House File 2229 - Introduced HOUSE FILE 2229 BY COMMITTEE ON COMMERCE (SUCCESSOR TO HSB 513) A BILL FOR An Act relating to the administration of the utilities 1 commission, including the creation of the position of 2 executive director and modification of the duties and titles 3 of the chairperson and executive staff. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 5529HV (2) 91 sb/js

H.F. 2229 Section 1. Section 474.1, subsection 2, Code 2026, is 1 amended to read as follows: 2 2. a. Subject to confirmation by the senate, the governor 3 shall appoint a member as the chairperson of the commission. 4 The chairperson shall be the administrator of the utilities 5 commission. The chairperson shall moderate contested cases, 6 as defined by section 17A.2, meetings, as defined by section 7 21.2, or other proceedings. The appointment as chairperson 8 shall be for a two-year term , which begins and ends as provided 9 in section 69.19 . 10 b. The commission , by majority vote of the members, shall 11 appoint a chief operating officer an executive director to 12 manage the operations of the utilities commission and its staff 13 under the direction of the commission. The executive director 14 shall not serve as a member of the commission and shall serve 15 at the pleasure of the commission . The commission shall set 16 the salary of the chief operating officer executive director 17 within the limits of the pay plan for exempt positions provided 18 for in section 8A.413, subsection 3 , unless otherwise provided 19 by the general assembly. The initial appointment of the first 20 executive director after the effective date of this Act shall 21 be exempt from the requirements of section 8A.412 and all 22 provisions of chapter 8A relating to competitive recruitment, 23 examination, and selection processes for classified employees. 24 Following the termination of the service of the first executive 25 director appointed pursuant to this paragraph, the executive 26 director shall be subject to section 8A.412 and all provisions 27 of chapter 8A governing competitive recruitment, examination, 28 and selection processes for classified employees. The 29 commission shall oversee, evaluate, and provide direction 30 to the executive director concerning the operations of the 31 commission. The executive director shall be selected primarily 32 for administrative ability and knowledge in the field, without 33 regard to political affiliation. The commission may shall 34 employ additional personnel to fulfill its responsibilities as 35 -1- LSB 5529HV (2) 91 sb/js 1/ 4

H.F. 2229 an independent agency and carry out duties of the commission 1 as it finds necessary. 2 Sec. 2. Section 474.2, Code 2026, is amended to read as 3 follows: 4 474.2 Certain persons barred from office. 5 A person who is employed by any common carrier or other 6 public utility or who owns any bonds, stock, or property in 7 any public utility shall not be eligible to hold the office of 8 utilities commission member or chief operating officer of the 9 utilities commission executive director . A member or chief 10 operating officer executive director who enters into employment 11 with any common carrier or other public utility or who acquires 12 any stock or other interest in any common carrier or other 13 public utility after appointment as a member or chief operating 14 officer executive director shall be disqualified from holding 15 or performing the duties of the office. 16 Sec. 3. Section 474.8, Code 2026, is amended to read as 17 follows: 18 474.8 Office —— time employed —— expenses. 19 The utilities commission shall have an office at the seat 20 of government. Each member shall devote the member’s whole 21 time to the duties of the office, and the members, chief 22 operating officer executive director , and other employees shall 23 receive their actual necessary traveling expenses while in 24 the discharge of their official duties away from the general 25 offices. 26 Sec. 4. Section 476.51, subsection 5, Code 2026, is amended 27 to read as follows: 28 5. Civil penalties collected pursuant to this section from 29 utilities providing water, electric, or gas service shall be 30 forwarded by the chief operating officer executive director 31 of the commission to the treasurer of state to be credited to 32 the general fund of the state and to be used only for the low 33 income home energy assistance program and the weatherization 34 assistance program administered by the department of health and 35 -2- LSB 5529HV (2) 91 sb/js 2/ 4

H.F. 2229 human services. Civil penalties collected pursuant to this 1 section from utilities providing telecommunications service 2 shall be forwarded to the treasurer of state to be credited to 3 the commerce revolving fund created in section 546.12 to be 4 used only for consumer education programs administered by the 5 commission. Penalties paid by a rate-regulated public utility 6 pursuant to this section shall be excluded from the utility’s 7 costs when determining the utility’s revenue requirement, and 8 shall not be included either directly or indirectly in the 9 utility’s rates or charges to customers. 10 Sec. 5. Section 476.103, subsection 4, paragraph c, Code 11 2026, is amended to read as follows: 12 c. A civil penalty collected pursuant to this subsection 13 shall be forwarded by the chief operating officer executive 14 director of the commission to the treasurer of state to be 15 credited to the commerce revolving fund created in section 16 546.12 and to be used only for consumer education programs 17 administered by the commission. 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 This bill relates to the administration of the utilities 22 commission by creating the position of executive director 23 and modifying the duties and titles of the chairperson and 24 executive staff. 25 The bill specifies the chairperson’s duties regarding 26 moderating meetings and proceedings. 27 The bill replaces the position of chief operating officer 28 with executive director, and makes conforming changes by 29 replacing references of “chief operating officer” with 30 “executive director”. The bill states that the commission 31 shall appoint the executive director by a majority vote, 32 the executive director will serve at the pleasure of the 33 commission, and the executive director will be overseen and 34 evaluated by the commission. The bill also explains the 35 -3- LSB 5529HV (2) 91 sb/js 3/ 4

H.F. 2229 appointment procedure and criteria for the new position. 1 -4- LSB 5529HV (2) 91 sb/js 4/ 4