Senate File 283 - EnrolledAn Actrelating to conflicts of interest in certain government
public contracts.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
   Section 1.  Section 279.7A, Code 2019, is amended to read as
follows:
   279.7A  Interest in public contracts prohibited — exceptions.
   1.  A member of the board of directors of a school
corporation shall not have an interest, direct or indirect, in
a contract for the purchase of goods, including materials and
profits, and the performance of services for the director’s
school corporation. A contract entered into in violation of
this section is void.
   2.  This section does not apply to contracts for the
purchase of goods or services which benefit a director, or
to compensation for part-time or temporary employment which
benefits a director, if the benefit to the director does not
exceed two six thousand five hundred dollars in a fiscal year,
and contracts made by a school board, upon competitive bid in
writing, publicly invited and opened.
   3.  This section does not apply to a contract that is a
bond, note, or other obligation of a school corporation if the
contract is not acquired directly from the school corporation,
but is acquired in a transaction with a third party, who may
or may not be the original underwriter, purchaser, or obligee
of the contract, or to a contract in which a director has an
interest solely by reason of employment if the contract is made
by competitive bid in writing, publicly invited and opened, or
if the remuneration of employment will not be directly affected
as a result of the contract and the duties of employment do not
directly involve the procurement or preparation of any part of
the contract.
   4.  The competitive bid qualification of this section
does not apply to a contract for professional services not
customarily awarded by competitive bid.
   Sec. 2.  Section 331.342, subsection 2, paragraph j, Code
2019, is amended to read as follows:
   j.  Contracts not otherwise permitted by this section, for
the purchase of goods or services by a county, which benefit a
-1-county officer or employee, if the purchases benefiting that
officer or employee do not exceed a cumulative total purchase
price of one six thousand five hundred dollars in a fiscal
year.
   Sec. 3.  Section 362.5, subsection 3, paragraph j, Code 2019,
is amended to read as follows:
   j.  Contracts not otherwise permitted by this section, for
the purchase of goods or services by a city having a population
of more than two thousand five hundred,
which benefit a city
officer or employee, if the purchases benefiting that officer
or employee do not exceed a cumulative total purchase price of
one six thousand five hundred dollars in a fiscal year.
   Sec. 4.  Section 362.5, subsection 3, paragraph k, Code 2019,
is amended by striking the paragraph.
______________________________
CHARLES SCHNEIDERPresident of the Senate
______________________________
LINDA UPMEYERSpeaker of the House
   I hereby certify that this bill originated in the Senate and is known as Senate File 283, Eighty-eighth General Assembly.______________________________
W. CHARLES SMITHSONSecretary of the Senate
Approved _______________, 2019______________________________
KIM REYNOLDSGovernor
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