S.F. 638 DIVISION I 1 STANDING APPROPRIATIONS AND RELATED MATTERS 2 Section 1. LIMITATIONS OF STANDING APPROPRIATIONS —— FY 3 2019-2020. Notwithstanding the standing appropriation in the 4 following designated section for the fiscal year beginning July 5 1, 2019, and ending June 30, 2020, the amount appropriated from 6 the general fund of the state pursuant to that section for the 7 following designated purpose shall not exceed the following 8 amount: 9 For payment of claims for nonpublic school transportation 10 under section 285.2: 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 8,197,091 12 If total approved claims for reimbursement for nonpublic 13 school pupil transportation exceed the amount appropriated in 14 accordance with this section, the department of education shall 15 prorate the amount of each approved claim. 16 Sec. 2. INSTRUCTIONAL SUPPORT STATE AID —— FY 2019-2020. In 17 lieu of the appropriation provided in section 257.20, 18 subsection 2, the appropriation for the fiscal year 19 beginning July 1, 2019, and ending June 30, 2020, for paying 20 instructional support state aid under section 257.20 for such 21 fiscal year is zero. 22 Sec. 3. Section 257.35, Code 2019, is amended by adding the 23 following new subsection: 24 NEW SUBSECTION . 13A. Notwithstanding subsection 1, and in 25 addition to the reduction applicable pursuant to subsection 26 2, the state aid for area education agencies and the portion 27 of the combined district cost calculated for these agencies 28 for the fiscal year beginning July 1, 2019, and ending June 29 30, 2020, shall be reduced by the department of management by 30 fifteen million dollars. The reduction for each area education 31 agency shall be prorated based on the reduction that the agency 32 received in the fiscal year beginning July 1, 2003. 33 DIVISION II 34 MISCELLANEOUS APPROPRIATIONS 35 -1- LSB 2785SV (2) 88 ns/tm 1/ 13

S.F. 638 Sec. 4. FLOOD MITIGATION. 1 1. There is appropriated from the general fund of the state 2 to the flood mitigation fund created in section 418.10 for the 3 fiscal year beginning July 1, 2018, and ending June 30, 2019, 4 the following amount, or so much thereof as is necessary, to be 5 used for the purposes designated: 6 For projects located in any county that has been declared 7 a major disaster by the president of the United States on 8 or after March 12, 2019, and that is also a county in which 9 individuals are eligible for federal individual assistance: 10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 15,000,000 11 2. Notwithstanding section 8.33, moneys appropriated in 12 this section that remain unencumbered or unobligated at the 13 close of the fiscal year shall not revert but shall remain 14 available for expenditure for the purposes designated. 15 Sec. 5. EFFECTIVE DATE. This division of this Act, being 16 deemed of immediate importance, takes effect upon enactment. 17 DIVISION III 18 MISCELLANEOUS PROVISIONS 19 Sec. 6. Section 2C.18, Code 2019, is amended to read as 20 follows: 21 2C.18 Report to general assembly. 22 The ombudsman shall by April 1 December 15 of each year 23 submit an economically designed and reproduced report to the 24 general assembly and to the governor concerning the exercise 25 of the ombudsman’s functions during the preceding calendar 26 year. In discussing matters with which the ombudsman has been 27 concerned, the ombudsman shall not identify specific persons 28 if to do so would cause needless hardship. If the annual 29 report criticizes a named agency or official, it shall also 30 include unedited replies made by the agency or official to the 31 criticism, unless excused by the agency or official affected. 32 DIVISION IV 33 CORRECTIVE PROVISIONS 34 Sec. 7. Section 225C.51, subsection 1, paragraph a, if 35 -2- LSB 2785SV (2) 88 ns/tm 2/ 13

S.F. 638 enacted by 2019 Iowa Acts, House File 690, section 8, is 1 amended to read as follows: 2 a. The director of the department of human services or the 3 director’s designee. 4 Sec. 8. Section 225C.51, subsection 3, if enacted by 2019 5 Iowa Acts, House File 690, section 8, is amended to read as 6 follows: 7 3. The director of the department of human services and the 8 director of the department of education, or their designees, 9 shall serve as co-chairpersons of the state board. Board 10 members shall not be entitled to a per diem as specified in 11 section 7E.6 and shall not be entitled to actual and necessary 12 expenses incurred while engaged in their official duties. 13 Sec. 9. Section 261H.3, subsections 1 and 2, as enacted by 14 2019 Iowa Acts, Senate File 274, section 3, are amended to read 15 as follows: 16 1. Noncommercial expressive activities protected under the 17 provisions of this chapter include but are not limited to any 18 lawful oral or written means by which members of the campus 19 community may communicate ideas to one another, including 20 but not limited to all forms of peaceful assembly, protests, 21 speeches including by invited speakers, distribution of 22 literature, circulating petitions, and publishing, including 23 publishing or streaming on an internet site, or audio or video 24 recorded in outdoor areas of campus. 25 2. A member of the campus community who wishes to engage in 26 noncommercial expressive activity in outdoor areas of campus 27 shall be permitted to do so freely, subject to reasonable 28 time, place, and manner restrictions, and as long as the 29 member’s conduct is not unlawful, does not impede others’ 30 access to a facility or use of walkways, and does not disrupt 31 the functioning of the public institution of higher education, 32 subject to the protections of subsection 1. The public 33 institution of higher education may designate other areas of 34 campus available for use by the campus community according to 35 -3- LSB 2785SV (2) 88 ns/tm 3/ 13

S.F. 638 institutional policy, but in all cases access to designated 1 areas of campus must be granted on a viewpoint-neutral basis 2 within the bounds of established principles of the first 3 amendment principles to the Constitution of the United States . 4 Sec. 10. Section 513D.2, subsection 2, Code 2019, as amended 5 by 2019 Iowa Acts, House File 679, section 184, if enacted, is 6 amended to read as follows: 7 2. The commissioner or of insurance may take any enforcement 8 action under the commissioner’s authority to enforce compliance 9 with this chapter . 10 Sec. 11. Section 515I.4A, subsection 1, paragraph c, as 11 enacted by 2019 Iowa Acts, Senate File 558, section 4, is 12 amended to read as follows: 13 c. The board of directors of the insurer has passed a 14 resolution seeking approval as a domestic surplus lines insurer 15 in this state and stating that the insurer shall only write 16 surplus line lines business. The resolution shall not be 17 amended without approval of the commissioner. 18 Sec. 12. Section 522E.13, subsection 6, Code 2019, as 19 amended by 2019 Iowa Acts, Senate File 559, section 6, is 20 amended to read as follows: 21 6. Whenever notice or correspondence with respect to a 22 policy of portable electronics insurance is required pursuant 23 to this section , it shall be in writing and sent within the 24 notice period required pursuant to this section . Notices 25 and correspondence shall be sent to the licensed portable 26 electronics vendor that is the policyholder at the portable 27 electronics vendor’s mailing or electronic mail address 28 specified for that purpose and to its affected enrolled 29 consumers’ last known mailing or electronic mail addresses on 30 file with the insurer or the portable electronics vendor. All 31 notices and documents that are delivered by electronic means 32 shall comply with section 505B.1, except for the provisions 33 in section 505B.1, subsection 4. The insurer or portable 34 electronics vendor shall maintain proof that the notice or 35 -4- LSB 2785SV (2) 88 ns/tm 4/ 13

S.F. 638 correspondence was sent for not less than three years after 1 that notice or correspondence was sent. 2 Sec. 13. Section 633.648, Code 2019, as amended by 2019 3 Iowa Acts, House File 610, section 34, if enacted, is amended 4 to read as follows: 5 633.648 Appointment of attorney in compromise of personal 6 injury settlements. 7 Notwithstanding the provisions of section 633.642 prior to 8 authorizing a compromise of a claim for damages on account 9 of personal injuries to the ward protected person , the court 10 may order an independent investigation by an attorney other 11 than by the attorney for the conservator. The cost of such 12 investigation, including a reasonable attorney fee, shall be 13 taxed as part of the cost of the conservatorship. 14 Sec. 14. 2019 Iowa Acts, Senate File 333, section 104, 15 subsection 6, is amended to read as follows: 16 6. Sections 15E.206, subsection 3, paragraph “a”; 17 15E.207, subsection 2, paragraph “b”, subparagraph (2), 18 subparagraph division (c); 15E.208, subsection 5, paragraph 19 “g”, subparagraphs (1) and (2); 15E.208, subsection 6, 20 paragraph “d”, subparagraph (1), subparagraph division 21 (a); 135.61, unnumbered paragraph 1; 135.61, subsection 22 1, paragraph “d”; 135.61, subsection 4; 135.62, subsection 23 1; 135.62, subsection 2, paragraph “f”, subparagraphs (2), 24 (4), and (5); 135.63, subsection 1; 135.63, subsection 2, 25 unnumbered paragraph 1; 135.63, subsection 2, paragraph “f”; 26 135.63, subsection 2, paragraph “g”, subparagraph (1); 135.63, 27 subsection 2, paragraph “h”, subparagraph (1), unnumbered 28 paragraph 1; 135.63, subsection 2, paragraph “j”; 135.63, 29 subsection 2, paragraph “k”, subparagraph (1), unnumbered 30 paragraph 1; 135.63, subsection 2, paragraph “l”, unnumbered 31 paragraph 1; 135.63, subsection 2, paragraphs “m” and “n”; 32 135.63, subsection 2, paragraph “p”, unnumbered paragraph 1; 33 135.63, subsection 3; 135.64, subsection 3; 135.72, unnumbered 34 paragraph 1; 135.73, subsection 1; 135.73, subsection 35 -5- LSB 2785SV (2) 88 ns/tm 5/ 13

S.F. 638 2, unnumbered paragraph 1; 135.73, subsection 3; 135.74, 1 subsections 1 and 3; 135.75, subsection 2; 135.76, subsection 2 1; 135.100, unnumbered paragraph 1; 135.105A, subsection 5; 3 135.108, unnumbered paragraph 1; 135.140, unnumbered paragraph 4 1; 249K.2, subsection 6; 490.120, subsection 12, paragraph “c”, 5 subparagraph (1); 490.140, subsection 29; 490.640, subsection 6 8; 490.809, subsection 2; 490.858, subsection 2; 490.1101, 7 unnumbered paragraph 1; 490.1105, subsection 3; 490.1107, 8 subsection 1, paragraph “h”; 490.1107, subsection 2; 490.1107, 9 subsection 4, paragraph “b”; 490.1108, subsection 1; 490.1114, 10 subsection 1; 490.1114, subsection 2, paragraph “g”; 490.1202, 11 subsection 7; 490.1301, unnumbered paragraph 1; 490.1320, 12 subsection 1; 490.1320, subsection 3, paragraphs “a” and “b”; 13 490.1322, subsection 2, paragraph “c”; 490.1323, subsection 14 3; 490.1331, subsection 1; 490.1340, subsection 2, paragraph 15 “a”, subparagraph (1); 490.1403, subsection 3; 490.1405, 16 subsection 2, paragraph “c”; 499.69A, subsection 6; 524.1309, 17 subsection 8; 524.1406, subsection 1; 524.1417, subsection 1; 18 and 524.1805, subsection 6, Code 2019, are amended by striking 19 the word “division” and inserting in lieu thereof the word 20 “subchapter”. 21 DIVISION V 22 STATE BUDGET PROCESS 23 Sec. 15. Section 8.6, Code 2019, is amended by adding the 24 following new subsection: 25 NEW SUBSECTION . 16. Salary model administrator. To 26 designate a position within the department to serve as the 27 salary model administrator. 28 a. The salary model administrator shall work in conjunction 29 with the legislative services agency to maintain the state’s 30 salary model used for analyzing, comparing, and projecting 31 state employee salary and benefit information, including 32 information relating to employees of the state board of 33 regents. 34 b. The department of revenue, the department of 35 -6- LSB 2785SV (2) 88 ns/tm 6/ 13

S.F. 638 administrative services, the institutions governed by the state 1 board of regents pursuant to section 262.7, each judicial 2 district’s department of correctional services, and the state 3 department of transportation shall provide salary data to the 4 department of management and the legislative services agency 5 to operate the state’s salary model. The format and frequency 6 of provision of the salary data shall be determined by the 7 department of management and the legislative services agency. 8 c. The information shall be used in collective bargaining 9 processes under chapter 20 and in calculating the funding needs 10 contained within any annual salary adjustment legislation. 11 A state employee organization as defined in section 20.3, 12 subsection 4, may request information produced by the model, 13 but the information provided shall not contain information 14 attributable to individual employees. 15 Sec. 16. Section 8.23, subsection 1, unnumbered paragraph 16 1, Code 2019, is amended to read as follows: 17 On or before October 1, prior to each legislative session, 18 all departments and establishments of the government shall 19 transmit to the director, on blanks to be furnished by the 20 director, estimates of their expenditure requirements, 21 including every proposed expenditure, for the ensuing fiscal 22 year, classified so as to distinguish between expenditures 23 estimated for administration, operation, and maintenance, and 24 the cost of each project involving the purchase of land or the 25 making of a public improvement or capital outlay of a permanent 26 character, together with supporting data and explanations 27 as called for by the director after consultation with the 28 legislative services agency . 29 Sec. 17. Section 8.23, subsection 1, paragraph a, Code 2019, 30 is amended to read as follows: 31 a. The estimates of expenditure requirements shall be 32 based upon seventy-five percent of the funding provided for 33 the current fiscal year accounted for by program reduced by 34 the historical employee vacancy factor in a form specified by 35 -7- LSB 2785SV (2) 88 ns/tm 7/ 13

S.F. 638 the director , and the remainder of the estimate of expenditure 1 requirements shall include all proposed expenditures and shall 2 be prioritized by program or the results to be achieved . The 3 estimates shall be accompanied with by performance measures 4 for evaluating the effectiveness of the program programs or 5 results . 6 Sec. 18. Section 602.1301, subsection 2, paragraph a, 7 unnumbered paragraph 1, Code 2019, is amended to read as 8 follows: 9 As early as possible, but not later than December 1, the 10 supreme court shall submit to the legislative services agency 11 the annual budget request and detailed supporting information 12 for the judicial branch. The submission shall be designed 13 to assist the legislative services agency in its preparation 14 for legislative consideration of the budget request. The 15 information submitted shall contain and be arranged in a format 16 substantially similar to the format specified by the director 17 of the department of management and used by all departments 18 and establishments in transmitting to the director estimates 19 of their expenditure requirements pursuant to section 8.23 , 20 except the estimates of expenditure requirements shall be based 21 upon one hundred percent of funding for the current fiscal 22 year accounted for by program, and using the same line item 23 definitions of expenditures as used for the current fiscal 24 year’s budget request, and the remainder of the estimate of 25 expenditure requirements prioritized by program . The supreme 26 court shall also make use of the department of management’s 27 automated budget system when submitting information to the 28 director of the department of management to assist the director 29 in the transmittal of information as required under section 30 8.35A . The supreme court shall budget and track expenditures by 31 the following separate organization codes: 32 DIVISION VI 33 BLACKOUT SPECIAL REGISTRATION PLATES 34 Sec. 19. Section 321.34, Code 2019, is amended by adding the 35 -8- LSB 2785SV (2) 88 ns/tm 8/ 13

S.F. 638 following new subsection: 1 NEW SUBSECTION . 11C. Blackout plates. 2 a. Upon application and payment of the proper fees, 3 the director may issue blackout plates to the owner of a 4 motor vehicle subject to registration under section 321.109, 5 subsection 1, autocycle, motor truck, motor home, multipurpose 6 vehicle, motorcycle, trailer, or travel trailer. 7 b. Blackout plates shall be designed by the department. A 8 blackout plate’s background shall be black, and the plate’s 9 letters and numbers shall be white. 10 c. The special blackout fee for letter-number designated 11 blackout plates is thirty-five dollars. An applicant may 12 obtain personalized blackout plates upon payment of the fee for 13 personalized plates as provided in subsection 5, which is in 14 addition to the special blackout fee. The fees collected by 15 the director under this subsection shall be paid monthly to 16 the treasurer of state and deposited in the road use tax fund. 17 The treasurer of state shall credit monthly from the statutory 18 allocations fund created under section 321.145, subsection 2, 19 to each county’s county mental health and disabilities services 20 fund created pursuant to section 331.424A, the amount of the 21 special blackout fees collected in the previous month for the 22 blackout plates issued to vehicles registered in that county. 23 d. Upon receipt of the special registration plates, the 24 applicant shall surrender the current registration plates to 25 the county treasurer. The county treasurer shall validate 26 the special registration plates in the same manner as regular 27 registration plates are validated under this section. The 28 annual special blackout fee for letter-number designated plates 29 is ten dollars which shall be paid in addition to the regular 30 annual registration fee. The annual fee for personalized 31 blackout plates is five dollars which shall be paid in addition 32 to the annual special blackout fee and the regular annual 33 registration fee. The annual special blackout fee shall be 34 credited as provided under paragraph “c” . 35 -9- LSB 2785SV (2) 88 ns/tm 9/ 13

S.F. 638 e. The department shall not condition the issuance of 1 blackout plates on the receipt of any number of orders for 2 blackout plates. 3 Sec. 20. Section 321.166, subsection 9, Code 2019, is 4 amended to read as follows: 5 9. Special registration plates issued pursuant to section 6 321.34 , other than gold star, medal of honor, collegiate, fire 7 fighter, and natural resources , and blackout registration 8 plates, shall be consistent with the design and color of 9 regular registration plates but shall provide a space on a 10 portion of the plate for the purpose of allowing the placement 11 of a distinguishing processed emblem or an organization 12 decal. Special registration plates shall also comply with 13 the requirements for regular registration plates as provided 14 in this section to the extent the requirements are consistent 15 with the section authorizing a particular special vehicle 16 registration plate. 17 EXPLANATION 18 The inclusion of this explanation does not constitute agreement with 19 the explanation’s substance by the members of the general assembly. 20 This bill relates to state and local finances by 21 making appropriations, providing for legal and regulatory 22 responsibilities, and providing for other properly related 23 matters. 24 STANDING APPROPRIATIONS AND RELATED MATTERS. The bill 25 limits standing appropriations for payment of claims for 26 nonpublic school transportation, instructional support state 27 aid, and state aid for area education agencies. 28 MISCELLANEOUS APPROPRIATIONS. The bill makes an 29 appropriation from the general fund to the flood mitigation 30 fund for FY 2018-2019 for projects located in any county that 31 has been declared a major disaster by the president of the 32 United States on or after March 12, 2019, and that is also a 33 county in which individuals are eligible for federal individual 34 assistance. This provision of the bill is effective upon 35 -10- LSB 2785SV (2) 88 ns/tm 10/ 13

S.F. 638 enactment. 1 MISCELLANEOUS PROVISIONS. The bill requires the ombudsman 2 to submit a report to the general assembly and to the governor 3 concerning the exercise of the ombudsman’s functions during the 4 preceding calendar year by December 15 instead of April 1. 5 CORRECTIVE PROVISIONS. Code section 225C.51(1)(a), if 6 enacted by 2019 Iowa Acts, House File 690, section 8, is 7 amended to use the complete terminology of a defined term in 8 Code chapter 225C. 9 Code section 225C.51(3), if enacted by 2019 Iowa Acts, House 10 File 690, section 8, is amended to use the complete terminology 11 of a defined term in Code chapter 225C. 12 Code section 261H.3(1) and (2), as enacted by 2019 Iowa 13 Acts, Senate File 274, section 3, are amended to include an 14 erroneously omitted conjunction “or” and to correct a reference 15 to the Constitution of the United States to be consistent with 16 the reference throughout the Act. 17 Code section 513D.2(2), as amended by 2019 Iowa Acts, House 18 File 679, section 184, if enacted, is amended to correct a 19 reference to the “commissioner of insurance”. 20 Code section 515I.4A(1)(c), as enacted by 2019 Iowa Acts, 21 Senate File 558, section 4, is amended to correct a reference 22 to the term “surplus lines business” to be consistent with the 23 usage of the term throughout the Act. 24 Code section 522E.13(6), as amended by 2019 Iowa Acts, 25 Senate File 559, section 6, is amended to include the complete 26 cross reference citation related to notices and documents that 27 are delivered by electronic means. 28 Code section 633.648, as amended by 2019 Iowa Acts, House 29 File 610, section 34, if enacted, is amended to correct a 30 reference to the term “protected person” to be consistent with 31 the usage of the term throughout the Act. 32 2019 Iowa Acts, Senate File 333, section 104, subsection 6, 33 the nonsubstantive Code editor’s bill, is amended to correctly 34 identify a codified subunit included in the Code editor 35 -11- LSB 2785SV (2) 88 ns/tm 11/ 13

S.F. 638 directives of the Act. 1 STATE BUDGET PROCESS. The bill codifies provisions relating 2 to the salary model administrator that appeared annually in 3 previous standings appropriations bills, with one exception. 4 The provisions, in part, required the five institutions under 5 the jurisdiction of the state board of regents to provide 6 salary data to the department of management and the legislative 7 services agency to operate the state’s salary model. The bill 8 instead requires such action by the institutions governed by 9 the state board of regents pursuant to Code section 262.7. 10 These institutions include the state university of Iowa 11 including the university of Iowa hospitals and clinics, the 12 Iowa state university of science and technology including the 13 agricultural experiment station, the university of northern 14 Iowa, the Iowa braille and sight saving school, the state 15 school for the deaf, the Oakdale campus, and the university 16 of Iowa hospitals and clinics’ center for disabilities and 17 development. 18 The bill also codifies provisions relating to the state 19 budget process that appeared biennially and applied annually 20 in previous standings appropriations bills. The provisions 21 specify the contents of the estimates of expenditure 22 requirements required to be submitted by all departments and 23 establishments of the government, including the judicial 24 branch, each year to the director of the department of 25 management. 26 BLACKOUT SPECIAL REGISTRATION PLATES. The bill authorizes 27 the department of transportation (DOT) to issue blackout 28 special registration plates. The bill requires the plates’ 29 background to be black and the plates’ letters and numbers to 30 be white. 31 The bill provides that the special blackout fee for 32 letter-number designated blackout plates is $35. An applicant 33 may obtain personalized blackout plates upon payment of the $25 34 fee for personalized plates set forth under current law, which 35 -12- LSB 2785SV (2) 88 ns/tm 12/ 13

S.F. 638 is in addition to the special blackout fee. The bill requires 1 the fees collected by the DOT for the plates to be paid monthly 2 to the treasurer of state and deposited in the road use tax 3 fund. The treasurer of state must then credit monthly from 4 the statutory allocations fund to each county’s county mental 5 health and disabilities services fund the amount of the special 6 blackout fees collected in the previous month for the blackout 7 plates issued to vehicles registered in that county. 8 Upon receipt of the special registration plates, the 9 applicant must surrender the current registration plates to 10 the county treasurer. The county treasurer must validate the 11 special registration plates in the same manner as regular 12 registration plates are validated. The annual special blackout 13 fee for letter-number designated plates is $10, which is in 14 addition to the regular annual registration fee. The annual 15 fee for personalized blackout plates is $5, which is in 16 addition to the annual special blackout fee and the regular 17 annual registration fee. The bill requires the annual special 18 blackout fee to be credited in the same way as the special 19 blackout fee. 20 The bill prohibits the DOT from conditioning the issuance 21 of blackout plates on the receipt of any number of orders for 22 blackout plates. 23 -13- LSB 2785SV (2) 88 ns/tm 13/ 13