Bill Text: IA HF2134 | 2017-2018 | 87th General Assembly | Introduced
Bill Title: A bill for an act requiring that a person submit a bond with a manure management plan associated with a confinement feeding operation, and including effective date provisions.
Spectrum: Partisan Bill (Democrat 6-0)
Status: (Introduced - Dead) 2018-01-30 - Introduced, referred to Agriculture. H.J. 165. [HF2134 Detail]
Download: Iowa-2017-HF2134-Introduced.html
House File 2134 - Introduced HOUSE FILE BY STAED, MASCHER, GAINES, MEYER, ABDUL=SAMAD, and BENNETT A BILL FOR 1 An Act requiring that a person submit a bond with a manure 2 management plan associated with a confinement feeding 3 operation, and including effective date provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 5552YH (4) 87 da/rn PAG LIN 1 1 Section 1. Section 459.303, subsection 3, paragraph b, Code 1 2 2018, is amended to read as follows: 1 3 b. A manure management plan as provided in section 459.312 1 4and, a manure management plan filing fee as provided in section 1 5 459.400, and evidence that a surety bond has been furnished to 1 6 the department as provided in section 459.312. 1 7 Sec. 2. Section 459.303, subsection 7, Code 2018, is amended 1 8 by adding the following new paragraph: 1 9 NEW PARAGRAPH. c. The department shall not issue a 1 10 permit to a person under this section if a surety bond 1 11 furnished to the department under section 459.312 has 1 12 expired, been canceled, been suspended, or been revoked. 1 13 This paragraph applies to a permit for the construction of a 1 14 confinement feeding operation structure regardless of whether 1 15 the confinement feeding operation structure is part of a 1 16 confinement feeding operation described in the bond. 1 17 Sec. 3. Section 459.312, Code 2018, is amended by adding the 1 18 following new subsection: 1 19 NEW SUBSECTION. 6A. The department shall not approve an 1 20 original manure management plan or an updated manure management 1 21 plan, unless it is accompanied with evidence that a surety bond 1 22 has been furnished to the department by a surety. However, the 1 23 department may approve an original manure management plan on 1 24 the condition that the bond be furnished prior to the date that 1 25 manure is stored in the manure storage structure described in 1 26 the manure management plan. 1 27 a. The surety must be a business entity organized or formed 1 28 in this state or otherwise authorized to do business in this 1 29 state as a surety company and be approved by the department 1 30 according to criteria established by the department. The bond 1 31 shall be in the amount of ten million dollars. 1 32 b. The bond shall run to the state, and guarantee payment 1 33 to the state of costs directly attributable to a violation of 1 34 section 459.311 that causes a discharge of manure from a manure 1 35 storage structure as described in the manure management plan. 2 1 The costs shall be limited to any of the following: 2 2 (1) The reimbursement of moneys expended by the state, a 2 3 political subdivision, or an agent of the state or a political 2 4 subdivision, for reasonable costs of providing for containment 2 5 or cleanup. The reimbursement may cover costs associated with 2 6 cleaning up the confinement feeding operation and remediating 2 7 contamination which originates from the confinement feeding 2 8 operation, pursuant to sections 455B.381 through 455B.399. 2 9 (2) The restoration of wild animal populations or habitat, 2 10 to the extent that any payment received under the bond is not 2 11 duplicative of a restitution payment received by the state 2 12 under section 481A.151. 2 13 (3) Payment of a judgment award recovered by a person in a 2 14 civil action for actual property damages, including reasonable 2 15 attorney's fees. The bond shall be open to successive judgment 2 16 awards caused by the same violation. 2 17 c. The total and aggregate liability of the surety for all 2 18 claims by the state arising from the violation shall be limited 2 19 to the face of the bond. 2 20 d. The bond shall not expire until sixty days after 2 21 expiration of the manure management plan. The surety shall 2 22 not cancel the bond without providing for at least forty=five 2 23 days' notice by certified mail to the department and the 2 24 owner required to submit the manure management plan. When 2 25 the department receives a notice of cancellation, and a bond 2 26 is still required, the department shall automatically suspend 2 27 the manure management plan if the department does not receive 2 28 a replacement bond within thirty days of the delivery of the 2 29 notice of cancellation. If a replacement bond is not furnished 2 30 to the department within ten days following the suspension, the 2 31 department shall automatically revoke the manure management 2 32 plan. In addition, the department shall disapprove all pending 2 33 permit applications for the construction of a confinement 2 34 feeding operation structure filed with the department by the 2 35 owner as provided in section 459.303. 3 1 Sec. 4. Section 481A.151, subsection 1, Code 2018, is 3 2 amended to read as follows: 3 3 1. a. A person who is liable for polluting a water of this 3 4 state in violation of state law, including this chapter, shall 3 5 also be liable to pay restitution to the department for injury 3 6 caused to a wild animal by the pollution. The amount of the 3 7 restitution shall also include the department's administrative 3 8 costs for investigating the incident. 3 9 b. The administration of this section shall not result in 3 10 a duplication of damages collected by the department under 3 11 section 455B.392, subsection 1, paragraph "a", subparagraph (3) 3 12 or section 459.312, subsection 6A. 3 13 Sec. 5. EFFECTIVE DATE. This Act, being deemed of immediate 3 14 importance, takes effect upon enactment. 3 15 EXPLANATION 3 16 The inclusion of this explanation does not constitute agreement with 3 17 the explanation's substance by the members of the general assembly. 3 18 GENERAL. This bill amends Code chapter 459, referred to as 3 19 the "Animal Agriculture Compliance Act", which is administered 3 20 and enforced by the department of natural resources (DNR). 3 21 The Code chapter in part regulates the housing of animals in 3 22 a building and the storage and application of animal manure 3 23 originating from a confinement feeding operation (operation), 3 24 including a manure storage structure (structure). The bill 3 25 addresses two documents filed by the owner of an operation 3 26 with DNR when it administers water quality regulations: (1) 3 27 an application for a construction permit (permit) issued by 3 28 DNR that authorizes the construction, including expansion, of 3 29 a structure (Code section 459.303) and a manure management 3 30 plan (MMP) governing the storage and application of manure 3 31 originating from the operation (Code section 459.312). 3 32 BILL'S PROVISIONS. The bill provides that DNR cannot 3 33 approve an MMP unless the owner furnishes a surety bond for 3 34 $10 million for the purpose of paying costs resulting from the 3 35 discharge of manure from the owner's operation. Moneys payable 4 1 under the bond must be used in cases in which the discharge 4 2 has caused property damage. The moneys must be used to: (1) 4 3 reimburse the state or a political subdivision, or an agent 4 4 of the state or political subdivision, for costs associated 4 5 with containment or cleanup; (2) the restoration of wild animal 4 6 populations or habitat; and (3) the payment of a judgment 4 7 award recovered by a plaintiff in a civil action. The bill 4 8 provides for the expiration or cancellation of the bond. DNR 4 9 is authorized to suspend or revoke an MMP if a replacement bond 4 10 is not filed. The bill also provides that DNR is prohibited 4 11 from issuing a permit to the owner authorizing the construction 4 12 of any structure if a bond covering an operation has expired, 4 13 been canceled, been suspended, or been revoked. 4 14 BACKGROUND == OPERATIONS AND MMPS. An operation is a 4 15 location in which certain confined agricultural animals are 4 16 housed in one or more buildings for at least 45 days during 4 17 any 12=month period (Code section 459.102). Generally, an 4 18 operation must retain manure that is produced at the location 4 19 until the manure is transported and used according to water 4 20 quality requirements (e.g., via application on farmland) (see 4 21 Code section 459.311). An MMP refers to both an original 4 22 document and a document which updates the original plan. 4 23 An updated plan must be filed with DNR on an annual basis 4 24 (Code section 459.312). A permit is required to construct a 4 25 structure including a confinement building or associated manure 4 26 storage structure (either formed or unformed) (Code section 4 27 459.102). As part of the application for a permit, the owner 4 28 must have filed an MMP. 4 29 EFFECTIVE DATE. The bill, if enacted, would take effect upon 4 30 enactment. LSB 5552YH (4) 87 da/rn