H.F. 500 Section 1. Section 455A.4, subsection 1, unnumbered 1 paragraph 1, Code 2011, is amended to read as follows: 2 Except as otherwise provided by law and subject to 3 rules adopted by the natural resource commission and the 4 environmental protection commission , the director shall: 5 Sec. 2. Section 455A.4, subsection 1, paragraph i, Code 6 2011, is amended to read as follows: 7 i. Adopt rules in accordance with chapter 17A as necessary 8 or desirable for the organization or reorganization of the 9 department to provide for the administration of chapter 321G, 10 321I, 455B, 455C, 456A, 456B, 457A, 459, 459A, 459B, 461A, 11 462A, 462B, 464A, 465C, 481A, 481B, 483A, 484A, or 484B. 12 Rulemaking authority held by the natural resource commission 13 or the environmental protection commission is vested in the 14 director upon the effective date of this Act. Rules adopted by 15 the natural resource commission or the environmental protection 16 commission prior to the effective date of this Act, shall 17 remain effective until modified or rescinded by action of the 18 director in accordance with the provisions of chapter 17A . 19 Sec. 3. Section 455A.5, subsection 6, paragraph a, Code 20 2011, is amended to read as follows: 21 a. Establish Recommend policy and adopt rules, pursuant 22 to chapter 17A , necessary to provide for the effective 23 administration of chapter 321G , 321I , 456A , 456B , 457A , 461A , 24 462A , 462B , 464A , 465C , 481A , 481B , 483A , 484A , or 484B . 25 Sec. 4. Section 455A.5, subsection 6, paragraph e, Code 26 2011, is amended by striking the paragraph. 27 Sec. 5. NEW SECTION . 455A.5A Schedule of fees —— rules. 28 1. The director shall adopt, by rule, a schedule of fees for 29 permits issued by the natural resource commission, including 30 conditional permits, and a schedule of fees for administration 31 of the permits. The fees shall be collected by the department 32 and used to offset costs incurred in administrating a program 33 for which the issuance of the permit is made or under which 34 enforcement is carried out. 35 -1- LSB 2017HV (3) 84 tm/rj 1/ 7

H.F. 500 2. In determining the fee schedule, the director shall 1 consider all of the following: 2 a. The reasonable costs associated with reviewing 3 applications, issuing permits, and monitoring compliance with 4 the terms of issued permits. 5 b. The relative benefits to the applicant and to the public 6 of a permit review, permit issuance, and monitoring compliance 7 with the terms of the permit. 8 c. The typical costs associated with a type of project or 9 activity for which a permit is required. 10 3. However, a fee shall not exceed the actual costs incurred 11 by the department. 12 Sec. 6. Section 455A.6, subsection 6, paragraph a, Code 13 2011, is amended to read as follows: 14 a. Establish Recommend policy for the department and adopt 15 rules, pursuant to chapter 17A , necessary to provide for the 16 effective administration of chapter 455B , 455C , or 459 . 17 Sec. 7. Section 455B.103, subsection 1, Code 2011, is 18 amended by striking the subsection and inserting in lieu 19 thereof the following: 20 1. Adopt, modify, or repeal rules pursuant to chapter 17A. 21 The director shall have only the authority and discretion that 22 is expressly delegated or granted by this chapter, chapter 23 455C, chapter 459, chapter 459A, and chapter 459B and shall not 24 exercise such authority and discretion except to the extent 25 necessary to implement this chapter, chapter 455C, chapter 459, 26 chapter 459A, and chapter 459B. Any rulemaking authority held 27 by the commission is vested in the director upon the effective 28 date of this Act. Rules adopted by the commission prior to 29 the effective date of this Act shall remain in effect until 30 modified or rescinded by action of the director in accordance 31 with the provisions of chapter 17A. 32 a. The director shall include in the preamble of a rule a 33 statement referencing the authority delegated to the director 34 pursuant to which the rule is adopted. The preamble for the 35 -2- LSB 2017HV (3) 84 tm/rj 2/ 7

H.F. 500 rule shall indicate when the director is implementing a federal 1 rule by reference and include a financial impact statement 2 detailing the general impact of the rule upon the regulated 3 parties. 4 b. When proposing or adopting rules to implement a specific 5 federal environmental program, the director shall not impose 6 requirements more restrictive than the requirements of the 7 federal program being implemented. 8 c. When proposing or adopting rules, the director shall 9 include departmental policy relating to the disclosure of 10 information concerning a violation or alleged violation 11 of the rules, standards, permits, or orders issued by the 12 department and the confidentiality of information obtained by 13 the department in the administration and enforcement of this 14 chapter, chapter 455C, chapter 459, chapter 459A, and chapter 15 459B. 16 Sec. 8. Section 455B.103, subsection 2, Code 2011, is 17 amended by striking the subsection. 18 Sec. 9. Section 455B.105, subsections 3 and 11, Code 2011, 19 are amended by striking the subsections. 20 Sec. 10. NEW SECTION . 455B.106 Schedule of fees —— rules. 21 1. The director shall adopt, by rule, procedures and forms 22 necessary to implement the provisions of this chapter and 23 chapters 459, 459A, and 459B relating to permits, conditional 24 permits, and general permits. 25 2. The director may also adopt, by rule, a schedule of fees 26 for permit and conditional permit applications and a schedule 27 of fees which may be periodically assessed for administration 28 of permits and conditional permits. In determining the fee 29 schedules, the director shall consider: 30 a. The state’s reasonable cost of reviewing applications, 31 issuing permits and conditional permits, and checking 32 compliance with the terms of the permits. 33 b. The relative benefits to the applicant and to the 34 public of permit and conditional permit review, issuance, and 35 -3- LSB 2017HV (3) 84 tm/rj 3/ 7

H.F. 500 monitoring compliance. It is the intention of the general 1 assembly that permit fees shall not cover any costs connected 2 with correcting violation of the terms of any permit and shall 3 not impose unreasonable costs on any municipality. 4 c. The typical costs of the particular types of projects 5 or activities for which permits or conditional permits are 6 required, provided that in no circumstances shall fees be in 7 excess of the actual costs to the department. 8 3. Except as otherwise provided in this chapter and chapter 9 459, fees collected by the department under this section shall 10 be remitted to the treasurer of state and credited to the 11 general fund of the state. 12 4. The director shall adopt rules for applications or 13 permits related to the national pollutant discharge elimination 14 system (NPDES) coverage as described in section 455B.197, 15 including fees, only to the extent that the rules are 16 consistent with that section. 17 Sec. 11. Section 455B.183A, subsection 2, Code 2011, is 18 amended to read as follows: 19 2. The commission director shall adopt fees as required 20 pursuant to section 455B.105 455B.106 for permits required for 21 public water supply systems as provided in sections 455B.174 22 and 455B.183 . Fees paid pursuant to this section shall not be 23 subject to the sales or services tax. The fees shall be for 24 each of the following: 25 a. The construction, installation, or modification of a 26 public water supply system. The amount of the fees may be 27 based on the type of system being constructed, installed, or 28 modified. 29 b. The operation of a public water supply system, including 30 any part of the system. The commission director shall adopt 31 a fee schedule which shall be based on the total number of 32 persons served by public water supply systems in this state. 33 However, a public water supply system shall be assessed a fee 34 of at least twenty-five dollars. A public water supply system 35 -4- LSB 2017HV (3) 84 tm/rj 4/ 7

H.F. 500 not owned or operated by a community and serving a transient 1 population shall be assessed a fee of twenty-five dollars. The 2 commission director shall calculate all fees in the schedule to 3 produce total revenues equaling three hundred fifty thousand 4 dollars for each fiscal year, commencing with the fiscal year 5 beginning July 1, 1995, and ending June 30, 1996. For each 6 fiscal year, the fees shall be deposited into the public water 7 supply system account. By May 1 of each year, the department 8 shall estimate the total revenue expected to be collected from 9 the overpayment of fees, which are all fees in excess of the 10 amount of the total revenues which are expected to be collected 11 under the current fee schedule, and the total revenue expected 12 to be collected from the payment of fees during the next fiscal 13 year. The commission director shall adjust the fees if the 14 estimate exceeds the amount of revenue required to be deposited 15 in the account pursuant to this paragraph. 16 Sec. 12. Section 455B.310, subsection 5, Code 2011, is 17 amended to read as follows: 18 5. Solid waste disposal facilities with special provisions 19 which limit the site to disposal of construction and demolition 20 waste, landscape waste, coal combustion waste, cement kiln 21 dust, foundry sand, and solid waste materials approved by the 22 department for lining or capping, or for construction berms, 23 dikes, or roads in a sanitary disposal project or sanitary 24 landfill are exempt from the tonnage fees imposed under this 25 section . However, solid waste disposal facilities under 26 this subsection are subject to the fees imposed pursuant to 27 section 455B.105, subsection 11 , paragraph “a” 455B.106 . 28 Notwithstanding the provisions of section 455B.105, subsection 29 11 , paragraph “b” 455B.106 , the fees collected pursuant to this 30 subsection shall be deposited in the solid waste account as 31 established in section 455E.11, subsection 2 , paragraph “a” , 32 to be used by the department for the regulation of these solid 33 waste disposal facilities. 34 Sec. 13. Section 459B.104, subsections 1 and 2, Code 2011, 35 -5- LSB 2017HV (3) 84 tm/rj 5/ 7

H.F. 500 are amended to read as follows: 1 1. The environmental protection commission director of the 2 department shall establish by rule adopted pursuant to chapter 3 17A , requirements relating to the construction, including 4 expansion, or operation of dry bedded confinement feeding 5 operations, including related dry bedded manure confinement 6 feeding operation buildings and stockpiles. 7 2. Any provision referring generally to compliance with 8 the requirements of this chapter as applied to dry bedded 9 confinement feeding operations also includes compliance with 10 requirements in rules adopted by the environmental protection 11 commission director of the department pursuant to this section , 12 orders issued by the department as authorized under this 13 chapter , and the terms and conditions applicable to manure 14 management plans required under this chapter . 15 Sec. 14. INTENT. It is the intent of the general assembly 16 that upon the effective date of this Act, the director of 17 the department of natural resources shall have the powers 18 and duties and shall assume the sole responsibility for 19 proposing and adopting rules as necessary for the effective 20 administration of the duties of the department of natural 21 resources. All references in statute or rules to the 22 rulemaking authority of the natural resource commission or 23 the environmental protection commission of the department of 24 natural resources shall upon the effective date of this Act be 25 construed to refer only to the director of the department of 26 natural resources. 27 Sec. 15. APPLICABILITY. This Act applies to all rules 28 noticed or adopted after the effective date of this Act. If a 29 rule with an effective date prior to the effective date of this 30 Act is amended after the effective date of this Act, then the 31 provisions of this Act are applicable to the entire rule being 32 amended and not only to the precise portion of the rules that 33 is being amended. For purposes of applying the provisions of 34 this Act, the effective date of the amendment to a rule shall 35 -6- LSB 2017HV (3) 84 tm/rj 6/ 7

H.F. 500 be the new effective date of the rule as a whole. 1 Sec. 16. EFFECTIVE UPON ENACTMENT. This Act, being deemed 2 of immediate importance, takes effect upon enactment. 3 EXPLANATION 4 This bill relates to rulemaking authority of the department 5 of natural resources. 6 Currently, the environmental protection commission and the 7 natural resources commission both have rulemaking authority 8 for Code chapters administered by the department of natural 9 resources. The bill transfers the rulemaking authority for 10 both commissions to the director of the department of natural 11 resources. The bill makes conforming amendments. 12 The bill takes effect upon enactment and applies to rules 13 noticed or adopted after the date of enactment. 14 -7- LSB 2017HV (3) 84 tm/rj 7/ 7