House Study Bill 589 - Introduced HOUSE FILE _____ BY (PROPOSED COMMITTEE ON LOCAL GOVERNMENT BILL BY CHAIRPERSON BODEN) A BILL FOR An Act related to competitive information of city utilities. 1 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 2 TLSB 5627YC (2) 91 ms/js

H.F. _____ Section 1. Section 388.9, subsection 1, Code 2026, is 1 amended to read as follows: 2 1. Notwithstanding section 21.5, subsection 1 , the 3 governing body of a city utility or combined utility system, 4 or a city enterprise or combined city enterprise as defined in 5 section 384.80 , by a vote of two-thirds of the members of the 6 body or all of the members present at the meeting, may hold a 7 closed session to discuss proprietary information or marketing 8 and pricing strategies or proprietary information if its the 9 competitive position of the utility or a third party would be 10 harmed by the public disclosure of the marketing and pricing 11 strategies and such disclosure is not required of potential or 12 actual competitors , and if no public purpose would be served 13 by such disclosure or other utilities . The minutes and an 14 audio or audiovisual recording of a session closed under this 15 subsection shall be available for public examination at that 16 point in time when the public disclosure would no longer harm 17 the utility’s competitive position. 18 Sec. 2. Section 388.9, subsection 2, paragraph b, Code 2026, 19 is amended to read as follows: 20 b. For purposes of this subsection section , “proprietary 21 information” includes customer records that if disclosed would 22 harm the competitive position of a customer or a utility ; or 23 information required by a noncustomer contracting party to 24 be kept confidential pursuant to a nondisclosure agreement 25 which relates related to electric transmission planning 26 and construction, critical energy infrastructure, electric 27 generation capacity planning, energy markets or prices, or an 28 ownership interest or acquisition of an ownership interest in 29 an electric generating facility, including but not limited to 30 information required to be kept confidential pursuant to a 31 nondisclosure agreement, or other information made confidential 32 by law or rule. 33 EXPLANATION 34 The inclusion of this explanation does not constitute agreement with 35 -1- LSB 5627YC (2) 91 ms/js 1/ 3

H.F. _____ the explanation’s substance by the members of the general assembly. 1 Under current law, the governing body of a city utility 2 or combined utility system, or a city enterprise or combined 3 city enterprise, may vote to hold a closed session to discuss 4 marketing and pricing strategies or proprietary information if 5 its competitive position would be harmed by public disclosure 6 not required of potential or actual competitors, and if no 7 public purpose would be served by such disclosure. The minutes 8 and an audio or audiovisual recording of the session shall 9 be made available for public examination once the public 10 disclosure would no longer harm the utility’s competitive 11 position. 12 This bill allows for a closed session by vote to discuss 13 proprietary information or marketing and pricing strategies if 14 the competitive position of the utility or a third party would 15 be harmed by the public disclosure of the marketing and pricing 16 strategies and such disclosure is not required of potential or 17 actual competitors or other utilities. 18 “Proprietary information” is currently defined, for purposes 19 of Code section 388.9, subsection 2, as customer records 20 that if disclosed would harm the competitive position of a 21 customer, or information required by a noncustomer contracting 22 party to be kept confidential pursuant to a nondisclosure 23 agreement which relates to electric transmission planning and 24 construction, critical energy infrastructure, an ownership 25 interest or acquisition of an ownership interest in an electric 26 generating facility, or other information made confidential by 27 law or rule. 28 The bill changes the definition of “proprietary information” 29 to include customer records that if disclosed would harm the 30 competitive position of a customer or a utility; or information 31 related to electric transmission planning and construction, 32 critical energy infrastructure, electric generation capacity 33 planning, energy markets or prices, or an ownership interest or 34 acquisition of an ownership interest in an electric generating 35 -2- LSB 5627YC (2) 91 ms/js 2/ 3

H.F. _____ facility, including but not limited to information required to 1 be kept confidential pursuant to a nondisclosure agreement, or 2 other information made confidential by law or rule. The bill 3 applies this definition of proprietary information to all of 4 Code section 388.9. 5 -3- LSB 5627YC (2) 91 ms/js 3/ 3