House File 319 - Introduced HOUSE FILE 319 BY WILLS A BILL FOR An Act relating to homemade food derived from a commodity 1 produced, processed, prepared, offered for sale, or sold on 2 a farm, including by providing for exemptions from certain 3 regulations. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 1384YH (5) 89 da/ns
H.F. 319 DIVISION I 1 FARM HOMEMADE FOOD 2 Section 1. NEW SECTION . 137G.1 Short title. 3 This chapter shall be known and may be cited as the “Iowa 4 Food Freedom Act” . 5 Sec. 2. NEW SECTION . 137G.2 Definitions. 6 As used in this chapter, unless the context otherwise 7 requires: 8 1. “Commodity” means a food animal or food crop. 9 2. “Consumer” means a person who is the final purchaser of 10 food. 11 3. “Farm” means a location that operates to generate income 12 from the production of commodities, if the income is reported 13 on a schedule F as part of a form 1040 or form 1041 tax return 14 filed with the United States internal revenue service. 15 4. “Farm homemade food” means food derived from a commodity 16 produced on a farm and processed or prepared on the premises of 17 the farm, including a kitchen that is part of a residence or a 18 facility that is not part of a residence. 19 a. “Farm homemade food” may be in either a solid or liquid 20 form, and in a raw or processed state, so long as it is edible 21 in that form and state by humans for its taste or nutritional 22 value. 23 b. “Farm homemade food” includes a commodity that in a raw 24 state includes but is not limited to milk, eggs, vegetables, 25 fruits, nuts, syrup, and honey; and in a processed state 26 includes but is not limited to dairy products, pastries, pies, 27 jellies, cut or pickled fruits and vegetables, meat, poultry 28 products, or fish. 29 5. “Farmers market” means the same as defined in section 30 137F.1. 31 6. “Food” means the same as defined in section 137F.1. 32 7. “Food animal” means livestock, rabbits, poultry, or fish 33 or other aquatic organisms confined in private waters that are 34 commonly consumed by humans as food. 35 -1- LSB 1384YH (5) 89 da/ns 1/ 13
H.F. 319 8. “Food crop” means any plant derived from an agricultural 1 seed or vegetable seed as defined in section 199.1, or any 2 plant producing a commodity listed in section 210.10, if any 3 part of the plant in its raw or processed state is commonly 4 consumed by humans as food. 5 9. “Food establishment” means the same as defined in section 6 137F.1. 7 10. “Food product” means food that is sold or offered for 8 sale as a discrete unit to a consumer. 9 11. “Livestock” means an animal belonging to the bovine, 10 caprine, ovine, or porcine species; ostriches, rheas, or emus; 11 and farm deer as defined in section 170.1. 12 12. “Poultry” means domesticated chickens, turkeys, geese, 13 or ducks. 14 13. “Prepare” means an act relating to storing, inspecting, 15 testing, cleaning, or packaging food. 16 14. a. “Process” means an act related to altering or 17 preserving a food by separating, combining, or treating a 18 commodity, food, or food ingredient, by use of a chemical or 19 biological method; pressure, tools, machinery, or equipment; 20 or temperature. 21 b. “Process” includes but is not limited to heating, drying, 22 curing, mixing, grinding, churning, separating, extracting, 23 slaughtering, cutting, fermenting, distilling, eviscerating, 24 preserving, dehydrating, cooling, chilling, or freezing. 25 15. “Producer” means a person engaged in the production of a 26 commodity including by doing any of the following: 27 a. Keeping and providing for the care and feeding of a food 28 animal on a farm owned or leased by the person, if the food 29 animal is slaughtered and processed into food. 30 b. Keeping and preserving a food crop, if the crop is 31 planted, nurtured, and harvested on a farm owned or leased by 32 the person, and the crop is used as food in a raw or processed 33 state. 34 16. “Sale” means any transfer, exchange, or barter, 35 -2- LSB 1384YH (5) 89 da/ns 2/ 13
H.F. 319 conditional or otherwise, in any manner or by any means 1 whatsoever, for consideration, including but not limited to any 2 such transfer, exchange, or barter on a subscription basis. 3 Sec. 3. NEW SECTION . 137G.3 Purpose. 4 The purpose of this chapter is to allow a qualified producer 5 to offer for sale and sell farm homemade food derived from a 6 commodity produced at a farm owned or leased by the producer in 7 order to do all of the following: 8 1. Facilitate the purchase and consumption of fresh and 9 local food. 10 2. Enhance the agricultural economy. 11 3. Encourage the expansion of agricultural sales at farms 12 and farmers markets. 13 4. Provide Iowa residents with unimpeded access to healthy 14 food from known sources. 15 Sec. 4. NEW SECTION . 137G.4 Administration. 16 This chapter shall be administered by the department of 17 inspections and appeals. The department of inspections and 18 appeals in cooperation with the department of agriculture and 19 land stewardship shall adopt rules necessary to administer this 20 chapter. 21 Sec. 5. NEW SECTION . 137G.5 Exemption from regulation. 22 1. a. A producer who produces, processes, prepares, and 23 offers for sale or sells farm homemade food in compliance with 24 this chapter is exempt from regulation by a state agency or 25 local government exercising authority under chapters 137D, 26 137F, 189, 189A, 190, 191, 192, 194, and 196. 27 b. The exemption described in paragraph “a” applies to any 28 requirement relating to licensure, certification, permitting, 29 testing, inspection, packaging, and labeling of food otherwise 30 required by those chapters. 31 2. This chapter does not apply to any of the following: 32 a. A state agency or local government when exercising powers 33 or performing duties as provided by law other than those powers 34 or duties expressly exempted from regulation as provided in 35 -3- LSB 1384YH (5) 89 da/ns 3/ 13
H.F. 319 subsection 1. 1 b. A producer during the period that the producer is not 2 acting according to requirements necessary to comply with the 3 exemption under this chapter. 4 c. A person offering for sale or selling raw fruits or 5 vegetables. 6 3. This chapter does not preclude the department of 7 inspections and appeals or the department of agriculture and 8 land stewardship from providing a producer with assistance 9 necessary to comply with the requirements of this chapter. 10 A department may consult with a producer or provide for 11 an unenforceable inspection of the producer’s farm where a 12 commodity, food, or food ingredient is produced, processed, 13 prepared, or offered for sale or sold. This chapter does not 14 preclude a state agency from providing a purchaser, including a 15 consumer, with unbiased information regarding compliance with 16 this chapter by a producer or seller. 17 4. This chapter does not restrict a person from offering to 18 sell food or selling food in conformance with another provision 19 of law, including but not limited to an exemption granted to 20 the person under another provision of law. 21 Sec. 6. NEW SECTION . 137G.6 Qualifying producers and other 22 sellers. 23 1. A producer shall not offer for sale or sell farm 24 homemade food unless the producer meets all of the following 25 qualifications: 26 a. The producer did not sell more than two hundred fifty 27 thousand food products during the prior year. 28 b. The producer’s income generated from the sale of all food 29 products during the prior year was not more than two hundred 30 fifty thousand dollars. Any amount owing but not paid to the 31 producer from the sale of food products in the prior year shall 32 be attributable as income generated during that year. 33 c. The producer does not intentionally, knowingly, or 34 recklessly adulterate farm homemade food offered for sale or 35 -4- LSB 1384YH (5) 89 da/ns 4/ 13
H.F. 319 sold under this chapter. 1 2. A person who is not a producer shall not offer for sale 2 or sell farm homemade food unless the person meets all of the 3 following qualifications: 4 a. The person purchases the farm homemade food from a 5 producer complying with this chapter. 6 b. The person only offers for sale or sells the farm 7 homemade food to consumers on a retail basis. 8 c. The person does not offer for sale or sell farm homemade 9 food that is potentially hazardous as provided in section 10 137G.8. 11 Sec. 7. NEW SECTION . 137G.7 Intrastate commerce. 12 Farm homemade food must derive from a commodity produced, 13 processed, prepared, sold, and transported entirely within this 14 state. It is presumed that any farm homemade food that is 15 produced, processed, prepared, sold, and transported entirely 16 in this state is consumed within this state. 17 Sec. 8. NEW SECTION . 137G.8 Potentially hazardous food. 18 1. For purposes of this chapter, food is potentially 19 hazardous if time and temperature control is required to limit 20 any of the following: 21 a. The rapid and progressive growth of infectious or 22 toxigenic microorganisms. 23 b. The growth and toxin production of clostridium botulinum. 24 c. Infections in humans caused by bacteria associated with 25 the consumption of any of the following: 26 (1) Meat, poultry products, and raw milk or raw 27 milk products, including salmonella, escherichia coli, 28 campylobacter, staphylococcus aureus, yersinia, brucella, 29 coxiella, and listeria. 30 (2) Raw or undercooked shell eggs, including the bacteria 31 salmonella enteritidis. 32 2. Potentially hazardous food includes but is not limited to 33 perishable food requiring refrigeration, such as milk or milk 34 products, eggs, quiches, pizzas, frozen doughs, meat, poultry, 35 -5- LSB 1384YH (5) 89 da/ns 5/ 13
H.F. 319 fish or other aquatic organisms, cooked vegetables, and beans. 1 Sec. 9. NEW SECTION . 137G.9 Sales of potentially hazardous 2 food by nonproducers prohibited. 3 A person other than a producer shall not offer for sale 4 or sell farm homemade food that is potentially hazardous as 5 provided in section 137G.8. 6 Sec. 10. NEW SECTION . 137G.10 Sale of potentially hazardous 7 food by producers —— meat, poultry, and fish. 8 1. A producer shall not offer for sale or sell potentially 9 hazardous farm homemade food as provided in section 137G.8 that 10 includes meat derived from a farm animal produced on the farm 11 owned or leased by the producer, unless all of the following 12 apply: 13 a. The meat is derived from the slaughter of a rabbit raised 14 by the producer. 15 b. The meat is derived from the slaughter of livestock 16 which is subject to a commodity share agreement as provided in 17 section 137G.11. 18 2. A producer shall not offer for sale or sell potentially 19 hazardous farm homemade food that includes a poultry product 20 derived from poultry produced on the farm owned or leased by 21 the producer, unless all of the following apply: 22 a. The poultry product is derived from the slaughter of 23 poultry produced, processed, and prepared by the producer on 24 the farm owned or leased by the producer. 25 b. During the prior year, the producer slaughtered not more 26 than one thousand head of poultry raised by the producer. 27 c. The producer is not licensed as a poultry dealer as 28 provided in section 197.1A. 29 3. A producer shall not offer for sale or sell potentially 30 hazardous farm homemade food that includes fish or other 31 aquatic organisms produced on the farm owned or leased by the 32 producer, unless all of the following apply: 33 a. The fish or other aquatic organism is produced, 34 slaughtered, processed, and prepared by the producer on the 35 -6- LSB 1384YH (5) 89 da/ns 6/ 13
H.F. 319 farm owned or leased by the producer. 1 b. The fish is not catfish. 2 c. The producer is not licensed pursuant to section 3 481A.141. 4 Sec. 11. NEW SECTION . 137G.11 Sale of potentially hazardous 5 food by producers —— commodity share agreements. 6 1. In offering for sale or selling potentially hazardous 7 farm homemade food as provided in section 137G.8 that includes 8 meat derived from the slaughter of livestock on the farm owned 9 or leased by the producer, the producer shall comply with the 10 requirements of 21 U.S.C. §623. 11 2. The producer shall enter into a commodity share agreement 12 with a consumer. The agreement shall include all of the 13 following terms and conditions: 14 a. The consumer owns the livestock to be slaughtered for 15 meat. The form of ownership may be any of the following: 16 (1) An undivided or divided interest in the livestock. 17 (2) A share in a herd of livestock. In that case, 18 the agreement shall specify the process of selecting the 19 consumer-owned livestock to be slaughtered. 20 b. The commodity share agreement shall be entered into 21 by the producer and consumer prior to the slaughter of the 22 livestock owned by the consumer. 23 c. The consumer is provided a bill of sale for the 24 consumer-owned livestock. 25 d. The producer provides for the consumer-owned livestock 26 care and feeding under a boarding arrangement. 27 e. The producer provides for the livestock’s slaughter 28 and the processing and preparation of meat derived from the 29 slaughtered livestock. 30 f. The producer delivers meat derived from the slaughtered 31 livestock to the consumer at the producer’s farm where the 32 livestock was produced. 33 g. The consumer does not transfer meat derived from 34 slaughtered livestock to a person other than to a family member 35 -7- LSB 1384YH (5) 89 da/ns 7/ 13
H.F. 319 or nonpaying guest of the consumer. 1 3. A term or condition described in subsection 2 is not 2 waivable and a contract in violation of that subsection is void 3 and unenforceable in any action seeking a legal remedy. 4 Sec. 12. NEW SECTION . 137G.12 Sale procedures. 5 1. A person offering for sale or selling farm homemade food 6 shall provide a notice to purchasers of the farm homemade foods 7 stating all of the following: 8 a. The food is farm homemade food governed under this 9 chapter by its short title and citation. 10 b. Whether or not the farm homemade food is classified as 11 potentially hazardous. 12 c. That regardless of its classification as potentially 13 hazardous, the farm homemade food is exempt from certain food 14 safety regulations, including inspection requirements, that 15 apply to other food sold to consumers. 16 d. The farm homemade food may contain allergens. 17 2. Except as otherwise provided in this section, the 18 requirements of this section are satisfied if the notice is 19 posted in a conspicuous place at the location where the farm 20 homemade food is offered for sale or sold. 21 3. a. A person offering for sale or selling farm homemade 22 food shall not intermingle the farm homemade food with food 23 that is not farm homemade food. A food establishment shall not 24 store farm homemade food and other food on the same sale shelf 25 or as part of the same display. 26 b. A producer offering for sale or selling farm homemade 27 food that is potentially hazardous as provided in section 28 137G.8 shall not intermingle that farm homemade food with farm 29 homemade food that is not potentially hazardous. 30 4. If a producer offers for sale or sells farm homemade 31 food that is potentially hazardous, all of the following shall 32 apply: 33 a. The farm owned or leased by the producer must have 34 produced the commodity processed or prepared as the farm 35 -8- LSB 1384YH (5) 89 da/ns 8/ 13
H.F. 319 homemade food offered for sale or sold by the producer. 1 b. The retail space where the farm homemade food is offered 2 for sale or sold must be segregated from the retail space where 3 food that is not potentially hazardous is sold or offered for 4 sale. The retail space shall have a separate door and point of 5 sale. 6 c. The retail space where the potentially hazardous farm 7 homemade food is offered for sale or sold must include a sign 8 posted in a conspicuous place stating that the farm homemade 9 food is classified as potentially hazardous. 10 5. The department may adopt rules that provide additional 11 requirements to ensure that a person purchasing farm homemade 12 food, including food that is potentially hazardous, is 13 provided facts presented in an unbiased manner sufficient for a 14 purchaser to make an informed decision regarding the purchase. 15 DIVISION II 16 RELATED CHANGES 17 Sec. 13. NEW SECTION . 137D.9 Exception. 18 This chapter does not apply to the production, processing, 19 preparation, offer for sale, or sale of farm homemade food to 20 the extent allowed under chapter 137G. 21 Sec. 14. NEW SECTION . 137F.20 Exception. 22 This chapter does not apply to the production, processing, 23 preparation, offer for sale, or sale of farm homemade food to 24 the extent allowed under chapter 137G. 25 Sec. 15. NEW SECTION . 189.32 Exception. 26 This chapter does not apply to the production, processing, 27 preparation, offer for sale, or sale of farm homemade food to 28 the extent allowed under chapter 137G. 29 Sec. 16. NEW SECTION . 189A.23 Exception. 30 This chapter does not apply to the production, processing, 31 preparation, offer for sale, or sale of farm homemade food to 32 the extent allowed under chapter 137G. 33 Sec. 17. NEW SECTION . 190.16 Exception. 34 This chapter does not apply to the production, processing, 35 -9- LSB 1384YH (5) 89 da/ns 9/ 13
H.F. 319 preparation, offer for sale, or sale of farm homemade food to 1 the extent allowed under chapter 137G. 2 Sec. 18. NEW SECTION . 191.9A Exception. 3 This chapter does not apply to the production, processing, 4 preparation, offer for sale, or sale of farm homemade food to 5 the extent allowed under chapter 137G. 6 Sec. 19. NEW SECTION . 192.105 Exception. 7 This chapter does not apply to the production, processing, 8 preparation, offer for sale, or sale of farm homemade food to 9 the extent allowed under chapter 137G. 10 Sec. 20. NEW SECTION . 194.26 Exception. 11 This chapter does not apply to the production, processing, 12 preparation, offer for sale, or sale of farm homemade food to 13 the extent allowed under chapter 137G. 14 Sec. 21. NEW SECTION . 196.13A Exception. 15 This chapter does not apply to the production, processing, 16 preparation, offer for sale, or sale of farm homemade food to 17 the extent allowed under chapter 137G. 18 EXPLANATION 19 The inclusion of this explanation does not constitute agreement with 20 the explanation’s substance by the members of the general assembly. 21 GENERAL. This bill creates the “Iowa Food Freedom Act” 22 codified as Code chapter 137G (new Code section 137G.1). The 23 bill provides that a person who produces a commodity on a farm 24 owned or leased by the person (producer) that may be consumed 25 as food (in a raw or processed state) is exempt from regulation 26 by a state agency or local government exercising authority over 27 such sales (new Code section 137G.5). A producer who processes 28 and prepares the farm homemade food at the producer’s farm may 29 sell the farm homemade food on a retail or wholesale basis 30 from any location in this state if the food is not potentially 31 hazardous. If the farm homemade food is potentially hazardous, 32 only the producer may offer for sale or sell the farm homemade 33 food and the sale must occur at the producer’s farm. 34 The exempted regulations provide requirements for licensure, 35 -10- LSB 1384YH (5) 89 da/ns 10/ 13
H.F. 319 certification, permitting, testing, inspection, packaging, 1 and labeling. These include Code chapters administered by 2 the department of inspections and appeals regulating home 3 bakeries (Code chapter 137D), and food establishments and food 4 processing plants (Code chapter 137F). It also includes Code 5 chapters administered by the department of agriculture and 6 land stewardship, including general provisions (Code chapter 7 189), the inspection of meat and poultry slaughter facilities 8 (Code chapter 189A), the inspection, testing, and licensing of 9 dairy facilities (Code chapters 192 and 194), and egg handlers 10 (Code chapter 196). Several of the exempted Code chapters 11 provide for the adulteration of food (Code chapter 190) and 12 the labeling of food (Code chapter 191). The department of 13 inspections and appeals is responsible for administering the 14 bill’s provisions. 15 QUALIFYING PRODUCERS AND SELLERS. In order to be exempt 16 from otherwise applicable regulations, the producer must meet 17 certain qualifications including by not having sold more than 18 a certain number of food products or having earned more than 19 a certain amount from those sales in the prior year. In 20 addition, the producer cannot intentionally, knowingly, or 21 recklessly adulterate the farm homemade food. A person other 22 than a producer is prohibited from offering for sale or selling 23 farm homemade food that is potentially hazardous (new Code 24 section 137G.6). 25 INTRASTATE COMMERCE. In order to be exempt, the farm 26 homemade food must derive from a commodity produced, processed, 27 prepared, sold, and transported entirely within this state. 28 The bill provides that the farm homemade food is presumed to be 29 consumed within this state (new Code section 137G.7). 30 POTENTIALLY HAZARDOUS FOOD. The bill recognizes potentially 31 hazardous food, meaning that the food in its raw or processed 32 state is (1) susceptible to transmitting a foodborne illness 33 (e.g., raw milk), or (2) may have to be preserved using a 34 temperature control such as refrigeration (raw meat) (new 35 -11- LSB 1384YH (5) 89 da/ns 11/ 13
H.F. 319 Code section 137G.8). A person other than a producer cannot 1 offer for sale or sell farm homemade food that is potentially 2 hazardous (new Code section 137G.9). 3 Generally, a producer can only offer for sale or sell farm 4 homemade food that includes meat, poultry, or fish produced on 5 the producer’s farm under certain conditions. In regards to 6 meat derived from slaughtered livestock, a producer may offer 7 for sale or sell meat derived from a slaughtered rabbit (new 8 Code section 137G.10) and meat that is derived from slaughtered 9 livestock which is subject to a commodity share agreement 10 (new Code section 137G.11). Such an agreement recognizes the 11 consumer’s ownership interest in the livestock or a herd, 12 and the duty of the producer to care for and slaughter the 13 livestock and to process and prepare the meat for on-farm 14 delivery to the consumer-owner. The bill also provides that 15 a producer may offer for sale or sell farm homemade food that 16 includes a poultry product if the poultry product is derived 17 from the slaughter of poultry produced, processed, and prepared 18 by the producer. The producer must not have slaughtered a 19 certain number of birds during the prior year and cannot hold 20 a poultry dealer’s license. Finally, the bill provides that 21 a producer may offer for sale or sell farm homemade food that 22 includes fish (other than catfish) or other aquatic organisms. 23 The fish must be produced, processed, and prepared on the farm 24 owned or leased by the producer. In addition, the producer 25 must not be licensed by the department of natural resources as 26 provided in Code section 481A.141. 27 SALE PROCEDURES. The bill provides that a person offering 28 for sale or selling farm homemade food must provide a notice 29 to purchasers that the food is governed under the “Iowa Food 30 Freedom Act”. The notice must also inform the purchaser 31 whether the farm homemade food is potentially hazardous, that 32 it is exempt from certain food safety regulations, and that 33 it may contain allergens. The bill prohibits a seller from 34 intermingling farm homemade food with food that is not farm 35 -12- LSB 1384YH (5) 89 da/ns 12/ 13
H.F. 319 homemade food. The bill includes restrictions regarding the 1 offer for sale or sale of potentially hazardous farm homemade 2 food at the producer’s farm. The retail space where the 3 potentially hazardous food is stored or offered for sale or 4 sold must be segregated from other farm homemade food. The 5 retail space must include a sign posted in a conspicuous 6 place stating that the farm homemade food is classified 7 as potentially hazardous (new Code section 137G.12). The 8 department of inspections and appeals in cooperation with 9 the department of agriculture and land stewardship may adopt 10 rules that provide additional requirements to ensure that a 11 person purchasing farm homemade food, including food that is 12 potentially hazardous, is provided facts to make an informed 13 decision regarding the purchase (new Code section 137G.3). 14 -13- LSB 1384YH (5) 89 da/ns 13/ 13