HF 2394 (LSB 5607YH (1) 89)

HOUSE FILE 2394

BY  THOMPSON

A BILL FOR

An Act relating to the regulation of specified food establishments and home food establishments.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 137D.1, Code 2022, is amended to read as follows:
   137D.1  Definitions.
   As used in this chapter, unless the context otherwise requires:
   1.  “Food” means any raw, cooked, or processed edible substance, ice, beverage, or ingredient used or intended for use or sale in whole or in part for human consumption.
   2.  “Department” means the department of inspections and appeals.
   1.  “Department” means the department of inspections and appeals.
   2.  “Food” means any raw, cooked, or processed edible substance, ice, beverage, or ingredient used or intended for use or sale in whole or in part for human consumption.
   3.   “Home bakery food establishment” means a business on the premises of a residence in which prepared time/temperature control for safety food is created items are produced for sale or resale, for consumption off the premises, if the business has gross annual sales of prepared food of less than thirty-five fifty thousand dollars for time/temperature control for safety food items. However, “home bakery food establishment” does not include a residence in which food is prepared to be used or sold by churches, fraternal societies, charitable organizations, or civic organizations.
   4.  “Prepared food” means soft pies, bakery products with a custard or cream filling, or baked goods that are a time/temperature control for safety food. “Prepared food” does not include baked goods that are not a time/temperature control for safety food, including but not limited to breads, fruit pies, cakes, or other pastries that are not a time/temperature control for safety food.  “Homemade food item” means a food item, including a nonalcoholic beverage, which is produced and, if packaged, packaged at a home food establishment.
   5.  “Produce” means to prepare a food item by cooking, baking, drying, mixing, cutting, fermenting, preserving, dehydrating, growing, raising, or other process.
   5.  6.  “Time/temperature control for safety food” means a food that requires time and temperature controls for safety to limit pathogenic microorganism growth or toxin formation.
    Sec. 2.  Section 137D.2, Code 2022, is amended to read as follows:
   137D.2  Licenses and inspections.
   1.  A person shall not open or operate a home bakery food establishment until a license has been obtained from the department of inspections and appeals. The department shall collect a fee of fifty dollars for a license. After collection, the fees shall be deposited in the general fund of the state. A license shall expire one year from date of issue. A license is renewable.
   2.  A person shall not sell or distribute from a home bakery food establishment if the home bakery food establishment is unlicensed, the license of the home bakery food establishment is suspended, or the food fails to meet standards adopted for such food by the department.
   3.  An application for a license under this chapter shall be made upon a form furnished by the department and shall contain the items required by it according to rules adopted by the department.
   4.  The department shall regulate, license, and inspect home bakeries food establishments according to standards adopted by rule.
   5.  The department shall provide for the periodic inspection of a home bakery food establishment. The inspector may enter the home bakery food establishment at any reasonable hour to make the inspection. The department shall inspect only those areas related to preparing food for sale.
   6.  The department shall regulate and inspect food prepared at a home bakery food establishment according to standards adopted by rule that are consistent with this chapter. The inspection may occur at any place where the prepared food is created, transported, or stored for sale or resale.
   7.  A home food establishment shall affix or label a homemade food item with the following information:
   a.  Information to identify the name and address of the home food establishment.
   b.  The common name of the food.
   c.  The ingredients of the homemade food item in descending order of predominance.
   d.  The following statement: “This product was produced at a home food establishment. This product may contain allergens.”
    Sec. 3.  Section 137D.3, Code 2022, is amended to read as follows:
   137D.3  Penalty.
   A person who violates a provision of this chapter, including a standard adopted by departmental rule, relating to home bakeries food establishments or prepared foods created homemade food items produced in a home bakery, is guilty of a simple misdemeanor food establishment shall be subject to a civil penalty in the amount of one hundred dollars per violation. Each day that the violation continues constitutes a separate offense violation.
    Sec. 4.  Section 137D.4, Code 2022, is amended to read as follows:
   137D.4  Injunction.
   A person operating a home bakery food establishment or selling prepared foods created at a home bakery food establishment in violation of a provision of this chapter may be restrained by injunction from further operating that home bakery food establishment. If an imminent health hazard exists, the home bakery food establishment must cease operation. Operation shall not be resumed until authorized by the department.
    Sec. 5.  Section 137D.8, Code 2022, is amended to read as follows:
   137D.8  Suspension or revocation of licenses.
   The department may suspend or revoke a license issued to a person under this chapter if any of the following occurs:
   1.  The person’s home bakery food establishment does not conform to a provision of this chapter or a rule adopted pursuant to this chapter.
   2.  The person violates a provision of this chapter or a rule adopted pursuant to this chapter.
   3.  The person conducts an activity constituting a criminal offense in the home bakery food establishment and is convicted of a serious misdemeanor or a more serious offense as a result.
    Sec. 6.  Section 137F.1, Code 2022, is amended by adding the following new subsection:
   NEW SUBSECTION.  2A.  “Cottage food” means the production and sale of food produced at a private residence other than time/temperature control for safety food as provided in section 137F.20.
    Sec. 7.  Section 137F.1, subsection 8, paragraphs d, e, and f, Code 2022, are amended to read as follows:
   d.  Premises which are a home bakery pursuant to food establishment as defined in chapter 137D.
   e.  Premises where a person operates a farmers market, if time/temperature control for safety foods are not sold or distributed from the premises.
   f.  Premises of a residence in which cottage food that is not a time/temperature control for safety food is prepared and sold for consumption off the premises to a consumer customer, if the food is labeled to identify the name and address of the person preparing the food, and the common name of the food.
    Sec. 8.  Section 137F.1, subsection 8, paragraph g, Code 2022, is amended by striking the paragraph.
    Sec. 9.  NEW SECTION.  137F.20  Cottage food —— requirements.
   Cottage food is exempt from all licensing, permitting, inspection, packaging, and labeling laws of the state if the food is sold and delivered by the producer directly to the consumer, or delivered by mail or an agent of the producer. A producer may sell food to the consumer in person, remotely, by telephone, by internet, by an agent of the producer, or by a third-party vendor to the consumer.
   1.  The food shall be affixed or labeled with the following information:
   a.  Information to identify the name and address of the home food establishment.
   b.  The common name of the food.
   c.  The ingredients of the homemade food item in descending order of predominance.
   d.  The following statement: “This product was produced at a home food establishment. This product may contain allergens.”
   2.  In addition to the transactions permitted under this section, cottage food producers may sell food made in a private residence to the maximum extent permitted by federal law. Nothing in this section shall be construed to be more restrictive than applicable federal requirements.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill relates to the sale and production of food produced by private residences.
   The bill modifies the definition of “home bakery” to “home food establishment” and makes conforming amendments. The bill defines “homemade food item” to mean a food that is produced and, if packaged, packaged at a home food establishment. The bill defines “produce” to mean food prepared by cooking, baking, drying, mixing, cutting, fermenting, preserving, dehydrating, growing, raising, or other food methods.
   The bill provides that a violation of the bill’s provisions may result in a $100 fine. The bill provides that a home food establishment shall label homemade food items with information including the name of the food producer, the name of the food, the ingredients, and a disclaimer. Current law provides that a home bakery is guilty of a simple misdemeanor for violations of Code chapter 137D.
   The bill defines “cottage food” to mean the production and sale of food produced at a private residence that is not a time/temperature control for safety food. The bill provides that cottage food is exempt from all licensing, permitting, inspection, packaging, and labeling upon certain conditions being met. The conditions include the manner of sale between a food producer and consumer, a requirement of labeling regarding the name and address of the producer, the name of the food, the ingredients, and a disclaimer.
   Current law does not include a kitchen in a private home where food is prepared or stored for family consumption or a kitchen in a bed and breakfast home in the definition of “food establishment” for purposes of Code chapter 137F. The bill strikes this exclusion.