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House File 2431 - IntroducedA Bill ForAn Act 1relating to the regulation of home-based businesses by
2counties and cities.
3BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. NEW SECTION. 335.35 Home-based businesses.
21. For purposes of this section:
3a. “Goods” means any merchandise, equipment, products,
4supplies, or materials.
5b. “Home-based business” means any business for the
6manufacture, provision, or sale of goods or services that is
7owned and operated by the owner or tenant of the residential
8property on which the business operates.
9c. “No-impact home-based business” means a home-based
10business for which all of the following apply:
11(1) The total number of on-site employees and clients does
12not exceed the county occupancy limit for the residential
13property.
14(2) The business activities are characterized by all of the
15following:
16(a) The activities are limited to the sale of lawful goods
17and services.
18(b) The activities do not generate on-street parking or a
19substantial increase in traffic through the residential area.
20(c) The activities occur inside the residential dwelling or
21in the yard of the residential property.
22(d) The activities are not visible from a street adjacent to
23the residential property.
242. The use of a residential property for a home-based
25business is a permitted use. However, this subsection does not
26supersede any of the following:
27a. A deed restriction, covenant, or agreement restricting
28the use of land.
29b. A master deed, bylaw, or other document applicable to a
30common interest ownership community.
313. A county shall not prohibit a no-impact home-based
32business or otherwise require a person to apply, register, or
33obtain any permit, license, variance, or other type of prior
34approval from the county to operate a no-impact home-based
35business.
-1- 14. A county may establish reasonable regulations on a
2home-based business if the regulations are narrowly tailored
3for any of the following purposes:
4a. The protection of the public health and safety, including
5rules and regulations related to fire or building codes, health
6and sanitation, transportation or traffic control, solid or
7hazardous waste, pollution, or noise control.
8b. Ensuring that the business is all of the following:
9(1) Compatible with residential use of the property and
10surrounding residential use.
11(2) Secondary to the use of the property as a residence.
12(3) Complying with state and federal laws and paying
13applicable taxes.
14c. Limiting or prohibiting the operation of a home-based
15business for the purposes of selling alcoholic beverages or
16illegal drugs, operating or maintaining a structured sober
17living home, creating or selling pornography, providing nude
18or topless dancing, or operating any other adult-oriented
19business.
205. A county shall not require as a condition of operating a
21home-based business that the property be rezoned for commercial
22use or that the business owner install or equip fire sprinklers
23in a single-family detached residential dwelling or any
24residential dwelling with not more than two dwelling units.
256. In any proceeding alleging that a county regulation
26does not comply with this section, the county that enacted the
27regulation must establish by clear and convincing evidence that
28the regulation complies with this section.
29 Sec. 2. NEW SECTION. 414.33 Home-based businesses.
301. For purposes of this section:
31a. “Goods” means any merchandise, equipment, products,
32supplies, or materials.
33b. “Home-based business” means any business for the
34manufacture, provision, or sale of goods or services that is
35owned and operated by the owner or tenant of the residential
-2-1property on which the business operates.
2c. “No-impact home-based business” means a home-based
3business for which all of the following apply:
4(1) The total number of on-site employees and clients
5does not exceed the city occupancy limit for the residential
6property.
7(2) The business activities are characterized by all of the
8following:
9(a) The activities are limited to the sale of lawful goods
10and services.
11(b) The activities do not generate on-street parking or a
12substantial increase in traffic through the residential area.
13(c) The activities occur inside the residential dwelling or
14in the yard of the residential property.
15(d) The activities are not visible from a street adjacent to
16the residential property.
172. The use of a residential property for a home-based
18business is a permitted use. However, this subsection does not
19supersede any of the following:
20a. A deed restriction, covenant, or agreement restricting
21the use of land.
22b. A master deed, bylaw, or other document applicable to a
23common interest ownership community.
243. A city shall not prohibit a no-impact home-based business
25or otherwise require a person to apply, register, or obtain any
26permit, license, variance, or other type of prior approval from
27the city to operate a no-impact home-based business.
284. A city may establish reasonable regulations on a
29home-based business if the regulations are narrowly tailored
30for any of the following purposes:
31a. The protection of the public health and safety, including
32rules and regulations related to fire or building codes, health
33and sanitation, transportation or traffic control, solid or
34hazardous waste, pollution, or noise control.
35b. Ensuring that the business is all of the following:
-3- 1(1) Compatible with residential use of the property and
2surrounding residential use.
3(2) Secondary to the use of the property as a residence.
4(3) Complying with state and federal laws and paying
5applicable taxes.
6c. Limiting or prohibiting the operation of a home-based
7business for the purposes of selling alcoholic beverages or
8illegal drugs, operating or maintaining a structured sober
9living home, creating or selling pornography, providing nude
10or topless dancing, or operating any other adult-oriented
11business.
125. A city shall not require as a condition of operating a
13home-based business that the property be rezoned for commercial
14use or that the business owner install or equip fire sprinklers
15in a single-family detached residential dwelling or any
16residential dwelling with not more than two dwelling units.
176. In any proceeding alleging that a city regulation
18does not comply with this section, the city that enacted the
19regulation must establish by clear and convincing evidence that
20the regulation complies with this section.
21EXPLANATION
22The inclusion of this explanation does not constitute agreement with
23the explanation’s substance by the members of the general assembly.
24This bill relates to the regulation of home-based businesses
25by counties and cities. The bill defines the terms “goods”,
26“home-based business”, and “no-impact home-based business”.
27For purposes of local government regulation, the bill states
28that a home-based business is a generally permitted use of a
29residential property, other than as prohibited by covenant or
30ownership community agreement. The bill prohibits a county or
31city from prohibiting or requiring prior approval to operate
32a no-impact home-based business. The bill allows a county
33or city to regulate home-based businesses as long as such
34regulations are narrowly tailored to purposes provided in the
35bill. The bill prohibits a county or city from requiring
-4-1as a condition of operating a home-based business that the
2property be rezoned for commercial use or that the business
3owner install or equip fire sprinklers in a single-family
4detached residential dwelling or any residential dwelling with
5not more than two dwelling units. In any proceeding alleging
6that a regulation does not comply with the bill, the county or
7city that enacted the regulation must establish by clear and
8convincing evidence that the regulation complies with the bill.
-5-js/ns
2counties and cities.
3BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. NEW SECTION. 335.35 Home-based businesses.
21. For purposes of this section:
3a. “Goods” means any merchandise, equipment, products,
4supplies, or materials.
5b. “Home-based business” means any business for the
6manufacture, provision, or sale of goods or services that is
7owned and operated by the owner or tenant of the residential
8property on which the business operates.
9c. “No-impact home-based business” means a home-based
10business for which all of the following apply:
11(1) The total number of on-site employees and clients does
12not exceed the county occupancy limit for the residential
13property.
14(2) The business activities are characterized by all of the
15following:
16(a) The activities are limited to the sale of lawful goods
17and services.
18(b) The activities do not generate on-street parking or a
19substantial increase in traffic through the residential area.
20(c) The activities occur inside the residential dwelling or
21in the yard of the residential property.
22(d) The activities are not visible from a street adjacent to
23the residential property.
242. The use of a residential property for a home-based
25business is a permitted use. However, this subsection does not
26supersede any of the following:
27a. A deed restriction, covenant, or agreement restricting
28the use of land.
29b. A master deed, bylaw, or other document applicable to a
30common interest ownership community.
313. A county shall not prohibit a no-impact home-based
32business or otherwise require a person to apply, register, or
33obtain any permit, license, variance, or other type of prior
34approval from the county to operate a no-impact home-based
35business.
-1- 14. A county may establish reasonable regulations on a
2home-based business if the regulations are narrowly tailored
3for any of the following purposes:
4a. The protection of the public health and safety, including
5rules and regulations related to fire or building codes, health
6and sanitation, transportation or traffic control, solid or
7hazardous waste, pollution, or noise control.
8b. Ensuring that the business is all of the following:
9(1) Compatible with residential use of the property and
10surrounding residential use.
11(2) Secondary to the use of the property as a residence.
12(3) Complying with state and federal laws and paying
13applicable taxes.
14c. Limiting or prohibiting the operation of a home-based
15business for the purposes of selling alcoholic beverages or
16illegal drugs, operating or maintaining a structured sober
17living home, creating or selling pornography, providing nude
18or topless dancing, or operating any other adult-oriented
19business.
205. A county shall not require as a condition of operating a
21home-based business that the property be rezoned for commercial
22use or that the business owner install or equip fire sprinklers
23in a single-family detached residential dwelling or any
24residential dwelling with not more than two dwelling units.
256. In any proceeding alleging that a county regulation
26does not comply with this section, the county that enacted the
27regulation must establish by clear and convincing evidence that
28the regulation complies with this section.
29 Sec. 2. NEW SECTION. 414.33 Home-based businesses.
301. For purposes of this section:
31a. “Goods” means any merchandise, equipment, products,
32supplies, or materials.
33b. “Home-based business” means any business for the
34manufacture, provision, or sale of goods or services that is
35owned and operated by the owner or tenant of the residential
-2-1property on which the business operates.
2c. “No-impact home-based business” means a home-based
3business for which all of the following apply:
4(1) The total number of on-site employees and clients
5does not exceed the city occupancy limit for the residential
6property.
7(2) The business activities are characterized by all of the
8following:
9(a) The activities are limited to the sale of lawful goods
10and services.
11(b) The activities do not generate on-street parking or a
12substantial increase in traffic through the residential area.
13(c) The activities occur inside the residential dwelling or
14in the yard of the residential property.
15(d) The activities are not visible from a street adjacent to
16the residential property.
172. The use of a residential property for a home-based
18business is a permitted use. However, this subsection does not
19supersede any of the following:
20a. A deed restriction, covenant, or agreement restricting
21the use of land.
22b. A master deed, bylaw, or other document applicable to a
23common interest ownership community.
243. A city shall not prohibit a no-impact home-based business
25or otherwise require a person to apply, register, or obtain any
26permit, license, variance, or other type of prior approval from
27the city to operate a no-impact home-based business.
284. A city may establish reasonable regulations on a
29home-based business if the regulations are narrowly tailored
30for any of the following purposes:
31a. The protection of the public health and safety, including
32rules and regulations related to fire or building codes, health
33and sanitation, transportation or traffic control, solid or
34hazardous waste, pollution, or noise control.
35b. Ensuring that the business is all of the following:
-3- 1(1) Compatible with residential use of the property and
2surrounding residential use.
3(2) Secondary to the use of the property as a residence.
4(3) Complying with state and federal laws and paying
5applicable taxes.
6c. Limiting or prohibiting the operation of a home-based
7business for the purposes of selling alcoholic beverages or
8illegal drugs, operating or maintaining a structured sober
9living home, creating or selling pornography, providing nude
10or topless dancing, or operating any other adult-oriented
11business.
125. A city shall not require as a condition of operating a
13home-based business that the property be rezoned for commercial
14use or that the business owner install or equip fire sprinklers
15in a single-family detached residential dwelling or any
16residential dwelling with not more than two dwelling units.
176. In any proceeding alleging that a city regulation
18does not comply with this section, the city that enacted the
19regulation must establish by clear and convincing evidence that
20the regulation complies with this section.
21EXPLANATION
22The inclusion of this explanation does not constitute agreement with
23the explanation’s substance by the members of the general assembly.
24This bill relates to the regulation of home-based businesses
25by counties and cities. The bill defines the terms “goods”,
26“home-based business”, and “no-impact home-based business”.
27For purposes of local government regulation, the bill states
28that a home-based business is a generally permitted use of a
29residential property, other than as prohibited by covenant or
30ownership community agreement. The bill prohibits a county or
31city from prohibiting or requiring prior approval to operate
32a no-impact home-based business. The bill allows a county
33or city to regulate home-based businesses as long as such
34regulations are narrowly tailored to purposes provided in the
35bill. The bill prohibits a county or city from requiring
-4-1as a condition of operating a home-based business that the
2property be rezoned for commercial use or that the business
3owner install or equip fire sprinklers in a single-family
4detached residential dwelling or any residential dwelling with
5not more than two dwelling units. In any proceeding alleging
6that a regulation does not comply with the bill, the county or
7city that enacted the regulation must establish by clear and
8convincing evidence that the regulation complies with the bill.
-5-js/ns