Senate File 437 - Introduced SENATE FILE 437 BY WEINER , BENNETT , DONAHUE , DOTZLER , WINCKLER , CELSI , TOWNSEND , PETERSEN , and QUIRMBACH A BILL FOR An Act relating to certain persons who leave legislative or 1 executive branch service, including prohibiting certain 2 employment, lobbying activities, and use of influence, and 3 making penalties applicable. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 1174XS (4) 91 th/jh

S.F. 437 Section 1. Section 68B.5A, subsection 4, Code 2025, is 1 amended to read as follows: 2 4. A person who is subject to the requirements of subsection 3 1 shall not do any of the following within two years after the 4 termination of service or employment become : 5 a. Become a lobbyist. 6 b. Directly authorize or permit lobbying by another 7 individual as part of the person’s employment. 8 Sec. 2. Section 68B.7, subsection 1, Code 2025, is amended 9 to read as follows: 10 1. A person who has served as an official, state employee of 11 a state agency, member of the general assembly, or legislative 12 employee shall not do any of the following within a period of 13 two years after the termination of such service or employment : 14 a. Obtain employment in which the person will take direct 15 advantage, unavailable to others, or receive compensation 16 for any services rendered on behalf of any person, firm, 17 corporation, or association in relation to any case, 18 proceeding, or application with respect to which the person 19 was directly concerned and personally participated during the 20 period of service or employment. 21 b. Be interested in a contract with this state or a 22 political subdivision of this state if, during the legislative 23 session in which the person ends service or employment, the 24 contract was authorized by an enacted law or order made by any 25 board of which the person was a member. 26 Sec. 3. NEW SECTION . 68B.9 State agency restrictions. 27 A state agency or local government agency shall not enter 28 into a contract with or take any action favorably selecting 29 any business or person represented by a person who served as 30 a statewide elected official, the executive or administrative 31 head of an agency of state government, the deputy executive 32 or administrative head of an agency of state government, or a 33 member of the general assembly within the preceding year if the 34 value of the contract or action is over one thousand dollars 35 -1- LSB 1174XS (4) 91 th/jh 1/ 3

S.F. 437 and the contract is a direct result of an official act by the 1 person. 2 Sec. 4. Section 68B.34, Code 2025, is amended to read as 3 follows: 4 68B.34 Additional penalty. 5 In addition to any penalty contained in any other provision 6 of law, a person who knowingly and intentionally violates a 7 provision of sections 68B.2A through 68B.8 68B.9 , sections 8 68B.22 through 68B.24 , or sections 68B.35 through 68B.38 9 is guilty of a serious misdemeanor and may be reprimanded, 10 suspended, or dismissed from the person’s position or otherwise 11 sanctioned. 12 EXPLANATION 13 The inclusion of this explanation does not constitute agreement with 14 the explanation’s substance by the members of the general assembly. 15 This bill relates to former statewide elected officials, 16 heads and deputy heads of an agency, members of the general 17 assembly, persons who served as an official, employees of a 18 state agency, and legislative employees. 19 Under current law, former statewide elected officials, heads 20 and deputy heads of an agency, and members of the general 21 assembly are prohibited from becoming a lobbyist within two 22 years after the termination of service or employment. The 23 bill also prohibits such persons from directly authorizing 24 or permitting lobbying by another individual as part of such 25 person’s employment. 26 Under current law, a person who has served as an official, 27 state employee of a state agency, member of the general 28 assembly, or legislative employee is prohibited from receiving 29 compensation for any services rendered on behalf of any person, 30 firm, corporation, or association in relation to any case, 31 proceeding, or application with respect to which the person was 32 directly concerned and personally participated within a period 33 of two years after the termination of service or employment. 34 The bill also prohibits such persons from obtaining employment 35 -2- LSB 1174XS (4) 91 th/jh 2/ 3

S.F. 437 in which the person will take direct advantage, unavailable to 1 others. Such persons are also prohibited from being interested 2 in a contract with Iowa or a political subdivision of Iowa if, 3 during the legislative session in which the person ends service 4 or employment, the contract was authorized by an enacted law or 5 order made by any board of which the person was a member. 6 The bill prohibits a state agency or local government 7 agency from entering into a contract with or taking any 8 action favorably selecting any business or person represented 9 by a person who served as a statewide elected official, 10 the executive or administrative head of an agency of state 11 government, the deputy executive or administrative head of an 12 agency of state government, or a member of the general assembly 13 within the preceding year if the value of the contract or 14 action is over $1,000 and the contract is a direct result of an 15 official act by the person. 16 By operation of law, a person who knowingly and 17 intentionally violates Code section 68B.5A, 68B.7, or 68B.9, 18 including as amended or enacted by the bill, as applicable, 19 is guilty of a serious misdemeanor and may be reprimanded, 20 suspended, or dismissed from the person’s position or otherwise 21 sanctioned. A serious misdemeanor is punishable by confinement 22 for no more than one year and a fine of at least $430 but not 23 more than $2,560. 24 -3- LSB 1174XS (4) 91 th/jh 3/ 3