HF 2298 (LSB 5459YH (3) 91)

HOUSE FILE 2298

BY  FETT

A BILL FOR

An Act providing for the regulation of commercial establishments possessing or controlling nonagricultural animals, providing penalties, and making penalties applicable.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 162.2, subsection 7, Code 2026, is amended by striking the subsection.
    Sec. 2.  Section 162.2, subsections 8 and 9, Code 2026, are amended to read as follows:
   8.  a.  “Commercial breeder” means a person, engaged in the business of breeding dogs or cats, who sells, exchanges, or leases dogs or cats in return for consideration, or who offers to do so, whether or not the animals are raised, trained, groomed, or boarded by the person. A
   b.  Notwithstanding paragraph “a”, “commercial breeder” does not mean a person who owns or harbors three six or fewer breeding males or females is not a commercial breeder.
   9.  “Commercial establishment” or “establishment” means an animal shelter, boarding kennel, commercial breeder, commercial kennel, dealer, pet shop, pound, public auction, or research facility.
    Sec. 3.  Section 162.2, subsection 26, paragraph a, Code 2026, is amended to read as follows:
   a.  A boarding kennel, commercial kennel, or pet shop to whom a state license is issued by the department pursuant to section 162.2A.
    Sec. 4.  Section 162.2A, subsection 1, paragraph b, Code 2026, is amended to read as follows:
   b.  A state license for a boarding kennel, commercial kennel, or pet shop.
    Sec. 5.  Section 162.4A, Code 2026, is amended to read as follows:
   162.4A  Operation of a research facility —— certificate of registration.
   A research facility shall only operate pursuant to a certificate of registration issued by the department as provided in section 162.2A. The research facility shall maintain records as required by the department in order for the department to ensure the research facility’s compliance with the provisions of this chapter. A research facility shall not purchase a dog or cat from a commercial establishment that does not have a valid authorization issued or renewed under this chapter or a similar authorization issued or renewed by another state.
    Sec. 6.  Section 162.5, Code 2026, is amended to read as follows:
   162.5  Operation of a pet shop —— state license.
   A pet shop shall only operate pursuant to a state license issued or renewed by the department pursuant to section 162.2A. The pet shop shall maintain records as required by the department in order for the department to ensure the pet shop’s compliance with the provisions of this chapter. A pet shop shall not purchase a dog or cat from a commercial establishment that does not have a valid authorization issued or renewed under this chapter or a similar authorization issued or renewed by another state.
    Sec. 7.  Section 162.6, Code 2026, is amended to read as follows:
   162.6  Operation of a commercial kennel —— state license.
   A commercial kennel shall only operate pursuant to a state license issued or renewed by the department as provided in section 162.2A. A commercial kennel shall maintain records as required by the department in order for the department to ensure the commercial kennel’s compliance with the provisions of this chapter. A commercial kennel shall not purchase a dog or cat from a commercial establishment that does not have a valid authorization issued or renewed under this chapter or a similar authorization issued or renewed by another state.
    Sec. 8.  Section 162.7, Code 2026, is amended to read as follows:
   162.7  Operation of a dealer —— state license or permit.
   A dealer shall only operate pursuant to a state license, or a permit, issued or renewed by the department as provided in section 162.2A. A dealer who is a state licensee shall maintain records as required by the department in order for the department to ensure compliance with the provisions of this chapter. A dealer who is a permittee may but is not required to maintain records. A dealer shall not purchase a dog or cat from a commercial establishment that does not have a valid authorization issued or renewed under this chapter or a similar authorization issued or renewed by another state.
    Sec. 9.  Section 162.8, Code 2026, is amended to read as follows:
   162.8  Operation of a commercial breeder —— state license or permit.
   A commercial breeder shall only operate pursuant to a state license, or a permit, issued or renewed by the department as provided in section 162.2A. A commercial breeder who is a state licensee shall maintain records as required by the department in order for the department to ensure the commercial breeder’s compliance with the provisions of this chapter. A commercial breeder who is a permittee may but is not required to maintain records. A commercial breeder shall not purchase a dog or cat from a commercial establishment that does not have a valid authorization issued or renewed under this chapter or a similar authorization issued or renewed by another state.
    Sec. 10.  Section 162.9A, Code 2026, is amended to read as follows:
   162.9A  Operation of a public auction —— state license or permit.
   A public auction shall only operate pursuant to a state license, or a permit, issued or renewed by the department as provided in section 162.2A. A public auction which that is a state licensee shall maintain records as required by the department in order for the department to ensure the public auction’s compliance with the provisions of this chapter. A public auction which that is a permittee may but is not required to maintain records. A public auction shall not purchase a dog or cat from a commercial establishment that does not have a valid authorization issued or renewed under this chapter or a similar authorization issued or renewed by another state.
    Sec. 11.  Section 162.10B, Code 2026, is amended to read as follows:
   162.10B  Commercial establishments —— inspecting state licensees and registrants.
   1.  The department may inspect the commercial establishment of a registrant or state licensee by entering onto its business premises at any time during normal working hours. The department may inspect records required to be maintained by the state licensee or registrant as provided in this chapter. If the owner or person in charge of the commercial establishment refuses admittance, the department may obtain an administrative search warrant issued under section 808.14.
   2.  a.  The number of regularly scheduled inspections of a commercial establishment conducted by the department under subsection 1 shall correspond to a tier assigned to the commercial establishment by the department. The department shall establish two or more tiers based on factors that assess the level of risk that commercial establishments assigned to that tier may violate the standard of care requirements described in section 162.10A, subsection 1, to a degree that endangers the health of an animal in the possession or under the control of the commercial establishment.
   b.  Paragraph “a” does not limit the department from conducting an unscheduled inspection as necessary to ensure a commercial establishment is complying with the requirements of this chapter.
   c.  If the department determines that there is credible evidence that a commercial establishment may be violating a standard of care requirement as described in section 162.10A, subsection 1, the department shall inspect the commercial establishment within twenty-four hours of the time that it made the determination.
    Sec. 12.  Section 162.10D, Code 2026, is amended by adding the following new subsection:
   NEW SUBSECTION.  01.  a.  The department may suspend or revoke an authorization issued or renewed to a commercial establishment under this chapter for a violation of a provision of this chapter.
   b.  A violation of this chapter includes any of the following:
   (1)  The refusal by a commercial establishment operating as a registrant or state licensee to allow the department to conduct an inspection pursuant to a search warrant.
   (2)  The effort of a person associated with the commercial establishment operating as a registrant or state licensee to interfere with an inspection.
    Sec. 13.  Section 162.11, subsection 2, Code 2026, is amended to read as follows:
   2.  This chapter does not apply to a place or establishment which that operates under the immediate supervision of a duly licensed veterinarian as a hospital where animals are harbored, hospitalized, and cared for incidental to the treatment, prevention, or alleviation of disease processes during the routine practice of the profession of veterinary medicine. However, if animals are accepted by such a place, establishment, or hospital for boarding or grooming for a consideration, the place, establishment, or hospital is subject to the licensing or registration requirements applicable to a boarding kennel or commercial kennel under this chapter and the rules adopted by the secretary.
    Sec. 14.  Section 162.12, Code 2026, is amended to read as follows:
   162.12  Denial or revocation of license or registration.
   A certificate of registration may be denied to any animal shelter, pound, or research facility and a state license may be denied to any public auction, boarding kennel, commercial kennel, pet shop, commercial breeder, or dealer, or an existing certificate of registration or state license may be revoked by the secretary if, after public hearing, it is determined that the housing facilities or primary enclosures are inadequate under this chapter or if the feeding, watering, cleaning, and housing practices at the pound, animal shelter, public auction, pet shop, boarding kennel, commercial kennel, or research facility, or those practices by the commercial breeder or dealer, are not in compliance with this chapter or with the rules adopted pursuant to this chapter. The premises of each registrant or state licensee shall be open for inspection during normal business hours.
    Sec. 15.  Section 162.12A, Code 2026, is amended to read as follows:
   162.12A  Civil penalties.
   1.  a.  The department shall establish, impose, and assess civil penalties for violations of this chapter.
   b.  A violation of this chapter includes any of the following:
   (1)  The refusal by a commercial establishment to allow the department acting pursuant to a warrant to inspect the commercial establishment as provided in section 162.10D.
   (2)  The effort of a person associated with the commercial establishment to interfere with a department’s inspection as provided in section 162.10D.
   c.  The department may by rule establish a schedule of civil penalties for violations of this chapter.
   d.  All civil penalties collected under this section shall be deposited into the general fund of the state.
   1.  2.  a.  A commercial establishment that operates pursuant to an authorization issued or renewed under this chapter is subject to a civil penalty of not more than five hundred dollars, regardless of the number of animals possessed or controlled by the commercial establishment, for violating this chapter. Except as provided in paragraph “b”, each day that a violation continues shall be deemed a separate offense.
   b.  This paragraph applies to a commercial establishment that violates a standard of care involving housing as provided in section 162.10A. The departmental official who makes a determination that a violation exists shall provide a corrective plan to the commercial establishment describing how the violation will be corrected within a compliance period of not more than fifteen days from the date of approval by the official of the corrective plan. The civil penalty shall not exceed five hundred dollars for the first day of the violation. After that day, the department shall not impose a civil penalty for the violation during the compliance period. The department shall not impose an additional civil penalty, unless the commercial establishment fails to correct the violation by the end of the compliance period. If the commercial establishment fails to correct the violation by the end of the compliance period, each day that the violation continues shall be deemed a separate offense.
   2.  3.  A commercial establishment that does not operate pursuant to an authorization issued or renewed under this chapter is subject to a civil penalty of not more than one thousand dollars, regardless of the number of animals possessed or controlled by the commercial establishment, for violating this chapter. Each day that a violation continues shall be deemed a separate offense.
    Sec. 16.  Section 162.19, Code 2026, is amended to read as follows:
   162.19  Abandoned animals destroyed.
   1.  Whenever any animal is left with a veterinarian, boarding kennel or commercial kennel pursuant to a written agreement and the owner does not claim the animal by the agreed date, the animal shall be deemed abandoned, and a notice of abandonment and its consequences shall be sent within seven days by certified mail to the last known address of the owner. For fourteen days after mailing of the notice the owner shall have the right to reclaim the animal upon payment of all reasonable charges, and after the fourteen days the owner shall be deemed to have waived all rights to the abandoned animal. If despite diligent effort an owner cannot be found for the abandoned animal within another seven days, the veterinarian, boarding kennel, or commercial kennel may humanely destroy the abandoned animal.
   2.  Each veterinarian, boarding kennel or commercial kennel shall warn its patrons of the provisions of this section by a conspicuously posted notice or by conspicuous type in a written receipt.
    Sec. 17.  Section 717A.1, subsection 5, paragraph g, Code 2026, is amended by striking the paragraph.
    Sec. 18.  REPEAL.  Section 162.5A, Code 2026, is repealed.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   BACKGROUND —— GENERAL. This bill amends Code chapter 162, which authorizes the department of agriculture and land stewardship (DALS) to regulate commercial establishments that possess or control nonagricultural animals (Code section 162.1), including dogs and cats. The types of regulated commercial establishments include animal shelters, boarding kennels, commercial breeders, commercial kennels, dealers, pet shops, pounds, public auctions, and research facilities (Code section 162.2). A commercial establishment operates under one of three types of authorizations: (1) a certificate of registration for a pound, animal shelter, or research facility; (2) a state license for a boarding kennel, commercial kennel, or pet shop; and (3) a state license or a permit for a commercial breeder, dealer, or public auction. A permit is issued to a commercial breeder, dealer, or public auction in lieu of a license if the commercial establishment is federally licensed by the United States department of agriculture pursuant to the federal Animal Welfare Act (see Code section 162.2(5)).
   BACKGROUND —— STANDARD OF CARE. A commercial establishment must ensure that an animal in its possession or under its control is provided an adequate standard of care, including adequate feed, adequate water, housing facilities, sanitary control, grooming practices affecting the health of the animal, and veterinary care (Code section 162.10A).
   BACKGROUND —— INSPECTIONS. DALS may inspect a registrant or state licensee by entering onto its business premises and may inspect its records (Code section 162.10B). DALS may monitor a permittee by entering onto its business premises for the limited purpose of determining whether the permittee is providing for the required standard of care (Code section 162.10C). 
   BACKGROUND —— DISCIPLINARY ACTIONS. DALS may take disciplinary action against a commercial establishment by suspending or revoking the commercial establishment’s authorization (Code section 162.10D). 
   BACKGROUND —— PENALTIES. A commercial establishment that operates pursuant to an authorization is subject to a civil penalty of not more than $500 for a violation of the Code chapter, regardless of the number of animals possessed or controlled by the commercial establishment (Code section 162.12A). A commercial establishment that does not operate pursuant to an authorization issued or renewed under the Code chapter is subject to a civil penalty of not more than $1,000 for a violation of the Code chapter, regardless of the number of animals possessed or controlled by the commercial establishment. A person who operates a commercial establishment without an authorization issued or renewed by DALS is guilty of a simple misdemeanor and each day of operation is a separate offense (Code section 162.13). A person who violates a standard of care is also guilty of a simple misdemeanor. A simple misdemeanor is punishable by confinement for no more than 30 days and a fine of at least $105 but not more than $855 (Code section 162.13).
   BILL’S PROVISIONS —— TYPES OF COMMERCIAL ESTABLISHMENTS.  Under current law, a commercial breeder is a person who is engaged in the business of breeding more than three male or female dogs or cats. The bill increases that exception to more than six male or female dogs or cats. Under current law, a commercial kennel is a business that performs grooming, boarding, or training services for dogs or cats and a boarding kennel is a commercial establishment that shelters and maintains dogs or cats. The bill eliminates a boarding kennel as a type of commercial establishment subject to regulation.
   BILL’S PROVISIONS —— OUT-OF-STATE AUTHORIZATIONS. The bill provides that a commercial establishment is no longer able to do business in this state under an authorization issued or renewed by another state. 
   BILL’S PROVISIONS —— INSPECTIONS. The bill provides requirements for regularly scheduled inspections of a commercial establishment that is operated by a registrant or state licensee. DALS is required to establish scheduled inspection tiers based on factors that assess the level of risk that a commercial establishment may violate the standard of care requirements. The bill’s provisions do not limit DALS from conducting an unscheduled inspection as necessary to ensure compliance with the requirements of the Code chapter, including standard of care requirements. DALS must conduct an inspection of a commercial establishment within 24 hours of the time that it makes a determination that there is credible evidence that the commercial establishment has violated a standard of care requirement.
   BILL’S PROVISIONS —— DISCIPLINARY ACTION. The bill provides that DALS may suspend or revoke a registration or state license issued or renewed to a commercial establishment due to the commercial establishment’s refusal to allow DALS to conduct an inspection or due to the interference of an inspection by a person associated with the commercial establishment. 
   BILL’S PROVISIONS —— CIVIL PENALTIES. The bill provides that a commercial establishment operating under a registration or state license that fails to allow DALS to conduct an inspection or a person associated with the commercial establishment who interferes with the inspection is subject to a civil penalty.