House Study Bill 560 - Introduced HOUSE FILE _____ BY (PROPOSED COMMITTEE ON COMMERCE BILL BY CHAIRPERSON COWNIE) A BILL FOR An Act relating to the regulation of persons, including 1 commercial establishments, keeping nonagricultural animals, 2 providing for fees and appropriations, and making penalties 3 applicable. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 5255YC (2) 86 da/nh
H.F. _____ DIVISION I 1 REGULATION, FEES, AND APPROPRIATIONS 2 Section 1. Section 162.2, subsections 6, 14, 15, 17, 23, and 3 26, Code 2016, are amended by striking the subsections. 4 Sec. 2. Section 162.2, subsections 3, 8, 9, 10, and 27, Code 5 2016, are amended to read as follows: 6 3. “Animal shelter” means a facility which is housing 7 facility used to receive, house , or contain dogs or cats, 8 or both, or transfer vertebrate animals and which is owned, 9 operated, or maintained by an incorporated humane society, 10 animal welfare society, society for the prevention of cruelty 11 to animals, or other nonprofit organization devoted to the 12 welfare, protection, and humane treatment of such animals. 13 8. a. “Commercial breeder” means a person , engaged in the 14 business of breeding dogs or cats , who sells, exchanges, or 15 leases dogs or cats in return for consideration, or who offers 16 to do so, whether or not the animals dogs or cats are raised, 17 trained, groomed, or boarded by the person. 18 b. Notwithstanding paragraph “a” , “commercial breeder” does 19 not mean any of the following: 20 (1) A person who is a small breeder, competitive show 21 breeder, or specialized breeder. 22 (2) A person who owns or harbors keeps three or fewer 23 breeding males or females is not a commercial breeder male or 24 female dogs or cats . However, a person who breeds any number 25 of breeding male or female greyhounds for the purposes of 26 using them for pari-mutuel wagering at a racetrack as provided 27 in chapter 99D shall be considered a commercial breeder 28 irrespective of whether the person sells, leases, or exchanges 29 the greyhounds for consideration or offers to do so. 30 9. “Commercial establishment” or “establishment” means an any 31 of the following: 32 a. An animal rescue. 33 b. An animal sanctuary. 34 c. An animal shelter , . 35 -1- LSB 5255YC (2) 86 da/nh 1/ 26
H.F. _____ d. A boarding kennel , . 1 e. A commercial breeder , . 2 f. A commercial kennel , . 3 g. A dealer , . 4 h. A grooming facility. 5 i. A pet shop , . 6 j. A pound , . 7 k. A public auction , or . 8 l. A research facility. 9 m. A small breeder, competitive show breeder, or specialized 10 breeder. 11 10. a. “Commercial kennel” means a kennel which performs 12 grooming, a facility where boarding , or training services are 13 provided for dogs or cats in return for a consideration. 14 b. “Commercial kennel” does not mean a facility in which a 15 dog or cat remains in the custody of the owner of the dog or 16 cat. 17 27. “Vertebrate animal” or “animal” means those vertebrate 18 animals other than members of the equine, bovine, ovine, and 19 porcine species, and ostriches, rheas, or emus. 20 Sec. 3. Section 162.2, Code 2016, is amended by adding the 21 following new subsections: 22 NEW SUBSECTION . 2A. “Animal rescue” means a person who 23 during a state fiscal year receives more than six adult dogs 24 or cats, or more than three litters of dogs or cats, and who 25 retains custody of the dogs or cats on a temporary basis until 26 doing any of the following: 27 a. Transferring the dogs or cats to an animal shelter, 28 pound, or another animal rescue. 29 b. Relinquishing custody of the dogs or cats by adoption to 30 members of the public. 31 NEW SUBSECTION . 2B. “Animal sanctuary” means a person who 32 during a state fiscal year owns or leases and controls housing 33 facilities where at least six adult dogs or cats have been 34 received from one or more persons, if all of the following 35 -2- LSB 5255YC (2) 86 da/nh 2/ 26
H.F. _____ apply: 1 a. When received, each dog or cat was any of the following: 2 (1) Abandoned, orphaned, or unwanted, or transferred by a 3 pound or animal shelter. 4 (2) In an impaired condition due to disease, injury, or 5 birth defect, or a threatened animal as defined in section 6 717B.1. 7 b. Each dog or cat is maintained by the person on a 8 permanent basis, until the death of the dog or cat, or the 9 person transfers the dog or cat to any of the following: 10 (1) An animal rescue. 11 (2) Another animal sanctuary. 12 (3) An animal shelter. 13 (4) A pound. 14 NEW SUBSECTION . 15A. “Foster care home” means a private 15 residence that provides a vertebrate animal with temporary 16 maintenance, including shelter and care, if the animal has 17 been accepted by a person licensed as an animal rescue, 18 animal shelter, or pound and that person is authorized by the 19 department to oversee the operations of the private residence. 20 NEW SUBSECTION . 15B. a. “Grooming facility” means a 21 business, including a salon, that as the principal part 22 of its operation, provides grooming services in return for 23 consideration. 24 b. “Grooming facility” does not mean a business that does 25 any of the following: 26 (1) Only provides grooming services at the residence of the 27 owner of the dog or cat. 28 (2) Only provides grooming services at a mobile business 29 operating at different locations. 30 (3) Operates as part of a commercial kennel that provides 31 grooming services as an incidental part of its operation. 32 (4) Operates as part of a veterinary facility that provides 33 grooming services as an incidental part of its operation. 34 (5) Keeps the dog or cat for less than twenty-four hours 35 -3- LSB 5255YC (2) 86 da/nh 3/ 26
H.F. _____ during any one period. 1 NEW SUBSECTION . 15C. “Grooming services” means providing 2 a dog or cat with hygienic care or treatment to improve 3 appearance, which may include but is not limited to bathing; 4 the removal of dead hair or skin; hair clipping, shaving, or 5 brushing; nail trimming; or providing flea or tick control. 6 NEW SUBSECTION . 16A. “License” means an authorization to 7 operate a commercial establishment as provided in this chapter 8 regardless of whether the authorization is also referred to as 9 a permit or certificate of registration. 10 NEW SUBSECTION . 16B. “Licensee” means a commercial 11 establishment that operates pursuant to a license issued and 12 renewed by the department pursuant to section 162.2A. 13 NEW SUBSECTION . 16C. “Local authority” means the same as 14 defined in section 717B.1. 15 NEW SUBSECTION . 20A. “Practice of veterinary medicine” 16 means the same as defined in section 169.3. 17 NEW SUBSECTION . 24A. a. “Small breeder, competitive show 18 breeder, or specialized breeder” means a person who owns or 19 keeps dogs, if the person does all of the following: 20 (1) Breeds the dogs. 21 (2) Sells, exchanges, or leases the dogs in return for 22 consideration, or offers to sell, exchange, or lease the dogs 23 in return for consideration. 24 (3) Keeps in any state fiscal year a total of not more than 25 three litters of puppies. 26 b. “Small breeder, competitive show breeder, or specialized 27 breeder” does not mean a person who owns or keeps three or fewer 28 breeding male or female dogs. 29 c. “Small breeder, competitive show breeder, or specialized 30 breeder” does not mean a commercial breeder. 31 NEW SUBSECTION . 28. “Veterinary facility” means a business 32 where one or more licensed veterinarians are engaged in the 33 practice of veterinary medicine. The business may also provide 34 grooming services as an incidental part of its operation. 35 -4- LSB 5255YC (2) 86 da/nh 4/ 26
H.F. _____ Sec. 4. Section 162.2A, Code 2016, is amended to read as 1 follows: 2 162.2A Application, issuance, and renewal of authorizations. 3 1. The department shall provide for the operation of 4 issuance or renewal of a license to operate a commercial 5 establishment by issuing or renewing an authorization, 6 including any of the following: . A person who owns a 7 commercial establishment shall be deemed to operate that 8 commercial establishment. 9 a. A certificate of registration for a pound, animal 10 shelter, or research facility. 11 b. A state license for a boarding kennel, commercial kennel, 12 or pet shop. 13 c. A state license or permit for a commercial breeder, 14 dealer, or public auction. A federal licensee must apply for 15 and be issued either a permit or a state license in lieu of a 16 permit. 17 2. a. A person must hold a current, valid license in order 18 to operate a commercial establishment. 19 b. A person must be issued a separate state hold a single 20 license , certificate of registration, or permit for each class 21 of commercial establishment owned or operated by the person , 22 regardless of how many locations for that class are operated 23 by the person . Each of the following is a separate class of 24 commercial establishment: 25 (1) An animal rescue. 26 (2) An animal sanctuary. 27 (3) An animal shelter. 28 (4) A boarding kennel. 29 (5) A commercial breeder. 30 (6) A commercial kennel. 31 (7) A grooming facility. 32 (8) A dealer. 33 (9) A pet shop. 34 (10) A pound. 35 -5- LSB 5255YC (2) 86 da/nh 5/ 26
H.F. _____ (11) A public auction. 1 (12) A research facility. 2 (13) A small breeder, competitive show breeder, or 3 specialized breeder. 4 3. A person must apply for the issuance or renewal of an 5 authorization a license on forms and according to procedures 6 required by rules adopted by the department. The application 7 shall contain information required by the department, including 8 but not limited to all of the following: 9 a. The person’s name. 10 b. The person’s principal office or place of business. 11 c. The name, address, and type of establishment covered by 12 the authorization license . 13 d. The person’s identification number. Notwithstanding 14 chapter 22 , the department shall keep the person’s tax 15 identification number confidential except for purposes of tax 16 administration by the department of revenue, including as 17 provided in section 421.18 . 18 4. The authorization A license expires on an annual basis 19 as provided by the department, and must be renewed by the 20 commercial establishment on an annual basis on or before the 21 authorization’s license’s expiration date. 22 5. a. A commercial establishment applying for the issuance 23 or renewal of a permit shall provide the department with proof 24 that the person is a federal licensee. 25 b. The department shall not require that it must enter onto 26 the premises of a commercial establishment in order to issue a 27 permit. The department shall not require that it must enter 28 onto the premises of a commercial establishment in order to 29 renew a permit, unless it has reasonable cause to monitor the 30 commercial establishment as provided in section 162.10C . The 31 department may deny an application for the issuance or renewal 32 of a license if the department determines that the applicant is 33 in violation of this chapter or has not demonstrated that the 34 applicant will comply with the provisions of this chapter. 35 -6- LSB 5255YC (2) 86 da/nh 6/ 26
H.F. _____ Sec. 5. Section 162.2B, Code 2016, is amended by striking 1 the section and inserting in lieu thereof the following: 2 162.2B Fees. 3 1. The department shall establish, assess, and collect 4 fees for issuing or renewing a license as provided in section 5 162.2A. The fees assessed under this section shall include a 6 base amount plus any applicable scheduled amount. 7 2. For a commercial establishment that is an animal rescue, 8 animal sanctuary, animal shelter, pound, or research facility, 9 all of the following shall apply: 10 a. The base amount equals seventy-five dollars. A single 11 base amount shall be assessed for all locations operated by the 12 commercial establishment. 13 b. A scheduled amount shall not be assessed. 14 3. For a commercial establishment that is a dealer or 15 grooming facility, all of the following shall apply: 16 a. The base amount equals one hundred dollars. A single 17 base amount shall be assessed for all locations operated by the 18 commercial establishment. 19 b. A scheduled amount shall not be assessed. 20 4. For a commercial establishment that is a boarding kennel, 21 commercial kennel, or public auction, all of the following 22 shall apply: 23 a. The base amount equals one hundred seventy-five dollars. 24 A single base amount shall be assessed for all locations 25 operated by the commercial establishment. 26 b. A scheduled amount shall not be assessed. 27 5. For a commercial establishment that is a pet shop, all 28 of the following shall apply: 29 a. The base amount equals one hundred seventy-five dollars. 30 A base amount shall be assessed for each location operated by 31 the pet shop. 32 b. (1) The scheduled amount shall be determined based on 33 the number of dogs and cats kept by the pet shop as follows: 34 (a) For at least one dog or cat but not more than twenty 35 -7- LSB 5255YC (2) 86 da/nh 7/ 26
H.F. _____ dogs and cats, one hundred dollars. 1 (b) For more than twenty dogs and cats but not more than 2 forty dogs and cats, two hundred fifty dollars. 3 (c) For more than forty dogs and cats, five hundred dollars. 4 (2) For purposes of determining the scheduled amount under 5 this paragraph “b” , a dog or cat must be recorded as on hand for 6 sale to the general public during the most recent inspection 7 of the pet shop by the department. The scheduled amount shall 8 be assessed for the total number of dogs or cats kept at all 9 locations operated by the pet shop. 10 6. For a commercial establishment that is a commercial 11 breeder, all of the following shall apply: 12 a. The base amount equals one hundred seventy-five dollars. 13 A base amount shall be assessed for each location operated by 14 the commercial breeder. 15 b. (1) The scheduled amount shall be determined based on 16 the number of dogs and cats kept by the commercial breeder as 17 follows: 18 (a) For not more than fifty dogs and cats, seventy-five 19 dollars. 20 (b) For more than fifty dogs and cats but not more than 21 seventy-five dogs and cats, two hundred fifty dollars. 22 (c) For more than seventy-five dogs and cats but not more 23 than one hundred dogs and cats, eight hundred dollars. 24 (d) For more than one hundred dogs and cats but not more 25 than two hundred fifty dogs and cats, two thousand five hundred 26 dollars. 27 (e) For more than two hundred fifty dogs and cats but not 28 more than four hundred dogs and cats, five thousand dollars. 29 (f) For more than four hundred dogs and cats, seven thousand 30 five hundred dollars. 31 (2) For purposes of determining the scheduled amount under 32 this paragraph “b” , a dog or cat must be recorded as an adult 33 on hand for breeding during the most recent inspection of the 34 commercial breeder by the department of agriculture and land 35 -8- LSB 5255YC (2) 86 da/nh 8/ 26
H.F. _____ stewardship or the United States department of agriculture. 1 The scheduled amount shall be assessed for the total number of 2 dogs or cats kept at all locations operated by the commercial 3 breeder. 4 7. For a commercial establishment that is a small breeder, 5 competitive show breeder, or specialized breeder, all of the 6 following shall apply: 7 a. The base amount equals seventy-five dollars. A single 8 base amount shall be assessed for all locations operated by 9 the small breeder, competitive show breeder, or specialized 10 breeder. 11 b. A scheduled amount shall not be assessed. 12 8. The moneys collected by the department under this section 13 shall be credited to the commercial establishment fund created 14 in section 162.2C. 15 9. The fees provided in this section shall be considered 16 repayment receipts as defined in section 8.2. The general 17 assembly shall appropriate moneys to the department each state 18 fiscal year necessary for the administration and enforcement of 19 this chapter. 20 Sec. 6. Section 162.2C, subsection 3, Code 2016, is amended 21 to read as follows: 22 3. Moneys in the fund are appropriated to the department and 23 without further special authorization by the general assembly. 24 The moneys shall be used exclusively by the department to carry 25 out do all of the following: 26 a. Administer and enforce the provisions of this chapter 27 as determined and directed by the department , and shall not 28 require further special authorization by the general assembly . 29 b. Fully fund the animal rescue remediation fund as provided 30 in section 717B.13. For each state fiscal year, the department 31 shall transfer at least twenty thousand dollars from moneys 32 in the commercial establishment fund to the animal rescue 33 remediation fund created in section 717B.13. However, if 34 on March 1 the unobligated and unencumbered balance in the 35 -9- LSB 5255YC (2) 86 da/nh 9/ 26
H.F. _____ animal rescue remediation fund equals more than sixty thousand 1 dollars, the department shall suspend the transfer for the 2 subsequent state fiscal year. If on March 1 of a state fiscal 3 year for which the transfer is suspended, the unobligated and 4 unencumbered balance in the animal rescue remediation fund is 5 less than forty thousand dollars, the department shall resume 6 the transfer for the subsequent state fiscal year. 7 Sec. 7. NEW SECTION . 162.3A Operation of an animal rescue 8 —— license. 9 1. An animal rescue shall only operate pursuant to a license 10 issued or renewed by the department as provided in section 11 162.2A. The animal rescue shall maintain records as required 12 by section 162.10 in order for the department to ensure the 13 animal rescue’s compliance with the provisions of this chapter. 14 2. An animal rescue shall not maintain a dog or cat received 15 by the animal rescue in housing facilities owned or controlled 16 by the animal rescue. However, the animal rescue may arrange 17 to utilize an animal shelter, pound, or foster care home in 18 order to maintain the dog or cat. 19 Sec. 8. NEW SECTION . 162.3B Operation of an animal 20 sanctuary —— license. 21 1. An animal sanctuary shall only operate pursuant to a 22 license issued or renewed by the department as provided in 23 section 162.2A. The animal sanctuary shall maintain records 24 as required by section 162.10 in order for the department to 25 ensure the animal sanctuary’s compliance with the provisions of 26 this chapter. 27 2. An animal sanctuary shall not buy, sell, trade, 28 auction, lease, loan, or breed any dog or cat that is owned or 29 controlled by the animal sanctuary. 30 3. An animal sanctuary shall maintain a dog or cat received 31 by the animal sanctuary in its care until the dog or cat dies 32 by natural causes, is euthanized, or is transferred to another 33 animal sanctuary, an animal rescue, an animal shelter, or a 34 pound. 35 -10- LSB 5255YC (2) 86 da/nh 10/ 26
H.F. _____ Sec. 9. NEW SECTION . 162.6A Grooming facility —— license. 1 1. A grooming facility shall only operate pursuant to a 2 license issued or renewed by the department as provided in 3 section 162.2A. The grooming facility shall maintain records 4 as required by section 162.10 in order for the department to 5 ensure the grooming facility’s compliance with the provisions 6 of this chapter. 7 2. A grooming facility shall not be in the business of 8 buying and selling vertebrate animals. 9 Sec. 10. Section 162.8, Code 2016, is amended to read as 10 follows: 11 162.8 Operation of a commercial breeder —— state license or 12 permit . 13 1. A commercial breeder shall only operate pursuant to a 14 state license , or a permit, issued or renewed by the department 15 as provided in section 162.2A . A commercial breeder who is 16 a state licensee shall maintain records as required by the 17 department in section 162.10 in order for the department to 18 ensure the commercial breeder’s compliance with the provisions 19 of this chapter . A commercial breeder who is a permittee may 20 but is not required to maintain records. 21 2. A commercial breeder shall not purchase a dog or cat 22 from a commercial establishment that does not have a valid 23 authorization license issued or renewed under this chapter or 24 a similar authorization license issued or renewed by another 25 state. 26 3. A commercial breeder shall not operate an animal shelter 27 or maintain a controlling interest in an animal shelter. 28 Sec. 11. NEW SECTION . 162.9 Operation of a small breeder, 29 competitive show breeder, or specialized breeder —— license. 30 1. A person who is a small breeder, competitive show 31 breeder, or specialized breeder shall only operate pursuant to 32 a license issued or renewed by the department as provided in 33 section 162.2A. 34 2. A person shall not be eligible for the issuance, 35 -11- LSB 5255YC (2) 86 da/nh 11/ 26
H.F. _____ maintenance, or renewal of a license under this section if 1 the person holds a public auction license pursuant to section 2 162.9A. 3 Sec. 12. NEW SECTION . 162.10 Records. 4 1. A commercial establishment shall maintain all records 5 required in this chapter. The department shall adopt rules 6 regarding the types of records required to be kept and the 7 format for keeping such records. 8 2. A commercial establishment shall maintain all records 9 necessary for the department to assess a fee imposed for the 10 issuance or renewal of a license pursuant to section 162.2A. 11 3. A commercial establishment shall maintain inspection 12 reports as required in section 162.10B. 13 Sec. 13. Section 162.10B, Code 2016, is amended to read as 14 follows: 15 162.10B Commercial establishments —— inspecting state 16 licensees and registrants Inspections —— general requirements . 17 1. As a condition of issuing or renewing a license, the 18 premises of an applicant shall be open for inspection during 19 normal business hours. 20 2. The department shall conduct an inspection of a 21 commercial establishment at least annually. The department may 22 shall inspect the commercial establishment of a registrant or 23 state licensee by entering onto its business premises at any 24 time during normal working business hours. The department may 25 shall inspect records required to be maintained by the state 26 licensee or registrant commercial establishment as provided 27 in this chapter section 162.10 . If the owner or person in 28 charge of the commercial establishment refuses admittance, the 29 department may obtain an administrative search warrant issued 30 under section 808.14 . The department shall report a potential 31 violation of chapter 717B to the local authority that has 32 jurisdiction over the matter. 33 3. a. A commercial breeder offering to sell a dog to 34 a person shall provide that person with the most recent 35 -12- LSB 5255YC (2) 86 da/nh 12/ 26
H.F. _____ inspection report completed by all of the following: 1 (1) The department of agriculture and land stewardship. The 2 report shall include the recorded number of adult dogs on hand. 3 (2) The United States department of agriculture, if the 4 commercial breeder is licensed under the Animal Welfare Act. 5 b. The inspection report must be signed by the dog’s 6 purchaser prior to finalizing the sale. 7 c. A copy of each applicable signed inspection report shall 8 be maintained for twelve months by the commercial breeder as 9 part of the commercial breeder’s records as provided in section 10 162.10 and a copy of the signed inspection report completed by 11 the department of agriculture and land stewardship shall be 12 filed with the department. 13 Sec. 14. Section 162.10C, Code 2016, is amended by striking 14 the section and inserting in lieu thereof the following: 15 162.10C Inspections —— restricted requirements. 16 1. Notwithstanding section 162.10B, a person who holds 17 a grooming facility license as provided in section 162.6A is 18 subject to restricted inspection requirements. The department 19 shall conduct the annual inspection of a licensed grooming 20 facility at a scheduled time agreed to by the person and 21 the department. However, the department is not required to 22 schedule an inspection if any of the following applies: 23 a. The person is obstructing the scheduled inspection. 24 b. One or more dogs or cats kept by the person are in 25 immediate need of care. 26 2. Notwithstanding section 162.10B, a person who holds a 27 small breeder, competitive show breeder, or specialized breeder 28 license as provided in section 162.9 is subject to restricted 29 inspection requirements as follows: 30 a. The person is exempt from the inspection requirements 31 of section 162.10B for the period of the license if the person 32 submits evidence to the department that each dog kept by the 33 person complies with all of the following: 34 (1) Has been examined by a licensed veterinarian within 35 -13- LSB 5255YC (2) 86 da/nh 13/ 26
H.F. _____ the twelve months prior to the person’s application for the 1 issuance or renewal of the license. 2 (2) Received all vaccinations as prescribed by the 3 department based on recommendations of the American veterinary 4 medical association or American animal hospital association. 5 b. If the person does not comply with paragraph “a” , the 6 department shall conduct the annual inspection at a scheduled 7 time agreed to by the person and the department. However, the 8 department is not required to schedule an inspection if any of 9 the following applies: 10 (1) The person is obstructing the scheduled inspection. 11 (2) One or more dogs kept by the person are in immediate 12 need of care. 13 Sec. 15. Section 162.10D, subsections 1 and 2, Code 2016, 14 are amended to read as follows: 15 1. The department may take disciplinary action against a 16 person by suspending or revoking the person’s authorization 17 license for violating a violation of a provision of this 18 chapter or chapter 717B , or who commits for the commission of 19 an unlawful practice under section 714.16 . The department may 20 take primary and secondary disciplinary action as follows: 21 a. Primary disciplinary action may be taken against a person 22 who operates the commercial establishment where the violation 23 occurred. 24 b. Secondary disciplinary action may be taken against a 25 person who operates another class of commercial establishment 26 under a separate license pursuant to section 162.2A if such 27 person is the same as the person who is subject to primary 28 disciplinary action under paragraph “a” . 29 2. The department may require an owner, operator, or 30 employee of a commercial establishment subject to disciplinary 31 action under subsection 1 to complete a continuing education 32 program as a condition for retaining an authorization 33 a license . This section does not prevent a person from 34 voluntarily participating in a continuing education program. 35 -14- LSB 5255YC (2) 86 da/nh 14/ 26
H.F. _____ However, a continuing education program completed voluntarily 1 prior to the imposition of the department’s disciplinary action 2 shall not be part of such disciplinary action. 3 Sec. 16. Section 162.11, subsection 1, Code 2016, is amended 4 by striking the subsection and inserting in lieu thereof the 5 following: 6 1. This chapter does not apply to the operation of a 7 veterinary facility, including any activity that would 8 otherwise classify the veterinary facility as a commercial 9 establishment so long as the activity is incidental to the 10 practice of veterinary medicine. If the operations are 11 conducted at an establishment in which the operations of the 12 veterinary facility are segregated, this chapter shall apply 13 only to that part of the establishment that does not operate as 14 a veterinary facility. 15 Sec. 17. Section 162.11, subsection 2, Code 2016, is amended 16 by striking the subsection. 17 Sec. 18. Section 162.11, subsection 3, Code 2016, is amended 18 to read as follows: 19 3. This chapter does not apply to a noncommercial kennel 20 at, in, or adjoining a private residence where dogs or cats are 21 kept , for the hobby of the householder, if the dogs or cats 22 are used for hunting, for practice training, for exhibition 23 at shows or field or obedience trials, or for guarding or 24 protecting the householder’s property. However, the dogs 25 or cats must not be kept for breeding if a person receives 26 consideration for providing the breeding. 27 Sec. 19. Section 162.11, Code 2016, is amended by adding the 28 following new subsection: 29 NEW SUBSECTION . 4. This chapter does not apply to a person 30 who owns, keeps, breeds, or transports a greyhound dog for use 31 at a dog racetrack facility regulated by the racing and gaming 32 commission under chapter 99D. 33 Sec. 20. NEW SECTION . 162.13A Criminal actions. 34 The attorney general or a county attorney may bring criminal 35 -15- LSB 5255YC (2) 86 da/nh 15/ 26
H.F. _____ action in order to enforce the provisions of this chapter. 1 Sec. 21. NEW SECTION . 162.13B Injunctive relief. 2 A court of this state may prevent or restrain a violation 3 of this chapter through the issuance of an injunction. The 4 attorney general or a county attorney shall institute a suit on 5 behalf of the state to prevent or restrain a violation of this 6 chapter. 7 Sec. 22. Section 162.20, subsection 4, paragraph c, Code 8 2016, is amended to read as follows: 9 c. A pound or animal shelter which knowingly fails to 10 provide for the sterilization of a dog or cat is subject to a 11 civil penalty of up to two hundred dollars. The department 12 may enforce and collect civil penalties according to rules 13 which shall be adopted by the department. Each violation shall 14 constitute a separate offense. Moneys Notwithstanding section 15 162.11, subsection 4, moneys collected from civil penalties 16 shall be deposited into the general fund of the state and 17 are appropriated on July 1 of each year in equal amounts to 18 each track licensed to race dogs to support the racing dog 19 adoption program as provided in section 99D.27. Upon the third 20 offense, the department may suspend or revoke a certificate 21 of registration license issued to the pound or animal shelter 22 pursuant to this chapter section 162.2A . The department may 23 bring an action in district court to enjoin a pound or animal 24 shelter from transferring animals in violation of this section . 25 In bringing the action, the department shall not be required 26 to allege facts necessary to show, or tending to show, a lack 27 of adequate remedy at law, that irreparable damage or loss 28 will result if the action is brought at law, or that unique or 29 special circumstances exist. 30 Sec. 23. Section 162.20, subsection 5, paragraphs b and c, 31 Code 2016, are amended to read as follows: 32 b. The transfer of a dog or cat by a pound or animal 33 shelter which has obtained an enforcement waiver issued 34 by the department. The pound or shelter may apply for an 35 -16- LSB 5255YC (2) 86 da/nh 16/ 26
H.F. _____ annual waiver each year as provided by rules adopted by 1 the department. The department shall grant a waiver, if it 2 determines that the pound or animal shelter is subject to 3 an ordinance by a city or county which includes stricter 4 requirements than provided in this section . The department 5 shall not charge more than ten dollars as a waiver application 6 fee. The fees collected by the department shall be deposited 7 in the general fund of the state animal rescue remediation fund 8 created in section 717B.13 . 9 c. The transfer of a dog or cat to a research facility as 10 defined in section 162.2 or a person licensed by the United 11 States department of agriculture as a class B dealer pursuant 12 to 9 C.F.R. ch. 1, subch. A, pt. 2. However, a class B dealer 13 who receives an unsterilized dog or cat from a pound or animal 14 shelter shall either sterilize the dog or cat or transfer the 15 unsterilized dog or cat to a research facility provided in this 16 paragraph. The class B dealer shall not transfer a dog to a 17 research facility if the dog is a greyhound registered with the 18 national greyhound association and the dog raced at a track 19 associated with pari-mutuel racing unless the class B dealer 20 receives written approval of the transfer from a person who 21 owned an interest in the dog while the dog was racing. 22 Sec. 24. NEW SECTION . 162.21 Sterilization —— animal 23 sanctuaries. 24 1. An animal sanctuary receiving a dog or cat shall provide 25 for the sterilization of the dog or cat using the veterinary 26 procedures prescribed in section 162.20. 27 2. An animal sanctuary shall provide for the sterilization 28 within ten days from the date that the animal sanctuary 29 receives the dog or cat, unless any of the following apply: 30 a. The department imposes a stricter requirement by rule. 31 b. A licensed veterinarian grants an extension of the 32 period required for the completion of the sterilization, if the 33 extension is based on the health of the dog or cat. 34 3. a. An animal sanctuary that knowingly fails to provide 35 -17- LSB 5255YC (2) 86 da/nh 17/ 26
H.F. _____ for the sterilization of a dog or cat is subject to a civil 1 penalty of up to two hundred dollars. 2 b. The department may enforce and collect civil penalties 3 according to rules which shall be adopted by the department. 4 Each violation shall constitute a separate violation. Moneys 5 collected from civil penalties shall be credited to the animal 6 rescue remediation fund created in section 717B.13. 7 4. Upon the third violation of this section, the department 8 may suspend or revoke the license issued to the animal 9 sanctuary pursuant to section 162.2A. 10 5. The department may bring an action in district court 11 to enjoin an animal sanctuary from transferring animals in 12 violation of this section in the same manner as provided in 13 section 162.20. 14 6. This section shall not apply to the return of a dog or 15 cat to its owner by an animal sanctuary, except as provided by 16 rules adopted by the department. 17 Sec. 25. Section 717B.1, Code 2016, is amended by adding the 18 following new subsection: 19 NEW SUBSECTION . 3A. “Commercial establishment” means the 20 same as defined in section 162.2. 21 Sec. 26. Section 717B.4, subsection 3, paragraph a, Code 22 2016, is amended to read as follows: 23 a. The court may order the responsible party to pay an 24 amount which shall not be more than the dispositional expenses 25 incurred by the local authority. The court may also award 26 the local authority court costs, reasonable attorney fees and 27 expenses related to the investigation and prosecution of the 28 case, which shall be taxed as part of the costs of the action. 29 The amount shall be paid to the animal rescue remediation fund 30 created in section 717B.13 to the extent that moneys from the 31 fund were expended to pay for dispositional expenses. 32 Sec. 27. Section 717B.5, Code 2016, is amended by adding the 33 following new subsection: 34 NEW SUBSECTION . 3A. The local authority may apply to the 35 -18- LSB 5255YC (2) 86 da/nh 18/ 26
H.F. _____ department for reimbursement of expenses incurred by the local 1 authority in providing for the maintenance of the animal. 2 Sec. 28. NEW SECTION . 717B.13 Animal rescue remediation 3 fund. 4 1. An animal rescue remediation fund is created as a 5 separate fund in the state treasury under the control of the 6 department of agriculture and land stewardship. The general 7 fund of the state is not liable for claims presented against 8 the fund. 9 2. The fund consists of moneys appropriated to the fund, 10 moneys transferred from the commercial establishment fund as 11 provided in section 162.2C, moneys credited to the fund as 12 provided in sections 162.20 and 162.21, sums collected on 13 behalf of the fund through legal action or settlement, and 14 moneys contributed to the fund from other sources. 15 3. The moneys in the fund are appropriated to the department 16 to reimburse a local authority for expenses incurred for the 17 rescuing of an animal from a commercial establishment as 18 provided in section 717B.5, for the maintenance of an animal 19 as provided in section 717B.5, and for the disposition of an 20 animal as provided in section 717B.4. 21 4. The department shall utilize moneys from the fund only to 22 the extent that the department determines that expenses cannot 23 be timely paid by utilizing the available provisions of section 24 717B.4. 25 5. The department shall provide payment to a local authority 26 upon a claim submitted by the local authority to the department 27 according to procedures required by the department. Upon 28 a determination that the claim is eligible for payment, 29 the department shall reimburse the local authority for that 30 amount. However, if the department determines that only 31 a portion of the claim is eligible, the department shall 32 only pay the eligible portion. If the department determines 33 that insufficient moneys are available to make payment of 34 all claims, the department may defer paying all or part of 35 -19- LSB 5255YC (2) 86 da/nh 19/ 26
H.F. _____ specified claims. The department shall hold deferred claims 1 for payment when the department determines that the fund again 2 contains sufficient moneys. 3 6. Moneys in the fund shall not be subject to appropriation 4 or expenditure for any other purpose than provided in this 5 section and section 162.2C. 6 7. Notwithstanding section 12C.7, interest earned on 7 amounts deposited in the fund shall be credited to the fund. 8 Notwithstanding section 8.33, any unexpended or unencumbered 9 moneys remaining in the fund at the end of the fiscal year 10 shall not revert to the general fund of the state, but the 11 moneys shall remain available for expenditure by the authority 12 in succeeding fiscal years. 13 Sec. 29. CURRENT AUTHORIZATIONS. 14 1. A current valid certificate of registration issued or 15 renewed by the department of agriculture and land stewardship 16 to an animal shelter, pound, or research facility under section 17 162.2A prior to the effective date of this Act shall remain 18 valid until it expires according to its terms when issued or 19 renewed. 20 2. A current valid state license issued or renewed by the 21 department of agriculture and land stewardship to a commercial 22 kennel that operates as a grooming facility as defined in 23 section 162.2, as amended in this Act, shall remain valid until 24 it expires according to the terms when issued or renewed. 25 DIVISION II 26 COORDINATING PROVISIONS 27 Sec. 30. Section 162.3, Code 2016, is amended to read as 28 follows: 29 162.3 Operation of a pound —— certificate of registration 30 license . 31 A pound shall only operate pursuant to a certificate of 32 registration license issued or renewed by the department as 33 provided in section 162.2A . A pound may sell dogs or cats 34 under its control if sales are allowed by the department. The 35 -20- LSB 5255YC (2) 86 da/nh 20/ 26
H.F. _____ pound shall maintain records as required by the department 1 in section 162.10 in order for the department to ensure the 2 pound’s compliance with the provisions of this chapter . 3 Sec. 31. Section 162.4, Code 2016, is amended to read as 4 follows: 5 162.4 Operation of an animal shelter —— certificate of 6 registration license . 7 An animal shelter shall only operate pursuant to a 8 certificate of registration license issued or renewed by the 9 department as provided in section 162.2A . An animal shelter 10 may sell dogs or cats if sales are allowed by the department. 11 The animal shelter facility shall maintain records as required 12 by the department in section 162.10 in order for the department 13 to ensure the animal shelter’s compliance with the provisions 14 of this chapter . 15 Sec. 32. Section 162.4A, Code 2016, is amended to read as 16 follows: 17 162.4A Operation of a research facility —— certificate of 18 registration license . 19 1. A research facility shall only operate pursuant to 20 a certificate of registration license issued or renewed by 21 the department as provided in section 162.2A . The research 22 facility shall maintain records as required by the department 23 in section 162.10 in order for the department to ensure the 24 research facility’s compliance with the provisions of this 25 chapter . 26 2. A research facility shall not purchase a dog or cat 27 from a commercial establishment that does not have a valid 28 authorization license issued or renewed under this chapter or 29 a similar authorization license issued or renewed by another 30 state. 31 Sec. 33. Section 162.5, Code 2016, is amended to read as 32 follows: 33 162.5 Operation of a pet shop —— state license. 34 1. A pet shop shall only operate pursuant to a state 35 -21- LSB 5255YC (2) 86 da/nh 21/ 26
H.F. _____ license issued or renewed by the department pursuant to section 1 162.2A . The pet shop shall maintain records as required by the 2 department section 162.10 in order for the department to ensure 3 the pet shop’s compliance with the provisions of this chapter . 4 2. A pet shop shall not purchase a dog or cat from 5 a commercial establishment that does not have a valid 6 authorization license issued or renewed under this chapter or 7 a similar authorization license issued or renewed by another 8 state. 9 Sec. 34. Section 162.5A, Code 2016, is amended to read as 10 follows: 11 162.5A Operation of a boarding kennel —— state license. 12 A boarding kennel shall only operate pursuant to a state 13 license issued or renewed by the department as provided in 14 section 162.2A . The boarding kennel shall maintain records as 15 required by the department section 162.10 in order for the 16 department to ensure the boarding kennel’s compliance with 17 the provisions of this chapter . A boarding kennel shall not 18 purchase a dog or cat from a commercial establishment that 19 does not have a valid authorization license issued or renewed 20 under this chapter or a similar authorization license issued or 21 renewed by another state. 22 Sec. 35. Section 162.6, Code 2016, is amended to read as 23 follows: 24 162.6 Operation of a commercial kennel —— state license. 25 A commercial kennel shall only operate pursuant to a state 26 license issued or renewed by the department as provided in 27 section 162.2A . A commercial kennel shall maintain records 28 as required by the department section 162.10 in order for the 29 department to ensure the commercial kennel’s compliance with 30 the provisions of this chapter . A commercial kennel shall not 31 purchase a dog or cat from a commercial establishment that 32 does not have a valid authorization license issued or renewed 33 under this chapter or a similar authorization license issued or 34 renewed by another state. 35 -22- LSB 5255YC (2) 86 da/nh 22/ 26
H.F. _____ Sec. 36. Section 162.7, Code 2016, is amended to read as 1 follows: 2 162.7 Operation of a dealer —— state license or permit . 3 A dealer shall only operate pursuant to a state license , 4 or a permit, issued or renewed by the department as provided 5 in section 162.2A . A dealer who is a state licensee shall 6 maintain records as required by the department section 162.10 7 in order for the department to ensure compliance with the 8 provisions of this chapter . A dealer who is a permittee may 9 but is not required to maintain records. A dealer shall not 10 purchase a dog or cat from a commercial establishment that 11 does not have a valid authorization license issued or renewed 12 under this chapter or a similar authorization license issued or 13 renewed by another state. 14 Sec. 37. Section 162.9A, Code 2016, is amended to read as 15 follows: 16 162.9A Operation of a public auction —— state license or 17 permit . 18 1. A public auction shall only operate pursuant to a state 19 license , or a permit, issued or renewed by the department as 20 provided in section 162.2A . A public auction which is a state 21 licensee shall maintain records as required by the department 22 section 162.10 in order for the department to ensure the public 23 auction’s compliance with the provisions of this chapter . A 24 public auction which is a permittee may but is not required to 25 maintain records. A public auction shall not purchase a dog or 26 cat from a commercial establishment that does not have a valid 27 authorization license issued or renewed under this chapter or 28 a similar authorization license issued or renewed by another 29 state. 30 2. A person shall not be eligible for the issuance, 31 maintenance, or renewal of a license under this section if the 32 person holds a small breeder, competitive show breeder, or 33 specialized breeder license under section 162.9. 34 Sec. 38. Section 162.10A, subsection 2, Code 2016, is 35 -23- LSB 5255YC (2) 86 da/nh 23/ 26
H.F. _____ amended by striking the subsection. 1 Sec. 39. Section 162.12, Code 2016, is amended to read as 2 follows: 3 162.12 Denial of application or revocation of license or 4 registration . 5 A certificate of registration An application for a license 6 may be denied to any animal shelter, pound, or research 7 facility and a state license may be denied to any public 8 auction, boarding kennel, commercial kennel, pet shop, 9 commercial breeder, or dealer, or an existing certificate of 10 registration or state license may be revoked by the secretary 11 if, after public hearing, it is determined that the housing 12 facilities or primary enclosures of a commercial establishment 13 are inadequate under this chapter or if the feeding, watering, 14 cleaning, and housing practices at the animal rescue, animal 15 sanctuary, pound, animal shelter, public auction, pet shop, 16 boarding kennel, commercial kennel, grooming facility, or 17 research facility, or those practices by the commercial 18 breeder , or dealer, or small breeder, competitive show breeder, 19 or specialized breeder , are not in compliance with this chapter 20 or with the rules adopted pursuant to this chapter . The 21 premises of each registrant or state licensee shall be open for 22 inspection during normal business hours. 23 Sec. 40. Section 162.12A, subsection 1, paragraph a, Code 24 2016, is amended to read as follows: 25 a. A commercial establishment that operates pursuant to an 26 authorization a license issued or renewed under this chapter 27 is subject to a civil penalty of not more than five hundred 28 dollars, regardless of the number of animals possessed or 29 controlled by the commercial establishment, for violating this 30 chapter . Except as provided in paragraph “b” , each day that a 31 violation continues shall be deemed a separate offense. 32 Sec. 41. Section 162.12A, subsection 2, Code 2016, is 33 amended to read as follows: 34 2. A commercial establishment that does not operate 35 -24- LSB 5255YC (2) 86 da/nh 24/ 26
H.F. _____ pursuant to an authorization a license issued or renewed under 1 this chapter is subject to a civil penalty of not more than one 2 thousand dollars, regardless of the number of animals possessed 3 or controlled by the commercial establishment, for violating 4 this chapter . Each day that a violation continues shall be 5 deemed a separate offense. 6 Sec. 42. Section 162.13, subsections 1 and 3, Code 2016, are 7 amended to read as follows: 8 1. A person who operates a commercial establishment without 9 an authorization a license issued or renewed by the department 10 as required in section 162.2A is guilty of a simple misdemeanor 11 and each day of operation is a separate offense. 12 3. The failure of a person who owns or operates a commercial 13 establishment to meet the requirements of this section is 14 also cause for the suspension or revocation of the person’s 15 authorization license as provided in section 162.10D . 16 EXPLANATION 17 The inclusion of this explanation does not constitute agreement with 18 the explanation’s substance by the members of the general assembly. 19 CURRENT LAW. Code chapter 162 provides for the regulation 20 of commercial establishments that possess or control animals, 21 other than animals used for an agricultural purpose (Code 22 section 162.1), by the department of agriculture and land 23 stewardship (DALS). Commercial establishments include animal 24 shelters, pounds, and research facilities which are required 25 to obtain a certificate of registration; boarding kennels, 26 commercial kennels, and pet shops which are required to 27 obtain a state license; and commercial breeders, dealers, and 28 public auctions which are required to obtain a state license 29 or a permit if licensed by the United States department of 30 agriculture (USDA) (Code section 162.2A). 31 BILL’S PROVISIONS. This bill refers to each type of 32 commercial establishment as a class and requires that a person 33 operating one or more commercial establishments of the same 34 class obtain a single license. The bill also creates four new 35 -25- LSB 5255YC (2) 86 da/nh 25/ 26
H.F. _____ types of licenses for: (1) grooming facilities, (2) animal 1 rescues, (3) animal sanctuaries, and (4) small breeders, 2 competitive show breeders, or specialized breeders. The bill 3 also recognizes animal foster care homes that temporarily 4 maintain dogs or cats on behalf of animal rescues, animal 5 shelters, and pounds. The bill replaces the current fee system 6 with one that includes the assessment of a base amount and 7 the possible assessment of a scheduled amount based on class. 8 The moneys from fees are still deposited into the commercial 9 establishment fund. However, an amount is to be transferred 10 to a new animal rescue remediation fund also under the control 11 of DALS. The bill requires DALS to perform inspections and 12 licensees to maintain records. The bill provides that DALS may 13 take disciplinary action by suspending or revoking the person’s 14 license. It provides that any continuing education program 15 voluntarily completed by a person operating a commercial 16 establishment prior to a disciplinary action is not considered 17 part of such action. The bill provides for the sterilization 18 of dogs or cats that are in the custody of an animal sanctuary. 19 Greyhound dogs used in pari-mutuel wagering are exempted from 20 regulation. Finally, the bill provides that the attorney 21 general or a county attorney may bring a criminal action in 22 order to enforce the provisions of the Code chapter and allows 23 a court to provide injunctive relief. 24 -26- LSB 5255YC (2) 86 da/nh 26/ 26