HF 2505 (LSB 6143YH (2) 90)

HOUSE FILE 2505

BY  RINKER

A BILL FOR

An Act relating to state services and benefits provided to veterans, including state grants, public assistance programs, business fee waivers, substance use disorder programs, mental health and disability services, undergraduate tuition and fees, disabled veteran tax credits, department of natural resources’ licenses and fees, civil litigation priority, vehicle registration fees, and driver’s licenses, making penalties applicable, making appropriations, and including effective date provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

DIVISION I
VETERAN PREFERENCE —— STATE GRANTS

    Section 1.  NEW SECTION.  35.4  Veteran preference —— state grants.
   1.  A state agency shall give preference to a veteran over other applicants of no greater qualifications for the award of a grant that is overseen, implemented, or funded by the state.
   2.  For purposes of this section, “state agency” means the same as defined in section 8.11.
DIVISION II
VETERAN PREFERENCE —— PUBLIC ASSISTANCE PROGRAMS

    Sec. 2.  NEW SECTION.  35C.10  Veterans preference —— public assistance programs.
   Veterans who are citizens and residents of the United States are entitled to preference for assistance programs including but not limited to public assistance pursuant to chapter 239, the family investment program pursuant to chapter 239B, the supplemental nutrition program for women, infants, and children, the state child care assistance program established pursuant to section 237A.13, and the United States department of housing and urban development housing choice voucher program.
DIVISION III
BUSINESS FEE WAIVERS

    Sec. 3.  Section 9.11, unnumbered paragraph 1, Code 2024, is amended to read as follows:
   As used in this subchapter part, unless the context otherwise requires:
    Sec. 4.  Section 9.12, Code 2024, is amended to read as follows:
   9.12  Rules.
   The secretary shall adopt rules pursuant to chapter 17A necessary or desirable to administer this subchapter part, including by offering and performing extra filing services upon request by filers. The rules may increase the amount of a surcharge implemented, assessed, and collected, or modify the period of service as provided under this subchapter part. 
    Sec. 5.  NEW SECTION.  9.21  Definitions.
   As used in this part, unless the context otherwise requires:
   1.  “Secretary” means the secretary of state.
   2.  “Waiver” means a military service filing fee waiver as provided in sections 9.22 and 9.23.
    Sec. 6.  NEW SECTION.  9.22  Rules.
   1.  The secretary of state shall adopt rules pursuant to chapter 17A necessary or desirable to administer this part.
   2.  The rules adopted pursuant to subsection 1 shall at least provide procedures governing a request by a qualified business entity to receive a military service filing fee waiver from the secretary, the secretary’s approval or rejection of that request, and the qualified business entity’s receipt and use of that waiver by an eligible filer, all as provided in sections 9.24 and 9.25.
    Sec. 7.  NEW SECTION.  9.23  Fees not subject to waiver.
   1.  This part does not apply to waive a fee imposed on a filed select document if the qualified business entity receives the waiver after the select document is filed, unless the secretary of state allows for the refund of such fee.
   2.  This part does not prohibit the refund of a filing fee otherwise authorized by another provision of law.
    Sec. 8.  NEW SECTION.  9.24  Military service filing fee waiver.
   Notwithstanding any other provision of law to the contrary, the secretary of state shall establish a military service filing fee waiver. The waiver shall apply to select documents, if filed on behalf of a qualified business entity by an eligible filer, and approved by the secretary, as provided in section 9.25.
    Sec. 9.  NEW SECTION.  9.25  Qualifications for business entities, eligibility for filers, and selection of documents —— criteria.
   1.  A business entity qualifies to receive a military service filing fee waiver if the business entity is any of the following:
   a.  A domestic limited partnership formed under chapter 488 or a foreign limited partnership transacting business in this state under that chapter.
   b.  A domestic limited liability company formed under chapter 489 or a foreign limited liability company doing business in this state under that chapter.
   c.  A domestic corporation formed under chapter 490 or a foreign corporation doing business in this state under that chapter.
   d.  A domestic nonprofit corporation formed under chapter 504 or a foreign nonprofit corporation transacting business in this state under that chapter.
   2.  An individual is eligible to sign for filing a select document receiving a waiver on behalf of the qualified business entity, if the individual is all of the following:
   a.  An interest holder in the qualified business entity.
   b.  Any of the following:
   (1)  An officer or enlisted member serving in the armed forces of the United States, including any component, part, or corps of the armed forces of the United States, as described in chapter 29A.
   (2)  An officer or enlisted member of the national guard or organized reserves of the armed forces of the United States; any regular, reserve, or auxiliary member of the United States coast guard; or any member of the civil air patrol.
   (3)  A veteran as defined in section 35.1.
   3.  A document is selected to receive a waiver only if the document is named in the following:
   a.  Section 488.117A, subsection 1, for limited partnerships.
   b.  Section 489.122, subsection 1, for limited liability companies.
   c.  Section 490.122, subsection 1, for corporations.
   d.  Section 504.113, subsection 1, for nonprofit corporations.
   4.  The secretary by rule may provide for all of the following:
   a.  Additional requirements for the qualifications of a business entity, the eligibility of a filer, or a document’s selection for waiver.
   b.  A routine approval process.
    Sec. 10.  Section 488.117A, subsection 1, unnumbered paragraph 1, Code 2024, is amended to read as follows:
   The Except as provided in subsection 4, the secretary of state shall collect the following fees when the documents described in this subsection are delivered to the secretary’s office for filing:
    Sec. 11.  Section 488.117A, Code 2024, is amended by adding the following new subsection:
   NEW SUBSECTION.  4.  A limited partnership, filing as a qualified business entity under chapter 9, subchapter II, part 2, may request and shall receive a military service filing fee waiver for a select document named in subsection 1.
    Sec. 12.  Section 489.122, subsection 1, unnumbered paragraph 1, Code 2024, is amended to read as follows:
   The Except as provided in subsection 3A, the secretary of state shall collect the following fees when documents described in this subsection are delivered to the secretary’s office for filing:
    Sec. 13.  Section 489.122, Code 2024, is amended by adding the following new subsection:
   NEW SUBSECTION.  3A.  A limited liability company, or foreign limited liability company, filing as a qualified business entity under chapter 9, subchapter II, part 2, may request and shall receive a military service filing fee waiver for a select document named in subsection 1.
    Sec. 14.  Section 490.122, subsection 1, unnumbered paragraph 1, Code 2024, is amended to read as follows:
   The Except as provided in subsection 4, the secretary of state shall collect the following fees when the documents described in this subsection are delivered to the secretary of state for filing:
    Sec. 15.  Section 490.122, Code 2024, is amended by adding the following new subsection:
   NEW SUBSECTION.  4.  A corporation, or a foreign corporation, filing as a qualified business entity under chapter 9, subchapter II, part 2, may request and shall receive a military service filing fee waiver for a select document named in subsection 1.
    Sec. 16.  Section 504.113, subsection 1, unnumbered paragraph 1, Code 2024, is amended to read as follows:
   The Except as provided in subsection 4, the secretary of state shall collect the following fees, as provided by the secretary of state, when the documents described in this subsection are delivered for filing:
    Sec. 17.  Section 504.113, Code 2024, is amended by adding the following new subsection:
   NEW SUBSECTION.  4.  A corporation, filing as a qualified business entity under chapter 9, subchapter II, part 2, may request and shall receive a military service filing fee waiver for a select document named in subsection 1.
    Sec. 18.  EFFECTIVE DATE.  This division of this Act takes effect January 1, 2025.
DIVISION IV
SUBSTANCE USE DISORDER PROGRAMS —— MENTAL HEALTH AND DISABILITY SERVICES

    Sec. 19.  NEW SECTION.  125.35  Veterans —— priority assistance.
   Each facility licensed under this chapter that maintains a wait list for care, maintenance, or treatment of persons with a substance use disorder shall place a veteran, as defined in section 35.1, on the wait list in a position that allows the veteran priority for acceptance into the treatment program under section 125.32 before any person on the wait list who is not a veteran, but after each veteran currently on the wait list.
    Sec. 20.  NEW SECTION.  225C.22  Veterans —— priority assistance.
   Each service provider operating through the mental health and disability services regional service system that maintains a wait list for mental health or disability services shall place a veteran, as defined in section 35.1, on the wait list in a position that allows the veteran to receive the services before any person on the wait list who is not a veteran, but after each veteran currently on the wait list.
DIVISION V
WAIVER OF UNDERGRADUATE TUITION AND MANDATORY FEES

    Sec. 21.  Section 262.9, Code 2024, is amended by adding the following new subsection:
   NEW SUBSECTION.  17A.  a.  Subject to paragraph “b”, adopt rules that require institutions of higher education under its control to waive all undergraduate tuition and mandatory fees for veterans or a dependent of a veteran, if designated by a veteran, while the veteran or dependent is enrolled in the institution of higher education, if all of the following requirements are satisfied:
   (1)  The veteran was a resident of this state immediately prior to joining the armed forces of the United States.
   (2)  The veteran was discharged from the armed forces of the United States under honorable conditions.
   (3)  The veteran resides in this state immediately prior to applying to enroll, or prior to the dependent applying to enroll, in the institution of higher education.
   b.  The rules shall not waive an amount of tuition and mandatory fees that exceeds the difference between the combined amount of tuition and mandatory fees charged by the institution less any federal financial aid award the veteran or dependent receives under any federal program that provides financial aid to veterans.
   c.  For purposes of this subsection:
   (1)  “Dependent” means the spouse or child of a veteran.
   (2)  “Veteran” means the same as defined in section 35.1.
DIVISION VI
DRIVER’S LICENSE —— VETERAN STATUS —— FEES

    Sec. 22.  Section 321.189, subsection 8, Code 2024, is amended to read as follows:
   8.  Veterans Veteran status.  A licensee who is an honorably discharged a veteran of the armed forces of the United States, as defined in section 35.1, may request that the license be marked to reflect the licensee’s veteran status. Upon such a request, the word “VETERAN” shall be marked prominently on the face of the license. Such a license shall be issued upon receipt of satisfactory proof of veteran status pursuant to procedures established by the department in consultation with the department of veterans affairs, or upon presentation of the licensee’s certification of release or discharge from active duty, DD form 214, to the department at the time of the licensee’s request, if the form indicates the licensee was honorably discharged. If the license is issued upon presentation of the licensee’s certification of release or discharge from active duty, DD form 214, the department shall notify the commission of veteran affairs of the county of the licensee’s residence that the licensee was issued a license marked to reflect the licensee’s veteran status. After receiving notification from the department, the commission of veteran affairs shall initiate contact with the licensee. 
    Sec. 23.  Section 321.191, subsection 10, paragraph a, Code 2024, is amended to read as follows:
   a.  The fees set forth under subsections 2, 3, 4, and 5 to an applicant who is a veteran with a permanent service-connected disability rating of one hundred percent, as certified by the United States department of veterans affairs, as defined in section 35.1.
DIVISION VII
VEHICLE REGISTRATION FEES —— VETERANS EXEMPT

    Sec. 24.  Section 321.105, Code 2024, is amended by adding the following new subsection:
   NEW SUBSECTION.  6.  A veteran, as defined in section 35.1, who is not otherwise exempt under subsection 5, is exempt from payment of annual registration fees provided in this chapter for not more than three vehicles registered by the veteran, if the veteran resides in Iowa. The veteran shall be provided, without fee, one set of regular registration plates for each vehicle. In lieu of the set of regular registration plates available without fee, the veteran may obtain a set of special registration plates or personalized registration plates issued under section 321.34 by paying the additional fees associated with those plates.
DIVISION VIII
DISABLED VETERAN TAX CREDIT

    Sec. 25.  NEW SECTION.  426D.1  Disabled veterans property tax credit.
   1.  For purposes of this section, “qualifying veteran” means a person who meets the definition of a veteran under section 35.1, and has a disability rating of twenty percent or more as certified by the United States department of veterans affairs.
   2.  A qualifying veteran shall be allowed a credit on each property that is owned solely by the qualifying veteran or jointly by the qualifying veteran and the qualifying veteran’s spouse.
   3.  The amount of the credit under this section on a property shall be equal to the property tax owed on the property multiplied by the disability rating given to the qualifying veteran as certified by the United States department of veterans affairs, up to a maximum reduction of ten thousand dollars per property.
   4.  The credit allowed under this section shall continue until the later to occur of the following:
   a.  The qualifying veteran dies.
   b.  The qualifying veteran’s surviving spouse dies or the qualifying veteran’s surviving spouse remarries, whichever is earlier.
   5.  a.  Except as provided in paragraph “b”, the list of the names and addresses of individuals allowed a credit under this section and maintained by the county recorder, county treasurer, county assessor, city assessor, or other government body is confidential information and shall not be disseminated to any person unless otherwise ordered by a court or released by the lawful custodian of the records pursuant to state or federal law. The county recorder, county treasurer, county assessor, city assessor, or other government body responsible for maintaining the names and addresses of individuals allowed a credit under this section may display the credit on individual paper records and individual electronic records, including display on an internet site.
   b.  Upon request, a county recorder, county assessor, city assessor, or other entity may share information as described in paragraph “a” with a county veterans service officer for purposes of providing information on benefits and services available to veterans and their families.
    Sec. 26.  NEW SECTION.  426D.2  Computation by auditor.
   On or before August 1 of each year, the county auditor shall certify to the county treasurer all claims for disabled veteran tax credits which have been allowed by the board of supervisors. Such certificate shall list the total amount of dollars, listed by taxing district in the county, due for disabled veteran tax credits claimed and allowed. The county treasurer shall certify to the department of revenue the amount of dollars, listed by taxing district in the county, due for disabled veteran tax credits claimed and allowed.
    Sec. 27.  NEW SECTION.  426D.3  Certification by director of revenue.
   Sums distributable from the general fund of the state shall be allocated annually to the counties of the state. On September 15 of each year, the director of revenue shall certify and the department of administrative services shall draw warrants to the treasurer of each county payable from the general fund of the state in the amount claimed. Payments shall be made to the treasurer of each county no later than September 30 of each year.
    Sec. 28.  NEW SECTION.  426D.4  Proportionate shares to districts.
   The amount of credits received under this chapter shall be apportioned by each county treasurer to the several taxing districts. Each taxing district shall receive its share of the disabled veteran tax credit allowed in the taxing district on a property in an amount equal to the proportion of the levy made by the taxing district in relation to the total of all levies made on the property.
    Sec. 29.  NEW SECTION.  426D.5  Setting aside allowance.
   If the department of revenue determines that a claim for disabled veteran tax credit has been allowed by a board of supervisors which is not justifiable under the law and not substantiated by proper facts, the department may, at any time within thirty-six months from July 1 of the year in which the claim is allowed, set aside the allowance. Notice of the disallowance shall be given to the county auditor of the county in which the claim has been improperly granted and a written notice of the disallowance shall also be addressed to the claimant at the claimant’s last known address. The claimant or the board of supervisors may appeal to the director of revenue within thirty days from the date of the notice of disallowance. The director shall grant a hearing and if, upon the hearing, the director determines that the disallowance was incorrect, the director shall set aside the disallowance. The director shall notify the claimant and the board of supervisors of the result of the hearing. The claimant or the board of supervisors may seek judicial review of the action of the director of revenue in accordance with chapter 17A. If a claim is disallowed by the department of revenue and not appealed to the director of revenue or appealed to the director of revenue and subsequently upheld upon final resolution, including judicial review, the credits allowed and paid from the general fund of the state become a lien upon the property on which the credit was originally granted if the property is still owned by the claimant and not a bona fide purchaser. The amount owing on the lien shall be collected by the county treasurer in the same manner as other taxes, and the collections shall be returned to the department of revenue and credited to the general fund of the state. The director of revenue may institute legal proceedings against a disabled veteran tax credit claimant for the collection of payments made on disallowed credits.
    Sec. 30.  NEW SECTION.  426D.6  Forms —— rules.
   1.  The director of revenue shall prescribe the form for making a verified statement and designating property for the disabled veteran tax credit and such other forms as may be necessary for the proper administration of this chapter. The department of revenue shall forward to each county auditor prescribed sample forms.
   2.  The department of revenue shall adopt rules pursuant to chapter 17A to implement and administer this chapter.
    Sec. 31.  NEW SECTION.  426D.7  Excess remitted —— appeals.
   1.  If the amount of credit apportioned to any property eligible for a disabled veteran tax credit under this chapter in any year shall exceed the total tax, exclusive of any special assessments levied against such property eligible for the disabled veteran tax credit, then the excess shall be remitted by the county treasurer to the department of revenue to be redeposited in the general fund of the state and reallocated the following year by the department.
   2.  a.  If any claim for a credit made has been denied by the board of supervisors, and the action is subsequently reversed on appeal, the credit shall be allowed on the assessed valuation, not to exceed the amount of the disabled veteran tax credit involved in the appeal, as was allowed on other disabled veteran tax credit valuations for the year or years in question, and the director of revenue, the county auditor, and the county treasurer shall credit and change their books and records accordingly.
   b.  If the appealing taxpayer has paid one or both of the installments of the tax payable in the year or years in question on the disabled veteran tax credit valuation, remittance shall be made to the county treasurer in the amount of such credit.
   c.  The amount of the credit shall be allocated and paid from the surplus redeposited in the general fund of the state provided for in subsection 1.
    Sec. 32.  NEW SECTION.  426D.8  Erroneous credits.
   If any claim is allowed, and subsequently reversed on appeal, any credit shall be void, and the amount of the credit shall be charged against the property in question, and the director of revenue, the county auditor, and the county treasurer shall correct their books and records. The amount of the erroneous credit, when collected, shall be returned by the county treasurer to the general fund of the state.
    Sec. 33.  NEW SECTION.  426D.9  Allowance —— continuing effectiveness.
   1.  The assessor shall retain a permanent file of current disabled veteran tax credit claims filed in the assessor’s office. The assessor shall file a notice of transfer of property for which a claim is filed when notice is received from the office of the county recorder, from the person who sold or transferred the property, or from the personal representative of a deceased claimant.
   2.  The county recorder shall give notice to the assessor of each transfer of title filed in the recorder’s office. The notice shall describe the property transferred, the name of the person transferring the title to the property, and the name of the person to whom title to the property has been transferred.
   3.  Not later than July 6 of each year, the assessor shall remit the claims and designations of property to the county auditor with the assessor’s recommendation for allowance or disallowance. If the assessor recommends disallowance of a claim, the assessor shall submit the reasons for the recommendation, in writing, to the county auditor.
   4.  The county auditor shall forward the claims to the board of supervisors. The board shall allow or disallow the claims. If the board disallows a claim, it shall send written notice, by mail, to the claimant at the claimant’s last known address. The notice shall state the reasons for disallowing the claim for the credit. The board is not required to send notice that a claim is disallowed if the claimant voluntarily withdraws the claim.
   5.  Any person whose claim is denied under the provisions of this chapter may appeal from the action of the board of supervisors in the district court of the county in which said claimed disabled veteran tax credit is situated by giving written notice of such appeal to the county auditor of said county within twenty days from the date of mailing of notice of such action by the board of supervisors.
   6.  Upon adoption of a resolution by the county board of supervisors, any person may request, in writing, from the appropriate assessor forms for the filing for a disabled veteran tax credit. The person may complete the form, which shall include a statement claiming the disabled veteran tax credit and designating the property upon which the tax credit is claimed, and mail or return it to the appropriate assessor. The signature of the claimant on the claim shall be considered the claimant’s acknowledgment that all statements and facts entered on the form are correct to the best of the claimant’s knowledge.
    Sec. 34.  NEW SECTION.  426D.10  Penalty.
   Any person making a false affidavit for the purpose of obtaining the credit provided for in this chapter or who knowingly receives the credit without being legally entitled to the credit, shall be guilty of a fraudulent practice.
    Sec. 35.  NEW SECTION.  426D.11  Appropriations.
   There is appropriated from the general fund of the state the amounts necessary to fund the credits provided under this chapter.
DIVISION IX
DEPARTMENT OF NATURAL RESOURCES —— LICENSES AND FEES

    Sec. 36.  Section 455A.14, Code 2024, is amended by adding the following new subsection:
   NEW SUBSECTION.  6.  The department shall not require a veteran to pay a fee established by the department pursuant to this section. The department of veterans affairs shall assist the department in verifying the status or claims of applicants under this subsection. As used in this subsection, “veteran” means the same as defined in section 35.1.
    Sec. 37.  NEW SECTION.  462A.5B  Veteran registration fee.
   A veteran who submits a proper application for a vessel registration pursuant to section 462A.5 shall receive a registration certificate from the county recorder without paying a registration or writing fee. The department of veterans affairs shall assist the department and the county recorder’s office in verifying the status or claims of applicants under this section. As used in this section, “veteran” means the same as defined in section 35.1.
    Sec. 38.  Section 483A.1, subsection 1, Code 2024, is amended to read as follows:
   1.  a.  Except as otherwise provided in this chapter, a person shall not fish, trap, hunt, pursue, catch, kill, take in any manner, use, have possession of, sell, or transport all or a part of any wild animal, bird, game, turtle, or fish, the protection and regulation of which is desirable for the conservation of resources of the state, without first obtaining a license for that purpose, and the payment of a fee as established by rules adopted by the commission pursuant to chapter 17A.
   b.  A veteran applying for any hunting, fur harvester, or fishing license issued pursuant to paragraph “a”, whether general or specific, is not required to pay a fee to obtain the license. The department of veterans affairs shall assist the department in verifying the status or claims of applicants under this paragraph. As used in this paragraph, “veteran” means the same as defined in section 35.1.
    Sec. 39.  Section 483A.3, subsection 1, Code 2024, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  e.  A veteran who has obtained a valid hunting or fur harvester license pursuant to section 483A.1 is not required to pay the wildlife habitat fee for that license. The department of veterans affairs shall assist the department in verifying the status or claims of applicants under this paragraph. As used in this paragraph, “veteran” means the same as defined in section 35.1.
    Sec. 40.  Section 483A.6, Code 2024, is amended to read as follows:
   483A.6  Trout fishing fee.
   Any person required to have a fishing license, except for a veteran, shall not fish for or possess trout unless that person has paid the trout fishing fee.  The department shall not require a veteran to pay a trout fishing fee. The proceeds from the fee shall be used exclusively for the trout program designated by the commission. The commission may grant a permit to a community event in which trout will be stocked in water which that is not designated trout water and a person may catch and possess trout during the period and from the water covered by the permit without having paid the trout fishing fee.  For purposes of this section, “veteran” means the same as defined in section 35.1.
    Sec. 41.  Section 483A.24, subsections 16 and 19, Code 2024, are amended to read as follows:
   16.  Upon payment of the fee established by rules adopted pursuant to section 483A.1 application for a lifetime fishing license or lifetime hunting and fishing combined license, the department shall issue a lifetime fishing license or lifetime hunting and fishing combined license to a resident of Iowa who has served in the armed forces of the United States on federal active duty and who was disabled or was a prisoner of war during that veteran’s military service. The department shall prepare an application to be used by a person requesting a lifetime fishing license or lifetime hunting and fishing combined license under this subsection. The department of veterans affairs shall assist the department in verifying the status or claims of applicants under this subsection. As used in this subsection, “disabled” means entitled to a service connected rating under  38 U.S.C. ch. 11.
   19.  Upon payment of a fee established by rules adopted pursuant to section 483A.1 application for a lifetime trout fishing license, the department shall issue a lifetime trout fishing license to a person who is at least sixty-five years of age or to a person who qualifies for the disabled veteran homestead credit under section 425.15. The department shall prepare an application to be used by a person requesting a lifetime trout fishing license under this subsection.
DIVISION X
CIVIL LITIGATION BY VETERANS

    Sec. 42.  NEW SECTION.  610B.1  Civil actions or appeals brought by veterans.
   If a person bringing a civil action or appeal is a veteran, as defined in section 35.1, the court shall make every effort to grant the veteran priority over other actions brought by other persons, including granting the highest scheduling priority to a veteran’s proceedings.
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 state services and benefits provided to veterans.
   DIVISION I —— VETERANS PREFERENCE —— STATE GRANTS. This division requires a state agency to give preference to a veteran over another applicant of similar qualifications for the award of a grant that is overseen, implemented, or funded by the state.
   DIVISION II —— VETERAN PREFERENCE —— PUBLIC ASSISTANCE PROGRAMS. This division requires the state to provide veterans who are citizens and residents of the United States a preference for assistance programs including but not limited to public assistance, the family investment program, the supplemental nutrition program for women, infants, and children, the state child care assistance program, and the United States department of housing and urban development housing choice voucher program.
   DIVISION III —— BUSINESS FEE WAIVERS.
   BACKGROUND (BUSINESS ENTITIES). A business entity is a general term for an association formed to conduct business under several types of organizational structures recognized by law (e.g., partnership and limited partnership, business and nonprofit corporation, limited liability company, and cooperative). Generally, a business entity may be formed as a domestic business entity in its home state or as a foreign business entity doing business in a state although it was formed in another home state. In Iowa, a business entity is governed under its own dedicated Code chapter, often based on model legislation with fee amounts reserved for decision by the enacting body. In Iowa, like most states, a business entity is under the general authority of the secretary of state (secretary).
   SUMMARY. This division provides that a qualified business entity that requests and receives a military service filing fee waiver (waiver) from the secretary is not required to submit a fee for filing a number of select documents. The division specifies qualifications for a business entity, eligibility for the filer of a select document, and the names of select documents having fees waived, subject to further requirements that the secretary may adopt by rule.
   STATUTORY ORGANIZATION. The division amends Code chapter 9 establishing the secretary’s office. Specifically, it enacts new provisions in subchapter II of that Code chapter which currently includes provisions authorizing extra filing services. It also amends various Code chapters each of which governs a specific type of business entity. The division amends the principal Code section in each such Code chapter that includes a laundry list of fees for filing documents.
   IN DETAIL —— QUALIFIED BUSINESS ENTITIES. First, in order to receive a waiver, the business entity must be qualified, meaning that the waiver is limited to a domestic or foreign limited partnership (Code chapter 488); domestic or foreign limited liability company (Code chapter 489); domestic or foreign business corporation (Code chapter 490); and domestic or foreign nonprofit corporation (Code chapter 504).
   IN DETAIL —— ELIGIBLE FILERS. Second, an individual acting on behalf of the qualified business entity must meet eligibility criteria. The individual must sign the document; must be an interest holder in the qualified business entity; and must be serving in the United States armed forces, the national guard or organized reserves, the United States coast guard, or the civil air patrol, or alternatively must be a veteran.
   IN DETAIL —— SELECT DOCUMENTS FOR FILING. Third, the filed document must be selected to receive the waiver. A select document may include those associated with the business entity’s organization, name, registered agent or registered office, domestication or conversion, merger, dissolution or reinstatement, foreign registration, correction, validation, biennial report, or other document required or permitted to be filed. The amount of the fee ranges from $100 to $5. 
   EFFECTIVE DATE. This division takes effect January 1, 2025.
   DIVISION IV —— SUBSTANCE USE DISORDER PROGRAMS —— MENTAL HEALTH AND DISABILITY SERVICES. This division requires each facility licensed under Code chapter 125 (substance use disorders) that maintains a wait list for care, maintenance, or treatment of persons with a substance use disorder to place a veteran on the wait list in a position that allows the veteran priority for acceptance into the treatment program before any person on the wait list who is not a veteran, but after each veteran currently on the wait list.
   The division requires each service provider operating through the mental health and disability services regional service system that maintains a wait list for mental health or disability services to place a veteran on the wait list in a position that allows the veteran to receive the services before any person on the wait list who is not a veteran, but after each veteran currently on the wait list.
   DIVISION V —— WAIVER OF UNDERGRADUATE TUITION AND MANDATORY FEES. This division requires the state board of regents to adopt rules that waive undergraduate tuition and mandatory fees for veterans, or a dependent of the veteran, while the veteran or dependent is enrolled in the institution of higher education under the board’s control, if the veteran was a resident of this state immediately prior to joining the armed forces of the United States, was discharged under honorable conditions, and resides in this state immediately prior to applying to enroll, or prior to the dependent applying to enroll, in the institution.
   The division provides that the rules shall not waive an amount of tuition and mandatory fees that exceeds the difference between the combined amount of tuition and mandatory fees charged by the institution less any federal financial aid award the veteran or dependent receives.
   The division defines “dependent” to mean the spouse or child of a veteran. The division defines “veteran” by reference to Code section 35.1.
   DIVISION VI —— DRIVER’S LICENSE —— VETERAN STATUS —— FEES.  This division of the bill relates to driver’s licenses issued to veterans.
   Current law requires the department of transportation (DOT) to mark a driver’s license with the word “VETERAN” if the applicant is a qualifying veteran. Under Code section 321.189, a licensee must be an honorably discharged veteran of the armed forces of the United States to qualify for a veteran status license. The DOT has adopted administrative rules defining “veteran” for purposes of licensees requesting a veteran status license (761 IAC 605.5(7)(e)). The bill strikes certain existing service qualifications and instead references the definition of “veteran” provided in Code section 35.1. 
   Under current law, the DOT is prohibited from charging a fee to issue a noncommercial driver’s license or license valid for motorcycles to an applicant who is a veteran with a permanent service-connected disability rating of 100 percent, as certified by the United States department of veterans affairs. The bill prohibits the DOT from charging a fee to issue a noncommercial driver’s license ($4 per year of validity), license for chauffeurs ($8 per year of validity), commercial driver’s license ($8 per year of license validity), or license valid for motorcycles (an additional fee of $2 per year of validity) to a veteran, as defined in Code section 35.1. 
   DIVISION VII —— VEHICLE REGISTRATION FEES —— VETERANS EXEMPT. This division of the bill relates to registration fees for vehicles owned by veterans.
   Current law exempts seriously disabled veterans who have been provided with an automobile or other vehicle by the United States government from paying motor vehicle registration fees. The bill exempts all other veterans who reside in Iowa from paying annual vehicle registration fees for not more than three vehicles registered by the veteran, and provides for one free set of regular registration plates for each vehicle. In lieu of the set of regular registration plates available without fee, a veteran may obtain a set of special registration plates or personalized registration plates by paying the additional fees associated with those plates under current law. Under current law, several special registration plates relating to service in the armed forces are available at no charge to eligible persons.
   DIVISION VIII —— DISABLED VETERANS PROPERTY TAX CREDIT.  This division creates a property tax credit for certain veterans.
   The division defines “qualifying veteran” as a person who meets the definition of a veteran under Code section 35.1 (veterans affairs), and has a disability rating of 20 percent or more as certified by the United States department of veterans affairs.
   The division allows a qualifying veteran a credit on each amount of the credit on each property that is owned solely by the qualifying veteran or jointly by the qualifying veteran and the qualifying veteran’s spouse. The amount of the credit on a property is equal to the property tax owed on the property multiplied by the disability rating given to the qualifying veteran as certified by the United States department of veterans affairs, up to a maximum reduction of $10,000 per property.
   The division allows the credit to continue until the later to occur between the qualifying veteran’s death and the earlier to occur between the qualifying veteran’s surviving spouse’s death or remarriage.
   Except upon a county veterans service officer’s request for the purposes of providing information on benefits and services available to veterans and their families, the bill makes confidential the list of the names and addresses of individuals allowed a credit under the bill and maintained by the county recorder, county treasurer, county assessor, city assessor, or other government body. The bill prohibits this information from being disseminated to any person unless otherwise ordered by a court or released by the lawful custodian of the records pursuant to state or federal law. The county recorder, county treasurer, county assessor, city assessor, or other government body responsible for maintaining the names and addresses of individuals allowed a credit may display the credit on individual paper records and individual electronic records, including display on an internet site. Upon request, a county recorder, county assessor, city assessor, or other entity may share information with a county veterans service officer for purposes of providing information on benefits and services available to veterans and their families.
   The division requires the department of revenue, the department of administrative services, county auditors, county treasurers, and assessors to administer the disabled veteran tax credit in a manner similar to the military service tax credit and exemptions in Code chapter 426A.
   The division makes any person who makes a false affidavit for the purpose of obtaining the disabled veteran tax credit or who knowingly receives the credit without being legally entitled to the credit guilty of a fraudulent practice. A fraudulent practice is punishable based on the amount of value involved, and may range from a simple misdemeanor punishable by a fine up to $300, to a class “C” felony punishable by confinement for no more than 10 years and a fine of at least $1,370 but not more than $13,660.
   The division appropriates from the general fund of the state amounts necessary to fund the disabled veteran tax credit.
   DIVISION IX —— DEPARTMENT OF NATURAL RESOURCES — LICENSES AND FEES. This division provides that the department of natural resources shall not require a veteran to pay a fee for camping and use of rental facilities at state parks and recreation areas. A veteran who applies to register a vessel for use in Iowa waters shall not be assessed a fee to receive the registration certificate. A veteran applying for any hunting, fur harvester, or fishing license is not required to pay the license fee nor the wildlife habitat fee, if applicable. A veteran who was disabled or was a prisoner of war shall not be assessed a fee in applying for a lifetime fishing license and a lifetime hunting and fishing combined license. A veteran may also obtain a lifetime trout fishing license without paying a fee if the veteran is at least 65 years of age or qualifies for the disabled veteran homestead credit, and the department of natural resources shall not require any veteran to pay a trout fishing fee. The department of veteran affairs shall assist the department of natural resources in verifying the status and claims of the veterans applying for recreational privileges for which fees are generally required.
   DIVISION X —— CIVIL LITIGATION BY VETERANS. This division of the bill requires a court to, when able, grant a veteran bringing a civil action or appeal priority over other actions brought by other persons.