Bill Text: IA HF2334 | 2017-2018 | 87th General Assembly | Introduced


Bill Title: A bill for an act relating to activities associated with agriculture, natural resources, and the environment, including by increasing the sales and use tax rates, transferring moneys to the natural resources and outdoor recreation trust fund, funding certain government entities and initiatives, providing for an Iowa water policy, establishing water quality and water management objectives, goals, and benchmarks, regulating confinement feeding operations, making appropriations, and including effective date and applicability provisions.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2018-02-13 - Introduced, referred to Agriculture. H.J. 259. [HF2334 Detail]

Download: Iowa-2017-HF2334-Introduced.html

House File 2334 - Introduced




                                 HOUSE FILE       
                                 BY  STAED

                                 (COMPANION TO SF 2161
                                     BY HOGG)

                                      A BILL FOR

  1 An Act relating to activities associated with agriculture,
  2    natural resources, and the environment, including by
  3    increasing the sales and use tax rates, transferring moneys
  4    to the natural resources and outdoor recreation trust
  5    fund, funding certain government entities and initiatives,
  6    providing for an Iowa water policy, establishing water
  7    quality and water management objectives, goals, and
  8    benchmarks, regulating confinement feeding operations,
  9    making appropriations, and including effective date and
 10    applicability provisions.
 11 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
    TLSB 5547YH (2) 87
    da/rj

PAG LIN



  1  1                           DIVISION I
  1  2          NATURAL RESOURCES AND OUTDOOR RECREATION ACT
  1  3    Section 1.  Section 423.2, subsection 1, unnumbered
  1  4 paragraph 1, Code 2018, is amended to read as follows:
  1  5    There is imposed a tax of six and three=eighths percent upon
  1  6 the sales price of all sales of tangible personal property,
  1  7 consisting of goods, wares, or merchandise, sold at retail in
  1  8 the state to consumers or users except as otherwise provided
  1  9 in this subchapter.
  1 10    Sec. 2.  Section 423.2, subsections 2 and 3, Code 2018, are
  1 11 amended to read as follows:
  1 12    2.  A tax of six and three=eighths percent is imposed upon
  1 13 the sales price of the sale or furnishing of gas, electricity,
  1 14 water, heat, pay television service, and communication service,
  1 15 including the sales price from such sales by any municipal
  1 16 corporation or joint water utility furnishing gas, electricity,
  1 17 water, heat, pay television service, and communication service
  1 18 to the public in its proprietary capacity, except as otherwise
  1 19 provided in this subchapter, when sold at retail in the state
  1 20 to consumers or users.
  1 21    3.  A tax of six and three=eighths percent is imposed upon
  1 22 the sales price of all sales of tickets or admissions to places
  1 23 of amusement, fairs, and athletic events except those of
  1 24 elementary and secondary educational institutions. A tax of
  1 25 six and three=eighths percent is imposed on the sales price of
  1 26 an entry fee or like charge imposed solely for the privilege of
  1 27 participating in an activity at a place of amusement, fair, or
  1 28 athletic event unless the sales price of tickets or admissions
  1 29 charges for observing the same activity are taxable under this
  1 30 subchapter. A tax of six and three=eighths percent is imposed
  1 31 upon that part of private club membership fees or charges paid
  1 32 for the privilege of participating in any athletic sports
  1 33 provided club members.
  1 34    Sec. 3.  Section 423.2, subsection 4, paragraph a, Code 2018,
  1 35 is amended to read as follows:
  2  1    a.  A tax of six and three=eighths percent is imposed upon
  2  2 the sales price derived from the operation of all forms of
  2  3 amusement devices and games of skill, games of chance, raffles,
  2  4 and bingo games as defined in chapter 99B, and card game
  2  5 tournaments conducted under section 99B.27, that are operated
  2  6 or conducted within the state, the tax to be collected from
  2  7 the operator in the same manner as for the collection of taxes
  2  8 upon the sales price of tickets or admission as provided in
  2  9 this section. Nothing in this subsection shall legalize any
  2 10 games of skill or chance or slot=operated devices which are now
  2 11 prohibited by law.
  2 12    Sec. 4.  Section 423.2, subsection 5, Code 2018, is amended
  2 13 to read as follows:
  2 14    5.  There is imposed a tax of six and three=eighths percent
  2 15 upon the sales price from the furnishing of services as defined
  2 16 in section 423.1.
  2 17    Sec. 5.  Section 423.2, subsection 7, paragraph a,
  2 18 unnumbered paragraph 1, Code 2018, is amended to read as
  2 19 follows:
  2 20    A tax of six and three=eighths percent is imposed upon the
  2 21 sales price from the sales, furnishing, or service of solid
  2 22 waste collection and disposal service.
  2 23    Sec. 6.  Section 423.2, subsection 8, paragraph a, Code 2018,
  2 24 is amended to read as follows:
  2 25    a.  A tax of six and three=eighths percent is imposed on
  2 26 the sales price from sales of bundled transactions. For the
  2 27 purposes of this subsection, a "bundled transaction" is the
  2 28 retail sale of two or more distinct and identifiable products,
  2 29 except real property and services to real property, which
  2 30 are sold for one nonitemized price. A "bundled transaction"
  2 31 does not include the sale of any products in which the sales
  2 32 price varies, or is negotiable, based on the selection by the
  2 33 purchaser of the products included in the transaction.
  2 34    Sec. 7.  Section 423.2, subsection 9, Code 2018, is amended
  2 35 to read as follows:
  3  1    9.  A tax of six and three=eighths percent is imposed upon
  3  2 the sales price from any mobile telecommunications service,
  3  3 including all paging services, that this state is allowed
  3  4 to tax pursuant to the provisions of the federal Mobile
  3  5 Telecommunications Sourcing Act, Pub. L. No. 106=252, 4 U.S.C.
  3  6 {116 et seq. For purposes of this subsection, taxes on mobile
  3  7 telecommunications service, as defined under the federal Mobile
  3  8 Telecommunications Sourcing Act that are deemed to be provided
  3  9 by the customer's home service provider, shall be paid to
  3 10 the taxing jurisdiction whose territorial limits encompass
  3 11 the customer's place of primary use, regardless of where the
  3 12 mobile telecommunications service originates, terminates,
  3 13 or passes through and shall in all other respects be taxed
  3 14 in conformity with the federal Mobile Telecommunications
  3 15 Sourcing Act. All other provisions of the federal Mobile
  3 16 Telecommunications Sourcing Act are adopted by the state of
  3 17 Iowa and incorporated into this subsection by reference. With
  3 18 respect to mobile telecommunications service under the federal
  3 19 Mobile Telecommunications Sourcing Act, the director shall, if
  3 20 requested, enter into agreements consistent with the provisions
  3 21 of the federal Act.
  3 22    Sec. 8.  Section 423.2, subsection 11, paragraph b,
  3 23 subparagraph (2), Code 2018, is amended to read as follows:
  3 24    (2)  Transfer from the remaining revenues the amounts
  3 25 required under Article VII, section 10, of the Constitution
  3 26 of the State of Iowa to the natural resources and outdoor
  3 27 recreation trust fund created in section 461.31, if applicable.
  3 28    Sec. 9.  Section 423.2, subsection 14, Code 2018, is amended
  3 29 to read as follows:
  3 30    14.  The sales tax rate of six and three=eighths percent is
  3 31 reduced to five and three=eighths percent on January 1, 2030.
  3 32    Sec. 10.  Section 423.5, subsection 1, unnumbered paragraph
  3 33 1, Code 2018, is amended to read as follows:
  3 34    Except as provided in paragraph "c", an excise tax at the
  3 35 rate of six and three=eighths percent of the purchase price or
  4  1 installed purchase price is imposed on the following:
  4  2    Sec. 11.  Section 423.5, subsection 5, Code 2018, is amended
  4  3 to read as follows:
  4  4    5.  The use tax rate of six and three=eighths percent is
  4  5 reduced to five and three=eighths percent on January 1, 2030.
  4  6    Sec. 12.  Section 423.43, subsection 1, paragraph b, Code
  4  7 2018, is amended to read as follows:
  4  8    b.  Subsequent to the deposit into the general fund of the
  4  9 state and after the transfer of such pursuant to paragraph "a",
  4 10 the department shall do the following in the order prescribed:
  4 11    (1)  Transfer the revenues collected under chapter 423B, the
  4 12 department shall transfer one=sixth.
  4 13    (2)  Transfer fifteen and six thousand eight hundred
  4 14 sixty=three ten=thousandths percent of such remaining revenues
  4 15 to the secure an advanced vision for education fund created in
  4 16 section 423F.2. This paragraph subparagraph (2) is repealed
  4 17 December 31, 2029.
  4 18    Sec. 13.  PURPOSE.  The purpose of this division is to
  4 19 provide for the implementation of Article VII, section 10, of
  4 20 the Constitution of the State of Iowa by fully funding the
  4 21 natural resources and outdoor recreation trust fund as created
  4 22 in section 461.31, pursuant to Article VII, section 10, of the
  4 23 Constitution of the State of Iowa.
  4 24    Sec. 14.  EFFECTIVE DATE.  This division of this Act takes
  4 25 effect on January 1, 2019.
  4 26                           DIVISION II
  4 27  LEOPOLD CENTER FOR SUSTAINABLE AGRICULTURE ==== APPROPRIATIONS
  4 28    Sec. 15.  NEW SECTION.  266.39D  Leopold center for
  4 29 sustainable agriculture ==== appropriations.
  4 30    There is appropriated from the general fund of the state
  4 31 to Iowa state university, for the fiscal year beginning July
  4 32 1, 2018, and for each subsequent fiscal year, the sum of one
  4 33 million seven hundred fifty thousand dollars to be allocated
  4 34 to the Leopold center for sustainable agriculture established
  4 35 in section 266.39 to carry out the provisions described in
  5  1 sections 266.39 through 266.39B.
  5  2                          DIVISION III
  5  3               IOWA FLOOD CENTER ==== APPROPRIATIONS
  5  4    Sec. 16.  NEW SECTION.  466C.2  Iowa flood center ====
  5  5 appropriation.
  5  6    There is appropriated from the general fund of the state to
  5  7 the state board of regents, for the fiscal year beginning July
  5  8 1, 2018, and for each subsequent fiscal year, the sum of one
  5  9 million five hundred thousand dollars to be allocated to the
  5 10 Iowa flood center established pursuant to section 466C.1.
  5 11                           DIVISION IV
  5 12                FLOOD MITIGATION ==== APPROPRIATION
  5 13    Sec. 17.  NEW SECTION.  418.10A  Flood mitigation ====
  5 14 appropriation.
  5 15    There is appropriated from the general fund of the state to
  5 16 the department of homeland security and emergency management,
  5 17 for the fiscal year beginning July 1, 2018, and for each
  5 18 subsequent fiscal year, the sum of four million dollars to
  5 19 be deposited in the flood mitigation fund created in section
  5 20 418.10.
  5 21                           DIVISION V
  5 22                      IOWA WATER POLICY ACT
  5 23    Sec. 18.  Section 266.39A, Code 2018, is amended to read as
  5 24 follows:
  5 25    266.39A  Agricultural research.
  5 26    1.  Iowa state university of science and technology shall
  5 27 conduct continuing agricultural research to provide information
  5 28 about environmental all of the following:
  5 29    a.  Environmental and social impacts of agricultural research
  5 30 on the small or family farm and information about population
  5 31 trends and impact of the trends on Iowa agriculture, in
  5 32 addition to research that may include the categories specified
  5 33 in section 266.39B, subsection 2.
  5 34    b.  The results of research to advance the Iowa water policy,
  5 35 including the purposes described in the policy's water quality
  6  1 category and water management category as provided in section
  6  2 466D.201.
  6  3    2.  The research shall include an agricultural land tenure
  6  4 study conducted every five years to determine the ownership
  6  5 of farmland, and to analyze ownership trends, using the
  6  6 categories of land ownership defined in chapter 9H.  The study
  6  7 shall be conducted on the basis of regions established by
  6  8 the university. A region shall be composed of not more than
  6  9 twenty=three contiguous counties.
  6 10    Sec. 19.  NEW SECTION.  266.39C  Leopold center for
  6 11 sustainable agriculture ==== Iowa water policy.
  6 12    The Leopold center for sustainable agriculture shall
  6 13 cooperate with the Iowa water commission created in section
  6 14 466D.202 in order to advance the Iowa water policy as provided
  6 15 in section 466D.201, including in assisting in evaluating and
  6 16 conducting research regarding sustainable water initiatives as
  6 17 provided in section 466D.303.
  6 18    Sec. 20.  Section 466B.3, subsection 4, Code 2018, is amended
  6 19 by adding the following new paragraph:
  6 20    NEW PARAGRAPH.  m.  The chairperson of the Iowa water
  6 21 commission created in section 466D.202.
  6 22    Sec. 21.  NEW SECTION.  466C.2  Iowa water policy.
  6 23    The Iowa flood center shall cooperate with the Iowa water
  6 24 commission created in section 466D.202 in order to advance the
  6 25 Iowa water policy as provided in section 466D.201, including
  6 26 in assisting in evaluating and conducting research regarding
  6 27 sustainable water initiatives as provided in section 466D.303.
  6 28    Sec. 22.  NEW SECTION.  466D.101  Short title.
  6 29    This chapter may be known and shall be cited as the "Iowa
  6 30 Water Policy Act".
  6 31    Sec. 23.  NEW SECTION.  466D.102  Definitions.
  6 32    As used in this section, unless the context otherwise
  6 33 requires:
  6 34    1.  "Authority" means a watershed management authority
  6 35 recognized pursuant to section 466B.22.
  7  1    2.  "Commission" means the Iowa water commission created in
  7  2 section 466D.202.
  7  3    3.  "Comprehensive state water plan" or "plan" means the
  7  4 document described in section 466D.302.
  7  5    4.  "Department" means the department of natural resources
  7  6 as created in section 455A.2.
  7  7    5.  "Flood center" means the Iowa flood center established
  7  8 pursuant to section 466C.1.
  7  9    6.  "High=quality water resource" means that part of a
  7 10 surface water source or wetland that the department has
  7 11 designated as any of the following:
  7 12    a.  A high=quality water (Class "HQ") or a high=quality
  7 13 resource water (Class "HQR") according to 567 IAC ch. 61, in
  7 14 effect on January 1, 2001.
  7 15    b.  A protected water area system, according to a state plan
  7 16 adopted by the department in effect on January 1, 2001.
  7 17    7.  "Iowa water center" means the entity by that name housed
  7 18 within Iowa state university of science and technology that is
  7 19 overseen by the United States geological survey pursuant to 42
  7 20 U.S.C. {10301 et seq.
  7 21    8.  "Leopold center" means the Leopold center for sustainable
  7 22 agriculture created in section 266.39.
  7 23    9.  "Nutrient" means nitrogen or phosphorus.
  7 24    10.  "Sustainable water initiative" or "initiative" means
  7 25 any program, policy, or practice that furthers the Iowa water
  7 26 policy as provided in section 466D.201.
  7 27    11.  "Water resources" means surface waters, including waters
  7 28 of the state as defined in section 455B.381 and groundwater as
  7 29 defined in section 455E.2.
  7 30    Sec. 24.  NEW SECTION.  466D.201  Iowa water policy and water
  7 31 quality objectives.
  7 32    1.  This state hereby adopts an Iowa water policy.
  7 33    2.  As its Iowa water policy, the state declares it is in
  7 34 its vital interest to protect and secure water resources by
  7 35 advancing water sustainability as provided in this chapter.
  8  1 Water sustainability is divided into the following categories:
  8  2    a.  A water quality category, which includes the need to
  8  3 preserve, restore, and enhance the quality of surface water and
  8  4 groundwater in this state, protect human health, agricultural
  8  5 productivity, and outdoor recreation, use, and enjoyment.
  8  6    b.  A water management category, which includes the need
  8  7 to  prepare for and confront the immediate and prolonged
  8  8 consequences to human health and property caused by a flood or
  8  9 drought, including by reducing the risk of property damages and
  8 10 mitigating actual damages.
  8 11    3.  It is the objective of the state to reduce nitrogen and
  8 12 phosphorus loads contributed to this state's surface water
  8 13 sources by the following schedule of cumulative percentages:
  8 14    a.  For the period beginning July 1, 2016, and ending June
  8 15 30, 2024, twenty percent.
  8 16    b.  For the period beginning July 1, 2020, and ending June
  8 17 30, 2028, thirty=two percent.
  8 18    c.  For the period beginning July 1, 2024, and ending June
  8 19 30, 2033, forty=five percent.
  8 20    4.  The commission, in cooperation with the Leopold center,
  8 21 shall develop methods and procedures required to measure
  8 22 and assess water quality for water resources, and may adopt
  8 23 additional objectives in the public interest.
  8 24    Sec. 25.  NEW SECTION.  466D.202  Iowa water commission ====
  8 25 creation and membership.
  8 26    1.  An Iowa water commission is created in the department of
  8 27 natural resources.  Upon request, the commission shall receive
  8 28 staffing assistance from the department of agriculture and land
  8 29 stewardship described in chapter 159 and the department of
  8 30 homeland security and emergency management created in section
  8 31 29C.5.
  8 32    2.  The commission shall be composed of seven members who
  8 33 shall be appointed by the governor.  The members shall have
  8 34 expertise and experience in areas of hydrology, engineering,
  8 35 agriculture, soil conservation and water quality, environmental
  9  1 sciences, public health, and state or local policy.
  9  2    3.  Appointments to the commission are subject to the
  9  3 requirements of sections 69.16 and 69.16A.  A governor's
  9  4 appointee must be confirmed by the senate, pursuant to section
  9  5 2.32.
  9  6    4.  The members shall serve five=year terms beginning and
  9  7 ending as provided in section 69.19. However, the governor
  9  8 shall appoint initial members to serve for less than five years
  9  9 to ensure members serve staggered terms. A member is eligible
  9 10 for reappointment.  A vacancy on the board shall be filled for
  9 11 the unexpired portion of the regular term in the same manner as
  9 12 regular appointments are made.
  9 13    5.  The governor shall appoint the chairperson from among the
  9 14 commission's members each year.  The commission shall meet on
  9 15 a regular basis and at the call of the chairperson or upon the
  9 16 written request to the chairperson of three or more members.
  9 17    6.  Members of the commission are not entitled to receive
  9 18 compensation but shall receive reimbursement of expenses from
  9 19 the department as provided in section 7E.6.
  9 20    7.  Four members of the commission constitute a quorum and
  9 21 the affirmative vote of a majority of the members present
  9 22 is necessary for any substantive action to be taken by the
  9 23 commission. The commission shall not include any member who
  9 24 has a conflict of interest and a statement by a member that
  9 25 the member has a conflict of interest is conclusive for this
  9 26 purpose. A vacancy in the membership does not impair the
  9 27 duties of the commission.
  9 28    Sec. 26.  NEW SECTION.  466D.204  Iowa water commission ====
  9 29 cooperation and assistance.
  9 30    1.  The commission shall cooperate with the Leopold center,
  9 31 the flood center, and the Iowa water center in advancing the
  9 32 Iowa water policy as provided in section 466D.201, including by
  9 33 carrying out the provisions of this chapter.
  9 34    2.  Upon request, the commission shall receive assistance
  9 35 from state and local governments and other entities, including
 10  1 but not limited to the department of natural resources as
 10  2 created in section 455A.2, the department of agriculture and
 10  3 land stewardship as described in chapter 159, the university
 10  4 of Iowa as described in chapter 263, Iowa state university
 10  5 of science and technology as described in chapter 266, the
 10  6 department of homeland security and emergency management as
 10  7 created in section 29C.5, the water resources coordinating
 10  8 council as established in section 466B.3, watershed management
 10  9 authorities recognized pursuant to section 466B.22, the Iowa
 10 10 nutrient research center established pursuant to section
 10 11 466B.47, and the Iowa nutrient research center advisory council
 10 12 established pursuant to section 466B.48.
 10 13    Sec. 27.  NEW SECTION.  466D.301  Water quality ==== baseline ====
 10 14 goals and benchmarks ==== standards.
 10 15    1.  The commission shall maintain a database of surface water
 10 16 quality measurements within this state based on water samples
 10 17 collected by federal and state government entities and private
 10 18 persons. The database shall be based on information prepared
 10 19 by the Mississippi river/gulf of Mexico watershed nutrient
 10 20 task force,  the United States national oceanic and atmospheric
 10 21 administration, and the United States geological survey.
 10 22    2.  The commission shall establish a baseline for the years
 10 23 1980 to 1996, and may establish other baselines in order to
 10 24 measure an increase or decrease in nitrates and phosphorus in
 10 25 surface water sources.
 10 26    3.  The commission shall establish goals and benchmarks
 10 27 to reduce nitrogen and phosphorus loads contributed to
 10 28 this state's surface water sources by point and nonpoint
 10 29 sources.  The commission shall establish and revise short=term
 10 30 and long=term water quality impairment reduction goals or
 10 31 benchmarks on a local, regional, and statewide level.  The
 10 32 commission may establish special benchmarks for reducing
 10 33 nitrogen and phosphorus loads contributed to any of the
 10 34 following:
 10 35    a.  A priority watershed or subwatershed identified by the
 11  1 commission.
 11  2    b.  A priority stream or stream segment identified by the
 11  3 commission.
 11  4    c.  A high=quality water resource.
 11  5    Sec. 28.  NEW SECTION.  466D.302  Comprehensive state water
 11  6 plan and updates.
 11  7    1.  The commission, in cooperation with the Leopold center,
 11  8 the flood center, and Iowa water center, shall prepare a
 11  9 long=range comprehensive state water plan including for
 11 10 each category of the Iowa water policy advancing water
 11 11 sustainability as described in section 466D.201.  The plan
 11 12 shall have a minimum five=year forecast period.  The plan shall
 11 13 provide for beneficial uses of this state's water resources,
 11 14 including all of the following:
 11 15    a.  Public and private drinking water and wastewater
 11 16 services.
 11 17    b.  Agricultural, residential, municipal, commercial,
 11 18 industrial, and recreational uses.
 11 19    c.  Fish and wildlife habitat.
 11 20    d.  Recreational uses.
 11 21    e.  Floodplain management and wetland management.
 11 22    2.  The plan shall account for factors and trends that are
 11 23 projected to impact the uses described in subsection 1 and
 11 24 current and developing methods and technologies that may assist
 11 25 in achieving the objective provided in section 466D.201 and
 11 26 goals or benchmarks established pursuant to section 466D.301.
 11 27 The plan shall include detailed information necessary
 11 28 to determine the state's ongoing progress, and necessary
 11 29 adjustments to prior plans.
 11 30    3.  The commission shall prepare and submit the plan to the
 11 31 governor and general assembly not later than November 15, 2019.
 11 32    4.  The plan shall include information for the two categories
 11 33 that advance water sustainability as described in the Iowa
 11 34 water policy as provided in section 466D.201, including all of
 11 35 the following:
 12  1    a.  (1)  For the water quality category, a qualitative
 12  2 assessment of the state's progress in achieving the water
 12  3 quality objectives as provided in section 466D.201, and related
 12  4 goals and benchmarks as provided in section 466D.301.  The
 12  5 plan shall include summaries of similar assessments prepared
 12  6 by other entities.  The plan shall compare progress measured
 12  7 against the baseline established by section 466D.301.
 12  8    (2)  For the water management category, a qualitative
 12  9 assessment of flood and drought risks for the upcoming calendar
 12 10 year and forecasts for short=term and long=term flood and
 12 11 drought risks.
 12 12    b.  For each category, an evaluation of revenue sources
 12 13 and amounts received to support each category described in
 12 14 section 466D.201, including historical trends, current funding
 12 15 levels, and required future funding levels recommended by the
 12 16 commission. The plan shall include areas in which immediate
 12 17 financing is critically important to  preserve water quality and
 12 18 reduce risks associated with flood and drought conditions.
 12 19    c.  For the water quality category, a list of each watershed
 12 20 or subwatershed having the greatest or most immediate need for
 12 21 action necessary to reduce the contributions of nutrients to
 12 22 surface water sources. The plan shall include a recommendation
 12 23 that describes the most needed action.
 12 24    d.  (1)  For each category, an identification of research
 12 25 conducted in this state or other states that demonstrate
 12 26 potential to produce short=term or long=term future benefits.
 12 27 The plan shall include a recommendation to expand the research
 12 28 or apply the research to develop a model for sustainable water
 12 29 initiatives.
 12 30    (2)  For each category, an identification of priority areas
 12 31 for research that would assist the state in achieving water
 12 32 sustainability objectives as provided in section 466D.201 and
 12 33 related goals and benchmarks as provided in section 466D.301.
 12 34    e.  (1)  For each category, an evaluation of initiatives
 12 35 being undertaken by federal, state, or local entities.
 13  1    (2)  For each category, an identification of implemented
 13  2 initiatives conducted in this state or other states that
 13  3 demonstrate short=term or long=term future benefits.  The plan
 13  4 shall include a recommendation to expand an initiative or use
 13  5 an initiative in developing a model.
 13  6    f.  For each category, a list of initiatives that are
 13  7 being implemented by the commission or that are planned to be
 13  8 implemented by the commission, including the cost or expected
 13  9 cost of the initiative. The list shall describe the project
 13 10 name identifying the initiative, the name of each county
 13 11 where the initiative has been or will be established, and the
 13 12 proposed or actual cost of establishing the initiative.
 13 13    g.  For each category, any recommendation to revise legal
 13 14 provisions or policies, including any statute enacted by the
 13 15 general assembly, rule adopted by an administrative agency, or
 13 16 ordinance adopted by a local government.
 13 17    5.  a.  Not later than November 15 of each year, the
 13 18 commission, in cooperation with the Leopold center, the flood
 13 19 center, and Iowa water center, shall prepare an updated plan
 13 20 which shall be submitted to the governor and general assembly.
 13 21 An updated plan shall describe all relevant changes to the plan
 13 22 and previous updates to the plan. An updated plan must include
 13 23 an evaluation of the state's progress in meeting its objective
 13 24 to reduce nitrogen and phosphorus loads contributed to this
 13 25 state's surface water sources as part of the Iowa water policy
 13 26 as provided in section 466D.201.  An updated plan shall also
 13 27 include the list as provided in this section that describes
 13 28 information regarding each type of initiative that has been or
 13 29 is planned to be established.
 13 30    b.  Each four years, the commission, in cooperation with the
 13 31 Leopold center, the flood center, and the Iowa water center,
 13 32 shall prepare an extensive update of the plan that evaluates
 13 33 the objective of the state and determines the extent to which
 13 34 the state has achieved water sustainability under the Iowa
 13 35 water policy.  The extensive update shall be submitted to the
 14  1 governor and general assembly not later than the following:
 14  2    (1)  November 15, 2025.
 14  3    (2)  November 15, 2029.
 14  4    (3)  November 15, 2033.
 14  5    Sec. 29.  NEW SECTION.  466D.401  Water management authorities
 14  6 ==== allocations.
 14  7    1.  For each fiscal year that moneys are available, the
 14  8 commission shall allocate not more than forty thousand dollars
 14  9 each fiscal year to each eligible authority.
 14 10    2.  The moneys shall be used as specified by the commission.
 14 11 However, the moneys may be used to support the administrative
 14 12 costs of an authority.
 14 13    3.  The commission shall establish eligibility requirements
 14 14 under this section.  However, in order to be eligible, an
 14 15 authority must at least demonstrate that it is actively engaged
 14 16 in carrying out the duties described in section 466B.23.
 14 17    Sec. 30.  NEW SECTION.  466D.402  Water management authorities
 14 18 ==== competitive grant program.
 14 19    1.  After completing allocations to water management
 14 20 authorities under section 466D.401, for each fiscal year
 14 21 that moneys are available, the commission shall award moneys
 14 22 to authorities eligible under section 466D.401 to finance
 14 23 sustainable water initiatives.
 14 24    2.  The commission shall select an eligible authority to be
 14 25 awarded moneys under this section based on criteria established
 14 26 by the commission to achieve water sustainability under the
 14 27 Iowa water policy, which must at least include any of the
 14 28 following:
 14 29    a.  For an authority applying under the water quality
 14 30 category, the initiative must substantially reduce or eliminate
 14 31 the contribution of a nutrient to a water resource.
 14 32    b.  For an authority applying under the Iowa water management
 14 33 category, the initiative must substantially reduce or mitigate
 14 34 the risk of damages caused by a flood or drought.
 14 35    3.  In awarding a grant, the commission may establish a
 15  1 preference for a sustainable water initiative based on whether
 15  2 it meets any of the following criteria:
 15  3    a.  Is supported by matching moneys from a person other than
 15  4 the state.
 15  5    b.  Is cost=effective and practical to establish and
 15  6 maintain.
 15  7    c.  Is used in part to conduct research or as a demonstration
 15  8 model.
 15  9    d.  Has a lifespan that extends beyond the period covered by
 15 10 the grant.
 15 11    Sec. 31.  NEW SECTION.  466D.403  Iowa water commission ====
 15 12 appropriations.
 15 13    There is appropriated from the general fund of the state to
 15 14 the department of agriculture and land stewardship, for the
 15 15 fiscal year beginning July 1, 2018, and for each subsequent
 15 16 fiscal year, the sum of two million nine hundred fifteen
 15 17 dollars to be allocated to the Iowa water commission.
 15 18                           DIVISION VI
 15 19                        WATER MONITORING
 15 20    Sec. 32.  Section 466B.2, Code 2018, is amended by adding the
 15 21 following new subsections:
 15 22    NEW SUBSECTION.  5A.  "User" means a person who is the
 15 23 recipient of water originating from a surface water or
 15 24 groundwater source and who is entitled to exercise a right over
 15 25 such water for any lawful purpose.
 15 26    NEW SUBSECTION.  7.  "Water supply system" means a public
 15 27 water supply system or private water supply as defined in
 15 28 section 455B.171.
 15 29    Sec. 33.  NEW SECTION.  466B.26  Water monitoring program.
 15 30    1.  The department shall administer a water monitoring
 15 31 program in cooperation with the Iowa flood center established
 15 32 in section 466C.1, the Iowa water commission created in section
 15 33 466D.202, and the Iowa water center as defined in section
 15 34 466D.102. The program shall provide for all of the following:
 15 35    a.  The measurement of water levels in the existing aquifer
 16  1 monitoring well system to allow for creating new and updating
 16  2 existing models utilizing groundwater level monitoring, and for
 16  3 the analysis and dissemination of such information using an
 16  4 internet=based system.
 16  5    b.  The production of enhanced mapping of groundwater
 16  6 sources for community, agricultural, and industrial use
 16  7 including alluvial and other sand and gravel aquifers, to
 16  8 enable community, agricultural, and industrial water users to
 16  9 track the status of shallow water table levels and both shallow
 16 10 and deep groundwater aquifers, and to provide an early warning
 16 11 system regarding water supply problems.
 16 12    c.  The provision of technical assistance for drought and
 16 13 water conservation planning for community and other water
 16 14 supply systems.
 16 15    (1)  The department shall obtain short=term and long=term
 16 16 water conservation plans for the ten=year period beginning
 16 17 July 1, 2018, from all permitted users, excluding storage
 16 18 allocations.  The department shall require regular periodic
 16 19 updating of such plans.
 16 20    (2)  The department shall collaborate with other state
 16 21 agencies and appropriate statewide professional organizations.
 16 22 Collaboration shall include contracting for services with
 16 23 statewide professional organizations if deemed appropriate by
 16 24 the department.
 16 25    d.  The installation of a network of hydrologic monitoring
 16 26 stations capable of collecting weather data, multi=level soil
 16 27 moisture data, and shallow groundwater level information.
 16 28 The network shall be developed by the Iowa flood center and
 16 29 integrated into an internet=based hydrologic information
 16 30 system.  The Iowa flood center shall select the sites and
 16 31 deploy the instruments in coordination with Iowa state
 16 32 university of science and technology.
 16 33    e.  The maintenance of a network of hydrologic monitoring
 16 34 stations and for the maintenance of an electronic system for
 16 35 making the information from that system available in real
 17  1 time. The Iowa flood center shall maintain the database and
 17  2 the instruments.
 17  3    2.  The department shall prepare and submit a report to
 17  4 the governor and general assembly prior to January 1 of each
 17  5 year.  The report shall provide a summary of the department's
 17  6 activities during the past year and its short=term and
 17  7 long=term statewide and regional assessments, prioritization,
 17  8 and planning processes, including a short=term interim program
 17  9 and a long=term comprehensive program.
 17 10    Sec. 34.  NEW SECTION.  466B.27  Water monitoring ====
 17 11 appropriation.
 17 12    There is appropriated from the general fund of the state
 17 13 to the department of natural resources, for the fiscal year
 17 14 beginning July 1, 2018, and for each subsequent fiscal year,
 17 15 the sum of one million thirty=five thousand dollars to support
 17 16 the water monitoring program created in section 466B.26.
 17 17                          DIVISION VII
 17 18         CONFINEMENT FEEDING OPERATIONS ==== MASTER MATRIX
 17 19    Sec. 35.  Section 459.304, subsection 3, paragraph b, Code
 17 20 2018, is amended to read as follows:
 17 21    b.  The board must conduct an evaluation of the application
 17 22 using the master matrix as provided in section 459.305.  The
 17 23 board shall compile and analyze the results of the comments in
 17 24 order to complete its evaluation and make a recommendation.
 17 25  The board's recommendation may be based on the master matrix
 17 26 or may be based on comments under as described in this section
 17 27 regardless of the results of the master matrix.
 17 28    Sec. 36.  Section 459.305, subsection 2, Code 2018, is
 17 29 amended to read as follows:
 17 30    2.  a.  The master matrix shall include criteria valuing
 17 31 environmental and community impacts for use by county boards
 17 32 of supervisors and the department. The master matrix shall
 17 33 include definite point selections for all criteria provided in
 17 34 the master matrix. The master matrix shall provide only for
 17 35 scoring of positive points and shall not provide for deduction
 18  1 of adding and deducting points. The master matrix shall
 18  2 provide for a minimum threshold score required to receive a
 18  3 satisfactory rating. The master matrix shall be structured to
 18  4 ensure that it feasibly provides for a satisfactory rating.
 18  5    b.  Criteria The master matrix shall include criteria
 18  6  valuing environmental impacts which shall account for animal
 18  7 agriculture's relationship to quality of the environment and
 18  8 the conservation of natural resources, and may include factors
 18  9 that refer to all of the following:
 18 10    a.  (1)  Topography.
 18 11    b.  (2)  Surface water drainage characteristics.
 18 12    c.  (3)  The suitability of the soils and the hydrology or
 18 13 hydrogeology of the site.
 18 14    d.  (4)  The proximity to public use areas and critical
 18 15 public areas.
 18 16    e.  (5)  The proximity to water sources, including
 18 17 high=quality water resources.
 18 18    c.  The master matrix shall include criteria that provide for
 18 19 the deduction of points, including but not limited to all of
 18 20 the following:
 18 21    (1)  A substantial threat that manure originating from the
 18 22 confinement feeding operation will impair the watershed where
 18 23 the confinement feeding operation is located.
 18 24    (2)  The failure of the owner of the confinement feeding
 18 25 operation to file or comply with a water quality improvement
 18 26 plan as required by the department.
 18 27    (3)  The close proximity of an existing or proposed
 18 28 confinement feeding operation structure to a drinking water
 18 29 source used for human consumption, including a well or surface
 18 30 water intake.
 18 31    (4)  The relatively high number of existing confinement
 18 32 feeding operations existing in the watershed, including
 18 33 qualified confinement feeding operations.
 18 34    (5)  The lack of community support for the application's
 18 35 approval which may be based on the board analysis of the
 19  1 results of the comments received by the board pursuant to
 19  2 section 459.304.
 19  3    Sec. 37.  APPLICABILITY ==== PENDING APPLICATIONS.  The
 19  4 amendments to sections 459.304 and 459.305 in this division
 19  5 of this Act shall not apply to an application to construct,
 19  6 including expand, a confinement feeding operation structure
 19  7 as provided in section 459.303 that is pending approval
 19  8 or disapproval by the department immediately prior to the
 19  9 effective date of this division of this Act.
 19 10    Sec. 38.  EFFECTIVE DATE.  This division of this Act, being
 19 11 deemed of immediate importance, takes effect upon enactment.
 19 12                           EXPLANATION
 19 13 The inclusion of this explanation does not constitute agreement with
 19 14 the explanation's substance by the members of the general assembly.
 19 15    GENERAL.  This bill amends a number of provisions relating
 19 16 to agriculture and natural resources, including funding
 19 17 sources; and programs, projects, and practices (sustainable
 19 18 water initiatives) used to advance an Iowa water policy
 19 19 (policy) and the regulation of confinement feeding operations.
 19 20 The provisions affect a  number of agencies and political
 19 21 subdivisions, including the department of agriculture and land
 19 22 stewardship (DALS), the department of natural resources (DNR),
 19 23 the department of homeland security and emergency management
 19 24 (HSEMD), watershed management authorities (authorities), the
 19 25 Leopold center for sustainable agriculture (Leopold center),
 19 26 and the Iowa flood center (flood center).  The bill also refers
 19 27 to the Iowa water center, a federally funded entity housed
 19 28 within Iowa state university of science and technology. The
 19 29 bill creates an Iowa water commission (commission) within DNR.
 19 30    DIVISION I ==== NATURAL RESOURCES AND OUTDOOR RECREATION ACT
 19 31 ==== INCREASE IN SALES AND USE TAX.  The bill increases from
 19 32 6 percent to 6.375 percent the state sales tax rate and the
 19 33 state use tax rate, and provides for the transfer of sales tax
 19 34 revenues to the natural resources and outdoor recreation trust
 19 35 fund (trust fund).  The bill also amends the transfer of use
 20  1 tax revenues to the secure an advanced vision for education
 20  2 fund (SAVE) in Code section 423F.2 from 1/6th (approximately
 20  3 16.66 percent) of the revenues to 15.6863 percent of the
 20  4 revenues to ensure that SAVE receives approximately the same
 20  5 proportion of the total use tax revenue as it did prior to the
 20  6 use tax rate increase provided in the bill.
 20  7    CONSTITUTIONAL AMENDMENT.  The bill relates to state sales
 20  8 and use taxes and to an amendment to the Iowa Constitution
 20  9 ratified on November 2, 2010, which created the trust fund
 20 10 and dedicated a portion of state revenues to the trust fund
 20 11 for the purposes of protecting and enhancing water quality
 20 12 and natural areas in the state including parks, trails, and
 20 13 fish and wildlife habitat, and conserving agricultural soils
 20 14 in the state (Article VII, section 10).  The trust fund and
 20 15 appropriations from the trust fund are codified in Code chapter
 20 16 461.  Pursuant to the amendment, the amount credited to the
 20 17 trust fund will be equal to the amount generated by an increase
 20 18 in the state sales tax rate occurring after the effective
 20 19 date of the constitutional amendment, but shall not exceed
 20 20 the amount that a state sales tax rate of 0.375 percent would
 20 21 generate.  The state sales tax rate has not been increased
 20 22 since the effective date of the constitutional amendment, so no
 20 23 amounts have been credited to the fund.
 20 24    EFFECTIVE DATE.  This division of the bill would take effect
 20 25 January 1, 2019.
 20 26    DIVISION II ==== LEOPOLD CENTER ==== STANDING LIMITED
 20 27 APPROPRIATION.  The bill appropriates moneys from the general
 20 28 fund to the Leopold center for each fiscal year beginning July
 20 29 1, 2018.
 20 30    DIVISION III ==== FLOOD CENTER ==== STANDING LIMITED
 20 31 APPROPRIATION.  The bill appropriates moneys from the general
 20 32 fund to the flood center for each fiscal year beginning July
 20 33 1, 2018.
 20 34    DIVISION IV ==== FLOOD MITIGATION ==== STANDING LIMITED
 20 35 APPROPRIATION.  The bill appropriates moneys from the general
 21  1 fund to the HSEMD for deposit in the Iowa flood mitigation fund
 21  2 for each fiscal year beginning July 1, 2018.
 21  3    DIVISION V ==== IOWA WATER POLICY ACT ==== GENERAL.  The bill
 21  4 provides that it is this state's policy to advance water
 21  5 sustainability.  The policy is divided between two categories:
 21  6 (1) water quality and (2) water management.  The water quality
 21  7 category states the importance of preserving, restoring, and
 21  8 enhancing surface water and groundwater (water resources).  The
 21  9 bill provides a schedule of objectives for the reduction of
 21 10 nutrients (nitrogen and phosphorus) in this state's surface
 21 11 waters based on July 1 through June 30 fiscal years: (1) 2018
 21 12 through 2024, 20 percent, (2)  2024 through 2028, 32 percent,
 21 13 and (3) 2028 through 2033, 45 percent.  The water management
 21 14 category states the importance of preparing for and confronting
 21 15 the immediate and prolonged consequences to property caused by
 21 16 a flood or drought conditions.
 21 17    IOWA WATER POLICY ACT ==== COMMISSION.  The commission
 21 18 consists of members appointed by the governor who have
 21 19 expertise and experience in areas of hydrology, engineering,
 21 20 agriculture, soil conservation and water quality, environmental
 21 21 sciences, public health, and state or local policy.  For
 21 22 administrative purposes, the commission is part of DNR but may
 21 23 seek staffing assistance from DALS and HSEMD.  It must also
 21 24 cooperate with the Leopold center, flood center, and Iowa water
 21 25 center.  The commission is required to establish a long=range
 21 26 comprehensive state water plan for each category and which
 21 27 accounts for factors and trends that are projected to impact
 21 28 water resources, including its uses. The commission must also
 21 29 prepare and submit annual updates to the plan.  It must include
 21 30 an assessment regarding the state's progress in achieving
 21 31 objectives, goals, and benchmarks; an evaluation of revenue
 21 32 used to support initiatives; a list of locations requiring
 21 33 immediate attention to comply with water quality objectives,
 21 34 goals, and benchmarks; research activities; an evaluation of
 21 35 sustainable water initiatives; a list of initiatives financed
 22  1 or to be financed by the commission; and recommendations
 22  2 regarding the revision of legal provisions or policies.
 22  3    IOWA WATER POLICY ACT ==== AUTHORITIES.  The bill authorizes
 22  4 the commission to allocate moneys to support administrative
 22  5 costs incurred by eligible authorities.  The bill also
 22  6 establishes a competitive grant program to finance initiatives.
 22  7 The bill appropriates moneys from the general fund to the
 22  8 commission for each fiscal year beginning July 1, 2018.
 22  9    DIVISION VI ==== WATER MONITORING PROGRAM.  The bill
 22 10 requires DNR to administer a water monitoring program in
 22 11 cooperation with the flood center, the commission, and the
 22 12 Iowa water center.  Under the program, the department and
 22 13 participating authorities must measure water levels in existing
 22 14 aquifer monitoring well systems, produce enhanced mapping
 22 15 of groundwater sources,  provide technical assistance for
 22 16 drought and water conservation planning, obtain short=term
 22 17 and long=term water conservation plans, and provide for the
 22 18 installation of a network of hydrologic monitoring stations
 22 19 capable of collecting relevant data.  DNR must prepare and
 22 20 submit an annual report to the governor and general assembly
 22 21 summarizing DNR's activities, assessments, and planning
 22 22 processes.
 22 23    DIVISION VII ==== ANIMAL AGRICULTURE COMPLIANCE ACT ====
 22 24 GENERAL.  The bill amends the "Animal Agriculture Compliance
 22 25 Act" (Code chapter 459) which generally regulates confinement
 22 26 feeding operations (operations) including associated
 22 27 confinement feeding operation structures (structures) by
 22 28 DNR.  The bill amends provisions requiring that an application
 22 29 to construct or expand a structure must be evaluated by a
 22 30 participating board of supervisors in the county where the
 22 31 structure is to be located. The evaluation process includes
 22 32 the scoring of criteria that is part of a master matrix
 22 33 (matrix). The bill revises scoring procedures and the types of
 22 34 criteria that must be included in the matrix.
 22 35    ANIMAL AGRICULTURE COMPLIANCE ACT ==== MATRIX.  The bill
 23  1 provides that DNR is required to provide criteria with
 23  2 deductible points based on a number of factors including
 23  3 a substantial threat to the watershed, the failure of the
 23  4 owner of the operation to file a water quality improvement
 23  5 plan as required by DNR, the close proximity of a structure
 23  6 to a drinking water source, the relatively higher number
 23  7 of operations existing in the same watershed, and the lack
 23  8 of community support for the application as evidenced from
 23  9 comments made to a board during a public hearing.
 23 10    ANIMAL AGRICULTURE COMPLIANCE ACT ==== APPLICABILITY.  The
 23 11 bill's provisions do not apply to an application that is
 23 12 pending approval or disapproval by DNR immediately prior to the
 23 13 effective date of the division of the bill.
 23 14    ANIMAL AGRICULTURE COMPLIANCE ACT ==== EFFECTIVE DATE.  The
 23 15 division of the bill would take effect upon enactment.
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