Bill Text: IA HF2431 | 2021-2022 | 89th General Assembly | Enrolled
Bill Title: A bill for an act relating to the regulation of home-based businesses, including food establishments and home food processing establishments, and providing civil penalties. (Formerly HF 2005.) Effective date: 07/01/2022.
Spectrum: Committee Bill
Status: (Passed) 2022-06-14 - Signed by Governor. H.J. 944. [HF2431 Detail]
Download: Iowa-2021-HF2431-Enrolled.html
House
File
2431
-
Enrolled
House
File
2431
AN
ACT
RELATING
TO
THE
REGULATION
OF
HOME-BASED
BUSINESSES,
INCLUDING
FOOD
ESTABLISHMENTS
AND
HOME
FOOD
PROCESSING
ESTABLISHMENTS,
AND
PROVIDING
CIVIL
PENALTIES.
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
Section
1.
Section
10A.104,
subsection
11,
Code
2022,
is
amended
to
read
as
follows:
11.
Administer
inspections
and
licensing
of
hotels
and
home
bakeries
food
processing
establishments
.
Sec.
2.
Section
137D.1,
Code
2022,
is
amended
to
read
as
follows:
137D.1
Definitions.
As
used
in
this
chapter
,
unless
the
context
otherwise
requires:
House
File
2431,
p.
2
1.
“Food”
means
any
raw,
cooked,
or
processed
edible
substance,
ice,
beverage,
or
ingredient
used
or
intended
for
use
or
sale
in
whole
or
in
part
for
human
consumption.
2.
“Department”
means
the
department
of
inspections
and
appeals.
1.
“Department”
means
the
department
of
inspections
and
appeals.
2.
“Food”
means
any
raw,
cooked,
or
processed
edible
substance,
ice,
beverage,
or
ingredient
used
or
intended
for
use
or
sale
in
whole
or
in
part
for
human
consumption.
3.
“Home
bakery
food
processing
establishment
”
means
a
business
on
the
premises
of
a
residence
in
which
prepared
homemade
food
is
created
items
are
produced
for
sale
or
resale,
for
consumption
off
the
premises,
if
the
business
has
gross
annual
sales
of
prepared
food
of
less
than
thirty-five
fifty
thousand
dollars.
However,
“home
bakery
food
processing
establishment
”
does
not
include
a
residence
in
which
food
is
prepared
to
be
used
or
sold
by
churches,
fraternal
societies,
charitable
organizations,
or
civic
organizations.
4.
“Prepared
food”
means
soft
pies,
bakery
products
with
a
custard
or
cream
filling,
or
baked
goods
that
are
a
time/temperature
control
for
safety
food.
“Prepared
food”
does
not
include
baked
goods
that
are
not
a
time/temperature
control
for
safety
food,
including
but
not
limited
to
breads,
fruit
pies,
cakes,
or
other
pastries
that
are
not
a
time/temperature
control
for
safety
food.
“Homemade
food
item”
means
a
food
that
is
produced
and,
if
packaged,
packaged
at
a
home
food
processing
establishment.
“Homemade
food
item”
includes
food
that
is
not
time/temperature
control
for
safety
food,
but
does
not
include
such
food
if
produced
and
sold
under
section
137F.20.
“Homemade
food
item”
does
not
include
unpasteurized
fruit
or
vegetable
juice,
raw
sprout
seeds,
foods
containing
game
animals,
fish
or
shellfish,
alcoholic
beverages,
bottled
water,
packaged
ice,
consumable
hemp
products,
food
that
will
be
further
processed
by
a
food
processing
plant,
time/temperature
control
for
safety
food
packaged
using
a
reduced
oxygen
packaging
method,
milk
or
milk
products
regulated
under
chapter
192,
and
meat,
meat
food
products,
poultry,
or
poultry
products
regulated
under
chapter
189A,
House
File
2431,
p.
3
except
for
any
of
the
following
products
when
sold
directly
to
the
end
consumer:
a.
Poultry,
poultry
byproduct,
or
poultry
food
product
if
the
producer
raised
the
poultry
pursuant
to
the
exemption
set
forth
in
9
C.F.R.
§381.10(c)(1)
limiting
the
producer
to
slaughtering
not
more
than
one
thousand
poultry
during
the
calendar
year.
b.
Poultry,
poultry
byproduct,
or
poultry
food
product
if
the
poultry
is
from
an
inspected
source
exempted
pursuant
to
9
C.F.R.
§381.10(d).
c.
Meat,
meat
byproduct,
or
meat
food
product
if
the
meat
is
from
an
inspected
source
exempted
pursuant
to
9
C.F.R.
§303.1(d).
5.
“Produce”
,
with
respect
to
preparing
homemade
food
items,
means
to
prepare
a
food
item
by
cooking,
baking,
drying,
mixing,
cutting,
fermenting,
preserving,
freezing,
dehydrating,
growing,
raising,
or
other
process.
“Produce”
does
not
include
the
preparation
methods
of
low-acid
canning,
low-acid
fermentation,
acidification,
curing,
and
smoking
for
preservation
rather
than
flavor
enhancement.
5.
6.
“Time/temperature
control
for
safety
food”
means
a
food
that
requires
time
and
temperature
controls
for
safety
to
limit
pathogenic
microorganism
growth
or
toxin
formation.
Sec.
3.
Section
137D.2,
Code
2022,
is
amended
to
read
as
follows:
137D.2
Licenses
and
inspections.
1.
A
person
shall
not
open
or
operate
a
home
bakery
food
processing
establishment
until
a
license
has
been
obtained
from
the
department
of
inspections
and
appeals
.
The
department
shall
collect
a
fee
of
fifty
dollars
for
a
license.
After
collection,
the
fees
shall
be
deposited
in
the
general
fund
of
a
special
fund
in
the
state
treasury
.
Moneys
in
the
fund
are
appropriated
to
the
department
for
the
administration
of
this
chapter.
A
license
shall
expire
one
year
from
date
of
issue.
A
license
is
renewable.
2.
A
person
shall
not
sell
or
distribute
from
a
home
bakery
food
processing
establishment
if
the
home
bakery
food
processing
establishment
is
unlicensed,
the
license
of
the
home
bakery
food
processing
establishment
is
suspended,
or
House
File
2431,
p.
4
the
food
fails
to
meet
standards
adopted
for
such
food
by
the
department.
3.
An
application
for
a
license
under
this
chapter
shall
be
made
upon
a
form
furnished
by
the
department
and
shall
contain
the
items
required
by
it
the
department
according
to
rules
adopted
by
the
department.
4.
The
department
shall
regulate,
license,
and
inspect
home
bakeries
according
to
standards
adopted
by
rule
food
processing
establishments
in
a
manner
that
is
consistent
with
this
chapter
.
5.
The
department
shall
provide
for
the
periodic
inspection
of
a
home
bakery
food
processing
establishment
.
The
inspector
may
enter
the
home
bakery
food
processing
establishment
at
any
reasonable
hour
to
make
the
inspection.
The
department
shall
inspect
only
those
areas
related
to
preparing
food
for
sale.
6.
The
department
shall
regulate
and
may
inspect
food
prepared
at
a
home
bakery
according
to
standards
adopted
by
rule
food
processing
establishment
in
a
manner
that
is
consistent
with
this
chapter
.
The
inspection
may
occur
at
any
place
where
the
prepared
food
a
homemade
food
item
is
created,
transported,
or
stored
for
sale
or
resale.
7.
A
home
food
processing
establishment
shall
affix
or
label
a
homemade
food
item
with
all
of
the
following
information:
a.
Information
to
identify
the
name
of
the
home
food
processing
establishment.
b.
The
common
name
of
the
food.
c.
The
ingredients
of
the
homemade
food
item
in
descending
order
of
predominance.
d.
The
net
quantity
of
contents.
e.
For
refrigerated
time/temperature
control
for
safety
foods,
an
expiration
date
based
on
food
safety.
f.
The
following
statement:
“This
product
was
produced
at
a
home
food
processing
establishment.”
If
the
homemade
food
item
contains
one
or
more
major
food
allergens,
an
additional
allergen
statement
must
be
included
on
the
label
identifying
each
major
allergen
contained
in
the
food
by
the
common
name
of
the
allergen.
8.
The
department
may
adopt
rules
under
chapter
17A
to
administer
this
chapter.
House
File
2431,
p.
5
Sec.
4.
Section
137D.3,
Code
2022,
is
amended
to
read
as
follows:
137D.3
Penalty.
A
person
who
violates
a
provision
of
this
chapter
,
including
a
standard
adopted
by
departmental
rule,
relating
to
home
bakeries
food
processing
establishments
or
prepared
foods
created
homemade
food
items
produced
in
a
home
bakery,
is
guilty
of
a
simple
misdemeanor
food
processing
establishment
shall
be
subject
to
a
civil
penalty
in
the
amount
of
one
hundred
dollars
per
violation,
to
be
collected
by
the
department
.
Moneys
collected
from
civil
penalties
shall
be
deposited
in
the
special
fund
referred
to
in
section
137D.2.
Each
day
that
the
violation
continues
constitutes
a
separate
offense
violation
.
Sec.
5.
Section
137D.4,
Code
2022,
is
amended
to
read
as
follows:
137D.4
Injunction.
A
person
operating
a
home
bakery
food
processing
establishment
or
selling
prepared
foods
homemade
food
items
created
at
a
home
bakery
food
processing
establishment
in
violation
of
a
provision
of
this
chapter
may
be
restrained
by
injunction
from
further
operating
that
home
bakery
food
processing
establishment
.
If
an
imminent
health
hazard
exists,
the
home
bakery
food
processing
establishment
must
cease
operation
and
notify
the
department
.
Operation
shall
not
be
resumed
until
authorized
by
the
department.
Sec.
6.
Section
137D.6,
Code
2022,
is
amended
to
read
as
follows:
137D.6
Conflicts
with
state
building
code.
Provisions
of
this
chapter
,
including
standards
for
home
bakeries
food
processing
establishments
adopted
by
the
department,
in
conflict
with
the
state
building
code,
as
adopted
pursuant
to
section
103A.7
,
shall
not
apply
where
the
state
building
code
has
been
adopted
or
when
the
state
building
code
applies
throughout
the
state.
Sec.
7.
Section
137D.8,
Code
2022,
is
amended
to
read
as
follows:
137D.8
Suspension
or
revocation
of
licenses.
The
department
may
suspend
or
revoke
a
license
issued
to
a
House
File
2431,
p.
6
person
under
this
chapter
if
any
of
the
following
occurs:
1.
The
person’s
home
bakery
food
processing
establishment
does
not
conform
to
a
provision
of
this
chapter
or
a
rule
adopted
pursuant
to
this
chapter
.
2.
The
person
violates
a
provision
of
this
chapter
or
a
rule
adopted
pursuant
to
this
chapter
.
3.
The
person
conducts
an
activity
constituting
a
criminal
offense
in
the
home
bakery
food
processing
establishment
and
is
convicted
of
a
serious
misdemeanor
or
a
more
serious
offense
as
a
result.
Sec.
8.
Section
137F.1,
Code
2022,
is
amended
by
adding
the
following
new
subsection:
NEW
SUBSECTION
.
2A.
“Cottage
food”
means
the
production
and
sale
of
food
produced
at
a
private
residence
other
than
time/temperature
control
for
safety
food
as
provided
in
section
137F.20
and
food
for
resale
that
is
not
time/temperature
control
for
safety
food.
“Cottage
food”
includes
home-processed
and
home-canned
pickles,
vegetables,
or
fruits
that
have
a
finished
equilibrium
pH
value
of
four
and
six-tenths
or
lower
or
a
water
activity
value
of
eighty-five
hundredths
or
less
for
which
each
batch
has
been
measured
by
a
pH
meter
or
a
water
activity
meter
and
each
container
that
is
sold
or
offered
for
sale
contains
the
date
the
food
was
processed
and
canned.
“Cottage
food”
does
not
include
any
of
the
following:
a.
Milk
or
milk
products
regulated
under
chapter
192.
b.
Meat,
meat
food
products,
poultry,
or
poultry
food
products
regulated
under
chapter
189A.
Sec.
9.
Section
137F.1,
subsection
8,
paragraphs
d,
e,
and
f,
Code
2022,
are
amended
to
read
as
follows:
d.
Premises
which
that
are
a
home
bakery
pursuant
to
food
processing
establishment
as
defined
in
chapter
137D
.
e.
Premises
where
a
person
operates
a
farmers
market,
if
unpackaged
time/temperature
control
for
safety
foods
are
not
sold
or
distributed
from
the
premises.
f.
Premises
of
a
residence
in
which
food
that
is
not
a
time/temperature
control
for
safety
food
is
sold
for
consumption
off
the
premises
to
a
consumer
customer,
if
the
food
is
labeled
to
identify
the
name
and
address
of
the
person
preparing
the
food
and
the
common
name
of
the
food
is
produced
House
File
2431,
p.
7
pursuant
to
section
137F.20
.
Sec.
10.
NEW
SECTION
.
137F.20
Cottage
food
——
requirements.
1.
Cottage
food
is
exempt
from
all
licensing,
permitting,
inspection,
packaging,
and
labeling
laws
of
the
state
if
the
food
is
sold
and
delivered
by
the
producer
directly
to
the
consumer,
or
delivered
by
mail
or
an
agent
of
the
producer
such
as
an
employee.
A
producer
may
sell
food
to
the
consumer
in
person,
remotely,
by
telephone,
by
internet,
or
by
an
agent
of
the
producer.
2.
Cottage
food
sold
pursuant
to
this
section
shall
be
affixed
or
labeled
with
all
of
the
following
information:
a.
Information
to
identify
the
name
and
address,
phone
number,
or
electronic
mail
address
of
the
person
preparing
the
food.
b.
The
common
name
of
the
food.
c.
The
ingredients
of
the
cottage
food
in
descending
order
of
predominance.
d.
The
following
statement:
“This
product
was
produced
at
a
residential
property
that
is
exempt
from
state
licensing
and
inspection.”
If
the
cottage
food
contains
one
or
more
major
food
allergens,
an
additional
allergen
statement
must
be
included
on
the
label
identifying
each
major
allergen
contained
in
the
food
by
the
common
name
of
the
allergen.
e.
If
the
food
is
home-processed
and
home-canned
pickles,
vegetables,
or
fruits
permitted
under
this
section,
the
date
that
the
food
was
processed
and
canned.
3.
Compliance
with
the
cottage
food
exemption
provided
in
this
section
does
not
represent
compliance
with
federal
law.
Sec.
11.
Section
210.23,
Code
2022,
is
amended
to
read
as
follows:
210.23
Exception.
Any
person
engaged
in
operating
a
home
baking
food
processing
establishment
is
exempt
from
the
provisions
of
sections
210.19
through
210.22
.
Sec.
12.
NEW
SECTION
.
335.35
Home-based
businesses.
1.
For
purposes
of
this
section:
a.
“Goods”
means
any
merchandise,
equipment,
products,
supplies,
or
materials.
b.
“Home-based
business”
means
any
business
for
the
House
File
2431,
p.
8
manufacture,
provision,
or
sale
of
goods
or
services
that
is
owned
and
operated
by
the
owner
or
tenant
of
the
residential
property
on
which
the
business
operates.
c.
“No-impact
home-based
business”
means
a
home-based
business
for
which
all
of
the
following
apply:
(1)
The
total
number
of
on-site
employees
and
clients
does
not
exceed
the
county
occupancy
limit
for
the
residential
property.
(2)
The
business
activities
are
characterized
by
all
of
the
following:
(a)
The
activities
are
limited
to
the
sale
of
lawful
goods
and
services.
(b)
The
activities
do
not
generate
on-street
parking
or
a
substantial
increase
in
traffic
through
the
residential
area.
(c)
The
activities
occur
inside
the
residential
dwelling
or
in
the
yard
of
the
residential
property.
(d)
The
activities
are
not
visible
from
an
adjacent
property
or
street.
2.
The
use
of
a
residential
property
for
a
home-based
business
is
a
permitted
use.
However,
this
subsection
does
not
supersede
any
of
the
following:
a.
A
deed
restriction,
covenant,
or
agreement
restricting
the
use
of
land.
b.
A
master
deed,
bylaw,
or
other
document
applicable
to
a
common
interest
ownership
community.
3.
A
county
shall
not
prohibit
a
no-impact
home-based
business
or
otherwise
require
a
person
to
apply,
register,
or
obtain
any
permit,
license,
variance,
or
other
type
of
prior
approval
from
the
county
to
operate
a
no-impact
home-based
business.
4.
A
county
may
establish
reasonable
regulations
on
a
home-based
business
if
the
regulations
are
narrowly
tailored
for
any
of
the
following
purposes:
a.
The
protection
of
the
public
health
and
safety,
including
rules
and
regulations
related
to
fire
or
building
codes,
health
and
sanitation,
transportation
or
traffic
control,
solid
or
hazardous
waste,
pollution,
or
noise
control.
b.
Ensuring
that
the
business
is
all
of
the
following:
(1)
Compatible
with
residential
use
of
the
property
and
House
File
2431,
p.
9
surrounding
residential
use.
(2)
Secondary
to
the
use
of
the
property
as
a
residence.
(3)
Complying
with
state
and
federal
laws
and
paying
applicable
taxes.
c.
Limiting
or
prohibiting
the
operation
of
a
home-based
business
for
the
purposes
of
selling
alcoholic
beverages
or
illegal
drugs,
operating
or
maintaining
a
structured
sober
living
home,
creating
or
selling
pornography,
providing
nude
or
topless
dancing,
or
operating
any
other
adult-oriented
business.
5.
A
county
shall
not
require
as
a
condition
of
operating
a
home-based
business
that
the
property
be
rezoned
for
commercial
use
or
that
the
business
owner
install
or
equip
fire
sprinklers
in
a
single-family
detached
residential
dwelling
or
any
residential
dwelling
with
not
more
than
two
dwelling
units.
6.
In
any
proceeding
alleging
that
a
county
regulation
does
not
comply
with
this
section,
the
county
that
enacted
the
regulation
must
establish
by
clear
and
convincing
evidence
that
the
regulation
complies
with
this
section.
Sec.
13.
NEW
SECTION
.
414.33
Home-based
businesses.
1.
For
purposes
of
this
section:
a.
“Goods”
means
any
merchandise,
equipment,
products,
supplies,
or
materials.
b.
“Home-based
business”
means
any
business
for
the
manufacture,
provision,
or
sale
of
goods
or
services
that
is
owned
and
operated
by
the
owner
or
tenant
of
the
residential
property
on
which
the
business
operates.
c.
“No-impact
home-based
business”
means
a
home-based
business
for
which
all
of
the
following
apply:
(1)
The
total
number
of
on-site
employees
and
clients
does
not
exceed
the
city
occupancy
limit
for
the
residential
property.
(2)
The
business
activities
are
characterized
by
all
of
the
following:
(a)
The
activities
are
limited
to
the
sale
of
lawful
goods
and
services.
(b)
The
activities
do
not
generate
on-street
parking
or
a
substantial
increase
in
traffic
through
the
residential
area.
(c)
The
activities
occur
inside
the
residential
dwelling
or
House
File
2431,
p.
10
in
the
yard
of
the
residential
property.
(d)
The
activities
are
not
visible
from
an
adjacent
property
or
street.
2.
The
use
of
a
residential
property
for
a
home-based
business
is
a
permitted
use.
However,
this
subsection
does
not
supersede
any
of
the
following:
a.
A
deed
restriction,
covenant,
or
agreement
restricting
the
use
of
land.
b.
A
master
deed,
bylaw,
or
other
document
applicable
to
a
common
interest
ownership
community.
3.
A
city
shall
not
prohibit
a
no-impact
home-based
business
or
otherwise
require
a
person
to
apply,
register,
or
obtain
any
permit,
license,
variance,
or
other
type
of
prior
approval
from
the
city
to
operate
a
no-impact
home-based
business.
4.
A
city
may
establish
reasonable
regulations
on
a
home-based
business
if
the
regulations
are
narrowly
tailored
for
any
of
the
following
purposes:
a.
The
protection
of
the
public
health
and
safety,
including
rules
and
regulations
related
to
fire
or
building
codes,
health
and
sanitation,
transportation
or
traffic
control,
solid
or
hazardous
waste,
pollution,
or
noise
control.
b.
Ensuring
that
the
business
is
all
of
the
following:
(1)
Compatible
with
residential
use
of
the
property
and
surrounding
residential
use.
(2)
Secondary
to
the
use
of
the
property
as
a
residence.
(3)
Complying
with
state
and
federal
laws
and
paying
applicable
taxes.
c.
Limiting
or
prohibiting
the
operation
of
a
home-based
business
for
the
purposes
of
selling
alcoholic
beverages
or
illegal
drugs,
operating
or
maintaining
a
structured
sober
living
home,
creating
or
selling
pornography,
providing
nude
or
topless
dancing,
or
operating
any
other
adult-oriented
business.
5.
A
city
shall
not
require
as
a
condition
of
operating
a
home-based
business
that
the
property
be
rezoned
for
commercial
use
or
that
the
business
owner
install
or
equip
fire
sprinklers
in
a
single-family
detached
residential
dwelling
or
any
residential
dwelling
with
not
more
than
two
dwelling
units.
6.
In
any
proceeding
alleging
that
a
city
regulation
House
File
2431,
p.
11
does
not
comply
with
this
section,
the
city
that
enacted
the
regulation
must
establish
by
clear
and
convincing
evidence
that
the
regulation
complies
with
this
section.
______________________________
PAT
GRASSLEY
Speaker
of
the
House
______________________________
JAKE
CHAPMAN
President
of
the
Senate
I
hereby
certify
that
this
bill
originated
in
the
House
and
is
known
as
House
File
2431,
Eighty-ninth
General
Assembly.
______________________________
MEGHAN
NELSON
Chief
Clerk
of
the
House
Approved
_______________,
2022
______________________________
KIM
REYNOLDS
Governor