Senate File 2289 - Reprinted SENATE FILE 2289 BY COMMITTEE ON STATE GOVERNMENT (SUCCESSOR TO SSB 3040) (As Amended and Passed by the Senate February 23, 2026 ) A BILL FOR An Act relating to matters under the purview of the department 1 of inspections, appeals, and licensing, and including 2 effective date provisions. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 SF 2289 (4) 91 ss/ns/mb

S.F. 2289 DIVISION I 1 GAMBLING 2 Section 1. Section 99D.5, subsection 4, Code 2026, is 3 amended to read as follows: 4 4. Commission members are each entitled to receive an 5 annual salary of ten thousand dollars. Members shall also be 6 reimbursed for actual expenses incurred in the performance of 7 their duties to a maximum of thirty seventy thousand dollars 8 per year for the commission. Each member shall be covered by 9 the blanket surety bond of the state purchased pursuant to 10 section 8A.321, subsection 12 . 11 Sec. 2. Section 99D.7, subsection 25, Code 2026, is amended 12 to read as follows: 13 25. To take any other action as may be reasonable or 14 appropriate to enforce this chapter and the commission rules , 15 including but not limited to issuing cease and desist orders 16 and obtaining injunctive relief against a person offering 17 pari-mutuel wagering or advance deposit wagering, as defined in 18 section 99D.11, in this state without holding an appropriate 19 license issued by the commission . 20 Sec. 3. Section 99E.3, subsection 2, paragraph f, Code 2026, 21 is amended to read as follows: 22 f. To take any other action as may be reasonable or 23 appropriate to enforce this chapter and the commission rules , 24 including but not limited to issuing cease and desist orders 25 and obtaining injunctive relief against a person offering 26 internet fantasy sports contests in this state without holding 27 an appropriate license issued by the commission . 28 Sec. 4. Section 99F.4, subsection 13, Code 2026, is amended 29 to read as follows: 30 13. To take any other action as may be reasonable or 31 appropriate to enforce this chapter and the commission rules , 32 including but not limited to issuing cease and desist orders 33 and obtaining injunctive relief against a person offering games 34 of chance, gambling, sports wagering, or illegal sweepstakes in 35 -1- SF 2289 (4) 91 ss/ns/mb 1/ 4

S.F. 2289 this state without holding an appropriate license issued by the 1 commission or otherwise being specifically authorized by law . 2 Sec. 5. Section 99F.15, subsection 4, unnumbered paragraph 3 1, Code 2026, is amended to read as follows: 4 A person commits a class “D” felony and, in addition, shall 5 be barred for life from sports wagering, advance deposit sports 6 wagering, as defined in section 99F.9, excursion gambling 7 boats , and gambling structures under the jurisdiction of the 8 commission, if the person does any of the following: 9 Sec. 6. Section 99F.15, subsection 6, paragraph c, Code 10 2026, is amended to read as follows: 11 c. Two convictions of the offense of unlawful betting as 12 provided in this subsection shall result in the person being 13 barred for life from sports wagering, advance deposit sports 14 wagering, as defined in section 99F.9, excursion gambling 15 boats , and gambling structures under the jurisdiction of the 16 commission. 17 Sec. 7. Section 422.16, subsection 2, paragraph d, Code 18 2026, is amended to read as follows: 19 d. For the purposes of this subsection , state income tax 20 shall be withheld on winnings in excess of six hundred dollars 21 derived from gambling activities authorized under chapter 22 99B or 99G . State income tax shall be withheld on winnings 23 in excess of one thousand dollars from gambling activities 24 authorized under chapter 99D if the winnings are in an amount 25 sufficient to require that an information return be filed 26 pursuant to 26 U.S.C. §6041, as amended to July 4, 2025 . 27 State income tax shall be withheld on winnings in excess of 28 one thousand two hundred dollars derived from slot machines 29 authorized under chapter 99F if the winnings are in an amount 30 sufficient to require that an information return be filed 31 pursuant to 26 U.S.C. §6041, as amended to July 4, 2025 . State 32 income tax shall be withheld on winnings from sports wagering 33 authorized under chapter 99F whenever federal income tax is 34 required to be withheld from the same winnings in accordance 35 -2- SF 2289 (4) 91 ss/ns/mb 2/ 4

S.F. 2289 with the Internal Revenue Code. 1 Sec. 8. EFFECTIVE DATE. The following, being deemed of 2 immediate importance, takes effect upon enactment: 3 The section of this division of this Act amending section 4 422.16, subsection 2, paragraph “d”. 5 DIVISION II 6 STATE BUILDING CODE 7 Sec. 9. Section 103A.8C, subsection 1, Code 2026, is amended 8 to read as follows: 9 1. The commissioner, after consulting with and receiving 10 recommendations from the department of public defense homeland 11 security and emergency management and the department of natural 12 resources, shall adopt rules pursuant to chapter 17A specifying 13 standards and requirements for design and construction of safe 14 rooms and storm shelters. In developing these standards, the 15 commissioner shall consider nationally recognized standards. 16 The standards and requirements shall be incorporated into the 17 state building code established in section 103A.7 , but shall 18 not be interpreted to require the inclusion of a safe room or 19 storm shelter in a building construction project unless such 20 inclusion is expressly required by another statute or by a 21 federal statute or regulation. However, if a safe room or 22 storm shelter is included in any building construction project 23 which reaches the design development phase on or after January 24 1, 2011, compliance with the standards developed pursuant to 25 this section shall be required. 26 Sec. 10. Section 103A.23, subsection 2, Code 2026, is 27 amended to read as follows: 28 2. All fees collected by the commissioner shall be deposited 29 in the state treasury to the credit of the general fund of the 30 state licensing and regulation fund created in section 10A.507 . 31 DIVISION III 32 RESIDENTIAL CARE FACILITIES 33 Sec. 11. Section 135C.2, subsection 6, unnumbered paragraph 34 1, Code 2026, is amended to read as follows: 35 -3- SF 2289 (4) 91 ss/ns/mb 3/ 4

S.F. 2289 The department shall establish a special classification 1 within the residential care facility category for residential 2 care facilities which have the primary purpose of serving 3 pediatric palliative care patients and that only provides 4 respite care services and the services of a hospice program 5 as defined in section 135J.1 . A facility within the special 6 classification established pursuant to this subsection shall 7 be exempt from section 135.62 and may serve any number of 8 individuals, including zero . The department shall adopt rules 9 pursuant to chapter 17A which shall include but not be limited 10 to all of the following: 11 -4- SF 2289 (4) 91 ss/ns/mb 4/ 4