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House Study Bill 223 - IntroducedA Bill ForAn Act 1restricting public agency disclosure of and access
2to certain personal information related to tax-exempt
3organizations, and providing penalties.
4BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 22.7, Code 2019, is amended by adding the
2following new subsection:
3 NEW SUBSECTION. 74. Personal information as defined in
4section 22A.1.
5 Sec. 2. NEW SECTION. 22A.1 Definitions.
61. “Personal information” means any list, record,
7register, registry, roll, roster, or other compilation of
8data that directly or indirectly identifies a person as a
9member, supporter, or volunteer of, or donor of financial
10or nonfinancial support to, any entity which is exempt from
11taxation under section 501(c) of the federal Internal Revenue
12Code. “Personal information” does not include information
13reportable to the secretary of state pursuant to section
14504.1613.
152. “Public agency” means all of the following:
16a. A state or municipal governmental unit, including but
17not limited to the state of Iowa, a department, agency, office,
18commission, board, or division of the state.
19b. A political subdivision of the state, including but not
20limited to a county, city, township, village, school district,
21or community college merged area.
22c. An agency, authority, council, board, or commission of a
23political subdivision of the state.
24d. A state or local court, tribunal, or other judicial or
25quasi-judicial body.
26 Sec. 3. NEW SECTION. 22A.2 Personal information protected.
271. A public agency shall not do any of the following:
28a. Require an entity which is exempt from taxation under
29section 501(c) of the federal Internal Revenue Code to provide
30the public agency with personal information.
31b. Release, publicize, or otherwise disclose personal
32information in the possession of the public agency without
33the express, written permission of every member, supporter,
34volunteer, and donor of the tax-exempt entity identified in the
35information and the tax-exempt entity.
-1- 1c. Request or require a current or prospective contractor
2with the public agency to provide the public agency with a
3list of entities exempt from taxation under section 501(c) of
4the federal Internal Revenue Code to which the contractor has
5provided financial or nonfinancial support.
62. This section does not prohibit any of the following:
7a. Disclosure of personal information pursuant to a lawful
8warrant issued by a court of competent jurisdiction.
9b. Disclosure of personal information pursuant to a lawful
10request for discovery if all of the following requirements are
11met:
12(1) The requestor demonstrates a compelling need for the
13personal information by clear and convincing evidence.
14(2) The requestor obtains a protective order barring
15disclosure of personal information to any person not directly
16involved in the litigation.
17 Sec. 4. NEW SECTION. 22A.3 Civil penalties.
181. A person alleging a violation of this chapter, section
19504.1604, subsection 5, or section 504.1605, subsection 5, may
20bring a civil action for injunctive relief, damages, or both.
21Damages may include either of the following:
22a. Not less than two thousand five hundred dollars in
23compensatory damages for injury and loss for each violation.
24b. For an intentional violation, not more than three times
25the amount described in paragraph “a” for each violation.
262. A court may, in its discretion, award all or a portion of
27the costs of litigation, including reasonable attorney fees and
28witness fees, to the complainant.
29 Sec. 5. NEW SECTION. 22A.4 Criminal penalties.
30A person who knowingly violates a provision of this
31chapter, section 504.1604, subsection 5, or section 504.1605,
32subsection 5, is guilty of a serious misdemeanor punishable by
33imprisonment for not more than ninety days or a fine of not
34more than one thousand dollars, or both.
35 Sec. 6. NEW SECTION. 22A.5 Campaign disclosure Act not
-2-1affected.
2This chapter shall not affect any provision of chapter 68A.
3 Sec. 7. Section 504.1604, Code 2019, is amended by adding
4the following new subsection:
5 NEW SUBSECTION. 5. If the court orders inspection of
6records containing personal information as defined in section
722A.1, such inspection shall be made under seal from public
8disclosure. A person who violates this subsection is subject
9to civil penalties under section 22A.3. A person who knowingly
10violates this subsection is subject to criminal penalties under
11section 22A.4.
12 Sec. 8. Section 504.1605, Code 2019, is amended by adding
13the following new subsection:
14 NEW SUBSECTION. 5. To obtain personal information
15as defined in section 22A.1. A person who violates this
16subsection is subject to civil penalties under section 22A.3.
17A person who knowingly violates this subsection is subject to
18criminal penalties under section 22A.4.
19EXPLANATION
20The inclusion of this explanation does not constitute agreement with
21the explanation’s substance by the members of the general assembly.
22This bill relates to certain personal information in
23the possession of certain tax-exempt and governmental
24entities. The bill prohibits a public agency, defined in
25the bill to include any governmental entity of Iowa or a
26political subdivision, from seeking the disclosure of personal
27information from an organization exempt from taxation under
28section 501(c) of the federal Internal Revenue Code that
29would directly or indirectly reveal the identity of a member,
30supporter, volunteer, or donor of the organization, or from
31requesting from a current or potential contractor a list of
32tax-exempt organizations that the contractor has supported.
33The bill also prohibits a public agency from publishing any
34such information that the public agency possesses.
35The bill allows the disclosure of personal information
-3-1pursuant to a lawful warrant or discovery request. However,
2the bill requires the proponent of such a discovery request
3to show a compelling need for the information by clear and
4convincing evidence and to obtain a protective order barring
5unnecessary disclosure of the information.
6The bill amends the revised Iowa nonprofit corporation Act
7to require any inspection of corporate records containing
8personal information to be made under seal from public
9disclosure. The bill also prohibits corporate records from
10being used to obtain personal information.
11The bill exempts personal information from the definition of
12public records under Code chapter 22.
13A person who violates a provision of the bill is subject to
14a civil penalty of not less than $2,500 per violation, and not
15more than three times that amount for an intentional violation.
16The bill allows a court to award to a prevailing plaintiff an
17amount equal to all or a portion of the costs of litigation,
18including attorney and witness fees.
19A person who knowingly violates a provision of the bill is
20guilty of a serious misdemeanor punishable by imprisonment for
21not more than 90 days, a fine of $1,000, or both.
22The bill does not affect any provision of Code chapter 68A,
23which relates to campaign finance.
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2to certain personal information related to tax-exempt
3organizations, and providing penalties.
4BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 22.7, Code 2019, is amended by adding the
2following new subsection:
3 NEW SUBSECTION. 74. Personal information as defined in
4section 22A.1.
5 Sec. 2. NEW SECTION. 22A.1 Definitions.
61. “Personal information” means any list, record,
7register, registry, roll, roster, or other compilation of
8data that directly or indirectly identifies a person as a
9member, supporter, or volunteer of, or donor of financial
10or nonfinancial support to, any entity which is exempt from
11taxation under section 501(c) of the federal Internal Revenue
12Code. “Personal information” does not include information
13reportable to the secretary of state pursuant to section
14504.1613.
152. “Public agency” means all of the following:
16a. A state or municipal governmental unit, including but
17not limited to the state of Iowa, a department, agency, office,
18commission, board, or division of the state.
19b. A political subdivision of the state, including but not
20limited to a county, city, township, village, school district,
21or community college merged area.
22c. An agency, authority, council, board, or commission of a
23political subdivision of the state.
24d. A state or local court, tribunal, or other judicial or
25quasi-judicial body.
26 Sec. 3. NEW SECTION. 22A.2 Personal information protected.
271. A public agency shall not do any of the following:
28a. Require an entity which is exempt from taxation under
29section 501(c) of the federal Internal Revenue Code to provide
30the public agency with personal information.
31b. Release, publicize, or otherwise disclose personal
32information in the possession of the public agency without
33the express, written permission of every member, supporter,
34volunteer, and donor of the tax-exempt entity identified in the
35information and the tax-exempt entity.
-1- 1c. Request or require a current or prospective contractor
2with the public agency to provide the public agency with a
3list of entities exempt from taxation under section 501(c) of
4the federal Internal Revenue Code to which the contractor has
5provided financial or nonfinancial support.
62. This section does not prohibit any of the following:
7a. Disclosure of personal information pursuant to a lawful
8warrant issued by a court of competent jurisdiction.
9b. Disclosure of personal information pursuant to a lawful
10request for discovery if all of the following requirements are
11met:
12(1) The requestor demonstrates a compelling need for the
13personal information by clear and convincing evidence.
14(2) The requestor obtains a protective order barring
15disclosure of personal information to any person not directly
16involved in the litigation.
17 Sec. 4. NEW SECTION. 22A.3 Civil penalties.
181. A person alleging a violation of this chapter, section
19504.1604, subsection 5, or section 504.1605, subsection 5, may
20bring a civil action for injunctive relief, damages, or both.
21Damages may include either of the following:
22a. Not less than two thousand five hundred dollars in
23compensatory damages for injury and loss for each violation.
24b. For an intentional violation, not more than three times
25the amount described in paragraph “a” for each violation.
262. A court may, in its discretion, award all or a portion of
27the costs of litigation, including reasonable attorney fees and
28witness fees, to the complainant.
29 Sec. 5. NEW SECTION. 22A.4 Criminal penalties.
30A person who knowingly violates a provision of this
31chapter, section 504.1604, subsection 5, or section 504.1605,
32subsection 5, is guilty of a serious misdemeanor punishable by
33imprisonment for not more than ninety days or a fine of not
34more than one thousand dollars, or both.
35 Sec. 6. NEW SECTION. 22A.5 Campaign disclosure Act not
-2-1affected.
2This chapter shall not affect any provision of chapter 68A.
3 Sec. 7. Section 504.1604, Code 2019, is amended by adding
4the following new subsection:
5 NEW SUBSECTION. 5. If the court orders inspection of
6records containing personal information as defined in section
722A.1, such inspection shall be made under seal from public
8disclosure. A person who violates this subsection is subject
9to civil penalties under section 22A.3. A person who knowingly
10violates this subsection is subject to criminal penalties under
11section 22A.4.
12 Sec. 8. Section 504.1605, Code 2019, is amended by adding
13the following new subsection:
14 NEW SUBSECTION. 5. To obtain personal information
15as defined in section 22A.1. A person who violates this
16subsection is subject to civil penalties under section 22A.3.
17A person who knowingly violates this subsection is subject to
18criminal penalties under section 22A.4.
19EXPLANATION
20The inclusion of this explanation does not constitute agreement with
21the explanation’s substance by the members of the general assembly.
22This bill relates to certain personal information in
23the possession of certain tax-exempt and governmental
24entities. The bill prohibits a public agency, defined in
25the bill to include any governmental entity of Iowa or a
26political subdivision, from seeking the disclosure of personal
27information from an organization exempt from taxation under
28section 501(c) of the federal Internal Revenue Code that
29would directly or indirectly reveal the identity of a member,
30supporter, volunteer, or donor of the organization, or from
31requesting from a current or potential contractor a list of
32tax-exempt organizations that the contractor has supported.
33The bill also prohibits a public agency from publishing any
34such information that the public agency possesses.
35The bill allows the disclosure of personal information
-3-1pursuant to a lawful warrant or discovery request. However,
2the bill requires the proponent of such a discovery request
3to show a compelling need for the information by clear and
4convincing evidence and to obtain a protective order barring
5unnecessary disclosure of the information.
6The bill amends the revised Iowa nonprofit corporation Act
7to require any inspection of corporate records containing
8personal information to be made under seal from public
9disclosure. The bill also prohibits corporate records from
10being used to obtain personal information.
11The bill exempts personal information from the definition of
12public records under Code chapter 22.
13A person who violates a provision of the bill is subject to
14a civil penalty of not less than $2,500 per violation, and not
15more than three times that amount for an intentional violation.
16The bill allows a court to award to a prevailing plaintiff an
17amount equal to all or a portion of the costs of litigation,
18including attorney and witness fees.
19A person who knowingly violates a provision of the bill is
20guilty of a serious misdemeanor punishable by imprisonment for
21not more than 90 days, a fine of $1,000, or both.
22The bill does not affect any provision of Code chapter 68A,
23which relates to campaign finance.
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