H.F. _____ DIVISION I 1 COMMUNITY ANAEROBIC DIGESTER SYSTEMS 2 Section 1. NEW SECTION . 458.101 Short title. 3 This chapter shall be known and may be cited as the 4 “Community Anaerobic Digester System Act” . 5 Sec. 2. NEW SECTION . 458.102 Definitions. 6 For purposes of this chapter, unless the context otherwise 7 requires: 8 1. a. “Agricultural animal” means an animal belonging to 9 the bovine, caprine, equine, ovine, or porcine species; farm 10 deer as defined in section 170.1; ostriches, rheas, or emus; 11 turkeys, chickens, domestic geese or ducks, or other domestic 12 fowl; or fish or other aquatic organisms confined in private 13 waters for human consumption. 14 b. “Agricultural animal” includes an animal that is part of 15 an animal feeding operation. 16 2. a. (1) “Anaerobic digester system” means a digester 17 processing structure used to effectuate the digestion process. 18 (2) “Anaerobic digester system” may also include any of the 19 following: 20 (a) A liquid digester storage structure. 21 (b) A dry digester manure stockpile. 22 (c) A dry digester feedstock stockpile. 23 (d) A liquid digestate storage structure. 24 (e) A dry digestate stockpile. 25 b. “Anaerobic digester system” includes other related 26 structures, pipes, and equipment used in the digestion process. 27 3. “Animal feeding operation” means the same as defined in 28 section 459.102. 29 4. “Animal feeding operation structure” means the same as 30 defined in section 459.102. 31 5. “Commercial enterprise” means the same as defined in 32 section 459.102. 33 6. “Community anaerobic digester system” means an anaerobic 34 digester system that is not identified with an animal feeding 35 -1- LSB 2958YC (6) 91 da/ns 1/ 36

H.F. _____ operation as provided in section 458.104. 1 7. “Confinement feeding operation structure” means the same 2 as defined in section 459.102. 3 8. “Covered” means organic or inorganic material has been 4 placed upon a digester structure used to store any of the 5 following: 6 a. Digester manure. 7 b. Digester feedstock. 8 c. Digestate. 9 9. “Critical public area” means the same as defined in 10 section 459.102. 11 10. “Department” means the department of natural resources 12 created pursuant to section 455A.2. 13 11. “Designated area” means the same as defined in section 14 459.102. 15 12. “Designated object or location” means any of the 16 following: 17 a. A commercial enterprise. 18 b. A bona fide religious institution. 19 c. An educational institution. 20 d. A public use area. 21 13. “Designated wetland” means the same as defined in 22 section 459.102. 23 14. “Digestate” means the dry or liquid nutrient-rich 24 material that remains after the digestion process is 25 effectuated. 26 15. a. “Digester feedstock” means organic material, other 27 than digester manure, originating on-farm or off-farm that 28 is used to effectuate the digestion process as part of an 29 anaerobic digester system. 30 b. “Digester feedstock” includes either of the following: 31 (1) Dry digester feedstock. 32 (2) Liquid digester feedstock. 33 16. a. “Digester manure” means manure originating on-farm 34 that is used to effectuate the digestion process as part of an 35 -2- LSB 2958YC (6) 91 da/ns 2/ 36

H.F. _____ anaerobic digester system. 1 b. “Digester manure” includes either of the following: 2 (1) Dry digester manure. 3 (2) Liquid digester manure. 4 17. “Digester processing structure” means a structure that 5 effectuates the digestion process. 6 18. “Digester stockpile” means any of the following: 7 a. A dry digester manure stockpile. 8 b. A dry digester feedstock stockpile. 9 c. A dry digestate stockpile. 10 19. “Digester structure” means any of the following: 11 a. A liquid digester storage structure. 12 b. A digester processing structure. 13 c. A liquid digestate storage structure. 14 20. “Digestion process” means primarily processing digester 15 manure, and may include processing digester feedstock, by 16 employing environmental conditions including bacteria to break 17 down organic matter in the absence of oxygen, if used for 18 producing, collecting, and utilizing a biogas and digestate. 19 21. “Dry bedded confinement feeding operation” means the same 20 as defined in section 459B.102. 21 22. “Dry digestate” means digestate that meets the dry 22 classification requirements in section 458.107. 23 23. “Dry digestate stockpile” means dry digestate 24 originating from a community anaerobic digester system and 25 stored as part of the community anaerobic digester system 26 outside a digester structure or on-farm outside any other 27 structure. 28 24. “Dry digester feedstock” means a digester feedstock that 29 meets the dry classification requirements in section 458.107. 30 25. “Dry digester feedstock stockpile” means dry digester 31 feedstock stored outside a digester structure. 32 26. “Dry digester manure” means digester manure that meets 33 the dry classification requirement in section 458.107. 34 27. “Dry digester manure stockpile” means dry digester 35 -3- LSB 2958YC (6) 91 da/ns 3/ 36

H.F. _____ manure stored as part of a community anaerobic digester system 1 outside a digester structure. 2 28. “Dry digester stockpile” means either of the following: 3 a. A dry digester feedstock stockpile. 4 b. A dry digester manure stockpile. 5 29. “Educational institution” means the same as defined in 6 section 459.102. 7 30. “Effluent” means the same as defined in section 8 459A.102. 9 31. “Federal Water Pollution Control Act” means the federal 10 Water Pollution Control Act of 1972, 33 U.S.C. ch. 26, as 11 amended, and 40 C.F.R. pts. 122 and 412. 12 32. “Frozen ground” means the same as defined in section 13 459.102. 14 33. “High-quality water resource” means the same as defined 15 in section 459.102. 16 34. “Karst terrain” means the same as defined in section 17 459.102. 18 35. “Liquid digestate” means digestate other than dry 19 digestate. 20 36. “Liquid digestate storage structure” means a structure 21 used to store liquid digestate. 22 37. “Liquid digester feedstock” means digester feedstock 23 other than dry digester feedstock. 24 38. “Liquid digester feedstock storage structure” means 25 a structure used to store liquid digester feedstock or dry 26 digester feedstock before undergoing a digestion process as 27 effectuated by a digester processing structure. 28 39. “Liquid digester manure” means digester manure other 29 than dry digester manure. 30 40. “Liquid digester manure storage structure” means a manure 31 storage structure used to store liquid digester manure or 32 dry digester manure before undergoing a digestion process as 33 effectuated by a digester processing structure. 34 41. “Liquid digester storage structure” means a structure 35 -4- LSB 2958YC (6) 91 da/ns 4/ 36

H.F. _____ used to store digester manure or digester feedstock, or both, 1 before undergoing a digestion process as effectuated by a 2 digester processing structure. 3 42. “Major water source” means the same as defined in 4 section 459.102. 5 43. “Manure” means the same as defined in section 459.102. 6 44. “Manure management plan” means a manure management plan, 7 including an updated manure management plan, as provided in 8 section 459.312. 9 45. “Manure storage structure” means the same as defined in 10 section 459.102. 11 46. “Nutrient management plan” means a nutrient management 12 plan or an updated nutrient management plan as provided in 13 section 459A.208. 14 47. “Off-farm” means real property that is not on-farm. 15 48. “On-farm” means real property used to produce raw 16 agricultural commodities, including agricultural animals; crops 17 such as corn, grain sorghum, oats, soybeans, or wheat; hay or 18 straw; milk; or wool. 19 49. “Open feedlot operation” means the same as defined in 20 section 459A.102. 21 50. “Professional engineer” means the same as defined in 22 section 459.102. 23 51. “Religious institution” means the same as defined in 24 section 459.102. 25 52. “Research college” means the same as defined in section 26 459A.102. 27 53. “Snow covered ground” means the same as defined in 28 section 459.102. 29 54. “Water of the state” means the same as defined in 30 section 455B.171. 31 55. “Water source” means the same as defined in section 32 459.102. 33 Sec. 3. NEW SECTION . 458.103 Special terms —— community 34 anaerobic digester systems and on-farm operations. 35 -5- LSB 2958YC (6) 91 da/ns 5/ 36

H.F. _____ 1. a. A community anaerobic digester system must be 1 off-farm. 2 b. An animal feeding operation must be on-farm. 3 2. This chapter does not apply to any of the following: 4 a. A confinement feeding operation structure regulated under 5 chapter 459 regardless of whether manure originating from the 6 confinement feeding operation structure is stored or processed 7 as part of a community anaerobic digester system. 8 b. An open feedlot operation structure regulated under 9 chapter 459A regardless of whether effluent originating from 10 the open feedlot operation structure is stored or processed as 11 part of a community anaerobic digester system. 12 c. A dry bedded confinement feeding operation structure 13 regulated under chapter 459B regardless of whether manure 14 originating from the dry bedded confinement feeding operation 15 structure is stored or processed as part of a community 16 anaerobic digester system. 17 Sec. 4. NEW SECTION . 458.104 Special terms —— community 18 anaerobic digester systems not identified with animal feeding 19 operation. 20 1. a. An anaerobic digester system receiving digester 21 manure from an animal feeding operation is a community 22 anaerobic digester system only if the anaerobic digester system 23 is not identified with that animal feeding operation or any 24 other animal feeding operation, including a confinement feeding 25 operation, open feedlot operation, or dry bedded confinement 26 feeding operation. 27 b. An anaerobic digester system is identified with an animal 28 feeding operation by being either of the following: 29 (1) Under common ownership or management. 30 (2) Adjacent. 31 2. An anaerobic digester system and an animal feeding 32 operation structure are deemed adjacent if the closest 33 digester structure is separated from the closest animal feeding 34 operation structure by less than one thousand two hundred fifty 35 -6- LSB 2958YC (6) 91 da/ns 6/ 36

H.F. _____ feet. 1 3. a. An anaerobic digester system and an animal feeding 2 operation are under common ownership if a person holds an 3 interest in the anaerobic digester system and the animal 4 feeding operation as any of the following: 5 (1) A sole proprietor. 6 (2) A joint tenant or tenant in common. 7 (3) A holder of a majority equity interest in a business 8 association as defined in section 202B.102, including but not 9 limited to a shareholder, partner, member, or beneficiary. 10 b. An interest in the anaerobic digester system and animal 11 feeding operation which is held directly or indirectly by the 12 person’s spouse or dependent child shall be attributed to the 13 person. 14 4. a. An anaerobic digester system and animal feeding 15 operation are under common management if a person has 16 significant control of the management of the day-to-day 17 operations of the anaerobic digester system and animal feeding 18 operation. 19 b. Common management does not include control over a 20 contract livestock facility by a contractor, as those terms are 21 defined in section 202.1. 22 Sec. 5. NEW SECTION . 458.105 Special terms —— multiple 23 anaerobic digester systems. 24 1. A community anaerobic digester system and another 25 anaerobic digester system are deemed to be a single community 26 anaerobic digester system if the community anaerobic digester 27 system and the other anaerobic digester system are both of the 28 following: 29 a. Under common ownership or management. 30 b. Adjacent. 31 2. A community anaerobic digester system and another 32 anaerobic digester system are deemed adjacent if the closest 33 digester structure of the community anaerobic digester system 34 is separated from the closest digester structure of the other 35 -7- LSB 2958YC (6) 91 da/ns 7/ 36

H.F. _____ anaerobic digester system by less than one thousand two hundred 1 fifty feet. 2 3. a. A community anaerobic digester system and another 3 anaerobic digester system are under common ownership if a 4 person holds an interest in the community anaerobic digester 5 system and the other anaerobic digester system as any of the 6 following: 7 (1) A sole proprietor. 8 (2) A joint tenant or tenant in common. 9 (3) A holder of a majority equity interest in a business 10 association as defined in section 202B.102, including but not 11 limited to a shareholder, partner, member, or beneficiary. 12 b. An interest in the community anaerobic digester system 13 and other anaerobic digester system which is held directly or 14 indirectly by the person’s spouse or dependent child shall be 15 attributed to the person. 16 4. A community anaerobic digester system and other 17 anaerobic digester system are under common management if 18 a person has significant control of the management of the 19 day-to-day operations of the community anaerobic digester 20 system and the other anaerobic digester system. 21 Sec. 6. NEW SECTION . 458.106 Special terms —— digester 22 structures. 23 1. Except as otherwise provide in this chapter, a digester 24 structure that is constructed or may be constructed as part of 25 a community anaerobic digester system is regulated under this 26 chapter. 27 2. A digester structure must be covered. 28 3. a. A digester structure is constructed when any of the 29 following occur: 30 (1) Excavation is conducted for a proposed digester 31 structure or proposed expansion of an existing digester 32 structure, including excavation for the footings of the 33 digester structure. 34 (2) Forms for concrete are installed for a proposed digester 35 -8- LSB 2958YC (6) 91 da/ns 8/ 36

H.F. _____ structure or the proposed expansion of an existing digester 1 structure. 2 (3) Piping for the movement of digester manure is installed 3 between an animal feeding operation structure and a digester 4 structure proposed to be constructed or expanded. 5 b. Placing a cover over a digester structure does not 6 constitute construction or expansion of the digester structure. 7 Sec. 7. NEW SECTION . 458.107 Special terms —— manure and 8 digestates. 9 1. Except as otherwise provide in this chapter, the term 10 “manure” includes effluent if used as part of the digestion 11 process using digester manure as part of a community anaerobic 12 digester system. 13 2. Digester manure, digester feedstock, or digestate is 14 classified as dry only if all of the following apply: 15 a. The digester manure, digester feedstock, or digestate 16 does not flow perceptibly under pressure. 17 b. The digester manure, digester feedstock, or digestate is 18 not capable of being transported through a mechanical pumping 19 device designed to move a liquid. 20 c. The constituent molecules of the digester manure, 21 digester feedstock, or digestate do not flow freely among 22 themselves but may show a tendency to separate under stress. 23 3. A digester processing structure must process digester 24 manure as its primary source. The digester processing 25 structure may also process any of the following: 26 a. A quantity of digester feedstock as its secondary source. 27 b. An ancillary quantity of an inorganic material, including 28 a catalyst, used to best effectuate the digestion process. 29 The department shall adopt rules listing allowable materials 30 by name and, if necessary, the maximum allowed quantity. 31 The department may also approve the allowable materials and 32 quantity upon request of the owner or manager of the anaerobic 33 digester system. The inorganic material allowed over time must 34 be nonhazardous to the public and environment. 35 -9- LSB 2958YC (6) 91 da/ns 9/ 36

H.F. _____ 4. a. Except as provided in paragraph “b” , digester manure 1 shall not be regulated as manure. 2 b. If digester manure and digester feedstock are combined, 3 the digester feedstock shall be regulated as digester manure. 4 5. a. Except as provided in paragraph “b” , a digestate 5 shall not be regulated as manure. 6 b. (1) If digestate is removed from a digester processing 7 structure and at any time is combined with manure, the 8 digestate shall be regulated as manure under chapter 459 and 9 chapter 459B, as applicable. 10 (2) If a digestate is removed from a digester processing 11 structure and at any time is combined with effluent, the 12 digestate shall be regulated as effluent under chapter 459A. 13 Sec. 8. NEW SECTION . 458.108 Separation distance 14 measurements. 15 1. Except as provided in subsection 2, all separation 16 distances between two items described in this chapter shall 17 be measured in feet from their closest points, as provided by 18 rules adopted by the department. 19 2. The distance between a public thoroughfare and a 20 community anaerobic digester system shall be measured from 21 that portion of the public thoroughfare’s right-of-way that is 22 closest to the community anaerobic digester system. 23 Sec. 9. NEW SECTION . 458.109 Stockpiling dry digester 24 manure, dry digester feedstock, or dry digestate. 25 A person may stockpile dry digester manure, dry digester 26 feedstock, or dry digestate, so long as the person stockpiles 27 the dry digester manure, dry digester feedstock, or dry 28 digestate in compliance with restrictions applicable to 29 stockpiling as provided in subchapter III. 30 Sec. 10. NEW SECTION . 458.111 Purpose. 31 The purpose of this chapter is to promote the 32 community-based production of the following: 33 1. Biogas as a renewable organic source of energy with low 34 carbon emissions. 35 -10- LSB 2958YC (6) 91 da/ns 10/ 36

H.F. _____ 2. A digestate as a rich source of renewable nutrients for 1 application on land for on-farm use to produce this state’s 2 crops. 3 Sec. 11. NEW SECTION . 458.112 Scope. 4 This chapter is limited to regulating the following: 5 1. The off-farm storage or processing of digester manure or 6 digester feedstock as part of a community anaerobic digester 7 system. Digester manure or digester feedstock shall not be 8 transferred from a community anaerobic digester system except 9 under the terms of a waiver granted by the department. 10 2. The storage or use of a digestate originating from a 11 community anaerobic digester system. 12 Sec. 12. NEW SECTION . 458.113 General authority. 13 1. The department shall adopt rules as necessary to 14 administer and enforce the provisions of this chapter. 15 2. Any provision referring generally to compliance with the 16 requirements of this chapter as applied to community anaerobic 17 digester systems includes compliance with requirements of rules 18 adopted by the department pursuant to this chapter, orders 19 issued by the department as authorized under this chapter, 20 and the terms and conditions applicable to permits or plans 21 required in this chapter. 22 3. If there is a conflict between a provision of this 23 chapter and a provision regulating a community anaerobic 24 digester system in another chapter, the provisions of this 25 chapter shall prevail. 26 4. Rules adopted to implement this subchapter are not 27 subject to section 17A.7, subsection 2 or 3. 28 Sec. 13. NEW SECTION . 458.114 Administration —— forms and 29 other documents. 30 1. The department shall adopt and promulgate forms required 31 to be completed in order to comply with the provisions of this 32 chapter. 33 2. The department shall provide for procedures for the 34 access, receipt, filing, processing, and return of documents 35 -11- LSB 2958YC (6) 91 da/ns 11/ 36

H.F. _____ described in this chapter in an electronic format, including 1 but not limited to the transmission of documents over the 2 internet. The department shall provide for authentication 3 of the documents that may include electronic signatures as 4 provided in chapter 554D. 5 3. The department shall, to every extent feasible, 6 provide for the processing of documents required under the 7 provisions of this chapter using electronic systems, including 8 programming, necessary to ensure the completeness and accuracy 9 of the documents in accordance with the requirements of this 10 chapter. 11 Sec. 14. NEW SECTION . 458.201 Digester manure and digester 12 feedstock —— required storage. 13 A person receiving digester manure or digester feedstock at 14 a community anaerobic digester system must store the digester 15 manure or digester feedstock as follows: 16 1. Liquid digester manure or liquid digester feedstock must 17 be stored in a liquid digester storage structure. 18 2. Dry digester manure must be stored in any of the 19 following: 20 a. A dry digester stockpile. 21 b. A liquid digester storage structure. 22 3. Dry digester feedstock originating on-farm must be 23 stored in any of the following: 24 a. A dry digester stockpile. 25 b. A liquid digester storage structure. 26 4. Dry digester feedstock originating off-farm must be 27 stored in a liquid digester storage structure. 28 Sec. 15. NEW SECTION . 458.202 Digestate —— required 29 storage. 30 1. A person processing digester manure or digester 31 feedstock at a community anaerobic digester system must store 32 the processed digestate as follows: 33 a. Liquid digestate must be stored in a liquid digestate 34 storage structure. 35 -12- LSB 2958YC (6) 91 da/ns 12/ 36

H.F. _____ b. Dry digestate must be stored in any of the following: 1 (1) A dry digestate feedstock stockpile. 2 (2) A liquid digestate storage structure. 3 2. A person removing processed digestate from a community 4 anaerobic digester system must store the digestate as follows: 5 a. Liquid digestate must be stored in the same way as liquid 6 manure after the liquid manure has been removed from a manure 7 storage structure. 8 b. Dry digestate must be stored as a dry digestate stockpile 9 or in a liquid digestate storage structure. 10 Sec. 16. NEW SECTION . 458.211 Digester structures —— 11 construction permits —— application process. 12 1. Except as provided in section 458.217, a construction 13 permit must be issued to an owner of an existing or proposed 14 community anaerobic digester system prior to the construction 15 of a digester structure, including a liquid digester storage 16 structure, a digester processing structure, or a liquid 17 digestate storage structure, as provided by rules adopted by 18 the department pursuant to this chapter. The department may 19 adopt rules providing separate requirements for each type of 20 digester structure, including a liquid digester manure storage 21 structure and a liquid digester feedstock storage structure. 22 2. The department shall not approve an application for 23 a permit to construct or expand a digester structure if the 24 total liquid capacity of all existing and proposed digester 25 structures would exceed one million five hundred thousand 26 gallons. 27 3. The department’s decision to approve a permit for 28 the construction of a digester structure shall be based on 29 whether the application is submitted according to procedures 30 required by the department and the application meets standards 31 established by this subchapter and rules adopted by the 32 department. 33 4. Construction of a digester structure shall not begin 34 until the department first approves the application and issues 35 -13- LSB 2958YC (6) 91 da/ns 13/ 36

H.F. _____ a construction permit. 1 5. The department shall approve an application for a 2 construction permit regardless of whether the applicant is 3 required to be issued a construction permit. 4 6. Prior to submitting an application for a construction 5 permit, the applicant may submit a conceptual design and site 6 investigation report to the department for review and comment. 7 7. The department shall approve or disapprove an 8 application for a construction permit within sixty days after 9 receiving the permit application. However, the applicant may 10 deliver a notice requesting a continuance. Upon receipt of 11 a notice, the time required for the department to act upon 12 the application shall be suspended for the period provided 13 in the notice, but for not more than thirty days after the 14 department’s receipt of the notice. The applicant may submit 15 more than one notice. However, the department may provide that 16 an application is terminated if no action is required by the 17 department for one year following delivery of the application 18 to the department. The department may also provide for a 19 continuance when it considers the application. The department 20 shall provide notice to the applicant of the continuance. The 21 time required for the department to act upon the application 22 shall be suspended for the period provided in the notice, but 23 for not more than thirty days. However, the department shall 24 not provide for more than one continuance. 25 Sec. 17. NEW SECTION . 458.212 Digester structures —— 26 construction permits —— contents of application. 27 An application for a construction permit as required in 28 section 458.211 must include all of the following information: 29 1. The name and contact information of the owner and manager 30 of the anaerobic digester system. 31 2. The type and description of the proposed new or expanded 32 digester structure, whether it is designed as a liquid digester 33 storage structure, including a liquid digester manure storage 34 structure or liquid digester feedstock storage structure or 35 -14- LSB 2958YC (6) 91 da/ns 14/ 36

H.F. _____ both, a digester processing structure, or a liquid digestate 1 storage structure. 2 3. The size and liquid capacity of the digester structure. 3 4. Whether the digester structure is formed or unformed. 4 5. Whether the digester structure is to be constructed on 5 land that is any of the following: 6 a. A critical public area. 7 b. A designated area. 8 c. A designated wetland. 9 d. Karst terrain. 10 e. In a one hundred year floodplain. 11 6. Information including but not limited to maps, drawings, 12 and aerial photos that clearly show the location of all of the 13 following: 14 a. The location of any neighboring proposed or existing 15 community anaerobic digester system, and any other proposed or 16 existing digester structures. 17 b. The location of any animal feeding operation structure 18 existing in proximity to the construction site. 19 c. A public water supply system as defined in section 20 455B.171 or a drinking water well which is located within a 21 distance from the proposed construction site as prescribed by 22 rules adopted by the department. 23 7. An engineering report, construction plans, and 24 specifications prepared by a professional engineer. The 25 professional engineer must certify that the construction of 26 the digester structure complies with the construction design 27 standards required in this subchapter. 28 8. A plan for maintaining digester records for inspection by 29 the department as required in section 458.324. 30 9. Any other information determined relevant by the 31 department as provided by rules adopted by the department. 32 Sec. 18. NEW SECTION . 458.213 Digester structures —— 33 construction permits —— application fee. 34 A person submitting an application for a construction permit 35 -15- LSB 2958YC (6) 91 da/ns 15/ 36

H.F. _____ as provided in section 458.211 must submit to the department a 1 construction permit application fee as part of the application. 2 The fee shall not exceed one thousand dollars. Moneys 3 collected by the department from the payment of construction 4 permit application fees shall be deposited in the general fund 5 of the state. 6 Sec. 19. NEW SECTION . 458.217 Digester structures —— 7 construction permits —— exception. 8 A person is not required to be issued a permit to construct 9 a digester structure if the anaerobic digester system is owned 10 by a research college conducting research activities involving 11 the digestion process, including associated liquid digester 12 manure storage or stockpiling, digester feedstock storage 13 or stockpiling, digestate storage, or the application of a 14 digestate. 15 Sec. 20. NEW SECTION . 458.221 General construction design 16 standards —— formed liquid digester structures. 17 1. The department shall adopt rules establishing 18 construction design standards for a formed digester structure, 19 including a formed liquid digester storage structure, a 20 formed digester processing structure, and a formed liquid 21 digestate storage structure. The department may adopt rules 22 providing separate regulations for each type of formed digester 23 structure, including a formed liquid digester manure storage 24 structure and a formed liquid digester feedstock storage 25 structure. 26 2. The construction design standards shall be based, to 27 every extent possible, upon uniform standards such as available 28 standards promulgated by ASTM (American society for testing and 29 materials) international. 30 3. The construction design standards for concrete must 31 provide for all of the following: 32 a. The concrete’s minimum compressive strength calculated on 33 a pounds-per-square-inch basis. 34 b. The use of reinforcement, including but not limited to 35 -16- LSB 2958YC (6) 91 da/ns 16/ 36

H.F. _____ the grade, amount, and location of steel rebar, fiberglass, or 1 similar materials set in the concrete, or the use of exterior 2 braces to support joints. 3 c. The depth of footings. 4 d. The thickness of the footings, the floor, and walls. 5 Sec. 21. NEW SECTION . 458.222 Special construction 6 restrictions —— formed digester structures. 7 The department shall adopt rules providing for upgraded 8 construction design standards for a formed digester structure 9 constructed on karst terrain or an area that drains into a 10 known sinkhole as is necessary to ensure that a formed digester 11 structure does not pollute groundwater sources. 12 Sec. 22. NEW SECTION . 458.225 General construction design 13 standards —— unformed digester structures —— inspections. 14 1. The department shall adopt rules establishing 15 construction design standards for an unformed digester 16 structure, including an unformed liquid digester storage 17 structure, an unformed digester processing structure, and an 18 unformed liquid digestate storage structure. The department 19 may adopt rules providing separate regulations for each type 20 of formed digester structure, including an unformed liquid 21 digester manure storage structure and an unformed liquid 22 digester feedstock storage structure. 23 2. The construction design standards for an unformed 24 digester structure, established by rules adopted by the 25 department, must account for special design characteristics 26 applicable to an unformed digester storage structure, an 27 unformed digester processing structure, or an unformed liquid 28 digestate storage structure. The construction design standards 29 must account for all of the following: 30 a. The lining of the unformed digester structure must be 31 constructed with materials deemed suitable by rules adopted by 32 the department in order to minimize liquid seepage loss through 33 the lining’s seal. 34 b. The structure must be constructed with materials deemed 35 -17- LSB 2958YC (6) 91 da/ns 17/ 36

H.F. _____ suitable by rules adopted by the department in order to control 1 erosion on the unformed digester structure’s berm, side slopes, 2 and base. 3 c. The unformed digester structure must be constructed 4 to minimize the seepage of a liquid into near-surface water 5 sources. 6 d. The top of the floor of the unformed digester structure’s 7 liner must be above the groundwater table as determined by 8 the department. If the groundwater table is less than two 9 feet below the top of the liner’s floor, the unformed digester 10 structure must be installed with a synthetic liner. If the 11 department allows an unformed digester structure to be located 12 at a site by permanently lowering the groundwater table, 13 the department shall confirm that the proposed system meets 14 standards necessary to ensure that the unformed digester 15 structure does not pollute groundwater sources. If the 16 department allows drain tile installed to lower a groundwater 17 table to remain where located, the department shall require 18 that a device be installed to allow monitoring of the water in 19 the drain tile line. The department shall also require the 20 installation of a device to allow shutoff of the drain tile 21 lines, if the drain tile lines do not have a surface outlet 22 accessible on the property where the digester structure is 23 located. 24 3. a. The department shall conduct a routine inspection 25 of each unformed digester structure at least once each year. 26 A routine inspection conducted pursuant to this subsection 27 shall be limited to a visual inspection of the site where the 28 unformed digester structure is located. The department shall 29 inspect the site at a reasonable time after providing at least 30 twenty-four hours’ notice to the person owning or managing the 31 anaerobic digester system. The visual inspection must include 32 but is not limited to determining whether any of the following 33 exist: 34 (1) An adequate freeboard level. 35 -18- LSB 2958YC (6) 91 da/ns 18/ 36

H.F. _____ (2) The seepage of a liquid from the unformed digester 1 structure. 2 (3) Erosion. 3 (4) Inadequate cover. 4 (5) The presence of an opening allowing liquid to drain from 5 the unformed digester structure. 6 b. Paragraph “a” does not restrict the department from 7 conducting an inspection of an anaerobic digester system which 8 is not routine. 9 Sec. 23. NEW SECTION . 458.226 Special construction 10 restrictions —— unformed digester structures. 11 1. Except as provided in subsection 2, a person shall not 12 construct an unformed digester structure on karst terrain. 13 2. A person may construct an unformed digester structure 14 on karst terrain if there is a twenty-five-foot vertical 15 separation distance between the bottom of the unformed digester 16 structure and underlying limestone, dolomite, or other soluble 17 rock. 18 Sec. 24. NEW SECTION . 458.227 Restrictions —— unformed 19 digester structures. 20 1. A person shall not construct an unformed digester 21 structure in an area that drains into a known sinkhole. 22 2. A person shall not construct or expand an unformed liquid 23 digester structure within an agricultural drainage well area 24 as provided in section 460.205. 25 Sec. 25. NEW SECTION . 458.301 Minimum air quality 26 separation distance requirements —— digester structures. 27 1. Except as provided in section 458.302, a person shall 28 not construct or expand a digester structure if the digester 29 structure is located within two thousand five hundred feet from 30 any of the following: 31 a. A residence not owned by the owner of the community 32 anaerobic digester system. 33 b. A designated object or location. 34 2. Except as provided in section 458.302, a person shall 35 -19- LSB 2958YC (6) 91 da/ns 19/ 36

H.F. _____ not construct or expand a digester structure if the digester 1 structure is within one hundred feet of a public thoroughfare. 2 Sec. 26. NEW SECTION . 458.302 Air quality separation 3 distance requirements —— digester structures —— exemptions. 4 A separation distance requirement provided in section 5 458.301 does not apply to any of the following: 6 1. a. A digester structure that is constructed or 7 expanded, if the titleholder of the land benefiting from the 8 separation distance requirement executes a written waiver with 9 the titleholder of the land where the digester structure is 10 located. If a digester structure is constructed or expanded 11 within the separation distance required between a digester 12 structure and a public thoroughfare, the state or a political 13 subdivision constructing or maintaining the public thoroughfare 14 benefiting from the distance separation requirement may execute 15 a written waiver with the titleholder of the land where the 16 digester structure is located. The digester structure shall be 17 constructed or expanded under such terms and conditions that 18 the parties negotiate. 19 b. A written waiver under this subsection becomes effective 20 only upon the recording of the waiver in the office of the 21 recorder of deeds of the county in which the benefited land 22 is located. The filed waiver shall preclude enforcement by 23 the state of this part as it relates to a separation distance 24 requirement between the digester structure and the location or 25 object benefiting from the separation distance requirement. 26 2. a. A digester structure that is constructed or expanded 27 within any distance from a residence or a designated object or 28 location, if the residence or designated object or location 29 was constructed or expanded after the date that the community 30 anaerobic digester system was established. 31 b. The date that a community anaerobic digester system 32 is established is the date on which the community anaerobic 33 digester system commenced operating. A change in ownership or 34 expansion of the community anaerobic digester system does not 35 -20- LSB 2958YC (6) 91 da/ns 20/ 36

H.F. _____ change the established date of the community anaerobic digester 1 system. 2 Sec. 27. NEW SECTION . 458.303 Minimum air quality 3 separation distance requirements —— stockpiling dry digester 4 manure, dry digester feedstock, or dry digestate. 5 1. Except as provided in subsection 2, a person shall not 6 stockpile dry digester manure, dry digester feedstock, or dry 7 digestate on land that is located within one thousand two 8 hundred fifty feet of any of the following: 9 a. A residence not owned by the titleholder of the land. 10 b. A designated object or location. 11 2. A person may stockpile dry digester manure within a 12 separation distance required in subsection 1 if the titleholder 13 of the land benefiting from the separation distance requirement 14 executes a written waiver with the titleholder of the land 15 where the stockpile is located. 16 Sec. 28. NEW SECTION . 458.304 Minimum air quality 17 separation distance requirements —— application of liquid 18 digestate. 19 1. Except as provided in subsection 2, a person shall not 20 apply liquid digestate on land located within seven hundred 21 fifty feet of any of the following: 22 a. A residence not owned by the titleholder of the land. 23 b. A designated object or location. 24 2. A person may apply liquid digestate on land within a 25 separation distance required in subsection 1 if any of the 26 following apply: 27 a. The liquid digestate is injected into the soil or 28 incorporated within the soil not later than twenty-four hours 29 from the original application, as provided by rules adopted by 30 the department. 31 b. The titleholder of the land benefiting from the 32 separation distance requirement executes a written waiver with 33 the titleholder of the land where the liquid digestate is 34 applied. 35 -21- LSB 2958YC (6) 91 da/ns 21/ 36

H.F. _____ c. The liquid digestate is applied by spray irrigation 1 equipment using a center pivot mechanism as provided by rules 2 adopted by the department, if all of the following apply: 3 (1) The spray irrigation equipment uses hoses which apply 4 the liquid digestate in a downward direction at a height of not 5 more than nine feet above the soil. 6 (2) The spray irrigation equipment disperses liquid 7 digestate through an orifice at a maximum pressure of not more 8 than twenty-five pounds per square inch. 9 (3) The liquid digestate is not applied within two hundred 10 fifty feet from a residence not owned by the titleholder of the 11 land, or designated object or location. 12 Sec. 29. NEW SECTION . 458.311 Water quality —— minimum 13 requirements for digester manure control. 14 The delivery of digester manure by an animal feeding 15 operation for processing by an anaerobic digester system in a 16 manner that complies with this part constitutes manure disposal 17 satisfying the requirements of section 459.311. 18 Sec. 30. NEW SECTION . 458.312 Water quality —— duty of 19 removal. 20 The owner of a digester structure that is part of an 21 anaerobic digester system that discontinues use shall remove 22 all material from the digester structure within six months 23 following the date that the anaerobic digester system is 24 discontinued. 25 Sec. 31. NEW SECTION . 458.313 Water quality —— 26 restrictions. 27 1. A person shall not construct or expand an unformed 28 digester structure within an agricultural drainage well area 29 as provided in section 460.205. 30 2. A person shall not construct a digester structure on land 31 that is part of a one hundred year floodplain as designated by 32 rules adopted by the department. 33 Sec. 32. NEW SECTION . 458.315 Water quality —— separation 34 distance requirements —— digester structures. 35 -22- LSB 2958YC (6) 91 da/ns 22/ 36

H.F. _____ 1. Except as provided in subsection 2, all of the following 1 apply: 2 a. A person shall not construct or expand a digester 3 structure closer than five hundred feet away from the surface 4 intake of an agricultural drainage well. A digester structure 5 shall not be constructed closer than one thousand feet from a 6 wellhead, cistern of an agricultural drainage well, or known 7 sinkhole. However, the department may adopt rules requiring an 8 increased separation distance under this paragraph in order to 9 protect the integrity of a water of the state. The increased 10 separation distance shall not be more than two thousand feet. 11 If the department exercises its discretion to increase the 12 separation distance requirement, the department shall not 13 approve an application for a permit under subchapter II to 14 construct a digester structure within that separation distance. 15 b. A digester structure shall not be constructed if the 16 digester structure as constructed is closer than any of the 17 following: 18 (1) Five hundred feet away from a water source other than a 19 major water source. 20 (2) One thousand feet away from a major water source. 21 (3) Two thousand five hundred feet away from a designated 22 wetland. 23 c. (1) A water source, other than a major water source, 24 shall not be constructed, expanded, or diverted, if the water 25 source as constructed, expanded, or diverted is closer than 26 five hundred feet away from a community anaerobic digester 27 system. 28 (2) A major water source shall not be constructed, expanded, 29 or diverted if the major water source as constructed, expanded, 30 or diverted is closer than one thousand feet from a digester 31 structure. 32 (3) A designated wetland shall not be established, if the 33 designated wetland is closer than two thousand five hundred 34 feet away from a digester structure. 35 -23- LSB 2958YC (6) 91 da/ns 23/ 36

H.F. _____ 2. A separation distance required in subsection 1 does not 1 apply to any of the following: 2 a. A farm pond or privately owned lake, as those terms are 3 defined in section 462A.2. 4 b. A digester structure with a secondary containment 5 barrier. The department shall adopt rules providing for the 6 construction and use of a secondary containment barrier, 7 including construction design standards. 8 Sec. 33. NEW SECTION . 458.316 Water quality —— general 9 requirements for stockpiling dry digester manure, dry digester 10 feedstock, or dry digestate. 11 1. A person stockpiling dry manure, dry digester feedstock, 12 or dry digestate shall comply with applicable requirements of 13 the national pollutant discharge elimination system pursuant to 14 the federal Water Pollution Control Act. 15 2. A person shall remove stockpiled dry manure, dry digester 16 feedstock, or dry digestate within six months after the dry 17 manure, dry digester feedstock, or dry digestate is stockpiled. 18 Sec. 34. NEW SECTION . 458.317 Water quality —— separation 19 distances for stockpiling dry digester manure, dry digester 20 feedstock, or dry digestate. 21 1. a. Except as provided in paragraph “b” , a person shall 22 not stockpile dry digester manure, dry digester feedstock, 23 or dry digestate closer than the following distances to a 24 designated area: 25 (1) Four hundred feet from a designated area other than a 26 high-quality water resource. 27 (2) Eight hundred feet from a high-quality water resource. 28 b. A person may apply dry digester manure, dry digester 29 feedstock, or dry digestate that is maintained in a manner that 30 will not allow precipitation-induced runoff to drain from the 31 dry digestate to the designated area. 32 2. a. Except as provided in paragraph “b” , a person shall 33 not stockpile dry digester manure, dry digester feedstock, or 34 dry digestate within two hundred feet from a terrace tile inlet 35 -24- LSB 2958YC (6) 91 da/ns 24/ 36

H.F. _____ or surface tile inlet. 1 b. A person may apply dry digester manure, dry digester 2 feedstock, or dry digestate that is maintained in a manner that 3 will not allow precipitation-induced runoff to drain from the 4 dry digestate to the terrace tile inlet or surface tile inlet. 5 3. A person shall not stockpile dry digester manure, dry 6 digester feedstock, or dry digestate in a grassed waterway, 7 where water pools on the soil surface, or in any location where 8 surface water will enter the stockpiled dry digester manure, 9 dry digester feedstock, or dry digestate. 10 4. a. Except as provided in paragraph “b” , a person shall 11 not stockpile dry digester manure, dry digester feedstock, 12 or dry digestate on land having a slope of more than three 13 percent. 14 b. A person may stockpile dry digester manure, dry digester 15 feedstock, or dry digestate on land having a slope described 16 in paragraph “a” if the person uses methods, structures, or 17 practices implemented to contain the stockpiled dry digester 18 manure, dry digester feedstock, or dry digestate, including but 19 not limited to using hay bales, silt fences, temporary earthen 20 berms, or other effective measures, and to prevent or diminish 21 precipitation-induced runoff from the stockpiled dry digester 22 manure, dry digester feedstock, or dry digestate. 23 Sec. 35. NEW SECTION . 458.318 Water quality —— special 24 requirements for stockpiling dry digester manure, dry digester 25 feedstock, or dry digestate on karst terrain or in alluvial 26 aquifer. 27 A person may stockpile dry digester manure, dry digester 28 feedstock, or dry digestate on karst terrain or in an alluvial 29 aquifer in compliance with all of the following: 30 1. The person must stockpile the dry digester manure, dry 31 digester feedstock, or dry digestate at a location where there 32 is a vertical separation distance of at least five feet between 33 the bottom of the stockpiled dry digester manure, dry digester 34 feedstock, or dry digestate and the underlying limestone, 35 -25- LSB 2958YC (6) 91 da/ns 25/ 36

H.F. _____ dolomite, or other soluble rock in karst terrain or the 1 underlying sand and gravel aquifer in an alluvial aquifer area. 2 2. The dry digestate must be stockpiled on reinforced 3 concrete at least five inches thick. 4 Sec. 36. NEW SECTION . 458.321 Water quality —— applying 5 digester manure or digester feedstock. 6 1. Except as provided in subsection 2, a person shall not 7 apply digester manure or digester feedstock on land that is 8 on-farm or off-farm. 9 2. A person may apply digester manure or digester feedstock 10 on-farm or off-farm according to the terms of a waiver issued 11 by the department. 12 Sec. 37. NEW SECTION . 458.322 Water quality —— applying 13 digestate on snow covered or frozen ground. 14 A person may apply digestate on snow covered or frozen 15 ground except to the extent otherwise provided by applicable 16 requirements for digester manure in this chapter, section 17 459.313A, or the national pollutant discharge elimination 18 system pursuant to the federal Water Pollution Control Act. 19 Sec. 38. NEW SECTION . 458.323 Digestate management 20 supplement. 21 If digestate is applied on land subject to a manure 22 management plan or a nutrient management plan, the manure 23 management plan or nutrient management plan must be attached 24 with a digestate management supplement. The digestate 25 management supplement must include all of the following: 26 1. Calculations necessary to determine the land area 27 required for the application of the digestate and manure from a 28 confinement feeding operation or effluent from an open feedlot 29 operation. 30 2. The nutrient concentrations of the digestate. 31 Sec. 39. NEW SECTION . 458.324 Records. 32 1. The owner or manager of a community anaerobic digester 33 system must maintain and update digester management records 34 regarding operations of a community anaerobic digester system. 35 -26- LSB 2958YC (6) 91 da/ns 26/ 36

H.F. _____ 2. The digester management records must include information 1 required by the department which may include the following: 2 a. The digester manure, digester feedstock, and inorganic 3 materials subject to processing. 4 b. The location of dry digester manure stockpiles, dry 5 digester feedstock stockpiles, and dry digestate stockpiles 6 located on the community anaerobic digester system. 7 c. The types of digester feedstock used. 8 d. The types of biogas processed, the storage of biogas, and 9 method of transporting the biogas. 10 e. An estimate of the volume or weight capacity of digester 11 manure or digester feedstock stored and processed. 12 f. On-farm or off-farm use of the digestate, including 13 the manure management plan or nutrient management plan that 14 includes a digestate management supplement as required in 15 section 458.323. 16 3. The department shall adopt rules for the inspection of 17 digester management records during normal business hours. 18 4. Chapter 22 does not apply to digester management records, 19 which shall be kept confidential by the department and its 20 agents and employees. The contents of the records are not 21 subject to disclosure except as follows: 22 a. Upon waiver by the person owning or managing the 23 community anaerobic digester system. 24 b. In an action or administrative proceeding commenced under 25 this chapter. Any hearing related to the action or proceeding 26 shall be closed. 27 c. When required by subpoena or court order. 28 Sec. 40. NEW SECTION . 458.401 General. 29 The department and the attorney general shall enforce the 30 provisions of this chapter in the same manner as provided in 31 chapter 455B, subchapter I, unless otherwise provided in this 32 chapter. 33 Sec. 41. NEW SECTION . 458.402 Violations —— civil penalty. 34 1. A person who violates a provision in subchapter III, part 35 -27- LSB 2958YC (6) 91 da/ns 27/ 36

H.F. _____ 1, shall be subject to the same penalty as provided in section 1 459.602, and a person who violates any other provision of this 2 chapter shall be subject to the same penalty as provided in 3 section 459.603. 4 2. Any collected civil penalty and interest on a civil 5 penalty shall be credited to the Iowa nutrient research fund 6 created in section 466B.46. 7 Sec. 42. CODE EDITOR DIRECTIVE. 8 1. The Code editor is directed to create subchapters and 9 parts in chapter 458 as follows: 10 a. Subchapter I shall include sections 458.101 through 11 458.200. 12 (1) Part 1 shall include sections 458.101 through 458.110. 13 (2) Part 2 shall include sections 458.111 through 458.200. 14 b. Subchapter II shall include sections 458.201 through 15 458.300. 16 (1) Part 1 shall include sections 458.201 through 458.210. 17 (2) Part 2 shall include sections 458.211 through 458.220. 18 (3) Part 3 shall include sections 458.221 through 458.300. 19 c. Subchapter III shall include sections 458.301 through 20 458.400. 21 (1) Part 1 shall include sections 458.301 through 458.310. 22 (2) Part 2 shall include sections 458.311 through 458.400. 23 d. Subchapter IV shall include sections 458.401 and 24 458.402. 25 2. The Code editor is directed to correct internal 26 references in the Code and in any enacted legislation as 27 necessary due to enactment of this section. 28 DIVISION II 29 COORDINATING PROVISIONS 30 Sec. 43. Section 455A.4, subsection 1, paragraph b, Code 31 2025, is amended to read as follows: 32 b. Provide overall supervision, direction, and coordination 33 of functions to be administered by the administrators under 34 chapters 321G , 321I , 455B , 455C , 456A , 456B , 457A , 458, 458A , 35 -28- LSB 2958YC (6) 91 da/ns 28/ 36

H.F. _____ 459 , 459A , 459B , 461A , 462A , 462B , 464A , 465C , 473 , 481A , 481B , 1 483A , 484A , and 484B . 2 Sec. 44. Section 455B.103, subsection 4, unnumbered 3 paragraph 1, Code 2025, is amended to read as follows: 4 Conduct investigations of complaints received directly 5 or referred by the commission created in section 455A.6 or 6 other investigations deemed necessary. While conducting an 7 investigation, the director may enter at any reasonable time 8 in and upon any private or public property to investigate 9 any actual or possible violation of this chapter , chapter 10 458, chapter 459 , chapter 459A , chapter 459B , or the rules or 11 standards adopted under this chapter , chapter 458, chapter 459 , 12 chapter 459A , or chapter 459B . However, the owner or person in 13 charge shall be notified. 14 Sec. 45. Section 455B.112, Code 2025, is amended to read as 15 follows: 16 455B.112 Actions by attorney general. 17 In addition to the duty to commence legal proceedings at 18 the request of the director or commission under this chapter ; 19 chapter 458; chapter 459, subchapters I , II , III , IV , and 20 VI ; chapter 459A ; or chapter 459B , the attorney general may 21 institute civil or criminal proceedings, including an action 22 for injunction, to enforce the provisions of this chapter ; 23 chapter 458; chapter 459, subchapters I , II , III , IV , and VI ; 24 chapter 459A ; or chapter 459B , including orders or permits 25 issued or rules adopted under this chapter ; chapter 458; 26 chapter 459, subchapters I , II , III , IV , and VI ; chapter 459A ; 27 or chapter 459B . 28 Sec. 46. Section 455B.113, subsection 1, Code 2025, is 29 amended to read as follows: 30 1. The director shall certify laboratories which perform 31 laboratory analyses of samples required to be submitted by 32 the department by this chapter ; chapter 458; chapter 459, 33 subchapters I , II , III , IV , and VI ; or chapter 459A , or by 34 rules adopted in accordance with this chapter ; chapter 458; 35 -29- LSB 2958YC (6) 91 da/ns 29/ 36

H.F. _____ chapter 459, subchapters I , II , III , IV , and VI ; or chapter 1 459A , or by permits or orders issued under this chapter ; 2 chapter 458; chapter 459, subchapters I , II , III , IV , and VI ; 3 or chapter 459A . 4 Sec. 47. Section 455B.115, Code 2025, is amended to read as 5 follows: 6 455B.115 Analysis by certified laboratory required. 7 Laboratory analysis of samples as required by this chapter ; 8 chapter 458; chapter 459, subchapters I , II , III , IV , and 9 VI ; or chapter 459A ; or by rules adopted, or by permits or 10 orders issued pursuant to this chapter ; chapter 458; chapter 11 459, subchapters I , II , III , IV , and VI ; or chapter 459A shall 12 be conducted by a laboratory certified by the director as 13 having the necessary competence, equipment, and capabilities to 14 perform the analysis. Analytical results from laboratories not 15 certificated shall not be accepted by the director. 16 Sec. 48. Section 455B.174, subsections 1 and 3, Code 2025, 17 are amended to read as follows: 18 1. Conduct investigations of alleged water pollution or of 19 alleged violations of this part 1 of subchapter III , ; chapter 20 458; chapter 459, subchapter III , ; chapter 459A , ; or chapter 21 459B , ; or any rule adopted or any permit issued pursuant to 22 this part 1 of subchapter III , ; chapter 458; chapter 459, 23 subchapter III , ; chapter 459A , ; or chapter 459B , ; upon written 24 request of any state agency, political subdivision, local board 25 of health, twenty-five residents of the state, as directed 26 by the department, or as may be necessary to accomplish the 27 purposes of this part 1 of subchapter III , ; chapter 458; 28 chapter 459, subchapter III , ; chapter 459A , ; or chapter 459B . 29 3. Take any action or actions allowed by law which, in 30 the director’s judgment, are necessary to enforce or secure 31 compliance with the provisions of this part 1 of subchapter III 32 or ; chapter 458; chapter 459, subchapter III , ; or of any rule 33 or standard established or permit issued pursuant to this part 34 1 of subchapter III or ; chapter 458; or chapter 459, subchapter 35 -30- LSB 2958YC (6) 91 da/ns 30/ 36

H.F. _____ III . 1 Sec. 49. Section 455B.175, subsection 1, unnumbered 2 paragraph 1, Code 2025, is amended to read as follows: 3 If there is substantial evidence that any person has 4 violated or is violating any provision of, or any rule or 5 standard established or permit issued pursuant to, this part 1 6 of subchapter III , ; chapter 458; chapter 459, subchapter III , ; 7 chapter 459A , ; or chapter 459B , ; then one of the following may 8 apply: 9 Sec. 50. Section 455B.182, Code 2025, is amended to read as 10 follows: 11 455B.182 Failure constitutes contempt. 12 Failure to obey any order issued by the department with 13 reference to a violation of this part 1 of subchapter III ; 14 chapter 458; chapter 459, subchapter III ; chapter 459A ; chapter 15 459B ; or any rule promulgated or permit issued pursuant thereto 16 shall constitute prima facie evidence of contempt. In such 17 event the department may certify to the district court of the 18 county in which such alleged disobedience occurred the fact of 19 such failure. The district court after notice, as prescribed 20 by the court, to the parties in interest shall then proceed to 21 hear the matter and if it finds that the order was lawful and 22 reasonable, it shall order the party to comply with the order. 23 If the person fails to comply with the court order, that person 24 shall be guilty of contempt and shall be fined not to exceed 25 five hundred dollars for each day that the person fails to 26 comply with the court order. The penalties provided in this 27 section shall be considered as additional to any penalty which 28 may be imposed under the law relative to nuisances or any other 29 statute relating to the pollution of any waters of the state or 30 related to public water supply systems and a conviction under 31 this section shall not be a bar to prosecution under any other 32 penal statute. 33 Sec. 51. Section 455B.185, Code 2025, is amended to read as 34 follows: 35 -31- LSB 2958YC (6) 91 da/ns 31/ 36

H.F. _____ 455B.185 Data from departments. 1 The commission and the director may request and receive 2 from any department, division, board, bureau, commission, 3 public body, or agency of the state, or of any political 4 subdivision thereof, or from any organization, incorporated or 5 unincorporated, which has for its object the control or use of 6 any of the water resources of the state, such assistance and 7 data as will enable the commission or the director to properly 8 carry out their activities and effectuate the purposes of this 9 part 1 of subchapter III ; chapter 458; chapter 459, subchapter 10 III ; chapter 459A ; or chapter 459B . The department shall 11 reimburse such agencies for special expense resulting from 12 expenditures not normally a part of the operating expenses of 13 any such agency. 14 Sec. 52. NEW SECTION . 459.104 Digestates. 15 This chapter does not apply to digestate processed at a 16 community anaerobic digester system as regulated in chapter 17 458, unless the digestate is combined with manure. 18 Sec. 53. NEW SECTION . 459.312B Digestate management 19 supplement attached to nutrient management plan. 20 If digestate is applied on land subject to a manure 21 management plan pursuant to section 459.312, the manure 22 management plan must be attached with a digestate management 23 supplement as provided in section 458.323. 24 Sec. 54. NEW SECTION . 459A.106 Digestates. 25 This chapter does not apply to digestate processed at a 26 community anaerobic digester system as regulated in chapter 458 27 unless the digestate is combined with effluent. 28 Sec. 55. NEW SECTION . 459A.208A Digestate management 29 supplement attached to nutrient management plan. 30 If digestate is applied on land subject to a nutrient 31 management plan pursuant to section 459A.208, the nutrient 32 management plan must be attached with a digestate management 33 supplement as provided in section 458.323. 34 Sec. 56. NEW SECTION . 459B.105 Digestates. 35 -32- LSB 2958YC (6) 91 da/ns 32/ 36

H.F. _____ This chapter does not apply to digestates processed at a 1 community anaerobic digester system as regulated in chapter 2 458. 3 EXPLANATION 4 The inclusion of this explanation does not constitute agreement with 5 the explanation’s substance by the members of the general assembly. 6 GENERAL. This bill provides for the regulation of a 7 community anaerobic digester system (system) by the department 8 of natural resources (DNR) which must include a digester 9 processing structure that primarily processes manure but may 10 also process other organic feedstocks. The system produces 11 a biogas which is a source of renewable fuel and a digestate 12 which is a nutrient-rich material that may be applied to 13 cropland. 14 TERMINOLOGY. The bill provides for the regulation of 15 off-farm systems. “On-farm” refers to real property used to 16 produce agricultural animals or crops as compared to “off-farm” 17 which refers to real property other than on-farm. Once 18 manure or feedstock is received by the system, the manure is 19 referred to as digester manure and the feedstock is referred 20 to as digester feedstock. The off-farm system receives 21 on-farm manure and either on-farm or off-farm feedstock. The 22 digester manure or digester feedstock is subject to storage 23 requirements. Different regulations apply to digester 24 feedstock or digester manure that is dry or liquid. Digester 25 manure or digester feedstock is classified as dry only if the 26 digester manure or digester feedstock does not flow perceptibly 27 under pressure, is not capable of being transported through 28 a mechanical pumping device designed to move a liquid, and 29 consists of molecules that do not flow freely among themselves. 30 Generally, liquid digester manure and liquid digester feedstock 31 must be stored in a liquid digester storage structure. Dry 32 digester manure or dry digester feedstock must be stored as 33 a dry digester stockpile or in a liquid digester storage 34 structure. The digester manure or digester feedstock is used 35 -33- LSB 2958YC (6) 91 da/ns 33/ 36

H.F. _____ by a digester processing structure to produce biogas and a 1 digestate. A digester processing structure must process manure 2 as its primary source. Digestate is also referred to as dry 3 or liquid based on the same criteria used for digester manure 4 and digester feedstock. Liquid digestate is stored in a liquid 5 digestate storage structure and dry digestate is stored as a 6 stockpile or in a liquid digestate storage structure. The 7 scope of the bill is limited to the off-farm construction, 8 including expansion, of digester structures on the site of the 9 system, the off-farm stockpiling of dry digester manure or 10 feedstock on the site of the system, the off-farm storage and 11 stockpiling of digestate on the site of the system, the removal 12 of the digestate from the off-farm site of the system, and 13 the on-farm storage and application of the removed digestate. 14 Any reference in the bill to a digester structure means a 15 covered liquid digester storage structure, a covered digester 16 processing structure, or a covered liquid digestate storage 17 structure. Any reference to a digester stockpile refers to a 18 dry digester manure or feedstock stockpile or a dry digestate 19 stockpile. 20 REGULATION. The bill provides that a system cannot be 21 identified with an animal feeding operation where animals are 22 confined and fed and maintained for 45 days or more in any 23 12-month period. Identification occurs only if the system 24 and the animal feeding operation are both (1) under common 25 ownership or management and (2) adjacent. 26 CONSTRUCTION. The bill provides that a construction 27 permit must be issued by DNR prior to the construction 28 of a digester structure. The requirements for a permit 29 are based on permit requirements for the construction of 30 manure storage structures. The application must include an 31 engineering report, construction plans, and specifications 32 prepared by a professional engineer. The bill provides 33 for an application fee not to exceed $1,000. The bill also 34 provides for construction design standards for a formed 35 -34- LSB 2958YC (6) 91 da/ns 34/ 36

H.F. _____ or unformed digester structure. The construction design 1 standards must be based on uniform standards such as available 2 standards promulgated by ASTM (American society for testing and 3 materials) international. The design standards for unformed 4 digester feedstock storage structures must account for the use 5 of linings and erosion controls. 6 SEPARATION DISTANCE REQUIREMENTS —— AIR QUALITY. The bill 7 provides separation distance requirements as part of air 8 quality and water quality standards. Generally, the separation 9 distance requirements for air quality apply between a digester 10 structure and either a residence not owned by the owner of 11 the system or a designated object or location (commercial 12 enterprise, bona fide religious institution, educational 13 institution, public use area, or public thoroughfare). Other 14 separation distances apply to the stockpiling of dry digester 15 manure or feedstock, or digestate and those same designated 16 objects or locations. The bill also provides separation 17 distance requirements for air quality that apply between 18 the digestate application site and the designated object or 19 location. The separation distance requirements for air quality 20 also provide for certain exceptions, including a waiver by a 21 person benefiting from the separation distance. 22 SEPARATION DISTANCE REQUIREMENTS —— WATER QUALITY. The 23 bill provides a number of separation distance requirements 24 between a digester structure and certain sources of water, 25 including an agricultural drainage well, known sinkhole, lake, 26 river, reservoir, creek, stream, or ditch. The bill provides 27 separation distance requirements between digestate stockpiles 28 and water sources, with exceptions that apply if measures are 29 taken to reduce runoff. Special restrictions are placed on a 30 stockpile located in karst terrain. The bill restricts the 31 application of dry digestate on snow covered or frozen ground. 32 DIGESTATE MANAGEMENT. The bill provides that if digestate 33 is applied on land subject to a manure management plan or 34 nutrient management plan, such plan must be attached with 35 -35- LSB 2958YC (6) 91 da/ns 35/ 36

H.F. _____ a second document referred to as a digestate management 1 supplement. The digestate management supplement must include 2 information necessary to determine the land area required 3 for the application of the digestate and the nutrient 4 concentrations of the digestate. Finally, it requires the 5 owner or manager of the system to maintain records regarding 6 the system’s operation. 7 CIVIL PENALTIES. A person who violates an air quality 8 regulation or water quality regulation is subject to a civil 9 penalty based on a schedule established by DNR rule. The 10 civil penalty cannot exceed $10,000 per violation. The civil 11 penalty for a water quality violation may also be subject to 12 a judicial civil penalty not to exceed $5,000 for each day of 13 such violation. 14 -36- LSB 2958YC (6) 91 da/ns 36/ 36