dispatches
requests
to,
emergency
1
response
agencies
which
include,
but
are
not
limited
to,
law
2
enforcement,
fire,
rescue,
and
emergency
medical
services
3
agencies.
4
Sec.
12.
Section
80E.2,
subsection
1,
paragraph
m,
Code
5
2011,
is
amended
to
read
as
follows:
6
m.
A
member
representing
the
Iowa
association
of
chiefs
of
7
police
and
peace
officers
association
.
8
Sec.
13.
Section
80E.2,
subsection
2,
Code
2011,
is
amended
9
to
read
as
follows:
10
2.
The
prosecuting
attorney,
licensed
substance
abuse
11
treatment
specialist,
certified
substance
abuse
prevention
12
specialist,
substance
abuse
treatment
program
director,
member
13
representing
the
Iowa
association
of
chiefs
of
police
and
14
peace
officers
association
,
member
representing
the
Iowa
state
15
police
association,
and
the
member
representing
the
Iowa
state
16
sheriffs’
and
deputies’
association
shall
be
appointed
by
the
17
governor,
subject
to
senate
confirmation,
for
four-year
terms
18
beginning
and
ending
as
provided
in
section
69.19
.
A
vacancy
19
on
the
council
shall
be
filled
for
the
unexpired
term
in
the
20
same
manner
as
the
original
appointment
was
made.
21
Sec.
14.
Section
96.21,
Code
2011,
is
amended
to
read
as
22
follows:
23
96.21
Termination.
24
If
at
any
time
Title
Tit.
IX
of
the
Social
Security
Act,
25
as
amended,
shall
be
amended
or
repealed
by
Congress
or
held
26
unconstitutional
by
the
supreme
court
of
the
United
States,
27
with
the
result
that
no
portion
of
the
contributions
required
28
under
this
chapter
may
be
credited
against
the
tax
imposed
29
by
said
Title
Tit.
IX,
in
any
such
event
the
operation
of
30
the
provisions
of
this
chapter
requiring
the
payment
of
31
contributions
and
benefits
shall
immediately
cease,
the
32
department
shall
thereupon
requisition
from
the
unemployment
33
trust
fund
all
moneys
therein
standing
to
its
credit,
and
such
34
moneys,
together
with
any
other
moneys
in
the
unemployment
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2328
compensation
fund
shall
be
refunded,
without
interest
and
under
1
regulations
prescribed
by
the
department,
to
each
employer
2
by
whom
contributions
have
been
paid,
proportionately
to
the
3
employer’s
pro
rata
share
of
the
total
contributions
paid
under
4
this
chapter
.
Any
interest
or
earnings
of
the
fund
shall
be
5
available
to
the
department
to
pay
for
the
costs
of
making
such
6
refunds.
When
the
department
shall
have
executed
the
duties
7
prescribed
in
this
section
and
performed
such
other
acts
as
are
8
incidental
to
the
termination
of
its
duties
under
this
chapter
,
9
the
provisions
of
this
chapter
,
in
their
entirety,
shall
cease
10
to
be
operative.
11
Sec.
15.
Section
96.27,
Code
2011,
is
amended
to
read
as
12
follows:
13
96.27
Approval
of
attorney
general.
14
An
agreement
made
for
the
purchase
or
other
acquisition
of
15
the
premises
mentioned
in
section
96.25
of
this
section
with
16
funds
granted
or
credited
to
this
state
for
such
purpose
under
17
the
Social
Security
Act
or
the
Wagner-Peyser
Act
shall
be
18
subject
to
the
approval
of
the
attorney
general
of
the
state
of
19
Iowa
as
to
form
and
as
to
title
thereto.
20
Sec.
16.
Section
97C.5,
Code
2011,
is
amended
to
read
as
21
follows:
22
97C.5
Tax
on
employees.
23
Every
employee
whose
services
are
covered
by
an
agreement
24
entered
into
under
section
97C.3
shall
be
required
to
pay
25
for
the
period
of
such
coverage
into
the
contribution
fund
26
established
by
section
97C.12
,
a
tax
which
is
hereby
imposed
27
with
respect
to
wages
received
during
the
calendar
year
of
28
1953,
equal
to
such
percentum
of
the
wages
received
by
the
29
employee
as
imposed
by
Social
Security
Act,
Title
Tit.
II,
30
as
such
Act
has
been
and
may
from
time
to
time
be
amended.
31
Such
payment
shall
be
considered
a
condition
of
employment
32
as
a
public
employee.
Taxes
deducted
from
the
wages
of
the
33
employee
by
the
employer
and
taxes
imposed
upon
the
employer
34
shall
be
forwarded
to
the
state
agency
for
recording
and
shall
35
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be
deposited
with
the
treasurer
of
state
to
the
credit
of
1
the
contribution
fund
established
by
section
97C.12
of
this
2
chapter
.
3
Sec.
17.
Section
97C.10,
Code
2011,
is
amended
to
read
as
4
follows:
5
97C.10
Tax
on
employer.
6
In
addition
to
all
other
taxes
there
is
hereby
imposed
upon
7
each
employer
as
defined
in
section
97C.2,
subsection
2
,
a
8
tax
equal
to
such
percentum
of
the
wages
paid
by
the
employer
9
to
each
employee
as
imposed
by
the
Social
Security
Act,
Title
10
Tit.
II,
as
such
Act
has
been
and
may
from
time
to
time
be
11
amended.
The
employer
shall
pay
its
tax
or
contribution
from
12
funds
available
and
is
directed
to
pay
same
from
tax
money
or
13
from
any
other
income
available.
The
political
subdivision
is
14
hereby
authorized
and
directed
to
levy
in
addition
to
all
other
15
taxes
a
property
tax
sufficient
to
meet
its
obligations
under
16
the
provisions
of
this
chapter
,
if
such
tax
levy
is
necessary
17
because
other
funds
are
not
available.
18
Sec.
18.
Section
97C.15,
Code
2011,
is
amended
to
read
as
19
follows:
20
97C.15
Payments
to
secretary
of
treasury.
21
From
the
contribution
fund
the
custodian
of
the
fund
shall
22
pay
to
the
secretary
of
the
treasury
of
the
United
States
such
23
amounts
and
at
such
time
or
times
as
may
be
directed
by
the
24
state
agency
in
accordance
with
any
agreement
entered
into
25
under
section
97C.3
and
the
Social
Security
Act,
Title
Tit.
II.
26
Sec.
19.
Section
99D.11,
subsections
2
and
3,
Code
27
Supplement
2011,
are
amended
to
read
as
follows:
28
2.
Licensees
shall
only
permit
the
pari-mutuel
or
29
certificate
method
of
wagering,
or
the
advanced
advance
deposit
30
method
of
wagering,
as
defined
in
this
section
.
31
3.
The
licensee
may
receive
wagers
of
money
only
from
a
32
person
present
in
a
licensed
racetrack
enclosure
on
a
horse
33
or
dog
in
the
race
selected
by
the
person
making
the
wager
to
34
finish
first
in
the
race
or
from
a
person
engaging
in
advanced
35
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advance
deposit
wagering
as
defined
in
this
section
.
The
1
person
wagering
shall
acquire
an
interest
in
the
total
money
2
wagered
on
all
horses
or
dogs
in
the
race
as
first
winners
in
3
proportion
to
the
amount
of
money
wagered
by
the
person.
4
Sec.
20.
Section
99D.11,
subsection
6,
paragraph
c,
Code
5
Supplement
2011,
is
amended
to
read
as
follows:
6
c.
(1)
The
commission
shall
authorize
the
licensee
of
the
7
horse
racetrack
located
in
Polk
county
to
conduct
advanced
8
advance
deposit
wagering.
An
advanced
advance
deposit
wager
9
may
be
placed
in
person
at
a
licensed
racetrack
enclosure,
or
10
from
any
other
location
via
a
telephone-type
device
or
any
11
other
electronic
means.
The
commission
may
also
issue
an
12
advanced
advance
deposit
wagering
operator
license
to
an
entity
13
who
complies
with
subparagraph
(3)
and
section
99D.8A
.
14
(2)
For
the
purposes
of
this
section
,
“advanced
deposit
15
wagering”
“advance
deposit
wagering”
means
a
method
of
16
pari-mutuel
wagering
in
which
an
individual
may
establish
17
an
account,
deposit
money
into
the
account,
and
use
the
18
account
balance
to
pay
for
pari-mutuel
wagering.
Of
the
net
19
revenue,
less
all
taxes
paid
and
expenses
directly
related
to
20
account
deposit
wagering
incurred
by
the
licensee
of
the
horse
21
racetrack
located
in
Polk
county,
received
through
advanced
22
advance
deposit
wagering,
fifty
percent
shall
be
designated
for
23
the
horse
purses
created
pursuant
to
section
99D.7,
subsection
24
5
,
and
fifty
percent
shall
be
designated
for
the
licensee
for
25
the
pari-mutuel
horse
racetrack
located
in
Polk
county.
26
(3)
Before
granting
an
advanced
advance
deposit
wagering
27
operator
license
to
an
entity
other
than
the
licensee
of
28
the
horse
racetrack
located
in
Polk
county,
the
commission
29
shall
enter
into
an
agreement
with
the
licensee
of
the
30
horse
racetrack
located
in
Polk
county,
the
Iowa
horsemen’s
31
benevolent
and
protective
association,
and
the
prospective
32
advanced
advance
deposit
wagering
operator
for
the
purpose
33
of
determining
the
payment
of
statewide
source
market
fees
34
and
the
host
fees
to
be
paid
on
all
races
subject
to
advanced
35
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advance
deposit
wagering.
The
commission
shall
establish
the
1
term
of
such
an
advanced
advance
deposit
wagering
operator
2
license.
Such
an
advanced
advance
deposit
wagering
operator
3
licensee
shall
accept
wagers
on
live
races
conducted
at
the
4
horse
racetrack
in
Polk
county
from
all
of
its
account
holders
5
if
it
accepts
wagers
from
any
residents
of
this
state.
6
(4)
An
unlicensed
advanced
advance
deposit
wagering
7
operator
or
an
individual
taking
or
receiving
wagers
from
8
residents
of
this
state
on
races
conducted
at
the
horse
9
racetrack
located
in
Polk
county
is
guilty
of
a
class
“D”
10
felony.
11
(5)
For
the
purposes
of
this
paragraph
“c”
,
“advanced
12
deposit
wagering
operator”
“advance
deposit
wagering
operator”
13
means
an
advanced
advance
deposit
wagering
operator
licensed
14
by
the
commission
who
has
entered
into
an
agreement
with
the
15
licensee
of
the
horse
racetrack
in
Polk
county
and
the
Iowa
16
horsemen’s
benevolent
and
protective
association
to
provide
17
advanced
advance
deposit
wagering.
18
Sec.
21.
Section
100B.1,
subsection
1,
paragraph
a,
19
subparagraph
(1),
subparagraph
division
(c),
Code
Supplement
20
2011,
is
amended
to
read
as
follows:
21
(c)
Two
members
from
a
list
submitted
by
the
Iowa
22
association
of
professional
fire
fighters.
23
Sec.
22.
Section
105.2,
subsection
8,
Code
Supplement
2011,
24
is
amended
to
read
as
follows:
25
8.
“Hydronic”
means
a
heating
or
cooling
system
that
26
transfers
heating
or
cooling
by
circulating
fluid
through
27
a
closed
system,
including
boilers,
pressure
vessels,
28
refrigerated
refrigeration
equipment
in
connection
with
chilled
29
water
systems,
all
steam
piping,
hot
or
chilled
water
piping
30
together
with
all
control
devices
and
accessories,
installed
as
31
part
of,
or
in
connection
with,
any
heating
or
cooling
system
32
or
appliance
using
a
liquid,
water,
or
steam
as
the
heating
33
or
cooling
media.
“Hydronic”
includes
all
low-pressure
and
34
high-pressure
systems
and
all
natural,
propane,
liquid
propane,
35
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or
other
gas
lines
associated
with
any
component
of
a
hydronic
1
system.
2
Sec.
23.
Section
124.401,
subsection
4,
paragraph
e,
Code
3
Supplement
2011,
is
amended
to
read
as
follows:
4
e.
Red
phosphorous
phosphorus
.
5
Sec.
24.
Section
135.105,
subsection
1,
Code
2011,
is
6
amended
to
read
as
follows:
7
1.
Coordinate
the
childhood
lead
poisoning
prevention
8
program
with
the
department
of
natural
resources,
the
9
university
of
Iowa
poison
control
program,
the
mobile
and
10
regional
child
health
speciality
specialty
clinics,
and
any
11
agency
or
program
known
for
a
direct
interest
in
lead
levels
12
in
the
environment.
13
Sec.
25.
Section
135.159,
subsection
2,
paragraph
a,
14
subparagraph
(9),
Code
Supplement
2011,
is
amended
to
read
as
15
follows:
16
(9)
A
representative
of
the
governor’s
Iowa
developmental
17
disabilities
council.
18
Sec.
26.
Section
161G.3,
subsection
3,
paragraph
a,
Code
19
2011,
is
amended
to
read
as
follows:
20
a.
Provide
for
conservation
systems
that
manage
and
optimize
21
nitrogen
and
phosphorous
phosphorus
within
fields
to
minimize
22
runoff
and
reduce
downstream
nutrient
loading.
23
Sec.
27.
Section
162.20,
subsection
5,
paragraph
c,
Code
24
2011,
is
amended
to
read
as
follows:
25
c.
The
transfer
of
a
dog
or
cat
to
a
research
facility
as
26
defined
in
section
162.2
or
a
person
licensed
by
the
United
27
States
department
of
agriculture
as
a
class
B
dealer
pursuant
28
to
9
C.F.R.
ch.
1,
subch.
A,
pt.
2.
However,
a
class
B
dealer
29
who
receives
an
unsterilized
dog
or
cat
from
a
pound
or
animal
30
shelter
shall
either
sterilize
the
dog
or
cat
or
transfer
the
31
unsterilized
dog
or
cat
to
a
research
facility
provided
in
this
32
paragraph.
The
class
B
dealer
shall
not
transfer
a
dog
to
a
33
research
facility
if
the
dog
is
a
greyhound
registered
with
the
34
national
greyhound
association
and
the
dog
raced
at
a
track
35
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associated
with
pari-mutuel
racing
unless
the
class
B
dealer
1
receives
written
approval
of
the
transfer
from
a
person
who
2
owned
an
interest
in
the
dog
while
the
dog
was
racing.
3
Sec.
28.
Section
225B.3,
subsection
1,
paragraphs
b,
c,
and
4
d,
Code
2011,
are
amended
to
read
as
follows:
5
b.
Three
providers
of
disability
prevention
services,
6
recommended
by
the
governor’s
Iowa
developmental
disabilities
7
council,
appointed
by
the
governor,
and
confirmed
by
the
8
senate.
9
c.
Three
persons
with
expertise
in
priority
prevention
10
areas,
recommended
by
the
governor’s
Iowa
developmental
11
disabilities
council,
appointed
by
the
governor,
and
confirmed
12
by
the
senate.
13
d.
Three
persons
with
disabilities
or
family
members
of
a
14
person
with
disabilities,
recommended
by
the
governor’s
Iowa
15
developmental
disabilities
council,
appointed
by
the
governor
16
and
confirmed
by
the
senate.
17
Sec.
29.
Section
225C.6,
subsection
1,
paragraph
k,
Code
18
Supplement
2011,
is
amended
to
read
as
follows:
19
k.
Coordinate
activities
with
the
governor’s
Iowa
20
developmental
disabilities
council
and
the
mental
health
21
planning
council,
created
pursuant
to
federal
law.
The
22
commission
shall
work
with
other
state
agencies
on
23
coordinating,
collaborating,
and
communicating
concerning
24
activities
involving
persons
with
disabilities.
25
Sec.
30.
Section
231E.4,
subsection
3,
paragraph
e,
Code
26
2011,
is
amended
to
read
as
follows:
27
e.
Work
with
the
department
of
human
services,
the
Iowa
28
department
of
public
health,
the
governor’s
Iowa
developmental
29
disabilities
council,
and
other
agencies
to
establish
a
30
referral
system
for
the
provision
of
substitute
decision-making
31
services.
32
Sec.
31.
Section
241.3,
subsection
2,
Code
2011,
is
amended
33
to
read
as
follows:
34
2.
The
department
shall
consult
and
cooperate
with
the
35
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department
of
workforce
development,
the
United
States
1
commissioner
of
social
security
administration,
the
division
2
of
office
on
the
status
of
women
of
the
department
of
human
3
rights,
the
department
of
education,
and
other
persons
in
the
4
executive
branch
of
the
state
government
as
the
department
5
considers
appropriate
to
facilitate
the
coordination
of
6
multipurpose
service
programs
established
under
this
chapter
7
with
existing
programs
of
a
similar
nature.
8
Sec.
32.
Section
249A.4B,
subsection
2,
paragraph
a,
9
subparagraph
(39),
Code
Supplement
2011,
is
amended
to
read
as
10
follows:
11
(39)
The
governor’s
Iowa
developmental
disabilities
12
council.
13
Sec.
33.
Section
256.32,
subsection
2,
paragraph
c,
Code
14
Supplement
2011,
is
amended
to
read
as
follows:
15
c.
The
current
postsecondary
agriculture
students
student
16
organization
of
Iowa
president.
17
Sec.
34.
Section
256.35A,
subsection
2,
paragraph
b,
Code
18
2011,
is
amended
to
read
as
follows:
19
b.
In
addition,
representatives
of
the
department
of
20
education,
the
division
of
vocational
rehabilitation
of
the
21
department
of
education,
the
department
of
public
health,
the
22
department
of
human
services,
the
governor’s
Iowa
developmental
23
disabilities
council,
the
division
of
insurance
of
the
24
department
of
commerce,
and
the
state
board
of
regents
shall
25
serve
as
ex
officio
members
of
the
advisory
council.
Ex
26
officio
members
shall
work
together
in
a
collaborative
manner
27
to
serve
as
a
resource
to
the
advisory
council.
The
council
28
may
also
form
workgroups
as
necessary
to
address
specific
29
issues
within
the
technical
purview
of
individual
members.
30
Sec.
35.
Section
256C.5,
subsection
2,
paragraph
a,
Code
31
Supplement
2011,
is
amended
to
read
as
follows:
32
a.
For
the
initial
school
year
for
which
a
school
district
33
approved
to
participate
in
the
preschool
program
receives
that
34
approval
and
implements
the
preschool
program,
the
funding
for
35
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2328
the
preschool
foundation
aid
payable
to
that
school
district
1
shall
be
paid
from
the
appropriation
made
for
that
school
year
2
in
section
256C.6
,
Code
2011,
or
in
another
appropriation
3
made
for
purposes
of
this
chapter
.
For
that
school
year,
the
4
preschool
foundation
aid
payable
to
the
school
district
is
5
the
product
of
the
regular
program
state
cost
per
pupil
for
6
the
school
year
multiplied
by
sixty
percent
of
the
school
7
district’s
eligible
student
enrollment
on
the
date
in
the
8
school
year
determined
by
rule.
9
Sec.
36.
Section
260H.2,
Code
Supplement
2011,
is
amended
10
to
read
as
follows:
11
260H.2
Pathways
for
academic
career
and
employment
program.
12
A
pathways
for
academic
career
and
employment
program
is
13
established
to
provide
funding
to
community
colleges
for
the
14
development
of
projects
in
coordination
with
the
economic
15
development
authority,
the
department
of
education,
Iowa
the
16
department
of
workforce
development,
regional
advisory
boards
17
established
pursuant
to
section
84A.4
,
and
community
partners
18
to
implement
a
simplified,
streamlined,
and
comprehensive
19
process,
along
with
customized
support
services,
to
enable
20
eligible
participants
to
acquire
effective
academic
and
21
employment
training
to
secure
gainful,
quality,
in-state
22
employment.
23
Sec.
37.
Section
260H.8,
Code
Supplement
2011,
is
amended
24
to
read
as
follows:
25
260H.8
Rules.
26
The
department
of
education,
in
consultation
with
the
27
community
colleges,
the
economic
development
authority,
and
28
Iowa
the
department
of
workforce
development,
shall
adopt
29
rules
pursuant
to
chapter
17A
and
this
chapter
to
implement
30
the
provisions
of
this
chapter
.
Regional
advisory
boards
31
established
pursuant
to
section
84A.4
shall
be
consulted
in
the
32
development
and
implementation
of
rules
to
be
adopted
pursuant
33
to
this
chapter
.
34
Sec.
38.
Section
273.2,
subsection
3,
Code
Supplement
2011,
35
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H.F.
2328
is
amended
to
read
as
follows:
1
3.
The
area
education
agency
board
shall
furnish
2
educational
services
and
programs
as
provided
in
sections
3
273.1
,
this
section,
sections
273.3
to
273.9
,
and
chapter
256B
4
to
the
pupils
enrolled
in
public
or
nonpublic
schools
located
5
within
its
boundaries
which
are
on
the
list
of
accredited
6
schools
pursuant
to
section
256.11
.
The
programs
and
services
7
provided
shall
be
at
least
commensurate
with
programs
and
8
services
existing
on
July
1,
1974.
The
programs
and
services
9
provided
to
pupils
enrolled
in
nonpublic
schools
shall
be
10
comparable
to
programs
and
services
provided
to
pupils
enrolled
11
in
public
schools
within
constitutional
guidelines.
12
Sec.
39.
Section
273.3,
subsections
2
and
12,
Code
13
Supplement
2011,
are
amended
to
read
as
follows:
14
2.
Be
authorized
to
receive
and
expend
money
for
providing
15
programs
and
services
as
provided
in
sections
273.1
,
273.2,
16
this
section,
sections
273.4
to
273.9
,
and
chapters
256B
17
and
257
.
All
costs
incurred
in
providing
the
programs
and
18
services,
including
administrative
costs,
shall
be
paid
from
19
funds
received
pursuant
to
sections
273.1
to
273.9
and
chapters
20
256B
and
257
.
21
12.
Prepare
an
annual
budget
estimating
income
and
22
expenditures
for
programs
and
services
as
provided
in
sections
23
273.1
,
273.2,
this
section,
sections
273.4
to
273.9
,
and
24
chapter
256B
within
the
limits
of
funds
provided
under
section
25
256B.9
and
chapter
257
.
The
board
shall
give
notice
of
a
26
public
hearing
on
the
proposed
budget
by
publication
in
an
27
official
county
newspaper
in
each
county
in
the
territory
28
of
the
area
education
agency
in
which
the
principal
place
29
of
business
of
a
school
district
that
is
a
part
of
the
area
30
education
agency
is
located.
The
notice
shall
specify
the
31
date,
which
shall
be
not
later
than
March
1
of
each
year,
the
32
time,
and
the
location
of
the
public
hearing.
The
proposed
33
budget
as
approved
by
the
board
shall
then
be
submitted
to
the
34
state
board
of
education,
on
forms
provided
by
the
department,
35
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no
later
than
March
15
preceding
the
next
fiscal
year
for
1
approval.
The
state
board
shall
review
the
proposed
budget
of
2
each
area
education
agency
and
shall
before
April
1,
either
3
grant
approval
or
return
the
budget
without
approval
with
4
comments
of
the
state
board
included.
An
unapproved
budget
5
shall
be
resubmitted
to
the
state
board
for
final
approval
not
6
later
than
April
15.
For
the
fiscal
year
beginning
July
1,
7
1999,
and
each
succeeding
fiscal
year,
the
state
board
shall
8
give
final
approval
only
to
budgets
submitted
by
area
education
9
agencies
accredited
by
the
state
board
or
that
have
been
given
10
conditional
accreditation
by
the
state
board.
11
Sec.
40.
Section
280.13C,
subsection
3,
Code
Supplement
12
2011,
is
amended
to
read
as
follows:
13
3.
a.
A
student
who
has
been
removed
from
participation
14
shall
not
recommence
such
participation
until
the
student
has
15
been
evaluated
by
a
licensed
health
care
provider
trained
in
16
the
evaluation
and
management
of
concussions
and
other
brain
17
injuries
and
the
student
has
received
written
clearance
to
18
return
to
participation
from
the
health
care
provider.
19
b.
4.
For
the
purposes
of
this
section
,
a
“licensed
health
20
care
provider”
:
21
a.
“Extracurricular
interscholastic
activity”
means
any
22
extracurricular
interscholastic
activity,
contest,
or
practice,
23
including
sports,
dance,
or
cheerleading.
24
b.
“Licensed
health
care
provider”
means
a
physician,
25
physician
assistant,
chiropractor,
advanced
registered
nurse
26
practitioner,
nurse,
physical
therapist,
or
athletic
trainer
27
licensed
by
a
board
designated
under
section
147.13.
28
c.
For
the
purposes
of
this
section
,
an
“extracurricular
29
interscholastic
activity”
means
any
extracurricular
30
interscholastic
activity,
contest,
or
practice,
including
31
sports,
dance,
or
cheerleading.
32
Sec.
41.
Section
313.3,
subsection
1,
paragraph
d,
Code
33
2011,
is
amended
to
read
as
follows:
34
d.
All
revenue
accrued
or
accruing
to
the
state
of
Iowa
35
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2328
on
or
after
January
26,
1949,
from
the
sale
of
public
lands
1
within
the
state,
under
Acts
of
Congress
approved
March
3,
2
1845,
supplemental
to
the
Act
for
the
admission
Admission
of
3
the
states
States
of
Iowa
and
Florida
into
the
Union,
chapters
4
75
and
76
(Fifth
Statutes,
pages
788
and
790)
,
5
Stat.
788,
5
790
,
shall
be
placed
in
the
primary
road
fund.
6
Sec.
42.
Section
331.512,
subsection
1,
paragraph
e,
Code
7
2011,
is
amended
to
read
as
follows:
8
e.
The
levy
for
taxes
for
the
county
brucellosis
and
9
tuberculosis
eradication
fund
as
provided
in
section
165.18
.
10
Sec.
43.
Section
331.559,
subsection
2,
Code
2011,
is
11
amended
to
read
as
follows:
12
2.
Collect
the
tax
levied
for
the
county
brucellosis
and
13
tuberculosis
eradication
fund
as
provided
in
section
165.18
.
14
Sec.
44.
Section
356.36,
unnumbered
paragraph
1,
Code
2011,
15
is
amended
to
read
as
follows:
16
The
Iowa
department
of
corrections,
in
consultation
with
17
the
Iowa
state
sheriff’s
association,
the
Iowa
association
18
of
chiefs
of
police
and
peace
officers
association
,
the
19
Iowa
league
of
cities,
and
the
Iowa
board
of
supervisors
20
association,
shall
draw
up
minimum
standards
for
the
regulation
21
of
jails,
alternative
jails,
facilities
established
pursuant
to
22
chapter
356A
and
municipal
holding
facilities.
When
completed
23
by
the
department,
the
standards
shall
be
adopted
as
rules
24
pursuant
to
chapter
17A
.
25
Sec.
45.
Section
356.37,
Code
2011,
is
amended
to
read
as
26
follows:
27
356.37
Confinement
and
detention
report
——
design
proposals.
28
The
division
of
criminal
and
juvenile
justice
planning
29
of
the
department
of
human
rights,
in
consultation
with
30
the
department
of
corrections,
the
Iowa
county
attorneys
31
association,
the
Iowa
state
sheriff’s
association,
the
Iowa
32
association
of
chiefs
of
police
and
peace
officers
association
,
33
a
statewide
organization
representing
rural
property
taxpayers,
34
the
Iowa
league
of
cities,
and
the
Iowa
board
of
supervisors
35
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2328
association,
shall
prepare
a
report
analyzing
the
confinement
1
and
detention
needs
of
jails
and
facilities
established
2
pursuant
to
this
chapter
and
chapter
356A
.
The
report
for
each
3
type
of
jail
or
facility
shall
include
but
is
not
limited
to
4
an
inventory
of
prisoner
space,
daily
prisoner
counts,
options
5
for
detention
of
prisoners
with
mental
illness
or
substance
6
abuse
service
needs,
and
the
compliance
status
under
section
7
356.36
for
each
jail
or
facility.
The
report
shall
contain
an
8
inventory
of
recent
jail
or
facility
construction
projects
in
9
which
voters
have
approved
the
issuance
of
general
obligation
10
bonds,
essential
county
purpose
bonds,
revenue
bonds,
or
11
bonds
issued
pursuant
to
chapter
423B
.
The
report
shall
be
12
revised
periodically
as
directed
by
the
administrator
of
the
13
division
of
criminal
and
juvenile
justice
planning.
The
first
14
submission
of
the
report
shall
include
recommendations
on
15
offender
data
needed
to
estimate
jail
space
needs
in
the
next
16
two,
three,
and
five
years,
on
a
county,
geographic
region,
and
17
statewide
basis,
which
may
be
based
upon
information
submitted
18
pursuant
to
section
356.49
.
19
Sec.
46.
Section
403.21,
subsection
3,
Code
Supplement
20
2011,
is
amended
to
read
as
follows:
21
3.
The
community
college
shall
send
a
copy
of
the
final
22
agreement
prepared
pursuant
to
section
260F.3
to
the
economic
23
development
authority.
For
each
year
in
which
incremental
24
property
taxes
are
used
to
retire
debt
service
on
a
jobs
25
training
advance
issued
for
a
project
creating
new
jobs,
the
26
community
college
shall
provide
to
the
economic
development
27
authority
a
report
of
the
incremental
property
taxes
and
new
28
jobs
credits
from
withholding
generated
for
that
year,
a
29
specific
description
of
the
training
conducted,
the
number
of
30
employees
provided
program
services
under
the
project,
and
the
31
median
wage
of
employees
in
the
new
jobs
in
the
project,
and
32
the
administrative
costs
directly
attributable
to
the
project.
33
Sec.
47.
Section
410.1,
unnumbered
paragraph
5,
Code
2011,
34
is
amended
to
read
as
follows:
35
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2328
The
provisions
of
this
chapter
shall
not
apply
to
police
1
officers
and
fire
fighters
who
entered
employment
after
March
2
2,
1934,
except
that
any
police
officer
or
fire
fighter
who
3
had
been
making
payments
of
membership
fees
and
assessments
as
4
provided
in
section
410.5
prior
to
July
1,
1971,
shall
on
July
5
1,
1973,
be
fully
restored
and
entitled
to
all
pension
rights
6
and
benefits,
vested
or
not
vested,
under
this
chapter
if
the
7
city
has
not
returned
to
such
police
officer
or
fire
fighter
8
the
membership
fees
and
assessments
paid
by
the
police
officer
9
or
fire
fighter
prior
to
July
1,
1971,
and
if
such
police
10
officer
or
fire
fighter
pays
to
the
city
within
six
months
11
after
July
1,
1973,
the
amount
of
the
fees
and
assessments
12
that
the
police
officer
or
fire
fighter
would
have
paid
to
the
13
police
officers’
or
fire
fighters’
pension
fund
from
July
1,
14
1971,
to
July
1,
1973,
if
1971
Iowa
Acts
of
the
1971
Session,
15
Sixty-fourth
General
Assembly
,
ch.
108,
had
not
been
adopted.
16
If
the
membership
fees
and
assessments
paid
by
such
police
17
officer
or
fire
fighter
prior
to
July
1,
1971,
have
been
18
returned
to
the
police
officer
or
fire
fighter,
all
pension
19
rights
and
benefits,
vested
or
not
vested,
under
this
chapter
20
shall
be
fully
restored
to
the
police
officer
or
fire
fighter
21
on
July
1,
1973,
if,
within
six
months
after
July
1,
1973,
such
22
police
officer
or
fire
fighter
repays
the
fees
and
assessments
23
so
returned
and
pays
the
amount
of
the
fees
and
assessments
to
24
the
city
that
the
police
officer
or
fire
fighter
would
have
25
paid
to
the
appropriate
pension
fund
from
July
1,
1971,
to
26
July
1,
1973,
if
1971
Iowa
Acts
of
the
Sixty-fourth
General
27
Assembly,
1971
Session
,
ch.
108
had
not
been
adopted.
28
Sec.
48.
Section
411.36,
subsection
1,
paragraph
a,
29
subparagraph
(1),
Code
2011,
is
amended
to
read
as
follows:
30
(1)
Two
fire
fighters
from
different
participating
cities,
31
one
of
whom
is
an
active
member
of
the
retirement
system
and
32
one
of
whom
is
a
retired
member.
The
fire
fighters
shall
be
33
appointed
by
the
governing
body
of
the
Iowa
association
of
34
professional
fire
fighters.
35
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2328
Sec.
49.
Section
437A.3,
subsection
14,
Code
Supplement
1
2011,
is
amended
to
read
as
follows:
2
14.
a.
“Local
amount”
means
the
first
forty-four
million
3
four
hundred
forty-four
thousand
four
hundred
forty-five
4
dollars
of
the
acquisition
cost
of
any
major
addition
which
is
5
an
electric
power
generating
plant
and
the
total
acquisition
6
cost
of
any
other
major
addition.
7
b.
“Local
amount”
for
the
purposes
of
determining
the
local
8
taxable
value
for
a
new
electric
power
generating
plant
shall
9
annually
be
determined
to
be
equal
up
to
the
first
forty-four
10
million
four
hundred
forty-four
thousand
four
hundred
11
forty-five
dollars
of
the
taxable
value
of
the
new
electric
12
power
generating
plant.
“Local
amount”
for
the
purposes
13
of
determining
the
local
assessed
value
for
a
new
electric
14
power
generating
plant
shall
be
annually
determined
to
be
the
15
percentage
share
of
the
taxable
value
of
the
new
electric
power
16
generating
plant
allocated
as
the
local
amount
multiplied
by
17
the
total
assessed
value
of
the
new
electric
power
generating
18
plant.
19
Sec.
50.
Section
437A.3,
subsection
18,
paragraph
b,
Code
20
Supplement
2011,
is
amended
to
read
as
follows:
21
b.
(1)
Any
acquisition
on
or
after
January
1,
2004,
by
22
a
taxpayer,
by
transfer
of
ownership,
self-construction,
23
or
capital
lease
of
any
interest
in
electric
transmission
24
operating
property
within
a
local
taxing
district
where
the
25
acquisition
cost
of
all
interests
acquired
exceeds
one
million
26
dollars.
27
(2)
For
purposes
of
this
chapter
,
the
acquisition
cost
of
28
an
asset
acquired
by
capital
lease
is
its
capitalized
value
29
determined
under
generally
accepted
accounting
principles.
30
Sec.
51.
Section
451.1,
subsection
3,
Code
2011,
is
amended
31
to
read
as
follows:
32
3.
“Federal
Estate
Tax
Act”
and
all
such
similar
terms,
33
means
Title
Tit.
III
of
chapter
27
of
the
Acts
of
the
34
Sixty-ninth
Congress
of
the
United
States,
first
session,
35
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appearing
in
44
Statutes
at
Large
Stat.
,
chapter
ch.
27,
as
of
1
January
1,
2000,
as
amended.
2
Sec.
52.
Section
452A.5,
Code
2011,
is
amended
to
read
as
3
follows:
4
452A.5
Distribution
allowance.
5
1.
A
supplier
shall
retain
a
distribution
allowance
of
not
6
more
than
one
and
six-tenths
percent
of
all
gallons
of
motor
7
fuel
and
a
distribution
allowance
of
not
more
than
seven-tenths
8
percent
of
all
gallons
of
undyed
special
fuel
removed
from
9
the
terminal
during
the
reporting
period
for
purposes
of
tax
10
computation
under
section
452A.8
.
11
2.
The
distribution
allowance
shall
be
prorated
between
the
12
supplier
and
the
distributor
or
dealer
as
follows:
13
1.
a.
Motor
fuel:
four-tenths
percent
retained
by
the
14
supplier,
one
and
two-tenths
percent
to
the
distributor.
15
2.
b.
Undyed
special
fuel:
thirty-five
hundredths
percent
16
retained
by
the
supplier,
thirty-five
hundredths
percent
to
the
17
distributor
or
dealer
purchasing
directly
from
a
supplier.
18
3.
Gallons
exported
outside
of
the
state
shall
not
be
19
included
in
the
calculation
of
the
distribution.
20
Sec.
53.
Section
452A.8,
subsection
2,
paragraph
e,
Code
21
2011,
is
amended
to
read
as
follows:
22
e.
(1)
The
tax
for
compressed
natural
gas
and
liquefied
23
petroleum
gas
delivered
by
a
licensed
compressed
natural
gas
24
or
liquefied
petroleum
gas
dealer
for
use
in
this
state
shall
25
attach
at
the
time
of
the
delivery
and
shall
be
collected
by
26
the
dealer
from
the
consumer
and
paid
to
the
department
as
27
provided
in
this
chapter
.
The
tax,
with
respect
to
compressed
28
natural
gas
and
liquefied
petroleum
gas
acquired
by
a
consumer
29
in
any
manner
other
than
by
delivery
by
a
licensed
compressed
30
natural
gas
or
liquefied
petroleum
gas
dealer
into
a
fuel
31
supply
tank
of
a
motor
vehicle,
attaches
at
the
time
of
the
use
32
of
the
fuel
and
shall
be
paid
over
to
the
department
by
the
33
consumer
as
provided
in
this
chapter
.
34
(2)
The
department
shall
adopt
rules
governing
the
35
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dispensing
of
compressed
natural
gas
and
liquefied
petroleum
1
gas
by
licensed
dealers
and
licensed
users.
The
director
may
2
require
by
rule
that
reports
and
returns
be
filed
by
electronic
3
transmission.
For
purposes
of
this
paragraph
“e”
,
“dealer”
4
and
“user”
mean
a
licensed
compressed
natural
gas
or
liquefied
5
petroleum
gas
dealer
or
user
and
“fuel”
means
compressed
natural
6
gas
or
liquefied
petroleum
gas.
The
department
shall
require
7
that
all
pumps
located
at
dealer
locations
and
user
locations
8
through
which
liquefied
petroleum
gas
can
be
dispensed
shall
9
be
metered,
inspected,
tested
for
accuracy,
and
sealed
and
10
licensed
by
the
state
department
of
agriculture
and
land
11
stewardship,
and
that
fuel
delivered
into
the
fuel
supply
12
tank
of
any
motor
vehicle
shall
be
dispensed
only
through
13
tested
metered
pumps
and
may
be
sold
without
temperature
14
correction
or
corrected
to
a
temperature
of
sixty
degrees.
If
15
the
metered
gallonage
is
to
be
temperature-corrected,
only
a
16
temperature-compensated
meter
shall
be
used.
Natural
gas
used
17
as
fuel
shall
be
delivered
into
compressing
equipment
through
18
sealed
meters
certified
for
accuracy
by
the
department
of
19
agriculture
and
land
stewardship.
20
(3)
(a)
All
gallonage
which
is
not
for
highway
use,
21
dispensed
through
metered
pumps
as
licensed
under
this
section
22
on
which
fuel
tax
is
not
collected,
must
be
substantiated
by
23
exemption
certificates
as
provided
by
the
department
or
by
24
valid
exemption
certificates
provided
by
the
dealers,
signed
by
25
the
purchaser,
and
retained
by
the
dealer.
A
“valid
exemption
26
certificate
provided
by
a
dealer”
is
an
exemption
certificate
27
which
is
in
the
form
prescribed
by
the
director
to
assist
a
28
dealer
to
properly
account
for
fuel
dispensed
for
which
tax
is
29
not
collected
and
which
is
complete
and
correct
according
to
30
the
requirements
of
the
director.
31
(b)
For
the
privilege
of
purchasing
liquefied
petroleum
32
gas,
dispensed
through
licensed
metered
pumps,
on
a
basis
33
exempt
from
the
tax,
the
purchaser
shall
sign
exemption
34
certificates
for
the
gallonage
claimed
which
is
not
for
highway
35
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use.
1
(c)
The
department
shall
disallow
all
sales
of
gallonage
2
which
is
not
for
highway
use
unless
proof
is
established
by
the
3
certificate.
Exemption
certificates
shall
be
retained
by
the
4
dealer
for
a
period
of
three
years.
5
(1)
(4)
(a)
For
the
purpose
of
determining
the
amount
6
of
liability
for
fuel
tax,
each
dealer
and
each
user
shall
7
file
with
the
department
not
later
than
the
last
day
of
the
8
month
following
the
month
in
which
this
division
becomes
9
effective
and
not
later
than
the
last
day
of
each
calendar
10
month
thereafter
a
monthly
tax
return
certified
under
penalties
11
for
false
certification.
The
return
shall
show,
with
reference
12
to
each
location
at
which
fuel
is
delivered
or
placed
by
the
13
dealer
or
user
into
a
fuel
supply
tank
of
any
motor
vehicle
14
during
the
next
preceding
calendar
month,
information
as
15
required
by
the
department.
16
(2)
(b)
The
amount
of
tax
due
shall
be
computed
by
17
multiplying
the
appropriate
tax
rate
per
gallon
by
the
number
18
of
gallons
of
fuel
delivered
or
placed
by
the
dealer
or
user
19
into
supply
tanks
of
motor
vehicles.
20
(3)
(c)
The
return
shall
be
accompanied
by
remittance
in
21
the
amount
of
the
tax
due
for
the
month
in
which
the
fuel
was
22
placed
into
the
supply
tanks
of
motor
vehicles.
23
Sec.
54.
Section
453A.13,
subsection
4,
paragraph
a,
24
unnumbered
paragraph
1,
Code
Supplement
2011,
is
amended
to
25
read
as
follows:
26
An
unrevoked
permit
for
which
the
holder
has
paid
the
full
27
annual
fee
may
be
surrendered
during
the
first
nine
months
of
28
said
year
to
the
officer
issuing
it,
and
the
department,
or
the
29
city
or
county
granting
the
permit
shall
make
refunds
to
the
30
said
holder
as
follows:
31
Sec.
55.
Section
453A.13,
subsection
4,
paragraphs
b
and
c,
32
Code
Supplement
2011,
are
amended
to
read
as
follows:
33
b.
An
unrevoked
permit
for
which
the
holder
has
paid
34
three-fourths
of
a
full
annual
fee
may
be
so
surrendered
during
35
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2328
the
first
six
months
of
the
period
covered
by
said
payment
and
1
the
said
department,
city
,
or
county
shall
make
refunds
to
the
2
holder
as
follows:
3
(1)
A
sum
equal
to
one-half
of
an
annual
fee
if
the
4
surrender
is
made
during
October,
November
,
or
December.
5
(2)
A
sum
equal
to
one-fourth
of
an
annual
fee
if
the
6
surrender
is
made
during
January,
February
,
or
March.
7
c.
An
unrevoked
permit
for
which
the
holder
has
paid
8
one-half
of
a
full
annual
fee
may
be
surrendered
during
the
9
first
three
months
of
the
period
covered
by
that
payment,
and
10
the
department,
city
,
or
county
,
shall
refund
to
the
holder
a
11
sum
equal
to
one-fourth
of
an
annual
fee.
12
Sec.
56.
Section
455B.171,
subsection
32,
Code
Supplement
13
2011,
is
amended
to
read
as
follows:
14
32.
“Sewage
sludge”
means
any
solid,
semisolid,
or
liquid
15
residue
removed
during
the
treatment
of
municipal
waste
water
16
or
domestic
sewage.
“Sewage
sludge”
includes
but
is
not
limited
17
to
solids
removed
during
primary,
secondary,
or
advanced
waste
18
water
treatment,
scum
septage,
portable
toilet
pumpings,
type
19
III
marine
device
pumpings
as
defined
in
33
C.F.R.
part
ch.
1,
20
subch.
O,
pt.
159,
and
sewage
sludge
products.
“Sewage
sludge”
21
does
not
include
grit,
screenings,
or
ash
generated
during
the
22
incineration
of
sewage
sludge.
23
Sec.
57.
Section
455B.261,
subsection
7,
Code
2011,
is
24
amended
to
read
as
follows:
25
7.
“Established
average
minimum
flow”
means
the
average
26
minimum
flow
for
a
given
watercourse
at
a
given
point
27
determined
and
established
by
the
commission.
28
a.
The
“average
minimum
flow”
for
a
given
watercourse
shall
29
be
determined
by
the
following
factors:
30
a.
(1)
Average
of
minimum
daily
flows
occurring
during
31
the
preceding
years
chosen
by
the
commission
as
more
nearly
32
representative
of
changing
conditions
and
needs
of
a
given
33
drainage
area
at
a
particular
time.
34
b.
(2)
Minimum
daily
flows
shown
by
experience
to
be
the
35
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2328
limit
at
which
further
withdrawals
would
be
harmful
to
the
1
public
interest
in
any
particular
drainage
area.
2
c.
(3)
The
minimum
daily
flows
shown
by
established
3
discharge
records
and
experiences
to
be
definitely
harmful
to
4
the
public
interest.
5
b.
The
determination
shall
be
based
upon
available
data,
6
supplemented,
when
available
data
are
incomplete,
with
whatever
7
evidence
is
available.
8
Sec.
58.
Section
455B.423,
subsection
2,
paragraph
a,
9
subparagraph
(6),
Code
Supplement
2011,
is
amended
to
read
as
10
follows:
11
(6)
Through
agreements
or
contracts
with
other
state
12
agencies,
to
work
with
private
industry
to
develop
alternatives
13
to
land
disposal
of
hazardous
waste
or
hazardous
substances
14
including
but
not
limited
to
resource
recovery,
recycling,
15
neutralization,
and
reduction.
16
Sec.
59.
Section
455B.471,
subsection
11,
Code
Supplement
17
2011,
is
amended
to
read
as
follows:
18
11.
a.
“Underground
storage
tank”
means
one
or
a
19
combination
of
tanks,
including
underground
pipes
connected
20
to
the
tanks
which
are
used
to
contain
an
accumulation
of
21
regulated
substances
and
the
volume
of
which,
including
the
22
volume
of
the
underground
pipes,
is
ten
percent
or
more
beneath
23
the
surface
of
the
ground.
24
b.
(1)
“Underground
storage
tank”
does
not
include:
25
(1)
(a)
Farm
or
residential
tanks
of
one
thousand
one
26
hundred
gallons
or
less
capacity
used
for
storing
motor
fuel
27
for
noncommercial
purposes.
28
(2)
(b)
Tanks
used
for
storing
heating
oil
for
consumptive
29
use
on
the
premises
where
stored.
30
(3)
(c)
Residential
septic
tanks.
31
(4)
(d)
Pipeline
facilities
regulated
under
the
Natural
32
Gas
Pipeline
Safety
Act
of
1968,
as
amended
to
January
1,
1985,
33
codified
at
49
U.S.C.
§
1671
et
seq.,
the
Hazardous
Liquid
34
Pipeline
Safety
Act
of
1979,
as
amended
to
January
1,
1985,
35
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codified
at
49
U.S.C.
§
2001
et
seq.,
or
an
intrastate
pipeline
1
facility
regulated
under
chapter
479
.
2
(5)
(e)
A
surface
impoundment,
pit,
pond,
or
lagoon.
3
(6)
(f)
A
storm
water
or
wastewater
collection
system.
4
(7)
(g)
A
flow-through
process
tank.
5
(8)
(h)
A
liquid
trap
or
associated
gathering
lines
6
directly
related
to
oil
or
gas
production
and
gathering
7
operations.
8
(9)
(i)
A
storage
tank
situated
in
an
underground
area
9
including
but
not
limited
to
a
basement,
cellar,
mineworking,
10
drift,
shaft,
or
tunnel
if
the
storage
tank
is
situated
upon
or
11
above
the
surface
of
the
floor.
12
b.
(2)
“Underground
storage
tank”
does
not
include
13
pipes
connected
to
a
tank
described
in
paragraph
“a”
“b”
,
14
subparagraphs
subparagraph
(1)
through
(9)
.
15
Sec.
60.
Section
455B.474,
subsection
1,
paragraph
a,
16
subparagraph
(6),
subparagraph
division
(g),
Code
Supplement
17
2011,
is
amended
to
read
as
follows:
18
(g)
An
owner
or
operator
may
elect
to
proceed
with
19
additional
corrective
action
on
the
site.
However,
any
action
20
taken
in
addition
to
that
required
pursuant
to
this
paragraph
21
“a”
,
subparagraph
(6),
shall
be
solely
at
the
expense
of
the
22
owner
or
operator
and
shall
not
be
considered
corrective
action
23
for
purposes
of
section
455G.9
,
unless
otherwise
previously
24
agreed
to
by
the
board
and
the
owner
or
operator
pursuant
to
25
section
455G.9,
subsection
7
.
Corrective
action
taken
by
an
26
owner
or
operator
due
to
the
department’s
failure
to
meet
the
27
time
requirements
provided
in
subparagraph
division
(e)
shall
28
be
considered
corrective
action
for
purposes
of
section
455G.9
.
29
Sec.
61.
Section
455B.474,
subsection
1,
paragraph
a,
30
subparagraph
(8),
subparagraph
division
(c),
Code
Supplement
31
2011,
is
amended
to
read
as
follows:
32
(c)
A
certificate
shall
be
recorded
with
the
county
33
recorder.
The
owner
or
operator
of
a
site
who
has
been
issued
34
a
certificate
under
this
paragraph
“a”
,
subparagraph
(8),
or
35
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2328
a
subsequent
purchaser
of
the
site
shall
not
be
required
to
1
perform
further
corrective
action
because
action
standards
are
2
changed
at
a
later
date.
A
certificate
shall
not
prevent
the
3
department
from
ordering
corrective
action
of
a
new
release.
4
Sec.
62.
Section
455B.474,
subsection
2,
paragraph
a,
5
subparagraph
(2),
Code
Supplement
2011,
is
amended
to
read
as
6
follows:
7
(2)
A
person
who
establishes
financial
responsibility
8
by
self-insurance
shall
not
require
or
shall
not
enforce
an
9
indemnification
agreement
with
an
operator
or
owner
of
the
tank
10
covered
by
the
self-insurance
obligation,
unless
the
owner
11
or
operator
has
committed
a
substantial
breach
of
a
contract
12
between
the
self-insurer
and
the
owner
or
operator,
and
that
13
substantial
breach
relates
directly
to
the
operation
of
the
14
tank
in
an
environmentally
sound
manner.
This
paragraph
15
subparagraph
applies
to
all
contracts
between
a
self-insurer
16
and
an
owner
or
operator
entered
into
on
or
after
May
5,
1989.
17
Sec.
63.
Section
456A.33B,
subsection
2,
paragraph
c,
18
subparagraph
(4),
unnumbered
paragraph
1,
Code
Supplement
2011,
19
is
amended
to
read
as
follows:
20
Delivery
of
phosphorous
phosphorus
and
sediment
from
21
the
watershed
will
be
controlled
and
in
place
before
lake
22
restoration
begins.
Loads
of
phosphorous
phosphorus
and
23
sediment,
in
conjunction
with
in-lake
management,
will
meet
or
24
exceed
the
following
water
quality
targets:
25
Sec.
64.
Section
462A.52,
subsection
3,
Code
2011,
is
26
amended
to
read
as
follows:
27
3.
The
commission
shall
submit
a
written
report
to
the
28
general
assembly
by
December
31,
2007,
and
by
December
31
of
29
each
year
thereafter
through
December
31,
2013,
summarizing
the
30
activities
of
the
department
in
administering
and
enforcing
31
programs
to
control
aquatic
invasive
species
and
administering
32
and
enforcing
navigation
laws
and
water
safety
upon
the
inland
33
waters
of
the
state.
The
report
shall
include
information
34
concerning
the
amount
of
revenues
collected
pursuant
to
this
35
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129
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2328
section
as
a
result
of
fee
increases
pursuant
to
2005
Iowa
1
Acts,
ch.
137,
and
how
the
revenues
were
expended.
The
report
2
shall
also
include
information
concerning
the
amount
and
source
3
of
all
other
funds
expended
by
the
commission
during
the
year
4
for
the
purposes
of
administering
and
enforcing
programs
5
to
control
aquatic
invasive
species
and
administering
and
6
enforcing
navigation
laws
and
water
safety
upon
the
inland
7
waters
of
the
state
and
how
the
funds
were
expended.
8
Sec.
65.
Section
466B.3,
subsection
4,
paragraph
k,
9
unnumbered
paragraph
1,
Code
Supplement
2011,
is
amended
to
10
read
as
follows:
11
The
secretary
of
agriculture
,
who
shall
be
the
chairperson,
12
or
the
secretary’s
designee.
As
the
chairperson,
and
in
13
order
to
further
the
coordination
efforts
of
the
council,
the
14
secretary
may
invite
representatives
from
any
other
public
15
agency,
private
organization,
business,
citizen
group,
or
16
nonprofit
entity
to
give
public
input
at
council
meetings,
17
provided
the
entity
has
an
interest
in
the
coordinated
18
management
of
land
resources,
soil
conservation,
flood
19
mitigation,
or
water
quality.
The
secretary
shall
also
invite
20
and
solicit
advice
from
the
following:
21
Sec.
66.
Section
468.174,
Code
2011,
is
amended
to
read
as
22
follows:
23
468.174
Membership
in
the
national
drainage
association.
24
1.
Any
drainage
district
may
join
and
become
a
member
of
25
the
national
drainage
association.
A
drainage
district
may
26
pay
a
membership
fee
and
annual
dues
upon
the
approval
of
the
27
drainage
board
of
such
district,
but
not
in
excess
of
the
28
following:
29
a.
One
hundred
dollars
for
drainage
districts
having
30
indebtedness
in
excess
of
one
million
dollars.
31
b.
Fifty
dollars
for
drainage
districts
having
an
32
indebtedness
of
five
hundred
thousand
dollars
and
less
than
one
33
million
dollars.
34
c.
Twenty-five
dollars
for
drainage
districts
having
an
35
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2328
indebtedness
of
two
hundred
fifty
thousand
dollars
and
less
1
than
five
hundred
thousand
dollars.
2
d.
Ten
dollars
for
drainage
districts
having
an
indebtedness
3
less
than
two
hundred
fifty
thousand
dollars.
4
2.
The
annual
dues
for
any
district
shall
not
exceed
5
one-twentieth
of
one
percent
of
the
outstanding
indebtedness
of
6
the
district.
7
Sec.
67.
Section
476.1,
Code
2011,
is
amended
to
read
as
8
follows:
9
476.1
Applicability
of
authority.
10
1.
The
utilities
board
within
the
utilities
division
of
the
11
department
of
commerce
shall
regulate
the
rates
and
services
of
12
public
utilities
to
the
extent
and
in
the
manner
hereinafter
13
provided.
14
2.
As
used
in
this
chapter
,
“board”
or
“utilities
board”
15
means
the
utilities
board
within
the
utilities
division
of
the
16
department
of
commerce.
17
3.
As
used
in
this
chapter
,
“public
utility”
shall
include
18
any
person,
partnership,
business
association,
or
corporation,
19
domestic
or
foreign,
owning
or
operating
any
facilities
for:
20
1.
a.
Furnishing
gas
by
piped
distribution
system
or
21
electricity
to
the
public
for
compensation.
22
2.
b.
Furnishing
communications
services
to
the
public
for
23
compensation.
24
3.
c.
Furnishing
water
by
piped
distribution
system
to
the
25
public
for
compensation.
26
4.
Mutual
telephone
companies
in
which
at
least
fifty
27
percent
of
the
users
are
owners,
cooperative
telephone
28
corporations
or
associations,
telephone
companies
having
less
29
than
fifteen
thousand
customers
and
less
than
fifteen
thousand
30
access
lines,
municipally
owned
utilities,
and
unincorporated
31
villages
which
own
their
own
distribution
systems
are
not
32
subject
to
the
rate
regulation
provided
for
in
this
chapter
.
33
5.
This
chapter
does
not
apply
to
waterworks
having
less
34
than
two
thousand
customers,
municipally
owned
waterworks,
35
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2328
joint
water
utilities
established
pursuant
to
chapter
389
,
1
rural
water
districts
incorporated
and
organized
pursuant
2
to
chapters
357A
and
504
,
cooperative
water
associations
3
incorporated
and
organized
pursuant
to
chapter
499
,
or
to
4
a
person
furnishing
electricity
to
five
or
fewer
customers
5
either
by
secondary
line
or
from
an
alternate
energy
production
6
facility
or
small
hydro
facility,
from
electricity
that
is
7
produced
primarily
for
the
person’s
own
use.
8
6.
A
telephone
company
otherwise
exempt
from
rate
9
regulation
and
having
telephone
exchange
facilities
which
cross
10
state
lines
may
elect,
in
a
writing
filed
with
the
board,
to
11
have
its
rates
regulated
by
the
board.
When
a
written
election
12
has
been
filed
with
the
board,
the
board
shall
assume
rate
13
regulation
jurisdiction
over
the
company.
14
7.
The
jurisdiction
of
the
board
under
this
chapter
15
shall
include
efforts
designed
to
promote
the
use
of
energy
16
efficiency
strategies
by
rate
or
service-regulated
gas
and
17
electric
utilities.
18
Sec.
68.
Section
476.1D,
subsection
1,
paragraph
c,
19
subparagraph
(3),
Code
Supplement
2011,
is
amended
to
read
as
20
follows:
21
(3)
Effective
July
1,
2008,
the
retail
rate
jurisdiction
22
of
the
board
shall
not
be
applicable
to
single
line
flat-rated
23
residential
and
business
service
rates
unless
the
board
during
24
the
first
six
calendar
months
of
2008
extends
its
retail
rate
25
jurisdiction
over
single
line
flat-rated
residential
and
26
business
service
rates
provided
by
a
previously
rate-regulated
27
telephone
utility.
The
board
may
extend
its
jurisdiction
28
pursuant
to
this
paragraph
subparagraph
for
not
more
than
two
29
years
and
may
do
so
only
after
the
board
finds
that
such
action
30
is
necessary
for
the
public
interest.
The
board
shall
provide
31
the
general
assembly
with
a
copy
of
any
order
to
extend
its
32
jurisdiction
and
shall
permit
any
telephone
utility
subject
to
33
the
extension
to
increase
single
line
flat-rated
residential
34
and
business
monthly
service
rates
by
an
amount
up
to
two
35
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129
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2328
dollars
during
each
twelve-month
period
of
the
extension.
If
a
1
telephone
utility
fails
to
impose
such
a
rate
increase
during
2
any
twelve-month
period,
the
utility
may
not
impose
the
unused
3
increase
in
any
subsequent
year.
4
Sec.
69.
Section
499.47B,
subsection
3,
paragraph
a,
Code
5
Supplement
2011,
is
amended
to
read
as
follows:
6
a.
Except
as
provided
in
paragraph
“b”
,
the
sale,
lease,
7
exchange,
or
other
disposition
must
be
approved
by
a
two-thirds
8
vote
of
the
members
in
which
vote
a
majority
of
all
voting
9
members
participate.
10
Sec.
70.
Section
499.47B,
subsection
3,
paragraph
b,
11
subparagraph
(1),
Code
Supplement
2011,
is
amended
to
read
as
12
follows:
13
(1)
If
the
cooperative
association’s
articles
of
14
incorporation
require
approval
by
more
than
two-thirds
of
15
its
members
in
which
vote
a
majority
of
all
voting
members
16
participate,
the
sale,
lease,
exchange,
or
other
disposition
17
must
be
approved
by
the
greater
number
as
provided
in
the
18
articles
of
incorporation.
19
Sec.
71.
Section
499.64,
subsection
2,
paragraph
a,
Code
20
Supplement
2011,
is
amended
to
read
as
follows:
21
a.
Except
as
provided
in
paragraph
“b”
,
the
proposed
plan
of
22
merger
or
consolidation
must
be
approved
by
a
two-thirds
vote
23
of
the
members
in
which
vote
a
majority
of
all
voting
members
24
participate.
25
Sec.
72.
Section
499.64,
subsection
2,
paragraph
b,
26
subparagraph
(1),
Code
Supplement
2011,
is
amended
to
read
as
27
follows:
28
(1)
If
the
cooperative
association’s
articles
of
29
incorporation
require
approval
by
more
than
two-thirds
of
30
its
members
in
which
vote
a
majority
of
all
voting
members
31
participate,
the
proposed
plan
of
merger
or
consolidation
must
32
be
approved
by
the
greater
number
as
provided
in
the
articles
33
of
incorporation.
34
Sec.
73.
Section
501.203,
subsection
4,
Code
Supplement
35
-31-
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129
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2328
2011,
is
amended
to
read
as
follows:
1
4.
If
the
board
does
not
recommend
the
amendment
or
2
restatement
to
the
members,
then
the
amendment
or
restatement
3
must
be
adopted
by
the
members
by
a
vote
of
two-thirds
of
the
4
votes
cast
in
which
vote
a
majority
of
all
votes
are
cast.
5
Sec.
74.
Section
501.204,
Code
Supplement
2011,
is
amended
6
to
read
as
follows:
7
501.204
Bylaws.
8
The
board
may
adopt
or
amend
the
cooperative’s
bylaws
by
a
9
vote
of
three-fourths
of
the
board.
The
members
may
adopt
or
10
amend
the
cooperative’s
bylaws
by
a
vote
of
three-fourths
of
11
the
votes
cast
in
which
vote
a
majority
of
all
votes
are
cast.
12
A
bylaw
provision
adopted
by
the
members
shall
not
be
amended
13
or
repealed
by
the
directors.
14
Sec.
75.
Section
501.601,
subsection
2,
paragraph
b,
Code
15
Supplement
2011,
is
amended
to
read
as
follows:
16
b.
The
members
must
approve
the
plan
of
conversion
by
the
a
17
vote
of
two-thirds
of
the
votes
cast
in
which
vote
a
majority
18
of
all
votes
are
cast.
19
Sec.
76.
Section
501.603,
subsection
2,
Code
Supplement
20
2011,
is
amended
to
read
as
follows:
21
2.
A
cooperative
may
sell,
lease,
exchange,
or
otherwise
22
dispose
of
all,
or
substantially
all,
of
its
property,
with
23
or
without
the
goodwill,
on
the
terms
and
conditions
and
for
24
the
consideration
determined
by
the
board,
which
consideration
25
may
include
the
interests
of
another
cooperative,
if
the
board
26
recommends
the
proposed
transaction
to
the
members,
and
the
27
members
approve
it
by
the
a
vote
of
two-thirds
of
the
votes
28
cast
in
which
vote
a
majority
of
all
votes
are
cast.
The
board
29
may
condition
its
submission
of
the
proposed
transaction
on
any
30
basis.
31
Sec.
77.
Section
501.614,
subsection
2,
Code
Supplement
32
2011,
is
amended
to
read
as
follows:
33
2.
At
the
meeting,
a
vote
of
the
members
who
are
entitled
34
to
vote
in
the
affairs
of
the
association
shall
be
taken
on
35
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the
proposed
plan
of
merger
or
consolidation.
The
plan
of
1
merger
or
consolidation
shall
be
approved
if
two-thirds
of
2
the
members
vote
affirmatively
in
which
and
a
majority
of
all
3
voting
members
participate
in
the
voting
.
4
Sec.
78.
Section
509B.1,
subsection
6,
Code
2011,
is
amended
5
to
read
as
follows:
6
6.
“Medicare”
means
Title
Tit.
XVIII
of
the
United
States
7
Social
Security
Act.
8
Sec.
79.
Section
513C.3,
subsection
14,
paragraph
a,
Code
9
2011,
is
amended
to
read
as
follows:
10
a.
Loss
of
eligibility
for
medical
assistance
provided
11
pursuant
to
chapter
249A
or
Medicare
coverage
provided
pursuant
12
to
Title
Tit.
XVIII
of
the
federal
Social
Security
Act.
13
Sec.
80.
Section
514G.103,
subsection
16,
paragraph
a,
14
subparagraph
(2),
Code
2011,
is
amended
to
read
as
follows:
15
(2)
The
contract
does
not
pay
or
reimburse
expenses
incurred
16
for
services
or
items
to
the
extent
that
the
expenses
are
17
reimbursable
under
Title
Tit.
XVIII
of
the
federal
Social
18
Security
Act,
as
amended,
or
would
be
reimbursable
but
for
19
the
application
of
a
deductible
or
coinsurance
amount.
The
20
requirements
of
this
subparagraph
do
not
apply
to
expenses
that
21
are
reimbursable
under
Title
Tit.
XVIII
of
the
federal
Social
22
Security
Act
only
as
a
secondary
payor.
A
contract
does
not
23
fail
to
satisfy
the
requirements
of
this
subparagraph
because
24
payments
are
made
on
a
per
diem
or
other
periodic
basis
without
25
regard
to
the
expenses
incurred
during
the
period
to
which
the
26
payments
relate.
27
Sec.
81.
Section
524.221,
subsection
3,
Code
Supplement
28
2011,
is
amended
to
read
as
follows:
29
3.
The
provisions
of
this
section
,
insofar
as
applicable,
30
shall
apply
to
the
records
of
a
national
bank
or
a
federally
31
chartered
savings
bank
or
a
federally
charted
chartered
savings
32
and
loan
association.
33
Sec.
82.
Section
558.66,
subsection
3,
paragraph
b,
34
subparagraph
(2),
Code
Supplement
2011,
is
amended
to
read
as
35
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33/
129
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2328
follows:
1
(2)
The
name
of
the
surviving
joint
tenant
or
owner
of
the
2
remainder
interest,
as
applicable,
in
whose
name
the
county
3
records
should
reflect
ownership
of
title.
4
Sec.
83.
Section
602.4201,
subsection
3,
paragraph
h,
Code
5
2011,
as
amended
by
2011
Iowa
Acts,
chapter
121,
section
60,
6
is
amended
to
read
as
follows:
7
h.
Involuntary
commitment
or
treatment
of
persons
with
a
8
substance-related
disorders.
9
Sec.
84.
Section
634A.1,
subsection
1,
paragraph
a,
Code
10
2011,
is
amended
to
read
as
follows:
11
a.
Is
considered
to
be
a
person
with
a
disability
under
the
12
disability
criteria
specified
in
Title
Tit.
II
or
Title
Tit.
13
XVI
of
the
federal
Social
Security
Act.
14
Sec.
85.
Section
714G.8,
subsection
4,
Code
2011,
is
amended
15
to
read
as
follows:
16
4.
Child
support
enforcement
officials
when
investigating
a
17
child
support
case
pursuant
to
Title
Tit.
IV-D
or
Title
Tit.
18
XIX
of
the
federal
Social
Security
Act.
19
Sec.
86.
Section
717.5,
subsection
3,
paragraph
a,
20
subparagraph
(1),
Code
Supplement
2011,
is
amended
to
read
as
21
follows:
22
(1)
For
livestock
neglected
under
section
717.2
,
the
23
amount
shall
not
be
more
than
for
expenses
incurred
by
the
24
local
authority
in
maintaining
and
disposing
of
the
neglected
25
livestock
rescued
pursuant
to
section
717.2A
,
and
reasonable
26
attorney
fees
and
expenses
related
to
the
investigation
of
the
27
case.
The
remaining
amount
of
a
bond
or
other
security
posted
28
pursuant
to
subsection
1
shall
be
used
to
reimburse
the
local
29
authority.
30
DIVISION
II
31
VOLUME
V
RENUMBERING
32
Sec.
87.
Section
490.202,
subsection
2,
paragraph
d,
Code
33
2011,
is
amended
to
read
as
follows:
34
d.
(1)
A
provision
eliminating
or
limiting
the
liability
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of
a
director
to
the
corporation
or
its
shareholders
for
1
money
damages
for
any
action
taken,
or
any
failure
to
take
2
any
action,
as
a
director,
except
liability
for
any
of
the
3
following:
4
(1)
(a)
The
amount
of
a
financial
benefit
received
by
a
5
director
to
which
the
director
is
not
entitled.
6
(2)
(b)
An
intentional
infliction
of
harm
on
the
7
corporation
or
the
shareholders.
8
(3)
(c)
A
violation
of
section
490.833
.
9
(4)
(d)
An
intentional
violation
of
criminal
law.
10
(2)
A
provision
shall
not
eliminate
or
limit
the
liability
11
of
a
director
for
an
act
or
omission
occurring
prior
to
the
12
date
when
the
provision
in
the
articles
of
incorporation
13
becomes
effective.
14
Sec.
88.
Section
490.1110,
subsection
2,
Code
2011,
is
15
amended
to
read
as
follows:
16
2.
a.
This
section
does
not
apply
in
any
of
the
following
17
circumstances:
18
a.
(1)
The
corporation
does
not
have
a
class
of
voting
19
stock
that
is
listed
on
a
national
securities
exchange,
20
authorized
for
quotation
on
the
national
association
21
of
securities
dealers
automated
quotations
–
national
22
market
system,
or
held
of
record
by
more
than
two
thousand
23
shareholders,
unless
any
of
the
foregoing
results
from
action
24
taken,
directly
or
indirectly,
by
an
interested
shareholder
25
or
from
a
transaction
in
which
a
person
becomes
an
interested
26
shareholder.
27
b.
(2)
The
corporation’s
original
articles
of
incorporation
28
contain
a
provision
expressly
electing
not
to
be
governed
by
29
this
section
.
30
c.
(3)
The
corporation,
by
action
of
its
board
of
31
directors,
adopts
an
amendment
to
its
bylaws
by
no
later
than
32
September
29,
1997,
expressly
electing
not
to
be
governed
by
33
this
section
,
which
amendment
shall
not
be
further
amended
by
34
the
board
of
directors.
35
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d.
(4)
(a)
The
corporation,
by
action
of
its
shareholders,
1
adopts
an
amendment
to
its
articles
of
incorporation
or
bylaws
2
expressly
electing
not
to
be
governed
by
this
section
,
provided
3
that,
in
addition
to
any
other
vote
required
by
law,
such
4
amendment
to
the
articles
of
incorporation
or
bylaws
must
be
5
approved
by
the
affirmative
vote
of
a
majority
of
the
shares
6
entitled
to
vote.
An
amendment
adopted
pursuant
to
this
7
paragraph
subparagraph
is
effective
immediately
in
the
case
of
8
a
corporation
that
has
never
had
a
class
of
voting
stock
that
9
falls
within
any
of
the
three
categories
set
out
in
paragraph
10
“a”
subparagraph
(1)
and
has
not
elected
by
a
provision
in
its
11
original
articles
of
incorporation
or
any
amendment
to
such
12
articles
to
be
governed
by
this
section
.
In
all
other
cases,
13
an
amendment
adopted
pursuant
to
this
paragraph
subparagraph
14
is
not
effective
until
twelve
months
after
the
adoption
of
15
the
amendment
and
does
not
apply
to
any
business
combination
16
between
the
corporation
and
any
person
who
became
an
interested
17
shareholder
of
the
corporation
on
or
prior
to
such
adoption.
18
(b)
An
amendment
to
the
bylaws
adopted
pursuant
to
this
19
paragraph
subparagraph
shall
not
be
further
amended
by
the
20
board
of
directors.
21
e.
(5)
A
shareholder
becomes
an
interested
shareholder
22
inadvertently
and
both
of
the
following
apply:
23
(1)
(a)
As
soon
as
practicable
the
shareholder
divests
24
itself
of
ownership
of
sufficient
shares
so
that
the
25
shareholder
ceases
to
be
an
interested
shareholder.
26
(2)
(b)
The
shareholder
would
not,
at
any
time
within
the
27
three-year
period
immediately
prior
to
a
business
combination
28
between
the
corporation
and
such
shareholder,
have
been
an
29
interested
shareholder
but
for
the
inadvertent
acquisition
of
30
ownership.
31
f.
(1)
(6)
(a)
The
business
combination
is
proposed
prior
32
to
the
consummation
or
abandonment
of
and
subsequent
to
the
33
earlier
of
the
public
announcement
or
the
notice
required
in
34
this
paragraph
subparagraph
of
a
proposed
transaction
which
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satisfies
all
of
the
following:
1
(a)
(i)
Constitutes
a
transaction
described
in
2
subparagraph
(2)
subparagraph
division
(b)
.
3
(b)
(ii)
Is
with
or
by
a
person
who
either
was
not
an
4
interested
shareholder
during
the
previous
three
years
or
who
5
became
an
interested
shareholder
with
the
approval
of
the
6
corporation’s
board
of
directors
or
who
became
an
interested
7
shareholder
during
the
time
period
described
in
paragraph
“g”
8
subparagraph
(7)
.
9
(c)
(iii)
Is
approved
or
not
opposed
by
a
majority
of
10
the
members
of
the
board
of
directors
then
in
office
who
11
were
directors
prior
to
any
person
becoming
an
interested
12
shareholder
during
the
previous
three
years,
or
who
were
13
recommended
for
election
or
elected
to
succeed
such
directors
14
by
a
majority
of
such
directors.
15
(2)
(b)
A
proposed
transaction
under
subparagraph
(1)
16
division
(a)
is
limited
to
the
following:
17
(a)
(i)
A
merger
of
the
corporation,
other
than
a
merger
18
pursuant
to
section
490.1105
.
19
(b)
(ii)
A
sale,
lease,
exchange,
mortgage,
pledge,
20
transfer,
or
other
disposition,
in
one
or
more
transactions
21
and
whether
as
part
of
a
dissolution
or
otherwise,
of
assets
22
of
the
corporation
or
of
any
direct
or
indirect
majority-owned
23
subsidiary
of
the
corporation,
other
than
to
a
direct
or
24
indirect
wholly
owned
subsidiary
of
the
corporation
or
to
25
the
corporation
itself,
which
has
an
aggregate
market
value
26
equal
to
fifty
percent
or
more
of
either
the
aggregate
market
27
value
of
all
of
the
assets
of
the
corporation
determined
on
a
28
consolidated
basis,
or
the
aggregate
market
value
of
all
the
29
outstanding
stock
of
the
corporation.
30
(c)
(iii)
A
proposed
tender
or
exchange
offer
for
fifty
31
percent
or
more
of
the
outstanding
voting
stock
of
the
32
corporation.
33
(3)
(c)
The
corporation
shall
give
no
less
than
twenty
34
days’
notice
to
all
interested
shareholders
prior
to
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the
consummation
of
any
of
the
transactions
described
in
1
subparagraph
(2)
division
(b)
,
subparagraph
division
(a)
or
(b)
2
subdivision
(i)
or
(ii)
.
3
g.
(7)
The
business
combination
is
with
an
interested
4
shareholder
who
becomes
an
interested
shareholder
of
the
5
corporation
at
a
time
when
the
corporation
is
not
subject
6
to
this
section
pursuant
to
paragraph
“a”
,
“b”
,
“c”
,
or
7
“d”
subparagraph
(1),
(2),
(3),
or
(4)
.
8
b.
Notwithstanding
paragraphs
“a”
through
“d”
9
paragraph
“a”
,
subparagraphs
(1)
through
(4)
,
a
corporation
10
may
elect
under
its
original
articles
of
incorporation
11
or
any
amendment
to
such
articles
to
be
subject
to
this
12
section
.
However,
such
amendment
shall
not
apply
to
restrict
a
13
business
combination
between
the
corporation
and
an
interested
14
shareholder
of
the
corporation
if
the
interested
shareholder
15
became
such
prior
to
the
effective
date
of
the
amendment.
16
Sec.
89.
Section
490.1110,
subsection
3,
paragraph
e,
Code
17
2011,
is
amended
to
read
as
follows:
18
e.
“Interested
shareholder”
means
any
person,
other
than
19
the
corporation
and
any
direct
or
indirect
majority-owned
20
subsidiary
of
the
corporation,
that
is
the
owner
of
ten
percent
21
or
more
of
the
outstanding
voting
stock
of
the
corporation,
or
22
is
an
affiliate
or
associate
of
the
corporation
and
was
the
23
owner
of
ten
percent
or
more
of
the
outstanding
voting
stock
24
of
the
corporation
at
any
time
within
the
three-year
period
25
immediately
prior
to
the
date
on
which
it
is
sought
to
be
26
determined
whether
such
person
is
an
interested
shareholder,
27
and
the
affiliates
and
associates
of
such
person.
“Interested
28
shareholder”
does
not
include
a
person
whose
ownership
of
shares
29
in
excess
of
the
ten
percent
limitation
is
the
result
of
action
30
taken
solely
by
the
corporation,
provided
that
such
person
31
is
an
interested
shareholder
if,
after
such
action
by
the
32
corporation,
the
person
acquires
additional
shares
of
voting
33
stock
of
the
corporation,
other
than
as
a
result
of
further
34
corporate
action
not
caused,
directly
or
indirectly,
by
such
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person.
For
purposes
of
determining
whether
a
person
is
an
1
interested
shareholder,
the
outstanding
voting
stock
of
the
2
corporation
does
not
include
any
other
unissued
stock
of
the
3
corporation
which
may
be
issuable
pursuant
to
any
agreement,
4
arrangement,
or
understanding,
or
upon
exercise
of
conversion
5
rights,
warrants,
or
options,
or
otherwise.
6
For
purposes
of
determining
whether
a
person
is
an
7
interested
shareholder,
the
outstanding
voting
stock
of
the
8
corporation
does
not
include
any
other
unissued
stock
of
the
9
corporation
which
may
be
issuable
pursuant
to
any
agreement,
10
arrangement,
or
understanding,
or
upon
exercise
of
conversion
11
rights,
warrants,
or
options,
or
otherwise.
12
Sec.
90.
Section
491.102,
Code
2011,
is
amended
to
read
as
13
follows:
14
491.102
Procedure
for
merger.
15
1.
Any
two
or
more
corporations
whether
heretofore
or
16
hereafter
organized
may
merge
into
one
of
such
corporations
in
17
the
following
manner
:
provided
in
this
section.
18
2.
The
board
of
directors
of
each
corporation
shall,
by
19
resolution
adopted
by
a
majority
vote
of
the
members
of
each
20
such
board,
approve
a
plan
of
mergers
setting
forth:
21
1.
a.
The
names
of
the
corporations
proposing
to
merge,
and
22
the
name
of
the
corporation
into
which
they
propose
to
merge,
23
which
is
hereinafter
designated
as
the
surviving
corporation.
24
2.
b.
The
terms
and
conditions
of
the
proposed
merger.
25
3.
c.
The
manner
and
basis
of
converting
the
shares
of
26
each
merging
corporation
into
shares
or
other
securities
or
27
obligations
of
the
surviving
corporation.
28
4.
d.
A
statement
of
any
changes
in
the
articles
of
29
incorporation
of
the
surviving
corporation
to
be
effected
by
30
such
merger.
31
5.
e.
Such
other
provisions
with
respect
to
the
proposed
32
merger
as
are
deemed
necessary
or
desirable.
33
Sec.
91.
Section
491.103,
Code
2011,
is
amended
to
read
as
34
follows:
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491.103
Procedure
for
consolidation.
1
1.
Any
two
or
more
corporations
whether
heretofore
or
2
hereafter
organized
may
consolidate
into
a
new
corporation
in
3
the
following
manner
:
provided
in
this
section.
4
2.
The
board
of
directors
of
each
corporation,
shall,
by
a
5
resolution
adopted
by
a
majority
vote
of
the
members
of
each
6
such
board,
approve
a
plan
of
consolidation
setting
forth:
7
1.
a.
The
names
of
the
corporations
proposing
to
8
consolidate,
and
the
name
of
the
new
corporation
into
which
9
they
propose
to
consolidate,
which
is
hereinafter
designated
10
as
the
new
corporation.
11
2.
b.
The
terms
and
conditions
of
the
proposed
12
consolidation.
13
3.
c.
The
manner
and
basis
of
converting
the
shares
of
each
14
corporation
into
shares,
or
other
securities,
or
obligations
15
of
the
new
corporation.
16
4.
d.
With
respect
to
the
new
corporation,
all
of
17
the
statements
required
to
be
set
forth
in
articles
of
18
incorporation
for
corporations
organized
under
this
chapter
.
19
5.
e.
Such
other
provisions
with
respect
to
the
proposed
20
consolidation
as
are
deemed
necessary
or
desirable.
21
Sec.
92.
Section
499.48,
Code
2011,
is
amended
to
read
as
22
follows:
23
499.48
Distribution
in
liquidation.
24
1.
On
dissolution
or
liquidation,
the
assets
of
the
25
association
shall
be
used
to
pay
liquidation
expenses
first,
26
next
the
association’s
obligations
other
than
patronage
27
dividends
or
patronage
dividend
certificates
which
it
has
28
issued,
and
the
remainder
shall
be
distributed
in
the
following
29
priority:
30
1.
a.
To
pay
to
each
person
the
full
amount
originally
31
paid
by
that
person
in
cash
for
stock
or
other
equity
interest
32
in
the
association.
33
2.
b.
To
pay
to
each
person
in
proportion
to
the
total
of
34
each
person’s
revolving
fund,
stock,
or
other
equity
interest
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in
the
association
remaining
after
the
payment
under
subsection
1
1
paragraph
“a”
.
2
2.
In
applying
subsections
subsection
1
and
2
,
paragraphs
3
“a”
and
“b”
,
all
classes
of
stock,
all
revolving
funds,
and
4
all
other
equity
interests
in
the
association
shall
be
treated
5
equally
based
on
their
stated
values.
However,
an
association
6
may
establish
its
own
method
of
distributing
the
assets
7
remaining,
after
paying
liquidation
expenses
and
obligations
8
other
than
patronage
dividends
or
patronage
dividend
9
certificates
which
it
has
issued,
in
articles
of
incorporation
10
adopted,
amended,
or
restated
after
July
1,
1986.
11
Sec.
93.
Section
499.62,
Code
2011,
is
amended
to
read
as
12
follows:
13
499.62
Merger.
14
1.
Any
two
or
more
cooperative
associations
may
merge
into
15
one
cooperative
association
in
the
following
manner
:
provided
16
in
this
section.
17
2.
The
board
of
directors
of
each
cooperative
association
18
shall,
by
resolution
adopted
by
a
majority
vote
of
all
members
19
of
each
board,
approve
a
plan
of
merger
which
shall
set
forth:
20
1.
a.
The
names
of
the
cooperative
associations
proposing
21
to
merge
and
the
name
of
the
surviving
association.
22
2.
b.
The
terms
and
conditions
of
the
proposed
merger.
23
3.
c.
A
statement
of
any
changes
in
the
articles
of
24
incorporation
of
the
surviving
association.
25
4.
d.
Other
provisions
deemed
necessary
or
desirable.
26
Sec.
94.
Section
499.63,
Code
2011,
is
amended
to
read
as
27
follows:
28
499.63
Consolidation.
29
1.
Any
two
or
more
cooperative
associations
may
be
30
consolidated
into
a
new
cooperative
association
in
the
31
following
manner
:
provided
in
this
section.
32
2.
The
board
of
directors
of
each
cooperative
association
33
shall,
by
resolution
adopted
by
a
majority
vote
of
all
members
34
of
each
board,
approve
a
plan
of
consolidation
setting
forth:
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1.
a.
The
names
of
the
cooperative
associations
proposing
1
to
consolidate
and
the
name
of
the
new
association.
2
2.
b.
The
terms
and
conditions
of
the
proposed
3
consolidation.
4
3.
c.
With
respect
to
the
new
association,
all
of
5
the
statements
required
to
be
set
forth
in
articles
of
6
incorporation
for
cooperative
associations.
7
4.
d.
Other
provisions
deemed
necessary
or
desirable.
8
Sec.
95.
Section
499.68,
unnumbered
paragraphs
1
and
2,
Code
9
2011,
are
amended
to
read
as
follows:
10
A
merger
or
consolidation
shall
become
effective
upon
the
11
date
that
the
certificate
of
merger
or
the
certificate
of
12
consolidation
is
issued
by
the
secretary
of
state,
or
the
13
effective
date
specified
in
the
articles
of
merger
or
articles
14
of
consolidation,
whichever
is
later.
When
a
merger
or
15
consolidation
has
become
effective:
16
When
a
merger
or
consolidation
has
become
effective:
17
Sec.
96.
Section
499.69,
Code
2011,
is
amended
to
read
as
18
follows:
19
499.69
Foreign
and
domestic
mergers
or
consolidations.
20
1.
One
or
more
foreign
cooperative
associations
and
one
21
or
more
domestic
cooperative
associations
may
be
merged
22
or
consolidated
in
the
following
manner,
if
such
merger
or
23
consolidation
is
permitted
by
the
laws
of
the
state
under
which
24
each
foreign
cooperative
association
is
organized:
25
1.
a.
Each
domestic
cooperative
association
shall
comply
26
with
the
provisions
of
this
division
with
respect
to
the
merger
27
or
consolidation
of
domestic
cooperative
associations,
and
28
each
foreign
cooperative
association
shall
comply
with
the
29
applicable
provisions
of
the
laws
of
the
state
under
which
it
30
is
organized.
31
2.
b.
If
the
surviving
or
new
association
is
to
be
governed
32
by
the
laws
of
any
state
other
than
this
state,
it
shall
comply
33
with
the
provisions
of
the
laws
of
this
state
with
respect
to
34
the
qualifications
of
foreign
cooperative
associations
if
it
is
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to
transact
business
in
this
state,
and
in
every
case
it
shall
1
file
with
the
secretary
of
state
of
this
state:
2
a.
(1)
An
agreement
that
it
may
be
served
with
process
3
in
this
state
in
any
proceeding
for
the
enforcement
of
any
4
obligation
of
any
domestic
cooperative
association
which
is
a
5
party
to
the
merger
or
consolidation,
and
in
any
proceeding
6
for
the
enforcement
of
the
rights
of
a
dissenting
shareholder
7
of
any
such
domestic
cooperative
association,
against
the
8
surviving
or
new
association.
9
b.
(2)
An
irrevocable
appointment
of
the
secretary
of
state
10
of
this
state
as
its
agent
to
accept
service
of
process
in
any
11
proceeding.
12
c.
(3)
An
agreement
that
it
will
promptly
pay
to
the
13
dissenting
shareholders
of
any
domestic
cooperative
association
14
the
amount
to
which
they
are
entitled
under
the
provisions
of
15
this
division
with
respect
to
the
rights
of
dissenters.
16
2.
The
effect
of
such
merger
or
consolidation
shall
be
the
17
same
as
the
effect
of
the
merger
or
consolidation
of
domestic
18
cooperative
associations,
if
the
surviving
or
new
association
19
is
to
be
governed
by
the
laws
of
this
state.
If
the
surviving
20
or
new
association
is
to
be
governed
by
the
laws
of
any
other
21
state,
the
effect
of
merger
or
consolidation
shall
be
the
same
22
as
in
the
case
of
the
merger
or
consolidation
of
domestic
23
cooperative
associations,
except
as
the
laws
of
the
other
state
24
otherwise
provide.
25
Sec.
97.
Section
499A.22,
subsections
1,
2,
and
3,
Code
26
2011,
are
amended
to
read
as
follows:
27
1.
a.
The
cooperative
has
a
lien
on
a
member’s
interest
in
28
the
cooperative
for
all
operating
charges
or
other
assessments
29
payable
by
the
member
pursuant
to
the
member’s
proprietary
30
lease
from
the
time
the
operating
charge
or
other
assessment
31
becomes
due.
If
carrying
charges
and
assessments
are
payable
32
in
installments,
the
full
amount
of
the
charge
or
assessment
is
33
a
lien
from
the
first
time
the
first
installment
becomes
due.
34
Upon
nonpayment
of
a
carrying
charge
or
assessment,
the
member
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may
be
evicted
from
the
member’s
apartment
unit
in
the
same
1
manner
as
provided
by
law
in
the
case
of
an
unlawful
holdover
2
by
a
tenant
and
the
lien
may
be
foreclosed
by
judicial
sale
in
3
like
manner
as
a
mortgage
on
real
estate,
or
may
be
foreclosed
4
by
the
power
of
sale
provided
in
this
section
.
5
b.
A
lien
under
this
section
is
prior
to
all
other
liens
and
6
encumbrances
on
a
member’s
cooperative
interest
except
liens
7
and
encumbrances
on
the
cooperative’s
real
property
which
the
8
cooperative
creates,
assumes,
or
takes
subject
to,
and
liens
9
for
real
estate
taxes
and
other
governmental
assessments
or
10
charges
against
the
cooperative
or
the
member’s
cooperative
11
interest.
12
2.
The
cooperative,
upon
a
member’s
nonpayment
of
carrying
13
charges
and
assessments
and
the
cooperative’s
compliance
with
14
this
section
,
may
sell
the
defaulting
member’s
cooperative
15
interest.
Sale
may
be
at
a
public
sale
or
by
private
16
negotiation,
and
at
any
time
and
place,
but
every
aspect
of
17
the
sale,
including
the
method,
advertising,
time,
place,
and
18
terms
must
be
reasonable.
The
cooperative
shall
give
to
the
19
member
and
any
sublessees
of
the
member
reasonable
written
20
notice
of
the
time
and
place
of
a
public
sale
or,
if
a
private
21
sale
is
intended,
of
the
intention
of
entering
into
a
contract
22
to
sell
and
of
the
time
after
which
a
private
disposition
may
23
be
made.
The
same
notice
shall
also
be
sent
to
any
other
24
person
who
has
a
recorded
interest
in
the
defaulting
member’s
25
cooperative
interest
which
would
be
extinguished
by
the
sale.
26
The
notices
required
by
this
paragraph
subsection
may
be
sent
27
to
any
address
reasonable
under
the
circumstances.
Sale
may
28
not
be
held
until
five
weeks
after
the
sending
of
the
notice.
29
The
cooperative
may
buy
at
a
public
sale,
and,
if
the
sale
is
30
conducted
by
a
fiduciary
or
other
person
not
related
to
the
31
cooperative,
at
a
private
sale.
32
3.
a.
The
proceeds
of
a
sale
under
the
preceding
paragraph
33
subsection
shall
be
applied
in
the
following
order:
34
a.
(1)
The
reasonable
expenses
of
sale.
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b.
(2)
The
reasonable
expenses
of
securing
possession
1
before
sale,
and
the
reasonable
expenses
of
holding,
2
maintaining,
and
preparing
the
cooperative
interest
for
sale.
3
These
expenses
include,
but
are
not
limited
to,
the
payment
of
4
taxes
and
other
governmental
charges,
premiums
on
liability
5
insurance,
and
to
the
extent
provided
for
by
agreement
between
6
the
cooperative
and
the
member,
reasonable
attorney
fees
and
7
other
legal
expenses
incurred
by
the
cooperative.
8
c.
(3)
Satisfaction
of
the
cooperative’s
lien.
9
d.
(4)
Satisfaction
in
the
order
of
priority
of
any
10
subordinate
claim
of
record.
11
e.
(5)
Remittance
of
any
excess
to
the
member.
12
b.
Unless
otherwise
agreed,
the
member
is
liable
for
any
13
deficiency.
14
Sec.
98.
Section
501.618,
unnumbered
paragraphs
1
and
2,
15
Code
2011,
are
amended
to
read
as
follows:
16
A
merger
or
consolidation
shall
become
effective
upon
the
17
date
that
the
certificate
of
merger
or
the
certificate
of
18
consolidation
is
issued
by
the
secretary
of
state,
or
the
19
effective
date
specified
in
the
articles
of
merger
or
articles
20
of
consolidation,
whichever
is
later.
When
a
merger
or
21
consolidation
has
become
effective:
22
When
a
merger
or
consolidation
has
become
effective:
23
Sec.
99.
Section
501A.715,
subsection
2,
paragraph
a,
24
subparagraph
(2),
subparagraph
division
(b),
Code
2011,
is
25
amended
to
read
as
follows:
26
(b)
In
the
case
of
an
act
or
omission
occurring
in
the
27
official
capacity
described
in
subsection
1
,
paragraph
28
“a”
,
subparagraph
(3),
the
person
reasonably
believed
that
29
the
conduct
was
not
opposed
to
the
best
interests
of
the
30
cooperative.
If
the
person’s
acts
or
omissions
complained
of
31
in
the
proceeding
relate
to
conduct
as
a
director,
officer,
32
trustee,
employee,
or
agent
of
an
employee
benefit
plan,
the
33
conduct
is
not
considered
to
be
opposed
to
the
best
interests
34
of
the
cooperative
if
the
person
reasonably
believed
that
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the
conduct
was
in
the
best
interests
of
the
participants
or
1
beneficiaries
of
the
employee
benefit
plan.
2
If
the
person’s
acts
or
omissions
complained
of
in
the
3
proceeding
relate
to
conduct
as
a
director,
officer,
trustee,
4
employee,
or
agent
of
an
employee
benefit
plan,
the
conduct
5
is
not
considered
to
be
opposed
to
the
best
interests
of
the
6
cooperative
if
the
person
reasonably
believed
that
the
conduct
7
was
in
the
best
interests
of
the
participants
or
beneficiaries
8
of
the
employee
benefit
plan.
9
Sec.
100.
Section
502A.3,
Code
2011,
is
amended
to
read
as
10
follows:
11
502A.3
Exempt
person
transactions.
12
1.
The
prohibitions
in
section
502A.2
do
not
apply
to
a
13
transaction
in
which
any
of
the
following
persons,
or
any
14
employee,
officer,
or
director
of
a
listed
person
acting
solely
15
in
that
capacity,
is
the
purchaser
or
seller:
16
1.
a.
A
person
registered
with
the
commodity
futures
17
trading
commission
as
a
futures
commission
merchant
or
as
a
18
leverage
transaction
merchant
whose
activities
require
such
19
registration.
20
2.
b.
A
person
registered
with
the
securities
and
exchange
21
commission
as
a
broker-dealer
whose
activities
require
such
22
registration.
23
3.
c.
A
person
affiliated
with,
and
whose
obligations
and
24
liabilities
under
the
transaction
are
guaranteed
by,
a
person
25
referred
to
in
subsection
1
or
2
paragraph
“a”
or
“b”
.
26
4.
d.
A
person
who
is
a
member
of
a
contract
market
27
designated
by
the
commodity
futures
trading
commission,
or
any
28
CFTC
clearinghouse.
29
5.
e.
A
financial
institution.
30
6.
f.
A
person
registered
under
the
laws
of
this
state
31
as
a
securities
broker-dealer
whose
activities
require
such
32
registration.
33
2.
This
exemption
provided
by
this
section
does
not
apply
34
to
any
transaction
or
activity
which
is
prohibited
by
the
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Commodity
Exchange
Act
or
CFTC
rule.
1
Sec.
101.
Section
507B.4,
Code
2011,
is
amended
to
read
as
2
follows:
3
507B.4
Unfair
methods
of
competition
and
unfair
or
deceptive
4
acts
or
practices
defined.
5
1.
For
purposes
of
subsection
3,
paragraph
“p”
,
“insurer”
6
means
an
entity
providing
a
plan
of
health
insurance,
health
7
care
benefits,
or
health
care
services,
or
an
entity
subject
8
to
the
jurisdiction
of
the
commissioner
performing
utilization
9
review,
including
an
insurance
company
offering
sickness
and
10
accident
plans,
a
health
maintenance
organization,
an
organized
11
delivery
system
authorized
under
1993
Iowa
Acts,
ch.
158,
and
12
licensed
by
the
department
of
public
health,
a
nonprofit
health
13
service
corporation,
a
plan
established
pursuant
to
chapter
14
509A
for
public
employees,
or
any
other
entity
providing
a
15
plan
of
health
insurance,
health
care
benefits,
or
health
care
16
services.
However,
“insurer”
does
not
include
an
entity
that
17
sells
disability
income
or
long-term
care
insurance.
18
2.
For
purposes
of
subsection
3,
paragraphs
“k”
,
“l”
,
and
19
“m”
,
“personal
lines
property
and
casualty
insurance”
means
20
insurance
sold
to
individuals
and
families
primarily
for
21
noncommercial
purposes
as
provided
in
chapter
522B.
22
3.
The
following
are
hereby
defined
as
unfair
methods
of
23
competition
and
unfair
or
deceptive
acts
or
practices
in
the
24
business
of
insurance:
25
1.
a.
Misrepresentations
and
false
advertising
of
insurance
26
policies.
Making,
issuing,
circulating,
or
causing
to
be
made,
27
issued
or
circulated,
any
estimate,
illustration,
circular,
28
statement,
sales
presentation,
omission,
or
comparison
which
29
does
any
of
the
following:
30
a.
(1)
Misrepresents
the
benefits,
advantages,
conditions,
31
or
terms
of
any
insurance
policy.
32
b.
(2)
Misrepresents
the
dividends
or
share
of
the
surplus
33
to
be
received
on
any
insurance
policy.
34
c.
(3)
Makes
any
false
or
misleading
statements
as
to
the
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dividends
or
share
of
surplus
previously
paid
on
any
insurance
1
policy.
2
d.
(4)
Is
misleading
or
is
a
misrepresentation
as
to
the
3
financial
condition
of
any
person,
or
as
to
the
legal
reserve
4
system
upon
which
any
life
insurer
operates.
5
e.
(5)
Uses
any
name
or
title
of
any
insurance
policy
or
6
class
of
insurance
policies
misrepresenting
the
true
nature
7
thereof.
8
f.
(6)
Is
a
misrepresentation
for
the
purpose
of
inducing
9
or
tending
to
induce
the
lapse,
forfeiture,
exchange,
10
conversion,
or
surrender
of
any
insurance
policy.
11
g.
(7)
Is
a
misrepresentation
for
the
purpose
of
effecting
12
a
pledge
or
assignment
of
or
effecting
a
loan
against
any
13
insurance
policy.
14
h.
(8)
Misrepresents
any
insurance
policy
as
being
shares
15
of
stock.
16
i.
(9)
Misrepresents
any
insurance
policy
to
consumers
17
by
using
the
terms
“burial
insurance”,
“funeral
insurance”,
18
“burial
plan”,
or
“funeral
plan”
in
its
names
or
titles,
unless
19
the
policy
is
made
with
a
funeral
provider
as
beneficiary
who
20
specifies
and
fixes
a
price
under
contract
with
an
insurance
21
company.
This
paragraph
subparagraph
does
not
prevent
insurers
22
from
stating
or
advertising
that
insurance
benefits
may
provide
23
cash
for
funeral
or
burial
expenses.
24
j.
(10)
Is
a
misrepresentation,
including
any
intentional
25
misquote
of
premium
rate,
for
the
purpose
of
inducing
or
26
tending
to
induce
the
purchase
of
an
insurance
policy.
27
2.
b.
False
information
and
advertising.
28
a.
(1)
Generally.
Making,
publishing,
disseminating,
29
circulating,
or
placing
before
the
public,
or
causing,
directly
30
or
indirectly,
to
be
made,
published,
disseminated,
circulated,
31
or
placed
before
the
public
in
a
newspaper,
magazine,
or
other
32
publication,
or
in
the
form
of
a
notice,
circular,
pamphlet,
33
letter,
or
poster,
or
over
any
radio
or
television
station,
or
34
in
any
other
way,
an
advertisement,
announcement,
or
statement
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containing
any
assertion,
representation,
or
statement
with
1
respect
to
the
business
of
insurance
or
with
respect
to
any
2
person
in
the
conduct
of
the
person’s
insurance
business,
which
3
is
untrue,
deceptive,
or
misleading.
4
b.
(2)
False
statement
of
assets.
In
the
case
of
a
company
5
transacting
the
business
of
fire
insurance
within
the
state,
6
stating
or
representing
by
advertisement
in
any
newspaper,
7
magazine,
or
periodical,
or
by
any
sign,
circular,
card,
policy
8
of
insurance,
or
renewal
certificate
thereof
or
otherwise,
that
9
any
funds
or
assets
are
in
its
possession
and
held
available
10
for
the
protection
of
holders
of
its
policies
unless
so
held,
11
except
the
policy
of
insurance
or
certificate
of
renewal
12
thereof
may
state,
as
a
single
item,
the
amount
of
capital
13
set
forth
in
the
charter,
or
articles
of
incorporation,
or
14
association,
or
deed
of
settlement
under
which
it
is
authorized
15
to
transact
business.
16
c.
(3)
Statement
of
capital
and
surplus.
In
the
case
of
a
17
foreign
company
transacting
the
business
of
casualty
insurance
18
in
the
state,
or
an
officer,
producer,
or
representative
of
19
such
a
company,
issuing
or
publishing
an
advertisement,
public
20
announcement,
sign,
circular,
or
card
that
purports
to
disclose
21
the
company’s
financial
standing
and
fails
to
exhibit:
the
22
capital
actually
paid
in
cash,
and
the
amount
of
net
surplus
23
of
assets
over
all
the
company’s
liabilities
actually
held
24
and
available
for
the
payment
of
losses
by
fire
and
for
the
25
protection
of
holders
of
fire
policies;
and
the
amount
of
net
26
surplus
of
assets
over
all
liabilities
in
the
United
States
27
actually
available
for
the
payment
of
losses
by
fire
and
held
28
in
the
United
States
for
the
protection
of
holders
of
fire
29
policies
in
the
United
States,
including
in
such
liabilities
30
the
fund
reserved
for
reinsurance
of
outstanding
risks.
The
31
amounts
stated
for
capital
and
net
surplus
shall
correspond
32
with
the
latest
verified
statement
made
by
the
company
or
33
association
to
the
commissioner
of
insurance.
34
3.
c.
Defamation.
Making,
publishing,
disseminating,
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or
circulating,
directly
or
indirectly,
or
aiding,
abetting
1
or
encouraging
the
making,
publishing,
disseminating,
or
2
circulating
of
any
oral
or
written
statement
or
any
pamphlet,
3
circular,
article
or
literature
which
is
false,
or
maliciously
4
critical
of
or
derogatory
to
the
financial
condition
of
any
5
person,
and
which
is
calculated
to
injure
such
person.
6
4.
d.
Boycott,
coercion
and
intimidation.
Entering
into
7
any
agreement
to
commit,
or
by
any
concerted
action
committing,
8
any
act
of
boycott,
coercion
or
intimidation
resulting
in
or
9
tending
to
result
in
unreasonable
restraint
of,
or
monopoly
in,
10
the
business
of
insurance.
11
5.
e.
False
statements
and
entries.
12
a.
(1)
Knowingly
filing
with
any
supervisory
or
13
other
public
official,
or
knowingly
making,
publishing,
14
disseminating,
circulating
or
delivering
to
any
person,
or
15
placing
before
the
public,
or
knowingly
causing
directly
or
16
indirectly,
to
be
made,
published,
disseminated,
circulated,
17
delivered
to
any
person,
or
placed
before
the
public,
any
false
18
material
statement
of
fact
as
to
the
financial
condition
of
a
19
person.
20
b.
(2)
Knowingly
making
any
false
entry
of
a
material
fact
21
in
any
book,
report
or
statement
of
any
person
or
knowingly
22
omitting
to
make
a
true
entry
of
any
material
fact
pertaining
23
to
the
business
of
such
person
in
any
book,
report
or
statement
24
of
such
person.
25
6.
f.
Stock
operations
and
advisory
board
contracts.
26
Issuing
or
delivering
or
permitting
agents,
officers
or
27
employees
to
issue
or
deliver,
agency
company
stock
or
other
28
capital
stock,
or
benefit
certificates
or
shares
in
any
common
29
law
corporation,
or
securities
or
any
special
or
advisory
board
30
contracts
or
other
contracts
of
any
kind
promising
returns
and
31
profits
as
an
inducement
to
insurance.
32
7.
g.
Unfair
discrimination.
33
a.
(1)
Making
or
permitting
any
unfair
discrimination
34
between
individuals
of
the
same
class
and
equal
expectation
of
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life
in
the
rates
charged
for
any
contract
of
life
insurance
or
1
of
life
annuity
or
in
the
dividends
or
other
benefits
payable
2
thereon,
or
in
any
other
of
the
terms
and
conditions
of
such
3
contract.
4
b.
(2)
Making
or
permitting
any
unfair
discrimination
5
between
insureds
of
the
same
class
for
essentially
the
same
6
hazard
in
the
amount
of
premium,
policy
fees,
or
rates
charged
7
for
any
policy
or
contract
of
insurance
other
than
life
or
in
8
the
benefits
payable
thereunder,
or
in
any
of
the
terms
or
9
conditions
of
such
contract,
or
in
any
other
manner
whatever.
10
c.
(3)
Making
or
permitting
any
discrimination
in
the
sale
11
of
insurance
solely
on
the
basis
of
domestic
abuse
as
defined
12
in
section
236.2
.
13
8.
h.
Release
or
use
of
genetic
information.
Failure
of
a
14
person
to
comply
with
section
729.6,
subsection
4
.
15
9.
i.
Rebates.
16
a.
(1)
Except
as
otherwise
expressly
provided
by
law,
17
knowingly
permitting
or
offering
to
make
or
making
any
18
contract
of
life
insurance,
life
annuity
or
accident
and
health
19
insurance,
or
agreement
as
to
such
contract
other
than
as
20
plainly
expressed
in
the
contract
issued
thereon,
or
paying
21
or
allowing,
or
giving
or
offering
to
pay,
allow,
or
give,
22
directly
or
indirectly,
as
inducement
to
such
insurance,
or
23
annuity,
any
rebate
of
premiums
payable
on
the
contract,
or
any
24
special
favor
or
advantage
in
the
dividends
or
other
benefits
25
thereon,
or
any
valuable
consideration
or
inducement
whatever
26
not
specified
in
the
contract;
or
giving,
or
selling,
or
27
purchasing
or
offering
to
give,
sell,
or
purchase
as
inducement
28
to
such
insurance
or
annuity
or
in
connection
therewith,
any
29
stocks,
bonds,
or
other
securities
of
any
insurance
company
30
or
other
corporation,
association,
or
partnership,
or
any
31
dividends
or
profits
accrued
thereon,
or
any
thing
of
value
32
whatsoever
not
specified
in
the
contract.
33
b.
(2)
Nothing
in
subsection
7
paragraph
“g”
or
paragraph
34
“a”
subparagraph
(1)
of
this
subsection
paragraph
“i”
shall
be
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construed
as
including
within
the
definition
of
discrimination
1
or
rebates
any
of
the
following
practices:
2
(1)
(a)
In
the
case
of
any
contract
of
life
insurance
or
3
life
annuity,
paying
bonuses
to
policyholders
or
otherwise
4
rebating
their
premiums
in
whole
or
in
part
out
of
surplus
5
accumulated
from
nonparticipating
insurance,
provided
that
6
any
such
bonuses
or
rebatement
of
premiums
shall
be
fair
and
7
equitable
to
policyholders
and
for
the
best
interests
of
the
8
company
and
its
policyholders.
9
(2)
(b)
In
the
case
of
life
insurance
policies
issued
on
10
the
industrial
debit
plan,
making
allowance
to
policyholders
11
who
have
continuously
for
a
specified
period
made
premium
12
payments
directly
to
an
office
of
the
insurer
in
an
amount
13
which
fairly
represents
the
saving
in
collection
expenses.
14
(3)
(c)
Readjustment
of
the
rate
of
premium
for
a
group
15
insurance
policy
based
on
the
loss
or
expense
experienced
16
thereunder,
at
the
end
of
the
first
or
any
subsequent
policy
17
year
of
insurance
thereunder,
which
may
be
made
retroactive
18
only
for
such
policy
year.
19
c.
(3)
(a)
Paying,
allowing,
or
giving,
or
offering
to
20
pay,
allow,
or
give,
directly
or
indirectly,
as
an
inducement
21
to
purchase
or
acquire
insurance
other
than
life
insurance,
22
life
annuity,
or
accident
and
health
insurance,
or
after
23
insurance
has
been
effected,
any
rebate,
discount,
abatement,
24
credit,
or
reduction
of
the
premium
named
in
a
policy
of
25
insurance,
or
any
special
favor
or
advantage
in
the
dividends
26
or
other
benefits
to
accrue
on
the
policy,
or
any
valuable
27
consideration
or
inducement,
not
specified
in
the
policy,
28
except
to
the
extent
provided
for
in
an
applicable
filing.
29
An
insured
named
in
a
policy,
or
an
employee
of
the
insured,
30
shall
not
knowingly
receive
or
accept,
directly
or
indirectly,
31
any
rebate,
discount,
abatement,
credit,
or
reduction
of
32
premium,
or
any
such
special
favor
or
advantage
or
valuable
33
consideration
or
inducement.
34
(b)
This
paragraph
“c”
subparagraph
(3)
shall
not
be
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construed
to
prohibit
the
payment
of
commissions
or
other
1
compensation
to
duly
licensed
producers,
or
to
prohibit
2
any
insurer
from
allowing
or
returning
to
its
participating
3
policyholders,
members,
or
subscribers,
dividends,
savings,
or
4
unabsorbed
premium
deposits.
As
used
in
this
paragraph
“c”
5
subparagraph
(3)
,
“insurance”
includes
suretyship
and
“policy”
6
includes
bond.
7
10.
j.
Unfair
claim
settlement
practices.
Committing
8
or
performing
with
such
frequency
as
to
indicate
a
general
9
business
practice
any
of
the
following:
10
a.
(1)
Misrepresenting
pertinent
facts
or
insurance
policy
11
provisions
relating
to
coverages
of
issue.
12
b.
(2)
Failing
to
acknowledge
and
act
reasonably
promptly
13
upon
communications
with
respect
to
claims
arising
under
14
insurance
policies.
15
c.
(3)
Failing
to
adopt
and
implement
reasonable
standards
16
for
the
prompt
investigation
of
claims
arising
under
insurance
17
policies.
18
d.
(4)
Refusing
to
pay
claims
without
conducting
a
19
reasonable
investigation
based
upon
all
available
information.
20
e.
(5)
Failing
to
affirm
or
deny
coverage
of
claims
within
21
a
reasonable
time
after
proof
of
loss
statements
have
been
22
completed.
23
f.
(6)
Not
attempting
in
good
faith
to
effectuate
prompt,
24
fair,
and
equitable
settlements
of
claims
in
which
liability
25
has
become
reasonably
clear,
or
failing
to
include
interest
on
26
the
payment
of
claims
when
required
under
subsection
16
27
paragraph
“p”
or
section
511.38
.
28
g.
(7)
Compelling
insureds
to
institute
litigation
to
29
recover
amounts
due
under
an
insurance
policy
by
offering
30
substantially
less
than
the
amounts
ultimately
recovered
in
31
actions
brought
by
such
insureds.
32
h.
(8)
Attempting
to
settle
a
claim
for
less
than
the
33
amount
to
which
a
reasonable
person
would
have
believed
34
the
person
was
entitled
by
reference
to
written
or
printed
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advertising
material
accompanying
or
made
part
of
an
1
application.
2
i.
(9)
Attempting
to
settle
claims
on
the
basis
of
an
3
application
which
was
altered
without
notice
to,
or
knowledge
4
or
consent
of
the
insured.
5
j.
(10)
Making
claims
payments
to
insureds
or
beneficiaries
6
not
accompanied
by
a
statement
setting
forth
the
coverage
under
7
which
payments
are
being
made.
8
k.
(11)
Making
known
to
insureds
or
claimants
a
policy
9
of
appealing
from
arbitration
awards
in
favor
of
insureds
10
or
claimants
for
the
purpose
of
compelling
them
to
accept
11
settlements
or
compromises
less
than
the
amount
awarded
in
12
arbitration.
13
l.
(12)
Delaying
the
investigation
or
payment
of
claims
14
by
requiring
an
insured,
claimant,
or
the
physician
of
either
15
to
submit
a
preliminary
claim
report
and
then
requiring
the
16
subsequent
submission
of
formal
proof
of
loss
forms,
both
of
17
which
submissions
contain
substantially
the
same
information.
18
m.
(13)
Failing
to
promptly
settle
claims,
where
liability
19
has
become
reasonably
clear,
under
one
portion
of
the
insurance
20
policy
coverage
in
order
to
influence
settlements
under
other
21
portions
of
the
insurance
policy
coverage.
22
n.
(14)
Failing
to
promptly
provide
a
reasonable
23
explanation
of
the
basis
in
the
insurance
policy
in
relation
24
to
the
facts
or
applicable
law
for
denial
of
a
claim
or
for
the
25
offer
of
a
compromise
settlement.
26
o.
(15)
Failing
to
comply
with
the
procedures
for
auditing
27
claims
submitted
by
health
care
providers
as
set
forth
by
rule
28
of
the
commissioner.
However,
this
paragraph
subparagraph
29
shall
have
no
applicability
to
liability
insurance,
workers’
30
compensation
or
similar
insurance,
automobile
or
homeowners’
31
medical
payment
insurance,
disability
income,
or
long-term
care
32
insurance.
33
11.
k.
Use
of
inquiries.
Considering
either
of
the
34
following
events
for
purposes
of
surcharging,
declining,
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nonrenewing,
or
canceling
personal
lines
property
and
casualty
1
insurance
coverage
or
a
binder
for
personal
lines
property
and
2
casualty
insurance
coverage:
3
a.
(1)
An
applicant’s
or
insured’s
inquiry
into
the
type
4
or
level
of
coverage
of
a
policy,
or
an
inquiry
into
whether
a
5
policy
will
cover
a
loss.
6
b.
(2)
An
insured’s
inquiry
regarding
coverage
of
a
policy
7
for
a
loss
if
the
insured
does
not
file
a
claim.
8
12.
l.
History
of
a
property.
Declining
to
insure
a
9
property
not
previously
owned
by
an
applicant
for
personal
10
lines
property
and
casualty
insurance,
based
solely
on
the
loss
11
history
of
a
previous
owner
of
the
property,
unless
the
insurer
12
can
provide
evidence
that
the
previous
owner
did
not
repair
13
damage
to
the
property.
14
13.
m.
Disclosure
of
use
of
claims
history.
Failing
15
to
inform
an
applicant
at
the
time
that
an
application
for
16
personal
lines
property
and
casualty
insurance
is
made,
in
17
writing
or
in
the
same
medium
as
the
application
is
made,
that
18
the
insurer
will
consider
the
applicant’s
or
insured’s
claims
19
history
in
determining
whether
to
decline,
cancel,
nonrenew,
20
or
surcharge
such
a
policy,
and
that
a
claim
made
by
an
insured
21
will
be
reported
to
an
insurance
support
organization.
22
14.
n.
Misrepresentation
in
insurance
applications.
Making
23
false
or
fraudulent
statements
or
representations
on
or
24
relative
to
an
application
for
an
insurance
policy,
for
the
25
purpose
of
obtaining
a
fee,
commission,
money,
or
other
benefit
26
from
any
insurer,
agent,
broker,
or
individual.
27
15.
o.
Omission
from
insurance
application.
Failing
to
28
designate
on
an
insurance
policy
application
the
licensee
who
29
has
solicited
and
written
the
policy.
30
16.
p.
Payment
of
interest.
Failure
of
an
insurer
to
pay
31
interest
at
the
rate
of
ten
percent
per
annum
on
all
health
32
insurance
claims
that
the
insurer
fails
to
timely
accept
and
33
pay
pursuant
to
section
507B.4A,
subsection
2
,
paragraph
“d”
.
34
Interest
shall
accrue
commencing
on
the
thirty-first
day
after
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receipt
of
all
properly
completed
proof
of
loss
forms.
1
For
purposes
of
this
subsection
,
“insurer”
means
an
entity
2
providing
a
plan
of
health
insurance,
health
care
benefits,
or
3
health
care
services,
or
an
entity
subject
to
the
jurisdiction
4
of
the
commissioner
performing
utilization
review,
including
5
an
insurance
company
offering
sickness
and
accident
plans,
a
6
health
maintenance
organization,
an
organized
delivery
system
7
authorized
under
1993
Iowa
Acts,
ch.
158,
and
licensed
by
8
the
department
of
public
health,
a
nonprofit
health
service
9
corporation,
a
plan
established
pursuant
to
chapter
509A
10
for
public
employees,
or
any
other
entity
providing
a
plan
11
of
health
insurance,
health
care
benefits,
or
health
care
12
services.
However,
“insurer”
does
not
include
an
entity
that
13
sells
disability
income
or
long-term
care
insurance.
14
17.
q.
Rating
organizations.
Any
violation
of
section
15
515F.16
.
16
18.
r.
Minor
traffic
violations.
Failure
of
a
person
to
17
comply
with
section
516B.3
.
18
19.
s.
Information.
Failing
or
refusing
to
furnish
any
19
policyholder
or
applicant,
upon
reasonable
request,
information
20
to
which
that
individual
is
entitled.
21
For
purposes
of
subsections
11,
12,
and
13,
“personal
lines
22
property
and
casualty
insurance”
means
insurance
sold
to
23
individuals
and
families
primarily
for
noncommercial
purposes
24
as
provided
in
chapter
522B
.
25
Sec.
102.
Section
507C.2,
subsection
15,
Code
2011,
is
26
amended
to
read
as
follows:
27
15.
a.
“Insolvency”
or
“insolvent”
means
any
of
the
28
following:
29
a.
(1)
For
an
insurer
issuing
only
assessable
fire
30
insurance
policies,
either
of
the
following:
31
(1)
(a)
The
inability
to
pay
any
obligation
within
thirty
32
days
after
it
becomes
payable.
33
(2)
(b)
If
an
assessment
is
made,
the
inability
to
pay
the
34
assessment
within
thirty
days
following
the
date
specified
in
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the
first
assessment
notice
issued
after
the
date
of
loss.
1
b.
(2)
For
any
other
insurer
that
it
is
unable
to
pay
its
2
obligations
when
they
are
due,
or
when
its
admitted
assets
do
3
not
exceed
its
liabilities
plus
the
greater
of:
4
(1)
(a)
Any
capital
and
surplus
required
by
law
for
its
5
organization.
6
(2)
(b)
The
total
par
or
stated
value
of
its
authorized
and
7
issued
capital
stock.
8
c.
(3)
As
to
an
insurer
licensed
to
do
business
in
this
9
state
as
of
July
1,
1984,
which
does
not
meet
the
standard
10
established
under
paragraph
“b”
subparagraph
(2)
,
the
term
11
“insolvency”
or
“insolvent”
shall
mean,
for
a
period
not
to
12
exceed
three
years
from
July
1,
1984,
that
it
is
unable
to
13
pay
its
obligations
when
they
are
due
or
that
its
admitted
14
assets
do
not
exceed
its
liabilities
plus
any
required
capital
15
contribution
ordered
by
the
commissioner
under
provisions
of
16
the
insurance
law.
17
b.
For
purposes
of
this
subsection
“liabilities”
includes
18
but
is
not
limited
to
reserves
required
by
statute
or
by
19
the
division’s
rules
or
specific
requirements
imposed
by
the
20
commissioner
upon
a
company
at
the
time
of
or
subsequent
to
21
admission.
22
Sec.
103.
Section
508.8,
Code
2011,
is
amended
to
read
as
23
follows:
24
508.8
Insurance
company
officers
——
conflicts
of
interest
——
25
exceptions.
26
1.
As
used
in
this
section,
“employee”
includes
but
is
not
27
limited
to
the
officers
of
a
life
insurance
company.
28
2.
A
director
or
officer
of
a
life
insurance
company
shall
29
not
receive,
in
addition
to
fixed
salary
or
compensation,
30
money
or
other
valuable
thing,
either
directly
or
indirectly,
31
or
through
a
substantial
interest
in
another
corporation
or
32
business
unit,
for
negotiating,
procuring,
recommending
or
33
aiding
in
the
purchase
or
sale
of
property,
or
loan,
made
34
by
the
insurer
or
an
affiliate
or
subsidiary
of
the
insurer;
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nor
shall
a
director
or
officer
be
pecuniarily
interested,
1
either
as
principal,
coprincipal,
agent
or
beneficiary,
either
2
directly
or
indirectly,
or
through
a
substantial
interest
in
3
another
corporation
or
business
unit,
in
the
purchase,
sale
4
or
loan.
However,
a
life
insurance
company,
in
connection
5
with
the
relocation
of
the
place
of
employment
of
an
employee
6
including
relocation
upon
the
initial
employment
of
the
7
employee,
may
do
either
of
the
following:
8
1.
a.
Make
a
mortgage
loan
on
real
property
owned
by
the
9
employee
which
is
to
serve
as
the
employee’s
dwelling.
10
2.
b.
Acquire
at
not
more
than
fair
market
value
the
11
dwelling
which
the
employee
vacates
upon
relocation.
12
As
used
in
this
section
,
“employee”
includes
but
is
not
13
limited
to
the
officers
of
a
life
insurance
company.
14
Sec.
104.
Section
508.36,
subsection
3,
paragraphs
e
and
f,
15
Code
2011,
are
amended
to
read
as
follows:
16
e.
(1)
For
total
and
permanent
disability
benefits
in
or
17
supplementary
to
ordinary
policies
or
contracts,
the
following:
18
(1)
(a)
For
policies
or
contracts
issued
on
or
after
19
January
1,
1966,
the
tables
of
period
2
disablement
rates
and
20
the
1930
to
1950
termination
rates
of
the
1952
disability
study
21
of
the
society
of
actuaries,
with
due
regard
to
the
type
of
22
benefit,
or
any
tables
of
disablement
rates
and
termination
23
rates
adopted
after
1980
by
the
national
association
of
24
insurance
commissioners
and
approved
by
rule
adopted
by
the
25
commissioner
for
use
in
determining
the
minimum
standard
of
26
valuation
for
such
policies.
27
(2)
(b)
For
policies
or
contracts
issued
on
or
after
28
January
1,
1961,
and
prior
to
January
1,
1966,
either
of
the
29
tables
identified
under
subparagraph
(1)
division
(a)
,
or
at
30
the
option
of
the
company,
the
class
(3)
disability
table
31
(1926).
32
(3)
(c)
For
policies
issued
prior
to
January
1,
1961,
the
33
class
(3)
disability
table
(1926).
34
(2)
A
table
used
under
this
paragraph
“e”
shall,
for
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active
lives,
be
combined
with
a
mortality
table
permitted
for
1
calculating
the
reserves
for
life
insurance
policies.
2
f.
(1)
For
accidental
death
benefits
in
or
supplementary
to
3
policies,
the
following:
4
(1)
(a)
For
policies
issued
on
or
after
January
1,
1966,
5
the
1959
accidental
death
benefits
table,
or
any
accidental
6
death
benefits
table
adopted
after
1980
by
the
national
7
association
of
insurance
commissioners
and
approved
by
rule
8
adopted
by
the
commissioner
for
use
in
determining
the
minimum
9
standard
of
valuation
for
such
policies.
10
(2)
(b)
For
policies
issued
on
or
after
January
1,
1961,
11
and
prior
to
January
1,
1966,
either
of
the
tables
identified
12
under
subparagraph
(1)
division
(a)
,
or
at
the
option
of
the
13
company,
the
intercompany
double
indemnity
mortality
table.
14
(3)
(c)
For
policies
issued
prior
to
January
1,
1961,
the
15
intercompany
double
indemnity
mortality
table.
16
(2)
A
table
used
under
this
paragraph
“f”
shall
be
combined
17
with
a
mortality
table
for
calculating
the
reserves
for
life
18
insurance
policies.
19
Sec.
105.
Section
508.37,
subsection
5,
paragraphs
a
and
c,
20
Code
2011,
are
amended
to
read
as
follows:
21
a.
(1)
This
subsection
does
not
apply
to
policies
issued
22
on
or
after
the
operative
date
of
subsection
6
as
defined
23
in
paragraph
“k”
of
that
subsection.
Except
as
provided
in
24
paragraph
“c”
,
the
adjusted
premiums
for
any
policy
shall
25
be
calculated
on
an
annual
basis
and
shall
be
such
uniform
26
percentage
of
the
respective
premiums
specified
in
the
policy
27
for
each
policy
year,
excluding
any
extra
premiums
charged
28
because
of
impairments
or
special
hazards,
that
the
present
29
value,
at
the
date
of
issue
of
the
policy,
of
all
such
adjusted
30
premiums
is
equal
to
the
sum
of
the
following:
31
(1)
(a)
The
then
present
value
of
the
future
guaranteed
32
benefits
provided
for
by
the
policy.
33
(2)
(b)
Two
percent
of
the
amount
of
the
insurance,
if
the
34
insurance
is
uniform
in
amount,
or
of
the
equivalent
uniform
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amount,
as
defined
in
paragraph
“b”
,
if
the
amount
of
insurance
1
varies
with
duration
of
the
policy.
2
(3)
(c)
Forty
percent
of
the
adjusted
premium
for
the
first
3
policy
year.
4
(4)
(d)
Twenty-five
percent
of
either
the
adjusted
premium
5
for
the
first
policy
year
or
the
adjusted
premium
for
a
whole
6
life
policy
of
the
same
uniform
or
equivalent
uniform
amount
7
with
uniform
premiums
for
the
whole
of
life
issued
at
the
same
8
age
for
the
same
amount
of
insurance,
whichever
is
less.
9
(2)
However,
in
applying
the
percentages
specified
in
10
subparagraphs
(3)
and
(4)
subparagraph
divisions
(c)
and
(d)
,
11
no
adjusted
premium
shall
be
deemed
to
exceed
four
percent
of
12
the
amount
of
insurance
or
an
equivalent
uniform
amount.
The
13
date
of
issue
of
a
policy
for
the
purpose
of
this
subsection
14
is
the
date
as
of
which
the
rated
age
of
the
insured
is
15
determined.
16
c.
The
adjusted
premiums
for
a
policy
providing
term
17
insurance
benefits
by
rider
or
supplemental
policy
provision
18
shall
be
equal
to
(1)
the
adjusted
premiums
for
an
otherwise
19
similar
policy
issued
at
the
same
age
without
such
term
20
insurance
benefits,
increased
during
the
period
for
which
21
premiums
for
such
term
insurance
benefits
are
payable,
by
(2)
22
the
adjusted
premiums
for
such
term
insurance,
the
foregoing
23
items
(1)
and
(2)
being
calculated
separately
and
as
specified
24
in
paragraphs
“a”
and
“b”
of
this
subsection
except
that,
for
25
the
purposes
of
subparagraphs
(2),
(3),
and
(4)
of
paragraph
26
“a”
,
subparagraph
(1),
subparagraph
divisions
(b),
(c),
and
27
(d),
the
amount
of
insurance
or
equivalent
uniform
amount
of
28
insurance
used
in
the
calculation
of
the
adjusted
premiums
29
referred
to
in
item
(2)
in
this
paragraph
shall
be
equal
to
the
30
excess
of
the
corresponding
amount
determined
for
the
entire
31
policy
over
the
amount
used
in
the
calculation
of
the
adjusted
32
premiums
in
item
(1)
in
this
paragraph.
33
Sec.
106.
Section
508.38,
subsection
3,
paragraphs
a
and
b,
34
Code
2011,
are
amended
to
read
as
follows:
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a.
(1)
The
minimum
nonforfeiture
amount
at
any
time
at
1
or
prior
to
the
commencement
of
any
annuity
payments
shall
be
2
equal
to
an
accumulation
up
to
such
time
at
rates
of
interest
3
as
indicated
in
paragraph
“b”
of
the
net
considerations
(as
4
hereinafter
defined)
paid
prior
to
such
time,
decreased
by
the
5
sum
of
all
of
the
following:
6
(1)
(a)
Any
prior
withdrawals
from
or
partial
surrenders
7
of
the
contract
accumulated
at
rates
of
interest
as
indicated
8
in
paragraph
“b”
.
9
(2)
(b)
An
annual
contract
charge
of
fifty
dollars,
10
accumulated
at
rates
of
interest
as
indicated
in
paragraph
“b”
.
11
(3)
(c)
The
amount
of
any
indebtedness
to
the
company
on
12
the
contract,
including
interest
due
and
accrued.
13
(2)
The
net
considerations
for
a
given
contract
year
14
used
to
define
the
minimum
nonforfeiture
amount
shall
be
an
15
amount
equal
to
eighty-seven
and
one-half
percent
of
the
gross
16
considerations
credited
to
the
contract
during
the
contract
17
year.
18
b.
(1)
The
interest
rate
used
in
determining
minimum
19
nonforfeiture
amounts
shall
be
an
annual
rate
of
interest
20
determined
as
the
lesser
of
three
percent
per
annum
and
all
of
21
the
following,
which
shall
be
specified
in
the
contract
if
the
22
interest
rate
will
be
reset:
23
(1)
(a)
The
five-year
constant
maturity
treasury
rate
24
reported
by
the
federal
reserve
as
of
a
date,
or
average
over
a
25
period,
rounded
to
the
nearest
one-twentieth
of
one
percent,
26
specified
in
the
contract
no
longer
than
fifteen
months
prior
27
to
the
contract
issue
date
or
redetermination
date
under
28
subparagraph
(4)
division
(d)
.
29
(2)
(b)
The
result
of
subparagraph
(1)
division
(a)
shall
30
be
reduced
by
one
hundred
twenty-five
basis
points.
31
(3)
(c)
The
resulting
interest
guarantee
shall
not
be
less
32
than
one
percent.
33
(4)
(d)
The
interest
rate
shall
apply
for
an
initial
34
period
and
may
be
redetermined
for
additional
periods.
The
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redetermination
date,
basis,
and
period,
if
any,
shall
be
1
stated
in
the
contract.
The
basis
is
the
date
or
average
2
over
a
specified
period
that
produces
the
value
of
the
3
five-year
constant
maturity
treasury
rate
to
be
used
at
each
4
redetermination
date.
5
(2)
During
the
period
or
term
that
a
contract
provides
6
substantive
participation
in
an
equity
indexed
benefit,
it
7
may
increase
the
reduction
described
in
subparagraph
(2)
8
(1),
subparagraph
division
(b)
,
by
up
to
an
additional
one
9
hundred
basis
points
to
reflect
the
value
of
the
equity
index
10
benefit.
The
present
value
at
the
contract
issue
date
and
11
at
each
redetermination
date
thereafter
of
the
additional
12
reduction
shall
not
exceed
the
market
value
of
the
benefit.
13
The
commissioner
may
require
a
demonstration
that
the
present
14
value
of
the
reduction
does
not
exceed
the
market
value
of
the
15
benefit.
Lacking
such
a
demonstration
that
is
acceptable
to
16
the
commissioner,
the
commissioner
may
disallow
or
limit
the
17
additional
reduction.
18
(3)
The
commissioner
may
adopt
rules
to
implement
the
19
provisions
of
subparagraph
(4)
(1),
subparagraph
division
(d)
,
20
and
to
provide
for
further
adjustments
to
the
calculation
21
of
minimum
nonforfeiture
amounts
for
contracts
that
provide
22
substantive
participation
in
an
equity
index
benefit
and
for
23
other
contracts
that
the
commissioner
determines
adjustments
24
are
justified.
25
Sec.
107.
Section
508C.12,
subsection
1,
paragraph
a,
Code
26
Supplement
2011,
is
amended
to
read
as
follows:
27
a.
(1)
Notify
the
commissioners
or
insurance
departments
28
of
other
states
or
territories
of
the
United
States
and
the
29
District
of
Columbia
when
any
of
the
following
actions
against
30
a
member
insurer
is
taken:
31
(1)
(a)
A
license
is
revoked.
32
(2)
(b)
A
license
is
suspended.
33
(3)
(c)
A
formal
order
is
made
that
a
company
restrict
its
34
premium
writing,
obtain
additional
contributions
to
surplus,
35
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withdraw
from
the
state,
reinsure
all
or
any
part
of
its
1
business,
or
increase
capital,
surplus,
or
any
other
account
2
for
the
security
of
policyholders
or
creditors.
3
(2)
Notice
shall
be
mailed
to
the
commissioners
or
4
departments
within
thirty
days
following
the
earlier
of
when
5
the
action
was
taken
or
the
date
on
which
the
action
occurs.
6
This
subparagraph
does
not
supersede
section
507C.9,
subsection
7
5
.
8
Sec.
108.
Section
509.1,
subsection
2,
Code
2011,
is
amended
9
to
read
as
follows:
10
2.
a.
A
policy
issued
to
any
one
of
the
following
to
be
11
considered
the
policyholder:
12
a.
(1)
An
advisory,
supervisory,
or
governing
body
or
13
bodies
of
a
regularly
organized
religious
denomination
to
14
insure
its
clergy,
priests,
or
ministers
of
the
gospel.
15
b.
(2)
A
teachers’
association,
to
insure
its
members.
16
c.
(3)
A
lawyers’
association,
to
insure
its
members.
17
d.
(4)
A
volunteer
fire
company,
to
insure
all
of
its
18
members.
19
e.
(5)
A
fraternal
society
or
association,
or
any
20
subordinate
lodge
or
branch
thereof,
to
insure
its
members.
21
f.
(6)
A
common
principal
of
any
group
of
persons
similarly
22
engaged
between
whom
there
exists
a
contractual
relationship,
23
to
insure
the
members
of
such
group.
24
g.
(7)
An
association,
the
members
of
which
are
students,
25
teachers,
administrators
or
officials
of
any
elementary
or
26
secondary
school
or
of
any
college,
to
insure
the
members
27
thereof.
For
the
purpose
of
this
paragraph
subparagraph,
the
28
students,
teachers,
administrators
or
officials
of
or
for
any
29
such
school
or
college
shall
constitute
an
association.
30
b.
Provided
that
the
The
provisions
and
requirements
31
of
subsection
1
of
this
section
shall
apply
to
such
the
32
policy
and
the
policyholder
and
insured
in
like
the
same
33
manner
as
said
subsection
1
of
this
section
applies
to
34
employers
and
employees,
except
that
if
a
policy
is
issued
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to
a
volunteer
fire
company
or
an
association,
the
members
1
of
which
are
students,
teachers,
administrators
or
officials
2
of
any
elementary
or
secondary
school
or
of
any
college,
the
3
requirement
for
twenty-five
members
shall
not
apply,
and,
if
4
issued
to
a
teachers’
association
or
lawyers’
association,
not
5
less
than
sixty-five
percent
of
the
members
thereof
may
be
6
insured.
7
Sec.
109.
Section
509A.15,
subsections
1
and
4,
Code
2011,
8
are
amended
to
read
as
follows:
9
1.
a.
Within
ninety
days
following
the
end
of
a
fiscal
10
year,
the
governing
body
of
a
self-insurance
plan
of
a
11
political
subdivision
or
a
school
corporation
shall
file
with
12
the
commissioner
of
insurance
a
certificate
of
compliance,
13
actuarial
opinion,
and
an
annual
financial
report.
The
14
filing
shall
be
accompanied
by
a
fee
of
one
hundred
dollars.
15
A
penalty
of
fifteen
dollars
per
day
shall
be
assessed
for
16
failure
to
comply
with
the
ninety-day
filing
requirement,
17
except
that
the
commissioner
may
waive
the
penalty
upon
a
18
showing
that
special
circumstances
exist
which
justify
the
19
waiver.
The
certificate
shall
be
signed
and
dated
by
the
20
appropriate
public
official
representing
the
governing
body,
21
and
shall
certify
the
following:
22
a.
(1)
That
the
plan
meets
the
requirements
of
this
chapter
23
and
the
applicable
provisions
of
the
Iowa
administrative
code.
24
b.
(2)
That
an
actuarial
opinion
has
been
attached
to
25
the
certificate
which
attests
to
the
adequacy
of
reserves,
26
rates,
and
financial
condition
of
the
plan.
The
actuarial
27
opinion
must
include,
but
is
not
limited
to,
a
brief
commentary
28
about
the
adequacy
of
the
reserves,
rates,
and
the
financial
29
condition
of
the
plan,
a
test
of
the
prior
year
claim
reserve,
30
a
brief
description
of
how
the
reserves
were
calculated,
31
and
whether
or
not
the
plan
is
able
to
cover
all
reasonably
32
anticipated
expenses.
The
actuarial
opinion
shall
be
prepared,
33
signed,
and
dated
by
a
person
who
is
a
member
of
the
American
34
academy
of
actuaries.
If
necessary,
the
actuary
should
assist
35
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the
public
body
in
preparing
the
annual
financial
report.
The
1
annual
financial
report
shall
be
in
a
format
as
prescribed
by
2
the
commissioner.
3
c.
(3)
That
a
written
complaint
procedure
has
been
4
implemented.
The
certificate
shall
also
list
the
number
of
5
complaints
filed
by
participants
under
the
written
complaint
6
procedure,
and
the
percentage
of
participants
filing
written
7
complaints,
in
the
prior
fiscal
year.
8
d.
(4)
That
the
governing
body
has
contracted
or
otherwise
9
arranged
with
a
third-party
administrator
who
holds
a
current
10
certificate
of
registration
issued
by
the
commissioner
pursuant
11
to
section
510.21
,
or
with
a
person
not
required
to
obtain
12
the
certificate
as
a
third-party
administrator
as
defined
in
13
section
510.11,
subsection
2
.
14
b.
The
actuarial
opinion
must
include
but
is
not
limited
to
15
a
brief
commentary
about
the
adequacy
of
the
reserves,
rates,
16
and
the
financial
condition
of
the
plan,
a
test
of
the
prior
17
year
claim
reserve,
a
brief
description
of
how
the
reserves
18
were
calculated,
and
whether
or
not
the
plan
is
able
to
cover
19
all
reasonably
anticipated
expenses.
The
actuarial
opinion
20
shall
be
prepared,
signed,
and
dated
by
a
person
who
is
a
21
member
of
the
American
academy
of
actuaries.
22
c.
If
necessary,
the
actuary
should
assist
the
public
body
23
in
preparing
the
annual
financial
report.
The
annual
financial
24
report
shall
be
in
a
format
as
prescribed
by
the
commissioner.
25
4.
a.
One
or
more
political
subdivisions
of
the
state
26
or
one
or
more
school
corporations
maintaining
self-insured
27
plans
with
yearly
claims
that
do
not
exceed
two
percent
of
28
each
entity’s
general
fund
budget
shall
be
exempt
from
the
29
requirements
of
this
section
where
the
plan
insures
employees
30
for
all
or
part
of
a
deductible,
coinsurance
payments,
drug
31
costs,
short-term
disability
benefits,
vision
benefits,
or
32
dental
benefits.
33
b.
The
yearly
claim
amount
shall
be
determined
annually
on
34
the
policy
renewal
date,
or
an
alternative
date
established
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by
rule,
by
a
plan
administrator
or
political
subdivision
1
or
school
corporation
employee
to
be
designated
by
the
plan
2
administrator.
The
exemption
shall
not
apply
for
the
year
3
following
a
year
in
which
yearly
claims
are
determined
to
4
exceed
two
percent
of
the
political
subdivision’s
or
school
5
corporation’s
general
fund
budget.
6
Sec.
110.
Section
511.8,
unnumbered
paragraphs
1
and
2,
Code
7
Supplement
2011,
are
amended
to
read
as
follows:
8
A
company
organized
under
chapter
508
shall,
at
all
times,
9
have
invested
in
the
securities
provided
in
this
section
,
10
funds
equivalent
to
its
legal
reserve.
Legal
reserve
is
the
11
net
present
value
of
all
outstanding
policies
and
contracts
12
involving
life
contingencies.
This
section
does
not
prohibit
13
a
company
or
association
from
holding
a
portion
of
its
14
legal
reserve
in
cash.
The
investment
programs
developed
15
by
companies
shall
take
into
account
the
safety
of
the
16
company’s
principal,
investment
yield
and
return,
stability
17
in
the
value
of
the
investment,
and
liquidity
necessary
to
18
meet
the
company’s
expected
business
needs
and
investment
19
diversification.
20
The
investment
programs
developed
by
companies
shall
take
21
into
account
the
safety
of
the
company’s
principal,
investment
22
yield
and
return,
stability
in
the
value
of
the
investment,
and
23
liquidity
necessary
to
meet
the
company’s
expected
business
24
needs
and
investment
diversification.
25
Sec.
111.
Section
511.8,
subsections
6,
8,
13,
15,
17,
19,
26
and
20,
Code
Supplement
2011,
are
amended
to
read
as
follows:
27
6.
Preferred
and
guaranteed
stocks.
28
a.
Subject
to
the
restrictions
contained
in
subsection
29
8
hereof,
preferred
stocks
of,
or
stocks
guaranteed
by,
a
30
corporation
incorporated
under
the
laws
of
the
United
States
31
of
America,
or
of
any
state,
district,
insular
or
territorial
32
possession
thereof;
or
of
the
Dominion
of
Canada,
or
any
33
province
thereof;
and
which
meet
the
following
qualifications:
34
a.
(1)
Preferred
stocks.
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(1)
(a)
All
of
the
obligations
and
preferred
stocks
of
1
the
issuing
corporation,
if
any,
prior
to
the
preferred
stock
2
acquired
must
be
eligible
as
investments
under
this
section
as
3
of
the
date
of
acquisition;
and
4
(2)
(b)
The
net
earnings
available
for
fixed
charges
and
5
preferred
dividends
of
the
issuing
corporation
shall
have
6
been,
for
each
of
the
five
fiscal
years
immediately
preceding
7
the
date
of
acquisition,
not
less
than
one
and
one-half
times
8
the
sum
of
the
annual
fixed
charges
and
contingent
interest,
9
if
any,
and
the
annual
preferred
dividend
requirements
as
of
10
the
date
of
acquisition;
or
at
the
date
of
acquisition
the
11
preferred
stock
has
investment
qualities
and
characteristics
12
wherein
speculative
elements
are
not
predominant.
13
(i)
The
term
“preferred
dividend
requirements”
shall
mean
14
cumulative
or
noncumulative
dividends
whether
paid
or
not.
15
(ii)
The
term
“fixed
charges”
shall
be
construed
in
16
accordance
with
subsection
5
above
.
17
(iii)
The
term
“net
earnings
available
for
fixed
charges
and
18
preferred
dividends”
as
used
herein
shall
mean
the
net
income
19
after
deducting
all
operating
and
maintenance
expenses,
taxes,
20
including
any
income
taxes,
depreciation
and
depletion,
but
21
nonrecurring
items
may
be
excluded.
22
b.
(2)
Guaranteed
stocks.
23
(1)
(a)
All
of
the
fixed
interest-bearing
obligations
of
24
the
guaranteeing
corporation,
if
any,
must
be
eligible
under
25
this
section
as
of
the
date
of
acquisition;
and
26
(2)
(b)
The
net
earnings
available
for
fixed
charges
27
of
the
guaranteeing
corporation
shall
meet
the
requirements
28
outlined
in
paragraph
“a”
of
subsection
5
above
,
except
that
all
29
guaranteed
dividends
shall
be
included
in
“fixed
charges”
.
30
b.
Any
investments
in
preferred
stocks
or
guaranteed
31
stocks
made
under
the
provisions
of
this
subsection
shall
be
32
considered
as
moneys
and
credits
for
purposes
of
taxation
33
and
their
assessment
shall
be
subject
to
deductions
for
34
indebtedness
as
provided
by
law
in
the
case
of
assessment
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of
moneys
and
credits
in
general.
This
provision
shall
be
1
effective
as
to
assessments
made
during
the
year
1947
and
2
thereafter.
3
8.
Further
restrictions.
Securities
included
under
4
subsections
5,
6,
and
7
shall
not
be
eligible:
5
a.
If
the
corporation
is
in
default
on
fixed
obligations
as
6
of
the
date
of
acquisition.
Securities
provided
in
paragraph
7
“a”
of
subsection
6
,
paragraph
“a”
,
subparagraph
(1),
shall
8
not
be
eligible
if
the
issuing
corporation
is
in
arrears
with
9
respect
to
the
payment
of
any
preferred
dividends
as
of
the
10
date
of
acquisition.
11
b.
The
investments
of
any
company
or
association
in
12
such
securities
shall
not
be
eligible
in
excess
of
the
13
following
percentages
of
the
legal
reserve
of
such
company
or
14
association:
15
(1)
With
the
exception
of
public
securities,
two
percent
16
of
the
legal
reserve
in
the
securities
of
any
one
corporation.
17
Five
percent
of
the
legal
reserve
in
the
securities
of
any
one
18
public
utility
corporation.
19
(2)
Seventy-five
percent
of
the
legal
reserve
in
the
20
securities
described
in
subsection
5
issued
by
other
than
21
public
utility
corporations.
Fifty
percent
of
the
legal
22
reserve
in
the
securities
described
in
subsection
5
issued
by
23
public
utility
corporations.
24
(3)
Ten
percent
of
the
legal
reserve
in
the
securities
25
described
in
subsection
6
.
26
(4)
Ten
percent
of
the
legal
reserve
in
the
securities
27
described
in
subsection
7
.
28
c.
Statements
adjusted
to
show
the
actual
condition
at
29
the
time
of
acquisition
or
the
effect
of
new
financing,
30
known
commercially
as
pro
forma
statements,
may
be
used
in
31
determining
whether
investments
under
subsections
5
and
6
are
32
in
compliance
with
requirements.
Statements
so
adjusted
or
33
consolidated
statements
may
be
used
in
order
to
include
the
34
earnings
of
all
predecessor,
merged,
consolidated,
or
purchased
35
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companies.
1
d.
In
addition
to
the
restrictions
contained
in
paragraphs
2
“a”
and
“b”
,
the
investments
of
any
company
or
association
in
3
securities
included
under
subsection
5
,
paragraph
“c”
,
are
not
4
eligible
in
excess
of
two
percent
of
the
legal
reserve,
but
not
5
more
than
one-eighth
of
one
percent
of
the
legal
reserve
shall
6
be
invested
in
the
securities
of
any
one
corporation.
7
13.
Collateral
loans.
Loans
secured
by
collateral
8
consisting
of
any
securities
qualified
in
this
section
,
9
provided
the
amount
of
the
loan
is
not
in
excess
of
ninety
10
percent
of
the
value
of
the
securities.
Provided
further
that
11
subsection
8
shall
apply
to
the
collateral
securities
pledged
12
to
the
payment
of
loans
authorized
in
this
subsection.
13
Provided
further
that
subsection
8
of
this
section
shall
14
apply
to
the
collateral
securities
pledged
to
the
payment
of
15
loans
authorized
in
this
subsection
.
16
15.
Railroad
obligations.
17
a.
Bonds
or
other
evidences
of
indebtedness
which
carry
a
18
fixed
rate
of
interest
and
are
issued,
assumed
or
guaranteed
19
by
any
railroad
company
incorporated
under
the
laws
of
the
20
United
States
of
America,
or
of
any
state,
district,
insular
21
or
territorial
possessions
thereof,
not
in
reorganization
or
22
receivership
at
the
time
of
such
investment,
provided
that
the
23
railroad
company:
24
a.
(1)
Shall
have
had
for
the
three-year
period
immediately
25
preceding
investment,
for
which
the
necessary
data
for
the
26
railroad
company
shall
have
been
published,
a
balance
of
income
27
available
for
fixed
charges
which
shall
have
averaged
per
year
28
not
less
than
one
and
one-quarter
times
the
fixed
charges
for
29
the
latest
year
of
the
period;
and
30
b.
(2)
Shall
have
had
for
the
three-year
period
immediately
31
preceding
investment,
for
which
the
necessary
data
for
both
32
the
railroad
company
and
all
class
I
railroads
shall
have
been
33
published:
34
(1)
(a)
A
balance
of
income
available
for
the
payment
of
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fixed
charges
at
least
as
many
times
greater
than
the
fixed
1
charges
for
the
latest
year
of
the
period
as
the
balance
of
2
income
available
for
the
payment
of
fixed
charges
of
all
class
3
I
railroads
for
the
same
three-year
period
is
times
greater
4
than
the
amount
of
all
fixed
charges
for
such
class
I
railroads
5
for
the
latest
year
of
the
period;
and
6
(2)
(b)
An
amount
of
railway
operating
revenues
remaining
7
after
deduction
of
three
times
the
fixed
charges
for
the
8
latest
year
of
the
period
from
the
balance
of
income
available
9
for
the
payment
of
fixed
charges
for
the
three-year
period,
10
which
amount
is
as
great
a
proportion
of
its
railway
operating
11
revenues
for
the
same
three-year
period
as
is
the
proportion
of
12
railway
operating
revenues
remaining
for
all
class
I
railroads,
13
determined
in
the
same
manner
and
for
the
same
period
as
for
14
the
railroad.
15
b.
The
terms
“class
I
railroads”
,
“balance
of
income
16
available
for
the
payment
of
fixed
charges”
,
“fixed
charges”
17
and
“railway
operating
revenues”
when
used
in
this
subsection
,
18
are
to
be
given
the
same
meaning
as
in
the
accounting
reports
19
filed
by
a
railroad
company
in
accordance
with
the
regulations
20
for
common
carriers
by
rail
of
the
Interstate
Commerce
Act,
21
24
Stat.
379,
codified
at
49
U.S.C.
§
1
–
40,
1001
–
1100,
22
provided
that
the
“balance
of
income
available
for
the
payment
23
of
fixed
charges”
and
“railway
operating
revenues
remaining”
,
24
as
the
terms
are
used
in
this
subsection
,
shall
be
computed
25
before
deduction
of
federal
income
or
excess
profits
taxes;
26
and
that
in
computing
“fixed
charges”
there
shall
be
excluded
27
interest
and
amortization
charges
applicable
to
debt
called
for
28
redemption
or
which
will
otherwise
mature
within
six
months
29
from
the
time
of
investment
and
for
the
payment
of
which
funds
30
have
been
or
currently
are
being
specifically
set
aside.
31
c.
The
eligibility
of
railroad
obligations
described
32
in
the
first
sentence
of
this
subsection
paragraph
“a”
,
33
unnumbered
paragraph
1,
shall
be
determined
exclusively
34
as
provided
herein,
without
regard
to
the
provisions
for
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qualification
contained
in
subsections
5
and
8
of
this
section
.
1
Provisions
for
qualification
contained
in
this
section
shall
2
not
be
construed
as
applying
to
equipment
trust
obligations,
3
guaranteed
stocks,
or
contingent
interest
bonds
of
railroad
4
companies.
Investments
made
in
accordance
with
the
provisions
5
of
this
subsection
shall
not
be
eligible
in
excess
of
ten
6
percent
of
the
legal
reserve.
7
17.
Rules
of
valuation.
8
a.
(1)
All
bonds
or
other
evidences
of
debt
having
a
fixed
9
term
and
rate
of
interest,
if
amply
secured
and
not
in
default
10
as
to
principal
or
interest,
may
be
valued
as
follows:
11
(1)
(a)
If
purchased
at
par,
at
the
par
value.
12
(2)
(b)
If
purchased
above
or
below
par,
on
the
basis
of
13
the
purchase
price
adjusted
so
as
to
bring
the
value
to
par
at
14
maturity
and
so
as
to
yield
in
the
meantime
the
effective
rate
15
of
interest
at
which
the
purchase
was
made.
16
(2)
In
applying
the
above
rule
contained
in
subparagraph
17
(1)
,
the
purchase
price
shall
in
no
case
be
taken
at
a
higher
18
figure
than
the
actual
market
value
at
the
time
of
purchase.
19
b.
Certificates
of
sale
obtained
by
foreclosure
of
liens
on
20
real
estate
shall
be
valued
in
an
amount
not
greater
than
the
21
unpaid
principal
of
the
defaulted
indebtedness
plus
any
amounts
22
actually
expended
for
taxes
and
acquisition
costs.
23
c.
(1)
All
investments,
except
those
for
which
a
specific
24
rule
is
provided
in
this
subsection
,
shall
be
valued
at
25
their
market
value,
or
at
their
appraised
value,
or
at
prices
26
determined
by
the
commissioner
of
insurance
as
representing
27
their
fair
market
value,
or
at
a
value
as
determined
under
28
rules
adopted
by
the
national
association
of
insurance
29
commissioners.
30
(2)
The
commissioner
of
insurance
shall
have
full
31
discretion
in
determining
the
method
of
calculating
values
32
according
to
the
foregoing
rules,
but
no
company
or
association
33
shall
be
prevented
from
valuing
any
asset
at
an
amount
less
34
than
that
provided
by
this
subsection
.
35
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19.
Other
foreign
government
or
corporate
obligations.
Bonds
1
or
other
evidences
of
indebtedness,
not
to
include
currency,
2
issued,
assumed,
or
guaranteed
by
a
foreign
government
other
3
than
Canada,
or
by
a
corporation
incorporated
under
the
laws
4
of
a
foreign
government
other
than
Canada.
Such
governmental
5
obligations
must
be
valid,
legally
authorized
and
issued,
6
and
on
the
date
of
acquisition
have
predominantly
investment
7
qualities
and
characteristics
as
provided
by
rule.
Such
8
corporate
obligations
must
meet
the
qualifications
established
9
in
subsection
5
for
bonds
and
other
evidences
of
indebtedness
10
issued,
assumed,
or
guaranteed
by
a
corporation
incorporated
11
under
the
laws
of
the
United
States
or
Canada.
Foreign
12
investments
authorized
by
this
subsection
are
not
eligible
13
in
excess
of
twenty
percent
of
the
legal
reserve
of
the
life
14
insurance
company
or
association.
Investments
in
obligations
15
of
a
foreign
government,
other
than
Canada
and
the
United
16
Kingdom,
are
not
eligible
in
excess
of
two
percent
of
the
17
legal
reserve
in
the
securities
of
foreign
governments
of
any
18
one
foreign
nation.
Investments
in
obligations
of
the
United
19
Kingdom
are
not
eligible
in
excess
of
four
percent
of
the
legal
20
reserve.
Investments
in
a
corporation
incorporated
under
the
21
laws
of
a
foreign
government
other
than
Canada
are
not
eligible
22
in
excess
of
two
percent
of
the
legal
reserve
in
the
securities
23
of
any
one
foreign
corporation.
24
a.
Eligible
investments
in
foreign
obligations
under
this
25
subsection
are
limited
to
the
types
of
obligations
specifically
26
referred
to
in
this
subsection
.
This
subsection
in
no
way
27
limits
or
restricts
investments
in
Canadian
obligations
and
28
securities
specifically
authorized
in
other
subsections
of
this
29
section
.
30
b.
This
subsection
shall
not
authorize
investment
in
31
evidences
of
indebtedness
issued,
assumed,
or
guaranteed
by
a
32
foreign
government
which
engages
in
a
consistent
pattern
of
33
gross
violations
of
human
rights.
34
20.
Venture
capital
funds.
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a.
Shares
or
equity
interests
in
venture
capital
funds
which
1
agree
to
invest
an
amount
equal
to
at
least
fifty
percent
of
2
the
funds
in
small
businesses
having
their
principal
offices
3
within
this
state
and
having
either
more
than
one
half
of
4
their
assets
within
this
state
or
more
than
one
half
of
their
5
employees
employed
within
this
state.
A
company
shall
not
6
invest
more
than
five
percent
of
its
legal
reserve
under
this
7
subsection
.
8
b.
For
purposes
of
this
subsection
,
“venture
capital
9
fund”
means
a
corporation,
partnership,
proprietorship,
or
10
other
entity
formed
under
the
laws
of
the
United
States,
or
11
a
state,
district,
or
territory
of
the
United
States,
whose
12
principal
business
is
or
will
be
the
making
of
investments
in,
13
and
the
provision
of
significant
managerial
assistance
to,
14
small
businesses
which
meet
the
small
business
administration
15
definition
of
small
business.
“Equity
interests”
means
limited
16
partnership
interests
and
other
equity
interests
in
which
17
liability
is
limited
to
the
amount
of
the
investment,
but
does
18
not
mean
general
partnership
interests
or
other
interests
19
involving
general
liability.
“Venture
capital
fund”
includes
an
20
equity
interest
in
the
Iowa
fund
of
funds
as
defined
in
section
21
15E.62.
22
“Venture
capital
fund”
includes
an
equity
interest
in
the
23
Iowa
fund
of
funds
as
defined
in
section
15E.62
.
24
Sec.
112.
Section
512B.6,
subsection
1,
Code
2011,
is
25
amended
to
read
as
follows:
26
1.
a.
A
society
shall
operate
for
the
benefit
of
members
27
and
their
beneficiaries
by
fulfilling
both
of
the
following
28
purposes:
29
a.
(1)
Providing
benefits
as
specified
in
section
512B.16
.
30
b.
(2)
Operating
for
one
or
more
social,
intellectual,
31
educational,
charitable,
benevolent,
moral,
fraternal,
32
patriotic,
or
religious
purposes
for
the
benefit
of
its
33
members,
which
may
also
be
extended
to
others.
34
b.
The
purposes
listed
in
this
subsection
may
be
carried
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out
directly
by
the
society,
or
indirectly
through
subsidiary
1
corporations
or
affiliated
organizations.
2
Sec.
113.
Section
512B.19,
subsection
4,
Code
2011,
is
3
amended
to
read
as
follows:
4
4.
a.
A
society
shall
provide
in
its
laws
that
if
its
5
reserves
as
to
all
or
any
class
of
certificates
become
6
impaired,
its
supreme
governing
body
or
board
of
directors
may
7
require
that
there
be
paid
by
the
owners
to
the
society
the
8
amount
of
the
owners’
equitable
proportion
of
the
deficiency
9
as
ascertained
by
its
governing
body
or
board,
and
that
if
the
10
payment
is
not
made
either
of
the
following
will
apply:
11
a.
(1)
The
required
payment
or
assessment
shall
stand
as
12
an
indebtedness
against
the
certificate
and
draw
interest
not
13
to
exceed
the
rate
specified
for
certificate
loans
under
the
14
certificates.
15
b.
(2)
In
lieu
of
or
in
combination
with
paragraph
16
“a”
subparagraph
(1)
,
the
owner
may
accept
a
proportionate
17
reduction
in
benefits
under
the
certificate.
18
b.
The
society
may
specify
the
manner
of
the
election
and
19
which
alternative
is
to
be
presumed
if
no
election
is
made.
20
Sec.
114.
Section
512B.23,
subsection
2,
Code
2011,
is
21
amended
to
read
as
follows:
22
2.
a.
The
minimum
standards
of
valuation
for
certificates
23
issued
on
or
after
January
1,
1991,
shall
be
based
on
the
24
following
tables:
25
a.
(1)
For
certificates
of
life
insurance,
the
26
commissioner’s
1980
standard
ordinary
mortality
table
or
any
27
more
recent
table
made
applicable
to
life
insurers.
28
b.
(2)
For
annuity
and
pure
endowment
certificates,
for
29
total
and
permanent
disability
benefits,
for
accidental
death
30
benefits
and
for
noncancelable
accident
and
health
benefits,
31
the
tables
authorized
for
use
by
life
insurers
in
this
state.
32
b.
Paragraphs
“a”
and
“b”
Paragraph
“a”
,
subparagraphs
(1)
33
and
(2)
are
under
valuation
methods
and
standards,
including
34
interest
assumptions,
in
accordance
with
the
laws
of
this
state
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applicable
to
life
insurers
issuing
policies
containing
like
1
benefits.
2
Sec.
115.
Section
514A.1,
Code
2011,
is
amended
to
read
as
3
follows:
4
514A.1
Definition
of
accident
and
sickness
insurance
policy.
5
1.
“Policy
of
accident
and
sickness
insurance”
as
used
in
6
this
chapter
As
used
in
this
chapter,
“policy
of
accident
and
7
sickness
insurance”
includes
a
policy
or
contract
covering
8
insurance
against
loss
resulting
from
sickness,
or
from
bodily
9
injury
or
death
by
accident,
or
both.
For
the
purposes
of
this
10
chapter
the
words
“policy
of
accident
and
sickness
insurance”
11
are
interchangeable
without
deviation
of
meaning
with
the
words
12
“policy
of
accident
and
health
insurance”
or
the
words
“policy
13
of
accident
or
health
insurance.”
“policy
of
accident
or
health
14
insurance”
.
15
2.
This
chapter
applies
to
all
individual
policies
of
such
16
accident
and
sickness
insurance
written
by
Iowa
or
non-Iowa
17
companies
or
associations
duly
licensed
under
chapter
508
,
515
,
18
or
520
and,
societies,
orders,
or
associations
licensed
under
19
chapter
512B
writing
sickness
and
accident
policies
providing
20
benefits
for
loss
of
time.
21
3.
Orders,
societies
or
associations
which
admit
to
22
membership
only
persons
engaged
in
one
or
more
crafts
or
23
hazardous
occupations
in
the
same
or
similar
lines
of
business
24
and
the
societies
or
auxiliaries
to
such
orders
shall
not
25
be
subject
to
the
provisions
of
this
chapter
nor
shall
any
26
religious
order
be
subject
to
the
provisions
of
this
chapter
.
27
Sec.
116.
Section
514B.3,
Code
2011,
is
amended
to
read
as
28
follows:
29
514B.3
Application
for
a
certificate
of
authority.
30
1.
An
application
for
a
certificate
of
authority
shall
be
31
verified
by
an
officer
or
authorized
representative
of
the
32
health
maintenance
organization,
shall
be
in
a
form
prescribed
33
by
the
commissioner,
and
shall
set
forth
or
be
accompanied
by
34
the
following:
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1.
a.
A
copy
of
the
basic
organizational
document,
if
1
any,
of
the
applicant
such
as
the
articles
of
incorporation,
2
articles
of
association,
partnership
agreement,
trust
3
agreement,
or
other
applicable
documents,
and
all
of
its
4
amendments.
5
2.
b.
A
copy
of
the
bylaws,
rules
or
similar
document,
6
if
any,
regulating
the
conduct
of
the
internal
affairs
of
the
7
applicant.
8
3.
c.
A
list
of
the
names,
addresses
and
official
positions
9
of
the
persons
who
are
to
be
responsible
for
the
conduct
of
10
the
affairs
of
the
applicant,
including
all
members
of
the
11
board
of
directors,
board
of
trustees,
executive
committee,
or
12
other
governing
board
or
committee,
the
principal
officers
if
13
a
corporation
and
the
partners
or
members
if
a
partnership
or
14
association.
15
4.
d.
A
copy
of
any
contract
made
or
to
be
made
between
any
16
providers
or
persons
listed
in
subsection
3
paragraph
“c”
and
17
the
applicant.
18
5.
e.
A
statement
generally
describing
the
health
19
maintenance
organization
including,
but
not
limited
to,
a
20
description
of
its
facilities
and
personnel.
21
6.
f.
A
copy
of
the
form
of
evidence
of
coverage.
22
7.
g.
A
copy
of
the
form
of
the
group
contract,
if
any,
23
which
is
to
be
issued
to
employers,
unions,
trustees
or
other
24
organizations.
25
8.
h.
Financial
statements
showing
the
applicant’s
26
assets,
liabilities
and
sources
of
financial
support.
If
the
27
applicant’s
financial
affairs
are
audited
by
an
independent
28
certified
public
accountant,
a
copy
of
the
applicant’s
most
29
recent
regular
certified
financial
statement
shall
satisfy
this
30
requirement
unless
the
commissioner
directs
that
additional
31
financial
information
is
required
for
the
proper
administration
32
of
this
chapter
.
33
9.
i.
A
description
of
the
proposed
method
of
marketing
the
34
plan,
a
financial
plan
which
includes
a
three-year
projection
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of
operating
results
anticipated,
and
a
statement
as
to
the
1
sources
of
funding.
2
10.
j.
A
power
of
attorney
executed
by
any
applicant
3
appointing
the
commissioner,
the
commissioner’s
successors
in
4
office,
and
deputies
to
receive
process
in
any
legal
action
or
5
proceeding
against
the
health
maintenance
organization
on
a
6
cause
of
action
arising
in
this
state.
7
11.
k.
A
statement
reasonably
describing
the
geographic
8
area
to
be
served.
9
12.
l.
A
description
of
the
complaint
procedures
to
be
10
utilized
as
required
under
section
514B.14
.
11
13.
m.
A
description
of
the
procedures
and
programs
to
be
12
implemented
to
meet
the
requirements
for
quality
of
health
care
13
as
determined
by
the
director
of
public
health
under
section
14
514B.4
.
15
14.
n.
A
description
of
the
mechanism
by
which
enrollees
16
shall
be
allowed
to
participate
in
matters
of
policy
and
17
operation
as
required
by
section
514B.7
.
18
15.
o.
Other
information
the
commissioner
finds
reasonably
19
necessary
to
make
the
determinations
required
in
section
20
514B.5
.
21
2.
A
health
maintenance
organization
shall,
unless
22
otherwise
provided
for
in
this
chapter
,
file
notice
with
the
23
commissioner
and
receive
approval
from
the
commissioner
before
24
modifying
the
operations
described
in
the
information
required
25
by
this
section
.
26
3.
Upon
receipt
of
an
application
for
a
certificate
27
of
authority,
the
commissioner
shall
immediately
transmit
28
copies
of
the
application
and
accompanying
documents
to
the
29
director
of
public
health
and
the
affected
regional
health
30
planning
council,
as
authorized
by
Pub
L.
No.
89-749,
42
U.S.C.
31
§
246(b)2b,
for
their
nonbinding
consultation
and
advice.
32
Sec.
117.
Section
514B.5,
Code
2011,
is
amended
to
read
as
33
follows:
34
514B.5
Issuance
and
denial
of
a
certificate
of
authority.
35
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1.
The
commissioner
shall
issue
or
deny
a
certificate
1
of
authority
to
any
person
filing
an
application
pursuant
to
2
section
514B.3
within
a
reasonable
period
of
time.
Issuance
3
of
a
certificate
of
authority
shall
be
granted
upon
payment
4
of
the
application
fee
prescribed
in
section
514B.22
if
the
5
commissioner
is
satisfied
that
the
following
conditions
are
6
met:
7
1.
a.
The
persons
responsible
for
the
conduct
of
the
8
affairs
of
the
applicant
are
competent
and
trustworthy.
9
2.
b.
The
commissioner
finds
that
the
health
maintenance
10
organization’s
proposed
plan
of
operation
meets
the
11
requirements
of
section
514B.4
.
12
3.
c.
The
health
maintenance
organization
provides
or
13
arranges
for
the
provision
of
basic
health
care
services
14
on
a
prepaid
basis,
except
that
the
health
maintenance
15
organization
may
impose
deductible
and
coinsurance
charges
16
subject
to
approval
by
the
commissioner.
The
commissioner
17
has
the
authority
to
promulgate
rules
pursuant
to
chapter
17A
18
establishing
reasonable
maximum
deductible
and
coinsurance
19
charges
which
may
be
imposed
by
health
maintenance
20
organizations.
21
4.
d.
The
health
maintenance
organization
is
fiscally
22
sound
and
may
reasonably
be
expected
to
meet
its
obligations
23
to
enrollees.
In
making
this
determination,
the
commissioner
24
may
consider:
25
a.
(1)
The
financial
soundness
of
the
health
maintenance
26
organization’s
arrangements
for
health
care
services
in
27
relation
to
its
schedule
of
charges.
28
b.
(2)
The
adequacy
of
the
health
maintenance
29
organization’s
working
capital.
30
c.
(3)
Any
agreement
made
by
the
health
maintenance
31
organization
with
an
insurer,
a
corporation
authorized
under
32
chapter
514
or
any
other
organization
for
insuring
the
payment
33
of
the
cost
of
health
care
services
or
for
providing
immediate
34
alternative
coverage
in
the
event
of
discontinuance
of
the
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health
maintenance
organization.
1
d.
(4)
Any
agreement
made
with
providers
for
the
provision
2
of
health
care
services.
3
e.
(5)
Any
surety
bond
or
deposit
of
cash
or
securities
4
submitted
in
accordance
with
section
514B.16
.
5
5.
e.
The
enrollees
may
participate
in
matters
of
policy
6
and
operation
pursuant
to
section
514B.7
.
7
6.
f.
Nothing
in
the
proposed
method
of
operation
as
shown
8
by
the
information
submitted
pursuant
to
section
514B.3
or
by
9
independent
investigation
is
contrary
to
the
public
interest.
10
2.
A
certificate
of
authority
shall
be
denied
only
after
11
compliance
with
the
requirements
of
section
514B.26
.
12
Sec.
118.
Section
514B.6,
Code
2011,
is
amended
to
read
as
13
follows:
14
514B.6
Powers
of
health
maintenance
organizations.
15
1.
The
powers
of
a
health
maintenance
organization
include,
16
but
are
not
limited
to,
the
following:
17
1.
a.
The
purchase,
lease,
construction,
renovation,
18
operation
or
maintenance
of
hospitals,
medical
facilities,
19
or
both,
and
their
ancillary
equipment,
and
such
property
as
20
may
reasonably
be
required
for
transacting
the
business
of
the
21
organization.
22
2.
b.
The
making
of
loans
to
a
medical
group
under
contract
23
with
it
or
to
a
corporation
under
its
control
for
the
purpose
24
of
acquiring
or
constructing
medical
facilities
and
hospitals
25
or
in
furtherance
of
a
program
providing
health
care
services
26
to
enrollees.
27
3.
c.
The
furnishing
of
health
care
services
to
the
public
28
through
providers
which
are
under
contract
with
or
employed
by
29
the
health
maintenance
organization.
30
4.
d.
The
contracting
with
any
person
for
the
performance
31
on
its
behalf
of
certain
functions
such
as
marketing,
32
enrollment
and
administration.
33
5.
e.
The
contracting
with
an
insurance
company
authorized
34
to
insure
groups
or
individuals
in
this
state
for
the
cost
of
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health
care
or
with
a
corporation
authorized
under
chapter
514
1
for
the
provision
of
insurance,
indemnity,
or
reimbursement
2
against
the
cost
of
health
care
services
provided
by
the
health
3
maintenance
organization.
4
6.
f.
The
offering,
in
addition
to
basic
health
care
5
services,
of
health
care
services
and
indemnity
benefits
to
6
enrollees
or
groups
of
enrollees.
7
7.
g.
The
acceptance
from
any
person
of
payments
covering
8
all
or
part
of
the
charges
made
to
enrollees
of
the
health
9
maintenance
organization.
10
2.
A
health
maintenance
organization
shall
file
notice
with
11
the
commissioner
before
the
exercise
of
any
power
granted
in
12
subsections
1
and
2
subsection
1,
paragraphs
“a”
and
“b”
.
The
13
commissioner
shall
disapprove
the
exercise
of
power
if
in
the
14
commissioner’s
opinion
it
would
substantially
and
adversely
15
affect
the
financial
soundness
of
the
health
maintenance
16
organization
and
endanger
its
ability
to
meet
its
obligations.
17
The
commissioner
may
adopt
rules
exempting
from
the
filing
18
requirement
of
this
section
those
activities
having
a
minimum
19
effect.
20
Sec.
119.
Section
514B.9,
Code
2011,
is
amended
to
read
as
21
follows:
22
514B.9
Evidence
of
coverage.
23
1.
Every
enrollee
shall
receive
an
evidence
of
coverage
24
and
any
amendments.
If
the
enrollee
obtains
coverage
through
25
an
insurance
policy
or
a
contract
issued
by
a
corporation
26
authorized
under
chapter
514
,
the
insurer
or
the
corporation
27
shall
issue
the
evidence
of
coverage.
No
evidence
of
coverage
28
or
amendment
shall
be
issued
or
delivered
to
any
person
in
this
29
state
until
a
copy
of
the
form
of
the
evidence
of
coverage
or
30
amendment
has
been
filed
with
and
approved
by
the
commissioner.
31
2.
An
evidence
of
coverage
shall
contain
a
clear
and
32
complete
statement
of:
33
1.
a.
The
health
care
services
and
the
insurance
or
other
34
benefits,
if
any,
to
which
the
enrollee
is
entitled
in
the
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total
context
of
the
organizational
structure
of
the
health
1
maintenance
organization.
2
2.
b.
Any
limitations
on
the
services
or
benefits
to
be
3
provided,
including
any
deductible
or
coinsurance
charges
4
permitted
under
section
514B.5,
subsection
3
1,
paragraph
“c”
.
5
3.
c.
The
manner
in
which
information
is
available
on
the
6
method
of
obtaining
health
care
services.
7
4.
d.
The
total
amount
of
payment
for
health
care
services
8
and
indemnity
or
service
benefits,
if
any,
which
the
enrollee
9
is
obligated
to
pay
with
respect
to
individual
contracts,
or
10
an
indication
whether
the
plan
offered
through
the
health
11
maintenance
organization
is
contributory
or
noncontributory
12
with
respect
to
group
contracts.
13
5.
e.
The
health
maintenance
organization’s
method
for
14
resolving
enrollee
complaints.
15
6.
f.
The
mechanism
by
which
enrollees
shall
be
allowed
to
16
participate
in
matters
of
policy
and
operation.
17
3.
A
copy
of
the
form
of
the
evidence
of
coverage
to
be
18
used
in
this
state
and
any
amendment
shall
be
subject
to
the
19
filing
and
approval
requirements
of
this
section
unless
it
20
is
subject
to
the
jurisdiction
of
the
commissioner
under
the
21
laws
governing
health
insurance
or
corporations
authorized
22
under
chapter
514
in
which
event
the
filing
and
approval
23
provisions
of
such
laws
apply.
To
the
extent,
however,
that
24
those
provisions
are
less
strict
than
those
provided
under
this
25
section
,
then
the
requirements
of
this
section
shall
apply.
26
4.
Enrollees
shall
be
entitled
to
receive
the
most
recent
27
annual
statement
of
the
financial
condition
of
the
health
28
maintenance
organization
in
which
they
are
enrolled,
which
29
statement
shall
include
a
balance
sheet
and
summary
of
receipts
30
and
disbursements.
31
Sec.
120.
Section
515.35,
subsection
4,
paragraphs
a
and
e,
32
Code
2011,
are
amended
to
read
as
follows:
33
a.
United
States
government
obligations.
Obligations
34
issued
or
guaranteed
by
the
United
States
or
an
agency
or
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2328
instrumentality
of
the
United
States.
Bonds
or
other
evidences
1
of
indebtedness
issued,
assumed,
or
guaranteed
by
the
United
2
States
of
America,
or
by
any
agency
or
instrumentality
3
of
the
United
States
of
America
include
investments
in
an
4
open-end
management
investment
company
registered
with
the
5
federal
securities
and
exchange
commission
under
the
federal
6
Investment
Company
Act
of
1940,
15
U.S.C.
§
80a,
and
operated
7
in
accordance
with
17
C.F.R.
§
270.2a-7,
the
portfolio
of
8
which
is
limited
to
the
United
States
government
obligations
9
described
in
this
paragraph
“a”
,
and
which
are
included
in
the
10
national
association
of
insurance
commissioners’
securities
11
valuation
office’s
United
States
direct
obligation
–
full
faith
12
and
credit
list.
13
Bonds
or
other
evidences
of
indebtedness
issued,
assumed,
14
or
guaranteed
by
the
United
States
of
America,
or
by
any
15
agency
or
instrumentality
of
the
United
States
of
America
16
include
investments
in
an
open-end
management
investment
17
company
registered
with
the
federal
securities
and
exchange
18
commission
under
the
federal
Investment
Company
Act
of
1940,
19
15
U.S.C.
§
80a,
and
operated
in
accordance
with
17
C.F.R.
20
§
270.2a-7,
the
portfolio
of
which
is
limited
to
the
United
21
States
government
obligations
described
in
this
paragraph
“a”
,
22
and
which
are
included
in
the
national
association
of
insurance
23
commissioners’
securities
valuation
office’s
United
States
24
direct
obligation
–
full
faith
and
credit
list.
25
e.
Corporate
and
business
trust
obligations.
Obligations
26
issued,
assumed,
or
guaranteed
by
a
corporation
or
business
27
trust
organized
under
the
laws
of
the
United
States
or
a
state
28
of
the
United
States,
or
the
laws
of
Canada
or
a
province
of
29
Canada,
provided
that
a
company
shall
not
invest
more
than
five
30
percent
of
its
admitted
assets
in
the
obligations
of
any
one
31
corporation
or
business
trust.
Aggregate
investments
in
below
32
investment
grade
bonds
shall
not
exceed
five
percent
of
assets.
33
Aggregate
investments
in
below
investment
grade
bonds
shall
34
not
exceed
five
percent
of
assets.
35
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Sec.
121.
Section
515.35,
subsection
4,
paragraph
h,
1
subparagraph
(1),
Code
2011,
is
amended
to
read
as
follows:
2
(1)
(a)
Except
as
provided
in
subparagraphs
(2),
(3),
and
3
(4)
of
this
paragraph,
a
company
may
acquire,
hold,
and
convey
4
real
estate
only
as
follows:
5
(a)
(i)
Real
estate
mortgaged
to
it
in
good
faith
as
6
security
for
loans
previously
contracted,
or
for
moneys
due.
7
(b)
(ii)
Real
estate
conveyed
to
it
in
satisfaction
of
8
debts
previously
contracted
in
the
course
of
its
dealings.
9
(c)
(iii)
Real
estate
purchased
at
sales
on
judgments,
10
decrees,
or
mortgages
obtained
or
made
for
debts
previously
11
contracted
in
the
course
of
its
dealings.
12
(d)
(iv)
Real
estate
subject
to
a
contract
for
deed
under
13
which
the
company
holds
the
vendor’s
interest
to
secure
the
14
payments
the
vendee
is
required
to
make
under
the
contract.
15
(b)
All
real
estate
specified
in
subparagraph
divisions
16
(a),
(b),
and
(c)
division
(a),
subparagraph
subdivisions
(i),
17
(ii),
and
(iii)
shall
be
sold
and
disposed
of
within
three
18
years
after
the
company
acquires
title
to
it,
or
within
three
19
years
after
the
real
estate
ceases
to
be
necessary
for
the
20
accommodation
of
the
company’s
business,
and
the
company
shall
21
not
hold
any
of
those
properties
for
a
longer
period
unless
the
22
company
elects
to
hold
the
property
under
another
paragraph
of
23
this
section
,
or
unless
the
company
procures
a
certificate
from
24
the
commissioner
of
insurance
that
its
interest
will
suffer
25
materially
by
the
forced
sale
of
those
properties
and
that
the
26
time
for
the
sale
is
extended
to
the
time
the
commissioner
27
directs
in
the
certificate.
28
Sec.
122.
Section
515.35,
subsection
4,
paragraph
m,
Code
29
2011,
is
amended
to
read
as
follows:
30
m.
Venture
capital
funds.
Shares
or
equity
interests
in
31
venture
capital
funds
which
agree
to
invest
an
amount
equal
to
32
at
least
fifty
percent
of
the
investments
by
a
company
in
small
33
businesses
having
their
principal
offices
within
this
state
and
34
having
either
more
than
one-half
of
their
assets
within
this
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state
or
more
than
one-half
of
their
employees
employed
within
1
this
state.
A
company
shall
not
invest
more
than
five
percent
2
of
its
capital
and
surplus
under
this
paragraph.
For
purposes
3
of
this
paragraph,
“venture
capital
fund”
means
a
corporation,
4
partnership,
proprietorship,
or
other
entity
formed
under
the
5
laws
of
the
United
States,
or
a
state,
district,
or
territory
6
of
the
United
States,
whose
principal
business
is
or
will
be
7
the
making
of
investments
in,
and
the
provision
of
significant
8
managerial
assistance
to,
small
businesses
which
meet
the
small
9
business
administration
definition
of
small
business.
“Equity
10
interests”
means
limited
partnership
interests
and
other
equity
11
interests
in
which
liability
is
limited
to
the
amount
of
the
12
investment,
but
does
not
mean
general
partnership
interests
or
13
other
interests
involving
general
liability.
“Venture
capital
14
fund”
includes
an
equity
interest
in
the
Iowa
fund
of
funds
as
15
defined
in
section
15E.62.
16
“Venture
capital
fund”
includes
an
equity
interest
in
the
17
Iowa
fund
of
funds
as
defined
in
section
15E.62
.
18
Sec.
123.
Section
515B.9,
subsection
1,
Code
2011,
is
19
amended
to
read
as
follows:
20
1.
a.
Any
person
having
a
claim
under
an
insurance
policy,
21
and
the
claim
under
such
other
policy
alleges
the
same
damages
22
or
arises
from
the
same
facts,
injury,
or
loss
that
gives
rise
23
to
a
covered
claim
against
the
association,
shall
be
required
24
to
first
exhaust
all
coverage
provided
by
that
policy,
whether
25
such
coverage
is
on
a
primary,
excess,
or
pro
rata
basis
and
26
any
obligation
of
the
association
shall
not
be
considered
other
27
insurance.
28
(1)
Any
amount
payable
on
a
covered
claim
shall
be
reduced
29
by
the
full
applicable
limits
of
such
other
insurance
policy
30
and
the
association
shall
receive
full
credit
for
such
limits
31
or
where
there
are
no
applicable
limits,
the
claim
shall
be
32
reduced
by
the
total
recovery.
33
a.
(2)
A
policy
providing
liability
coverage
to
a
person
34
who
may
be
jointly
and
severally
liable
with,
or
a
joint
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tortfeasor
with,
the
person
covered
under
the
policy
of
the
1
insolvent
insurer
shall
be
first
exhausted
before
any
claim
is
2
made
against
the
association
and
the
association
shall
receive
3
credit
for
the
same
as
provided
above.
4
b.
For
purposes
of
this
section
,
an
insurance
policy
means
a
5
policy
issued
by
an
insurance
company,
whether
or
not
a
member
6
insurer,
which
policy
insures
any
of
the
types
of
risks
insured
7
by
an
insurance
company
authorized
to
write
insurance
under
8
chapter
515
,
516A
,
or
520
,
or
comparable
statutes
of
another
9
state,
except
those
types
of
risks
set
forth
in
chapters
508
10
and
514
.
11
Sec.
124.
Section
515E.2,
subsections
2,
6,
and
7,
Code
12
2011,
are
amended
to
read
as
follows:
13
2.
a.
“Completed
operations
liability”
means
liability
14
arising
out
of
the
installation,
maintenance,
or
repair
of
any
15
product
at
a
site
which
is
not
owned
or
controlled
by
either
of
16
the
following:
17
a.
(1)
A
person
who
performs
that
work.
18
b.
(2)
A
person
who
hires
an
independent
contractor
to
19
perform
that
work.
20
b.
However,
liability
for
activities
which
are
completed
or
21
abandoned
before
the
date
of
the
occurrence
giving
rise
to
the
22
liability
is
included.
23
6.
a.
“Liability”
means
legal
liability
for
damages,
24
including
costs
of
defense,
legal
costs
and
fees,
and
other
25
claims
expenses,
because
of
injuries
to
other
persons,
damage
26
to
their
property,
or
other
damage
or
loss
to
other
persons
27
resulting
from
or
arising
out
of
either
of
the
following:
28
a.
(1)
A
business,
whether
profit
or
nonprofit,
trade,
29
product,
services,
including
professional
services,
premises,
30
or
operations.
31
b.
(2)
An
activity
of
a
state
or
local
government,
or
an
32
agency
or
political
subdivision
of
state
or
local
government.
33
b.
“Liability”
does
not
include
personal
risk
liability
and
34
an
employer’s
liability
with
respect
to
its
employees
other
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than
an
employer’s
legal
liability
under
the
federal
Employers’
1
Liability
Act,
45
U.S.C.
§
51
et
seq.
2
7.
“Personal
risk
liability”
means
liability
for
damages
3
because
of
injury
to
a
person,
damage
to
property,
or
4
other
loss
or
damage
resulting
from
personal,
familial,
or
5
household
responsibilities
or
activities,
rather
than
from
6
responsibilities
or
activities
referred
to
in
subsection
6
,
7
paragraphs
“a”
and
“b”
paragraph
“a”
,
subparagraphs
(1)
and
(2)
.
8
Sec.
125.
Section
515E.4,
unnumbered
paragraphs
1
and
2,
9
Code
Supplement
2011,
are
amended
to
read
as
follows:
10
Risk
retention
groups
chartered
in
other
states
and
seeking
11
to
do
business
as
a
risk
retention
group
in
this
state
must
12
observe
and
abide
by
the
laws
of
this
state
as
provided
in
this
13
section
.
However,
a
risk
retention
group
failing
to
qualify
14
under
the
definitional
requirement
of
the
federal
Act,
will
not
15
benefit
from
this
exemption
from
state
law.
The
commissioner,
16
therefore,
may
apply
any
of
the
laws
that
otherwise
may
be
17
preempted
by
the
federal
Act
because
the
nonexempt
group
will
18
not
qualify
for
the
preemption.
19
However,
a
risk
retention
group
failing
to
qualify
under
20
the
definitional
requirement
of
the
federal
Act,
will
not
21
benefit
from
this
exemption
from
state
law.
The
commissioner,
22
therefore,
may
apply
any
of
the
laws
that
otherwise
may
be
23
preempted
by
the
federal
Act
because
the
nonexempt
group
will
24
not
qualify
for
the
preemption.
25
Sec.
126.
Section
515F.6,
subsection
3,
unnumbered
26
paragraph
2,
Code
2011,
is
amended
to
read
as
follows:
27
4.
If,
after
hearing,
the
commissioner
finds
that
the
28
filing
does
not
meet
the
requirements
of
this
chapter
,
the
29
commissioner
shall
issue
an
order
specifying
in
what
respects
30
the
filing
fails
to
meet
the
requirements
of
this
chapter
,
and
31
stating
when,
within
a
reasonable
period
after
the
order
is
32
issued,
the
filing
shall
no
longer
be
in
effect.
Copies
of
the
33
order
shall
be
sent
to
the
applicant
and
to
every
insurer
and
34
advisory
organization
which
made
that
filing.
The
order
shall
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not
affect
a
contract
or
policy
made
or
issued
prior
to
the
1
expiration
of
the
period
set
forth
in
the
order.
2
Sec.
127.
Section
516D.4,
Code
2011,
is
amended
to
read
as
3
follows:
4
516D.4
Collision
damage
and
loss.
5
1.
a.
A
rental
company
shall
not
hold,
or
attempt
to
hold,
6
an
authorized
driver
liable
for
physical
damage
to
a
rental
7
vehicle,
loss
due
to
theft
of
a
rental
vehicle,
or
damages
8
resulting
from
the
loss
of
use
of
a
rental
vehicle,
unless
the
9
rental
company
offers
the
customer
a
collision
damage
waiver
10
under
the
terms
and
conditions
described
in
subsection
2
of
11
this
section
,
or
unless
one
or
more
of
the
following
applies:
12
a.
(1)
The
damage
or
loss
is
caused
intentionally
by
an
13
authorized
driver
or
is
a
result
of
the
authorized
driver’s
14
willful,
abusive,
reckless,
or
wanton
misconduct.
15
b.
(2)
The
damage
or
loss
arises
out
of
the
authorized
16
driver’s
operation
of
the
rental
vehicle
while
intoxicated
or
17
under
the
influence
of
a
drug.
18
c.
(3)
The
damage
or
loss
is
caused
while
the
authorized
19
driver
is
engaged
in
a
race,
training
activity,
contest,
or
use
20
of
the
rental
vehicle
for
an
illegal
purpose.
21
d.
(4)
The
rental
agreement
is
based
on
false
or
misleading
22
information
supplied
by
the
customer
or
an
authorized
driver.
23
e.
(5)
The
damage
or
loss
is
caused
by
operating
the
24
rental
vehicle
other
than
on
regularly
maintained
hard
surface
25
roadways,
including
private
driveways
and
parking
lots.
26
f.
(6)
The
damage
or
loss
arises
out
of
the
use
of
the
27
rental
vehicle
to
transport
persons
or
property
for
hire
or
to
28
push
or
tow
anything.
29
g.
(7)
The
damage
or
loss
occurs
while
the
rental
vehicle
30
is
operated
by
a
driver
other
than
an
authorized
driver.
31
h.
(8)
The
damage
or
loss
arises
out
of
the
use
of
the
32
rental
vehicle
outside
the
continental
United
States
unless
33
such
use
is
specifically
authorized
by
the
rental
agreement.
34
i.
(9)
The
damage
or
loss
is
attributable
to
theft
which
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occurs
with
the
prior
knowledge
or
knowing
participation
of
an
1
authorized
driver,
or
which
is
attributable
to
the
authorized
2
driver
leaving
the
rental
vehicle
unattended
with
the
keys
in
3
the
rental
vehicle.
4
b.
This
section
does
not
alter
the
liability
of
a
customer
5
or
authorized
driver
for
bodily
injury
or
the
death
of
another
6
and
for
property
damage
other
than
to
the
rental
vehicle
in
7
accordance
with
the
rental
agreement.
This
section
does
not
8
prohibit
a
rental
company
from
accepting
or
negotiating
master
9
contracts
with
companies
or
government
entities
in
advance
of
10
need
whereby
the
companies
or
government
entities
specifically
11
agree
to
assume
liability
in
exchange
for
rate
concessions.
12
This
section
does
not
prohibit
a
rental
company
from
entering
13
into
agreements
with
insurance
companies
to
provide
replacement
14
vehicles
to
insurance
company
customers
whereby
the
insurance
15
company
agrees
to
assume
the
risk
of
loss.
16
c.
If
the
rental
vehicle
is
not
repaired,
damages
shall
not
17
exceed
the
fair
market
value
of
the
vehicle,
as
determined
in
18
the
customary
market
for
that
vehicle,
less
salvage
or
actual
19
sale
value,
plus
additional
license
and
tax
fees
incurred
20
because
of
the
sale,
plus
administrative
fees.
A
claim
shall
21
not
be
made
for
loss
of
use
if
the
rental
vehicle
is
not
22
repaired.
23
2.
a.
A
rental
company
may
offer
a
collision
damage
waiver
24
under
the
following
terms
and
conditions:
25
a.
(1)
All
restrictions,
conditions,
and
exclusions
must
26
be
printed
in
the
rental
agreement,
or
on
a
separate
sheet
or
27
document,
in
ten
point
type,
or
larger;
or
written
in
pen
and
28
ink
or
typewritten
in
or
on
the
face
of
the
rental
agreement
29
in
a
blank
space
provided
for
such
restrictions,
conditions,
30
and
exclusions.
The
rental
agreement
may
provide
that
the
31
collision
damage
waiver
may
be
voided
under
the
conditions
set
32
forth
in
subsection
1
,
paragraphs
“a”
through
“i”
paragraph
“a”
,
33
subparagraphs
(1)
through
(9)
.
34
b.
(2)
The
rental
agreement,
separate
sheet,
or
document
35
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must
clearly
and
conspicuously
state
both
the
daily
and
1
estimated
total
charge
for
the
collision
damage
waiver.
2
c.
(3)
(a)
The
rental
agreement,
separate
sheet,
or
3
document
given
to
the
customer
prior
to
entering
into
the
4
rental
agreement
must
display
in
ten
point
type,
or
larger,
the
5
following
notice:
6
NOTICE:
THIS
CONTRACT
OFFERS,
FOR
AN
ADDITIONAL
CHARGE,
7
A
COLLISION
DAMAGE
WAIVER
TO
COVER
ALL
OR
PART
OF
YOUR
8
RESPONSIBILITY
FOR
DAMAGE
TO
THE
RENTAL
VEHICLE.
9
BEFORE
DECIDING
WHETHER
TO
PURCHASE
THE
COLLISION
DAMAGE
10
WAIVER,
YOU
MAY
WISH
TO
DETERMINE
WHETHER
YOUR
OWN
AUTOMOBILE
11
INSURANCE
AFFORDS
YOU
COVERAGE
FOR
DAMAGE
TO
THE
RENTAL
VEHICLE
12
AND
THE
AMOUNT
OF
THE
DEDUCTIBLE
UNDER
YOUR
OWN
INSURANCE
13
COVERAGE.
THE
PURCHASE
OF
THIS
COLLISION
DAMAGE
WAIVER
IS
NOT
14
MANDATORY
AND
MAY
BE
DECLINED.
15
(b)
The
customer
must
separately
acknowledge
that
the
16
customer
received
the
above
notice,
that
the
customer
desires
17
to
purchase
the
collision
damage
waiver,
and
the
terms
of
the
18
collision
damage
waiver
to
which
the
customer
agrees.
19
d.
(4)
The
car
rental
company
shall
not
pay
commissions
to
20
a
rental
counter
agent
or
representative
for
selling
collision
21
damage
waivers
and
is
prohibited
from
considering
volume
of
22
sales
of
collision
damage
waivers
in
an
employee
evaluation
or
23
determination
of
promotion.
24
b.
However,
notwithstanding
whether
a
rental
company
25
offers
a
collision
damage
waiver
under
the
provisions
of
this
26
subsection
,
the
rental
company
shall
not
hold
an
authorized
27
driver
liable
for
damage
or
loss
due
to
theft
except
where
28
subsection
1
,
paragraph
“i”
“a”
,
subparagraph
(9)
applies.
29
Sec.
128.
Section
518C.3,
subsection
4,
paragraph
b,
Code
30
Supplement
2011,
is
amended
to
read
as
follows:
31
b.
(1)
“Covered
claim”
does
not
include
any
of
the
32
following:
33
(1)
(a)
An
amount
due
a
reinsurer,
insurer,
insurance
pool,
34
underwriting
association,
or
other
group
assuming
insurance
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risks,
as
subrogation,
contribution,
indemnity
recoveries,
or
1
otherwise.
2
(2)
(b)
An
amount
that
constitutes
the
portion
of
a
3
claim
that
is
within
an
insured’s
deductible
or
self-insured
4
retention.
5
(3)
(c)
A
fee
or
other
amount
relating
to
goods
or
services
6
sought
by
or
on
behalf
of
an
attorney,
adjuster,
witness,
or
7
other
provider
of
goods
or
services
retained
by
the
insolvent
8
insurer
or
by
an
insured
prior
to
the
date
the
insurer
was
9
declared
insolvent.
10
(4)
(d)
An
amount
that
constitutes
a
fine,
penalty,
11
interest,
or
punitive
or
exemplary
damages.
12
(5)
(e)
A
fee
or
other
amount
sought
by
or
on
behalf
of
13
an
attorney,
adjuster,
witness,
or
other
provider
of
goods
or
14
services
retained
by
the
insured
or
claimant
in
connection
with
15
the
assertion
of
any
claim,
covered
or
otherwise,
against
the
16
association.
17
(6)
(f)
A
claim
filed
with
the
association
or
with
a
18
liquidator
for
protection
afforded
under
the
insured’s
policy
19
or
contract
for
incurred
but
not
reported
losses
or
expenses.
20
(7)
(g)
An
amount
that
is
an
obligation
owed
to
or
on
21
behalf
of
an
affiliate
of,
as
defined
in
section
521A.1
,
an
22
insolvent
insurer.
23
(2)
Notwithstanding
subparagraphs
(1)
through
(7)
24
subparagraph
(1),
subparagraph
divisions
(a)
through
(g)
,
a
25
person
is
not
prevented
from
presenting
a
noncovered
claim
26
to
the
insolvent
insurer
or
its
liquidator.
However,
the
27
noncovered
claim
shall
not
be
asserted
against
any
other
28
person,
including
the
person
to
whom
benefits
were
paid
or
the
29
insured
of
the
insolvent
insurer,
except
to
the
extent
that
30
the
claim
is
outside
the
coverage
of
the
policy
issued
by
the
31
insolvent
insurer.
32
Sec.
129.
Section
521A.3,
subsections
1
and
2,
Code
2011,
33
are
amended
to
read
as
follows:
34
1.
Filing
requirements.
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a.
No
person
other
than
the
issuer
shall
make
a
tender
offer
1
for
or
a
request
or
invitation
for
tenders
of,
or
enter
into
2
any
agreement
to
exchange
securities
for,
seek
to
acquire,
or
3
acquire,
in
the
open
market
or
otherwise,
any
voting
security
4
of
a
domestic
insurer
if,
after
the
consummation
thereof,
5
such
person
would,
directly
or
indirectly,
or
by
conversion
6
or
by
exercise
of
any
right
to
acquire,
be
in
control
of
such
7
insurer,
and
no
person
shall
enter
into
an
agreement
to
merge
8
with
or
otherwise
to
acquire
control
of
a
domestic
insurer
9
unless,
at
the
time
any
such
offer,
request,
or
invitation
10
is
made
or
any
such
agreement
is
entered
into,
or
prior
to
11
the
acquisition
of
such
securities
if
no
offer
or
agreement
12
is
involved,
such
person
has
filed
with
the
commissioner
and
13
has
sent
to
such
insurer,
and
such
insurer
has
sent
to
its
14
shareholders,
a
statement
containing
the
information
required
15
by
this
section
and
such
offer,
request,
invitation,
agreement
16
or
acquisition
has
been
approved
by
the
commissioner
in
the
17
manner
hereinafter
prescribed.
18
b.
For
purposes
of
this
section
a
domestic
insurer
shall
19
include
any
other
person
controlling
a
domestic
insurer
unless
20
the
other
person
is
either
directly
or
through
its
affiliates
21
primarily
engaged
in
business
other
than
the
business
of
22
insurance.
However,
for
purposes
of
this
section
“person”
23
does
not
include
a
securities
broker
holding,
in
the
usual
and
24
customary
broker’s
function,
less
than
twenty
percent
of
the
25
voting
securities
of
an
insurance
company
or
of
a
person
which
26
controls
an
insurance
company.
27
2.
Content
of
statement.
28
a.
The
statement
to
be
filed
with
the
commissioner
hereunder
29
shall
be
made
under
oath
or
affirmation
and
shall
contain
the
30
following
information:
31
a.
(1)
The
name
and
address
of
each
person
by
whom
or
32
on
whose
behalf
the
merger
or
other
acquisition
of
control
33
referred
to
in
subsection
1
of
this
section
is
to
be
effected,
34
hereinafter
called
“acquiring
party”
.
35
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(1)
(a)
If
such
person
is
an
individual,
the
individual’s
1
principal
occupation
and
all
offices
and
positions
held
during
2
the
past
five
years,
and
any
conviction
of
crimes
other
than
3
minor
traffic
violations
during
the
past
ten
years.
4
(2)
(b)
If
such
person
is
not
an
individual,
a
report
5
of
the
nature
of
its
business
operations
during
the
past
6
five
years
or
for
such
lesser
period
as
such
person
and
7
any
predecessors
thereof
shall
have
been
in
existence;
an
8
informative
description
of
the
business
intended
to
be
done
9
by
such
person
and
such
person’s
subsidiaries;
and
a
list
of
10
all
individuals
who
are
or
who
have
been
selected
to
become
11
directors
or
executive
officers
of
such
person,
or
who
perform
12
or
will
perform
functions
appropriate
to
such
positions.
Such
13
list
shall
include
for
each
such
individual
the
information
14
required
by
subparagraph
(1)
of
this
paragraph
division
(a)
.
15
b.
(2)
The
source,
nature
and
amount
of
the
consideration
16
used
or
to
be
used
in
effecting
the
merger
or
other
acquisition
17
of
control,
a
description
of
any
transaction
in
which
funds
18
were
or
are
to
be
obtained
for
any
such
purpose
including
a
19
pledge
of
the
insurer’s
stock,
or
the
stock
of
any
of
its
20
subsidiaries
or
controlling
affiliates,
and
the
identity
of
21
persons
furnishing
the
consideration.
However,
if
a
source
22
of
the
consideration
is
a
loan
made
in
the
lender’s
ordinary
23
course
of
business,
the
identity
of
the
lender
shall
remain
24
confidential,
if
the
person
filing
the
statement
so
requests.
25
c.
(3)
Fully
audited
financial
information
as
to
the
26
earnings
and
financial
condition
of
each
acquiring
party
for
27
the
preceding
five
fiscal
years
of
each
such
acquiring
party,
28
or
for
such
lesser
period
as
such
acquiring
party
and
any
29
predecessors
thereof
shall
have
been
in
existence,
and
similar
30
unaudited
information
as
of
a
date
not
earlier
than
ninety
days
31
prior
to
the
filing
of
the
statement.
32
d.
(4)
Any
plans
or
proposals
which
each
acquiring
party
33
may
have
to
liquidate
such
insurer,
to
sell
its
assets
or
34
merge
or
consolidate
it
with
any
person,
or
to
make
any
other
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material
change
in
its
business
or
corporate
structure
or
1
management.
2
e.
(5)
The
number
of
shares
of
any
security
referred
to
3
in
subsection
1
of
this
section
which
each
acquiring
party
4
proposes
to
acquire,
and
the
terms
of
the
offer,
request,
5
invitation,
agreement,
or
acquisition
referred
to
in
subsection
6
1
of
this
section
,
and
a
statement
as
to
the
method
by
which
the
7
fairness
of
the
proposal
was
arrived
at.
8
f.
(6)
The
amount
of
each
class
of
any
security
referred
9
to
in
subsection
1
of
this
section
which
is
beneficially
owned
10
or
concerning
which
there
is
a
right
to
acquire
beneficial
11
ownership
by
each
acquiring
party.
12
g.
(7)
A
full
description
of
any
contracts,
arrangements
13
or
understandings
with
respect
to
any
security
referred
to
14
in
subsection
1
of
this
section
in
which
any
acquiring
party
15
is
involved,
including
but
not
limited
to
transfer
of
any
of
16
the
securities,
joint
ventures,
loan
or
option
arrangements,
17
puts
or
calls,
guarantees
of
loans,
guarantees
against
loss
18
or
guarantees
of
profits,
division
of
losses
or
profits,
or
19
the
giving
or
withholding
of
proxies.
Such
description
shall
20
identify
the
persons
with
whom
such
contracts,
arrangements
or
21
understandings
have
been
entered
into.
22
h.
(8)
A
description
of
the
purchase
of
any
security
23
referred
to
in
subsection
1
of
this
section
during
the
twelve
24
calendar
months
preceding
the
filing
of
the
statement,
by
any
25
acquiring
party,
including
the
dates
of
purchase,
names
of
26
the
purchasers,
and
consideration
paid
or
agreed
to
be
paid
27
therefor.
28
i.
(9)
A
description
of
any
recommendations
to
purchase
29
any
security
referred
to
in
subsection
1
of
this
section
made
30
during
the
twelve
calendar
months
preceding
the
filing
of
the
31
statement,
by
any
acquiring
party,
or
by
anyone
based
upon
32
interview
or
at
the
suggestion
of
such
acquiring
party.
33
j.
(10)
Copies
of
all
tender
offers
for,
requests
or
34
invitations
for
tenders
of,
exchange
offers
for,
and
agreements
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to
acquire
or
exchange
any
securities
referred
to
in
subsection
1
1
of
this
section
,
and,
if
distributed,
of
additional
2
soliciting
material
relating
thereto.
3
k.
(11)
The
terms
of
any
agreement,
contract
or
4
understanding
made
with
any
broker-dealer
as
to
solicitation
5
of
securities
referred
to
in
subsection
1
of
this
section
6
for
tender,
and
the
amount
of
any
fees,
commissions
or
other
7
compensation
to
be
paid
to
broker-dealers
with
regard
thereto.
8
l.
(12)
Additional
information
as
the
commissioner
may
by
9
rule
prescribe
as
necessary
or
appropriate
for
the
protection
10
of
policyholders
of
the
insurer
or
in
the
public
interest.
11
b.
If
the
person
required
to
file
the
statement
referred
12
to
in
subsection
1
of
this
section
is
a
partnership,
limited
13
partnership,
syndicate
or
other
group,
the
commissioner
may
14
require
that
the
information
called
for
by
paragraphs
“a”
15
through
“l”
of
this
subsection
paragraph
“a”
,
subparagraphs
16
(1)
through
(12)
shall
be
given
with
respect
to
each
partner
17
of
such
partnership
or
limited
partnership,
each
member
of
18
such
syndicate
or
group,
and
each
person
who
controls
such
19
partner
or
member.
If
any
such
partner,
member
or
person
is
20
a
corporation
or
the
person
required
to
file
the
statement
21
referred
to
in
subsection
1
of
this
section
is
a
corporation,
22
the
commissioner
may
require
that
the
information
called
for
23
by
paragraphs
“a”
through
“l”
of
this
subsection
paragraph
24
“a”
,
subparagraphs
(1)
through
(12)
shall
be
given
with
25
respect
to
such
corporation,
each
officer
and
director
of
such
26
corporation,
and
each
person
who
is
directly
or
indirectly
the
27
beneficial
owner
of
more
than
ten
percent
of
the
outstanding
28
voting
securities
of
such
corporation.
If
any
material
change
29
occurs
in
the
facts
set
forth
in
the
statement
filed
with
the
30
commissioner
and
sent
to
such
insurer
pursuant
to
this
section
,
31
an
amendment
setting
forth
such
change,
together
with
copies
of
32
all
documents
and
other
material
relevant
to
such
change,
shall
33
be
filed
with
the
commissioner
and
sent
to
such
insurer
within
34
two
business
days
after
the
person
learns
of
such
change.
Such
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insurer
shall
send
such
amendment
to
its
shareholders.
1
Sec.
130.
Section
521B.2,
unnumbered
paragraph
1,
Code
2
2011,
is
amended
to
read
as
follows:
3
Credit
for
reinsurance
is
allowed
a
domestic
ceding
insurer
4
as
either
an
asset
or
a
deduction
from
liability
on
account
of
5
reinsurance
ceded
only
if
the
reinsurer
meets
the
requirements
6
of
subsection
1,
2,
3,
4,
or
5
.
If
the
reinsurer
meets
7
the
requirements
of
subsection
3
or
4
,
the
requirements
of
8
subsection
6
must
also
be
met.
This
section
does
not
apply
to
9
reinsurance
ceded
and
assumed
pursuant
to
pooling
arrangements
10
among
insurers
in
the
same
holding
company
system.
11
Sec.
131.
Section
521B.2,
subsection
2,
Code
2011,
is
12
amended
to
read
as
follows:
13
2.
a.
Credit
is
allowed
if
the
reinsurance
is
ceded
to
an
14
assuming
insurer
which
is
accredited
as
a
reinsurer
in
this
15
state.
An
accredited
reinsurer
is
one
which
satisfies
all
of
16
the
following
conditions:
17
a.
(1)
Files
with
the
commissioner
evidence
of
submission
18
to
the
jurisdiction
of
this
state.
19
b.
(2)
Submits
to
the
authority
of
this
state
to
examine
20
its
books
and
records.
21
c.
(3)
Is
licensed
to
transact
reinsurance
in
at
least
one
22
state,
or
in
the
case
of
a
United
States
branch
of
an
alien
23
assuming
insurer,
is
entered
through
and
licensed
to
transact
24
the
business
of
reinsurance
in
at
least
one
state.
25
d.
(4)
Files
annually
with
the
commissioner
a
copy
of
26
its
annual
statement
filed
with
the
insurance
department
of
27
its
state
of
domicile
and
a
copy
of
its
most
recent
audited
28
financial
statement
and
does
either
of
the
following:
29
(1)
(a)
Maintains
a
surplus
with
respect
to
policyholders
30
in
an
amount
which
is
not
less
than
twenty
million
dollars
and
31
whose
accreditation
has
not
been
denied
by
the
commissioner
32
within
ninety
days
of
its
submission
to
the
jurisdiction
of
33
this
state.
34
(2)
(b)
Maintains
a
surplus
with
respect
to
policyholders
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in
an
amount
less
than
twenty
million
dollars
and
whose
1
accreditation
has
been
approved
by
the
commissioner.
Credit
2
shall
not
be
allowed
a
domestic
ceding
insurer,
if
the
3
accreditation
of
the
assuming
insurer
is
revoked
by
the
4
commissioner
after
notice
and
hearing.
5
b.
To
qualify
as
an
accredited
reinsurer,
an
assuming
6
insurer
must
meet
all
of
the
requirements
and
the
standards
7
set
forth
in
this
subsection
.
If
the
commissioner
determines
8
that
the
assuming
insurer
has
failed
to
continue
to
meet
any
9
of
these
requirements
or
standards,
the
commissioner
may
upon
10
written
notice
and
hearing
revoke
accreditation
of
the
assuming
11
insurer.
12
This
section
does
not
apply
to
reinsurance
ceded
and
assumed
13
pursuant
to
pooling
arrangements
among
insurers
in
the
same
14
holding
company
system.
15
Sec.
132.
Section
521C.3,
subsection
5,
Code
2011,
is
16
amended
to
read
as
follows:
17
5.
a.
The
commissioner
may
refuse
to
issue
a
reinsurance
18
intermediary
license
if,
in
the
commissioner’s
judgment,
any
of
19
the
following
conditions
are
present:
20
a.
(1)
The
applicant,
anyone
named
in
the
application,
or
21
any
member,
principal,
officer,
or
director
of
the
applicant,
22
is
not
trustworthy.
23
b.
(2)
A
controlling
person
of
such
applicant
is
not
24
trustworthy
to
act
as
a
reinsurance
intermediary.
25
c.
(3)
Conditions
present
in
paragraph
“a”
or
“b”
26
subparagraph
(1)
or
(2)
have
given
cause
for
revocation
or
27
suspension
of
a
license,
or
a
person
referred
to
in
paragraph
28
“a”
or
“b”
subparagraph
(1)
or
(2)
has
failed
to
comply
with
any
29
prerequisite
for
the
issuance
of
a
license.
30
b.
Upon
written
request,
the
commissioner
shall
furnish
a
31
written
summary
of
the
basis
for
refusal
to
issue
a
license,
32
which
document
is
privileged
and
not
subject
to
disclosure
33
under
chapter
22
.
34
Sec.
133.
Section
521D.4,
subsection
3,
Code
2011,
is
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amended
to
read
as
follows:
1
3.
a.
A
report
required
to
be
filed
pursuant
to
this
2
chapter
is
to
be
filed
regardless
of
who
has
initiated
the
3
nonrenewal,
cancellation,
or
revision
of
the
ceded
reinsurance
4
agreement
whenever
one
or
more
of
the
following
conditions
5
exist:
6
a.
(1)
The
entire
cession
has
been
canceled,
nonrenewed,
7
or
revised
and
ceded
indemnity
and
loss
adjustment
expense
8
reserves,
after
any
nonrenewal,
cancellation,
or
revision,
9
represent
less
than
fifty
percent
of
the
comparable
reserves
10
that
would
have
been
ceded
had
the
nonrenewal,
cancellation,
or
11
revision
not
occurred.
12
b.
(2)
An
authorized
or
accredited
reinsurer
has
been
13
replaced
on
an
existing
cession
by
an
unauthorized
reinsurer.
14
c.
(3)
Collateral
requirements
previously
established
for
15
unauthorized
reinsurers
have
been
reduced.
16
b.
Subject
to
the
materiality
criteria,
for
purposes
of
17
paragraphs
“b”
and
“c”
paragraph
“a”
,
subparagraphs
(2)
and
(3)
,
18
a
report
shall
be
filed
if
the
result
of
the
revision
affects
19
more
than
ten
percent
of
the
cession.
20
Sec.
134.
Section
524.605,
Code
2011,
is
amended
to
read
as
21
follows:
22
524.605
Liability
of
directors
in
certain
cases.
23
1.
In
addition
to
any
other
liabilities
imposed
by
law
upon
24
directors
of
a
state
bank:
25
1.
a.
Directors
of
a
state
bank
who
vote
for
or
assent
26
to
the
declaration
of
any
dividend
or
other
distribution
of
27
the
assets
of
a
state
bank
to
its
shareholders
in
willful
or
28
negligent
violation
of
the
provisions
of
this
chapter
or
of
29
any
restrictions
contained
in
the
articles
of
incorporation,
30
shall
be
jointly
and
severally
liable
to
the
state
bank
for
31
the
amount
of
such
dividend
which
is
paid
or
the
value
of
32
such
assets
which
are
distributed
in
excess
of
the
amount
33
of
such
dividend
or
distribution
which
could
have
been
34
paid
or
distributed
without
a
violation
of
the
provisions
35
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of
this
chapter
or
of
the
restrictions
in
the
articles
of
1
incorporation.
2
2.
b.
The
directors
of
a
state
bank
who
vote
for
or
3
assent
to
any
distribution
of
assets
of
a
state
bank
to
its
4
shareholders
during
the
dissolution
of
the
state
bank
without
5
the
payment
and
discharge
of,
or
making
adequate
provision
for,
6
all
known
debts,
obligations,
and
liabilities
of
the
state
bank
7
shall
be
jointly
and
severally
liable
to
the
state
bank
for
the
8
value
of
such
assets
which
are
distributed,
to
the
extent
that
9
such
debts,
obligations
and
liabilities
of
the
state
bank
are
10
not
thereafter
paid
and
discharged.
11
3.
c.
The
directors
of
a
state
bank
who,
willfully
or
12
negligently,
vote
for
or
assent
to
loans
or
extensions
of
13
credit
in
violation
of
the
provisions
of
this
chapter
,
shall
be
14
jointly
and
severally
liable
to
the
state
bank
for
the
total
15
amount
of
any
loss
sustained.
16
4.
d.
The
directors
of
a
state
bank
who,
willfully
or
17
negligently,
vote
for
or
assent
to
any
investment
of
funds
of
18
the
state
bank
in
violation
of
the
provisions
of
this
chapter
19
shall
be
jointly
and
severally
liable
to
the
state
bank
for
the
20
amount
of
any
loss
sustained
on
such
investment.
21
2.
A
director
of
a
state
bank
who
is
present
at
a
meeting
22
of
its
board
of
directors
at
which
action
on
any
matter
is
23
taken
shall
be
presumed
to
have
assented
to
the
action
taken
24
unless
the
director’s
dissent
shall
be
entered
in
the
minutes
25
of
the
meeting
or
unless
the
director
shall
file
the
director’s
26
written
dissent
to
such
action
with
the
individual
acting
as
27
the
secretary
of
the
meeting
before
the
adjournment
thereof
or
28
shall
forward
such
dissent
by
registered
or
certified
mail
to
29
the
cashier
of
the
state
bank
promptly
after
the
adjournment
30
of
the
meeting.
Such
right
to
dissent
shall
not
apply
to
a
31
director
who
voted
in
favor
of
such
action.
32
3.
A
director
shall
not
be
liable
under
subsection
1,
2,
33
3,
or
4
of
this
section
paragraph
“a”
,
“b”
,
“c”
,
or
“d”
if
34
the
director
relied
and
acted
in
good
faith
upon
information
35
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represented
to
the
director
to
be
correct
by
an
officer
or
1
officers
of
such
state
bank
or
stated
in
a
written
report
by
a
2
certified
public
accountant
or
firm
of
such
accountants.
No
3
director
shall
be
deemed
to
be
negligent
within
the
meaning
4
of
this
section
if
the
director
in
good
faith
exercised
that
5
diligence,
care
and
skill
which
an
ordinarily
prudent
person
6
would
exercise
as
a
director
under
similar
circumstances.
7
4.
Any
director
against
whom
a
claim
shall
be
asserted
under
8
or
pursuant
to
this
section
for
the
payment
of
a
dividend
or
9
other
distribution
of
assets
of
a
state
bank
and
who
shall
be
10
held
liable
thereon,
shall
be
entitled
to
contribution
from
11
the
shareholders
who
accepted
or
received
any
such
dividend
or
12
assets,
knowing
such
dividend
or
distribution
to
have
been
made
13
in
violation
of
the
provisions
of
this
chapter
,
in
proportion
14
to
the
amounts
received
by
them
respectively.
Further,
any
15
director
against
whom
a
claim
shall
be
asserted
pursuant
to
16
this
section
for
the
payment
of
any
liability
imposed
by
this
17
section
shall
be
entitled
to
contribution
from
any
director
18
found
to
be
similarly
liable.
19
5.
Whenever
the
superintendent
deems
it
necessary
the
20
superintendent
may
require,
after
affording
an
opportunity
for
21
a
hearing
upon
adequate
notice,
that
a
director
or
directors
22
whom
the
superintendent
reasonably
believes
to
be
liable
to
23
a
state
bank
pursuant
to
subsection
1,
2,
3,
or
4
of
this
24
section
paragraph
“a”
,
“b”
,
“c”
,
or
“d”
,
to
place
in
an
escrow
25
account
in
an
insured
bank
located
in
this
state,
as
directed
26
by
the
superintendent,
an
amount
sufficient
to
discharge
any
27
liability
which
may
accrue
pursuant
to
subsection
1,
2,
3,
28
or
4
of
this
section
paragraph
“a”
,
“b”
,
“c”
,
or
“d”
.
The
29
amount
so
deposited
shall
be
paid
over
to
the
state
bank
by
30
the
superintendent
upon
final
determination
of
the
amount
of
31
such
liability.
Any
portion
of
the
escrow
account
which
is
not
32
necessary
to
meet
such
liability
shall
be
repaid
on
a
pro
rata
33
basis
to
the
directors
who
contributed
to
the
fund.
34
6.
Any
action
seeking
to
impose
liability
under
this
35
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section
,
other
than
liability
for
contribution,
shall
be
1
commenced
only
within
five
years
of
the
action
complained
of
2
and
not
thereafter.
3
Sec.
135.
Section
524.901,
subsection
7,
Code
2011,
is
4
amended
to
read
as
follows:
5
7.
a.
A
state
bank,
upon
the
approval
of
the
6
superintendent,
may
invest
up
to
five
percent
of
its
aggregate
7
capital
in
the
shares
or
equity
interests
of
any
of
the
8
following:
9
a.
(1)
Economic
development
corporations
organized
under
10
chapter
496B
to
the
extent
authorized
by
and
subject
to
the
11
limitations
of
that
chapter.
12
b.
(2)
Community
development
corporations
or
community
13
development
projects
to
the
same
extent
a
national
bank
may
14
invest
in
such
corporations
or
projects
pursuant
to
12
U.S.C.
15
§
24.
16
c.
(3)
Small
business
investment
companies
as
defined
by
17
the
laws
of
the
United
States.
18
d.
(4)
Venture
capital
funds
which
invest
an
amount
equal
19
to
at
least
fifty
percent
of
a
state
bank’s
investment
in
small
20
businesses
having
their
principal
offices
within
this
state
and
21
having
either
more
than
one-half
of
their
assets
within
this
22
state
or
more
than
one-half
of
their
employees
employed
within
23
this
state.
24
e.
(5)
Small
businesses
having
a
principal
office
within
25
this
state
and
having
either
more
than
one-half
of
their
assets
26
within
this
state
or
more
than
one-half
of
their
employees
27
employed
within
this
state.
An
investment
by
a
state
bank
28
in
a
small
business
under
this
paragraph
subparagraph
shall
29
be
included
with
the
obligations
of
the
small
business
to
30
the
state
bank
that
are
incurred
as
a
result
of
the
exercise
31
by
the
state
bank
of
the
powers
conferred
in
section
524.902
32
for
the
purpose
of
determining
the
total
obligations
of
the
33
small
business
pursuant
to
section
524.904
.
A
state
bank’s
34
equity
interest
investment
in
a
small
business,
pursuant
to
35
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2328
this
paragraph
subparagraph
,
shall
not
exceed
a
twenty
percent
1
ownership
interest
in
the
small
business.
2
f.
(6)
Other
entities,
acceptable
to
the
superintendent,
3
whose
sole
purpose
is
to
promote
economic
or
civic
developments
4
within
a
community
or
this
state.
5
b.
A
state
bank’s
total
investment
in
any
combination
of
6
the
shares
or
equity
interests
of
the
entities
identified
7
in
paragraphs
“a”
through
“f”
paragraph
“a”
,
subparagraphs
8
(1)
through
(6)
shall
be
limited
to
fifteen
percent
of
its
9
aggregate
capital.
10
c.
For
purposes
of
this
subsection:
11
(1)
The
term
“equity
interests”
means
limited
partnership
12
interests
and
other
equity
interests
in
which
liability
is
13
limited
to
the
amount
of
the
investment,
but
does
not
mean
14
general
partnership
interests
or
other
interests
involving
15
general
liability.
16
(2)
The
term
“small
business”
means
a
corporation,
17
partnership,
proprietorship,
or
other
entity
which
meets
18
the
appropriate
United
States
small
business
administration
19
definition
of
small
business
and
which
is
principally
engaged
20
in
the
development
or
exploitation
of
inventions,
technological
21
improvements,
new
processes,
or
other
products
not
previously
22
generally
available
in
this
state,
or
other
investments
which
23
provide
an
economic
benefit
to
the
state.
24
(3)
For
purposes
of
this
subsection
,
the
The
term
“venture
25
capital
fund”
means
a
corporation,
partnership,
proprietorship,
26
or
other
entity
whose
principal
business
is
or
will
be
the
27
making
of
investments
in,
and
the
providing
of
significant
28
managerial
assistance
to,
small
businesses.
The
term
“small
29
business”
means
a
corporation,
partnership,
proprietorship,
or
30
other
entity
which
meets
the
appropriate
United
States
small
31
business
administration
definition
of
small
business
and
which
32
is
principally
engaged
in
the
development
or
exploitation
of
33
inventions,
technological
improvements,
new
processes,
or
other
34
products
not
previously
generally
available
in
this
state,
or
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other
investments
which
provide
an
economic
benefit
to
the
1
state.
The
term
“equity
interests”
means
limited
partnership
2
interests
and
other
equity
interests
in
which
liability
is
3
limited
to
the
amount
of
the
investment,
but
does
not
mean
4
general
partnership
interests
or
other
interests
involving
5
general
liability.
6
Sec.
136.
Section
527.7,
Code
2011,
is
amended
to
read
as
7
follows:
8
527.7
Records
maintained.
9
1.
All
transactions
engaged
in
through
a
satellite
terminal
10
shall
be
recorded
in
a
form
from
which
it
will
be
possible
11
to
produce
a
humanly
readable
record
of
any
transaction,
and
12
these
recordings
shall
be
retained
by
the
utilizing
financial
13
institutions
for
the
periods
required
by
law.
14
2.
The
machine
receipt
provided
to
a
satellite
account
15
transaction
card
user
by
a
satellite
terminal
shall
be
16
admissible
as
evidence
in
any
legal
action
or
proceeding
and
17
shall
constitute
prima
facie
proof
of
the
transaction
evidence
18
by
that
receipt.
19
3.
A
financial
institution
shall
provide
each
of
its
20
satellite
account
holders
with
a
periodic
account
statement
21
that
shall
contain
a
brief
description
of
all
satellite
22
terminal
transactions
sufficient
to
enable
the
account
holder
23
to
identify
any
transaction
and
to
relate
it
to
machine
24
receipts
provided
by
satellite
terminals.
25
4.
When
a
periodic
account
statement
includes
both
26
satellite
terminal
transactions
and
other
nonsatellite
terminal
27
transactions,
all
satellite
terminal
transactions
shall
be
28
indicated
as
such,
and
shall
be
accompanied
by
the
description
29
required
by
this
subsection
3
.
30
5.
The
administrator
may
provide
by
rule
for
the
recording
31
and
maintenance,
by
any
financial
institution
utilizing
a
32
satellite
terminal,
of
amounts
involved
in
a
transaction
33
engaged
in
through
the
satellite
terminal
which
are
of
a
known
34
tax
consequence
to
the
customer
initiating
the
transaction.
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For
the
purpose
of
this
paragraph
subsection,
“known
tax
1
consequences”
means
and
includes
but
shall
not
be
limited
to
the
2
following:
3
1.
a.
An
amount
directly
or
indirectly
received
from
a
4
customer
and
applied
to
a
loan
account
of
the
customer
which
5
represents
interest
paid
by
the
customer
to
the
financial
6
institution.
7
2.
b.
In
any
transaction
where
the
total
amount
involved
8
is
deducted
from
funds
in
a
customer’s
account
and
is
9
simultaneously
paid
either
directly
or
indirectly
by
the
10
financial
institution
to
the
account
of
a
third
party,
any
11
portion
of
the
transaction
amount
which
represents
a
sales
or
12
other
tax
imposed
upon
or
included
within
the
transaction
and
13
collected
by
that
third
party
from
the
customer,
or
any
portion
14
of
the
transaction
amount
which
represents
interest
paid
to
the
15
third
party
by
the
customer.
16
3.
c.
Any
other
transaction
which
the
administrator
17
determines
to
have
direct
tax
consequences
to
the
customer.
18
The
administrator
also
may
provide
for
the
periodic
19
distribution
to
customers
of
summaries
of
transactions
having
20
known
tax
consequences.
21
Sec.
137.
Section
527.9,
subsection
2,
Code
2011,
is
amended
22
to
read
as
follows:
23
2.
a.
A
person
desiring
to
operate
a
central
routing
unit
24
shall
submit
to
the
administrator
an
application
which
shall
25
contain
all
of
the
following
information:
26
a.
(1)
The
name
and
business
address
of
the
owner
of
the
27
proposed
unit.
28
b.
(2)
The
name
and
business
address
of
each
data
29
processing
center
and
other
central
routing
unit
with
which
30
the
proposed
central
routing
unit
will
have
direct
electronic
31
communication.
32
c.
(3)
The
location
of
the
proposed
central
routing
unit.
33
d.
(4)
A
schedule
of
the
charges
which
will
be
required
to
34
be
paid
to
that
applicant
by
each
financial
institution
which
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utilizes
the
proposed
central
routing
unit.
1
The
application
shall
be
accompanied
by
all
agreements
2
between
the
proposed
central
routing
unit
and
all
data
3
processing
centers
and
other
central
routing
units
respecting
4
the
transmission
of
transaction
data;
and
a
copy
of
any
5
agreement
between
the
proposed
central
routing
unit
and
6
any
financial
institution
establishing
a
satellite
terminal
7
unless
that
agreement
theretofore
has
been
filed
with
the
8
administrator
pursuant
to
section
527.5
.
9
e.
(5)
An
agreement
by
the
applicant
that
the
proposed
10
central
routing
unit
will
be
capable
of
accepting
and
routing,
11
and
will
be
operated
to
accept
and
route,
transmissions
of
data
12
originating
at
any
satellite
terminal
located
in
this
state,
13
except
limited-function
terminals,
whether
receiving
from
that
14
terminal
or
from
a
data
processing
center
or
other
central
15
routing
unit.
16
f.
(6)
A
representation
and
undertaking
that
the
proposed
17
central
routing
unit
is
directly
connected
to
every
data
18
processing
center
that
is
directly
connected
to
a
satellite
19
terminal
located
in
this
state,
and
that
the
proposed
central
20
routing
unit
will
provide
for
direct
connection
in
the
21
future
with
any
data
processing
center
that
becomes
directly
22
connected
to
a
satellite
terminal
located
in
this
state.
This
23
representation
and
undertaking
is
not
required
of
a
central
24
routing
unit
with
respect
to
limited-function
terminals.
25
b.
The
application
shall
be
accompanied
by
all
agreements
26
between
the
proposed
central
routing
unit
and
all
data
27
processing
centers
and
other
central
routing
units
respecting
28
the
transmission
of
transaction
data;
and
a
copy
of
any
29
agreement
between
the
proposed
central
routing
unit
and
30
any
financial
institution
establishing
a
satellite
terminal
31
unless
that
agreement
theretofore
has
been
filed
with
the
32
administrator
pursuant
to
section
527.5.
33
Sec.
138.
Section
533.102,
subsection
3,
Code
2011,
is
34
amended
to
read
as
follows:
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3.
a.
“Credit
union”
means
a
cooperative,
nonprofit
1
association,
organized
or
incorporated
in
accordance
with
the
2
provisions
of
this
chapter
or
under
the
laws
of
another
state
3
or
the
Federal
Credit
Union
Act,
12
U.S.C.
§
1751
et
seq.,
4
for
the
purposes
of
creating
a
source
of
credit
at
a
fair
and
5
reasonable
rate
of
interest,
of
encouraging
habits
of
thrift
6
among
its
members,
and
of
providing
an
opportunity
for
its
7
members
to
use
and
control
their
own
money
on
a
democratic
8
basis
in
order
to
improve
their
economic
and
social
condition.
9
b.
A
credit
union
“credit
union”
is
also
a
supervised
10
financial
organization
as
that
term
is
defined
and
used
in
11
chapter
537
,
the
Iowa
consumer
credit
code.
12
Sec.
139.
Section
536A.10,
Code
2011,
is
amended
to
read
as
13
follows:
14
536A.10
Issuance
of
license.
15
1.
If
the
superintendent
shall
find:
16
1.
a.
That
the
financial
responsibility,
experience,
17
character
and
general
fitness
of
the
applicant
and
of
the
18
officers
thereof
are
such
as
to
command
the
confidence
of
the
19
community,
and
to
warrant
the
belief
that
the
business
will
be
20
operated
honestly,
fairly
and
efficiently
within
the
purpose
of
21
this
chapter
;
22
2.
b.
That
a
reasonable
necessity
exists
for
a
new
23
industrial
loan
company
in
the
community
to
be
served;
24
3.
c.
That
the
applicant
has
available
for
the
operation
25
of
the
business
at
the
specified
location
paid-in
capital
and
26
surplus
as
required
by
section
536A.8
;
and
27
4.
d.
That
the
applicant
is
a
corporation
organized
for
28
pecuniary
profit
under
the
laws
of
the
state
of
Iowa.
29
2.
The
superintendent
shall
approve
the
application
and
30
issue
to
the
applicant
a
license
to
engage
in
the
industrial
31
loan
business
in
accordance
with
the
provisions
of
this
32
chapter
.
The
superintendent
shall
approve
or
deny
an
33
application
for
a
license
within
one
hundred
twenty
days
from
34
the
date
of
the
filing
of
such
application.
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Sec.
140.
Section
542B.2,
Code
2011,
is
amended
to
read
as
1
follows:
2
542B.2
Terms
defined.
3
As
used
in
the
chapter,
unless
the
context
otherwise
4
requires:
5
1.
The
“board”
“Board”
means
the
engineering
and
land
6
surveying
examining
board
provided
by
this
chapter
.
7
2.
“Design
coordination”
includes
the
review
and
8
coordination
of
technical
submissions
prepared
by
others,
9
including
as
appropriate
and
without
limitation,
consulting
10
engineers,
architects,
landscape
architects,
land
surveyors,
11
and
other
professionals
working
under
the
direction
of
the
12
engineer.
13
2.
The
term
“engineering
documents”
as
used
in
this
chapter
14
includes
all
plans,
specifications,
drawings,
and
reports,
if
15
the
preparation
of
such
documents
constitutes
or
requires
the
16
practice
of
engineering.
17
3.
The
term
“engineer
intern”
as
used
in
this
chapter
18
“Engineer
intern”
means
a
person
who
passes
an
examination
in
19
the
fundamental
engineering
subjects,
but
does
not
entitle
the
20
person
to
claim
to
be
a
professional
engineer.
21
4.
“Engineering
documents”
includes
all
plans,
22
specifications,
drawings,
and
reports,
if
the
preparation
23
of
such
documents
constitutes
or
requires
the
practice
of
24
engineering.
25
5.
“Engineering
surveys”
includes
all
survey
activities
26
required
to
support
the
sound
conception,
planning,
design,
27
construction,
maintenance,
and
operation
of
engineered
28
projects,
but
excludes
the
surveying
of
real
property
for
the
29
establishment
of
land
boundaries,
rights-of-way,
easements,
and
30
the
dependent
or
independent
surveys
or
resurveys
of
the
public
31
land
survey
system.
32
4.
6.
The
term
“in
responsible
charge”
as
used
in
this
33
chapter
“In
responsible
charge”
means
having
direct
control
of
34
and
personal
supervision
over
any
land
surveying
work
or
work
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involving
the
practice
of
engineering.
One
or
more
persons,
1
jointly
or
severally,
may
be
in
responsible
charge.
2
5.
a.
The
practice
of
“land
surveying”
includes
providing
3
professional
services
such
as
consultation,
investigation,
4
testimony,
evaluation,
planning,
mapping,
assembling,
and
5
interpreting
reliable
scientific
measurements
and
information
6
relative
to
the
location
of
property
lines
or
boundaries,
and
7
the
utilization,
development,
and
interpretation
of
these
facts
8
into
an
orderly
survey,
plat,
or
map.
The
practice
of
land
9
surveying
includes,
but
is
not
limited
to,
the
following:
10
(1)
Locating,
relocating,
establishing,
reestablishing,
11
setting,
or
resetting
of
permanent
monumentation
for
any
12
property
line
or
boundary
of
any
tract
or
parcel
of
land.
13
Setting
permanent
monuments
constitutes
an
improvement
to
real
14
property.
15
(2)
Making
any
survey
for
the
division
or
subdivision
of
any
16
tract
or
parcel
of
land.
17
(3)
Determination,
by
the
use
of
the
principles
of
land
18
surveying,
of
the
position
for
any
permanent
survey
monument
or
19
reference
point,
or
setting,
resetting,
or
replacing
any
survey
20
monument
or
reference
point
excluding
the
responsibility
of
21
engineers
pursuant
to
section
314.8
.
22
(4)
Creating
and
writing
metes
and
bounds
descriptions
as
23
defined
in
section
354.2
.
24
(5)
Geodetic
surveying
for
determination
of
the
size
and
25
shape
of
the
earth
both
horizontally
and
vertically
for
the
26
precise
positioning
of
permanent
land
survey
monuments
on
27
the
earth
utilizing
angular
and
linear
measurements
through
28
spatially
oriented
spherical
geometry.
29
(6)
Creation,
preparation,
or
modification
of
electronic
30
or
computerized
data,
including
land
information
systems
and
31
geographical
information
systems,
relative
to
the
performance
32
of
the
activities
identified
in
subparagraphs
(1)
through
(5).
33
b.
This
subsection
does
not
prohibit
a
professional
engineer
34
from
practicing
any
aspect
of
the
practice
of
engineering.
A
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land
surveyor
is
not
prohibited
from
performing
engineering
1
surveys
as
defined
in
the
practice
of
engineering.
2
c.
A
person
is
construed
to
be
engaged
in
or
offering
to
be
3
engaged
in
the
practice
of
land
surveying
if
the
person
does
4
any
of
the
following:
5
(1)
Engages
in
land
surveying.
6
(2)
Makes
a
representation
by
verbal
claim,
sign,
7
advertisement,
letterhead,
card,
or
other
manner
that
the
8
person
is
a
land
surveyor.
9
(3)
Uses
any
title
which
implies
that
the
person
is
a
land
10
surveyor
or
that
the
person
is
licensed
under
this
chapter
.
11
(4)
Holds
the
person’s
self
out
as
able
to
perform,
or
who
12
does
perform,
any
service
or
work
included
in
the
practice
of
13
land
surveying.
14
6.
7.
The
term
“land
surveying
documents”
as
used
in
this
15
chapter
“Land
surveying
documents”
includes
all
plats,
maps,
16
surveys,
and
reports,
if
the
preparation
thereof
constitutes
or
17
requires
the
practice
of
land
surveying.
18
7.
8.
The
term
“land
surveyor”
as
used
in
this
chapter
19
shall
mean
“Land
surveyor”
means
a
person
who
engages
in
the
20
practice
of
land
surveying
as
defined
in
this
section
.
21
8.
9.
a.
“Practice
of
engineering”
as
used
in
this
22
chapter
means
any
service
or
creative
work,
the
adequate
23
performance
of
which
requires
engineering
education,
training,
24
and
experience
in
the
application
of
special
knowledge
of
the
25
mathematical,
physical,
and
engineering
sciences,
such
as
26
consultation,
investigation,
evaluation,
planning,
design
and
27
design
coordination
of
engineering
works
and
systems,
planning
28
the
use
of
land
and
water,
performing
engineering
surveys
and
29
studies,
and
the
review
of
construction
for
the
purpose
of
30
monitoring
compliance
with
drawings
and
specifications,
any
of
31
which
embraces
such
services
or
creative
work,
either
public
32
or
private,
in
connection
with
any
utilities,
structures,
33
buildings,
machines,
equipment,
processes,
work
systems,
34
projects,
and
industrial
or
consumer
products
or
equipment
of
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a
mechanical,
electrical,
hydraulic,
pneumatic,
or
thermal
1
nature,
insofar
as
they
involve
safeguarding
life,
health,
or
2
property,
and
including
such
other
professional
services
as
3
may
be
necessary
to
the
planning,
progress,
and
completion
of
4
the
services
identified
in
this
paragraph
subsection
.
“Design
5
coordination”
includes
the
review
and
coordination
of
technical
6
submissions
prepared
by
others,
including
as
appropriate
and
7
without
limitation,
consulting
engineers,
architects,
landscape
8
architects,
land
surveyors,
and
other
professionals
working
9
under
the
direction
of
the
engineer.
“Engineering
surveys”
10
includes
all
survey
activities
required
to
support
the
sound
11
conception,
planning,
design,
construction,
maintenance,
and
12
operation
of
engineered
projects,
but
excludes
the
surveying
13
of
real
property
for
the
establishment
of
land
boundaries,
14
rights-of-way,
easements,
and
the
dependent
or
independent
15
surveys
or
resurveys
of
the
public
land
survey
system.
16
b.
A
person
is
construed
to
be
engaged
in
the
practice
of
17
engineering
if
the
person
does
any
of
the
following:
18
a.
(1)
Practices
any
branch
of
the
profession
of
19
engineering.
20
b.
(2)
Makes
a
representation
by
verbal
claim,
sign,
21
advertisement,
letterhead,
card,
or
other
manner
that
the
22
person
is
a
professional
engineer.
23
c.
(3)
Uses
any
title
which
implies
that
the
person
is
a
24
professional
engineer
or
that
the
person
is
certified
under
25
this
chapter
.
26
d.
(4)
The
person
holds
the
person’s
self
out
as
able
to
27
perform,
or
who
does
perform,
any
service
or
work
included
in
28
the
practice
of
engineering.
29
10.
a.
“Practice
of
land
surveying”
includes
providing
30
professional
services
such
as
consultation,
investigation,
31
testimony,
evaluation,
planning,
mapping,
assembling,
and
32
interpreting
reliable
scientific
measurements
and
information
33
relative
to
the
location
of
property
lines
or
boundaries,
and
34
the
utilization,
development,
and
interpretation
of
these
facts
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into
an
orderly
survey,
plat,
or
map.
The
practice
of
land
1
surveying
includes
but
is
not
limited
to
the
following:
2
(1)
Locating,
relocating,
establishing,
reestablishing,
3
setting,
or
resetting
of
permanent
monumentation
for
any
4
property
line
or
boundary
of
any
tract
or
parcel
of
land.
5
Setting
permanent
monuments
constitutes
an
improvement
to
real
6
property.
7
(2)
Making
any
survey
for
the
division
or
subdivision
of
any
8
tract
or
parcel
of
land.
9
(3)
Determination,
by
the
use
of
the
principles
of
land
10
surveying,
of
the
position
for
any
permanent
survey
monument
or
11
reference
point,
or
setting,
resetting,
or
replacing
any
survey
12
monument
or
reference
point
excluding
the
responsibility
of
13
engineers
pursuant
to
section
314.8.
14
(4)
Creating
and
writing
metes
and
bounds
descriptions
as
15
defined
in
section
354.2.
16
(5)
Geodetic
surveying
for
determination
of
the
size
and
17
shape
of
the
earth
both
horizontally
and
vertically
for
the
18
precise
positioning
of
permanent
land
survey
monuments
on
19
the
earth
utilizing
angular
and
linear
measurements
through
20
spatially
oriented
spherical
geometry.
21
(6)
Creation,
preparation,
or
modification
of
electronic
22
or
computerized
data,
including
land
information
systems
and
23
geographical
information
systems,
relative
to
the
performance
24
of
the
activities
identified
in
subparagraphs
(1)
through
(5).
25
b.
This
subsection
does
not
prohibit
a
professional
engineer
26
from
practicing
any
aspect
of
the
practice
of
engineering.
A
27
land
surveyor
is
not
prohibited
from
performing
engineering
28
surveys
as
defined
in
the
practice
of
engineering.
29
c.
A
person
is
construed
to
be
engaged
in
or
offering
to
be
30
engaged
in
the
practice
of
land
surveying
if
the
person
does
31
any
of
the
following:
32
(1)
Engages
in
land
surveying.
33
(2)
Makes
a
representation
by
verbal
claim,
sign,
34
advertisement,
letterhead,
card,
or
other
manner
that
the
35
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person
is
a
land
surveyor.
1
(3)
Uses
any
title
which
implies
that
the
person
is
a
land
2
surveyor
or
that
the
person
is
licensed
under
this
chapter.
3
(4)
Holds
the
person’s
self
out
as
able
to
perform,
or
who
4
does
perform,
any
service
or
work
included
in
the
practice
of
5
land
surveying.
6
9.
11.
The
term
“professional
engineer”
as
used
in
this
7
chapter
“Professional
engineer”
means
a
person,
who,
by
8
reason
of
the
person’s
knowledge
of
mathematics,
the
physical
9
sciences,
and
the
principles
of
engineering,
acquired
by
10
professional
education
or
practical
experience,
is
qualified
to
11
engage
in
the
practice
of
engineering.
12
Sec.
141.
Section
542B.14,
Code
2011,
is
amended
to
read
as
13
follows:
14
542B.14
General
requirements
for
licensure
——
temporary
15
permit
to
practice
engineering.
16
1.
Each
applicant
for
licensure
as
a
professional
engineer
17
or
land
surveyor
shall
have
all
of
the
following
requirements,
18
respectively,
to
wit:
19
1.
a.
As
a
professional
engineer:
20
a.
(1)
(a)
Graduation
from
a
course
in
engineering
of
21
four
years
or
more
in
a
school
or
college
which,
in
the
opinion
22
of
the
board,
will
properly
prepare
the
applicant
for
the
23
examination
in
fundamental
engineering
subjects.
24
(2)
(b)
However,
prior
to
July
1,
1988,
in
lieu
of
25
compliance
with
subparagraph
(1)
division
(a)
,
the
board
may
26
accept
eight
years’
practical
experience
which,
in
the
opinion
27
of
the
board,
is
of
satisfactory
character
to
properly
prepare
28
the
applicant
for
the
examination
in
fundamental
engineering
29
subjects.
30
(3)
(c)
Between
July
1,
1988,
and
June
30,
1991,
in
31
lieu
of
compliance
with
subparagraph
(1)
division
(a)
,
the
32
board
shall
require
satisfactory
completion
of
a
minimum
of
33
two
years
of
postsecondary
study
in
mathematics,
physical
34
sciences,
engineering
technology,
or
engineering
at
an
35
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2328
institution
approved
by
the
board,
and
may
accept
six
years’
1
practical
experience
which,
in
the
opinion
of
the
board,
is
of
2
satisfactory
character
to
properly
prepare
the
applicant
for
3
the
examination
in
fundamental
engineering
subjects.
4
(4)
(d)
For
applicants
who
obtained
an
associate
of
science
5
degree
or
a
more
advanced
degree
between
July
1,
1983,
and
6
June
30,
1988,
in
lieu
of
compliance
with
subparagraph
(1)
7
division
(a)
,
the
board
shall
only
require
compliance
with
the
8
provisions
of
subparagraph
(3)
division
(c)
with
regard
to
9
areas
of
study
and
practical
experience.
Applicants
qualifying
10
under
this
subparagraph
division
must
meet
the
requirements
of
11
paragraph
“b”
subparagraph
(2)
,
by
June
30,
2001.
12
b.
(2)
Successfully
passing
a
written,
oral,
or
written
13
and
oral
examination
in
fundamental
engineering
subjects
which
14
is
designed
to
show
the
knowledge
of
general
engineering
15
principles.
A
person
passing
the
examination
in
fundamental
16
engineering
subjects
is
entitled
to
a
certificate
as
an
17
engineer
intern.
18
c.
(3)
In
addition
to
any
other
requirement,
a
specific
19
record
of
four
years
or
more
of
practical
experience
in
20
engineering
work
which
is
of
a
character
satisfactory
to
the
21
board.
22
d.
(4)
Successfully
passing
a
written,
oral,
or
written
23
and
oral
examination
designed
to
determine
the
proficiency
and
24
qualifications
to
engage
in
the
practice
of
engineering.
No
25
applicant
shall
be
entitled
to
take
this
examination
until
26
the
applicant
shows
the
necessary
practical
experience
in
27
engineering
work.
28
2.
b.
As
a
land
surveyor:
29
a.
(1)
(a)
Graduation
from
a
course
of
two
years
or
more
30
in
mathematics,
physical
sciences,
mapping
and
surveying,
or
31
engineering
in
a
school
or
college
and
six
years
of
practical
32
experience,
all
of
which,
in
the
opinion
of
the
board,
33
will
properly
prepare
the
applicant
for
the
examination
in
34
fundamental
land
surveying
subjects.
35
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2328
(2)
(b)
However,
prior
to
July
1,
1988,
in
lieu
of
1
compliance
with
subparagraph
(1)
division
(a)
,
the
board
may
2
accept
eight
years’
practical
experience
which,
in
the
opinion
3
of
the
board,
is
of
satisfactory
character
to
properly
prepare
4
the
applicant
for
the
examination
in
fundamental
land
surveying
5
subjects.
6
b.
(2)
Successfully
passing
a
written,
oral,
or
written
and
7
oral
examination
in
fundamental
land
surveying
subjects
which
8
is
designed
to
show
the
knowledge
of
general
land
surveying
9
principles.
10
c.
(3)
In
addition
to
any
other
requirement,
a
specific
11
record
of
four
years
or
more
of
practical
experience
in
land
12
surveying
work
which
is
of
a
character
satisfactory
to
the
13
board.
14
d.
(4)
Successfully
passing
a
written,
oral,
or
written
15
and
oral
examination
designed
to
determine
the
proficiency
and
16
qualifications
to
engage
in
the
practice
of
land
surveying.
17
No
applicant
shall
be
entitled
to
take
this
examination
until
18
the
applicant
shows
the
necessary
practical
experience
in
land
19
surveying
work.
20
2.
The
board
may
establish
by
rule
a
temporary
permit
and
21
a
fee
to
permit
an
engineer
to
practice
for
a
period
of
time
22
without
applying
for
licensure.
23
Sec.
142.
Section
548.112,
Code
2011,
is
amended
to
read
as
24
follows:
25
548.112
Infringement.
26
1.
Subject
to
section
548.116
,
a
person
shall
not
do
any
of
27
the
following:
28
1.
a.
Use,
without
the
consent
of
the
registrant,
any
29
reproduction,
counterfeit,
copy,
or
colorable
imitation
of
a
30
mark
registered
under
this
chapter
in
connection
with
the
sale,
31
distribution,
offering
for
sale,
or
advertising
of
any
goods
or
32
services
on
or
in
connection
with
which
such
use
is
likely
to
33
cause
confusion
or
mistake,
or
to
deceive
as
to
the
source
of
34
origin
of
such
goods
or
services.
35
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2.
b.
Reproduce,
counterfeit,
copy,
or
colorably
imitate
1
any
such
mark
and
apply
such
reproduction,
counterfeit,
copy,
2
or
colorable
imitation
to
labels,
signs,
prints,
packages,
3
wrappers,
receptacles,
or
advertisements
intended
to
be
used
4
upon
or
in
connection
with
the
sale
or
other
distribution
in
5
this
state
of
such
goods
or
services.
6
2.
The
person
shall
be
liable
in
a
civil
action
by
the
7
registrant
for
any
or
all
of
the
remedies
provided
in
section
8
548.114
,
except
that
under
subsection
2
1,
paragraph
“b”
,
the
9
registrant
shall
not
be
entitled
to
recover
profits
or
damages
10
unless
the
acts
have
been
committed
with
the
intent
to
cause
11
confusion
or
mistake
or
to
deceive.
12
Sec.
143.
Section
551A.1,
subsection
4,
Code
2011,
is
13
amended
to
read
as
follows:
14
4.
a.
“Franchise”
means
a
contract
between
a
seller
and
a
15
purchaser
where
the
parties
agree
to
all
of
the
following:
16
a.
(1)
A
franchisee
is
granted
the
right
to
engage
in
17
the
business
of
offering,
selling,
or
distributing
goods
or
18
services
under
a
marketing
plan
prescribed
in
substantial
part
19
by
a
franchisor.
20
b.
(2)
The
operation
of
the
franchisee’s
business
21
pursuant
to
such
a
plan
is
substantially
associated
with
the
22
franchisor’s
business
and
trademark,
service
mark,
trade
name,
23
logotype,
advertising,
or
other
commercial
symbol
designating
24
the
franchisor
or
its
affiliate.
25
b.
For
the
purposes
of
this
subsection
,
“franchisee”
:
26
(1)
“Franchisee”
means
a
person
to
whom
a
franchise
is
27
granted
and
“franchisor”
.
28
(2)
“Franchisor”
means
a
person
who
grants
a
franchise.
29
Sec.
144.
Section
554.2103,
subsection
3,
Code
2011,
is
30
amended
to
read
as
follows:
31
3.
“Control”
as
provided
in
section
554.7106
and
the
The
32
following
definitions
in
other
Articles
apply
to
this
Article
:
33
a.
“Check”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3104
34
b.
“Consignee”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.7102
35
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c.
“Consignor”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.7102
1
d.
“Consumer
goods”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.9102
2
e.
“Control”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.7106
3
f.
“Dishonor”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3502
4
g.
“Draft”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3104
5
Sec.
145.
Section
554.4104,
subsection
3,
Code
2011,
is
6
amended
to
read
as
follows:
7
3.
“Control”
as
provided
in
section
554.7106
and
the
The
8
following
definitions
in
other
Articles
apply
to
this
Article
:
9
a.
“Acceptance”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3409
10
b.
“Alteration”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3407
11
c.
“Cashier’s
check”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3104
12
d.
“Certificate
of
deposit”
.
.
.
.
.
.
.
.
Section
554.3104
13
e.
“Certified
check”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3409
14
f.
“Check”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3104
15
g.
“Control”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.7106
16
h.
“Holder
in
due
course”
.
.
.
.
.
.
.
.
.
.
Section
554.3302
17
i.
“Instrument”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3104
18
j.
“Notice
of
dishonor”
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3503
19
k.
“Order”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3103
20
l.
“Ordinary
care”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3103
21
m.
“Person
entitled
to
enforce”
.
.
.
Section
554.3301
22
n.
“Presentment”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3501
23
o.
“Promise”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3103
24
p.
“Prove”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3103
25
q.
“Teller’s
check”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3104
26
r.
“Unauthorized
signature”
.
.
.
.
.
.
.
.
Section
554.3403
27
Sec.
146.
Section
554.5104,
Code
2011,
is
amended
to
read
28
as
follows:
29
554.5104
Formal
requirements.
30
A
letter
of
credit,
confirmation,
advice,
transfer,
31
amendment,
or
cancellation
may
be
issued
in
any
form
that
is
32
a
record
and
is
authenticated
(i)
by
a
signature
or
(ii)
in
33
accordance
with
the
agreement
of
the
parties
or
the
standard
34
practice
referred
to
in
section
554.5108,
subsection
5
.
35
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Sec.
147.
Section
554.9102,
subsection
2,
Code
2011,
is
1
amended
to
read
as
follows:
2
2.
Definitions
in
other
Articles.
“Control”
as
provided
in
3
section
554.7106
and
the
The
following
definitions
in
other
4
Articles
apply
to
this
Article
:
5
a.
“Applicant”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.5102
6
b.
“Beneficiary”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.5102
7
c.
“Broker”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.8102
8
d.
“Certificated
security”
.
.
.
.
.
.
.
.
.
Section
554.8102
9
e.
“Check”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3104
10
f.
“Clearing
corporation”
.
.
.
.
.
.
.
.
.
.
Section
554.8102
11
g.
“Contract
for
sale”
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.2106
12
h.
“Control”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.7106
13
i.
“Customer”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.4104
14
j.
“Entitlement
holder”
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.8102
15
k.
“Financial
asset”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.8102
16
l.
“Holder
in
due
course”
.
.
.
.
.
.
.
.
.
.
Section
554.3302
17
m.
“Issuer”
(with
respect
to
a
letter
18
of
credit
or
letter-of-credit
right)
.
.
Section
554.5102
19
n.
“Issuer”
(with
respect
20
to
a
security)
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.8201
21
o.
“Issuer”
(with
respect
22
to
documents
of
title)
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.7102
23
p.
“Lease”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.13103
24
q.
“Lease
agreement”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.13103
25
r.
“Lease
contract”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.13103
26
s.
“Leasehold
interest”
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.13103
27
t.
“Lessee”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.13103
28
u.
“Lessee
in
ordinary
29
course
of
business”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.13103
30
v.
“Lessor”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.13103
31
w.
“Lessor’s
residual
interest”
.
.
.
.
Section
554.13103
32
x.
“Letter
of
credit”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.5102
33
y.
“Merchant”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.2104
34
z.
“Negotiable
instrument”
.
.
.
.
.
.
.
.
.
Section
554.3104
35
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aa.
“Nominated
person”
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.5102
1
ab.
“Note”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3104
2
ac.
“Proceeds
of
a
letter
of
credit”
.
Section
554.5114
3
ad.
“Prove”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.3103
4
ae.
“Sale”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.2106
5
af.
“Securities
account”
.
.
.
.
.
.
.
.
.
.
.
Section
554.8501
6
ag.
“Securities
intermediary”
.
.
.
.
.
.
Section
554.8102
7
ah.
“Security”
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
Section
554.8102
8
ai.
“Security
certificate”
.
.
.
.
.
.
.
.
.
Section
554.8102
9
aj.
“Security
entitlement”
.
.
.
.
.
.
.
.
.
Section
554.8102
10
ak.
“Uncertificated
security”
.
.
.
.
.
.
Section
554.8102
11
DIVISION
III
12
INTERNAL
REFERENCE
CHANGES
13
Sec.
148.
Section
225C.28B,
subsection
2,
Code
2011,
is
14
amended
to
read
as
follows:
15
2.
Insurance
protection.
Pursuant
to
section
507B.4,
16
subsection
7
3,
paragraph
“g”
,
a
person
or
designated
group
of
17
persons
shall
not
be
denied
insurance
coverage
by
reason
of
18
mental
retardation,
a
developmental
disability,
brain
injury,
19
or
chronic
mental
illness.
20
Sec.
149.
Section
225C.29,
Code
2011,
is
amended
to
read
as
21
follows:
22
225C.29
Compliance.
23
Except
for
a
violation
of
section
225C.28B,
subsection
24
2
,
the
sole
remedy
for
violation
of
a
rule
adopted
by
the
25
commission
to
implement
sections
225C.25
through
225C.28B
shall
26
be
by
a
proceeding
for
compliance
initiated
by
request
to
the
27
division
pursuant
to
chapter
17A
.
Any
decision
of
the
division
28
shall
be
in
accordance
with
due
process
of
law
and
is
subject
29
to
appeal
to
the
Iowa
district
court
pursuant
to
sections
30
17A.19
and
17A.20
by
any
aggrieved
party.
Either
the
division
31
or
a
party
in
interest
may
apply
to
the
Iowa
district
court
32
for
an
order
to
enforce
the
decision
of
the
division.
Any
33
rules
adopted
by
the
commission
to
implement
sections
225C.25
34
through
225C.28B
do
not
create
any
right,
entitlement,
property
35
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2328
or
liberty
right
or
interest,
or
private
cause
of
action
for
1
damages
against
the
state
or
a
political
subdivision
of
the
2
state
or
for
which
the
state
or
a
political
subdivision
of
the
3
state
would
be
responsible.
Any
violation
of
section
225C.28B,
4
subsection
2
,
shall
solely
be
subject
to
the
enforcement
by
the
5
commissioner
of
insurance
and
penalties
granted
by
chapter
507B
6
for
a
violation
of
section
507B.4,
subsection
7
3,
paragraph
7
“g”
.
8
Sec.
150.
Section
455B.473,
subsection
4,
Code
Supplement
9
2011,
is
amended
to
read
as
follows:
10
4.
An
owner
or
operator
of
a
storage
tank
described
in
11
section
455B.471,
subsection
11
,
paragraph
“a”
“b”
,
subparagraph
12
(1),
subparagraph
division
(a),
which
brings
the
tank
into
13
use
after
July
1,
1987,
shall
notify
the
department
of
the
14
existence
of
the
tank
within
thirty
days.
The
registration
15
of
the
tank
shall
be
accompanied
by
a
fee
of
ten
dollars
to
16
be
deposited
in
the
storage
tank
management
account.
A
tank
17
which
is
existing
before
July
1,
1987,
shall
be
reported
to
the
18
department
by
July
1,
1989.
Tanks
under
this
section
installed
19
on
or
following
July
1,
1987,
shall
comply
with
underground
20
storage
tank
regulations
adopted
by
rule
by
the
department.
21
Sec.
151.
Section
491.5,
subsection
8,
Code
2011,
is
amended
22
to
read
as
follows:
23
8.
Any
provision
eliminating
or
limiting
the
personal
24
liability
of
a
director
to
the
corporation
or
its
shareholders
25
or
members
for
money
damages
as
provided
in
section
490.202,
26
subsection
2
,
paragraph
“d”
,
except
that
section
490.202,
27
subsection
2
,
paragraph
“d”
,
subparagraph
(1)
,
subparagraph
(3)
28
division
(c)
,
shall
have
no
application.
29
Sec.
152.
Section
507B.7,
subsection
1,
paragraph
c,
Code
30
Supplement
2011,
is
amended
to
read
as
follows:
31
c.
Payment
of
interest
at
the
rate
of
ten
percent
per
32
annum
if
the
commissioner
finds
that
the
insurer
failed
to
pay
33
interest
as
required
under
section
507B.4,
subsection
16
3,
34
paragraph
“p”
.
35
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2328
Sec.
153.
Section
512B.13,
Code
2011,
is
amended
to
read
as
1
follows:
2
512B.13
Institutions.
3
A
society
may
create,
maintain,
and
operate,
or
may
4
establish
organizations
to
operate,
not-for-profit
institutions
5
to
further
the
purposes
permitted
by
section
512B.6,
subsection
6
1
,
paragraph
“b”
“a”
,
subparagraph
(2)
.
The
institutions
may
7
furnish
services
free
or
at
a
reasonable
charge.
Any
real
or
8
personal
property
owned,
held,
or
leased
by
the
society
for
9
this
purpose
shall
be
reported
in
every
annual
statement.
A
10
not-for-profit
institution
so
established
is
a
charitable
11
institution
with
all
the
rights,
benefits,
and
privileges
given
12
to
charitable
institutions
under
the
Constitution
and
laws
of
13
the
State
of
Iowa.
The
commissioner
may
adopt
appropriate
14
rules
and
reporting
requirements.
15
Sec.
154.
Section
515E.4,
subsection
4,
Code
Supplement
16
2011,
is
amended
to
read
as
follows:
17
4.
Compliance
with
unfair
claim
settlement
practices
law.
A
18
risk
retention
group,
its
agents,
and
representatives,
shall
19
comply
with
the
unfair
claim
settlement
practices
law
in
20
section
507B.4,
subsection
10
3,
paragraph
“j”
.
21
Sec.
155.
Section
524.302,
subsection
2,
paragraph
c,
Code
22
2011,
is
amended
to
read
as
follows:
23
c.
A
provision
eliminating
or
limiting
the
personal
24
liability
of
a
director
to
the
corporation
or
its
shareholders
25
for
monetary
damages
for
breach
of
fiduciary
duty
as
a
26
director,
provided
that
the
provision
does
not
eliminate
27
or
limit
the
liability
of
a
director
for
any
breach
of
28
the
director’s
duty
of
loyalty
to
the
corporation
or
its
29
shareholders,
for
acts
or
omissions
not
in
good
faith
or
which
30
involve
intentional
misconduct
or
a
knowing
violation
of
law,
31
for
any
transaction
from
which
the
director
derives
an
improper
32
personal
benefit,
or
under
section
524.605,
subsection
1
,
33
paragraph
“a”
or
2
“b”
.
A
provision
shall
not
eliminate
or
34
limit
the
liability
of
a
director
for
any
act
or
omission
35
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2328
occurring
prior
to
the
date
when
the
provision
in
the
articles
1
of
incorporation
becomes
effective.
2
Sec.
156.
Section
536A.30,
subsection
2,
Code
2011,
is
3
amended
to
read
as
follows:
4
2.
Section
536A.10
,
subsections
2,
3,
and
4
subsection
1,
5
paragraphs
“b”
,
“c”
,
and
“d”
.
6
DIVISION
IV
7
DIRECTIVES
8
Sec.
157.
CODE
EDITOR
DIRECTIVES.
9
1.
Sections
175.6,
subsection
12;
and
331.652,
subsection
10
4,
Code
2011,
are
amended
by
striking
the
word
“co-operation”
11
and
inserting
in
lieu
thereof
the
word
“cooperation”.
12
2.
Sections
28D.1,
321.6,
and
341A.17,
Code
2011,
are
13
amended
by
striking
the
word
“co-operation”
and
inserting
in
14
lieu
thereof
the
word
“cooperation”.
15
3.
Sections
13A.9,
subsection
2;
29C.1,
subsection
3;
16
169.19,
subsection
5;
175.6,
subsection
5;
273.9,
subsection
2;
17
and
403.12,
subsection
1,
Code
2011,
are
amended
by
striking
18
the
word
“co-operate”
and
inserting
in
lieu
thereof
the
word
19
“cooperate”.
20
4.
Sections
177A.4,
199.14,
249.12,
and
321.6,
Code
2011,
21
are
amended
by
striking
the
word
“co-operate”
and
inserting
in
22
lieu
thereof
the
word
“cooperate”.
23
5.
Section
179.1,
subsection
5,
Code
2011,
is
amended
by
24
striking
the
word
“co-operatives”
and
inserting
in
lieu
thereof
25
the
word
“cooperatives”.
26
6.
Sections
185.1,
subsection
5;
185C.1,
subsection
7;
27
215A.1,
subsection
4;
and
419.1,
subsection
4,
Code
2011,
are
28
amended
by
striking
the
word
“co-operative”
and
inserting
in
29
lieu
thereof
the
word
“cooperative”.
30
7.
Sections
263B.3,
456A.29,
and
456B.10,
Code
2011,
are
31
amended
by
striking
the
word
“co-operative”
and
inserting
in
32
lieu
thereof
the
word
“cooperative”.
33
8.
Section
275.56,
Code
2011,
is
amended
by
striking
the
34
word
“re-employing”
and
inserting
in
lieu
thereof
the
word
35
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“reemploying”.
1
9.
Section
275.56,
Code
2011,
is
amended
by
striking
the
2
word
“re-employed”
and
inserting
in
lieu
thereof
the
word
3
“reemployed”.
4
10.
Sections
341A.6,
subsection
6;
and
411.21,
subsection
5
3,
Code
2011,
are
amended
by
striking
the
word
“re-employed”
6
and
inserting
in
lieu
thereof
the
word
“reemployed”.
7
11.
The
Code
editor
is
directed
to
number,
renumber,
8
designate,
or
redesignate
to
eliminate
unnumbered
paragraphs
9
within
sections
491.5,
491.111,
496C.21,
499.47C,
499.67,
10
499A.2A,
501.617,
507A.3,
507C.12,
510.2,
511.10,
514B.4,
11
514B.14,
514B.20,
515.70,
515F.3,
515G.3,
518.11,
524.224,
12
524.604,
524.801,
524.825,
524.1102,
524.1508,
538.5,
544A.11,
13
544A.21,
544A.25,
544B.9,
544B.14,
544C.3,
548.103,
548.113,
14
552.5,
and
552.12,
Code
2011,
in
accordance
with
established
15
Code
section
hierarchy
and
correct
internal
references
in
the
16
Code
and
in
any
enacted
Iowa
Acts,
as
necessary.
17
12.
The
Code
editor
is
directed
to
number,
renumber,
18
designate,
or
redesignate
to
eliminate
unnumbered
paragraphs
19
within
section
subunits
in
sections
490.120,
subsection
20
7;
490.121,
subsection
1;
490.744,
subsection
4;
490.824,
21
subsection
4;
490.1301,
subsection
4;
490.1701,
subsection
2;
22
490.1701,
subsection
3,
paragraph
“b”;
496B.9,
subsection
3,
23
paragraph
“b”;
499.30,
subsection
2,
paragraph
“a”;
499.66,
24
subsection
2;
500.3,
subsection
2;
501A.206,
subsection
1;
25
501A.502,
subsection
3;
501A.715,
subsection
3;
501A.904,
26
subsection
7;
501A.906,
subsection
2;
501A.1003,
subsection
27
4,
paragraph
“b”;
502.321B,
subsection
5;
502.509,
subsection
28
13B;
502A.1,
subsection
4;
504.202,
subsection
2,
paragraph
29
“d”;
504.503,
subsection
1;
504.635,
subsection
4;
504.1509,
30
subsection
1;
507.10,
subsection
4,
paragraph
“b”,
subparagraph
31
(1);
508.36,
subsection
2,
paragraph
“d”;
508.36,
subsection
32
5,
paragraph
“c”,
subparagraph
(1),
subparagraph
division
(c),
33
subparagraph
subdivision
(v);
508.36,
subsections
7
and
9;
34
508.37,
subsection
6,
paragraph
“a”;
508.38,
subsection
2;
35
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509B.3,
subsection
4;
513B.4,
subsection
2;
513C.3,
subsection
1
15;
513C.7,
subsection
1;
513C.10,
subsection
2;
514C.4,
2
subsection
1;
514D.5,
subsection
2;
515.12,
subsection
5;
3
515.48,
subsections
1
and
8;
515.109,
subsection
2;
515A.18,
4
subsection
3;
515B.5,
subsection
1,
paragraph
“c”;
515B.6,
5
subsection
1;
515D.2,
subsection
2;
515F.5,
subsection
1;
6
515F.13,
subsection
2,
paragraph
“d”;
516A.2,
subsection
1;
7
516E.3,
subsection
1,
paragraph
“c”;
516E.3,
subsection
2,
8
paragraph
“b”;
518C.6,
subsection
1,
paragraph
“c”;
518C.7,
9
subsection
1;
519A.3,
subsection
3;
519A.4,
subsection
1;
10
519A.9,
subsection
2;
521A.5,
subsection
3,
paragraphs
“a”
and
11
“b”;
521A.14,
subsection
7;
521B.3,
subsection
3;
521C.11,
12
subsection
1;
521D.2,
subsection
3;
521E.10,
subsection
13
1;
522B.14,
subsections
6,
7,
and
8;
523C.5,
subsection
1;
14
523D.3,
subsection
1,
paragraph
“n”;
523D.5,
subsection
3;
15
523G.6,
subsection
3;
523I.316,
subsection
3,
paragraph
“d”;
16
523I.508,
subsections
2
and
3;
523I.812,
subsection
2;
524.103,
17
subsection
17;
524.606,
subsection
2;
524.1403,
subsection
18
2;
527.5,
subsection
3;
536A.20,
subsection
3;
536A.25,
19
subsection
2;
537.1301,
subsection
45;
537.2501,
subsection
1,
20
paragraph
“f”;
537.2510,
subsection
2,
paragraph
“a”;
537.3612,
21
subsection
4;
537.5110,
subsection
2;
537.5201,
subsection
1;
22
537A.10,
subsections
9
and
11;
537B.3,
subsection
2;
543C.4,
23
subsection
5;
546.10,
subsection
3;
548.102,
subsection
5;
24
551A.3,
subsection
2;
551A.4,
subsection
1,
paragraph
“b”;
25
552A.2,
subsection
6;
554.2103,
subsection
2;
554.4104,
26
subsection
2;
554.5102,
subsection
2;
554.8102,
subsection
1,
27
paragraph
“i”;
554.8102,
subsection
2;
554.8503,
subsection
28
4;
554.12105,
subsections
2
and
3;
and
554.13103,
subsections
29
2
and
3,
Code
and
Code
Supplement
2011,
in
accordance
with
30
established
Code
section
hierarchy
and
correct
internal
31
references
in
the
Code
and
in
any
enacted
Iowa
Acts,
as
32
necessary.
33
DIVISION
V
34
EFFECTIVE
DATE
PROVISIONS
35
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Sec.
158.
EFFECTIVE
DATE.
The
section
of
this
Act
amending
1
602.4201,
subsection
3,
paragraph
“h”,
Code
2011,
as
amended
by
2
2011
Iowa
Acts,
ch.
121,
section
60,
takes
effect
July
1,
2012.
3
EXPLANATION
4
This
bill
makes
Code
changes
and
corrections
that
are
5
considered
to
be
nonsubstantive
and
noncontroversial,
in
6
addition
to
style
changes.
Changes
made
include
updating
7
or
correcting
names
of
and
references
to
public
and
private
8
entities
and
funds,
correcting
internal
Code
references
9
and
terminology,
updating
United
States
Code
and
Code
of
10
Federal
Regulations
references,
making
various
corrections
11
to
spelling
and
grammar,
and
renumbering
and
reorganizing
12
various
provisions
to
eliminate
unnumbered
paragraphs
and
13
facilitate
citation.
The
Code
sections
in
which
the
technical,
14
grammatical,
and
other
nonsubstantive
changes
are
made
include
15
the
following:
16
DIVISION
I.
Code
section
6B.14:
Corrects
grammar
in
17
language
relating
to
meetings
of
the
compensation
commission
18
regarding
appraisement
of
property
sought
to
be
condemned
under
19
eminent
domain
procedures.
20
Code
sections
8F.2,
96.21,
97C.5,
97C.10,
97C.15,
451.1,
21
509B.1,
513C.3,
514G.103,
634A.1,
and
714G.8:
Abbreviates
the
22
word
“Title”
in
a
references
to
federal
Acts
in
provisions
23
regarding
government
accountability
and
unemployment
24
compensation
and
the
federal
Social
Security
Enabling
Act.
25
Code
sections
10B.4
and
15.104:
Adds,
to
correct
hypertext
26
linkage,
the
words
“Code
2011”
after
references
to
the
former
27
Code
chapter
that
governed
life
sciences
enterprises.
Code
28
chapter
10C
was
repealed
by
2011
Iowa
Acts,
chapter
118,
29
section
35.
30
Code
section
12.87:
Strikes
“as
follows:”
and
inserts
a
31
reference
to
paragraph
“b”
in
paragraph
“a”
of
this
provision
32
relating
to
the
bonding
authority
of
the
treasurer
of
state,
to
33
conform
the
format
to
other
provisions
in
the
Code.
34
Code
section
15.117A:
Corrects
the
grammar
by
supplying
35
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the
missing
word
“of”
in
this
provision
relating
to
the
1
annual
review
of
economic
development
programs
by
the
economic
2
development
authority.
3
Code
section
15.247:
Redesignates
paragraphs
to
set
apart
4
provisions
relating
to
term
limits
for
members
of
the
targeted
5
small
business
financial
assistance
board
from
those
relating
6
to
conflicts
of
interest.
7
Code
section
15A.9:
Numbers
unnumbered
paragraphs
within
8
this
provision
relating
to
designation
of
sites
as
quality
jobs
9
enterprise
zones.
10
Code
sections
34A.15
and
80B.11C:
Updates
references
by
11
name
to
the
organizations
now
called
the
Iowa
professional
12
fire
fighters,
the
Iowa
peace
officers
association,
13
and
the
association
of
public-safety
communications
14
officials-international,
inc.,
in
provisions
relating
to
the
15
E911
communications
council
and
telecommunicator
training
16
standards.
17
Code
sections
80B.11A,
80E.2,
356.36,
and
356.37:
Updates
18
references
by
name
to
the
organization
now
called
the
Iowa
19
peace
officers
association
in
provisions
relating
to
the
20
membership
of
the
drug
policy
advisory
council,
jail
and
jailer
21
training
standards,
and
a
report
on
confinement
and
detention
22
needs
of
jails
and
municipal
holding
facilities.
23
Code
section
96.27:
Strikes
an
incorrect
self-reference
24
in
a
reference
to
Code
section
96.25
in
language
relating
25
to
approval
of
purchases
of
premises
with
funds
granted
26
or
credited
under
the
federal
Social
Security
Act
or
the
27
Wagner-Peyser
Act.
28
Code
section
99D.11:
Corrects
references
to
the
method
of
29
wagering
known
as
“advance
deposit”
wagering
in
the
provision
30
governing
licensees
of
horse
or
dog
racetracks
and
authorizing
31
the
acceptance
of
advance
deposit
wagers.
32
Code
sections
100B.1
and
411.36:
Updates
references
by
33
name
to
the
organization
now
called
the
Iowa
professional
fire
34
fighters
in
provisions
regarding
the
state
fire
service
and
35
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emergency
response
council
and
the
board
of
trustees
for
the
1
statewide
fire
and
police
retirement
system.
2
Code
section
105.2:
Changes
“refrigerated
equipment”
to
3
“refrigeration
equipment”
within
the
definition
of
“hydronic”
4
in
the
Code
chapter
on
the
licensing
of
plumbers,
mechanical
5
professionals,
and
contractors.
6
Code
sections
124.401,
161G.3,
and
456A.33B:
Corrects
7
the
spelling
of
the
chemical
name
“phosphorus”
in
provisions
8
relating
to
controlled
substances,
the
Mississippi
river
basin
9
health
watersheds
initiative,
and
lake
restoration.
10
Code
section
135.105:
Corrects
the
spelling
of
the
word
11
“specialty”
within
language
describing
the
duty
of
the
12
department
of
public
health
to
coordinate
childhood
lead
13
poisoning
prevention
programs
with
other
entities
and
programs.
14
Code
sections
135.159,
225B.3,
225C.6,
231E.4,
249A.4B,
15
and
256.35A:
Updates
references
by
name
to
the
organization
16
now
called
the
Iowa
developmental
disabilities
council
in
17
provisions
regarding
the
membership
of
the
medical
home
18
system
advisory
council,
the
prevention
of
disabilities
19
policy
council,
the
medical
assistance
advisory
council,
and
20
the
Iowa
autism
council,
and
the
duties
of
the
mental
health
21
and
disability
services
commission
and
the
state
office
of
22
substitute
decision
maker.
23
Code
sections
162.20
and
455B.171:
Completes
Code
of
24
Federal
Regulations
references
in
provisions
regarding
the
25
sterilization
of
dogs
and
cats
and
sewage
sludge.
26
Code
section
241.3:
Corrects
a
reference
to
the
office
27
on
the
status
of
women
of
the
department
of
human
rights
in
28
a
provision
regarding
the
provision
of
services
to
displaced
29
homemakers
by
the
department
of
human
services.
30
Code
section
256.32:
Corrects
a
reference
by
name
to
the
31
postsecondary
agriculture
student
organization
of
Iowa
in
a
32
provision
establishing
the
advisory
council
for
agricultural
33
education.
34
Code
section
256C.5:
Adds
the
words
“Code
2011”
after
a
35
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reference
to
256C.6,
which
was
repealed
in
2011,
in
language
1
relating
to
funding
for
the
preschool
foundation
aid
program.
2
Code
sections
260H.2
and
260H.8:
Corrects
two
references
by
3
name
to
the
department
of
workforce
development
in
the
pathways
4
for
academic
career
and
employment
Act
chapter.
5
Code
sections
273.2
and
273.3:
Rewrites
two
citation
series
6
to
eliminate
internal
self-references
in
provisions
relating
7
to
the
powers
and
duties
of
area
education
agencies
and
area
8
education
agency
boards.
9
Code
section
280.13C:
Renumbers,
reorganizes,
and
places
10
definitions
in
alphabetical
order
in
language
relating
to
11
school
policies
on
brain
injury
and
student
participation
in
12
extracurricular
interscholastic
activities.
13
Code
sections
313.3,
410.1,
and
451.1:
Updates
state
and
14
federal
Acts
citations
to
the
current
Code
style
and
format
in
15
provisions
relating
to
federal
highway
fund
revenue,
police
and
16
fire
fighter
pension
funds,
and
state
estate
taxes.
17
Code
sections
331.512
and
331.559:
Corrects
the
name
18
of
the
brucellosis
and
tuberculosis
eradication
fund
in
19
provisions
relating
to
levy
of
taxes
for
the
fund.
The
fund
20
was
renamed
and
placed
under
the
jurisdiction
of
the
department
21
of
agriculture
and
land
stewardship
in
1983
Iowa
Acts,
chapter
22
123.
23
Code
section
403.21:
Strikes
an
extraneous
“and”
in
a
24
series
in
language
relating
to
communications
between
community
25
colleges
and
the
economic
development
authority
regarding
new
26
jobs
training
agreements.
27
Code
section
437A.3:
Renumbers
to
eliminate
unnumbered
28
paragraphs
within
the
definitions
of
“local
amount”
and
“major
29
addition”
in
the
definitions
section
for
the
chapter
on
taxes
30
on
electricity
and
natural
gas
providers.
31
Code
sections
452A.5
and
452A.8:
Renumbers
to
eliminate
32
unnumbered
paragraphs
within
these
provisions
relating
to
motor
33
fuel
and
special
fuel
taxes.
34
Code
section
453A.13:
Eliminates
redundant
language
and
35
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adds
punctuation
to
a
series
in
language
relating
to
fees
for
1
cigarette
distributor,
wholesaler,
and
retailer
permits.
2
Code
section
455B.261:
Splits
a
paragraph
and
renumbers
3
within
a
definition
of
the
term
“established
average
minimum
4
flow”
in
the
definitions
section
that
relates
to
water
5
allocation
and
use
to
distinguish
the
separate
definition
of
6
“average
minimum
flow”.
7
Code
section
455B.423:
Adds
the
word
“to”
to
conform
the
8
grammar
of
the
subparagraph
regarding
hazardous
waste
disposal
9
agreements
to
the
grammar
of
the
rest
of
the
paragraph.
10
Code
section
455B.471:
Renumbers
within
a
definition
of
11
“underground
storage
tank”
to
group
together
the
provisions
12
that
describe
the
tanks
and
other
holding
devices
that
do
not
13
fall
within
the
definition.
14
Code
section
455B.474:
Corrects
internal
references
within
15
provisions
regarding
corrective
actions
by
owners
of
property
16
on
which
there
has
been
a
release
of
a
regulated
substance
from
17
an
underground
storage
tank
and
establishment
of
financial
18
responsibility
by
tank
owners.
19
Code
section
462A.52:
Corrects
a
citation
to
an
Iowa
Act
by
20
adding
the
word
“Iowa”
in
this
provision
relating
to
a
report
21
by
the
department
of
natural
resources
on
programs
to
control
22
aquatic
invasive
species
and
for
the
enforcement
of
navigation
23
and
water
safety
laws.
24
Code
section
466B.3:
Completes
a
reference
to
the
official
25
title
of
the
secretary
of
agriculture
in
language
describing
26
the
membership
of
the
water
resources
coordinating
council.
27
Code
section
468.174:
Numbers
and
letters
paragraphs
to
28
provide
hierarchical
Code
structure
to
language
relating
29
to
drainage
district
membership
fees
and
annual
dues
for
30
membership
in
the
national
drainage
association.
31
Code
section
476.1:
Redesignates
unnumbered
paragraphs
32
and
subsections
to
conform
this
provision
relating
to
the
33
regulatory
authority
of
the
utilities
board
to
current
Code
34
hierarchy
and
format.
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Code
section
476.1D:
Corrects
an
internal
reference
by
1
changing
the
word
“paragraph”
to
“subparagraph”
within
a
2
provision
relating
to
extensions
of
utility
board
retail
3
rate
jurisdiction
over
increases
in
residential
and
business
4
telephone
rates.
5
Code
sections
499.47B,
499.64,
501.203,
501.204,
501.601,
6
and
501.603:
Adds
the
word
“vote”
after
the
word
“which”
in
7
nearly
identical
language
in
each
of
these
Code
provisions
8
which
describe
the
majority
requirements
that
must
be
met
9
in
order
for
cooperatives
to
engage
in
various
types
of
10
activities.
11
Code
section
501.614:
Rewrites
by
replacing
the
words
“in
12
which”
with
“and”
and
adding
“in
the
voting”
at
the
end
of
13
language
relating
to
the
majority
requirements
that
must
be
14
met
in
order
for
a
cooperative
to
approve
a
plan
of
merger
or
15
consolidation.
16
Code
section
524.221:
Corrects
a
typographical
error
in
a
17
language
relating
to
records
of
federally
chartered
savings
and
18
loan
associations.
19
Code
section
558.66:
Adds
the
missing
word
“in”
to
correct
20
a
clerical
error
in
language
relating
to
instruments
used
to
21
update
the
county
transfer
books
and
index.
22
2011
Iowa
Acts,
chapter
121,
section
60:
Corrects
a
singular
23
article
and
plural
noun
disagreement
within
a
future
amendment
24
to
Code
section
602.4201,
effective
July
1,
2012,
to
language
25
regarding
involuntary
commitment
proceedings
for
persons
with
26
alcohol
or
chemical
dependency
disorders.
27
Code
section
717.5:
Adds
the
missing
word
“of”
to
correct
28
a
clerical
error
in
language
relating
to
the
maintaining
and
29
disposal
of
neglected
livestock
that
has
been
rescued
by
local
30
authorities.
31
DIVISION
II.
The
Code
sections
in
this
division
are
amended
32
by
numbering,
renumbering,
designating,
or
redesignating
33
provisions
within
volume
V
of
the
Code,
and
by
changing
34
textual
references
as
necessary.
The
purposes
of
the
Code
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changes
are
to
conform
the
Code
provisions
to
existing
Code
1
section
hierarchy,
to
eliminate
“unanchored”
unnumbered
2
paragraphs
within
the
Code
sections,
to
facilitate
Code
section
3
readability,
and
to
facilitate
citation
to
those
Code
sections.
4
DIVISION
III.
This
division
contains
corrections
to
5
internal
references
to
Code
sections
that
are
numbered,
6
renumbered,
designated,
or
redesignated
in
division
II
of
this
7
bill.
8
DIVISION
IV.
This
division
contains
Code
editor
directives
9
to
correct
hyphenation
in
the
words
“cooperation”,
“cooperate”,
10
“cooperative”,
“reemploying”,
and
“reemployed”
and
to
number,
11
renumber,
designate,
or
redesignate
Code
provisions
to
12
eliminate
“unanchored”
unnumbered
paragraphs
in
Code
provisions
13
in
volume
V
of
the
Code
that
do
not
require
any
additional
14
textual
reference
corrections.
15
DIVISION
V.
This
division
contains
an
effective
date
16
provision
relating
to
a
corrective
change
to
2011
Iowa
Acts,
17
chapter
121,
section
60,
that
is
contained
in
division
I
of
the
18
bill.
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