HSB 656 (LSB 6059YC (3) 84)

HOUSE FILE _____

BY  (PROPOSED COMMITTEE ON STATE GOVERNMENT BILL BY CHAIRPERSON COWNIE)

A BILL FOR

An Act relating to radon control by requiring the state building code commissioner to adopt statewide radon control standards in residential construction, requiring that radon testing, mitigation, or abatement be conducted in schoolhouses and certain residential buildings, requiring certain notifications, and providing an income tax credit, and including retroactive applicability provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  NEW SECTION.  103A.8D  Residential construction requirements and standards for radon control.
   The state building code commissioner shall adopt as a part of the state building code construction requirements and standards for radon control in new residential construction. The requirements and standards adopted by the commissioner shall, if possible, be based upon a nationally recognized standard or code for radon control in residential construction. Notwithstanding any other provision of this chapter to the contrary, the construction requirements and standards for radon control adopted by the commissioner and approved by the council shall apply to new residential construction commenced on or after January 1, 2014, and shall supersede and replace any minimum requirements and standards for radon control in new residential construction adopted or enacted by a governmental subdivision prior to that date. The state building code commissioner may provide training to builders, contractors, and other interested persons on the construction requirements and standards for radon control in residential construction.
    Sec. 2.  Section 103A.10, Code 2011, is amended by adding the following new subsection:
   NEW SUBSECTION.  6.  Notwithstanding any other provision of this chapter to the contrary, the construction requirements and standards for radon control in new residential construction adopted by the commissioner and approved by the council shall apply to all new residential construction commenced on or after January 1, 2014, and shall supersede and replace any minimum requirements or standards for radon control in new residential construction adopted or enacted by the governmental subdivision prior to that date.
    Sec. 3.  Section 136B.2, subsection 1, paragraph b, Code 2011, is amended to read as follows:
   b.  A
 
Except as otherwise provided in section 558A.4, subsection 1, and section 562A.13, subsection 7, a person shall not disclose to any other person, except to the department, the address or owner of a nonpublic building that the person tested for the presence of radon gas and radon progeny, unless the owner of the building waives, in writing, this right of confidentiality. Any test results disclosed shall be results of a test performed within the five years prior to the date of the disclosure.
    Sec. 4.  Section 136B.2, subsection 2, Code 2011, is amended to read as follows:
   2.
  a.  Notwithstanding the requirements of this section, disclosure to any person of the results of a test performed on a nonpublic building for the presence of radon gas and radon progeny is not required if the results do not exceed the currently established United States environmental protection agency action guidelines, except as otherwise provided in section 558A.4, subsection 1, and section 562A.13, subsection 7.
   b.  A
 
Except as otherwise provided in section 558A.4, subsection 1, and section 562A.13, subsection 7, a person who tests a nonpublic building which the person owns is not required to disclose to any person the results of a test for the presence of radon gas or progeny if the test is performed by the person who owns the nonpublic building.
    Sec. 5.  Section 136B.4, Code 2011, is amended to read as follows:
   136B.4  Fees —— rules.
   1.  The department shall establish a fee schedule to defray the costs of the
 
for the certification and credentialing programs established pursuant to section 136B.1 and the testing conducted and the written reports provided pursuant to section 136B.3.

Moneys collected from such fees shall be deposited in the radon education fund created in section 136B.7.
   2.  The department shall adopt rules, pursuant to chapter 17A, to implement this chapter.
    Sec. 6.  NEW SECTION.  136B.6  Residential construction with the use of public funds —— radon testing and abatement requirements.
   1.  The owner of any residential building constructed with public funds in this state shall upon completion of such construction test the building for the presence of radon gas and radon progeny. The test shall be conducted by a person certified to conduct such testing pursuant to section 136B.1. The cost of the test shall be paid by the owner of the building.
   2.  If the results of testing in such a building exceed the currently established United States environmental protection agency action guidelines, the owner of such a building is required to retain a person credentialed pursuant to section 136B.1 to perform appropriate radon abatement measures.
   3.  This section shall only apply to an owner receiving public funds after July 1, 2012, for the construction of a residential building.
   4.  A person who violates this section shall not be subject to the provisions of section 136B.5.
    Sec. 7.  NEW SECTION.  136B.7  Radon education fund.
   1.  A radon education fund is created in the state treasury to be administered by the department of public health. The fund shall consist of all moneys deposited into the fund pursuant to section 136B.4.
   2.  Moneys in the fund shall be used by the department to provide radon program education.
   3.  Notwithstanding section 12C.7, subsection 2, interest or earnings on moneys in the fund shall be credited to the fund.
    Sec. 8.  NEW SECTION.  297.7A  Radon testing requirements.
   1.  The board of each school district shall require that each schoolhouse within the district be scheduled for testing and be tested for radon gas and radon progeny pursuant to chapter 136B at least once every ten years by a person certified to conduct such testing pursuant to section 136B.1.
   2.  If the results of testing in a schoolhouse exceed the currently established United States environmental protection agency action guidelines, the school district is required to retain a person credentialed pursuant to section 136B.1 to perform appropriate radon abatement measures.
    Sec. 9.  NEW SECTION.  422.11I  Radon mitigation and abatement tax credit.
   1.  The taxes imposed under this division, less the credits allowed under section 422.12, shall be reduced by a radon mitigation and abatement tax credit equal to the lesser of the qualified radon mitigation or abatement costs incurred by the owner of an owner-occupied residence or five hundred dollars. Any credit in excess of the tax liability shall be refunded.
   2.
  a.  In order for costs of a radon mitigation or abatement project to qualify for a tax credit under this section, the radon mitigation or abatement project must receive approval from a person credentialed under section 136B.1 in abating the level of radon in buildings.
   b.  Approval certifications of mitigation or abatement by a credentialed person shall be on forms approved by the department of public health and shall contain information as required by the department of public health. The information shall, at a minimum, include the approximate date of the start of mitigation or abatement, the approximate date of completion of mitigation or abatement, and the cost of mitigation or abatement.
   c.  The department of public health shall adopt rules identifying costs that qualify as radon mitigation or abatement costs.
   3.
  a.  Upon completion of the radon mitigation or abatement project, a certification of completion must be obtained from the department of public health. A completion certificate shall identify the person claiming the tax credit under this section and the qualified radon mitigation or abatement costs incurred during the radon mitigation or abatement project.
   b.  The combined amount of qualified radon mitigation or abatement costs certified by the department under subsection 4 to receive as tax credits shall not exceed five million dollars for a fiscal year.
   4.  After verifying the eligibility for the tax credit, the department of public health shall issue a radon mitigation and abatement tax credit certificate to be attached to the person’s tax return. Pursuant to the limitation on the amount of tax credit certificates that may be issued for a fiscal year, the tax credit certificates shall be issued on an earliest filed basis. The tax credit certificate shall contain the taxpayer’s name, address, tax identification number, the date of project completion, the amount of credit, and other information required by the department of revenue.
   5.  A radon mitigation or abatement project that does not meet the requirements of this section is subject to revocation, repayment, or recapture of tax credits claimed pursuant to this section.
    Sec. 10.  Section 558A.4, subsection 1, paragraph a, Code Supplement 2011, is amended to read as follows:
   a.
  (1)  The disclosure statement shall include information relating to the condition and important characteristics of the property and structures located on the property, including significant defects in the structural integrity of the structure, as provided in rules which shall be adopted by the real estate commission pursuant to section 543B.9. The rules may require the disclosure to include information relating to the property’s zoning classification; the condition of plumbing, heating, or electrical systems; or the presence of pests.
   (2)  The rules shall require that testing for radon gas and radon progeny be conducted pursuant to chapter 136B on residential structures containing four or fewer dwelling units prior to the sale of the property, and shall require the disclosure of such test results to prospective buyers of the property.
    Sec. 11.  Section 562A.13, Code 2011, is amended by adding the following new subsection:
   NEW SUBSECTION.  7.  The landlord or a person authorized to enter into a rental agreement on behalf of the landlord shall disclose to each tenant in writing before the commencement of the tenancy the results of radon testing conducted pursuant to section 562A.15, subsection 1, paragraph “g”, along with information on the health risks posed by radon gas and radon progeny published by the department of public health. The landlord or a person authorized to enter into a rental agreement on behalf of the landlord shall also disclose this information to current tenants immediately upon receiving the results of such tests.
    Sec. 12.  Section 562A.15, subsection 1, Code 2011, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  g.  By January 1, 2014, and every ten years thereafter, test for the presence of radon gas and radon progeny. A test required pursuant to this paragraph shall be conducted by a person certified to conduct such testing pursuant to section 136B.1.
    Sec. 13.  RETROACTIVE APPLICABILITY.  The following provision or provisions of this Act apply retroactively to January 1, 2012, for tax years beginning on or after that date:
   1.  The section of this Act enacting section 422.11I.
EXPLANATION
   This bill relates to radon control standards in residential construction, establishes certain radon testing or abatement to be conducted in schoolhouses and certain residential buildings, and provides an income tax credit for certain radon mitigation and abatement costs.
   The bill requires that the building code commissioner, with the approval of the building code advisory council, adopt requirements and standards for radon control in new residential construction. The bill provides that the standards shall supersede and replace any minimum radon control requirements and standards for new residential construction adopted by governmental subdivisions in Iowa. The bill requires that the requirements and standards be mandatory for all new residential construction beginning on or after January 1, 2014.
   The bill creates a radon education fund to be administered by the department of public health to be used by the department to provide radon program education. The bill provides that certain fees collected by the department be deposited into this fund.
   The bill requires the owner of any residential building constructed with public funds to test the building for the presence of radon gas and radon progeny upon completion of such construction. The bill requires that an owner of such a building perform appropriate abatement measures if the testing results exceed the currently established United States environmental protection agency action guidelines. These requirements shall apply to owners receiving public funds after July 1, 2012, for the construction of residential buildings.
   The bill requires that the school board of each school district require each schoolhouse within the district be scheduled for testing and be tested for radon gas and radon progeny at least once every 10 years. The bill requires that a district perform appropriate abatement measures if the testing results exceed the currently established United States environmental protection agency action guidelines.
   The bill requires that the real estate commission adopt rules requiring testing for radon gas and radon progeny of residential buildings containing four or fewer dwelling units prior to the sale of such property and requires that such results be disclosed to potential buyers of the property.
   The bill provides that residential landlords shall by January 1, 2014, and every 10 years thereafter, test for the presence of radon gas and radon progeny. The bill also requires that such landlords disclose the results of such tests to new tenants and disclose the results to current tenants immediately upon receiving the results.
   The bill also provides for a radon mitigation and abatement individual income tax credit of up to $500 for qualified radon mitigation or abatement costs conducted on an owner-occupied residence. The credit is refundable. The combined tax credits awarded shall not exceed $5 million in any given fiscal year. The tax credit applies retroactively to January 1, 2012, for tax years beginning on or after that date.