HF 704 (LSB 1870HV (1) 91)

HOUSE FILE 704

BY  COMMITTEE ON STATE GOVERNMENT

(SUCCESSOR TO HSB 178)

A BILL FOR

An Act relating to the Iowa propane education and research council, and including applicability provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 101C.2, subsection 3, Code 2025, is amended by striking the subsection.
    Sec. 2.  Section 101C.2, subsection 13, Code 2025, is amended by striking the subsection and inserting in lieu thereof the following:
   13.  “Wholesaler” means a person engaged primarily in the sale of odorized propane who does not sell propane to the ultimate consumer or retail propane dispenser.
    Sec. 3.  Section 101C.3, subsections 1, 2, 5, 6, 7, 9, and 10, Code 2025, are amended to read as follows:
   1.  The Iowa propane education and research council is established. The council shall consist of ten voting members, nine eight of whom represent retail propane marketers and or wholesalers, one of whom shall be a representative of the department of health and human services responsible for community action agencies, and one of whom shall be the fire marshal. Members of the council representing retail propane marketers or wholesalers shall be appointed by the fire marshal from a list of nominees submitted by qualified propane industry organizations by December 15 of each year. A vacancy in the unfinished term of a council member shall be filled for the remainder of the term in the same manner as the original appointment was made. Council members representing retail propane marketers or wholesalers shall be full-time employees or owners of a propane industry business or representatives of an agricultural cooperative actively engaged in the propane industry. An employee of a qualified propane industry organization shall not serve as a member of the council. An officer of the board of directors of a qualified propane industry organization or propane industry trade association shall not serve concurrently as a member of the council. The fire marshal or a designee may serve as an ex officio, nonvoting member of the council.
   2.  In nominating appointing members of the council, qualified propane industry organizations shall give due consideration to nominating council members who are representative of the propane industry, including representation of all of the following:
   a.  Interstate and intrastate retail propane marketers.
   b.  Interstate and intrastate wholesalers.
   b.  c.  Large and small retail propane marketers, including agricultural cooperatives.
   c.  d.  Diverse geographic regions of the state.
   5.  A council member shall serve a term of three two years.
   6.  Initial appointments to the council shall be for terms of one, and two, and three years that are staggered to provide for the future appointment of at least two four members each year.
   7.  The voting members of the council shall select a chairperson and other officers as necessary from the voting members and shall adopt rules and bylaws for the conduct of business and the implementation of this chapter. The council may establish committees and subcommittees comprised of members of the council and may establish advisory committees comprised of persons other than council members. The council shall establish procedures for the solicitation of propane industry comments and recommendations regarding any significant plans, programs, or projects to be funded by the council.
   9.  At the beginning of each fiscal year, the council shall prepare a budget plan for the next fiscal year, including the probable cost of all programs, projects, and contracts to be undertaken. The council shall submit the proposed budget to the fire marshal for review and comment. The fire marshal may recommend appropriate programs, projects, and activities to be undertaken by the council.
   10.  The council shall keep minutes, books, and records that clearly reflect all of the acts and transactions of the council which are public records open to public inspection. The books and records shall indicate the geographic areas where benefits were conferred by each individual program or project in detail sufficient to reflect the degree to which each program or project attained equitable geographic distribution of its benefits. The books of the council shall be audited by a certified public accountant at least once each fiscal year and at such other times as the council may designate. The cost of the audit shall be paid by the council. Copies of the audit shall be provided to all council members, all qualified propane industry organizations, and to other members of the propane industry upon request. In addition, a copy of the audit and a report detailing the programs and projects conducted by the council and containing information reflecting the degree to which equitable geographic distribution of the benefits of each program or project was attained shall be submitted each fiscal year to the chief clerk of the house of representatives and the secretary of the senate.
    Sec. 4.  Section 101C.3, subsection 3, Code 2025, is amended by striking the subsection.
    Sec. 5.  Section 101C.3, subsection 8, paragraph b, Code 2025, is amended to read as follows:
   b.  The council may develop energy efficiency programs dedicated to weatherization, acquisition and installation of energy-efficient customer appliances that qualify for energy star certification, installation of low-flow faucets and showerheads, and energy efficiency education. The council may by rule establish quality standards in relation to weatherization and appliance installation.
    Sec. 6.  Section 101C.11, Code 2025, is amended to read as follows:
   101C.11  Report.
   The council shall prepare and submit an annual report to the fire marshal general assembly and the auditor of state summarizing the activities of the council conducted pursuant to this chapter. The report shall show all of the following:
   1.  All income, expenses, and other relevant information concerning assessments collected and expended under this chapter. The report shall also include a 
   2.  A summary of energy efficiency programs as specified in section 101C.3, subsection 8, if developed by the council.
   3.  A copy of the audit conducted pursuant to section 101C.3, subsection 10.
   4.  A report detailing the programs and projects conducted by the council, which shall include information reflecting the degree to which the council achieved equitable geographic distribution of the benefits of each program or project.
    Sec. 7.  APPLICABILITY.  The following apply to members appointed to the Iowa propane education and research council on or after the effective date of this Act: 
   1.  The portions of the section of this Act amending section 101C.3, subsections 1, 2, 5, and 6.
   2.  The section of this Act striking section 101C.3, subsection 3.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill relates to the Iowa propane education and research council (council). The bill strikes definitions for “energy star certification” and “weatherization”.
   The bill changes the membership of the council by removing all ex officio, nonvoting members, and adding the state fire marshal. The bill also requires qualified propane industry organizations to appoint members to the council rather than submitting a list of potential appointees to the state fire marshal. When selecting members, the bill requires qualified propane industry organizations to consider representatives from wholesalers, defined in the bill. The bill requires new appointees to the council to serve two-year terms, with initial appointments made such that at least four members are selected every year. Changes to the membership of the council apply to members appointed on or after the effective date of the bill.
   The bill strikes a requirement that the council submit its proposed budget to the state fire marshal for review and comment. The bill changes the requirement that the council submit an audit of its books and a report regarding its programs by including those items in an annual report submitted by the council to the general assembly and the auditor of state. The bill changes the types of energy efficiency education programs that the council may develop and strikes the authority of the council to establish quality standards in relation to weatherization and appliance installation.