S.F. _____ H.F. _____ DIVISION I 1 CONTINUING EDUCATION REQUIREMENTS —— NUTRITION AND METABOLIC 2 HEALTH 3 Section 1. Section 148.3, Code 2026, is amended by adding 4 the following new subsection: 5 NEW SUBSECTION . 5. The board shall adopt rules pursuant to 6 chapter 17A requiring a licensee practicing family medicine, 7 internal medicine, pediatrics, psychiatry, endocrinology, 8 gastroenterology, cardiology, oncology, rheumatology, 9 neurology, nephrology, dermatology, pulmonology, surgery, 10 immunology, hematology, obstetrics, or gynecology to complete a 11 minimum of one hour of continuing education on nutrition and 12 metabolic health every four years as a condition of license 13 renewal. 14 Sec. 2. Section 148C.3, subsection 1, paragraph c, Code 15 2026, is amended to read as follows: 16 c. Hours of continuing medical education necessary to become 17 or remain licensed. The board shall adopt rules pursuant to 18 chapter 17A requiring a licensee practicing family medicine, 19 internal medicine, pediatrics, psychiatry, endocrinology, 20 gastroenterology, cardiology, oncology, rheumatology, 21 neurology, nephrology, dermatology, pulmonology, surgery, 22 immunology, hematology, obstetrics, or gynecology to complete a 23 minimum of one hour of continuing education on nutrition and 24 metabolic health every four years as a condition of license 25 renewal. 26 DIVISION II 27 CERTIFICATE OF NEED 28 Sec. 3. Section 135.61, subsection 16, paragraphs e, g, i, 29 and k, Code 2026, are amended by striking the paragraphs. 30 Sec. 4. Section 135.61, subsection 16, paragraph m, 31 subparagraphs (2) and (3), Code 2026, are amended by striking 32 the subparagraphs. 33 Sec. 5. Section 135.62, subsection 2, paragraph a, Code 34 2026, is amended to read as follows: 35 -1- LSB 5336XL (16) 91 ss/ko 1/ 56

S.F. _____ H.F. _____ a. Private offices and private clinics of an individual 1 physician, dentist, or other practitioner or group of 2 health care providers, except as provided by section 135.61, 3 subsection 16 , paragraphs “g” , “h” , and “m” , and section 135.61, 4 subsections 2 and 18 . 5 Sec. 6. Section 135.62, subsection 2, paragraph e, 6 subparagraph (2), Code 2026, is amended to read as follows: 7 (2) Acquires major medical equipment as provided by section 8 135.61, subsection 16 , paragraphs “i” and paragraph “j” . 9 Sec. 7. Section 135.62, subsection 2, paragraph g, 10 subparagraph (1), unnumbered paragraph 1, Code 2026, is amended 11 to read as follows: 12 A reduction in bed capacity of an institutional health 13 facility, notwithstanding any provision in this subchapter to 14 the contrary, except where a provision expressly exempts such a 15 reduction, if all of the following conditions exist: 16 Sec. 8. Section 135.62, subsection 2, paragraph k, 17 subparagraph (1), unnumbered paragraph 1, Code 2026, is amended 18 to read as follows: 19 The redistribution of beds by a hospital within the acute 20 care category of bed usage, notwithstanding any provision in 21 this subchapter to the contrary, except where a provision 22 expressly exempts such a redistribution of skilled nursing 23 facility or swing beds by a hospital, if all of the following 24 conditions exist: 25 Sec. 9. Section 135.62, subsection 2, paragraph p, Code 26 2026, is amended by striking the paragraph. 27 Sec. 10. Section 135.62, subsection 2, Code 2026, is amended 28 by adding the following new paragraphs: 29 NEW PARAGRAPH . r. An outpatient facility that provides 30 behavioral health services, as defined by rule by the 31 department, to individuals on an outpatient basis, including 32 but not limited to substitution-based treatment centers for 33 opiate addiction. 34 NEW PARAGRAPH . s. Open heart surgical services. 35 -2- LSB 5336XL (16) 91 ss/ko 2/ 56

S.F. _____ H.F. _____ NEW PARAGRAPH . t. Organ transplantation services. 1 NEW PARAGRAPH . u. Notwithstanding any provision of this 2 subchapter to the contrary, any acquisition whether acquired 3 by purchase, lease, or donation by or on behalf of a health 4 care provider or a group of health care providers of any piece 5 of replacement equipment with a value in excess of one million 6 five hundred thousand dollars. 7 NEW PARAGRAPH . v. Notwithstanding any provision of 8 this subchapter to the contrary, any acquisition whether 9 acquired by purchase, lease, or donation by or on behalf of 10 an institutional health facility or a health maintenance 11 organization of any piece of replacement equipment with a value 12 in excess of one million five hundred thousand dollars. 13 NEW PARAGRAPH . w. Any air transportation service for 14 transportation of patients or medical personnel offered through 15 an institutional health facility. 16 NEW PARAGRAPH . x. Notwithstanding any provision of 17 this subchapter to the contrary, bed capacity changes by an 18 institutional health facility that constitute a permanent 19 change or reduction in, or a redistribution, deletion, or 20 conversion of, nursing facility beds, skilled nursing facility 21 beds, or swing beds. 22 NEW PARAGRAPH . y. Notwithstanding any provision of 23 this subchapter to the contrary, bed capacity changes 24 that constitute a permanent change or reduction in, or 25 a redistribution, deletion, or conversion of, beds in 26 intermediate care facilities for persons with mental 27 illness, or intermediate care facilities for persons with an 28 intellectual disability. 29 Sec. 11. Section 135.62, subsection 4, Code 2026, is amended 30 to read as follows: 31 4. The department shall not process applications for an 32 intermediate care facility for persons with an intellectual 33 disability, or consider a new or changed institutional health 34 service for an intermediate care facility for persons with 35 -3- LSB 5336XL (16) 91 ss/ko 3/ 56

S.F. _____ H.F. _____ an intellectual disability, unless both of the following 1 conditions are met: 2 a. The new or changed beds shall not result in an 3 increase in the total number of medical assistance certified 4 intermediate care facility beds for persons with an 5 intellectual disability in the state, exclusive of those beds 6 at the state resource centers or other state institutions, 7 beyond one thousand six hundred thirty-six beds. 8 b. A a letter of support for the application is provided by 9 the county board of supervisors, or the board’s designee, in 10 the county in which the beds facility is or would be located. 11 Sec. 12. Section 135.65, subsection 3, paragraph b, Code 12 2026, is amended to read as follows: 13 b. A period for the submission of written public hearing 14 comments from affected persons on the application, to be held 15 scheduled prior to completion of the evaluation required by 16 paragraph “a” . 17 Sec. 13. Section 135.65, subsection 4, Code 2026, is amended 18 by striking the subsection. 19 Sec. 14. Section 135.70, subsection 2, Code 2026, is amended 20 to read as follows: 21 2. Upon expiration of a certificate of need, and prior to 22 extension of the certificate of need, any affected person shall 23 have the right to submit to the department information which 24 may be relevant to the question of granting an extension. The 25 department may call a public hearing for this purpose. 26 DIVISION III 27 SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM —— SUMMER ELECTRONIC 28 BENEFITS TRANSFER FOR CHILDREN PROGRAM 29 Sec. 15. Section 234.1, Code 2026, is amended by adding the 30 following new subsection: 31 NEW SUBSECTION . 4A. “Summer electronic benefits transfer 32 for children program” or “summer EBT program” means the summer 33 electronic benefits transfer for children program established 34 in 42 U.S.C. §1762. 35 -4- LSB 5336XL (16) 91 ss/ko 4/ 56

S.F. _____ H.F. _____ Sec. 16. NEW SECTION . 234.12B Supplemental nutrition 1 assistance program —— summer electronic benefits transfer for 2 children program. 3 1. The department shall do all of the following: 4 a. Continuously maintain state participation in SNAP 5 by administering the program in accordance with guidelines 6 approved by the United States department of agriculture, 7 food and nutrition service, that specify that eligible foods 8 pursuant to 7 C.F.R. §271.2 are healthy foods as defined by the 9 director or the director’s designee. 10 b. Ensure that the provision of SNAP benefits to recipients 11 is uninterrupted. 12 2. The department may participate in the summer EBT program 13 subject to federally approved eligible foods for the summer EBT 14 program being consistent with eligible foods as described in 15 subsection 1, paragraph “a” . 16 DIVISION IV 17 IVERMECTIN —— OVER-THE-COUNTER AVAILABILITY 18 Sec. 17. NEW SECTION . 126.24 Ivermectin —— prescription 19 drug order not required. 20 1. A pharmacist, pharmacy, or other person may distribute 21 ivermectin for human consumption as an over-the-counter 22 medicine. 23 2. A pharmacist, pharmacy, or other person shall not 24 be subject to professional discipline or civil or criminal 25 penalties for the distribution of ivermectin pursuant to this 26 section. 27 DIVISION V 28 SCHOOL FOODS AND BEVERAGES 29 Sec. 18. Section 256E.7, subsection 2, Code 2026, is amended 30 by adding the following new paragraph: 31 NEW PARAGRAPH . 0t. Be subject to and comply with the 32 requirements of section 283A.6 relating to the preparation 33 of meals provided to students, and prohibited ingredients in 34 meals provided to students, in the same manner as a school 35 -5- LSB 5336XL (16) 91 ss/ko 5/ 56

S.F. _____ H.F. _____ district, if the charter school provides a breakfast or lunch 1 program through the national school lunch program or the school 2 breakfast program administered by the food and nutrition 3 service of the United States department of agriculture. 4 Sec. 19. Section 256F.4, subsection 2, Code 2026, is amended 5 by adding the following new paragraph: 6 NEW PARAGRAPH . v. Be subject to and comply with the 7 requirements of section 283A.6 relating to the preparation of 8 meals provided to students, and prohibited ingredients in meals 9 provided to students, in the same manner as a school district, 10 if the charter school or innovation zone school provides a 11 breakfast or lunch program. 12 Sec. 20. NEW SECTION . 283A.6 School district breakfast 13 and lunch programs —— food and beverages provided to students —— 14 prohibited ingredients. 15 1. a. A school district shall not serve a meal to students 16 as part of the school district’s breakfast or lunch program 17 that contains any of the following ingredients: 18 (1) Blue dye 1. 19 (2) Blue dye 2. 20 (3) Green dye 3. 21 (4) Potassium bromate. 22 (5) Propylparaben. 23 (6) Red dye 40. 24 (7) Yellow dye 5. 25 (8) Yellow dye 6. 26 b. Paragraph “a” does not apply to food and beverages 27 received as part of a direct delivery from the foods in schools 28 program of the United States department of agriculture. 29 2. An employee or contracted vendor of a school district 30 shall not provide any food or beverages that contain an 31 ingredient described in subsection 1 to a student enrolled in 32 the school district during the school day. 33 3. A school district shall not permit the sale to students 34 of any foods or beverages that contain an ingredient described 35 -6- LSB 5336XL (16) 91 ss/ko 6/ 56

S.F. _____ H.F. _____ in subsection 1 on the school campus, as school campus is 1 defined in 7 C.F.R. §210.11 as of January 1, 2026, unless the 2 sale takes place outside of the school day, as school day is 3 defined in 7 C.F.R. §210.11 as of January 1, 2026. 4 Sec. 21. Section 283A.10, Code 2026, is amended to read as 5 follows: 6 283A.10 School breakfast or lunch in nonpublic schools. 7 The authorities in charge of nonpublic schools may operate 8 or provide for the operation of school breakfast or lunch 9 programs in schools under their jurisdiction and may use funds 10 appropriated to them by the general assembly, gifts, funds 11 received from sale of school breakfasts or lunches under such 12 programs, and any other funds available to the nonpublic 13 school. However, school breakfast or lunch programs shall not 14 be required in nonpublic schools. The department of education 15 shall direct the disbursement of state funds to nonpublic 16 schools for school breakfast or lunch programs in the same 17 manner as state funds are disbursed to public schools. If 18 a nonpublic school receives state funds for the operation of 19 a school breakfast or lunch program, meals served under the 20 program shall be nutritionally adequate meals, as defined in 21 section 283A.1 , and shall comply with the requirements of 22 section 283A.6 . 23 Sec. 22. APPLICABILITY. This division of this Act applies 24 to school years beginning on or after July 1, 2027. 25 DIVISION VI 26 PSYCHOLOGY INTERJURISDICTIONAL COMPACT 27 Sec. 23. NEW SECTION . 147M.1 Psychology interjurisdictional 28 compact. 29 The psychology interjurisdictional compact is enacted into 30 law and entered into by this state with all states legally 31 joining in the compact in the form substantially as follows: 32 1. Article I —— Purpose. 33 a. The party states find that: 34 (1) States license psychologists, in order to protect 35 -7- LSB 5336XL (16) 91 ss/ko 7/ 56

S.F. _____ H.F. _____ the public through verification of education, training, 1 and experience, and ensure accountability for professional 2 practice. 3 (2) This compact is intended to regulate the day-to-day 4 practice of telepsychology, in which psychological services are 5 provided using telecommunication technologies, by psychologists 6 across state boundaries in the performance of their 7 psychological practice as assigned by an appropriate authority. 8 (3) This compact is intended to regulate the temporary 9 in-person, face-to-face practice of psychology by psychologists 10 across state boundaries for thirty days within a calendar year 11 in the performance of their psychological practice as assigned 12 by an appropriate authority. 13 (4) This compact is intended to authorize state psychology 14 regulatory authorities to afford legal recognition, in a manner 15 consistent with the terms of the compact, to psychologists 16 licensed in another state. 17 (5) This compact recognizes that states have a vested 18 interest in protecting the public’s health and safety through 19 their licensing and regulation of psychologists and that such 20 state regulation will best protect public health and safety. 21 (6) This compact does not apply when a psychologist is 22 licensed in both the home and receiving states. 23 (7) This compact does not apply to permanent in-person, 24 face-to-face practice, but it does allow for authorization of 25 temporary psychological practice. 26 b. Consistent with these principles, this compact is 27 designed to achieve the following purposes and objectives: 28 (1) Increase public access to professional psychological 29 services by allowing for telepsychological practice across 30 state lines as well as temporary in-person, face-to-face 31 services into a state in which the psychologist is not licensed 32 to practice psychology. 33 (2) Enhance the states’ ability to protect the public’s 34 health and safety, especially client-patient safety. 35 -8- LSB 5336XL (16) 91 ss/ko 8/ 56

S.F. _____ H.F. _____ (3) Encourage the cooperation of compact states in the areas 1 of psychology licensure and regulation. 2 (4) Facilitate the exchange of information between compact 3 states regarding psychologist licensure, adverse actions, and 4 disciplinary history. 5 (5) Promote compliance with the laws governing 6 psychological practice in each compact state. 7 (6) Invest all compact states with the authority to 8 hold licensed psychologists accountable through the mutual 9 recognition of compact state licenses. 10 2. Article II —— Definitions. 11 a. “Adverse action” means any action taken by a state 12 psychology regulatory authority which finds a violation 13 of a statute or regulation that is identified by the state 14 psychology regulatory authority as discipline and is a matter 15 of public record. 16 b. “Association of state and provincial psychology boards” 17 means the recognized membership organization composed of state 18 and provincial psychology regulatory authorities responsible 19 for the licensure and registration of psychologists throughout 20 the United States and Canada. 21 c. “Authority to practice interjurisdictional telepsychology” 22 means a licensed psychologist’s authority to practice 23 telepsychology, within the limits authorized under this 24 compact, in another compact state. 25 d. “Bylaws” means those bylaws established by the psychology 26 interjurisdictional compact commission pursuant to article 27 X for its governance, or for directing and controlling its 28 actions and conduct. 29 e. “Client-patient” means the recipient of psychological 30 services, whether psychological services are delivered in the 31 context of health care, corporate, supervision, or consulting 32 services. 33 f. “Commissioner” means the voting representative appointed 34 by each state psychology regulatory authority pursuant to 35 -9- LSB 5336XL (16) 91 ss/ko 9/ 56

S.F. _____ H.F. _____ article X. 1 g. “Compact state” means a state, the District of Columbia, 2 or United States territory that has enacted this compact 3 legislation and which has not withdrawn pursuant to article 4 XIII, or been terminated pursuant to article XII. 5 h. “Confidentiality” means the principle that data or 6 information is not made available or disclosed to unauthorized 7 persons or processes. 8 i. “Coordinated licensure information system” or “coordinated 9 database” means an integrated process for collecting, storing, 10 and sharing information on psychologists’ licensure and 11 enforcement activities related to psychology licensure laws, 12 which is administered by the recognized membership organization 13 composed of state and provincial psychology regulatory 14 authorities. 15 j. “Day” means any part of a day in which psychological work 16 is performed. 17 k. “Distant state” means the compact state where a 18 psychologist is physically present, not through the use 19 of telecommunications technologies, to provide temporary 20 in-person, face-to-face psychological services. 21 l. “E.Passport” means a certificate issued by the 22 association of state and provincial psychology boards 23 that promotes the standardization in the criteria of 24 interjurisdictional telepsychology practice and facilitates the 25 process for licensed psychologists to provide telepsychological 26 services across state lines. 27 m. “Executive board” means a group of directors elected or 28 appointed to act on behalf of, and within the powers granted to 29 them by, the commission. 30 n. “Home state” means a compact state where a psychologist 31 is licensed to practice psychology. If the psychologist is 32 licensed in more than one compact state and is practicing 33 under the authorization to practice interjurisdictional 34 telepsychology, the home state is the compact state where the 35 -10- LSB 5336XL (16) 91 ss/ko 10/ 56

S.F. _____ H.F. _____ psychologist is physically present when the telepsychological 1 services are delivered. If the psychologist is licensed 2 in more than one compact state and is practicing under the 3 temporary authorization to practice, the home state is any 4 compact state where the psychologist is licensed. 5 o. “Identity history summary” means a summary of information 6 retained by the federal bureau of investigation (FBI), or other 7 designee with similar authority, in connection with arrests 8 and, in some instances, federal employment, naturalization, or 9 military service. 10 p. “In-person, face-to-face” means interactions in which the 11 psychologist and the client-patient are in the same physical 12 space and which does not include interactions that may occur 13 through the use of telecommunication technologies. 14 q. “Interjurisdictional practice certificate” or “IPC” 15 means a certificate issued by the association of state and 16 provincial psychology boards that grants temporary authority 17 to practice based on notification to the state psychology 18 regulatory authority of intention to practice temporarily, and 19 verification of one’s qualifications for such practice. 20 r. “License” means authorization by a state psychology 21 regulatory authority to engage in the independent practice of 22 psychology, which would be unlawful without the authorization. 23 s. “Noncompact state” means any state which is not at the 24 time a compact state. 25 t. “Psychologist” means an individual licensed for the 26 independent practice of psychology. 27 u. “Psychology interjurisdictional compact commission” or 28 “commission” means the national administration of which all 29 compact states are members. 30 v. “Receiving state” means a compact state where the 31 client-patient is physically located when the telepsychological 32 services are delivered. 33 w. “Rule” means a written statement by the psychology 34 interjurisdictional compact commission promulgated pursuant 35 -11- LSB 5336XL (16) 91 ss/ko 11/ 56

S.F. _____ H.F. _____ to article XI that is of general applicability, implements, 1 interprets, or prescribes a policy or provision of this 2 compact, or an organizational, procedural, or practice 3 requirement of the commission and has the force and effect of 4 statutory law in a compact state, and includes the amendment, 5 repeal, or suspension of an existing rule. 6 x. “Significant investigatory information” means any of the 7 following: 8 (1) Investigative information that a state psychology 9 regulatory authority, after a preliminary inquiry that includes 10 notification and an opportunity to respond if required by state 11 law, has reason to believe, if proven true, would indicate more 12 than a violation of state statute or ethics code that would be 13 considered more substantial than a minor infraction. 14 (2) Investigative information that indicates that the 15 psychologist represents an immediate threat to public health 16 and safety regardless of whether the psychologist has been 17 notified or had an opportunity to respond. 18 y. “State” means a state, commonwealth, territory, or 19 possession of the United States, or the District of Columbia. 20 z. “State psychology regulatory authority” means the board, 21 office, or other agency with the legislative mandate to license 22 and regulate the practice of psychology. 23 aa. “Telepsychology” means the provision of psychological 24 services using telecommunication technologies. 25 ab. “Temporary authorization to practice” means a licensed 26 psychologist’s authority to conduct temporary in-person, 27 face-to-face practice, within the limits authorized under this 28 compact, in another compact state. 29 ac. “Temporary in-person, face-to-face practice” means where 30 a psychologist is physically present, not through the use 31 of telecommunications technologies, in the distant state to 32 provide for the practice of psychology for thirty days within a 33 calendar year and based on notification to the distant state. 34 3. Article III —— Home state licensure. 35 -12- LSB 5336XL (16) 91 ss/ko 12/ 56

S.F. _____ H.F. _____ a. The home state shall be a compact state where a 1 psychologist is licensed to practice psychology. 2 b. A psychologist may hold one or more compact state 3 licenses at a time. If the psychologist is licensed in more 4 than one compact state, the home state is the compact state 5 where the psychologist is physically present when the services 6 are delivered as authorized by the authority to practice 7 interjurisdictional telepsychology under the terms of this 8 compact. 9 c. Any compact state may require a psychologist not 10 previously licensed in a compact state to obtain and retain 11 a license to be authorized to practice in the compact state 12 under circumstances not authorized by the authority to practice 13 interjurisdictional telepsychology under the terms of this 14 compact. 15 d. Any compact state may require a psychologist to obtain 16 and retain a license to be authorized to practice in a 17 compact state under circumstances not authorized by temporary 18 authorization to practice under the terms of this compact. 19 e. A home state’s license authorizes a psychologist to 20 practice in a receiving state under the authority to practice 21 interjurisdictional telepsychology only if the compact state 22 meets all of the following requirements: 23 (1) Currently requires the psychologist to hold an active 24 E.Passport. 25 (2) Has a mechanism in place for receiving and investigating 26 complaints about licensed individuals. 27 (3) Notifies the commission, in compliance with the terms 28 herein, of any adverse action or significant investigatory 29 information regarding a licensed individual. 30 (4) Requires an identity history summary of all applicants 31 at initial licensure, including the use of the results of 32 fingerprints or other biometric data checks compliant with the 33 requirements of the federal bureau of investigation (FBI), or 34 other designee with similar authority, no later than ten years 35 -13- LSB 5336XL (16) 91 ss/ko 13/ 56

S.F. _____ H.F. _____ after activation of the this compact. 1 (5) Complies with the bylaws and rules of the commission. 2 f. A home state’s license grants temporary authorization 3 to practice to a psychologist in a distant state only if the 4 compact state meets all of the following requirements: 5 (1) Currently requires the psychologist to hold an active 6 IPC. 7 (2) Has a mechanism in place for receiving and investigating 8 complaints about licensed individuals. 9 (3) Notifies the commission, in compliance with the terms 10 herein, of any adverse action or significant investigatory 11 information regarding a licensed individual. 12 (4) Requires an identity history summary of all applicants 13 at initial licensure, including the use of the results of 14 fingerprints or other biometric data checks compliant with the 15 requirements of the federal bureau of investigation (FBI), or 16 other designee with similar authority, no later than ten years 17 after activation of this compact. 18 (5) Complies with the bylaws and rules of the commission. 19 4. Article IV —— Compact privilege to practice 20 telepsychology. 21 a. Compact states shall recognize the right of a 22 psychologist, licensed in a compact state in conformance with 23 article III, to practice telepsychology in receiving states in 24 which the psychologist is not licensed, under the authority to 25 practice interjurisdictional telepsychology as provided in this 26 compact. 27 b. To exercise the authority to practice interjurisdictional 28 telepsychology under the terms and provisions of this compact, 29 a psychologist licensed to practice in a compact state shall 30 meet all of the following requirements: 31 (1) Hold a graduate degree in psychology from an institution 32 of higher education that was either of the following, at the 33 time the degree was awarded: 34 (a) Regionally accredited by an accrediting body recognized 35 -14- LSB 5336XL (16) 91 ss/ko 14/ 56

S.F. _____ H.F. _____ by the United States department of education to grant graduate 1 degrees, or authorized by provincial statute or royal charter 2 to grant doctoral degrees. 3 (b) A foreign college or university deemed to be equivalent 4 to subparagraph (1), subparagraph division (a), by a foreign 5 credential evaluation service that is a member of the national 6 association of credential evaluation services or by a 7 recognized foreign credential evaluation service. 8 (2) Hold a graduate degree in psychology that meets all of 9 the following criteria: 10 (a) The program, wherever it may be administratively 11 housed, must be clearly identified and labeled as a 12 psychology program. Such a program must specify in pertinent 13 institutional catalogues and brochures its intent to educate 14 and train professional psychologists. 15 (b) The psychology program must stand as a recognizable, 16 coherent, organizational entity within the institution. 17 (c) There must be a clear authority and primary 18 responsibility for the core and specialty areas whether or not 19 the program cuts across administrative lines. 20 (d) The program must consist of an integrated, organized 21 sequence of study. 22 (e) There must be an identifiable psychology 23 faculty sufficient in size and breadth to carry out its 24 responsibilities. 25 (f) The designated director of the program must be a 26 psychologist and a member of the core faculty. 27 (g) The program must have an identifiable body of students 28 who are matriculated in that program for a degree. 29 (h) The program must include supervised practicum, 30 internship, or field training appropriate to the practice of 31 psychology. 32 (i) The curriculum shall encompass a minimum of three 33 academic years of full-time graduate study for doctoral degrees 34 and a minimum of one academic year of full-time graduate study 35 -15- LSB 5336XL (16) 91 ss/ko 15/ 56

S.F. _____ H.F. _____ for master’s degrees. 1 (j) The program includes an acceptable residency as defined 2 by the rules of the commission. 3 (3) Possess a current, full, and unrestricted license to 4 practice psychology in a home state which is a compact state. 5 (4) Have no history of adverse action that violates the 6 rules of the commission. 7 (5) Have no criminal record history reported on an identity 8 history summary that violates the rules of the commission. 9 (6) Possess a current, active E.Passport. 10 (7) Provide attestations in regard to areas of intended 11 practice, conformity with standards of practice, competence in 12 telepsychology technology; criminal background; and knowledge 13 and adherence to legal requirements in the home and receiving 14 states, and provide a release of information to allow for 15 primary source verification in a manner specified by the 16 commission. 17 (8) Meet other criteria as defined by the rules of the 18 commission. 19 c. The home state maintains authority over the license of 20 any psychologist practicing into a receiving state under the 21 authority to practice interjurisdictional telepsychology. 22 d. A psychologist practicing into a receiving state under 23 the authority to practice interjurisdictional telepsychology 24 shall be subject to the receiving state’s scope of practice. 25 A receiving state may, in accordance with that state’s due 26 process law, limit or revoke a psychologist’s authority to 27 practice interjurisdictional telepsychology in the receiving 28 state and may take any other necessary actions under the 29 receiving state’s applicable law to protect the health and 30 safety of the receiving state’s citizens. If a receiving state 31 takes action, the state shall promptly notify the home state 32 and the commission. 33 e. If a psychologist’s license in any home state or another 34 compact state, or any authority to practice interjurisdictional 35 -16- LSB 5336XL (16) 91 ss/ko 16/ 56

S.F. _____ H.F. _____ telepsychology in any receiving state, is restricted, 1 suspended, or otherwise limited, the E.Passport shall be 2 revoked and the psychologist shall not be eligible to practice 3 telepsychology in a compact state under the authority to 4 practice interjurisdictional telepsychology. 5 5. Article V —— Compact temporary authorization to practice. 6 a. Compact states shall also recognize the right of a 7 psychologist, licensed in a compact state in conformance with 8 article III, to practice temporarily in distant states in which 9 the psychologist is not licensed, as provided in this compact. 10 b. To exercise the temporary authorization to practice 11 under the terms and provisions of this compact, a psychologist 12 licensed to practice in a compact state shall meet all of the 13 following requirements: 14 (1) Hold a graduate degree in psychology from an institution 15 of higher education that was either of the following, at the 16 time the degree was awarded: 17 (a) Regionally accredited by an accrediting body recognized 18 by the United States department of education to grant graduate 19 degrees, or authorized by provincial statute or royal charter 20 to grant doctoral degrees. 21 (b) A foreign college or university deemed to be equivalent 22 to subparagraph (1), subparagraph division (a), by a foreign 23 credential evaluation service that is a member of the national 24 association of credential evaluation services or by a 25 recognized foreign credential evaluation service. 26 (2) Hold a graduate degree in psychology that meets all of 27 the following criteria: 28 (a) The program, wherever it may be administratively 29 housed, must be clearly identified and labeled as a 30 psychology program. Such a program must specify in pertinent 31 institutional catalogues and brochures its intent to educate 32 and train professional psychologists. 33 (b) The psychology program must stand as a recognizable, 34 coherent, organizational entity within the institution. 35 -17- LSB 5336XL (16) 91 ss/ko 17/ 56

S.F. _____ H.F. _____ (c) There must be a clear authority and primary 1 responsibility for the core and specialty areas whether or not 2 the program cuts across administrative lines. 3 (d) The program must consist of an integrated, organized 4 sequence of study. 5 (e) There must be an identifiable psychology 6 faculty sufficient in size and breadth to carry out its 7 responsibilities. 8 (f) The designated director of the program must be a 9 psychologist and a member of the core faculty. 10 (g) The program must have an identifiable body of students 11 who are matriculated in that program for a degree. 12 (h) The program must include supervised practicum, 13 internship, or field training appropriate to the practice of 14 psychology. 15 (i) The curriculum shall encompass a minimum of three 16 academic years of full-time graduate study for doctoral degrees 17 and a minimum of one academic year of full-time graduate study 18 for master’s degrees. 19 (j) The program includes an acceptable residency as defined 20 by the rules of the commission. 21 (3) Possess a current, full, and unrestricted license to 22 practice psychology in a home state which is a compact state. 23 (4) Have no history of adverse action that violates the 24 rules of the commission. 25 (5) Have no criminal record history that violates the rules 26 of the commission. 27 (6) Possess a current, active IPC. 28 (7) Provide attestations in regard to areas of intended 29 practice and work experience and provide a release of 30 information to allow for primary source verification in a 31 manner specified by the commission. 32 (8) Meet other criteria as defined by the rules of the 33 commission. 34 c. A psychologist practicing into a distant state under the 35 -18- LSB 5336XL (16) 91 ss/ko 18/ 56

S.F. _____ H.F. _____ temporary authorization to practice shall practice within the 1 scope of practice authorized by the distant state. 2 d. A psychologist practicing into a distant state under the 3 temporary authorization to practice shall be subject to the 4 distant state’s authority and law. A distant state may, in 5 accordance with that state’s due process law, limit or revoke 6 a psychologist’s temporary authorization to practice in the 7 distant state and may take any other necessary actions under 8 the distant state’s applicable law to protect the health and 9 safety of the distant state’s citizens. If a distant state 10 takes action, the state shall promptly notify the home state 11 and the commission. 12 e. If a psychologist’s license in any home state, another 13 compact state, or any temporary authorization to practice in 14 any distant state, is restricted, suspended, or otherwise 15 limited, the IPC shall be revoked and the psychologist shall 16 not be eligible to practice in a compact state under the 17 temporary authorization to practice. 18 6. Article VI —— Conditions of telepsychology practice in a 19 receiving state. A psychologist may practice in a receiving 20 state under the authority to practice interjurisdictional 21 telepsychology only in the performance of the scope of 22 practice for psychology as assigned by an appropriate state 23 psychology regulatory authority, as defined in the rules of the 24 commission, and under the following circumstances: 25 a. The psychologist initiates a client-patient contact 26 in a home state via telecommunications technologies with a 27 client-patient in a receiving state. 28 b. Other conditions regarding telepsychology as determined 29 by rules promulgated by the commission. 30 7. Article VII —— Adverse actions. 31 a. A home state shall have the power to impose adverse 32 action against a psychologist’s license issued by the home 33 state. A distant state shall have the power to take adverse 34 action on a psychologist’s temporary authorization to practice 35 -19- LSB 5336XL (16) 91 ss/ko 19/ 56

S.F. _____ H.F. _____ within that distant state. 1 b. A receiving state may take adverse action on a 2 psychologist’s authority to practice interjurisdictional 3 telepsychology within that receiving state. A home state may 4 take adverse action against a psychologist based on an adverse 5 action taken by a distant state regarding temporary in-person, 6 face-to-face practice. 7 c. If a home state takes adverse action against a 8 psychologist’s license, that psychologist’s authority to 9 practice interjurisdictional telepsychology is terminated and 10 the E.Passport is revoked. Furthermore, that psychologist’s 11 temporary authorization to practice is terminated and the IPC 12 is revoked. 13 (1) All home state disciplinary orders which impose adverse 14 action shall be reported to the commission in accordance with 15 the rules promulgated by the commission. A compact state shall 16 report adverse actions in accordance with the rules of the 17 commission. 18 (2) In the event discipline is reported on a psychologist, 19 the psychologist shall not be eligible for telepsychology or 20 temporary in-person, face-to-face practice in accordance with 21 the rules of the commission. 22 (3) Other actions may be imposed as determined by the rules 23 promulgated by the commission. 24 d. A home state’s psychology regulatory authority shall 25 investigate and take appropriate action with respect to 26 reported inappropriate conduct engaged in by a licensee which 27 occurred in a receiving state as it would if such conduct had 28 occurred by a licensee within the home state. In such cases, 29 the home state’s law shall control in determining any adverse 30 action against a psychologist’s license. 31 e. A distant state’s psychology regulatory authority 32 shall investigate and take appropriate action with respect to 33 reported inappropriate conduct engaged in by a psychologist 34 practicing under temporary authorization to practice which 35 -20- LSB 5336XL (16) 91 ss/ko 20/ 56

S.F. _____ H.F. _____ occurred in that distant state as it would if such conduct 1 had occurred by a licensee within the home state. In such 2 cases, the distant state’s law shall control in determining any 3 adverse action against a psychologist’s temporary authorization 4 to practice. 5 f. Nothing in this compact shall override a compact state’s 6 decision that a psychologist’s participation in an alternative 7 program may be used in lieu of adverse action and that such 8 participation shall remain nonpublic if required by the compact 9 state’s law. Compact states shall require psychologists who 10 enter any alternative programs to not provide telepsychology 11 services under the authority to practice interjurisdictional 12 telepsychology or provide temporary psychological services 13 under the temporary authorization to practice in any other 14 compact state during the term of the alternative program. 15 g. No other judicial or administrative remedies shall 16 be available to a psychologist in the event a compact state 17 imposes an adverse action pursuant to paragraph “c” . 18 8. Article VIII —— Additional authorities invested in a 19 compact state’s psychology regulatory authority. In addition 20 to any other powers granted under state law, a compact state’s 21 psychology regulatory authority shall have the authority under 22 this compact to do all of the following: 23 a. Issue subpoenas, for both hearings and investigations, 24 which require the attendance and testimony of witnesses and 25 the production of evidence. Subpoenas issued by a compact 26 state’s psychology regulatory authority for the attendance 27 and testimony of witnesses or the production of evidence from 28 another compact state shall be enforced in the latter state by 29 any court of competent jurisdiction, according to that court’s 30 practice and procedure in considering subpoenas issued in its 31 own proceedings. The issuing state psychology regulatory 32 authority shall pay any witness fees, travel expenses, mileage, 33 and other fees required by the service statutes of the state 34 where the witnesses or evidence are located. 35 -21- LSB 5336XL (16) 91 ss/ko 21/ 56

S.F. _____ H.F. _____ b. Issue cease and desist or injunctive relief 1 orders to revoke a psychologist’s authority to practice 2 interjurisdictional telepsychology or temporary authorization 3 to practice. 4 c. During the course of any investigation, a psychologist 5 may not change the psychologist’s home state licensure. A 6 home state psychology regulatory authority is authorized to 7 complete any pending investigations of a psychologist and 8 to take any actions appropriate under its law. The home 9 state psychology regulatory authority shall promptly report 10 the conclusions of such investigations to the commission. 11 Once an investigation has been completed, and pending the 12 outcome of said investigation, the psychologist may change the 13 psychologist’s home state licensure. The commission shall 14 promptly notify the new home state of any such decisions as 15 provided in the rules of the commission. All information 16 provided to the commission or distributed by compact states 17 pursuant to the psychologist shall be confidential, filed under 18 seal, and used for investigatory or disciplinary matters. 19 The commission may create additional rules for mandated or 20 discretionary sharing of information by compact states. 21 9. Article IX —— Coordinated licensure information system. 22 a. The commission shall provide for the development and 23 maintenance of a coordinated licensure information system and 24 reporting system containing licensure and disciplinary action 25 information on all psychologists individuals to whom this 26 compact is applicable in all compact states as defined by the 27 rules of the commission. 28 b. Notwithstanding any other provision of state law to the 29 contrary, a compact state shall submit a uniform data set to 30 the coordinated database on all licensees as required by the 31 rules of the commission, including all of the following: 32 (1) Identifying information. 33 (2) Licensure data. 34 (3) Significant investigatory information. 35 -22- LSB 5336XL (16) 91 ss/ko 22/ 56

S.F. _____ H.F. _____ (4) Adverse actions against a psychologist’s license. 1 (5) An indicator that a psychologist’s authority to 2 practice interjurisdictional telepsychology or temporary 3 authorization to practice is revoked. 4 (6) Nonconfidential information related to alternative 5 program participation information. 6 (7) Any denial of application for licensure, and the reasons 7 for such denial. 8 (8) Other information which may facilitate the 9 administration of this compact, as determined by the rules of 10 the commission. 11 c. The coordinated database administrator shall promptly 12 notify all compact states of any adverse action taken against, 13 or significant investigative information on, any licensee in a 14 compact state. 15 d. Compact states reporting information to the coordinated 16 database may designate information that may not be shared with 17 the public without the express permission of the compact state 18 reporting the information. 19 e. Any information submitted to the coordinated database 20 that is subsequently required to be expunged by the law of the 21 compact state reporting the information shall be removed from 22 the coordinated database. 23 10. Article X —— Establishment of the psychology 24 interjurisdictional compact commission. 25 a. The compact states hereby create and establish a joint 26 public agency known as the psychology interjurisdictional 27 compact commission. 28 (1) The commission is a body politic and an instrumentality 29 of the compact states. 30 (2) Venue is proper and judicial proceedings by or against 31 the commission shall be brought solely and exclusively in a 32 court of competent jurisdiction where the principal office of 33 the commission is located. The commission may waive venue and 34 jurisdictional defenses to the extent it adopts or consents to 35 -23- LSB 5336XL (16) 91 ss/ko 23/ 56

S.F. _____ H.F. _____ participate in alternative dispute resolution proceedings. 1 (3) Nothing in this compact shall be construed to be a 2 waiver of sovereign immunity. 3 b. Membership, voting, and meetings. 4 (1) The commission shall consist of one voting 5 representative appointed by each compact state who shall serve 6 as that state’s commissioner. The state psychology regulatory 7 authority shall appoint its delegate. This delegate shall be 8 empowered to act on behalf of the compact state. This delegate 9 shall be limited to one of the following: 10 (a) The executive director, executive secretary, or similar 11 executive. 12 (b) A current member of the state psychology regulatory 13 authority of a compact state. 14 (c) A designee empowered with the appropriate delegate 15 authority to act on behalf of the compact state. 16 (2) Any commissioner may be removed or suspended from office 17 as provided by the law of the state from which the commissioner 18 is appointed. Any vacancy occurring in the commission shall 19 be filled in accordance with the laws of the compact state in 20 which the vacancy exists. 21 (3) Each commissioner shall be entitled to one vote with 22 regard to the promulgation of rules and creation of bylaws 23 and shall otherwise have an opportunity to participate in 24 the business and affairs of the commission. A commissioner 25 shall vote in person or by such other means as provided 26 in the bylaws. The bylaws may provide for commissioners’ 27 participation in meetings by telephone or other means of 28 communication. 29 (4) The commission shall meet at least once during each 30 calendar year. Additional meetings shall be held as set forth 31 in the bylaws. 32 (5) All meetings shall be open to the public, and public 33 notice of meetings shall be given in the same manner as 34 required under the rulemaking provisions in article XI. 35 -24- LSB 5336XL (16) 91 ss/ko 24/ 56

S.F. _____ H.F. _____ (6) The commission may convene in a closed, nonpublic 1 meeting if the commission must discuss any of the following: 2 (a) Noncompliance of a compact state with its obligations 3 under this compact. 4 (b) The employment, compensation, discipline, or other 5 personnel matters, practices, or procedures related to specific 6 employees or other matters related to the commission’s internal 7 personnel practices and procedures. 8 (c) Current, threatened, or reasonably anticipated 9 litigation against the commission. 10 (d) Negotiation of contracts for the purchase or sale of 11 goods, services, or real estate. 12 (e) Accusation against any person of a crime or formal 13 censure of any person. 14 (f) Disclosure of trade secrets or commercial or financial 15 information which is privileged or confidential. 16 (g) Disclosure of information of a personal nature where 17 disclosure would constitute a clearly unwarranted invasion of 18 personal privacy. 19 (h) Disclosure of investigatory records compiled for law 20 enforcement purposes. 21 (i) Disclosure of information related to any investigatory 22 reports prepared by or on behalf of or for use of the 23 commission or other committee charged with responsibility for 24 investigation or determination of compliance issues pursuant 25 to the compact. 26 (j) Matters specifically exempted from disclosure by 27 federal and state statute. 28 (7) If a meeting, or portion of a meeting, is closed 29 pursuant to subparagraph (6), the commission’s legal counsel or 30 designee shall certify that the meeting may be closed and shall 31 reference each relevant exempting provision. The commission 32 shall keep minutes which fully and clearly describe all matters 33 discussed in a meeting and shall provide a full and accurate 34 summary of actions taken, of any person participating in the 35 -25- LSB 5336XL (16) 91 ss/ko 25/ 56

S.F. _____ H.F. _____ meeting, and the reasons therefore, including a description of 1 the views expressed. All documents considered in connection 2 with an action shall be identified in such minutes. All 3 minutes and documents of a closed meeting shall remain under 4 seal, subject to release only by a majority vote of the 5 commission or order of a court of competent jurisdiction. 6 c. The commission shall, by a majority vote of the 7 commissioners, prescribe bylaws or rules to govern its conduct 8 as may be necessary or appropriate to carry out the purposes 9 and exercise the powers of this compact, including but not 10 limited to or providing for all of the following: 11 (1) Establishing the fiscal year of the commission. 12 (2) Providing reasonable standards and procedures for all 13 of the following: 14 (a) The establishment and meetings of other committees. 15 (b) Governing any general or specific delegation of any 16 authority or function of the commission. 17 (3) Providing reasonable procedures for calling and 18 conducting meetings of the commission, ensuring reasonable 19 advance notice of all meetings and providing an opportunity 20 for attendance of such meetings by interested parties, 21 with enumerated exceptions designed to protect the public’s 22 interest, the privacy of individuals of such proceedings, 23 and proprietary information, including trade secrets. The 24 commission may meet in closed session only after a majority 25 of the commissioners vote to close a meeting to the public in 26 whole or in part. As soon as practicable, the commission shall 27 make public a copy of the vote to close the meeting revealing 28 the vote of each commissioner with no proxy votes allowed. 29 (4) Establishing the titles, duties, and authority and 30 reasonable procedures for the election of the officers of the 31 commission. 32 (5) Providing reasonable standards and procedures for the 33 establishment of the personnel policies and programs of the 34 commission. Notwithstanding any civil service or other similar 35 -26- LSB 5336XL (16) 91 ss/ko 26/ 56

S.F. _____ H.F. _____ law of any compact state, the bylaws shall exclusively govern 1 the personnel policies and programs of the commission. 2 (6) Promulgating a code of ethics to address permissible and 3 prohibited activities of commission members and employees. 4 (7) Providing a mechanism for concluding the operations of 5 the commission and the equitable disposition of any surplus 6 funds that may exist after the termination of the compact after 7 the payment or reserving of all of its debts and obligations. 8 (8) The commission shall publish its bylaws in a convenient 9 form and file a copy thereof and a copy of any amendment 10 thereto, with the appropriate agency or officer in each of the 11 compact states. 12 (9) The commission shall maintain its financial records in 13 accordance with the bylaws. 14 (10) The commission shall meet and take such actions as are 15 consistent with the provisions of this compact and the bylaws. 16 d. The commission shall have all of the following powers: 17 (1) The authority to promulgate uniform rules to facilitate 18 and coordinate implementation and administration of this 19 compact. The rules shall have the force and effect of law and 20 shall be binding in all compact states. 21 (2) To bring and prosecute legal proceedings or actions in 22 the name of the commission, provided that the standing of any 23 state psychology regulatory authority or other regulatory body 24 responsible for psychology licensure to sue or be sued under 25 applicable law shall not be affected. 26 (3) To purchase and maintain insurance and bonds. 27 (4) To borrow, accept, or contract for services of 28 personnel, including but not limited to employees of a compact 29 state. 30 (5) To hire employees, elect or appoint officers, fix 31 compensation, define duties, grant such individuals appropriate 32 authority to carry out the purposes of the compact, and to 33 establish the commission’s personnel policies and programs 34 relating to conflicts of interest, qualifications of personnel, 35 -27- LSB 5336XL (16) 91 ss/ko 27/ 56

S.F. _____ H.F. _____ and other related personnel matters. 1 (6) To accept any and all appropriate donations and grants 2 of money, equipment, supplies, materials and services, and to 3 receive, utilize, and dispose of the same; provided that at all 4 times the commission shall strive to avoid any appearance of 5 impropriety or conflict of interest. 6 (7) To lease, purchase, accept appropriate gifts or 7 donations of, or otherwise to own, hold, improve, or use, 8 any property, real, personal, or mixed; provided that at all 9 times the commission shall strive to avoid any appearance of 10 impropriety. 11 (8) To sell, convey, mortgage, pledge, lease, exchange, 12 abandon, or otherwise dispose of any property real, personal, 13 or mixed. 14 (9) To establish a budget and make expenditures. 15 (10) To borrow money. 16 (11) To appoint committees, including advisory committees 17 comprised of members, state regulators, state legislators or 18 their representatives, and consumer representatives, and such 19 other interested persons as may be designated in this compact 20 and the bylaws. 21 (12) To provide and receive information from, and to 22 cooperate with, law enforcement agencies. 23 (13) To adopt and use an official seal. 24 (14) To perform such other functions as may be necessary or 25 appropriate to achieve the purposes of this compact consistent 26 with the state regulation of psychology licensure, temporary 27 in-person, face-to-face practice, and telepsychology practice. 28 e. The executive board. 29 (1) The elected officers shall serve as the executive board, 30 which shall have the power to act on behalf of the commission 31 according to the terms of this compact. 32 (2) The executive board shall be comprised of the following 33 six members: 34 (a) Five voting members who are elected from the current 35 -28- LSB 5336XL (16) 91 ss/ko 28/ 56

S.F. _____ H.F. _____ membership of the commission by the commission. 1 (b) One ex officio, nonvoting member from the recognized 2 membership organization composed of state and provincial 3 psychology regulatory authorities. 4 (3) The ex officio member must have served as staff or 5 member on a state psychology regulatory authority and shall be 6 selected by its respective organization. 7 (4) The commission may remove any member of the executive 8 board as provided in the bylaws. 9 (5) The executive board shall meet at least annually. 10 (6) The executive board shall have all of the following 11 duties and responsibilities: 12 (a) Recommend to the entire commission changes to the rules 13 or bylaws, changes to this compact legislation, fees paid by 14 compact states such as annual dues, and any other applicable 15 fees. 16 (b) Ensure compact administration services are 17 appropriately provided, contractual or otherwise. 18 (c) Prepare and recommend the budget. 19 (d) Maintain financial records on behalf of the commission. 20 (e) Monitor compact compliance of member states and provide 21 compliance reports to the commission. 22 (f) Establish additional committees as necessary. 23 (g) Other duties as provided in the rules or bylaws. 24 f. Financing of the commission. 25 (1) The commission shall pay, or provide for the payment of, 26 the reasonable expenses of its establishment, organization, and 27 ongoing activities. 28 (2) The commission may accept any and all appropriate 29 revenue sources, donations and grants of money, equipment, 30 supplies, materials, and services. 31 (3) The commission may levy on and collect an annual 32 assessment from each compact state or impose fees on other 33 parties to cover the cost of the operations and activities of 34 the commission and its staff which must be in a total amount 35 -29- LSB 5336XL (16) 91 ss/ko 29/ 56

S.F. _____ H.F. _____ sufficient to cover its annual budget as approved each year 1 for which revenue is not provided by other sources. The 2 aggregate annual assessment amount shall be allocated based 3 upon a formula to be determined by the commission which shall 4 promulgate a rule binding upon all compact states. 5 (4) The commission shall not incur obligations of any kind 6 prior to securing the funds adequate to meet the same; nor 7 shall the commission pledge the credit of any of the compact 8 states, except by and with the authority of the compact state. 9 (5) The commission shall keep accurate accounts of all 10 receipts and disbursements. The receipts and disbursements of 11 the commission shall be subject to the audit and accounting 12 procedures established under its bylaws. However, all receipts 13 and disbursements of funds handled by the commission shall be 14 audited yearly by a certified or licensed public accountant and 15 the report of the audit shall be included in and become part of 16 the annual report of the commission. 17 g. Qualified immunity, defense, and indemnification. 18 (1) The members, officers, executive director, employees, 19 and representatives of the commission shall be immune from suit 20 and liability, either personally or in their official capacity, 21 for any claim for damage to or loss of property or personal 22 injury or other civil liability caused by or arising out of any 23 actual or alleged act, error, or omission that occurred, or 24 that the person against whom the claim is made had a reasonable 25 basis for believing occurred within the scope of commission 26 employment, duties, or responsibilities; provided that nothing 27 in this subparagraph shall be construed to protect any such 28 person from suit or liability for any damage, loss, injury, 29 or liability caused by the intentional or willful or wanton 30 misconduct of that person. 31 (2) The commission shall defend any member, officer, 32 executive director, employee, or representative of the 33 commission in any civil action seeking to impose liability 34 arising out of any actual or alleged act, error, or omission 35 -30- LSB 5336XL (16) 91 ss/ko 30/ 56

S.F. _____ H.F. _____ that occurred within the scope of commission employment, 1 duties, or responsibilities, or that the person against 2 whom the claim is made had a reasonable basis for believing 3 occurred within the scope of commission employment, duties, or 4 responsibilities; provided that nothing in this subparagraph 5 shall be construed to prohibit that person from retaining the 6 person’s own counsel; and provided further, that the actual 7 or alleged act, error, or omission did not result from that 8 person’s intentional or willful or wanton misconduct. 9 (3) The commission shall indemnify and hold harmless 10 any member, officer, executive director, employee, or 11 representative of the commission for the amount of any 12 settlement or judgment obtained against that person arising 13 out of any actual or alleged act, error, or omission that 14 occurred within the scope of commission employment, duties, 15 or responsibilities, or that such person had a reasonable 16 basis for believing occurred within the scope of commission 17 employment, duties, or responsibilities, provided that the 18 actual or alleged act, error, or omission did not result from 19 the intentional or willful or wanton misconduct of that person. 20 11. Article XI —— Rulemaking. 21 a. The commission shall exercise its rulemaking powers 22 pursuant to the criteria set forth in this article XI and the 23 rules adopted under this article XI. Rules and amendments 24 shall become binding as of the date specified in each rule or 25 amendment. 26 b. If a majority of the legislatures of the compact states 27 rejects a rule, by enactment of a statute or resolution in the 28 same manner used to adopt this compact, then such rule shall 29 have no further force and effect in any compact state. 30 c. Rules or amendments to the rules shall be adopted at a 31 regular or special meeting of the commission. 32 d. Prior to promulgation and adoption of a final rule or 33 rules by the commission, and at least sixty days in advance 34 of the meeting at which the rule will be considered and voted 35 -31- LSB 5336XL (16) 91 ss/ko 31/ 56

S.F. _____ H.F. _____ upon, the commission shall file a notice of proposed rulemaking 1 on both of the following: 2 (1) On the internet site of the commission. 3 (2) On the internet site of each compact state’s psychology 4 regulatory authority or the publication in which each state 5 would otherwise publish proposed rules. 6 e. The notice of proposed rulemaking shall include all of 7 the following: 8 (1) The proposed time, date, and location of the meeting in 9 which the rule will be considered and voted upon. 10 (2) The text of the proposed rule or amendment and the 11 reason for the proposed rule. 12 (3) A request for comments on the proposed rule from any 13 interested person. 14 (4) The manner in which interested persons may submit notice 15 to the commission of their intention to attend the public 16 hearing and any written comments. 17 f. Prior to adoption of a proposed rule, the commission 18 shall allow persons to submit written data, facts, opinions, 19 and arguments, which shall be made available to the public. 20 g. The commission shall grant an opportunity for a public 21 hearing before it adopts a rule or amendment if a hearing is 22 requested by any of the following: 23 (1) At least twenty-five persons who submit comments 24 independently of each other. 25 (2) A governmental subdivision or agency. 26 (3) A duly appointed person in an association that has at 27 least twenty-five members. 28 h. If a hearing is held on the proposed rule or amendment, 29 the commission shall publish the place, time, and date of the 30 scheduled public hearing. 31 (1) All persons wishing to be heard at the hearing shall 32 notify the executive director of the commission or other 33 designated member in writing of their desire to appear and 34 testify at the hearing not less than five business days before 35 -32- LSB 5336XL (16) 91 ss/ko 32/ 56

S.F. _____ H.F. _____ the scheduled date of the hearing. 1 (2) Hearings shall be conducted in a manner providing each 2 person who wishes to comment a fair and reasonable opportunity 3 to comment orally or in writing. 4 (3) No transcript of the hearing is required, unless 5 a written request for a transcript is made, in which case 6 the person requesting the transcript shall bear the cost of 7 producing the transcript. A recording may be made in lieu of a 8 transcript under the same terms and conditions as a transcript. 9 This subparagraph shall not preclude the commission from making 10 a transcript or recording of the hearing if it so chooses. 11 (4) Nothing in this article shall be construed as requiring 12 a separate hearing on each rule. Rules may be grouped for the 13 convenience of the commission at hearings required by this 14 article. 15 i. Following the scheduled hearing date, or by the close 16 of business on the scheduled hearing date if the hearing was 17 not held, the commission shall consider all written and oral 18 comments received. 19 j. The commission shall, by majority vote of all members, 20 take final action on the proposed rule and shall determine the 21 effective date of the rule, if any, based on the rulemaking 22 record and the full text of the rule. 23 k. If no written notice of intent to attend the public 24 hearing by interested parties is received, the commission may 25 proceed with promulgation of the proposed rule without a public 26 hearing. 27 l. Upon determination that an emergency exists, the 28 commission may consider and adopt an emergency rule without 29 prior notice, opportunity for comment, or hearing, provided 30 that the usual rulemaking procedures provided in this compact 31 and in this article shall be retroactively applied to the rule 32 as soon as reasonably possible, in no event later than ninety 33 days after the effective date of the rule. For the purposes of 34 this paragraph, an emergency rule is one that must be adopted 35 -33- LSB 5336XL (16) 91 ss/ko 33/ 56

S.F. _____ H.F. _____ immediately in order to address any of the following: 1 (1) Meet an imminent threat to public health, safety, or 2 welfare. 3 (2) Prevent a loss of commission or compact state funds. 4 (3) Meet a deadline for the promulgation of an 5 administrative rule that is established by federal law or rule. 6 (4) Protect public health and safety. 7 m. The commission or an authorized committee of the 8 commission may direct revisions to a previously adopted rule 9 or amendment for purposes of correcting typographical errors, 10 errors in format, errors in consistency, or grammatical errors. 11 Public notice of any revisions shall be posted on the website 12 of the commission. The revision shall be subject to challenge 13 by any person for a period of thirty days after posting. The 14 revision may be challenged only on grounds that the revision 15 results in a material change to a rule. A challenge shall be 16 made in writing, and delivered to the chair of the commission 17 prior to the end of the notice period. If no challenge is 18 made, the revision will take effect without further action. If 19 the revision is challenged, the revision shall not take effect 20 without the approval of the commission. 21 12. Article XII —— Oversight, dispute resolution, and 22 enforcement. 23 a. Oversight. 24 (1) The executive, legislative, and judicial branches 25 of state government in each compact state shall enforce this 26 compact and take all actions necessary and appropriate to 27 effectuate this compact’s purposes and intent. The provisions 28 of this compact and the rules promulgated under this compact 29 shall have standing as statutory law. 30 (2) All courts shall take judicial notice of this compact 31 and the rules in any judicial or administrative proceeding in a 32 compact state pertaining to the subject matter of this compact 33 which may affect the powers, responsibilities, or actions of 34 the commission. 35 -34- LSB 5336XL (16) 91 ss/ko 34/ 56

S.F. _____ H.F. _____ (3) The commission shall be entitled to receive service 1 of process in any such proceeding, and shall have standing to 2 intervene in such a proceeding for all purposes. Failure to 3 provide service of process to the commission shall render a 4 judgment or order void as to the commission, this compact, or 5 promulgated rules. 6 b. Default, technical assistance, and termination. 7 (1) If the commission determines that a compact state 8 has defaulted in the performance of its obligations or 9 responsibilities under this compact or the promulgated rules, 10 the commission shall do all of the following: 11 (a) Provide written notice to the defaulting state and other 12 compact states of the nature of the default, the proposed means 13 of remedying the default, or any other action to be taken by 14 the commission. 15 (b) Provide remedial training and specific technical 16 assistance regarding the default. 17 (2) If a state in default fails to remedy the default, the 18 defaulting state may be terminated from this compact upon an 19 affirmative vote of a majority of the compact states, and all 20 rights, privileges, and benefits conferred by this compact 21 shall be terminated on the effective date of termination. A 22 remedy of the default does not relieve the offending state 23 of obligations or liabilities incurred during the period of 24 default. 25 (3) Termination of membership in this compact shall be 26 imposed only after all other means of securing compliance have 27 been exhausted. Notice of intent to suspend or terminate shall 28 be submitted by the commission to the governor, the majority 29 and minority leaders of the defaulting state’s legislature, and 30 each of the compact states. 31 (4) A compact state which has been terminated is 32 responsible for all assessments, obligations, and liabilities 33 incurred through the effective date of termination, including 34 obligations which extend beyond the effective date of 35 -35- LSB 5336XL (16) 91 ss/ko 35/ 56

S.F. _____ H.F. _____ termination. 1 (5) The commission shall not bear any costs incurred by 2 the state which is found to be in default or which has been 3 terminated from this compact, unless agreed upon in writing 4 between the commission and the defaulting state. 5 (6) The defaulting state may appeal the action of the 6 commission by petitioning the United States district court for 7 the state of Georgia or the federal district where the compact 8 has its principal offices. The prevailing member shall be 9 awarded all costs of such litigation, including reasonable 10 attorney fees. 11 c. Dispute resolution. 12 (1) Upon request by a compact state, the commission shall 13 attempt to resolve disputes related to this compact which arise 14 among compact states and between compact and noncompact states. 15 (2) The commission shall promulgate a rule providing for 16 both mediation and binding dispute resolution for disputes that 17 arise before the commission. 18 d. Enforcement. 19 (1) The commission, in the reasonable exercise of its 20 discretion, shall enforce the provisions and rules of this 21 compact. 22 (2) By majority vote, the commission may initiate legal 23 action in the United States district court for the state 24 of Georgia or the federal district where the compact has 25 its principal offices against a compact state in default to 26 enforce compliance with the provisions of the compact and its 27 promulgated rules and bylaws. The relief sought may include 28 both injunctive relief and damages. In the event judicial 29 enforcement is necessary, the prevailing member shall be 30 awarded all costs of such litigation, including reasonable 31 attorney’s fees. 32 (3) The remedies in this article shall not be the exclusive 33 remedies of the commission. The commission may pursue any 34 other remedies available under federal or state law. 35 -36- LSB 5336XL (16) 91 ss/ko 36/ 56

S.F. _____ H.F. _____ 13. Article XIII —— Date of implementation of the psychology 1 interjurisdictional compact commission and associated rules, 2 withdrawal, and amendments. 3 a. This compact shall come into effect on the date on which 4 the compact is enacted into law in the seventh compact state. 5 The provisions which become effective at that time shall be 6 limited to the powers granted to the commission relating to 7 assembly and the promulgation of rules. Thereafter, the 8 commission shall meet and exercise rulemaking powers necessary 9 to the implementation and administration of this compact. 10 b. Any state which joins the compact subsequent to the 11 commission’s initial adoption of the rules shall be subject 12 to the rules as they exist on the date on which the compact 13 becomes law in that state. Any rule which has been previously 14 adopted by the commission shall have the full force and effect 15 of law on the day the compact becomes law in that state. 16 c. Any compact state may withdraw from this compact by 17 enacting a statute repealing the compact. 18 (1) A compact state’s withdrawal shall not take effect until 19 six months after enactment of the repealing statute. 20 (2) Withdrawal shall not affect the continuing requirement 21 of the withdrawing state’s psychology regulatory authority to 22 comply with the investigative and adverse action reporting 23 requirements of this compact prior to the effective date of 24 withdrawal. 25 d. Nothing contained in this compact shall be construed to 26 invalidate or prevent any psychology licensure agreement or 27 other cooperative arrangement between a compact state and a 28 noncompact state which does not conflict with the provisions of 29 this compact. 30 e. This compact may be amended by the compact states. No 31 amendment to this compact shall become effective and binding 32 upon any compact state until it is enacted into the law of all 33 compact states. 34 14. Article XIV —— Construction and severability. This 35 -37- LSB 5336XL (16) 91 ss/ko 37/ 56

S.F. _____ H.F. _____ compact shall be liberally construed so as to effectuate the 1 purposes thereof. If this compact shall be held contrary to 2 the constitution of any compact state, the compact shall remain 3 in full force and effect as to the remaining compact states. 4 DIVISION VII 5 CIGARETTE TAXATION 6 Sec. 24. Section 453A.6, subsection 1, Code 2026, is amended 7 to read as follows: 8 1. There is imposed, and shall be collected and paid to 9 the department, a tax on all cigarettes used or otherwise 10 disposed of in this state for any purpose equal to six ten and 11 eight-tenths five hundredths cents on each cigarette. 12 Sec. 25. Section 453A.6, subsection 8, paragraph a, Code 13 2026, is amended to read as follows: 14 a. Pay directly to the department, in lieu of the tax under 15 subsection 1 , a tax equal to three four and six fifty-two 16 hundredths cents on each cigarette dispensed from such machine. 17 Payments made under this paragraph shall be remitted to the 18 department electronically. 19 DIVISION VIII 20 TAX ON TOBACCO PRODUCTS 21 Sec. 26. Section 453A.43, Code 2026, is amended to read as 22 follows: 23 453A.43 Tax on tobacco products. 24 1. a. A tax is imposed upon all tobacco products in this 25 state and upon any person engaged in business as a distributor 26 of tobacco products, at the rate of twenty-two fifty-five 27 percent of the wholesale sales price of the tobacco products , 28 except little cigars and snuff as defined in section 453A.42 . 29 Notwithstanding the rate of tax imposed under this paragraph 30 “a” on tobacco products, little cigars shall be subject to the 31 tax as specified pursuant to paragraph “c” , and snuff shall be 32 subject to the tax as specified in paragraph “d” . 33 b. In addition to the tax imposed under paragraph “a” , a 34 tax is imposed upon all tobacco products in this state and upon 35 -38- LSB 5336XL (16) 91 ss/ko 38/ 56

S.F. _____ H.F. _____ any person engaged in business as a distributor of tobacco 1 products, at the rate of twenty-eight percent of the wholesale 2 sales price of the tobacco products, except little cigars and 3 snuff as defined in section 453A.42 . 4 c. b. Notwithstanding the rate of tax imposed pursuant 5 to paragraphs paragraph “a” and “b” , if the tobacco product 6 is a cigar, the total amount of the tax imposed pursuant to 7 paragraphs paragraph “a” and “b” combined shall not exceed fifty 8 fifty-five cents per cigar. 9 d. c. Little cigars shall be subject to the same rate of 10 tax imposed upon cigarettes in section 453A.6 , payable at the 11 time and in the manner provided in section 453A.6 ; and stamps 12 shall be affixed as provided in subchapter I of this chapter . 13 d. Snuff shall be subject to the tax as provided in 14 subsections 3 and 4 . 15 e. The taxes on tobacco products , excluding little cigars 16 and snuff, shall be imposed at the time the distributor does 17 any of the following: 18 (1) Brings, or causes to be brought, into this state from 19 outside the state tobacco products for sale. 20 (2) Makes, manufactures, or fabricates tobacco products in 21 this state for sale in this state. 22 (3) Ships or transports tobacco products to retailers in 23 this state, to be sold by those retailers. 24 2. a. A tax is imposed upon the use or storage by consumers 25 of tobacco products in this state, and upon the consumers, at 26 the rate of twenty-two fifty-five percent of the cost of the 27 tobacco products. 28 b. In addition to the tax imposed in paragraph “a” , a tax 29 is imposed upon the use or storage by consumers of tobacco 30 products in this state, and upon the consumers, at a rate of 31 twenty-eight percent of the cost of the tobacco products. 32 c. b. Notwithstanding the rate of tax imposed pursuant 33 to paragraphs paragraph “a” and “b” , if the tobacco product 34 is a cigar, the total amount of the tax imposed pursuant to 35 -39- LSB 5336XL (16) 91 ss/ko 39/ 56

S.F. _____ H.F. _____ paragraphs paragraph “a” and “b” combined shall not exceed fifty 1 fifty-five cents per cigar. 2 d. c. The taxes imposed by this subsection shall not apply 3 if the taxes imposed by subsection 1 on the tobacco products 4 have been paid. 5 e. d. The taxes imposed under this subsection shall not 6 apply to the use or storage of tobacco products in quantities 7 of: 8 (1) Less than twenty-five cigars. 9 (2) Less than one pound smoking or chewing tobacco or other 10 tobacco products not specifically mentioned herein in this 11 chapter , in the possession of any one consumer. 12 3. A tax is imposed upon all snuff in this state and upon 13 any person engaged in business as a distributor of snuff at 14 the rate of one dollar and nineteen cents per ounce, with a 15 proportionate tax at the same rate on all fractional parts of 16 an ounce of snuff fifty-five percent of the wholesale sales 17 price . The tax shall be computed based on the net weight 18 listed by the manufacturer. The tax on snuff shall be imposed 19 at the time the distributor does any of the following: 20 a. Brings or causes to be brought into this state from 21 outside the state, snuff for sale. 22 b. Makes, manufactures, or fabricates snuff in this state 23 for sale in this state. 24 c. Ships or transports snuff to retailers in this state, to 25 be sold by those retailers. 26 4. a. A tax is imposed upon the use or storage by consumers 27 of snuff in this state, and upon the consumers, at the rate of 28 one dollar and nineteen cents per ounce with a proportionate 29 tax at the same rate on all fractional parts of an ounce of 30 snuff fifty-five percent of the wholesale sales price . The 31 tax shall be computed based on the net weight as listed by the 32 manufacturer. 33 b. The tax imposed by this subsection shall not apply if the 34 tax imposed by subsection 3 on snuff has been paid. 35 -40- LSB 5336XL (16) 91 ss/ko 40/ 56

S.F. _____ H.F. _____ c. The tax shall not apply to the use or storage of snuff in 1 quantities of less than ten ounces. 2 5. Any tobacco product with respect to which a tax has once 3 been imposed under this subchapter shall not again be subject 4 to tax under this subchapter , except as provided in section 5 453A.40 . 6 6. The tax imposed by this section shall not apply with 7 respect to any tobacco product which under the Constitution 8 and laws of the United States may not be made the subject of 9 taxation by this state. 10 7. The tax imposed by this section shall be in addition to 11 all other occupation or privilege taxes or license fees now or 12 hereafter imposed by any city or county. 13 8. All excise taxes collected under this chapter by a 14 distributor or any individual are deemed to be held in trust 15 for the state of Iowa. 16 DIVISION IX 17 EXCISE TAX ON VAPOR PRODUCTS 18 Sec. 27. Section 331.303, subsection 3, Code 2026, is 19 amended to read as follows: 20 3. Act upon applications for cigarette , tobacco product, 21 and vapor product tax permits in accordance with chapter 453A . 22 Sec. 28. Section 331.653, subsection 11, Code 2026, is 23 amended to read as follows: 24 11. Carry out duties relating to the seizure and forfeiture 25 of cigarettes, tobacco products, and vapor products, vehicles, 26 and other property used in violation of cigarette , tobacco 27 product, and vapor product tax laws as provided in section 28 453A.32 . 29 Sec. 29. Section 331.756, subsection 19, Code 2026, is 30 amended to read as follows: 31 19. Assist, at the request of the director of revenue, in 32 the enforcement of cigar and cigarette, tobacco product, and 33 vapor product tax laws as provided in sections 453A.32 and 34 453A.49 . 35 -41- LSB 5336XL (16) 91 ss/ko 41/ 56

S.F. _____ H.F. _____ Sec. 30. Section 453A.1, subsection 21, Code 2026, is 1 amended to read as follows: 2 21. “Place of business” is construed to mean and include any 3 place where cigarettes , tobacco products, or vapor products are 4 sold or where cigarettes , tobacco products, or vapor products 5 are stored within or without the state of Iowa by the holder of 6 an Iowa permit or kept for the purpose of sale or consumption; 7 or if sold from any vehicle or train, the vehicle or train on 8 which or from which such cigarettes , tobacco products, or vapor 9 products are sold shall constitute a place of business; or for 10 a business within or without the state that conducts delivery 11 sales, any place where alternative nicotine products or vapor 12 products are sold or where alternative nicotine products or 13 vapor products are kept for the purpose of sale. 14 Sec. 31. Section 453A.15, subsections 1, 2, and 4, Code 15 2026, are amended to read as follows: 16 1. The director may prescribe the forms necessary for the 17 efficient administration of this subchapter and may require 18 uniform books and records to be used and kept by each permit 19 holder or other person as deemed necessary. The director may 20 also require each permit holder or other person to keep and 21 retain in the director’s possession evidence on prescribed 22 forms of all transactions involving the purchase and sale 23 of cigarettes , tobacco products, or vapor products, or the 24 purchase and use of stamps. The evidence shall be kept for a 25 period of three years from the date of each transaction, for 26 the inspection at all times by the department. 27 2. Where a state permit holder sells cigarettes , tobacco 28 products, or vapor products at retail, the holder shall be 29 required to maintain detailed records for sales of cigarettes , 30 tobacco products, or vapor products to be sold at retail and 31 the cigarette such sales records shall be kept separate and 32 apart. 33 4. Every permit holder or other person shall, when requested 34 by the department, make additional reports as the department 35 -42- LSB 5336XL (16) 91 ss/ko 42/ 56

S.F. _____ H.F. _____ deems necessary and proper and shall at the request of the 1 department furnish full and complete information pertaining to 2 any transaction of the permit holder or other person involving 3 the purchase or sale or use of cigarettes , tobacco products, or 4 vapor products, or purchase of cigarette stamps. 5 Sec. 32. Section 453A.24, Code 2026, is amended to read as 6 follows: 7 453A.24 Carrier to permit access to records. 8 1. Every common carrier or person in this state having 9 custody of books or records showing the transportation 10 of cigarettes , tobacco products, or vapor products, both 11 interstate and intrastate , shall give and allow the department 12 free access to those books and records. 13 2. The director may require by rule that common carriers 14 or the appropriate persons provide monthly reports to the 15 department detailing all information the department deems 16 necessary on shipments into and out of Iowa of cigarettes , 17 and tobacco products , alternative nicotine products, or vapor 18 products as set forth in this subchapter I and subchapter 19 II of this chapter . A report required to be submitted 20 by the director pursuant to this section shall be filed 21 electronically. 22 Sec. 33. Section 453A.32, subsection 6, Code 2026, is 23 amended to read as follows: 24 6. The provisions of this section applying to cigarettes 25 shall also apply to tobacco products , alternative nicotine 26 products, and vapor products taxed under subchapter II of this 27 chapter . 28 Sec. 34. Section 453A.33, Code 2026, is amended to read as 29 follows: 30 453A.33 Seizure not to affect criminal prosecution. 31 The seizure, forfeiture, and sale of cigarettes, tobacco 32 products, alternative nicotine products, vapor products, and 33 other property under the terms and conditions set out in 34 section 453A.32 , shall not constitute any defense to the person 35 -43- LSB 5336XL (16) 91 ss/ko 43/ 56

S.F. _____ H.F. _____ owning or having control or possession of the property from 1 criminal prosecution for any act or omission made or offense 2 committed under this chapter or from liability to pay penalties 3 provided by this chapter . 4 Sec. 35. Section 453A.35, subsection 1, paragraph b, Code 5 2026, is amended to read as follows: 6 b. The revenues generated from the tax on consumable hemp 7 products as specified in section 453F.2, from the tax on 8 cigarettes pursuant to section 453A.6, subsection 1 subsections 9 1 and 8 , from the tax on tobacco products as specified in 10 section 453A.43, subsections 1, 2, 3, and 4 , from the tax 11 on vapor products as specified in section 453A.47D, and from 12 the fees and penalties specified in subchapter III shall be 13 credited to the health care trust fund created in section 14 453A.35A . 15 Sec. 36. Section 453A.35A, subsection 1, Code 2026, is 16 amended to read as follows: 17 1. A health care trust fund is created in the office of 18 the treasurer of state. The fund consists of the revenues 19 generated from the tax on consumable hemp products as specified 20 in section 453F.2, from the tax on cigarettes pursuant to 21 section 453A.6, subsection 1 subsections 1 and 8 , from the 22 tax on tobacco products as specified in section 453A.43, 23 subsections 1, 2, 3, and 4 , from the tax on vapor products as 24 specified in section 453A.47D, and from the fees and penalties 25 specified in subchapter III , that are credited to the health 26 care trust fund, annually, pursuant to section 453A.35 . Moneys 27 in the fund shall be separate from the general fund of the 28 state and shall not be considered part of the general fund of 29 the state. Moneys in the fund shall be used only as specified 30 in this section and shall be appropriated only for the uses 31 specified. Moneys in the fund are not subject to section 8.33 32 and shall not be transferred, used, obligated, appropriated, 33 or otherwise encumbered, except as provided in this section . 34 Notwithstanding section 12C.7, subsection 2 , interest or 35 -44- LSB 5336XL (16) 91 ss/ko 44/ 56

S.F. _____ H.F. _____ earnings on moneys deposited in the fund shall be credited to 1 the fund. 2 Sec. 37. Section 453A.39, subsection 1, Code 2026, is 3 amended to read as follows: 4 1. A manufacturer, distributor, wholesaler, retailer, or 5 distributing agent, or an agent thereof of a manufacturer, 6 distributor, wholesaler, retailer, or distributing agent , 7 shall not give away cigarettes , or tobacco products , or vapor 8 products at any time in connection with the manufacturer’s, 9 distributor’s, wholesaler’s, retailer’s, or distributing 10 agent’s business or for promotion of the business or product, 11 except as provided in subsection 2 . 12 Sec. 38. Section 453A.40, subsections 1 and 3, Code 2026, 13 are amended to read as follows: 14 1. All persons required to obtain a permit or to be licensed 15 under section 453A.13 or section 453A.44 having in their 16 possession and held for resale on the effective date of an 17 increase in the tax rate cigarettes, little cigars, or tobacco 18 products , or vapor products upon which the tax under section 19 453A.6 , or 453A.43 , or 453A.47D has been paid, unused cigarette 20 tax stamps which have been paid for under section 453A.8 , 21 unused metered imprints which have been paid for under section 22 453A.12 , or tobacco products for which the tax has not been 23 paid under section 453A.46 shall be subject to an inventory tax 24 on the items as provided in this section . 25 3. The rate of the inventory tax on each item subject to 26 the tax as specified in subsection 1 is equal to the difference 27 between the amount paid on each item under section 453A.6 , 28 453A.8 , 453A.12 , or 453A.43 , or 453A.47D prior to the tax 29 increase and the amount that is to be paid on each similar item 30 under section 453A.6 , 453A.8 , 453A.12 , or 453A.43 , or 453A.47D 31 after the tax increase except that in computing the rate of the 32 inventory tax any discount allowed or allowable under section 33 453A.8 shall not be considered. 34 Sec. 39. Section 453A.42, subsections 1, 2, 8, 9, 10, 12, 35 -45- LSB 5336XL (16) 91 ss/ko 45/ 56

S.F. _____ H.F. _____ 14, and 17, Code 2026, are amended to read as follows: 1 1. “Business” means any trade, occupation, activity, 2 or enterprise engaged in for the purpose of selling or 3 distributing tobacco products or vapor products in this state. 4 2. “Consumer” means any person who has title to or 5 possession of tobacco products or vapor products in storage, 6 for use or other consumption in this state. 7 8. “Person” means any individual, firm, association, 8 partnership, joint stock company, joint adventure venture , 9 corporation, trustee, agency, or receiver, or any legal 10 representative of any of the foregoing individual, firm, 11 association, partnership, joint stock company, joint venture, 12 corporation, trustee, agency, or receiver . 13 9. “Place of business” means any place where tobacco 14 products are sold or where tobacco products or vapor products 15 are manufactured, stored, or kept for the purpose of sale or 16 consumption, including any vessel, vehicle, airplane, train, 17 or vending machine; or for a business within or without 18 the state that conducts delivery sales, any place where 19 alternative nicotine products or vapor products are sold or 20 where alternative nicotine products or vapor products are kept 21 for the purpose of sale, including delivery sales. 22 10. “Retail outlet” means each place of business from which 23 tobacco products or vapor products are sold to consumers. 24 12. “Sale” means any transfer, exchange, or barter, in any 25 manner or by any means whatsoever, for a consideration, and 26 includes and means all sales made by any person. It includes 27 a gift by a person engaged in the business of selling tobacco 28 products or vapor products , for advertising, as a means of 29 evading the provisions of this subchapter , or for any other 30 purposes whatsoever. 31 14. “Storage” means any keeping or retention of tobacco 32 products or vapor products for use or consumption in this 33 state. 34 17. “Use” means the exercise of any right or power 35 -46- LSB 5336XL (16) 91 ss/ko 46/ 56

S.F. _____ H.F. _____ incidental to the ownership of tobacco products or vapor 1 products . 2 Sec. 40. Section 453A.42, Code 2026, is amended by adding 3 the following new subsection: 4 NEW SUBSECTION . 10A. “Retail sales price” means the same as 5 “sales price” as defined in section 423.1. 6 Sec. 41. Section 453A.45, subsection 3, Code 2026, is 7 amended to read as follows: 8 3. Every retailer and subjobber shall procure itemized 9 invoices of all tobacco products and vapor products purchased. 10 The invoices shall show the name and address of the seller 11 and the date of purchase. The retailer and subjobber shall 12 preserve a legible copy of each invoice for three years 13 from the date of purchase. Invoices shall be available 14 for inspection by the director or the director’s authorized 15 agents or employees at the retailer’s or subjobber’s place of 16 business. 17 Sec. 42. NEW SECTION . 453A.47D Excise tax on vapor 18 products. 19 1. An excise tax at a rate of fifteen percent is imposed 20 on the retail sales price from the retail sale of, including 21 a delivery sale, of a vapor product. The amount of tax shall 22 be added to the retail sales price at the point of sale to the 23 consumer and shall be collected from the consumer. 24 2. The tax imposed by this section shall not apply with 25 respect to any vapor product which under the Constitution 26 and laws of the United States may not be made the subject of 27 taxation by this state. 28 3. The director shall administer the excise tax imposed 29 under this section as nearly as possible in conjunction with 30 the administration of the state sales and use tax law, except 31 that portion of the law that implements the streamlined sales 32 and use tax agreement. The director shall provide appropriate 33 forms, or provide on the regular state tax forms, for 34 reporting vapor product excise tax liability, and for ease of 35 -47- LSB 5336XL (16) 91 ss/ko 47/ 56

S.F. _____ H.F. _____ administration may require vapor product excise tax liability 1 to be identified, reported, and remitted to the department as 2 sales and use tax liability, provided the department has the 3 ability to properly identify such amounts as vapor product 4 excise tax revenues upon receipt. 5 4. The director may require all persons who are engaged 6 in the business of deriving any sales price or purchase 7 price subject to tax under this section to register with 8 the department. The director may also require a tax permit 9 applicable only to this section for any vapor product retailer 10 not collecting, or any vapor product user not paying, taxes 11 under chapter 423. 12 5. Section 422.25, subsection 4, sections 422.30, 422.67, 13 and 422.68, section 422.69, subsection 1, sections 422.70, 14 422.71, 422.72, 422.74, and 422.75, section 423.14, subsection 15 1, and sections 423.23, 423.24, 423.25, 423.31 through 423.35, 16 423.37, 423.39 through 423.42, and 423.47, consistent with 17 the provisions of this chapter, shall apply with respect to 18 the tax authorized under this section in the same manner and 19 with the same effect as if the excise taxes on the sale of 20 vapor products were retail sales taxes within the meaning of 21 those statutes. Notwithstanding this subsection, the director 22 shall provide for monthly filing of returns and for other than 23 monthly filing of returns both as prescribed in section 423.31. 24 6. The tax imposed by this section shall be in addition to 25 any other taxes imposed by law. 26 7. All excise taxes collected under this section by any 27 person are deemed to be held in trust for the state of Iowa. 28 8. The department shall adopt rules pursuant to chapter 17A 29 to administer this section. 30 Sec. 43. Section 453A.51, Code 2026, is amended to read as 31 follows: 32 453A.51 Assessment of cost of audit. 33 The department may employ auditors or other persons to 34 audit and examine the books and records of a permit holder or 35 -48- LSB 5336XL (16) 91 ss/ko 48/ 56

S.F. _____ H.F. _____ other person dealing in tobacco products and vapor products 1 to ascertain whether the permit holder or other person has 2 paid the amount of the taxes required to be paid by the permit 3 holder or other person under the provisions of this chapter . 4 If the taxes have not been paid, as required, the department 5 shall assess against the permit holder or other person, as 6 additional penalty, the reasonable expenses and costs of the 7 investigation and audit. 8 DIVISION X 9 EXCISE TAX ON CONSUMABLE HEMP 10 Sec. 44. Section 204.7, subsection 4, Code 2026, is amended 11 to read as follows: 12 4. A person selling a consumable hemp product in this state 13 shall register with the department of health and human services 14 on a form prescribed by the department of health and human 15 services by rule and shall keep on the premises of the person’s 16 business a copy of the certificate of analysis issued pursuant 17 to section 204.8 for the hemp contained in the consumable hemp 18 products sold by the person. The department of health and 19 human services may impose a fee, established by the department 20 of health and human services by rule, on a registrant not to 21 exceed the cost of processing the registration. The department 22 of health and human services shall provide the names of 23 persons registering to sell consumable hemp products to the 24 department of revenue for the purpose of collecting the excise 25 tax in section 453F.2. The department of health and human 26 services shall adopt rules for the revocation of a registration 27 issued to a person who sells a consumable hemp product not in 28 compliance with this section . 29 Sec. 45. NEW SECTION . 453F.1 Definitions. 30 As used in this chapter: 31 1. “Consumable hemp product” means the same as defined in 32 section 204.2. 33 2. “Delivery sale” means any sale of a consumable hemp 34 product to a purchaser in this state where the purchaser 35 -49- LSB 5336XL (16) 91 ss/ko 49/ 56

S.F. _____ H.F. _____ submits the order for such sale by means of a telephonic 1 or other method of voice transmission, mail or any other 2 delivery service, or the internet or other online service and 3 the consumable hemp product is delivered by use of mail or a 4 delivery service. The sale of consumable hemp product shall 5 constitute a delivery sale regardless of whether the seller is 6 located in this state. “Delivery sale” does not include a sale 7 to a distributor or retailer of any consumable hemp product not 8 for personal consumption. 9 3. “Department” means the department of revenue. 10 4. “Director” means the director of revenue. 11 5. “Retail sales price” means the same as “sales price” as 12 defined in section 423.1. 13 Sec. 46. NEW SECTION . 453F.2 Excise tax —— rules. 14 1. An excise tax at a rate of fifteen percent is imposed 15 on the retail sales price from the retail sale, including a 16 delivery sale, of a consumable hemp product. The amount of the 17 tax shall be added to the retail sales price at the point of 18 sale to the consumer and shall be collected from the consumer. 19 2. a. An excise tax at a rate of fifteen percent is imposed 20 upon the use and storage by a consumer of a consumable hemp 21 product in this state at a rate of fifteen percent of the cost 22 of the consumable hemp product. 23 b. The taxes imposed pursuant to this subsection shall not 24 apply if the taxes imposed by subsection 1 on the consumable 25 hemp product have been paid. 26 3. The director shall administer the excise tax imposed 27 under this section as nearly as possible in conjunction with 28 the administration of the state sales and use tax law, except 29 that portion of the law that implements the streamlined sales 30 and use tax agreement. The director shall provide appropriate 31 forms, or provide on the regular state tax forms, for reporting 32 consumable hemp product excise tax liability, and for ease 33 of administration may require consumable hemp product excise 34 tax liability to be identified, reported, and remitted to 35 -50- LSB 5336XL (16) 91 ss/ko 50/ 56

S.F. _____ H.F. _____ the department as sales and use tax liability, provided the 1 department has the ability to properly identify such amounts as 2 consumable hemp product excise tax revenues upon receipt. 3 4. The director may require all persons who are engaged 4 in the business of deriving any sales price or purchase 5 price subject to tax under this chapter to register with 6 the department. The director may also require a tax permit 7 applicable only to this section for any consumable hemp product 8 retailer not collecting, or any consumable hemp product user 9 not paying, taxes under chapter 423. 10 5. Section 422.25, subsection 4, sections 422.30, 422.67, 11 and 422.68, section 422.69, subsection 1, sections 422.70, 12 422.71, 422.72, 422.74, and 422.75, section 423.14, subsection 13 1, and sections 423.23, 423.24, 423.25, 423.31 through 423.35, 14 423.37, 423.39 through 423.42, and 423.47, consistent with the 15 provisions of this chapter, shall apply with respect to the tax 16 authorized under this section in the same manner and with the 17 same effect as if the excise taxes on the sale of consumable 18 hemp products were retail sales taxes within the meaning of 19 those statutes. Notwithstanding this subsection, the director 20 shall provide for monthly filing of returns and for other than 21 monthly filing of returns both as prescribed in section 423.31. 22 6. The tax imposed by this section shall not apply with 23 respect to any consumable hemp product which under the 24 Constitution and laws of the United States may not be made the 25 subject of taxation by this state. 26 7. The tax imposed by this section shall be in addition to 27 any other taxes imposed by law. 28 8. All excise taxes collected under this section by any 29 person are deemed to be held in trust for the state of Iowa 30 and shall be credited to the health care trust fund created in 31 section 453A.35A. 32 9. The department shall adopt rules pursuant to chapter 17A 33 to administer this chapter. 34 EXPLANATION 35 -51- LSB 5336XL (16) 91 ss/ko 51/ 56

S.F. _____ H.F. _____ The inclusion of this explanation does not constitute agreement with 1 the explanation’s substance by the members of the general assembly. 2 This bill relates to the regulation of health-related 3 matters, including health-related professions, health 4 facilities, nutrition, and taxation. The bill is organized in 5 divisions. 6 DIVISION I —— CONTINUING EDUCATION REQUIREMENTS —— NUTRITION 7 AND METABOLIC HEALTH. The bill requires the board of medicine 8 and the board of physician assistants to adopt rules requiring 9 certain licensees to receive continuing education credits 10 regarding nutritional and metabolic health as a condition of 11 license renewal. 12 DIVISION II —— CERTIFICATE OF NEED. The bill changes the 13 definition of “new institutional health service” or “changed 14 institutional health service”. The bill alters the list of 15 items that are excluded from the provisions of Code chapter 16 135 (department of health and human services —— public 17 health), subchapter VI (health facilities). The bill strikes 18 a provision restricting the department of health and human 19 services (HHS) from processing applications for an intermediate 20 care facility for persons with an intellectual disability, or 21 considering a new or changed institutional health service for 22 an intermediate care facility for persons with an intellectual 23 disability, unless the new or changed beds shall not result 24 in an increase in the total number of medical assistance 25 certified intermediate care facility beds for persons with an 26 intellectual disability in the state, exclusive of those beds 27 at the state resource centers or other state institutions, 28 beyond 1,636 beds. 29 The bill replaces a requirement that HHS hold a public 30 hearing on an application for a certificate of need with a 31 requirement that the department provide a period for the 32 submission of written comments from affected persons. The bill 33 strikes an authorization for the department to call a public 34 hearing on the question of whether to grant an extension for an 35 -52- LSB 5336XL (16) 91 ss/ko 52/ 56

S.F. _____ H.F. _____ expiring certificate of need. 1 DIVISION III —— SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM —— 2 SUMMER ELECTRONIC BENEFITS TRANSFER FOR CHILDREN PROGRAM. The 3 bill requires HHS to continuously maintain state participation 4 in the federal supplemental nutrition assistance program (SNAP) 5 by administering the program in accordance with guidelines 6 approved by the United States department of agriculture, food 7 and nutrition service, to define “eligible foods” as “healthy 8 foods”, as that term is defined by the department, and to seek 9 any federal approval necessary to ensure that provision of 10 benefits is continuous. The bill requires HHS to ensure that 11 the provision of SNAP benefits to recipients is uninterrupted. 12 The bill also allows HHS to participate in the summer 13 electronic benefits transfer for children program, subject to 14 federal approval of guidelines for eligible foods under the 15 program that are similar to the guidelines for eligible foods 16 under SNAP. 17 DIVISION IV —— IVERMECTIN —— OVER-THE-COUNTER AVAILABILITY. 18 The bill allows a pharmacist, pharmacy, or other person 19 to distribute ivermectin for human consumption as an 20 over-the-counter medicine. A pharmacist, pharmacy, or other 21 person who distributes ivermectin pursuant to the bill shall 22 not be subject to professional discipline or civil or criminal 23 penalties. 24 DIVISION V —— SCHOOL FOODS AND BEVERAGES. The bill prohibits 25 school districts, certain charter schools, and innovation zone 26 schools from serving meals to students as part of the school’s 27 breakfast or lunch program that contain blue dye 1, blue dye 28 2, green dye 3, potassium bromate, propylparaben, red dye 40, 29 yellow dye 5, or yellow dye 6, unless the foods or beverages in 30 the meal were received as part of a direct delivery from the 31 foods in schools program of the United States department of 32 agriculture. The bill also prohibits schools from permitting 33 the sale to students of any foods or beverages that contain 34 such ingredients on school campus unless the sale takes place 35 -53- LSB 5336XL (16) 91 ss/ko 53/ 56

S.F. _____ H.F. _____ after the end of the school day. The bill requires nonpublic 1 schools that use moneys appropriated by the general assembly 2 to provide breakfast or lunch to students to ensure that the 3 meals comply with the same prohibition on ingredients as school 4 districts. 5 This division of the bill applies to school years beginning 6 on or after July 1, 2027. 7 DIVISION VI —— PSYCHOLOGY INTERJURISDICTIONAL COMPACT. The 8 bill creates an interstate compact to allow psychologists from 9 other states to practice telepsychology with patients living 10 in Iowa, to practice “face-to-face” psychology on a temporary 11 basis in Iowa, and to allow Iowa psychologists to practice 12 telepsychology with patients in other states. The compact 13 is intended to authorize regulatory authorities to afford 14 legal recognition, in a manner consistent with the terms of 15 the compact, to psychologists licensed in another state. The 16 compact does not apply when a psychologist is licensed in both 17 the “home” and “receiving” states. A commission is created to 18 oversee the compact, which is effective upon the enactment into 19 law by the seventh compact state. 20 DIVISION VII —— CIGARETTE TAXATION. The bill raises the 21 cigarette tax from 6.8 cents per cigarette to 10.05 cents 22 per cigarette. The overall tax on a pack of cigarettes (20 23 cigarettes) goes from $1.36 to $2.01. 24 The bill also raises the tax on loose tobacco products 25 inserted into a vending machine from which assembled cigarettes 26 are dispensed. The tax is increased from 3.06 cents on each 27 cigarette dispensed from the vending machine to 4.52 cents. 28 By increasing the cigarette tax in the bill, the inventory 29 tax is also assessed on cigarettes remaining in inventories 30 taxed under the previous tax rate that is equal to the 31 difference between the previous tax rate and the new tax rate. 32 Code section 453A.35 specifies that revenues from the tax 33 on cigarettes are deposited into the health care trust fund 34 created in Code section 453A.35A. 35 -54- LSB 5336XL (16) 91 ss/ko 54/ 56

S.F. _____ H.F. _____ DIVISION VIII —— TAX ON TOBACCO PRODUCTS. Currently, a 1 tax is imposed on the distributor of all tobacco products 2 (excluding cigarettes, little cigars, and snuff) at a rate of 3 22 percent of the wholesale sales price under Code section 4 453A.43(1)(a) and at a rate of 28 percent under Code section 5 453A.43(1)(b) for a combined rate of 50 percent tax on the 6 wholesale sales price. The bill combines the 22 percent rate 7 and the 28 percent rate and raises the tax on tobacco products 8 from the combined rate of 50 percent to 55 percent of the 9 wholesale sales price. 10 Currently, the tax on cigars is capped at 50 cents per cigar. 11 The bill raises the cap on the tax on cigars to 55 cents to 12 match the percentage increase of the other tax increases within 13 Code section 453A.43(1). 14 The bill changes the tax on snuff to match the tax on other 15 tobacco products within Code section 453A.43(1) by taxing snuff 16 at 55 percent of the wholesale price rather than taxing snuff 17 at a rate of $1.19 per ounce. 18 By increasing the tax on the wholesale sales price of tobacco 19 products in the bill, the inventory tax is assessed on any 20 tobacco products remaining in inventories taxed under the 21 previous tax rate that is equal to the difference between the 22 previous tax rate and the new tax rate. 23 Code section 453A.35 specifies that revenues from the tax on 24 tobacco products are deposited into the health care trust fund 25 created in Code section 453A.35A. 26 The bill also makes other conforming changes to Code section 27 453A.43. 28 DIVISION IX —— EXCISE TAX ON VAPOR PRODUCTS. The bill 29 creates an excise tax on vapor products at a rate of 15 percent 30 on the sales price from the retail sale, including a delivery 31 sale, of vapor products to consumers. The excise tax is in 32 addition to any other tax imposed by law. The excise tax shall 33 be collected at the point of sale from the consumer. The 34 bill requires the director of revenue to administer the vapor 35 -55- LSB 5336XL (16) 91 ss/ko 55/ 56

S.F. _____ H.F. _____ product excise tax as nearly as possible in conjunction with 1 the administration of the state sales and use tax law, except 2 that portion of the law that implements the streamlined sales 3 and use tax agreement. The bill deposits all revenues raised 4 from the vapor products excise tax into the health care trust 5 fund created in Code section 453A.35A. The bill requires the 6 department to adopt rules to administer the new excise tax. 7 The bill makes other conforming changes to implement the new 8 tax. 9 DIVISION X —— EXCISE TAX ON CONSUMABLE HEMP PRODUCTS. The 10 bill creates an excise tax on consumable hemp products at a 11 rate of 15 percent on the sales price from the retail sale, 12 including a delivery sale, of consumable hemp products to 13 consumers. The excise tax is in addition to any other tax 14 imposed by law. The bill requires the department to adopt 15 rules to administer the new excise tax. The bill requires 16 the director of revenue to administer the consumable hemp 17 excise tax as nearly as possible in conjunction with the 18 administration of the state sales and use tax law, except that 19 portion of the law that implements the streamlined sales and 20 use tax agreement. The bill deposits all revenues raised from 21 the consumable hemp excise tax into the health care trust fund 22 created in Code section 453A.35A. 23 -56- LSB 5336XL (16) 91 ss/ko 56/ 56