Bill Text: IA HF2465 | 2015-2016 | 86th General Assembly | Introduced
Bill Title: A bill for an act providing for a state assessment for clean water imposed on agricultural commodities, including establishing procedures for referendums to establish, continue, or terminate the state assessment, the transfer of moneys to the department of agriculture and land stewardship, and the appropriation of moneys.
Spectrum: Partisan Bill (Democrat 10-0)
Status: (Introduced - Dead) 2016-04-28 - Sponsors added, Hunter, Lensing, Mascher, Thede, and Winckler. H.J. 782. [HF2465 Detail]
Download: Iowa-2015-HF2465-Introduced.html
House File 2465 - Introduced HOUSE FILE BY ISENHART and ANDERSON A BILL FOR 1 An Act providing for a state assessment for clean water 2 imposed on agricultural commodities, including establishing 3 procedures for referendums to establish, continue, or 4 terminate the state assessment, the transfer of moneys to 5 the department of agriculture and land stewardship, and the 6 appropriation of moneys. 7 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 5561YH (8) 86 da/rj PAG LIN 1 1 DIVISION I 1 2 IOWA DAIRY INDUSTRY COMMISSION AND 1 3 IOWA STATE DAIRY ASSOCIATION 1 4 Section 1. Section 179.1, Code 2016, is amended by adding 1 5 the following new subsections: 1 6 NEW SUBSECTION. 01. "Assessment" means an excise tax on the 1 7 sale of milk which may include a state assessment for direct 1 8 use and a state assessment for water. 1 9 NEW SUBSECTION. 2A. "Federal Act" means the Dairy Product 1 10 Stabilization Act of 1983, 7 U.S.C. {4501 et seq. 1 11 NEW SUBSECTION. 3A. "National assessment" means an excise 1 12 tax on the sale of milk imposed pursuant to the federal Act. 1 13 NEW SUBSECTION. 10. "Secretary" means the secretary of 1 14 agriculture. 1 15 Sec. 2. Section 179.1, subsection 2, Code 2016, is amended 1 16 to read as follows: 1 17 2.The term "commission" shall mean"Commission" means the 1 18 Iowa dairy industry commission created in section 179.2. 1 19 Sec. 3. Section 179.2, subsections 4, 5, 6, and 7, Code 1 20 2016, are amended to read as follows: 1 21 4. a. When a national promotional order is established by 1 22 the United States department of agriculture pursuant to the 1 23Dairy Product Stabilization Act of 1983federal Act, collection 1 24 of theexcise taxstate assessment for direct use described in 1 25 section 179.5 shall be suspended for the period in which the 1 26 national order is in effect. The commission shall continue to 1 27 operate thereafter for only the period of time necessary to pay 1 28 refunds and disburse thefundsmoneys remaining in the dairy 1 29 industry fund forthe purposes enumerated inadministering 1 30 this chapter. Upon completion of these acts, the existence of 1 31 theIowa dairy industrycommission shall be suspended. The 1 32 secretary of agriculture shall certify the suspension of the 1 33 commission as of a date certain to theIowa dairy industry1 34 commission and the Iowa state dairy association. When the 1 35 existence of the commission is suspended, the terms of office 2 1 being served by individual commissioners shall terminate. 2 2 b. The establishment of a national promotional order shall 2 3 not affect the imposition of a state assessment for clean water 2 4 established pursuant to section 179.13A. 2 5 5. When the national promotional order expires, the period 2 6 of suspension of theexcise taxstate assessment for direct use 2 7 established in section 179.5 shall terminate and the secretary 2 8of agricultureshall take the steps necessary to collect that 2 9excise taxstate assessment and otherwise fulfill the duties of 2 10 the commission, except that of expendingfundsmoneys collected 2 11 underthe excise taxthat state assessment, until those 2 12 duties can be resumed by the reactivated commission. When the 2 13 national promotional order expires, the period of suspension of 2 14 the commission shall terminate. The secretaryof agriculture2 15 shall call the first meeting of the reactivated commission. 2 16 Upon reactivation, the commission shall reimburse the secretary 2 17of agriculturefor expenses incurred in carrying out the duties 2 18 provided in this subsection. 2 19 6. When the national dairy promotion program expires and 2 20 the suspension of theIowa dairy industrycommission terminates 2 21 pursuant to subsection 5, all first purchasers shall, in a 2 22 manner designed to reflect their proportionate contributions 2 23 to the national dairy promotion program in its most recently 2 24 completed fiscal year, nominate two resident producers for each 2 25 of the sixteen offices of the commission. The secretaryof 2 26 agricultureshall then appoint one nominee from each set of 2 27 two nominees as commissioners of the reactivatedIowa dairy 2 28 industrycommission. The secretaryof agricultureshall 2 29 stagger the terms of the reactivated commission resulting in 2 30 as nearly as possible one third of the commissioners serving 2 31 for one year, one third of the commissioners serving for two 2 32 years, and one third of the commissioners serving for three 2 33 years. After the initial staggering of terms by the secretary, 2 34 commissioners shall be appointed to three=year terms. 2 35 7. The establishment or expiration of a national 3 1 promotional order shall not affect the imposition of a state 3 2 assessment for clean water established pursuant to section 3 3 179.13A. 3 47.8. After the reactivated commission has been formed, 3 5 nominations for commissioners shall be made by first 3 6 purchasers in a manner designed to reflect their proportionate 3 7 contributions to theIowa dairy industrycommission in its most 3 8 recently completed fiscal year. 3 9 Sec. 4. Section 179.3, Code 2016, is amended by adding the 3 10 following new subsection: 3 11 NEW SUBSECTION. 10. To cooperate with the division of soil 3 12 conservation and water quality of the department of agriculture 3 13 and land stewardship in transferring moneys collected from 3 14 the state assessment for clean water to the clean water fund 3 15 created in section 466B.51. 3 16 Sec. 5. Section 179.4, Code 2016, is amended to read as 3 17 follows: 3 18 179.4Expenditure of fundsUse of moneys. 3 19Funds collected throughMoneys collected by the commission 3 20 from theexcise tax are tostate assessment for direct use 3 21 imposed pursuant to section 179.5 shall be used for purposes 3 22 of advertising and promotion, product, process, and nutrition, 3 23 dietetics, and physiology research, nutrition education, public 3 24 relations, research and development, and for other activities 3 25 that contribute to producer efficiency and productivity. 3 26 In addition, the commission shall use thesefundsmoneys 3 27 to maintain existing markets, to make contributions to 3 28 organizations working toward the purposes of this section, 3 29 and to assist in the development of new or enlarged markets 3 30 for milk, both domestic and foreign. The primary purpose for 3 31 use of thesefundsmoneys is to increase consumption of milk. 3 32 The commission may contract for advertising, publicity, sales 3 33 promotion, research, and educational services thecommittee 3 34commission deems appropriate to further the objectives of this 3 35 section. 4 1 Sec. 6. Section 179.5, Code 2016, is amended to read as 4 2 follows: 4 3 179.5 Excise tax ==== administration of moneys ==== 4 4 appropriation. 4 5 1. a. There islevied andimposedan excise taxa state 4 6 assessment for direct use on all producers within the state 4 7 at a rate of three=fourths of one percent of the gross value 4 8 of milk produced in the state and which may be continued by 4 9 special referendum as provided in section 179.13A. 4 10 b. There is imposed a state assessment for clean water on 4 11 all producers within the state at a rate established by the 4 12 commission not to exceed the rate of the state assessment for 4 13 direct use described in paragraph "a", if the state assessment 4 14 for clean water is established or continued pursuant to section 4 15 179.13A. 4 16 2.All taxes levied andThe state assessment for direct use 4 17 and the state assessment for clean water imposed under this 4 18 chapter shall be deducted from the sales price received by the 4 19 producer and shall be collected by the first purchaser, except 4 20 as follows: 4 21 a. If the producer produces milk from cows and sells the 4 22 milk directly to the consumer,the taxeseach state assessment 4 23 shall be remitted by that producer. 4 24 b. If the producer sells milk to a first purchaser outside 4 25 the state,the taxes areeach state assessment is due and 4 26 payable by that producer before the shipment is made, except 4 27 that the commission may make agreements with extra state 4 28 purchasers for the keeping of records and the collection ofthe 4 29 taxeseach state assessment as necessary to secure the payment 4 30 ofthe taxeseach state assessment within the time fixed by 4 31 this chapter. 4 32 3.All taxes levied andThe state assessment for direct use 4 33 and the state assessment for clean water if established and 4 34 imposed under this chapter, and any other contributions made to 4 35 thedairy industrycommission, shall be paid to and collected 5 1 by the commission within thirty days after the end of the month 5 2 during which the milk was marketed. 5 3 4. The commission shall remit moneys collected from 5 4 thetaxesstate assessment for direct use and any other 5 5 contributions obtained by the commission to the treasurer of 5 6 the state each quarter, and at the same time shall render to 5 7 the director of the department of administrative services an 5 8 itemized and verified report showing the source from which 5 9 thetaxesmoneys collected from the state assessment for 5 10 direct use and voluntary contributions were obtained. All 5 11taxesmoneys collected from the state assessment for direct 5 12 use and voluntary contributions received, collected, and 5 13 remitted by the commission shall be placed in a special fund 5 14 by the treasurer of state and the director of the department 5 15 of administrative services, to be known as the "dairy industry 5 16 fund" to be used by theIowa dairy industrycommission for 5 17 the purposes set out in this chapter and to administer and 5 18 enforce the laws relative to this chapter. The department of 5 19 administrative services shall transfer moneys from the fund 5 20 to the commission for deposit into an account established 5 21 by the commission in a qualified financial institution. 5 22 The department shall transfer the moneys as provided in a 5 23 resolution adopted by the commission. However, the department 5 24 is only required to transfer moneys once during each day and 5 25 only during hours when the offices of the state are open. 5 26 Moneys deposited in the fund and transferred to the commission 5 27 as provided in this section are appropriated and shall be used 5 28 for the purpose of carrying out the provisions of this chapter. 5 29 5. The commission may deposit moneys collected from the 5 30 state assessment for clean water in a qualified financial 5 31 institution until transferred to the clean water fund 5 32 created in section 466B.51. During the period when a 5 33 national promotional order is in effect, the Iowa state dairy 5 34 association shall deposit the moneys collected from that 5 35 state assessment for clean water in a qualified financial 6 1 institution until transferred to the clean water fund. If the 6 2 state assessment for clean water is terminated as provided in 6 3 section 179.13A, the remaining moneys collected from that state 6 4 assessment shall be immediately transferred to the clean water 6 5 fund. 6 6 6. The commission may require that the invoice also show the 6 7 total amount of any state assessment for direct use deducted 6 8 from the sales price. If a national assessment is being 6 9 collected, the Iowa state dairy association may require that 6 10 the invoice for the national assessment also show the total 6 11 amount of any national assessment, if permitted by federal law. 6 12 If a state assessment for clean water is collected, the first 6 13 purchaser shall furnish the producer at the time of payment an 6 14 invoice showing the total amount of the state assessment for 6 15 clean water deducted from the sales price. 6 164.7. a. A person from whomthe excise tax provided in 6 17 this chaptera state assessment for direct use is collected 6 18 may, by application filed with the commission within thirty 6 19 days after the collection of thetaxstate assessment, have the 6 20taxstate assessment refunded to that person by the commission. 6 21 b. If a state assessment for direct use is imposed, a person 6 22 from whom a state assessment for clean water is collected 6 23 may file an application for a refund with the commission. 6 24 The application for a refund shall allow the person to elect 6 25 whether the refund is for the state assessment for direct 6 26 use or the state assessment for clean water or both. The 6 27 commission shall not approve an application unless the 6 28 application indicates the election. The commission shall 6 29 forward an approved application for a refund of the state 6 30 assessment to the division of soil conservation and water 6 31 quality for payment. 6 32 c. If a national assessment is imposed and a refund of the 6 33 national assessment is authorized, a person from whom a state 6 34 assessment for clean water is collected may file an application 6 35 for a refund with the Iowa state dairy association. The 7 1 application shall to the extent allowed by federal law allow 7 2 the person to elect whether the refund is for the national 7 3 assessment or the state assessment for clean water or both. 7 4 The association shall forward the approved application for a 7 5 refund of the state assessment for clean water to the division 7 6 of soil conservation and water quality for payment. 7 7 Sec. 7. Section 179.6, Code 2016, is amended to read as 7 8 follows: 7 9 179.6 Records of producers, first purchasers. 7 10 Every producer shipping milk to a first purchaser outside of 7 11 Iowa who is not by agreement with the commission collecting the 7 12taxstate assessment for direct use or the state assessment for 7 13 clean water imposed by this chapter, and every first purchaser 7 14 within the state, and every producer distributing milk directly 7 15 to the consumer, shall keep a complete and accurate record of 7 16 all milk produced or purchased by the person during the period 7 17 for whichan excise tax levya state assessment is imposed 7 18 under this chapter. The records shall be in the form and 7 19 contain the information prescribed by the commission, shall be 7 20 preserved by the person charged with their making for a period 7 21 of two years, and shall be offered or submitted for inspection 7 22 at any time upon written or oral request by the commission or 7 23 its duly authorized agent or employee. 7 24 Sec. 8. Section 179.8, Code 2016, is amended to read as 7 25 follows: 7 26 179.8 Payment of expenses ==== limitation. 7 27 1. No part of the expense incurred by the commission 7 28 shall be paid out of moneys in the state treasury except 7 29 moneys transferred to the commission from the dairy industry 7 30 fund. Moneys transferred from the fund to the commission, as 7 31 provided in section 179.5, shall be used for the payment of 7 32 all salaries, and other expenses necessary, to carry out the 7 33 provisions of this chapter. However, in no event shall the 7 34 total expenses exceed the totaltaxesamount collected from the 7 35 state assessment for direct use collected and transferred from 8 1 the fund to the commission. 8 2 2. No more than five percent of theexcise tax collected 8 3moneys collected from the state assessment for direct use and 8 4 received by the commission pursuant to section 179.5 shall be 8 5 utilized for administrative expenses of the commission. 8 6 Sec. 9. Section 179.9, Code 2016, is amended to read as 8 7 follows: 8 8 179.9 Investigations by commission. 8 9 The commission shall have the power to cause its authorized 8 10 agents to enter upon the premises of any person charged by this 8 11 chapter or by agreement with the commission with the collection 8 12 ofthe excise taxa state assessment for direct use or a state 8 13 assessment for clean water imposed by this chapter, and to 8 14 cause to be examined by any such agent any books, records, 8 15 documents, or other instruments bearing upon the amount of 8 16 moneys from suchtaxstate assessment collected or to be 8 17 collected by such person; provided that the commission has 8 18 reasonable ground to believe that all moneys from thetaxstate 8 19 assessment hereinlevied hasimposed have not been collected, 8 20 or ifit hasthey have not been fully accounted for as herein 8 21 provided. 8 22 Sec. 10. Section 179.10, Code 2016, is amended to read as 8 23 follows: 8 24 179.10 Report. 8 25 The commission shall each year prepare and submit a report 8 26 summarizing the activities of the commission under this chapter 8 27 to the auditor of state and the secretaryof agriculture. The 8 28 report shall show all income, expenses, and other relevant 8 29 information concerningfeesthe state assessment for direct 8 30 use collected and expended under this chapter. The report 8 31 shall also show the collection and transfer of moneys received 8 32 from any state assessment for clean water imposed under this 8 33 chapter. 8 34 Sec. 11. Section 179.13, Code 2016, is amended to read as 8 35 follows: 9 1 179.13ReferendumInitial referendum. 9 2 1. a. At a time designated by the commission within 9 3 eighteen months after termination of the national promotional 9 4 order made pursuant to theDairy Product Stabilization 9 5federal Actof 1983, the commission shall conductaan initial 9 6 referendum under administrative procedures prescribed by the 9 7 department. 9 8 b. Upon signing a statement certifying to the department 9 9 that the person is a bona fide producer as defined in this 9 10 chapter, each producer is entitled to one vote in each initial 9 11 referendum. When the secretary is required to determine the 9 12 approval or disapproval of producers under this section, the 9 13 secretary shall consider the approval or disapproval of a 9 14 cooperative association of producers, engaged in a bona fide 9 15 manner in marketing milk, as the approval or disapproval of the 9 16 producers who are members of or contract with the cooperative 9 17 association of producers. If a cooperative association 9 18 elects to vote on behalf of its members, the cooperative 9 19 association shall provide each producer on whose behalf the 9 20 cooperative association is expressing approval or disapproval 9 21 with a description of the question presented in the initial 9 22 referendum together with a statement of the manner in which 9 23 the cooperative association intends to cast its vote on behalf 9 24 of the membership. The information shall inform the producer 9 25 of procedures to follow to cast an individual ballot if the 9 26 producer chooses to do so within the period of time established 9 27 by the secretary for casting ballots. The notification shall 9 28 be made at least thirty days prior to the initial referendum 9 29 and shall include an official ballot. The ballots shall be 9 30 tabulated by the secretary and the vote of the cooperative 9 31 association shall be adjusted to reflect the individual votes. 9 32 c. The department shall count and tabulate the ballots 9 33 filed during the initial referendum within thirty days of the 9 34 close of the initial referendum. If from the tabulation the 9 35 department determines that a majority of the total number of 10 1 producers voting in the initial referendum favors the proposal, 10 2 theexcise taxstate assessment for direct use provided for in 10 3 this chapter shall be continued. The ballots cast pursuant 10 4 to this section constitute complete and conclusive evidence 10 5 for use in determinations made by the department under this 10 6 chapter. 10 7 2. The secretary may conduct a special referendum at any 10 8 time after theIowa dairy industrycommission is reactivated, 10 9 and shallhold aconduct a special referendumon requestupon 10 10 receiving a petition of a representative group comprising ten 10 11 percent or more of the number of producers eligible to vote, 10 12 to determine whether the producers favor thetermination or10 13 suspension or termination of theexcise taxstate assessment 10 14 for direct use. The secretary shall suspend or terminate 10 15collection oftheexcise tax withinstate assessment for direct 10 16 use not later than six months after the secretary determines 10 17 that suspension or termination of theexcise taxstate 10 18 assessment is favored by a majority of the producers voting 10 19 in the special referendum, and shall suspend or terminate the 10 20excise taxstate assessment in an orderly manner as soon as 10 21 practicable after the determination. 10 22 Sec. 12. NEW SECTION. 179.13A Referendums and special 10 23 questions ==== establishment, increase, or termination of a state 10 24 assessment. 10 25 1. a. If a state assessment for direct use is established, 10 26 and upon receipt of a petition of producers that otherwise 10 27 complies with requirements to conduct an initial referendum 10 28 under section 179.13, subsection 1, the secretary shall conduct 10 29 a special referendum to determine whether to establish a state 10 30 assessment for clean water. 10 31 b. Upon receipt of a petition of producers that otherwise 10 32 complies with requirements to conduct an initial referendum 10 33 under section 179.13, the secretary shall include as part of 10 34 the initial referendum conducted pursuant to section 179.13, 10 35 subsection 1, a separate special question whether to establish 11 1 a state assessment for clean water, if the secretary determines 11 2 the inclusion of the special question is cost=effective or the 11 3 petition demands inclusion. 11 4 c. The secretary shall conduct the special referendum under 11 5 this subsection or include the special question as part of an 11 6 initial or special referendum conducted under section 179.13, 11 7 subsection 1, in consultation with the commission and which 11 8 may be based on the same procedures for conducting an initial 11 9 referendum under section 179.13. 11 10 d. If the secretary determines that the establishment of 11 11 a state assessment for clean water is favored by a majority 11 12 of the producers voting in a special referendum under this 11 13 subsection or in an initial referendum conducted under section 11 14 179.13, subsection 1, that includes a special question as 11 15 provided in paragraph "b", the state assessment shall commence 11 16 on a date determined by the secretary after consultation with 11 17 the commission but not later than six months after the date 11 18 that the special or initial referendum was conducted. 11 19 2. a. If a national assessment is being collected, and upon 11 20 receipt of a petition of producers that otherwise complies with 11 21 requirements to conduct an initial referendum under section 11 22 179.13, subsection 1, the secretary shall conduct a special 11 23 referendum to determine whether to establish a state assessment 11 24 for clean water. 11 25 b. Upon receipt of a petition of producers that otherwise 11 26 complies with requirements to conduct an initial referendum 11 27 under section 179.13, subsection 1, the secretary shall include 11 28 as part of the referendum to establish a national assessment, 11 29 a separate special question whether to establish a state 11 30 assessment for clean water, if the secretary determines the 11 31 inclusion of the special question complies with federal law and 11 32 either is cost=effective or the petition demands inclusion. 11 33 c. The secretary shall conduct the special referendum under 11 34 this subsection or include the special question as part of a 11 35 referendum to establish a national referendum in consultation 12 1 with the Iowa state dairy association and which may be based on 12 2 the same procedures for conducting an initial referendum under 12 3 section 179.13, subsection 1, or a referendum to establish a 12 4 national assessment. 12 5 d. If the secretary determines that the establishment of a 12 6 state assessment for clean water is favored by a majority of 12 7 the producers voting in a special referendum conducted under 12 8 paragraph "a" or a referendum to establish a national assessment 12 9 that includes a special question as provided in paragraph "b", 12 10 the state assessment shall commence on a date determined by 12 11 the secretary after consultation with the Iowa state dairy 12 12 association but not later than six months after the date that 12 13 the special referendum or referendum establishing a national 12 14 assessment was conducted. 12 15 3. a. If the rate of the national assessment has been 12 16 increased, and upon receipt of a petition of producers that 12 17 otherwise complies with requirements to conduct an initial 12 18 referendum under section 179.13, subsection 1, the secretary 12 19 shall conduct a special referendum to determine whether to 12 20 increase the rate of the state assessment for clean water to 12 21 a rate established by the Iowa state dairy association not to 12 22 exceed the rate of the national assessment. 12 23 b. Upon receipt of a petition of producers that otherwise 12 24 complies with requirements to conduct an initial referendum 12 25 under section 179.13, subsection 1, the secretary shall include 12 26 as part of a referendum to increase the rate of the national 12 27 assessment, a separate special question whether to increase 12 28 the rate of the state assessment for clean water at a rate 12 29 established by the Iowa state dairy association not to exceed 12 30 the increase in the national assessment, if the secretary 12 31 determines the inclusion of the special question complies 12 32 with federal law and is either cost=effective or the petition 12 33 demands inclusion. 12 34 c. The secretary shall conduct the special referendum under 12 35 this subsection, or include the special question as part of a 13 1 referendum to increase the national assessment, in consultation 13 2 with the Iowa state dairy association and which may be based on 13 3 the same procedures for conducting an initial referendum under 13 4 section 179.13, subsection 1, or a referendum to increase the 13 5 rate of the national assessment. 13 6 d. If the national assessment is increased, and the 13 7 secretary determines that an increase in the state assessment 13 8 for clean water is favored by a majority of the producers 13 9 voting in a special referendum or referendum to increase 13 10 the rate of the national assessment, the rate of the state 13 11 assessment shall be increased on a date determined by the 13 12 secretary after consultation with the Iowa state dairy 13 13 association but not later than six months after the date that 13 14 the special referendum or referendum establishing a national 13 15 assessment was conducted. If a special referendum or special 13 16 question to increase the rate of the state assessment for clean 13 17 water does not pass, the result of the vote shall not affect 13 18 the existence or length of the period when the state assessment 13 19 is in effect. 13 20 4. a. If a state assessment for direct use is imposed, 13 21 and upon receipt of a petition of producers that otherwise 13 22 complies with requirements to conduct a special referendum 13 23 under section 179.13, subsection 2, the secretary shall conduct 13 24 a special referendum to determine whether to terminate the 13 25 state assessment for clean water. 13 26 b. Upon receipt of a petition of producers that otherwise 13 27 complies with requirements to conduct a special referendum 13 28 under section 179.13, subsection 2, the secretary shall include 13 29 as part of a special referendum to suspend or terminate the 13 30 state assessment for direct use conducted pursuant to section 13 31 179.13, subsection 2, a separate special question whether 13 32 to terminate the state assessment for clean water, if the 13 33 secretary determines the inclusion of the special question is 13 34 cost=effective or the petition demands inclusion. 13 35 c. The secretary shall conduct the special referendum under 14 1 this subsection or include the special question as part of a 14 2 special referendum conducted under section 179.13, subsection 14 3 2, in consultation with the commission and which may be based 14 4 on the same procedures for conducting a special referendum 14 5 under section 179.13, subsection 2. 14 6 d. If the secretary determines that the termination of 14 7 a state assessment for clean water is favored by a majority 14 8 of the producers voting in a special referendum under this 14 9 subsection, or a special referendum conducted under section 14 10 179.13, subsection 2, the state assessment shall terminate on a 14 11 date determined by the secretary after consultation with the 14 12 commission but not later than six months after the date that 14 13 the special or initial referendum was conducted. The secretary 14 14 shall terminate the state assessment in an orderly manner as 14 15 soon as practical. 14 16 5. The secretary shall terminate the state assessment for 14 17 clean water upon determining that the state assessment for 14 18 direct use and the national assessment are terminated. The 14 19 secretary shall terminate the state assessment for clean water 14 20 in an orderly manner as soon as practical. 14 21 DIVISION II 14 22 IOWA BEEF CATTLE PRODUCERS ASSOCIATION ==== EXECUTIVE COMMITTEE 14 23 Sec. 13. Section 181.1, subsection 3, Code 2016, is amended 14 24 by striking the subsection and inserting in lieu thereof the 14 25 following: 14 26 3. "Executive committee" means the executive committee of 14 27 the association as created in section 181.3. 14 28 Sec. 14. Section 181.1, subsection 6, paragraph b, Code 14 29 2016, is amended to read as follows: 14 30 b. The person acquired ownership of cattle to facilitate 14 31 the transfer of ownership of such cattle from the seller to a 14 32 third party; resold such cattle no later than ten days from the 14 33 date on which the person acquired ownership; and certified as 14 34 required by rules adopted by thecouncilexecutive committee. 14 35 Sec. 15. Section 181.1, subsection 10, Code 2016, is amended 15 1 to read as follows: 15 2 10. "State assessment" means an excise tax on the sale of 15 3 cattleimposed pursuant to this chapterwhich may include a 15 4 state assessment for direct use and a state assessment for 15 5 clean water. 15 6 Sec. 16. Section 181.2, Code 2016, is amended to read as 15 7 follows: 15 8 181.2 Duties and objects of association. 15 9 The Iowa beef cattle producers association shall do all of 15 10 the following: 15 11 1. Aid in the marketing and promotion of the cattle industry 15 12 of the state. 15 13 2.Provide for practical and scientific instruction in 15 14 the breeding and raising of cattleConduct research on beef 15 15 production and evaluate Iowa beef production needs. 15 16 3.Make demonstrations in the feeding of cattle and publish 15 17 suggestions beneficial to such businessProvide educational 15 18 materials and opportunities to consumers, producers, and youth 15 19 regarding the benefits of Iowa's beef cattle industry. 15 204. Aid and promote cattle feeding contests, shows, and 15 21 sales.15 225.4. Prepare an annual report of the proceedings and 15 23 expenditures of thecouncilexecutive committee as provided in 15 24 section 181.18B. 15 25 5. Cooperate with the division of soil conservation and 15 26 water quality of the department of agriculture and land 15 27 stewardship in transferring moneys collected from the state 15 28 assessment for clean water to the clean water fund created 15 29 in section 466B.51 and for being reimbursed for reasonable 15 30 expenses incurred in conducting an initial or special 15 31 referendum to establish, continue, or terminate a state 15 32 assessment for clean water. 15 33 Sec. 17. Section 181.3, Code 2016, is amended to read as 15 34 follows: 15 35 181.3Iowa beef industry councilExecutive committee ==== 16 1 creation and operation. 16 2 1. AnIowa beef industry councilexecutive committee of the 16 3 Iowa beef cattle producers association is created. Thecouncil 16 4executive committee consists ofeightten members, including 16 5 all of the following: 16 6 a. Five producers elected by the Iowa beef cattle producers 16 7 association pursuant to section 181.6A. 16 8 b. Two producers appointed by the Iowa cattlemen's 16 9 association. 16 10 c. One livestock market representative appointed pursuant to 16 11 subsection 2. 16 12c.d. The secretary of agriculture or a designee, who shall 16 13 serve asa votingan ex officio, voting member. 16 14d.e. The dean of the college of agriculture and life 16 15 sciences of Iowa state university of science and technology or 16 16 a designee, who shall serve asa votingan ex officio, voting 16 17 member. 16 18 2. The Iowa livestock auction market association shall 16 19 nominate two livestock market representatives. The secretary 16 20 of agriculture shall appoint one of the nominees or another 16 21 livestock market representative of the secretary's choice, who 16 22 shall serve at the pleasure of the secretary. 16 23 3. Thecouncilexecutive committee shall elect a 16 24 chairperson, secretary, and other officers it deems necessary. 16 25 4. a. A member who is a producer or livestock market 16 26 representative described in subsection 1, paragraphs "a" 16 27 through "c", shall serve a three=year term. The member shall 16 28 not serve more than two consecutive full terms. 16 29 b. Except for an ex officiomembersmember,vacanciesa 16 30 vacancy in thecouncilexecutive committee resulting from 16 31 death, inability or refusal to serve, or failure to meet the 16 32 qualifications of this chapter shall be filled by thecouncil 16 33executive committee. If thecouncilexecutive committee fails 16 34 to fill a vacancy, the secretary shall fill it.Vacancy 16 35 appointmentsA vacancy appointment shall be filled only for the 17 1 remainder of the unexpired term. 17 2 Sec. 18. Section 181.4, Code 2016, is amended to read as 17 3 follows: 17 4 181.4Employees of councilExecutive committee ==== employees. 17 5 Thecouncilexecutive committee may employ two or more 17 6 competent persons who shall devote their entire time, under 17 7 the direction of thecouncilexecutive committee, in carrying 17 8 out the provisions of this chapter. The salary of persons so 17 9 employed shall be set by thecouncilexecutive committee, and 17 10 the persons shall hold office at the pleasure of thecouncil 17 11executive committee. 17 12 Sec. 19. Section 181.6A, Code 2016, is amended to read as 17 13 follows: 17 14 181.6AElection of councilExecutive committee ==== election. 17 15 1. The Iowa beef cattle producers association shall hold an 17 16 annual meeting of producers. An election shall be held at the 17 17 annual meeting, as necessary, for election of producers to the 17 18councilexecutive committee. 17 19 2. Prior to the annual meeting, the association shall 17 20 appoint a nominating committee. At least sixty days prior to 17 21 the annual meeting of the association, the nominating committee 17 22 shall nominate two producers as candidates for each position 17 23 on thecouncilexecutive committee for which an election is to 17 24 be held. At least forty=five days prior to the annual meeting 17 25 of the association, additional candidates may be nominated by 17 26 a written petition of fifty producers. Procedures governing 17 27 the place of filing and the contents of the petition shall be 17 28 promulgated and publicized by thecouncilexecutive committee. 17 29 3. Producers attending the annual meeting of the 17 30 association may vote for one nominee for each position on the 17 31councilexecutive committee for which an election is held. 17 32 Producers not attending the annual meeting of the association 17 33 may vote by absentee ballot if the ballot is requested and 17 34 mailed, with proper postage, to thecouncilexecutive committee 17 35 prior to the annual meeting of the association. For each 18 1 position for which an election is held, the candidate receiving 18 2 the highest number of votes shall be elected. 18 3 4. Notice of election forcouncilexecutive committee 18 4 membership shall be given by thecouncilexecutive committee by 18 5 publication in a newspaper of general circulation in the state 18 6 and in any other reasonable manner as determined by thecouncil 18 7executive committee, and shall set forth the date, time, and 18 8 place of the annual meeting of the association. Thecouncil 18 9executive committee shall administer the elections, with the 18 10 assistance of the secretary. 18 11 Sec. 20. Section 181.7, Code 2016, is amended to read as 18 12 follows: 18 13 181.7ResearchExecutive committee ==== research and education 18 14 programs. 18 15 Thecouncilexecutive committee shall initiate, administer, 18 16 or participate in research and education programs directed 18 17 toward the better and more efficient production, promotion, and 18 18 utilization of cattle and the marketing of products made from 18 19 cattle. Thecouncilexecutive committee shall provide for the 18 20 methods and means that it determines are necessary to further 18 21 the purposes of this section, including but not limited to any 18 22 of the following: 18 23 1. Providing public relations and other promotion 18 24 techniques for the maintenance of present markets. 18 25 2. Making donations to nonprofit organizations furthering 18 26 the purposes of this section. 18 27 3. Assisting in the development of new or larger domestic 18 28 markets for products made from cattle. 18 29 4. Assisting in the development of new or larger foreign 18 30 markets for cattle and products made from cattle. 18 31 Sec. 21. Section 181.7A, Code 2016, is amended to read as 18 32 follows: 18 33 181.7A Commencement of federal assessment ==== suspension and 18 34 recommencement of state assessment ==== rate. 18 35 1. Prior to the commencement of the collection of the 19 1 federal assessment, thecouncilexecutive committee may seek 19 2 certification as a qualified state beef council within the 19 3 meaning of the federal Act. 19 4 2. Thecouncilexecutive committee shall suspend the 19 5 state assessment for direct use upon collection of the 19 6 federal assessment. The state assessment for direct use shall 19 7 recommence upon the earlier of the following: 19 8 a. The noncollection of the federal assessment. The 19 9 recommenced state assessment for direct use shall be imposed 19 10 for a four=year period. Its effective date shall be the first 19 11 date for which the federal assessment is not collected. 19 12 b. The passage of a special referendum pursuant to section 19 13 181.19 regardless of whether a federal assessment is being 19 14 collected. 19 15 3. The rate of the recommenced state assessment for direct 19 16 use shall be the same as the rate that was last in effect under 19 17 section 181.19 immediately prior to the suspension of the state 19 18 assessment. 19 19 4. The state assessment for clean water shall continue to be 19 20 imposed during any period of suspension of the state assessment 19 21 for direct use so long as the state assessment for clean water 19 22 is not terminated pursuant to section 181.19A. 19 23 Sec. 22. Section 181.8, Code 2016, is amended to read as 19 24 follows: 19 25 181.8EnteringExecutive committee ==== entering premises ==== 19 26 examining records. 19 27 Thecouncilexecutive committee may authorize its agents to 19 28 enter at a reasonable time upon the premises of any purchaser 19 29 charged by this chapter with remitting the state assessment for 19 30 direct use to thecouncilexecutive committee, and to examine 19 31 records and other instruments relating to the collection of the 19 32 state assessment. However, thecouncilexecutive committee 19 33 must first have reasonable grounds to believe that the state 19 34 assessment for direct use has not been remitted or fully 19 35 accounted for. 20 1The council may enter into arrangements with persons 20 2 purchasing cattle outside of this state for remitting the state 20 3 assessment by such purchasers.20 4 Sec. 23. Section 181.11, Code 2016, is amended to read as 20 5 follows: 20 6 181.11 Collection of state assessment. 20 7 1. A state assessment for direct use or a state assessment 20 8 for clean water imposed as provided in this chapter shall be 20 9 levied and collected from the purchaser on each sale of cattle 20 10 at a rate provided in this chapter. The state assessment shall 20 11 be imposed on any person selling cattle and shall be deducted 20 12 by the purchaser from the price paid to the seller. The 20 13 purchaser, at the time of the sale, shall make and deliver to 20 14 the seller a separate invoice for each sale showing the names 20 15 and addresses of the seller and the purchaser, the number of 20 16 cattle sold, and the date of sale. The purchaser shall forward 20 17 the state assessment to thecouncilexecutive committee at a 20 18 time prescribed by thecouncilexecutive committee, but not 20 19 later than the last day of the month following the end of the 20 20 prior reporting period in which the cattle are sold. 20 21 2. The executive committee may enter into arrangements with 20 22 persons purchasing cattle outside of this state for remitting 20 23 the state assessment for direct use or the state assessment for 20 24 clean water by such purchasers. 20 25 Sec. 24. Section 181.12, Code 2016, is amended to read as 20 26 follows: 20 27 181.12 Remission of state assessment on application. 20 28 1. a. A person from whom a state assessment for direct 20 29 use is collected may, by written application filed with the 20 30councilexecutive committee withinsixtyninety days after 20 31 its collection, have the amount remitted to the person by the 20 32councilexecutive committee. 20 33 b. A person from whom a state assessment for clean water is 20 34 collected may, by written application filed with the executive 20 35 committee as provided in paragraph "a", have the amount 21 1 remitted to the person by the division of soil conservation 21 2 and water quality of the department of agriculture and land 21 3 stewardship. Within ninety days after its collection, the 21 4 executive committee shall transmit any approved application to 21 5 the division for a refund payment. 21 6 2. The information described in subsection 1 that the 21 7 state assessment is refundable and the address of thecouncil 21 8executive committee to which application for a refund may be 21 9 made shall appear on the invoice of sale form supplied by the 21 10 purchaser to the producer near the area on the form which shows 21 11 the amount of the state assessment paid. 21 12 3. Thecouncilexecutive committee shall furnish uniform 21 13 application for refund forms andenvelopes properly addressed 21 14 to the council to each purchaser charged by this chapter with 21 15 remitting the state assessment in sufficient number tomake the 21 16 refund formsand envelopesreadily available to all producers. 21 17 A purchaser charged by this chapter with remitting the state 21 18 assessment shalldisplay the application for refund forms and 21 19 envelopes in a prominent position in its place of business and21 20 makethemthe forms readily available to all producers. The 21 21 form shall allow the applicant to elect whether the refund is 21 22 for the state assessment for direct use or the state assessment 21 23 for clean water or both. 21 24 Sec. 25. Section 181.13, Code 2016, is amended to read as 21 25 follows: 21 26 181.13 Administration of moneys originating from state 21 27 assessment ==== appropriation. 21 28 1. a. All moneys, other than moneys from the state 21 29assessmentsassessment for clean water imposed under this 21 30 chapter shall be paid to and collected by thecouncilexecutive 21 31 committee and deposited with the treasurer of state in a 21 32 separate cattle promotion fund which shall be created by 21 33 the treasurer of state. The department of administrative 21 34 services shall transfer moneys from the fund to thecouncil 21 35executive committee for deposit into an account established 22 1 by thecouncilexecutive committee in a qualified financial 22 2 institution. The department shall transfer the moneys as 22 3 provided in a resolution adopted by thecouncilexecutive 22 4 committee. However, the department is only required to 22 5 transfer moneys once during each day and only during hours when 22 6 the offices of the state are open. Fromthemoneys, other than 22 7 moneys from the state assessment for clean water, collected, 22 8 deposited, and transferred to thecouncilexecutive committee, 22 9 in accordance with the provisions of this chapter, thecouncil 22 10executive committee shall first pay the costs of referendums 22 11 held pursuant to this chapter, the costs of collection of such 22 12 state assessments, and the expenses of its agents. At least 22 13 ten percent of the remaining moneys shall be remitted to the 22 14 association in proportions determined by thecouncilexecutive 22 15 committee, for use in a manner not inconsistent with section 22 16 181.7. The remaining moneys, with approval of a majority of 22 17 thecouncilexecutive committee, shall be expended as the 22 18councilexecutive committee finds necessary to carry out the 22 19 provisions and purposes of this chapter. However, in no event 22 20 shall the total expenses exceed the total amount transferred 22 21 from the fund for use by thecouncilexecutive committee. 22 222.b. All moneys deposited in the cattle promotion fund 22 23 and transferred to thecouncilexecutive committee pursuant 22 24 to this section are appropriated and shall be used for 22 25 the administration of this chapter and for the payment of 22 26 claims based upon obligations incurred in the performance of 22 27 activities and functions set forth in this chapter. 22 283.c. If the state assessment for direct use is suspended 22 29 as provided in section 181.7A or acontinuancespecial 22 30 referendum to continue the state assessment for direct use 22 31 fails to pass as provided in section 181.19A, moneys remaining 22 32 in the cattle promotion fund and transferred to thecouncil 22 33executive committee shall continue to be transferred and 22 34 expended in accordance with the provisions of this chapter 22 35 until exhausted. 23 1 2. a. All moneys collected from the state assessment for 23 2 clean water imposed under this chapter shall be paid to and 23 3 collected by the executive committee and may be deposited in a 23 4 qualified financial institution until transferred to the clean 23 5 water fund created in section 466B.51. If the state assessment 23 6 for clean water is terminated as provided in section 181.19A, 23 7 the remaining moneys collected from that state assessment shall 23 8 be immediately transferred to the clean water fund. 23 9 b. Except as otherwise expressly provided in this chapter, 23 10 moneys collected from the state assessment for clean water 23 11 shall not be used for any purpose other than to be transferred 23 12 to the clean water fund created in section 466B.51. 23 13 Sec. 26. Section 181.17, Code 2016, is amended to read as 23 14 follows: 23 15 181.17 Producers not members. 23 16 A producer who is not a member of the Iowa beef cattle 23 17 producers association shall be entitled to vote in elections 23 18 of persons to be members of thecouncilexecutive committee in 23 19 the same manner as if the producer were a member. The members 23 20 elected to thecouncilexecutive committee shall elect from 23 21 their number the officers referred to in section 181.1A. 23 22 Sec. 27. Section 181.18, Code 2016, is amended to read as 23 23 follows: 23 24 181.18 Rules. 23 25 All rulesof the council heretofore or hereinafter 23 26 promulgatedadopted by the executive committee shall be subject 23 27 to the provisions of chapter 17A. 23 28 Sec. 28. Section 181.18B, Code 2016, is amended to read as 23 29 follows: 23 30 181.18B Report. 23 31 Each year, thecouncilexecutive committee shall prepare 23 32 and submit a report summarizing the activities of thecouncil 23 33executive committee under this chapter to the auditor of state 23 34 and the secretary of agriculture. The report shall show all 23 35 income, expenses, and other relevant information concerning 24 1 fees collected and expended under this chapter. 24 2 Sec. 29. Section 181.19, Code 2016, is amended to read as 24 3 follows: 24 4 181.19 Initial and special referendums ==== rates. 24 5 1. The secretary shall, upon the petition of five hundred 24 6 producers, conduct an initial referendum to determine whether 24 7 a state assessment for direct use is to be established. If 24 8 established, the state assessment for direct use shall be 24 9 imposed,at a rate established by thecouncil ofexecutive 24 10 committee not to exceedfifty centsone dollar per head on all 24 11 cattle sold for any purpose. 24 12 2. The secretary shall, upon the petition of five hundred 24 13 producers, conduct a special referendum to do any of the 24 14 following: 24 15 a. Determine whether a state assessment for direct use 24 16 already imposed shall be increased to a rate, established by 24 17 thecouncilexecutive committee, not to exceed one dollar per 24 18 head on all cattle sold for any purpose. 24 19 b. Determine whether a state assessment for direct use 24 20 suspended pursuant to section 181.7A is to be in addition to a 24 21 federal assessment. The state assessment for direct use shall 24 22 be imposed at a rate offifty centsone dollar per head on all 24 23 cattle sold for whatever purpose. 24 24 3.a. Upon receipt of a petition that otherwise complies 24 25 with the requirements of subsection 1, the secretary shall 24 26 conduct a special referendum to establish a state assessment 24 27 for clean water to be imposed in the same manner as a state 24 28 assessment for direct use. 24 29 b. The rate of the state assessment for clean water shall 24 30 be established by the executive committee not to exceed the 24 31 rate of the state assessment for direct use in effect on the 24 32 date that the special referendum to impose a state assessment 24 33 for clean water passes. However, if a federal assessment is 24 34 imposed, the rate of the state assessment for clean water shall 24 35 be established by the executive committee not to exceed the 25 1 rate of the federal assessment. If a state assessment for 25 2 direct use and a federal assessment are both being imposed, 25 3 the rate of the state assessment for clean water shall be 25 4 established by the executive committee not to exceed the rate 25 5 of the state assessment for direct use plus the rate of the 25 6 federal assessment. 25 7 4. Upon receipt of a petition that otherwise complies with 25 8 the requirements of subsection 1, the secretary shall include 25 9 as part of the initial referendum a separate special question 25 10 whether to establish a state assessment for clean water as 25 11 described in subsection 3, if the secretary determines the 25 12 inclusion of the special question is cost=effective or the 25 13 petition demands inclusion. 25 14 5. a. Upon receipt of a petition that otherwise complies 25 15 with the requirements of subsection 2, the secretary shall 25 16 conduct a special referendum to change the rate of the state 25 17 assessment for clean water to be established by the executive 25 18 committee not to exceed the rate of the state assessment 25 19 for direct use and any federal assessment as described in 25 20 subsection 2. 25 21 b. Upon receipt of a petition that otherwise complies with 25 22 the requirements of subsection 2, the secretary shall include 25 23 as part of the special referendum conducted under subsection 25 24 2 a separate special question whether to change the rate of 25 25 the state assessment for clean water to be established by 25 26 the executive committee not to exceed the rate of the state 25 27 assessment for direct use and any federal assessment as 25 28 described in subsection 2, if the secretary determines the 25 29 inclusion of the special question is cost=effective or the 25 30 petition demands inclusion. 25 31 6. a. Ifaan initial referendum or a special referendum 25 32 described in this section passes, the secretary shall establish 25 33 an effective date to commence the state assessment for direct 25 34 use or the change in the rate of the state assessment for 25 35 direct use. However, the state assessment or the change in the 26 1 rate of the state assessment must be commenced within ninety 26 2 days from the date that the secretary determines that the 26 3 referendum has passed. 26 4 b. If a state assessment for clean water is established 26 5 or the rate of the state assessment for clean water changes 26 6 under this section, the secretary shall establish an effective 26 7 date to commence the state assessment or change the rate of the 26 8 state assessment in the same manner as provided in paragraph 26 9 "a". 26 104.7. a. If a special referendum to increase the rate of 26 11 the state assessment for direct use does not pass, the result 26 12 of the special referendum shall not affect the existence or 26 13 length of the state assessment that is in effect on the date 26 14 that the special referendum was conducted. 26 15 b. If a special referendum, or a special question that is 26 16 part of a special referendum conducted under this section, to 26 17 change the rate of the state assessment for clean water does 26 18 not pass, the result of the vote shall not affect the existence 26 19 or period that the state assessment is in effect. 26 20 8. A state assessment for clean water is terminated on the 26 21 date that the state assessment for direct use is terminated, 26 22 unless a federal assessment is imposed. 26 23 Sec. 30. Section 181.19A, Code 2016, is amended to read as 26 24 follows: 26 25 181.19AContinuance referendumSpecial referendums ==== 26 26 continuance or termination. 26 27 1. The secretary shall, uponthereceipt of a petition 26 28 of producers, conduct acontinuancespecial referendum to 26 29 determine whether a state assessment for direct use established 26 30 in section 181.19 should berenewedcontinued. The secretary 26 31 must receive the petition not less than one hundred fifty and 26 32 not more than two hundred forty days before the four=year 26 33 anniversary ofa state assessment'sthe effective date of 26 34 the state assessment for direct use. The petition must be 26 35 signed within that period by a number of producers equal to 27 1 or greater than two percent of the number of producers in 27 2 this state reported in the most recent United States census 27 3 of agriculture, requesting a special referendum to determine 27 4 whether to continue the state assessment for direct use. 27 5 The special referendum shall be conducted not earlier than 27 6 thirty days before the four=year anniversary date of the state 27 7 assessment for direct use. 27 8 2. a. The secretary shall, upon receipt of a petition 27 9 of producers otherwise complying with the requirements of 27 10 subsection 1, conduct a special referendum to determine whether 27 11 the state assessment for clean water established in section 27 12 181.19 should be continued. The special referendum shall be 27 13 conducted in the same manner as a special referendum conducted 27 14 under subsection 1. 27 15 b. The secretary shall, upon receipt of a petition complying 27 16 with the requirements of subsection 1, include as part of a 27 17 special referendum provided in subsection 1 a separate special 27 18 question whether a state assessment for clean water should be 27 19 continued, if the secretary determines the inclusion of the 27 20 special question is cost=effective or the petition demands 27 21 inclusion. 27 222.3. a. If the secretary determines that acontinuance 27 23special referendum has passed under subsection 1, the state 27 24 assessment for direct use shall continue in effect for four 27 25 additional years from the anniversary of its effective date. 27 26 b. If the secretary determines that a special referendum 27 27 or special question to continue the state assessment for clean 27 28 water has passed under subsection 2, the state assessment shall 27 29 be in effect until the anniversary of the effective date of the 27 30 state assessment for direct use described in paragraph "a". 27 313.4. a. If the secretary determines thatthea special 27 32 referendum to continue the state assessment for direct use has 27 33 not passed, the secretary and thecouncilexecutive committee 27 34 shall terminate the state assessment in an orderly manner as 27 35 soon as practicable after the determination. 28 1 b. If the secretary determines that a special referendum to 28 2 continue the state assessment for clean water has not passed, 28 3 the secretary and the executive committee shall terminate the 28 4 state assessment in the same manner as described in paragraph 28 5 "a". 28 6 c. A state assessment for clean water is terminated on the 28 7 date that the state assessment for direct use is terminated, 28 8 unless a federal assessment is imposed. 28 9 5. a.AnotherIf the secretary determines that a special 28 10 referendum to continue the state assessment for direct use has 28 11 not passed, another initial referendum conducted under section 28 12 181.19 to determine whether to establish a state assessment 28 13 shall not beheldconducted for at least one hundred eighty 28 14 days from the date that the state assessment is terminated. 28 15 b. If the secretary determines that a special referendum to 28 16 continue the state assessment for clean water has not passed, 28 17 another special referendum to establish the state assessment 28 18 or another initial or special referendum that includes a 28 19 special question to establish the state assessment shall not be 28 20 conducted for at least one hundred eighty days from the date 28 21 that the state assessment was terminated. 28 224.6. Ifnoa valid petition for a continuance referendum 28 23 provided in this section is not received by the secretary 28 24 within the time period provided in this section, the state 28 25 assessment for direct use or the state assessment for clean 28 26 water shall continue in effect for four additional years from 28 27 the anniversary ofitsthe effective date of the initial 28 28 referendum establishing the state assessment for direct use. 28 29 Sec. 31. REPEAL. 2004 Iowa Acts, chapter 1037, section 17, 28 30 is repealed. 28 31 Sec. 32. REPEAL. 2016 Iowa Acts, House File 2269, is 28 32 repealed. 28 33 Sec. 33. TRANSITION ==== APPOINTMENT AND TERMS OF EXECUTIVE 28 34 COMMITTEE MEMBERS. 28 35 1. This Act's amendments changing the name of the "Iowa beef 29 1 industry council" to the "executive committee" of the Iowa beef 29 2 cattle producers association shall not affect the appointment 29 3 or term of office of a member who served on the Iowa beef 29 4 industry council immediately prior to the effective date of 29 5 this Act. That member shall continue to serve on the executive 29 6 committee until the member's term expires. 29 7 2. The executive committee of the Iowa beef cattle producers 29 8 association created in section 181.3 as amended in this 29 9 Act may establish terms for any number of the five members 29 10 first elected or reelected by the Iowa beef cattle producers 29 11 association under that section on or after the effective 29 12 date of this Act to ensure elected members serve staggered 29 13 terms. The executive committee may also establish initial 29 14 terms for the two new members appointed by the Iowa cattlemen's 29 15 association under that section as amended by this Act to 29 16 ensure appointed members serve staggered terms. The executive 29 17 committee shall operate under 101 IAC 1.5 and 1.6 until the 29 18 appointment of the new members. 29 19 Sec. 34. TRANSITION ==== ADMINISTRATIVE RULES AND OTHER 29 20 ACTIONS AND DOCUMENTS. Any rule, form, order, or directive 29 21 promulgated by the Iowa beef industry council created in 29 22 section 181.3, in force and effect immediately prior to the 29 23 effective date of this Act, shall continue in full force and 29 24 effect until the earlier of the following: 29 25 1. It is amended, rescinded, or supplemented by the 29 26 affirmative action of the executive committee of the Iowa beef 29 27 cattle producers association created in section 181.3, as 29 28 amended in this Act. 29 29 2. It expires by its own terms. 29 30 DIVISION III 29 31 IOWA SHEEP AND WOOL PROMOTION BOARD 29 32 Sec. 35. Section 182.1, subsection 1, Code 2016, is amended 29 33 to read as follows: 29 34 1. "Assessment" means an excise tax on the sale of sheep 29 35 or woolas provided in this chapterwhich may include an 30 1 assessment for direct use and a state assessment for clean 30 2 water. 30 3 Sec. 36. Section 182.1, Code 2016, is amended by adding the 30 4 following new subsection: 30 5 NEW SUBSECTION. 6A. "Qualified financial institution" means 30 6 a bank or credit union as defined in section 12C.1. 30 7 Sec. 37. Section 182.2, Code 2016, is amended to read as 30 8 follows: 30 9 182.2 Petition for initial referendumelection. 30 10 Upon receipt of a petition signed by at least fifty producers 30 11 in each district requestingaan initial referendumby election30 12 to determine whether to establish the board and to impose an 30 13 assessment for direct use, the secretary shall callathe 30 14 initial referendum to be conducted within sixty days following 30 15 receipt of the petition. 30 16 Sec. 38. Section 182.3, Code 2016, is amended to read as 30 17 follows: 30 18 182.3 Notice of initial referendum. 30 19 The secretary shall give notice of the initial referendum 30 20 on the question of whether to establish an Iowa sheep and wool 30 21 promotion board andto impose thean assessment for direct use 30 22 by publishing the notice for a period of not less than five 30 23 days in at least one newspaper of general circulation in the 30 24 state. The notice shall state the voting places, period of 30 25 time for voting, and other information deemed necessary by the 30 26 secretary. 30 27AAn initial referendum shall not be commenced until five 30 28 days after the last date of publication. 30 29 Sec. 39. Section 182.4, Code 2016, is amended to read as 30 30 follows: 30 31 182.4 Establishment of sheep and wool promotion board ==== 30 32assessmentassessments ==== termination. 30 33 1. Each producer who signs a statement certifying that 30 34 the producer is a bona fide producer is entitled to one vote 30 35 in an initial referendum conducted under this section. At 31 1 the close of the initial referendum, the secretary shall 31 2 count and tabulate the ballots cast. If a majority of voters 31 3 favor establishing an Iowa sheep and wool promotion board and 31 4imposingestablishing an assessment for direct use,an Iowa 31 5 sheep and wool promotionthe board and assessment shall be 31 6 established. The assessment for direct use shall be imposed 31 7 commencing not more than sixty days following the initial 31 8 referendum as determined by theIowa sheep and wool promotion31 9 board, and shall continue until the board and assessment for 31 10 direct use are terminated by a special referendumas provided 31 11 inconducted pursuant to subsection24. 31 12 2. a. If the board is in existence, and upon receipt of 31 13 a petition signed by at least twenty=five producers in each 31 14 district requesting a special referendum to determine whether 31 15 to establish a state assessment for clean water, the secretary 31 16 shall call the special referendum to be conducted in the same 31 17 manner as provided in subsection 1. 31 18 b. If a board is not in existence, and upon receipt of a 31 19 petition that complies with the requirements of paragraph "a" 31 20 the secretary shall include as part of the initial referendum 31 21 a separate special question whether to establish a state 31 22 assessment for clean water, if the secretary determines the 31 23 inclusion of the special question is cost=effective or the 31 24 petition demands inclusion. 31 25 c. If a majority of voters favor establishing the state 31 26 assessment for clean water, the state assessment shall be 31 27 imposed in the same manner and for the same period as the 31 28 assessment for direct use described in subsection 1. 31 29 3. a. If a majority of the voters do not favor establishing 31 30an Iowa sheep and wool promotiona board andimposing thean 31 31 assessment for direct use, the board and an assessment shall 31 32 not be established, and the assessment shall not be imposed 31 33and the board shall not be establisheduntil another initial 31 34 referendum isheldconducted under this chapter and a majority 31 35 of the voters favor establishing a board andimposing thean 32 1 assessment. Ifaan initial referendum fails, another initial 32 2 referendum shall not beheld withinconducted for at least 32 3 one hundred eighty days from the date of the last initial 32 4 referendum. 32 5 b. If a majority of the voters do not favor establishing a 32 6 state assessment for clean water, the state assessment shall 32 7 not be established until another special referendum, or another 32 8 special question that is part of an initial referendum, is 32 9 conducted under this chapter and a majority of the voters favor 32 10 establishing the state assessment. If a special referendum or 32 11 special question fails, another special referendum or initial 32 12 referendum which includes a special question shall not be 32 13 conducted within one hundred eighty days from the date that 32 14 the last such special referendum or initial referendum was 32 15 conducted. 32 162.4. Upon receipt of a petition signed by at least 32 17 twenty=five producers in each district requesting a special 32 18 referendum election to determine whether to terminate the 32 19 establishment of theIowa sheep and wool promotionboardand 32 20 to terminate the imposition of theand the assessment for 32 21 direct use, the secretary shall call a special referendum to 32 22 be conducted within sixty days following the receipt of the 32 23 petition. The petitioners shall guarantee the payment of the 32 24 costs ofathe special referendumheldconducted under this 32 25 subsection. If the majority of the votersof avoting at the 32 26 special referendum do not favor termination, an additional 32 27 special referendum may beheldconducted when the secretary 32 28 receives a petition signed by at least twenty=five producers in 32 29 each district. However, the additional referendum shall not be 32 30held withinconducted for at least one hundred eighty days from 32 31 the date of the last such special referendum. 32 32 5. a. Upon receipt of a petition that otherwise complies 32 33 with the requirements of subsection 4 requesting a special 32 34 referendum election to determine whether to terminate the 32 35 establishment of the state assessment for clean water, the 33 1 secretary shall call a special referendum to be conducted in 33 2 the same manner as provided in subsection 4. 33 3 b. Upon receipt of a petition that otherwise complies 33 4 with the requirements of subsection 4, the secretary shall 33 5 include as part of the special referendum conducted under that 33 6 subsection a separate special question whether to terminate the 33 7 state assessment for clean water, if the secretary determines 33 8 the inclusion of the special question is cost=effective or the 33 9 petition demands inclusion. 33 10 c. The petitioners shall guarantee the payment of the costs 33 11 of the special referendum conducted under this subsection. 33 12 d. If the majority of the voters of a special referendum 33 13 conducted under this subsection do not favor termination, 33 14 an additional special referendum may be conducted when 33 15 the secretary receives a petition complying with the same 33 16 requirements as described in this subsection. However, the 33 17 additional special referendum shall not be conducted for at 33 18 least one hundred eighty days from the date of the last such 33 19 special referendum. 33 20 6. A state assessment for clean water is terminated on the 33 21 date that the assessment for direct use is terminated. The 33 22 secretary shall terminate the state assessment for clean water 33 23 in an orderly manner as soon as practical. 33 24 Sec. 40. Section 182.11, Code 2016, is amended to read as 33 25 follows: 33 26 182.11 Purposes of board. 33 27 1. The purposes of the board shall be to: 33 281.a. Enter into contracts or agreements with or make 33 29 grants to recognized and qualified agencies, individuals, 33 30 or organizations for the development and carrying out of 33 31 research and education programs directed toward better and more 33 32 efficient production, marketing, and utilization of sheep and 33 33 wool and their products. 33 342.b. Provide methods and means, including, but not limited 33 35 to, public relations and other promotion techniques for the 34 1 maintenance of present markets. 34 23.c. Assist in development of new or larger markets, both 34 3 domestic and foreign, for sheep and wool and their products. 34 4 2. The board shall cooperate with the division of soil 34 5 conservation and water quality of the department of agriculture 34 6 and land stewardship in doing all of the following: 34 7 a. Transferring moneys collected from the state assessment 34 8 for clean water to the clean water fund created in section 34 9 466B.51. 34 10 b. Being reimbursed for reasonable expenses incurred in 34 11 conducting an initial or special referendum to establish, 34 12 continue, or terminate a state assessment for clean water. 34 13 Sec. 41. Section 182.13, Code 2016, is amended to read as 34 14 follows: 34 15 182.13 Compensation ==== meetings. 34 16 Members of the board may receive payment for their actual 34 17 expenses and travel in performing official board functions. 34 18 Payment shall be made from amounts collected from the 34 19 assessment for direct use.NoA member of the board shall not 34 20 be a salaried employee of the board or any organization or 34 21 agency receivingfundsmoneys collected from the board. The 34 22 board shall meet at least once every three months, and at other 34 23 times it deems necessary. 34 24 Sec. 42. Section 182.13B, Code 2016, is amended to read as 34 25 follows: 34 26 182.13B Assessmentraterates. 34 27 1. a. If a majority of voters voting ataan initial 34 28 referendum conducted pursuant to section 182.4 approve the 34 29 establishment ofan Iowa sheep and wool promotionthe board and 34 30the imposition ofan assessment for direct use, the assessment 34 31 shall be imposed on wool and sheep at the following rates: 34 32a.(1) For wool, two cents imposed on each pound of wool 34 33 sold by a producer. 34 34b.(2) For sheep, ten cents imposed on each head of sheep 34 35 sold by a producer. 35 1 b. If a majority of voters voting at a special referendum 35 2 conducted pursuant to section 182.4 approve the establishment 35 3 of a state assessment for clean water, the state assessment 35 4 shall be imposed on wool and sheep at the rates established by 35 5 board resolution not to exceed the rates described in paragraph 35 6 "a". 35 7 2. a. Notwithstanding subsection 1, upon a resolution 35 8 adopted by the board, the secretary shall call a special 35 9 referendum for voters to authorize increasing theassessment35 10 rate of the assessment for direct use imposed on sheep as 35 11 provided in this section or increasing the assessment for 35 12 direct use imposed on sheep as provided in this section. 35 13 b. Notwithstanding subsection 1, upon resolution adopted by 35 14 the board, the secretary shall call a special referendum for 35 15 voters to authorize increasing the rate of the state assessment 35 16 for clean water imposed on sheep as provided in this section. 35 17 The secretary shall include as part of the special referendum 35 18 to increase the rate of the assessment for direct use a 35 19 separate special question whether to increase the rate of the 35 20 state assessment for clean water, if the secretary determines 35 21 the inclusion of the special question is cost=effective or the 35 22 resolution demands inclusion. 35 23b.c. The special referendum to increase the rate of the 35 24 assessment for direct use or to increase the rate of the state 35 25 assessment for clean water shall be conducted in the same 35 26 manner asaan initial referendum conducted upon receipt of 35 27 a petition as provided inthis chaptersection 182.4, unless 35 28 otherwise provided in the board's resolution. Only producers 35 29 are eligible to vote inan electionthe special referendum and 35 30 each producer is entitled to one vote. 35 31 3. a. The special referendum to increase the rate of the 35 32 assessment for direct use conducted pursuant to subsection 2 35 33 shall allow a voter to cast a ballot for the following two 35 34 questions: 35 35a.(1) For the first question, whether to authorize an 36 1 increase in the rate of assessmentratefor direct use to 36 2 twenty=five cents imposed on each head of sheep. 36 3b.(2) For the second question, if the first question is 36 4 approved by a majority of voters, whether to also authorize the 36 5 board to increasethat assessmentthe rate of the assessment 36 6 for direct use by future resolution as provided in this 36 7 section. 36 8 b. The special referendum to increase the rate of the state 36 9 assessment for clean water shall be conducted in the same 36 10 manner as described in subsection 3 and shall allow a voter to 36 11 cast a ballot for the following two questions: 36 12 (1) For the first question, whether to authorize an increase 36 13 in the rate of state assessment for clean water to a rate 36 14 established by board resolution not to exceed the increased 36 15 rate of assessment for direct use described in subsection 3, 36 16 paragraph "a", subparagraph (1). 36 17 (2) For the second question, if the first question is 36 18 approved by a majority of voters, whether to also authorize the 36 19 board to increase that rate of state assessment for clean water 36 20 by future resolution as provided in subsection 3, paragraph "a", 36 21 subparagraph (2). 36 22 c. A state assessment for clean water shall not be effective 36 23 if the state assessment exceeds the assessment for direct use. 36 24 4. a. If a majority of voters approve the first question to 36 25 increase the rate of the assessment for direct use as described 36 26 in subsection 3, paragraph "a", subparagraph (1), twenty=five 36 27 cents shall be imposed on each head of sheep sold by a producer 36 28 as effectuated by the board pursuant to section 182.12. 36 29 b. If a majority of voters also approve increasing the 36 30 rate of the state assessment for clean water as described in 36 31 subsection 3, paragraph "b", subparagraph (1), the increased 36 32 rate shall be imposed on each head of sheep sold by a producer 36 33 as effectuated by the board pursuant to section 182.12. 36 34 5. a. If a majority of voters approve both the first and 36 35 second questions to increase the rate of the assessment for 37 1 direct use under subsection 3, paragraph "a", subparagraphs (1) 37 2 and (2), all of the following apply: 37 3a.(1)Twenty=fiveThe rate of the assessment for direct 37 4 use shall equal twenty=five centsshall beimposed on each 37 5 head of sheep sold by a produceras effectuated by the board 37 6 pursuant to section 182.12. 37 7b.(2) The board may adopt one or more resolutions to 37 8 further impose an increased rate of assessmentratefor direct 37 9 use. 37 10 b. If a majority of voters also approve increasing the 37 11 rate of state assessment for clean water as described in 37 12 subsection 3, paragraph "b", subparagraphs (1) and (2), all of 37 13 the following shall apply: 37 14 (1) The rate of the state assessment for clean water shall 37 15 equal the increase described in subsection 3, paragraph "b", 37 16 subparagraph (1), imposed on each head of sheep sold by a 37 17 producer. 37 18 (2) The board may adopt one or more resolutions to further 37 19 impose an increased rate of state assessment for clean water 37 20 so long as the rate does not exceed the rate of the assessment 37 21 for direct use. 37 22 c. The increasedassessmentrate of the assessment for 37 23 direct use or the increased rate of the state assessment for 37 24 clean water shall be imposed on each head of sheep sold by 37 25 a producer as effectuated by the board pursuant to section 37 26 182.12. The board shall comply with all of the following: 37 27 (1) The board must wait three or more years from the 37 28 effective date of the previous action imposing an increase in 37 29 the rate of the assessment for direct use in order to adopt 37 30 a resolution. For the first increase, the effective date is 37 31 the date of the special referendum to increase the rate of 37 32 the assessment. For any subsequent increase in the rate of 37 33 assessment, the effective date is the date that the board last 37 34 adopted a resolution imposing an increased rate as provided in 37 35 thisparagraph "b"subsection. 38 1 (2) The board must wait three or more years from the 38 2 effective date of the previous action imposing an increase in 38 3 the rate of the state assessment for clean water in order to 38 4 adopt a resolution. For the first increase, the effective date 38 5 is the date of the special referendum to increase the rate 38 6 of the state assessment for clean water. For any subsequent 38 7 increase, the effective date is the date that the board last 38 8 adopted a resolution imposing an increased rate as provided in 38 9 this subsection. 38 10(2)(3) The board shall not adopt a resolution until it 38 11 provides notice to producers of the proposed increase in the 38 12 assessment for direct use or the state assessment for clean 38 13 water and an opportunity for producers to submit written or 38 14 oral comments to the board regarding the proposed increase. 38 15 The board may provide notice by publication in the same manner 38 16 as provided in section 182.3, publication on its internet 38 17 site, mail bearing a United States postal service postmark, 38 18 electronic transmission, or hand=delivery. 38 19(3)(4) (a) The increase in theassessmentrate of the 38 20 assessment for direct use imposed by a resolution adopted by 38 21 the boardmustshall equal five cents. However, theassessment38 22 rate of the assessment for direct use imposed by a resolution 38 23 of the board shall not equal more than fifty cents. 38 24 (b) The increase in the rate of the state assessment 38 25 for clean water imposed by resolution adopted by the board 38 26 shall not exceed five cents. However, the rate of the state 38 27 assessment for clean water imposed by resolution of the board 38 28 shall not equal more than fifty cents. 38 29 6. a. If a majority of voters do not authorize increasing 38 30 the rate of the assessmentratefor direct use pursuant to a 38 31 special referendum conductedpursuant tounder this section, 38 32 theassessmentrate for the assessment for direct use shall be 38 33 the same as provided in subsection 1, paragraph "a". 38 34 b. If a majority of voters do not authorize increasing the 38 35 rate of the assessment for direct use pursuant to a special 39 1 referendum conducted under this section, the rate for the state 39 2 assessment for clean water shall be the same as provided in 39 3 subsection 1, paragraph "b". 39 4b.7. Not more than one special referendum to establish an 39 5 assessment for direct use or to establish a state assessment 39 6 for clean water shall be conducted pursuant to this section. 39 7 Sec. 43. Section 182.14, Code 2016, is amended to read as 39 8 follows: 39 9 182.14AssessmentAssessments. 39 10 1. An assessment for direct use or a state assessment for 39 11 clean water provided in this chapter shall be imposed on the 39 12 producer as follows: 39 13 a. If the producer sells wool or sheep to the first 39 14 purchaser within this state, the following shall apply: 39 15 (1) If the sale occurs at a concentration point, the 39 16 assessment shall be imposed at the time of delivery. The first 39 17 purchaser shall deduct the assessment or state assessment from 39 18 the price paid to the producer at the time of sale. 39 19 (2) If the sale does not occur at a concentration point, 39 20 the producer shall deduct the assessment or state assessment 39 21 from the amount received from the sale and shall forward the 39 22 amount deducted to the board within thirty days following each 39 23 calendar quarter. 39 24 b. If the producer sells, ships, or otherwise disposes of 39 25 wool or sheep to any person outside this state, the producer 39 26 shall deduct the assessment or state assessment from the amount 39 27 received from the sale and shall forward the amount deducted 39 28 to the board. 39 29 2. The assessment for direct use or the state assessment 39 30 for clean water imposed by this section shall be remitted to 39 31 the board not later than thirty days following each calendar 39 32 quarter during which the assessment amount or state assessment 39 33 amount was deducted. 39 34 Sec. 44. Section 182.15, subsection 1, paragraph e, Code 39 35 2016, is amended to read as follows: 40 1 e. The rate of withholding and the total amount of the 40 2 assessment for direct use and the state assessment for 40 3 clean water withheld. The board may require the invoice to 40 4 separately indicate the amount withheld for the assessment for 40 5 direct use and the state assessment for clean water. 40 6 Sec. 45. Section 182.16, Code 2016, is amended to read as 40 7 follows: 40 8 182.16Deposit and disbursementAdministration offunds 40 9moneys. 40 10 1. The board shall depositamountsmoneys collected from the 40 11 assessment for direct use imposed pursuant to section 182.14 in 40 12 an account established pursuant to section 182.12. Expenses 40 13 and disbursements incurred and made pursuant to this chapter 40 14 shall be made by voucher, draft, or check bearing the signature 40 15 of a person designated by majority vote of the board. 40 16 2. The board may deposit moneys collected from the state 40 17 assessment for clean water in a qualified financial institution 40 18 until transferred to the clean water fund created in section 40 19 466B.51. If the state assessment for clean water is terminated 40 20 as provided in section 182.4, the remaining moneys collected 40 21 from that state assessment shall be immediately transferred to 40 22 the clean water fund. 40 23 Sec. 46. Section 182.17, Code 2016, is amended to read as 40 24 follows: 40 25 182.17 Refunds. 40 26 1. a. A producer who has paid the assessment for direct use 40 27 may, by application in writing to the board, secure a refund of 40 28 all or part of the amount paid to the board. 40 29 b. A producer who has paid the state assessment for clean 40 30 water to the board may, by application in writing to the board, 40 31 secure a refund of all or part of the amount paid to the board. 40 32 The board shall transmit any approved application for a refund 40 33 to the division of soil conservation and water quality of the 40 34 department of agriculture and land stewardship for payment. 40 35 2. The refund shall be payable only when the application has 41 1 been made to the board within sixty days after the deduction 41 2 has been made by the producer or within sixty days after the 41 3 remittance has been made by the first purchaser. 41 4 3. Each application for refund by a producer shall have 41 5 an attached proof indicating that the assessment for direct 41 6 use was paid. If a state assessment for clean water is 41 7 imposed, the attached proof shall also indicate that the state 41 8 assessment has also been paid. The attached proofof the 41 9 assessment paidmay be in the form of a duplicate or certified 41 10 copy of the purchase invoice by the purchaser. 41 11 4. The application shall allow the applicant to elect 41 12 whether the refund is for the assessment for direct use or the 41 13 state assessment for clean water or both. The board shall not 41 14 approve an application unless the application indicates the 41 15 election. 41 16 Sec. 47. Section 182.18, Code 2016, is amended to read as 41 17 follows: 41 18 182.18 Use of moneys. 41 19 1. Moneys from the assessment for direct use collected 41 20 under this chapter are subject to audit by the auditor of state 41 21 and shall be used by theIowa sheep and wool promotionboard 41 22 first for the payment of collection and refund expenses, second 41 23 for payment of the costs and expenses arising in connection 41 24 with conducting referendums, third for the purposes identified 41 25 in section 182.11, and fourth for the cost of audits for 41 26 the auditor of state. Moneys of the board remaining after 41 27 a special referendum is held at which a majority of the 41 28 voters favor termination of the board and the assessment for 41 29 direct use shall continue to be expended in accordance with 41 30 this chapter until exhausted. The auditor of state may seek 41 31 reimbursement for the cost of the audit. 41 32 2. Except as expressly provided in this chapter, moneys 41 33 collected by the board from the state assessment for clean 41 34 water shall not be used for any purpose other than to be 41 35 transferred to the clean water fund created in section 466B.51. 42 12.3. The board shall not engage in any political activity, 42 2 and it shall be a condition of any allocation of funds that 42 3 any organization receiving funds shall not expend the funds on 42 4 political activity or on any attempt to influence legislation. 42 5 Sec. 48. Section 182.22, Code 2016, is amended to read as 42 6 follows: 42 7 182.22 Purchasers outside Iowa. 42 8 The secretary may enter into arrangements with first 42 9 purchasers from outside Iowa for payment of the assessment for 42 10 direct use and the state assessment for clean water. 42 11 DIVISION IV 42 12 IOWA PORK PRODUCERS COUNCIL 42 13 IOWA PORK PRODUCERS ASSOCIATION 42 14 Sec. 49. Section 183A.1, subsection 1, Code 2016, is amended 42 15 to read as follows: 42 16 1. "Assessment" means an excise tax on the sale of porcine 42 17 animalsas provided in this chapterwhich may include an 42 18 assessment for direct use and a state assessment for clean 42 19 water. 42 20 Sec. 50. Section 183A.1, Code 2016, is amended by adding the 42 21 following new subsection: 42 22 NEW SUBSECTION. 4A. "National assessment" means an excise 42 23 tax on the sale of porcine animals imposed pursuant to the Pork 42 24 Promotion Act. 42 25 Sec. 51. Section 183A.1, subsection 7, Code 2016, is amended 42 26 to read as follows: 42 27 7. "Pork Promotion Act" means the federal Pork Promotion, 42 28 Research, and Consumer Information Act of 1985, 7 U.S.C. {4801 42 29 et seq. 42 30 Sec. 52. Section 183A.5, subsection 1, paragraph i, Code 42 31 2016, is amended to read as follows: 42 32 i. Receive, administer, disburse and account for, in 42 33 addition to thefundsmoneys received from the assessment for 42 34 direct use and the state assessment for clean water provided in 42 35 this chapter, otherfundsmoneys voluntarily contributed to the 43 1 council for the purpose of promoting the pork industry. 43 2 Sec. 53. Section 183A.5, Code 2016, is amended by adding the 43 3 following new subsection: 43 4 NEW SUBSECTION. 4. The council shall cooperate with 43 5 the division of soil conservation and water quality of the 43 6 department of agriculture and land stewardship in doing all of 43 7 the following: 43 8 a. Transferring moneys collected from the state assessment 43 9 for clean water imposed as a result of a special referendum 43 10 conducted pursuant to section 183A.9 to the clean water fund 43 11 created in section 466B.51. 43 12 b. Being reimbursed for reasonable expenses incurred in 43 13 conducting an initial or special referendum to establish, 43 14 continue, or terminate a state assessment for clean water. 43 15 Sec. 54. Section 183A.6, Code 2016, is amended to read as 43 16 follows: 43 17 183A.6AssessmentAssessments. 43 18 1. The council shallmakeimpose an assessment for direct 43 19 use of not less than point zero zero two nor more than point 43 20 zero zero three of the gross sale price of all porcine animals. 43 21 The assessment for direct use shall be point zero zero two five 43 22 of the gross sale price of porcine animals until consent to 43 23 an assessment has been given through the initial referendum 43 24 referred to in this chapter. After approval of the initial 43 25 referendum, the rate of assessment for direct use shall be 43 26determinedestablished by the council. 43 27 2. a. If an assessment for direct use is imposed under 43 28 subsection 1, the council shall impose a state assessment for 43 29 clean water if approved at a special referendum conducted 43 30 pursuant to section 183A.9. The rate of the state assessment 43 31 for clean water shall be established by the council as provided 43 32 in that section. 43 33 b. If a national assessment is imposed under section 43 34 183A.9A, the Iowa pork producers association shall impose a 43 35 state assessment for clean water if approved at a special 44 1 referendum conducted pursuant to section 183A.9. The rate 44 2 of the state assessment for clean water shall be established 44 3 by the Iowa pork producers association as provided in that 44 4 section. 44 5 3. a. The assessment for direct use and the state 44 6 assessment for clean water shall be made at the time of 44 7 delivery of the porcine animals for sale, and shall be deducted 44 8 by the first purchaser from the price paid to the seller. The 44 9 first purchaser, at the time of sale, shall make and deliver 44 10 to the seller an invoice for each purchase showing the names 44 11 and addresses of the seller and the first purchaser, the number 44 12 and kind of porcine animals sold, the date of sale,andthe 44 13 assessment for direct use, and any state assessment for clean 44 14 water, made on the sale. The council may require the invoice 44 15 to separately indicate the amount withheld for the assessment 44 16 for direct use and the state assessment for clean water. 44 17 b.AssessmentsAn assessment for direct use and the state 44 18 assessment for clean water shall be paid to the Iowa pork 44 19 producers council or its designated agent by first purchasers 44 20 at a time prescribed by the council, but not later than the 44 21 last day of the month following the month in which the animals 44 22 were purchased. 44 23 4. If a national assessment is imposed pursuant to section 44 24 183A.9A, and a state assessment for clean water is imposed 44 25 under section 183A.9, the Iowa pork producers association shall 44 26 impose and collect the state assessment for clean water in 44 27 the same manner as the assessment for direct use set forth in 44 28 subsection 3. However, the Iowa pork producers association may 44 29 impose and collect the state assessment for clean water based 44 30 on procedures for the national assessment as set forth in the 44 31 Pork Promotion Act. The invoice may correspond to any invoice 44 32 required by the Pork Promotion Act. 44 33 Sec. 55. Section 183A.7, Code 2016, is amended to read as 44 34 follows: 44 35 183A.7 Administration of moneys ==== appropriation. 45 1 1. a.AssessmentsAn assessment for direct use imposed 45 2under this chapterpursuant to section 183A.6 and paid to and 45 3 collected by the Iowa pork producers council shall be deposited 45 4 in the pork promotion fund which is established in the office 45 5 of the treasurer of state. The department of administrative 45 6 services shall transfer moneys from the pork promotion fund 45 7 to the council for deposit into an account established by the 45 8 council in a qualified financial institution. The department 45 9 shall transfer the moneys as provided in a resolution adopted 45 10 by the council. However, the department is only required to 45 11 transfer moneys once during each day and only during hours when 45 12 the offices of the state are open. 45 13 b. All moneys deposited in the pork promotion fund and 45 14 transferred to the council as provided in this section are 45 15 appropriated and shall be used for the administration of this 45 16 chapter and for the payment of claims based upon obligations 45 17 incurred in the performance of activities and functions set 45 18 forth in this chapter. 45 19 c. From the moneys collected, deposited, and transferred 45 20 to the council as provided in this chapter, the council shall 45 21 first pay the costs of referendums held pursuant to this 45 22 chapter. Of the moneys remaining, at least twenty=five percent 45 23 shall be remitted to the national pork producers council and 45 24 at least fifteen percent shall be remitted to the Iowa pork 45 25 producers association, in the proportion thecommitteecouncil 45 26 determines, for use by recipients in a manner not inconsistent 45 27 with market development as defined in section 183A.1. Moneys 45 28 remaining shall be spent as found necessary by the council to 45 29 further carry out the provisions and purposes of this chapter. 45 30 d.However, inIn no event shall the total expenses exceed 45 31 the total amount of moneys transferred from the pork promotion 45 32 fund for use by the council. 45 33 2. a. Moneys collected from a state assessment for clean 45 34 water by the council may be deposited in a qualified financial 45 35 institution and shall be transferred to the clean water fund 46 1 created in section 466B.51. 46 2 b. If a national assessment is imposed pursuant to section 46 3 183A.9A, moneys from the state assessment for clean water 46 4 collected by the Iowa pork producers association shall be 46 5 transferred to the clean water fund created in section 466B.51. 46 6 c. The Iowa pork producers association shall maintain 46 7 separate accounts for moneys collected from the national 46 8 assessment and the state assessment for clean water. 46 9 d. The Iowa pork producers association shall adopt rules 46 10 as necessary to administer this subsection and other sections 46 11 in this chapter which directly or indirectly relate to this 46 12 subsection. 46 13 Sec. 56. Section 183A.8, Code 2016, is amended to read as 46 14 follows: 46 15 183A.8 Refund ofassessmentthe assessments. 46 16 1. A producer from whomthean assessment for direct use or 46 17 a state assessment for clean water has been deducted, uponis 46 18 entitled to receive a refund upon filing a written application 46 19filedwith the council within thirty days after its collection, 46 20 shall have that amount refunded by the council. 46 21 2. a.ApplicationIf an assessment for direct use or 46 22 an assessment for direct use and any state assessment for 46 23 clean water are imposed, application forms shall be given by 46 24 the council to each first purchaser when requested and the 46 25 first purchaser shall make the applications available to any 46 26 producer. 46 27 b. Each application for a refund by a producer shall have 46 28 attached a proof of assessment for direct use deducted. If 46 29 the assessment for direct use and state assessment for clean 46 30 water are imposed, the attached proof shall indicate the amount 46 31 of the assessment and the amount of the state assessment 46 32 deducted. The proof of the assessment for direct use and any 46 33 state assessment for clean water deducted shall be in the form 46 34 of the original or a copy of the purchase invoice by the first 46 35 purchaser. The application shall allow the applicant to elect 47 1 whether the refund is for the assessment for direct use or the 47 2 state assessment for clean water or both. The council shall 47 3 not approve an application unless the application indicates the 47 4 election. 47 5 3. The council shall havenonot more than thirty days from 47 6 the date the application for a refund is received toremitdo 47 7 all of the following: 47 8 a. Remit the amount of the refund of an assessment for 47 9 direct use to the producer. 47 10 b. Submit an approved application for the refund of a state 47 11 assessment for clean water to the division of soil conservation 47 12 and water quality of the department of agriculture and land 47 13 stewardship which shall remit the amount of the refund to the 47 14 producer. 47 15 4. If a national assessment is established pursuant to 47 16 section 183.9A and a state assessment for clean water is 47 17 established pursuant to section 183.9, the producer shall file 47 18 a written application with the Iowa pork producers association 47 19 in lieu of the council in the same manner as provided in 47 20 subsection 1 and the Iowa pork producers association shall 47 21 make applications available to first purchasers as provided in 47 22 subsection 2. However, the Iowa pork producers association 47 23 may provide for filing applications for a refund based on any 47 24 applicable procedures set forth in the Pork Promotion Act. In 47 25 any case, the Iowa pork producers association must transfer 47 26 approved applications for refunds to the division of soil 47 27 conservation and water quality of the department of agriculture 47 28 and land stewardship for payment to producers in the same 47 29 manner as described in subsection 3. 47 30 Sec. 57. Section 183A.9, Code 2016, is amended to read as 47 31 follows: 47 32 183A.9ReferendumInitial and special referendums ==== 47 33 assessments. 47 34 1. At a time designated by the council within eighteen 47 35 months after the termination of the collection ofassessments 48 1the national assessment imposed under the Pork Promotion Act, 48 2 the secretary shall conduct an initial referendumunderto 48 3 establish an Iowa pork producers council and an assessment for 48 4 direct use. The referendum shall be conducted according to 48 5 administrative proceduresprescribedadopted by the department 48 6 of agriculture and land stewardship. 48 7 2. If an assessment for direct use is established and upon 48 8 receipt of a request of ten percent or more of the number 48 9 of producers eligible to vote, the secretary shall conduct a 48 10 special referendum to determine whether producers favor the 48 11 establishment of a state assessment for clean water. The 48 12 special referendum shall be conducted in the same manner as 48 13 an initial referendum conducted pursuant to subsection 1. 48 14 The rate of the state assessment for clean water shall be 48 15 established by the Iowa pork producers council not to exceed 48 16 the rate of the assessment for direct use established pursuant 48 17 to an initial referendum described in section 183A.6. 48 18 3. Upon receipt of petition that otherwise complies with 48 19 the requirements of subsection 2, the secretary may in lieu of 48 20 conducting a special referendum include as part of the initial 48 21 referendum a separate special question whether to establish a 48 22 state assessment for clean water, if the secretary determines 48 23 it to be cost=effective or the petition demands it. 48 24 4. Upon signing a statement certifying to the secretary 48 25 that the person is a bona fide producer as defined in this 48 26 chapter, each producer is entitled to one vote in each initial 48 27 or special referendum. The secretary shall determine the 48 28 qualification of producers under this section. 48 29 5. The secretary shall count and tabulate the ballots 48 30 filed during the initial or special referendum within thirty 48 31 days of the close of the referendum. If from the tabulation 48 32 the secretary determines that a majority of the total number 48 33 of producers voting in the initial referendum favors the 48 34 establishment of the assessment for direct use, the assessment 48 35 provided for in the referendum shall beleviedimposed. If 49 1 from the tabulation the secretary determines that a majority of 49 2 the total number of producers voting in the initial or special 49 3 referendum favors the establishment of the state assessment 49 4 for clean water, the state assessment shall be imposed. The 49 5 ballots cast pursuant to this section constitute complete and 49 6 conclusive evidence for use in determinations made by the 49 7 secretary under this chapter. 49 8 6. a. The secretary shallhold subsequent referendums 49 9conduct a special referendum onrequest ofreceipt of a 49 10 petition signed by ten percent or more of the number of 49 11 producers eligible to vote, to determine whether the producers 49 12 favorthe termination orany of the following: 49 13 (1) The suspension of the assessment for direct use. 49 14 (2) The termination of the assessment for direct use and the 49 15 state assessment for clean water, if established. 49 16 b. The secretary shall suspend or terminatecollection 49 17 ofthe assessment for direct use within six months after the 49 18 secretary determines that suspension or termination of the 49 19 assessment for direct use is favored by a majority of the 49 20 producers voting in the special referendum, and. The secretary 49 21 shall terminate the assessment for direct use in an orderly 49 22 manner as soon as practicable after the determination. 49 23 7. a. The secretary shall conduct a special referendum on 49 24 receipt of a petition of producers otherwise complying with the 49 25 requirements in subsection 6 to conduct a special referendum to 49 26 terminate the state assessment for clean water. 49 27 b. Upon receipt of a petition that otherwise complies 49 28 with the requirements of subsection 6, the secretary shall 49 29 include as part of the special referendum conducted under that 49 30 subsection a separate special question whether to terminate the 49 31 state assessment for clean water, if the secretary determines 49 32 the inclusion of the special question is cost=effective or the 49 33 petition demands inclusion. 49 34 8. The secretary shall terminate the state assessment for 49 35 clean water in the same manner as provided in subsection 6, 50 1 upon determining that the council is abolished, the assessment 50 2 for direct use is not being collected, and the national 50 3 assessment is not being collected. 50 4 Sec. 58. Section 183A.9A, Code 2016, is amended to read as 50 5 follows: 50 6 183A.9A Suspension during national order. 50 7 1. The terms of all voting members serving on the council on 50 8 January 31, 1986, terminate at the time provided in subsection 50 9 2. 50 10 2. a. On the date of the commencement of the collection 50 11 ofassessmentsa national assessment under the Pork Promotion 50 12 Act, the collection of theassessmentsassessment for direct 50 13 use under section 183A.6 shall be suspended. The council shall 50 14 continue to operate after suspension until all refunds are paid 50 15 and allfundsmoneys remaining in the pork promotion fund, less 50 16 a reserve for future refunds, are disbursed for the purposes 50 17 enumerated in this chapter. Notwithstanding section 183A.7, 50 18 the council need not retain a reserve for future referendums. 50 19 Upon completion of these acts, the existence of the Iowa pork 50 20 producers council is suspended. The secretaryof agriculture50 21 shall certify the suspension of the council as of a date 50 22 certain to the Iowa pork producers council and the Iowa pork 50 23 producers association. When the existence of the council is 50 24 suspended, the terms of office of council members terminate. 50 25 b. On the date of the commencement of the collection of 50 26 the national assessment under the Pork Promotion Act, the Iowa 50 27 pork producers association shall assume collection of the state 50 28 assessment for clean water under section 183A.9. 50 29 3. a. If the rate of the national assessment has changed, 50 30 and upon receipt of a petition that otherwise complies 50 31 with requirements for submitting a petition to suspend or 50 32 terminate an assessment for direct use under section 183A.9, 50 33 the secretary shall conduct a special referendum to determine 50 34 whether to change the rate of the state assessment for 50 35 clean water to a rate established by the Iowa pork producers 51 1 association not to exceed the rate of the national assessment. 51 2 b. Upon receipt of a petition that otherwise complies with 51 3 requirements for submitting a petition to suspend or terminate 51 4 an assessment for direct use under section 183A.9, the 51 5 secretary shall include as part of a referendum to change the 51 6 rate of the national assessment, a separate special question 51 7 whether to change the rate of the state assessment for clean 51 8 water not to exceed the change in the national assessment, if 51 9 the secretary determines the inclusion of the special question 51 10 complies with federal law and either it is cost=effective or 51 11 the petition demands inclusion. 51 12 c. If the national assessment is changed, and the secretary 51 13 determines that a change in the state assessment for clean 51 14 water is favored by a majority of the producers voting in a 51 15 special referendum or special question as part of a referendum 51 16 to change the rate of the national assessment, the rate of 51 17 the state assessment shall be changed on a date determined by 51 18 the secretary after consultation with the Iowa pork producers 51 19 association but not later than six months after the date that 51 20 the special referendum or referendum was conducted. 51 213.4. On the date of the termination of the collection of 51 22assessmentsthe national assessment under the Pork Promotion 51 23 Act, the period of suspension of theassessmentsassessment 51 24 for direct use under subsection 2 terminates. The secretary 51 25 shall collect moneys from theassessmentsassessment for direct 51 26 use under section 183A.6 and the state assessment for clean 51 27 water under section 183A.9 until this duty can be resumed by 51 28 the reactivated council. The secretary shall deposit moneys 51 29 collected from the assessment for direct use in the pork 51 30 promotion fund. The secretary shall transfer moneys collected 51 31 from the state assessment for clean water to the clean water 51 32 fund created in section 466B.51. 51 334.5. On the date of the termination of the collection of 51 34assessmentsthe national assessment under the Pork Promotion 51 35 Act, the period of suspension of the council under subsection 2 52 1 terminates. Within sixty days from this date, the secretary 52 2 shall appoint voting members to the council. For purposes of 52 3 section 183A.3, a voting member so appointed is deemed not to 52 4 have served a previous consecutive term. The terms of office 52 5 of voting members of the initial reactivated council shall be 52 6 determined by lot, but members from the same district shall 52 7 not serve the same terms. As nearly as possible one=third of 52 8 the voting members shall serve for one year, one=third of the 52 9 voting members shall serve for two years, and one=third of the 52 10 voting members shall serve for three years. Subsequent voting 52 11 members shall be appointed pursuant to section 183A.2. 52 125.6. The secretary shall call the first meeting of the 52 13 reactivated council. Upon reactivation, the council shall 52 14 reimburse the secretary for expenses incurred in carrying out 52 15 the duties provided in this section. 52 16 Sec. 59. Section 183A.9A, Code 2016, is amended by adding 52 17 the following new subsections: 52 18 NEW SUBSECTION. 6. The state recognizes the Iowa pork 52 19 producers association as a state association under the Pork 52 20 Promotion Act. For purposes of this chapter, "association" 52 21 shall include a successor state association or other state 52 22 association that administers the national assessment in Iowa. 52 23 NEW SUBSECTION. 7. If a state assessment for clean water 52 24 is established or continued pursuant to sections 183A.9 and 52 25 183A.9B, the Iowa pork producers association shall administer 52 26 the state assessment for the period that the Pork Promotion Act 52 27 is in effect, unless the state assessment is terminated under 52 28 section 183A.9. 52 29 NEW SUBSECTION. 8. The Iowa pork producers association 52 30 shall cooperate with the division of soil conservation and 52 31 water quality of the department of agriculture and land 52 32 stewardship in doing all of the following: 52 33 a. Transferring moneys from the state assessment for clean 52 34 water to the clean water fund created in section 466B.51. 52 35 b. Being reimbursed for reasonable expenses incurred in 53 1 conducting an initial or special referendum to establish, 53 2 continue, or terminate a state assessment for clean water. 53 3 DIVISION V 53 4 IOWA EGG COUNCIL 53 5 Sec. 60. Section 184.1, subsection 1, Code 2016, is amended 53 6 to read as follows: 53 7 1. "Assessment" means an excise tax on the sale of eggsas 53 8 provided in this chapterwhich may include an assessment for 53 9 direct use and a state assessment for clean water. 53 10 Sec. 61. Section 184.2, Code 2016, is amended to read as 53 11 follows: 53 12 184.2 Establishment of Iowa egg council andassessment 53 13assessments. 53 14 1. The secretary shall call and the department shall 53 15 conductaan initial referendum upon the department's receipt 53 16 of a petition for direct use which is signed by at least 53 17 twenty producers requestingaan initial referendum to 53 18 determine whether to establish an Iowa egg council and to 53 19imposeestablish an assessment for direct use to be imposed as 53 20 provided in section 184.3. 53 21 2. a. If the council has been established, the secretary 53 22 shall call and the department shall conduct a special 53 23 referendum upon the department's receipt of a petition that 53 24 otherwise complies with subsection 1 calling for a state 53 25 assessment for clean water to be imposed as provided in section 53 26 184.3. 53 27 b. Upon receipt of petition that otherwise complies with 53 28 subsection 1, the secretary may in lieu of conducting a special 53 29 referendum include as part of the initial referendum a separate 53 30 special question whether to establish a state assessment for 53 31 clean water to be imposed as provided in section 184.3, if the 53 32 secretary determines the inclusion of the special question is 53 33 cost=effective or the petition demands inclusion. 53 34 3. The initial referendum or a special referendum described 53 35 in this section shall be conducted within sixty days following 54 1 receipt of the petition. The petitioners shall guarantee 54 2 payment of the cost of the initial referendum or special 54 3 referendum by providing evidence of financial security as 54 4 required by the department. 54 52.4. The department shall give notice of the initial 54 6 referendumon the question whether to establish a council and 54 7 to impose an assessmentor special referendum described in this 54 8 section by publishing the notice for a period of not less than 54 9 five days in at least one newspaper of general circulation in 54 10 the state. The notice shall state the voting places, period 54 11 of time for voting, and other information deemed necessary by 54 12 the department.AAn initial referendum or special referendum 54 13 shall not be commenced until five days after the last date of 54 14 publication. 54 153. a.5. Each producer who signs a statement certifying 54 16 that the producer is a bona fide producer shall be an eligible 54 17 voter under this section. An eligible voter is entitled to 54 18 cast one vote in each initial referendum or special referendum 54 19 conducted under this section. 54 20b.6. At the close of the initial referendum or special 54 21 referendum, the secretary shall count and tabulate the ballots 54 22 cast. 54 23(1)7. a. If a majority of eligible voters approve 54 24 establishingan Iowa egga council andimposingan assessment 54 25 for direct use,athe council and the assessment shall be 54 26 established, andanthe assessment shall be imposed, commencing 54 27 not more than sixty days following the initial referendum as 54 28 determined by the council and shall continue until eligible 54 29 voters voting in a special referendumheldconducted pursuant 54 30 to section 184.5 vote to abolish the council and terminatethe 54 31 imposition ofthe assessment for direct use. 54 32 b. If a majority of eligible voters approve establishing 54 33 a state assessment for clean water, pursuant to a special 54 34 referendum, the state assessment shall be imposed commencing 54 35 not more than sixty days following the special referendum as 55 1 determined by the council. If a majority of eligible voters 55 2 approve establishing a state assessment for clean water, as 55 3 part of an initial referendum the state assessment shall be 55 4 imposed in the same manner described in paragraph "a". The 55 5 state assessment for clean water shall continue until eligible 55 6 voters voting in a special referendum conducted pursuant to 55 7 section 184.5 vote to do any of the following: 55 8 (1) Abolish the council and terminate the assessment for 55 9 direct use. 55 10 (2) Terminate the state assessment for clean water. 55 11(2)8. a. If a majority of the voters do not approve 55 12 establishing the council andimposingthe assessment for direct 55 13 use, the council and the assessment shall not be established, 55 14 andanthe assessment shall not be imposed, until another 55 15 initial referendum isheldconducted under this chapter and a 55 16 majority of the eligible voters approve establishing a council 55 17 andimposing thean assessment for direct use. Ifaan initial 55 18 referendum should fail, another initial referendum to decide 55 19 whether to establish a council and an assessment shall not be 55 20heldconducted within at least one hundred eighty days from the 55 21 date that the last initial referendum was conducted. 55 22 b. If a majority of the voters do not approve establishing 55 23 a state assessment for clean water, the state assessment 55 24 shall not be established until the question is approved at 55 25 a special referendum or as part of an initial referendum 55 26 conducted pursuant to this section. If a special referendum, 55 27 or an initial referendum which includes the question whether 55 28 to establish a state assessment for clean water, should fail, 55 29 the special referendum or an initial referendum which includes 55 30 the special question shall not be conducted for at least one 55 31 hundred eighty days from the date that the last such special 55 32 referendum or initial referendum was conducted. 55 334.9. Immediately after passage of the question to 55 34 establish a council and assessment for direct use atthean 55 35 initial referendum, the secretary shall appoint seven members 56 1 to the council in accordance with section 184.6 based on 56 2 nominations made by the Iowa poultry association. The Iowa 56 3 poultry association shall nominate and the secretary shall 56 4 appoint two members representing large producers, two members 56 5 representing medium producers, and three members representing 56 6 small producers. The department, in consultation with the Iowa 56 7 poultry association, shall determine initial classifications 56 8 for small, medium, and large producers. The secretary shall 56 9 complete the appointments within thirty days following passage 56 10 of the question at the initial referendum. 56 11 Sec. 62. Section 184.3, Code 2016, is amended to read as 56 12 follows: 56 13 184.3AssessmentAssessments and state assessments. 56 14 1.a.Except as provided inparagraph "b"subsection 4, 56 15 an assessment for direct use of two and one=half cents is 56 16 imposed on each thirty dozen eggs produced in this state. The 56 17 assessment for direct use shall be imposed on a producer at the 56 18 time of delivery to a purchaser who shall deduct the assessment 56 19 for direct use from the price paid to a producer at the time of 56 20 sale. 56 21 2. A state assessment for clean water is imposed and 56 22 deducted in the same manner as the assessment for direct use 56 23 provided in subsection 1. The rate of the state assessment for 56 24 clean water shall be established by the council at a rate not 56 25 to exceed the rate of assessment for direct use as provided in 56 26 subsection 1. 56 27 3. The assessment for direct use and the state assessment 56 28 for clean water shall not be refundable. The assessmentisfor 56 29 direct use and state assessment for clean water are due to be 56 30 paid to the council within thirty days following each calendar 56 31 quarter, as provided by the council. 56 32b.4. a. Upon request of the council, the secretary shall 56 33 call a special referendum for producers to vote on whether to 56 34 authorize an increase in the rate of assessment for direct use 56 35 to an amount that is more than two and one=half cents imposed 57 1 on each thirty dozen eggs produced in this state. 57 2 b. Upon request of the council, the secretary shall call 57 3 a special referendum for producers to vote on whether to 57 4 authorize an increase in the state assessment for clean water 57 5 as established by the council not to exceed the rate of the 57 6 assessment for direct use described in paragraph "a". The 57 7 secretary shall include as part of a special referendum to 57 8 increase the rate of the assessment for direct use, a separate 57 9 special question whether to increase the rate of the state 57 10 assessment for clean water. If the secretary determines the 57 11 inclusion of the special question is cost=effective or the 57 12 request demands inclusion. 57 13 5. a. Notice of special referendum described in subsection 57 14 4 shall be given and the special referendum shall be conducted 57 15 in the manner provided in section 184.5. 57 16 b. If a majority of the producers voting approvesthean 57 17 increase in the rate of the assessment for direct use, the 57 18 council may increase the assessmentforto theamountrate 57 19 approved.However, theThe rate of the assessment for direct 57 20 use shall not exceed fifteen cents imposed on each thirty dozen 57 21 eggs produced in this state. If a majority of the producers 57 22 voting approves an increase in the state assessment for 57 23 clean water, the council shall increase the rate of the state 57 24 assessment to a rate not to exceed the rate approved for the 57 25 assessment for direct use. 57 262.6. a. If the producer sells eggs to a purchaser outside 57 27 the state of Iowa, the producer shall deduct the assessment for 57 28 direct use from the amount received from the sale and shall 57 29 forward the amount deducted to the council within thirty days 57 30 following each calendar quarter. 57 31 b. If the producer sells eggs to a purchaser outside the 57 32 state of Iowa, the producer shall deduct the state assessment 57 33 for clean water in the same manner as described in paragraph 57 34 "a". 57 35 7. If the producer and processor are the same person, then 58 1 that person shall pay the assessment for direct use or the 58 2 state assessment for clean water to the council within thirty 58 3 days following each calendar quarter. 58 43.8. The council may charge interest on any amount ofthe 58 5an assessment for direct use or a state assessment for clean 58 6 water that is delinquent. The rate of interest shall not be 58 7 more than the current rate published in the Iowa administrative 58 8 bulletin by the department of revenue pursuant to section 58 9 421.7. The interest amount shall be computed from the date 58 10 the assessment for direct use or state assessment for clean 58 11 water is delinquent, unless the council designates a later 58 12 date. The interest amount shall accrue for each month in which 58 13 there is delinquency calculated as provided in section 421.7, 58 14 and counting each fraction of a month as an entire month. The 58 15 interest amount due shall become a part of the assessment for 58 16 direct use or the state assessment for clean water due. 58 17 Sec. 63. Section 184.4, subsection 1, paragraph e, Code 58 18 2016, is amended to read as follows: 58 19 e. The rate of withholding and the total amount of 58 20 assessment for direct use and the state assessment for clean 58 21 water withheld. The council may require the invoice to 58 22 separately indicate the amount withheld for the assessment for 58 23 direct use and for the state assessment for clean water. 58 24 Sec. 64. Section 184.5, Code 2016, is amended to read as 58 25 follows: 58 26 184.5ReferendumsSpecial referendum conducted to abolish 58 27 the council and terminateimposition ofthe assessment or state 58 28 assessment. 58 29 1. A special referendum may be called to abolish the council 58 30 and terminatethe imposition ofthe assessment for direct use 58 31 established pursuant to section 184.3 and any state assessment 58 32 for clean water established pursuant to that section. 58 33 2. a. A special referendum may be called to terminate 58 34 the state assessment for clean water established pursuant to 58 35 section 184.3. 59 1 b. The secretary shall include as part of a special 59 2 referendum to abolish the council and terminate the assessment 59 3 for direct use described in subsection 1, a separate special 59 4 question whether to terminate the state assessment for clean 59 5 water, if the secretary determines the inclusion of the special 59 6 question is cost=effective or the request demands inclusion. 59 7 3. The secretary shall call, and the department shall 59 8 conduct,thea special referendum described in subsection 59 9 1 upon the department's receipt of a petition requesting 59 10 the special referendum. The petition must be signed by at 59 11 least twenty eligible voters or fifty percent of all eligible 59 12 voters, whichever is greater. In order to be an eligible voter 59 13 under this section, a producer must have paid an assessment 59 14 for direct use established under section 184.3, and a state 59 15 assessment for clean water if established under that section, 59 16 in the year of the special referendum. The special referendum 59 17 shall be conducted within sixty days following receipt of the 59 18 petition. The petitioners shall guarantee payment of the cost 59 19 of the special referendum by providing evidence of financial 59 20 security as required by the department. 59 212.4. The following procedures shall apply to a special 59 22 referendum conducted pursuant to this section: 59 23 a. The department shall publish a notice of the special 59 24 referendum for a period of not less than five days in at least 59 25 one newspaper of general circulation in the state. The notice 59 26 shall state the voting places, period of time for voting, 59 27 and other information deemed necessary by the department. A 59 28 special referendum shall not be commenced until five days after 59 29 the last date of publication. 59 30 b. Upon signing a statement certifying to the secretary that 59 31 the producer is an eligible voter, a producer is entitled to 59 32 one vote in each special referendum conducted pursuant to this 59 33 section. The department may conduct the special referendum 59 34 by mail, electronic means, or a general meeting of eligible 59 35 voters. The department shall conduct the special referendum 60 1 and count and tabulate the ballots filed during the special 60 2 referendum within thirty days following the close of the 60 3 special referendum. 60 4(1)c. If a majority of the total number of eligible 60 5 voters who vote in the special referendumapproveapproves 60 6 the continuation of the council and theimposition of the60 7 assessment for direct use, the council and the imposition of 60 8 the assessment shall continue as provided in this chapter. 60 9 d. If a majority of eligible voters who vote in the special 60 10 referendum approves the continuation of the state assessment 60 11 for clean water, the imposition of the state assessment shall 60 12 continue for the same period as the assessment for direct use. 60 13(2)e. If a majority of the total number of eligible 60 14 voters who vote in the special referendumheld pursuant to 60 15 this sectiondo not approve continuing the council and the 60 16imposition of theassessment for direct use, the secretary 60 17 shall terminatethe collection ofthe assessment for direct use 60 18 established pursuant to section 184.3 and the state assessment 60 19 for clean water if established pursuant to that section, on 60 20 the first day of the year for which the referendum was to 60 21 continue. The secretary shall terminate the activities of the 60 22 council in an orderly manner as soon as practicable after the 60 23 determination is made. An additional initial referendum may be 60 24held as provided inconducted under section 184.2. However, 60 25 thesubsequentadditional referendum shall not beheld within 60 26conducted for at least one hundred eighty days after the date 60 27 that the last such special referendum was conducted. 60 28 f. If a majority of the total number of eligible voters 60 29 who vote in the special referendum do not approve continuing 60 30 the state assessment for clean water, the secretary shall 60 31 terminate the state assessment in an orderly manner as soon as 60 32 practicable after the determination is made. An additional 60 33 special referendum or an additional initial referendum that 60 34 includes a special question to establish the state assessment 60 35 for clean water may be conducted under section 184.2. However, 61 1 the subsequent special referendum or initial referendum shall 61 2 not be conducted for at least one hundred eighty days after 61 3 the date that the last such special referendum or initial 61 4 referendum was conducted. 61 5 Sec. 65. Section 184.10, subsection 4, Code 2016, is amended 61 6 to read as follows: 61 7 4. Enter into arrangements for the collection of the 61 8 assessment for direct use and any state assessment for clean 61 9 water. 61 10 Sec. 66. Section 184.10, Code 2016, is amended by adding the 61 11 following new subsection: 61 12 NEW SUBSECTION. 8. Cooperate with the division of soil 61 13 conservation and water quality of the department of agriculture 61 14 and land stewardship in doing all of the following: 61 15 a. Transferring moneys from the state assessment for clean 61 16 water to the clean water fund created in section 466B.51. 61 17 b. Being reimbursed for reasonable expenses incurred in 61 18 conducting an initial or special referendum to establish, 61 19 continue, or terminate a state assessment for clean water. 61 20 Sec. 67. Section 184.13, Code 2016, is amended to read as 61 21 follows: 61 22 184.13 Administration of moneys. 61 23 1. Subject to the provisions of section 184.3, the 61 24 assessmentimposed by this chapterfor direct use established 61 25 pursuant to section 184.3, and the state assessment for 61 26 clean water if established pursuant to that section, shall 61 27 be remitted by the purchaser to the council not later than 61 28 thirty days following each calendar quarter during which the 61 29 assessment was collected. 61 30 2.AmountsMoneys collected from the assessment for direct 61 31 use shall be deposited in the office of the treasurer of 61 32 state in a separate fund to be known as the Iowa egg fund. 61 33 The department of administrative services shall transfer 61 34 moneys from the fund to the council for deposit into an 61 35 account established by the council in a qualified financial 62 1 institution. The department shall transfer the moneys as 62 2 provided in a resolution adopted by the council. However, the 62 3 department is only required to transfer moneys once during each 62 4 day and only during hours when the offices of the state are 62 5 open. 62 6 3. Moneys collected from a state assessment for clean 62 7 water by the council may be deposited in a qualified financial 62 8 institution and shall be transferred to the clean water fund 62 9 created in section 466B.51. 62 10 Sec. 68. Section 184.14, Code 2016, is amended to read as 62 11 follows: 62 12 184.14 Use of moneys ==== appropriation ==== audit. 62 13 1. All moneys deposited in the Iowa egg fund and transferred 62 14 to the council as provided in section 184.13 are appropriated 62 15 and shall be used for the administration of this chapter and 62 16 for the payment of claims based upon obligations incurred in 62 17 the performance of activities and functions set forth in this 62 18 chapter. 62 19 2. a. Moneys collected, deposited in the fund, and 62 20 transferred to the council as provided in this chapter are 62 21 subject to audit by the auditor of state. The auditor of state 62 22 may seek reimbursement for the cost of the audit. The moneys 62 23 transferred to the council shall be used by the council first 62 24 for the payment of collection expenses, second for payment of 62 25 the costs and expenses arising in connection with conducting 62 26 referendums, third to perform the functions and carry out the 62 27 duties of the council as provided in this chapter, and fourth 62 28 for the cost of audits by the auditor of state. 62 29 b.MoneysThe moneys remaining after the council is 62 30 abolished and the imposition ofanthe assessment for direct 62 31 use imposed pursuant to section 184.3 is terminated pursuant to 62 32 a special referendum conducted pursuant to section 184.5 shall 62 33 continue to be expended in accordance with this chapter until 62 34 exhausted. 62 35 3. If the council is abolished and the assessment for direct 63 1 use is terminated pursuant to a special referendum conducted 63 2 under section 184.5, remaining moneys collected from the state 63 3 assessment for clean water shall be transferred to the clean 63 4 water fund created in section 466B.51. If the state assessment 63 5 for clean water is terminated pursuant to a special referendum 63 6 conducted under that section, remaining moneys collected from 63 7 the state assessment shall be transferred to the clean water 63 8 fund created in section 466B.51. 63 9 4. Except as expressly provided in this chapter, moneys 63 10 collected from a state assessment for clean water shall not be 63 11 used for any purpose other than to be transferred to the clean 63 12 water fund created in section 466B.51. 63 13 Sec. 69. Section 184.18, Code 2016, is amended to read as 63 14 follows: 63 15 184.18 Purchasers outside Iowa. 63 16 The secretary may enter into arrangements with purchasers 63 17 from outside Iowa for payment of the assessment for direct use 63 18 and the state assessment for clean water. 63 19 DIVISION VI 63 20 IOWA TURKEY MARKETING COUNCIL 63 21 Sec. 70. Section 184A.1, Code 2016, is amended by adding the 63 22 following new subsection: 63 23 NEW SUBSECTION. 1A. "Assessment" means an excise tax 63 24 imposed on the sale of turkeys which may include an assessment 63 25 for direct use and a state assessment for clean water. 63 26 Sec. 71. Section 184A.1A, Code 2016, is amended to read as 63 27 follows: 63 28 184A.1AReferendum conducted to establish an Iowa turkey 63 29 marketing council and impose an assessmentReferendums and 63 30 assessments. 63 31 1. The department shall call and conductaan initial 63 32 referendum upon the department's receipt of a petition which 63 33 is signed by at least twenty eligible voters requestinga 63 34an initial referendum to determine whether to establish an 63 35 Iowa turkey marketing council as provided in section 184A.1B 64 1 andimposeestablish an assessment for direct use imposed as 64 2 provided in section 184A.2. 64 3 2. If a council is established, and upon receipt of a 64 4 petition that otherwise complies with the requirements of 64 5 subsection 1, the department shall call and conduct a special 64 6 referendum to establish a state assessment for clean water as 64 7 provided in section 184A.2. 64 8 3. Upon receipt of a petition that otherwise complies 64 9 with the requirements of subsection 1, the secretary shall 64 10 include as part of the initial referendum a separate special 64 11 question whether to establish a state assessment for clean 64 12 water described in subsection 2, if the secretary determines 64 13 the inclusion of the special question is cost=effective or the 64 14 petition demands inclusion. 64 15 4. In order to be an eligible voter under this section, 64 16 a petitioner must be a qualified producer. The initial or 64 17 special referendum shall be conducted by election within sixty 64 18 days following receipt of the petition. The petitioners shall 64 19 guarantee payment of the cost of the referendum by providing 64 20 evidence of financial security as required by the department. 64 212.5. The department shall give notice ofthean initial 64 22 referendumon the question whether to establish a council and 64 23 to impose an assessmentor special referendum by publishing 64 24 the notice for a period of not less than five days in at least 64 25 one newspaper of general circulation in the state, and for 64 26 a similar period in other newspapers as prescribed by the 64 27 department. The notice shall state the voting places, period 64 28 of time for voting, the manner of voting, the amount of the 64 29 assessment for direct use or the amount of the state assessment 64 30 for clean water, and other information deemed necessary by the 64 31 department. A referendum or special referendum shall not be 64 32 commenced until five days after the last date of publication. 64 333.a.6. Each eligible voter who signs a statement 64 34 certifying that the eligible voter is a qualified producer 64 35 shall be an eligible voter under this section. An eligible 65 1 voter is entitled to cast one vote in each initial referendum 65 2 or special referendum conducted under this section. The 65 3 department may conduct the initial referendum or special 65 4 referendum by mail, electronic means, or a general meeting of 65 5 eligible voters. 65 6b.7. At the close of the initial referendum or special 65 7 referendum, the department shall count and tabulate the ballots 65 8 cast. 65 9(1)8. a. If a majority of eligible voters who vote in 65 10thean initial referendum approve establishing the council and 65 11imposingan assessment for direct use under section 184A.2, a 65 12 council and the assessment shall be established, andanthe 65 13 assessment shall be imposed commencing not more than sixty days 65 14 following the initial referendum as determined by the council. 65 15 The council and assessment for direct use shall continue for 65 16 five years as provided in section 184A.12. 65 17 b. If a majority of eligible voters who vote in a special 65 18 referendum approve establishing a state assessment for clean 65 19 water, the state assessment shall be imposed commencing not 65 20 more than sixty days following the special referendum as 65 21 determined by the council. 65 22(2)c. If a majority of eligible voters who vote inthean 65 23 initial referendum do not approve establishing the council and 65 24imposing thean assessment for direct use, the council shall 65 25 not be established and an assessment shall not be established 65 26 and imposed until another initial referendum isheldconducted 65 27 under this section and a majority of the eligible voters voting 65 28 approve establishing a council andimposing thean assessment 65 29 for direct use. Ifaan initial referendum should fail, 65 30 another initial referendum shall not beheld withinconducted 65 31 for at least one hundred eighty days from the date of the last 65 32 such initial referendum. 65 33 d. If a majority of the voters do not approve establishing 65 34 a state assessment for clean water, the state assessment shall 65 35 not be established and imposed until the question is approved 66 1 at a special referendum or as part of an initial referendum 66 2 conducted pursuant to this section. If a special referendum 66 3 or an initial referendum which includes the question whether 66 4 to establish a state assessment for clean water should fail, 66 5 the special referendum or an initial referendum which includes 66 6 the question shall not be conducted for at least one hundred 66 7 eighty days from the date of the last such special referendum 66 8 or initial referendum which included the special question. 66 94.9. Within thirty days after approval at the initial 66 10 referendum to establish a council andto imposean assessment 66 11 for direct use, the department shall organize the council as 66 12 provided in section 184A.1B. 66 13 Sec. 72. Section 184A.1C, subsection 4, Code 2016, is 66 14 amended to read as follows: 66 15 4. Enter into arrangements for the collection,anddeposit, 66 16 and use of the assessment for direct use or the collection, 66 17 deposit, and transfer of the state assessment for clean water. 66 18 Sec. 73. Section 184A.1C, Code 2016, is amended by adding 66 19 the following new subsection: 66 20 NEW SUBSECTION. 7. Cooperate with the division of soil 66 21 conservation and water quality of the department of agriculture 66 22 and land stewardship in doing all of the following: 66 23 a. Transferring moneys collected from the state assessment 66 24 for clean water to the clean water fund created in section 66 25 466B.51. 66 26 b. Being reimbursed for reasonable expenses incurred in 66 27 conducting an initial or special referendum to establish, 66 28 continue, or terminate a state assessment for clean water. 66 29 Sec. 74. Section 184A.2, Code 2016, is amended to read as 66 30 follows: 66 31 184A.2AssessmentAssessments ==== direct use ==== clean water. 66 32 1. If an assessment for direct use or a state assessment for 66 33 clean water is approved by a majority of the eligible voters 66 34 voting ataan initial referendum or special referendum as 66 35 provided in section 184A.1A or 184A.12, all of the following 67 1 shall apply: 67 2 a. The assessment for direct use or the state assessment 67 3 for clean water shall be imposed on each turkey delivered for 67 4 processing. 67 5 b. The council shall establish a rate of the assessment 67 6 for direct use and the state assessment for clean water 67 7 quality for each turkey delivered for processing. The 67 8 council may establish different rates based on attributes 67 9 or characteristics of turkeys. However, a rate shall not 67 10 be more than three cents for each turkey delivered for 67 11 processing. The rate of the state assessment for clean water 67 12 shall be established by the council at a rate not to exceed 67 13 the assessment for direct use in effect when the referendum 67 14 establishing the state assessment passes. 67 15 c. The assessment for direct use or the state assessment 67 16 for clean water shall be imposed on the producer and collected 67 17 at the time of delivery of a turkey to the processor. The 67 18 assessment for direct use and the state assessment for clean 67 19 water shall be deducted by the processor at the time of 67 20 delivery from the price paid to the producer at the time of the 67 21 sale to the processor. A processor shall remitassessments 67 22moneys collected from the assessment for direct use or 67 23 the state assessment for clean water to the council on a 67 24 monthly basis as provided by the council. The council shall 67 25 deposit the remittedassessments inmoneys collected from the 67 26 assessment for direct use to the Iowa turkey fund as provided 67 27 in section 184A.4. The council shall transmit moneys collected 67 28 from the state assessment for clean water to the clean water 67 29 fund created in section 466B.51. 67 30 2. The council may enter into agreements with processors 67 31 from outside this state for the payment of the assessment for 67 32 direct use and the state assessment for clean water. 67 33 3. a. The council shall provide for a refund of an 67 34 assessment for direct use, and of a state assessment for 67 35 clean water if established, according to rules adopted by the 68 1 council. 68 2 b. The council shall publish and disseminate applications 68 3 for refunds. An application shall allow the applicant to elect 68 4 whether the refund is for the assessment for direct use or a 68 5 state assessment for clean water or both. The council shall 68 6 not approve an application unless the application indicates the 68 7 election. 68 8 c. The council shall transmit any approved application for a 68 9 refund of the state assessment for clean water to the division 68 10 of soil conservation and water quality of the department of 68 11 agriculture and land stewardship which shall pay a refund to 68 12 the producer in the same manner as the council pays a refund to 68 13 the producer under paragraph "a". 68 14 Sec. 75. Section 184A.3, Code 2016, is amended to read as 68 15 follows: 68 16 184A.3Assessment documentationDocumentation for assessment 68 17 and state assessment. 68 18 A processor receiving turkeys for slaughter shall do all of 68 19 the following: 68 20 1. At the time of payment to the producer, the processor 68 21 shall sign and submit a receipt to the producer which includes 68 22 the rate of the assessment for direct use imposed and the 68 23 rate of the state assessment for clean water imposed and the 68 24 amount of the assessment and state assessment for all turkeys 68 25 delivered for processing. 68 26 2. Within a period established by rules adopted by the 68 27 council, the processor shall regularly sign and submit to the 68 28 council an invoice or other records required by the council to 68 29 expedite collection of the assessment for direct use and the 68 30 state assessment for clean water. The council may require that 68 31 the processor submit a separate invoice for each purchase. The 68 32 invoice shall be legibly printed and shall not be altered. An 68 33 invoice shall include all of the following: 68 34 a. The name and address of the producer and the seller, if 68 35 the seller's name is different from the producer. 69 1 b. The name and address of the processor. 69 2 c. The number of turkeys sold. 69 3 d. The date of the delivery. 69 4 3. The council may require the invoice to separately 69 5 indicate the amount withheld for the assessment for direct use 69 6 and the state assessment for clean water. 69 7 Sec. 76. Section 184A.4, Code 2016, is amended to read as 69 8 follows: 69 9 184A.4 Administration of moneys. 69 10 1. a.The assessmentsMoneys from the assessment for direct 69 11 use collected by the council as provided in section 184A.2 69 12 shall be deposited in the office of the treasurer of state in 69 13 a special fund known as the Iowa turkey fund. The department 69 14 of administrative services shall transfer moneys from the 69 15 fund to the council for deposit into the turkey council 69 16 account established by the council pursuant to this section. 69 17 The department shall transfer the moneys as provided in a 69 18 resolution adopted by the council. However, the department is 69 19 only required to transfer moneys once during each day and only 69 20 during hours when the offices of the state are open. 69 212.b. The council shall establish a turkey council 69 22 account in a qualified financial institution. The council 69 23 shall provide for the deposit of all of the following into the 69 24 account: 69 25a.(1) The assessment for direct use collected, deposited 69 26 in the Iowa turkey fund, and transferred to the council as 69 27 provided in this section. 69 28b.(2) Moneys, other thanassessmentsmoneys collected from 69 29 the state assessment for clean water, but including moneys in 69 30 the form of gifts, rents, royalties, or license fees received 69 31 by the council pursuant to section 184A.1C. 69 32 2. Except as expressly provided in this chapter, moneys 69 33 collected from the state assessment for clean water under this 69 34 section shall not be used for any purpose other than to be 69 35 transferred to the clean water fund created in section 466B.51. 70 1 Sec. 77. Section 184A.6, Code 2016, is amended to read as 70 2 follows: 70 3 184A.6 Use of moneys in the turkey council account. 70 4 1. All moneys deposited in the turkey council account 70 5 pursuant to section 184A.4 shall be used by the council for 70 6 purposes of administering this chapter. 70 7 2. The council shall expend moneysfromdeposited in the 70 8 turkey council account first for the payment of expenses for 70 9 the collection ofassessmentsmoneys from the assessment for 70 10 direct use and the state assessment for clean water, second 70 11 for the payment of expenses related to conducting a special 70 12 referendumas provided inconducted under section 184A.12, 70 13 and third for the cost of performing audits by the auditor of 70 14 state as required in section 184A.9. The council shall expend 70 15 remaining moneys for market development, producer education, 70 16 and the payment of refunds to producers as provided in this 70 17 chapter. 70 18 Sec. 78. Section 184A.10, Code 2016, is amended to read as 70 19 follows: 70 20 184A.10ReferendumReferendums. 70 21 Upon receipt of a petition signed by at least twenty=five 70 22 producers requesting an initial referendumelectionto 70 23 determine whether to impose thefeeassessment for direct use 70 24 as provided in section 184A.2 the secretary shall call and 70 25 conduct an initial referendum. 70 26 Sec. 79. Section 184A.12, Code 2016, is amended to read as 70 27 follows: 70 28 184A.12ReferendumSpecial referendum conducted to continue 70 29 the council andthe imposition of the assessmentestablishment 70 30 of assessments. 70 31 1. The council shall call for a special referendum to 70 32 continue the council established pursuant to section 184A.1A, 70 33 and to continue the assessment for direct use established 70 34 pursuant to section 184A.2. 70 35 2. The council shall call for a special referendum to 71 1 continue the state assessment for clean water if established 71 2 pursuant to section 184A.1A. The council may include as 71 3 part of the special referendum to continue the council and 71 4 the assessment for direct use under subsection 1, a separate 71 5 special question whether to continue the state assessment for 71 6 clean water. 71 7 3. The council shall call and conductthea special 71 8 referendumby electionas provided in this section. The 71 9 department shall oversee the conduct of the special referendum. 71 10 The special referendum shall be conducted in the fifth year 71 11 following the initial referendum establishing the council and 71 12 the assessment for direct use as provided in section 184A.10. 71 132.4. The following procedures shall apply to a special 71 14 referendum conducted pursuant to this section: 71 15 a. The council shall publish a notice of the special 71 16 referendum for a period of not less than five days in at least 71 17 one newspaper of general circulation in the state and for 71 18 a similar period in other newspapers as prescribed by the 71 19 council. The notice shall state the voting places, period of 71 20 time for voting, manner of voting, and other information deemed 71 21 necessary by the council. A referendum shall not be commenced 71 22 until five days after the last date of publication. 71 23 b. Upon signing a statement certifying to the council that 71 24 a producer is an eligible voter, the producer is entitled to 71 25 one vote in each special referendum conducted pursuant to 71 26 this section. In order to be an eligible voter under this 71 27 section, a producer must be a qualified producer who paidan 71 28the assessment for direct use and the state assessment for 71 29 clean water, if established, in the year in which the special 71 30 referendum isheldconducted. The council may conduct the 71 31 special referendum by mail, electronic means, or a general 71 32 meeting of eligible voters. The council shall conduct the 71 33 special referendum and count and tabulate the ballots filed 71 34 during the special referendum within thirty days following the 71 35 close of the special referendum. 72 1(1)c. If a majority of eligible voters who vote in the 72 2 special referendum approvesthe continuation ofcontinuing the 72 3 council and theimposition of theassessment for direct use, 72 4 the council and the imposition of the assessment shall continue 72 5 as provided in this chapter. 72 6 d. If a majority of eligible voters who vote in the special 72 7 referendum approves continuing the state assessment for clean 72 8 water, the imposition of the state assessment shall continue 72 9 for the same period as the assessment for direct use. 72 10(2)e. If a majority of eligible voters who vote in the 72 11 special referendum does not approve continuing the council and 72 12 theimposition of theassessment for direct use, the department 72 13 shall terminate thecollection of theassessment for direct 72 14 use and the state assessment for clean water if established. 72 15 The termination shall occur on the first day of the year for 72 16 which the special referendum was to continue. The department 72 17 shall terminate the activities of the council in an orderly 72 18 manner as soon as practicable after the date that the special 72 19 referendum was conducted. A subsequent initial referendum may 72 20 beheldconducted as provided in section 184A.1A. However, 72 21 the subsequent initial referendum shall not beheld within 72 22conducted for at least one hundred eighty days from the dateof 72 23that the last special referendum was conducted. 72 24 f. If a majority of eligible voters who vote in the special 72 25 referendum does not approve continuing the state assessment 72 26 for clean water, the department shall terminate the state 72 27 assessment in the same manner as described in paragraph "e". A 72 28 subsequent special referendum to establish a state assessment 72 29 for clean water may be conducted as provided in section 72 30 184A.1A. However, the subsequent special referendum shall not 72 31 be conducted within one hundred eighty days from the date that 72 32 the last special referendum was conducted. 72 33 Sec. 80. Section 184A.12A, Code 2016, is amended to read as 72 34 follows: 72 35 184A.12AReferendumSpecial referendum conducted to abolish 73 1 the council and terminatethe imposition of the assessment 73 2assessments. 73 3 1.AThe department may call and conduct a special 73 4 referendummay be calledto abolish the council established 73 5 pursuant tosectionssection 184A.1Aand 184A.1B, and, to 73 6 terminate theimposition of theassessment for direct use 73 7 established pursuant to section 184A.2, and to terminate the 73 8 state assessment for clean water established pursuant to 73 9 section 184A.2. 73 10 2. a. The department shall call and conduct, as provided 73 11 in subsection 3, a special referendum to terminate the state 73 12 assessment for clean water established pursuant to section 73 13 184A.2. 73 14 b. The department shall include as part of a special 73 15 referendum to continue the council and the assessment for 73 16 direct use conducted under subsection 1, a separate special 73 17 question to continue the state assessment for clean water, if 73 18 the department determines the inclusion of the special question 73 19 is cost=effective or a petition described in subsection 3 73 20 demands inclusion. 73 21 3. The department shall call and conduct the special 73 22 referendum upon the department's receipt of a petition 73 23 requesting the special referendum or the inclusion of a special 73 24 question as described in this section. The petition must be 73 25 signed by at least twenty eligible voters or fifty percent of 73 26 all eligible voters, whichever is greater. In order to be 73 27 an eligible voter under this section, a producer must be a 73 28 qualified producer who paidanthe assessment for direct use 73 29 and the state assessment for clean water, if established, in 73 30 the year in which the special referendum isheldconducted. 73 31 The special referendum shall be conducted by election within 73 32 sixty days following receipt of the petition. The petitioners 73 33 shall guarantee payment of the cost of the special referendum 73 34 by providing evidence of financial security as required by the 73 35 department. 74 12.4. The following procedures shall apply to a special 74 2 referendum conducted pursuant to this section: 74 3 a. The department shall publish a notice of the special 74 4 referendum for a period of not less than five days in at least 74 5 one newspaper of general circulation in the state and for 74 6 a similar period in other newspapers as prescribed by the 74 7 department. The notice shall state the voting places, period 74 8 of time for voting, manner of voting, and other information 74 9 deemed necessary by the department. A special referendum 74 10 shall not be commenced until five days after the last date of 74 11 publication. 74 12 b. Upon signing a statement certifying to the department 74 13 that a producer is an eligible voter, the producer is entitled 74 14 to one vote in each special referendum conducted pursuant 74 15 to this section. The department may conduct the special 74 16 referendum by mail, electronic means, or a general meeting of 74 17 eligible voters. The department shall conduct the special 74 18 referendum and count and tabulate the ballots filed during the 74 19 special referendum within thirty days following the close of 74 20 the special referendum. 74 21(1)c. If a majority of eligible voters who vote in the 74 22 special referendum approves the continuation of the council and 74 23the imposition ofthe assessment for direct use, the council 74 24 andthe imposition of theassessment shall continue as provided 74 25 in this chapter. 74 26 d. If a majority of eligible voters who vote in the special 74 27 referendum approves the continuation of the state assessment 74 28 for clean water, the state assessment shall continue for the 74 29 same period as the assessment for direct use. 74 30(2)e. If a majority of eligible voters who vote in the 74 31 special referendum does not approve continuing the council and 74 32 theimposition of theassessment for direct use, the department 74 33 shall terminate the collection of the assessment for direct use 74 34 on the first day of the year for which the special referendum 74 35 was to continue. The department shall terminate the activities 75 1 of the council in an orderly manner as soon as practicable 75 2 after the special referendum. A subsequent initial referendum 75 3 may beheldconducted as provided in section 184A.1A. However, 75 4 the subsequent initial referendum shall not beheld within 75 5conducted for at least one hundred eighty days from the dateof 75 6that the last special referendum was conducted. 75 7 f. If a majority of eligible voters who vote in the special 75 8 referendum does not approve continuing the state assessment 75 9 for clean water, the department shall terminate the collection 75 10 of the state assessment in the same manner as described in 75 11 paragraph "e". A subsequent special referendum to establish a 75 12 state assessment for clean water may be called and conducted 75 13 under section 184A.1A, or a special question to establish the 75 14 state assessment and included as part of a subsequent initial 75 15 referendum may be called and conducted under that section. 75 16 However, the subsequent special referendum or subsequent 75 17 initial referendum that includes the special question shall 75 18 not be conducted for at least one hundred eighty days from the 75 19 date that the last special referendum terminating the state 75 20 assessment was conducted. 75 21 DIVISION VII 75 22 IOWA SOYBEAN ASSOCIATION 75 23 Sec. 81. Section 185.1, subsection 17, Code 2016, is amended 75 24 to read as follows: 75 25 17. "State assessment" or "assessment" means an excise tax 75 26 on each bushel of soybeans marketed in this state which is 75 27 imposed pursuant toaany of the following: 75 28 a. A state assessment for direct use pursuant to a 75 29 promotional order as provided in this chapter. 75 30 b. A state assessment for clean water. 75 31 Sec. 82. Section 185.1A, Code 2016, is amended to read as 75 32 follows: 75 33 185.1A Recognition of Iowa soybean association. 75 34 1. The corporation known as the Iowa soybean association 75 35 incorporated under the laws of this state shall be entitled 76 1 to the benefits of this chapter by filing each year with the 76 2 secretary a verified proof of its organization, the names 76 3 of its officers, and any other information required by the 76 4 secretary. 76 5 2. The Iowa soybean association is a qualified state soybean 76 6 board for purposes of administering a national assessment. 76 7 For purposes of this chapter, "association" shall include a 76 8 successor qualified state soybean board or other entity that is 76 9 recognized by federal law to administer the national assessment 76 10 in Iowa. 76 11 Sec. 83. Section 185.2, Code 2016, is amended to read as 76 12 follows: 76 13 185.2Petition for electionReferendums. 76 14 1. Upon receipt of a petition signed by at least five 76 15 hundred producers requesting an initial referendumelection76 16 to determine whether a promotional order shall be placed in 76 17 effect, the secretary shall callanthe initial referendum 76 18electionto be conducted within sixty days following receipt 76 19 of the petition. Producers shall vote by written ballot in 76 20 the manner provided by this chapter for an initial referendum 76 21elections. 76 22 2. a. If a promotional order is placed into effect, and 76 23 upon receipt of a petition that otherwise complies with the 76 24 requirements of this section, the secretary shall conduct a 76 25 special referendum to establish a state assessment for clean 76 26 water. The special referendum shall be conducted in the same 76 27 manner as an initial referendum described in subsection 1. 76 28 b. Upon receipt of a petition that otherwise complies with 76 29 the requirements of this section, the secretary shall include 76 30 as part of the initial referendum a separate special question 76 31 whether to establish and impose a state assessment for clean 76 32 water described in this section, if the secretary determines 76 33 the inclusion of the special question is cost=effective or the 76 34 petition demands inclusion. 76 35 Sec. 84. Section 185.11, Code 2016, is amended by adding the 77 1 following new subsection: 77 2 NEW SUBSECTION. 5. Cooperate with the division of soil 77 3 conservation and water quality of the department of agriculture 77 4 and land stewardship in doing all of the following: 77 5 a. Transferring moneys collected from the state assessment 77 6 for clean water to the clean water fund created in section 77 7 466B.51. 77 8 b. Being reimbursed for reasonable expenses incurred in 77 9 conducting an initial or special referendum to establish, 77 10 continue, or terminate a state assessment for clean water. 77 11 Sec. 85. Section 185.13, subsection 4, Code 2016, is amended 77 12 to read as follows: 77 13 4. Enter into arrangements for collection of the state 77 14 assessment for direct use and any state assessment for clean 77 15 water imposed on soybeans marketed in this state. 77 16 Sec. 86. Section 185.16, Code 2016, is amended to read as 77 17 follows: 77 18 185.16 Notice of referendum. 77 19 1. Notice of a referendumelectionto initiate or extend a 77 20 promotional order shall be given by publication in a newspaper 77 21 of general circulation in this state at least ten days prior 77 22 to the date of the referendum and in any other reasonable 77 23 manner as may be determined by the secretary for the initial 77 24 referendum and by the board for extension of the promotional 77 25 order. 77 26 2. Notice of a special referendum to establish or continue 77 27 a state assessment for clean water shall be given in the same 77 28 manner as described in subsection 1. 77 29 Sec. 87. Section 185.17, Code 2016, is amended to read as 77 30 follows: 77 31 185.17 Contents of notice. 77 32TheA notice of referendum described in section 185.16 shall 77 33 set forth the period of time for voting, voting places and such 77 34 other information as the secretary may deem necessary in an 77 35 initial referendum or special referendum. The board shall make 78 1 such determinations in any subsequent initial referendum or 78 2 special referendum. 78 3 Sec. 88. Section 185.18, Code 2016, is amended to read as 78 4 follows: 78 5 185.18 Counting. 78 6 At the close of a referendum voting period, the secretary 78 7 shall count and tabulate the ballots cast during thereferendum78 8 period of the initial referendum or special referendum. 78 9 Sec. 89. Section 185.20, Code 2016, is amended to read as 78 10 follows: 78 11 185.20 Producers only to vote. 78 12 Only producers are eligible to vote in an election for 78 13 directors,or aan initial referendum,electionor a special 78 14 referendum, and only in the district in which they reside. 78 15 A producer shall sign an affidavit at the time of voting 78 16 certifying the producer's eligibility to vote. Each qualified 78 17 producer shall be entitled to one vote. 78 18 Sec. 90. Section 185.21, Code 2016, is amended to read as 78 19 follows: 78 20 185.21AssessmentState assessments. 78 21 1. A state assessmentwhichfor direct use that isadopted 78 22established upon the initiation of a promotional order shall 78 23 becollectedimposed during the effective period of the 78 24 promotional order, and shall be of no force or effect upon 78 25 termination of the promotional order. 78 26 2. a. The state assessment for direct use collected as part 78 27 of a promotional order shall be paid into the soybean promotion 78 28 fund established in section 185.26. 78 29 b. The state assessment for clean water if established 78 30 pursuant to section 185.2 or continued pursuant to section 78 31 185.25 shall be collected by the board and may be deposited 78 32 into a qualified financial institution until transferred to the 78 33 clean water fund created in section 466B.51. 78 34 3. The rate of the state assessment for direct use 78 35 established as part of promotional order shall be imposed as 79 1 follows: 79 2 a. If the national assessment is being collected, the rate 79 3 of the state assessment for direct use shall be one=quarter of 79 4 one percent of the net market price of the soybeans marketed 79 5 in this state. 79 6 b. If the national assessment is not being collected, the 79 7 rate of the state assessment for direct use shall be one=half 79 8 of one percent of the net market price of soybeans marketed in 79 9 this state. 79 10 4. The rate of the state assessment for clean water shall 79 11 be imposed as follows: 79 12 a. If the national assessment is being collected, the rate 79 13 of the state assessment for clean water shall be established 79 14 by the board at a rate not to exceed the combined rate of the 79 15 state assessment for direct use and the national assessment as 79 16 described in subsection 3, paragraph "a". 79 17 b. If the national assessment is not being collected, 79 18 the rate of the state assessment for clean water shall be 79 19 established by the board at a rate not to exceed the rate of 79 20 the state assessment for direct use as described in subsection 79 21 3, paragraph "b". 79 22 Sec. 91. Section 185.22, Code 2016, is amended to read as 79 23 follows: 79 24 185.22Promotional orderInvoice. 79 25 1. After a promotional order has been issued, the first 79 26 purchaser at the time of payment for soybeans shall show the 79 27 total amount of the state assessment for direct use, and the 79 28 state assessment for clean water, deducted from the sale on the 79 29 purchase invoice. 79 30 2. The board may require the invoice to separately indicate 79 31 the amount withheld for the state assessment for direct use 79 32 and the state assessment for clean water. The invoice may 79 33 correspond to any invoice required to collect the national 79 34 assessment. 79 35 Sec. 92. Section 185.23, Code 2016, is amended to read as 80 1 follows: 80 2 185.23 Deduction of assessment. 80 3 The state assessment for direct use and any state assessment 80 4 for clean water shall be deducted from the purchase price of 80 5 soybeans at the time of sale, and forwarded to the board by the 80 6 first purchaser in the manner and at intervals determined by 80 7 the board. 80 8 Sec. 93. Section 185.24, Code 2016, is amended to read as 80 9 follows: 80 10 185.24 Terminationof a promotional order. 80 11 1. If a promotional order is not extended as determined 80 12 by a special referendum, the secretary and the board shall 80 13 terminate the promotional order in an orderly manner as soon 80 14 as practicable. The termination of the promotional order 80 15 shall terminate the state assessment for direct use. After 80 16 all moneys collected from the state assessment for direct use 80 17 are expended, the board shall remain in existence as provided 80 18 in its articles of incorporation or bylaws. The directors 80 19 shall no longer be elected as required in this chapter. The 80 20 ex officio directors shall no longer serve on the board. The 80 21 board shall cease to administer this chapter, and the board 80 22 shall no longer carry out its duties or exercise its powers 80 23 as provided in this chapter. However, if a future initial 80 24 referendum passes, the board shall be reorganized by the 80 25 secretary and the directors then serving on the board shall be 80 26 deemed to be the same directors who served on the board when 80 27 the promotional order was terminated. The directors shall 80 28 serve out their terms as though there had been no lapse of time 80 29 between the two effective orders. 80 30 2. The termination of the promotional order shall terminate 80 31 the state assessment for clean water. The board shall transfer 80 32 any remaining moneys collected from the state assessment for 80 33 clean water to the clean water fund created in section 466B.51. 80 34 Sec. 94. Section 185.25, Code 2016, is amended to read as 80 35 follows: 81 1 185.25 Specialreferendumreferendums ==== producerpetition 81 2petitions. 81 3 1. Upon receipt of a petition described in subsection 3, 81 4 the secretary shall call a special referendum to extend the 81 5 promotional order including continuing the state assessment for 81 6 direct use as part of the promotional order. 81 7 2. a. Upon receipt of a petition described in subsection 3, 81 8 the secretary shall call a special referendum to continue the 81 9 state assessment for clean water. 81 10 b. The secretary shall include as part of the special 81 11 referendum conducted under subsection 1 a separate special 81 12 question whether to continue the state assessment for clean 81 13 water, if the secretary determines the inclusion of the special 81 14 question is cost=effective or the petition demands inclusion. 81 15 3. The secretary shall call a special referendum described 81 16 in this section not less than one hundred fifty nor more than 81 17 two hundred forty days from a four=year anniversary of the 81 18 effective date of an initial promotional order upon receipt 81 19 of a petition, signed within that same period by a number of 81 20 producers equal to or greater than one percent of the number of 81 21 producers reported in the most recent United States census of 81 22 agriculture, requestingathe special referendumto determine 81 23 whether to extend the promotional order, and the secretary 81 24 shall callathe special referendum to be conducted not earlier 81 25 than thirty days before the four=year anniversary date. 81 26 4. a. If the secretary determines that extension of 81 27 the promotional order is not favored by a majority of the 81 28 producers voting in the special referendum, the promotional 81 29 order shall be terminated as provided in section 185.24. The 81 30 state assessment for clean water if established shall also 81 31 be terminated. If the promotional order is terminated under 81 32 this paragraph, another special referendum to reestablish the 81 33 promotional order shall not beheld withinconducted for at 81 34 least one hundred eighty days after the date that the most 81 35 recent special referendum was conducted. 82 1 b. If the secretary determines that a continuance of the 82 2 state assessment for clean water is not favored by a majority 82 3 of the producers voting in the special referendum, the state 82 4 assessment shall be terminated as provided in section 185.24. 82 5 If the state assessment for clean water is terminated under 82 6 this paragraph, another special referendum establishing the 82 7 state assessment or another special referendum that includes a 82 8 special question to establish the state assessment shall not be 82 9 conducted within one hundred eighty days after the date that 82 10 the last special referendum terminating the state assessment 82 11 was conducted. 82 12 5. A succeeding special referendum shall be called by the 82 13 secretary upon the petition of a number of producers equal 82 14 to or greater than one percent of the number of producers 82 15 reported in the most recent United States census of agriculture 82 16 requestingathe special referendum, who shall guarantee the 82 17 costs of the referendum. 82 18 6. a. If no valid petition is received by the secretary 82 19 within the time period describedabovein subsection 1, or if a 82 20 petition is received but the special referendum to extend the 82 21 promotional order passes, the promotional order shall continue 82 22 in effect for four additional years from the anniversary of its 82 23 effective date. 82 24 b. If no valid petition for a special referendum to 82 25 continue the state assessment for clean water is received by 82 26 the secretary within the time period described in subsection 82 27 3, the state assessment shall continue in effect for four 82 28 additional years from the anniversary of the effective date of 82 29 the promotional order. 82 30 Sec. 95. NEW SECTION. 185.25A Special referendum ==== change 82 31 in state assessment rate for clean water. 82 32 1. If a national assessment is imposed and upon receipt 82 33 of a petition that otherwise complies with the requirements 82 34 of section 185.25, the secretary shall conduct a special 82 35 referendum to change the rate of the state assessment for 83 1 clean water established by the board at a rate not to exceed 83 2 the combined rate of the national assessment and the state 83 3 assessment for direct use as provided in section 185.21, 83 4 subsection 3, paragraph "a". The special referendum shall be 83 5 conducted in the same manner as a special referendum conducted 83 6 pursuant to section 185.25. However, the special referendum 83 7 may be conducted in the same manner and in conjunction with a 83 8 referendum to change the rate of the national assessment, to 83 9 the extent permitted by federal law. 83 10 2. If a national assessment is not imposed and upon receipt 83 11 of a petition that otherwise complies with the requirements 83 12 of section 185.25, the secretary shall conduct a special 83 13 referendum to change the rate of the state assessment for clean 83 14 water established by the board to a rate not to exceed the rate 83 15 of the state assessment for direct use as provided in section 83 16 185.21, subsection 3, paragraph "b". The special referendum 83 17 shall be conducted in the same manner as a special referendum 83 18 conducted pursuant to section 185.25. 83 19 3. If a special referendum or special question to change 83 20 the rate of the state assessment for clean water does not pass, 83 21 the result of the vote shall not affect the existence or period 83 22 during which the state assessment is in effect. 83 23 Sec. 96. Section 185.26, Code 2016, is amended to read as 83 24 follows: 83 25 185.26 Administration of moneys. 83 26 1. a.TheMoneys from a state assessment for direct use 83 27 imposed as part of a promotional order and collected by the 83 28 board shall be deposited in a special fund known as the soybean 83 29 promotion fund, in the office of the treasurer of state. The 83 30 fund may alsocontaininclude any gifts or federal or state 83 31 grant received by the board.MoneysThe moneys collected, 83 32 deposited into the fund, and transferred to the board, as 83 33 provided in this chapter, shall be subject to audit by the 83 34 auditor of state. 83 35 b. The department of administrative services shall 84 1 transfer moneys from the fund to the board for deposit into an 84 2 account known as the soybean checkoff account which shall be 84 3 established by the board in a qualified financial institution. 84 4 The department shall transfer the moneys into the account as 84 5 provided in a resolution adopted by the board. However, the 84 6 department is only required to transfer moneys once during each 84 7 day and only during hours when the offices of the state are 84 8 open. 84 9 c. From moneys collected, deposited, and transferred to the 84 10 soybean checkoff account as provided in this section, the board 84 11 shall first pay the costs of initial and special referendums, 84 12 elections, and other expenses incurred in the administration of 84 13 this chapter, before moneys may be expended to carry out the 84 14 purposes of the board as provided in section 185.11. The board 84 15 shall strictly segregate moneys in the soybean checkoff account 84 16 from all other moneys of the board. Moneys in the soybean 84 17 checkoff account shall be expended by the board exclusively for 84 18 carrying out the purposes of the board as provided in section 84 19 185.11. The account shall be subject to audit by the auditor 84 20 of state. 84 21 2. Moneys from a state assessment for clean water collected 84 22 by the board may be deposited in a qualified financial 84 23 institution and shall be transferred to the clean water fund 84 24 created in section 466B.51. 84 252.3. The fiscal year of the association shall commence on 84 26 October 1 and end on September 30. 84 27 Sec. 97. Section 185.27, Code 2016, is amended to read as 84 28 follows: 84 29 185.27 Refund of assessment. 84 30 1. a. A producer who has sold soybeans and had the state 84 31 assessment for direct use deducted from the sale price may, by 84 32 application in writing to the board, secure a refund in the 84 33 amount deducted. The refund shall be payable only when the 84 34 application is made to the board within sixty days after the 84 35 deduction. 85 1 b. A producer who has sold soybeans and had the state 85 2 assessment for clean water deducted from the sale price may, 85 3 by application in writing to the board, secure a refund of the 85 4 amount deducted payable by the division of soil conservation 85 5 and water quality of the department of agriculture and land 85 6 stewardship. The board shall forward approved applications to 85 7 the division within sixty days after the deduction. 85 8 2. Application forms shall be given by the board to 85 9 each first purchaser when requested and the first purchaser 85 10 shall make the applications available to any producer. Each 85 11 application for refund by a producer shall have attached 85 12 thereto proof of assessment deducted. The proof of assessment 85 13 may be in the form of a duplicate or certified copy of the 85 14 purchase invoice by the first purchaser.The board shall 85 15 have thirty days from the date the application for refund is 85 16 received to remit the refund to the producer.The form shall 85 17 allow the applicant to elect whether the refund is for the 85 18 state assessment for direct use or for the state assessment 85 19 for clean water or both. The board shall not approve an 85 20 application unless the application indicates the election. 85 21 Sec. 98. Section 185.28, Code 2016, is amended to read as 85 22 follows: 85 23 185.28 Use of moneys ==== appropriation. 85 24 1. All moneys collected, deposited, and transferred to the 85 25 board as provided in this chapter, are appropriated and shall 85 26 be used for the administration of this chapter by the board and 85 27 for the payment of claims by the board based upon obligations 85 28 incurred in the performance of board activities and functions 85 29 provided in this chapter. 85 30 2. Except as expressly provided in this chapter, moneys 85 31 collected from the state assessment for clean water under this 85 32 section shall not be used for any purpose other than to be 85 33 transferred to the clean water fund created in section 466B.51. 85 34 Sec. 99. Section 185.29, Code 2016, is amended to read as 85 35 follows: 86 1 185.29 Remission of remaining moneys. 86 2 1. After the board has paid the costs of elections, 86 3 referendum, necessary board expenses, and administrative costs, 86 4 the remaining moneys collected, deposited in the soybean 86 5 promotion fund, and transferred to the soybean checkoff account 86 6 as provided in section 185.26 shall be expended by the board as 86 7 is necessary to carry out its purposes as provided in section 86 8 185.11. 86 9 2. Notwithstanding subsection 1, moneys collected from 86 10 a state assessment for clean water by the board shall be 86 11 transferred to the clean water fund created in section 466B.51. 86 12 Sec. 100. Section 185.33, Code 2016, is amended to read as 86 13 follows: 86 14 185.33 Report. 86 15 The board shall each year prepare and submit a report 86 16 summarizing the activities of the board under this chapter to 86 17 the auditor of state and the secretaryof agriculture. The 86 18 report shall show all income, expenses, and other relevant 86 19 information concerningfeesstate assessments for direct use 86 20 collected and expended under the provisions of this chapter. 86 21 DIVISION VIII 86 22 IOWA CORN PROMOTION BOARD 86 23 Sec. 101. Section 185C.1, subsection 17, Code 2016, is 86 24 amended to read as follows: 86 25 17. "State assessment" means a state excise tax on each 86 26 bushel of corn marketed in this state which is imposedas part 86 27 of a promotional order to administer this chapterpursuant to a 86 28 state assessment for direct use or a state assessment for clean 86 29 water. 86 30 Sec. 102. Section 185C.2, Code 2016, is amended to read as 86 31 follows: 86 32 185C.2Petition for electionReferendums. 86 33 1. Upon receipt of a petition signed by at least five 86 34 hundred producers requesting an initial referendumelection86 35 to determine whether a promotional order shall be placed in 87 1 effect, the secretary shall call an initial referendumelection87 2 to be conducted within sixty days following receipt of the 87 3 petition. Producers shall vote by written ballot in the manner 87 4 provided by this chapter forreferendum electionsreferendums 87 5 to approve the passage of a promotional order. 87 6 2. a. If a promotional order is placed into effect, and 87 7 upon receipt of a petition that otherwise complies with the 87 8 requirements of subsection 1, the secretary shall conduct a 87 9 special referendum to establish a state assessment for clean 87 10 water. 87 11 b. Upon receipt of a petition that otherwise complies with 87 12 the requirements of subsection 1, the secretary shall include 87 13 as part of the initial referendum a separate special question 87 14 whether to establish a state assessment for clean water as 87 15 described in this section, if the secretary determines the 87 16 inclusion of the special question is cost=effective or the 87 17 petition demands inclusion. 87 18 Sec. 103. Section 185C.3, Code 2016, is amended to read as 87 19 follows: 87 20 185C.3 Establishment of corn promotion board. 87 21 If a majority of the producers voting inthean initial 87 22 referendumelectionconducted pursuant to section 185C.2 87 23 approve the passage of the promotional order, an Iowa corn 87 24 promotion board shall be established. 87 25 Sec. 104. Section 185C.11, subsection 1, Code 2016, is 87 26 amended by adding the following new paragraph: 87 27 NEW PARAGRAPH. j. Cooperate with the division of soil 87 28 conservation and water quality of the department of agriculture 87 29 and land stewardship in doing all of the following: 87 30 (1) Transferring moneys collected from the state assessment 87 31 for clean water to the clean water fund created in section 87 32 466B.51. 87 33 (2) Being reimbursed for reasonable expenses incurred 87 34 in conducting an initial or special referendum to establish, 87 35 continue, or terminate a state assessment for clean water. 88 1 Sec. 105. Section 185C.11A, Code 2016, is amended by adding 88 2 the following new subsection: 88 3 NEW SUBSECTION. 5. The board shall not expend moneys 88 4 collected from the state assessment for clean water to support 88 5 the program. 88 6 Sec. 106. Section 185C.15, Code 2016, is amended to read as 88 7 follows: 88 8 185C.15 Term of promotional order ==== automatic extension. 88 9 A promotional order shall be effective for four years from 88 10 its effective date. Upon the date thatanthe promotional 88 11 order is due to expire the order shall automatically be 88 12 extended for an additional four years from the date that the 88 13 order or last extension would otherwise expire, except as 88 14 provided in section 185C.24. A state assessment for clean 88 15 water shall continue for the same period as the promotional 88 16 order unless the state assessment for clean water is terminated 88 17 as provided in section 185C.24. 88 18 Sec. 107. Section 185C.21, Code 2016, is amended to read as 88 19 follows: 88 20 185C.21 Stateassessmentassessments. 88 21 1. The board shall determine and set the rate of the state 88 22 assessmentratefor direct use as part of the promotional 88 23 order.State assessmentsA state assessment for direct use 88 24 collected pursuant to the promotional order shall be paid 88 25 into the corn promotion fund established in section 185C.26. 88 26 Except as provided insubsection 2subsections 2 and 3, a state 88 27 assessment shall not exceed one=quarter of one cent per bushel 88 28 upon corn marketed in this state. 88 29 2. Upon request of the board, the secretary shall call 88 30 a special referendum for producers to vote on whether to 88 31 authorize an increase in the rate of the state assessment 88 32 for direct use above one=quarter of one cent per bushel, 88 33 notwithstanding subsection 1. The special referendum shall be 88 34 conducted as provided in this chapter forreferendum elections 88 35referendums. However, the special referendum shall not affect 89 1 the existence or length of the promotional order in effect. If 89 2 a majority of the producers voting in the special referendum 89 3 approve the increase, the board may increase the assessment to 89 4 the amount approved in the special referendum. The board shall 89 5 establish the effective date of a rate change. However, the 89 6 rate of a state assessment for direct use shall not exceed a 89 7 scheduled maximum rate determined as follows: 89 8 a. Before September 1, 2014, one cent. 89 9 b. For each marketing year of the period beginning September 89 10 1, 2014, and ending August 31, 2019, two cents. 89 11 c. For each marketing year beginning on and after September 89 12 1, 2019, three cents. 89 13 3. The rate of the state assessment for clean water shall 89 14 be established by the board not to exceed the rate of the 89 15 state assessment for direct use in effect on the date that the 89 16 special referendum establishing the state assessment for clean 89 17 water is approved. 89 18 4. a. Upon request of the board, the secretary shall 89 19 call a special referendum for producers to vote on whether to 89 20 authorize an increase in the state assessment for clean water 89 21 to be established by the board at a rate not to exceed the rate 89 22 in effect under subsection 2. The special referendum shall be 89 23 conducted in the same manner as provided in that subsection. 89 24 b. Upon request of the board, the secretary shall include 89 25 as part of the special referendum conducted under subsection 89 26 2 a separate special question whether to increase the rate 89 27 of the state assessment for clean water to be established by 89 28 the board at a rate not to exceed the rate of the proposed 89 29 increased amount of the state assessment for direct use, if the 89 30 secretary determines the inclusion of the special question is 89 31 cost=effective or the request demands inclusion. 89 32 Sec. 108. Section 185C.22, Code 2016, is amended to read as 89 33 follows: 89 34 185C.22 Stateassessmentassessments on purchase invoice. 89 35 1. After a promotional order has been issued, the first 90 1 purchaser at the time of payment for corn shall show the 90 2 total amount of state assessment for direct use and the state 90 3 assessment for clean water deducted from the sale on the 90 4 purchase invoice. 90 5 2. The board may require the invoice to separately indicate 90 6 the amount withheld for the assessment for direct use and the 90 7 state assessment for clean water. The invoice may correspond 90 8 to any invoice required to collect the federal assessment 90 9 pursuant to section 185C.25A. 90 10 Sec. 109. Section 185C.24, Code 2016, is amended to read as 90 11 follows: 90 12 185C.24 Cancellation,andsuspension, and termination. 90 13 1. The board shall be suspended and board operations and 90 14 terms of members shall cease upon either of the following 90 15 events: 90 16 a. The state assessment for direct use is terminated 90 17 pursuant to section 185C.25. 90 18 b. The state assessment for direct use is suspended pursuant 90 19 to section 185C.25A. 90 20 2. However, notwithstanding subsection 1, the board shall 90 21 continue to operate until proceeds remaining in the corn 90 22 promotion fund are disbursed. Disbursement shall be made as 90 23 provided for payment of moneys under section 185C.26. 90 24 3. If a state assessment for direct use and the federal 90 25 assessment is not imposed, the board shall continue to transfer 90 26 remaining moneys collected from the state assessment for clean 90 27 water to the clean water fund created in section 466B.51. 90 283.4. The secretary shall order that the board be 90 29 reconstituted upon either of the following events: 90 30 a. Recommencement of the promotional order, pursuant to 90 31 section 185C.25. 90 32 b. Termination of the promotional order's suspension, 90 33 pursuant to section 185C.25A. 90 344.5. Until the board is reconstituted under section 90 35 185C.8, the secretary has the powers to perform the duties of 91 1 the board as provided in this chapter, including the collection 91 2 of the state assessment for direct use at the rate in effect 91 3 on the date when collection of the state assessment for direct 91 4 use was terminated pursuant to section 185C.25. However, the 91 5 secretary shall not expendfundsmoneys collected from the 91 6 state assessment for direct use. 91 7 6. Until the board is reconstituted, the secretary may 91 8 collect the state assessment for clean water imposed at 91 9 the same rate when the state assessment for clean water was 91 10 terminated. The secretary shall transfer the collected moneys 91 11 to the clean water fund created in section 466B.51. 91 12 Sec. 110. Section 185C.25, Code 2016, is amended to read as 91 13 follows: 91 14 185C.25 Effective period of promotional order and state 91 15 assessments ==== special referendums ==== termination. 91 16 1. a. A state assessment for direct use adopted upon the 91 17 initiation of a promotional order shall be collected during the 91 18 effective period of the order, and shall have no effect upon 91 19 termination of the promotional order. 91 20 b. A state assessment for clean water if established shall 91 21 be collected during the effective period of the promotional 91 22 order, and shall have no effect upon the termination of the 91 23 promotional order. However, the state assessment for clean 91 24 water shall still be collected during any period in which a 91 25 federal assessment is collected, unless the state assessment is 91 26 terminated under this section. 91 27 2. Upon adoption or extension of the promotional order, the 91 28 order shall be effective for the period described in section 91 29 185C.15 unless the order is terminated as provided in this 91 30 section or suspended as provided in section 185C.25A. 91 312.3. The secretary shall call a special referendum to 91 32 terminate the promotional order including the state assessment 91 33 for direct use imposed as part of the promotional order, and 91 34 the state assessment for clean water if established. 91 35 4. a. The secretary shall call, as provided in subsection 92 1 5, a special referendum to terminate the state assessment for 92 2 clean water if established. 92 3 b. The secretary shall include as part of the special 92 4 referendum conducted under subsection 3, a separate special 92 5 question whether to terminate the state assessment for clean 92 6 water, if the secretary determines the inclusion of the 92 7 special question is cost=effective or the petition described in 92 8 subsection 5 demands inclusion. 92 9 5. The secretary shall call a special referendum under this 92 10 section if all the following conditions are met: 92 11 a. The secretary receives a petition signed by at least five 92 12 percent of the state's producers reported in the most recent 92 13 United States census of agriculture. 92 14 b. The petition is signed by at least five percent of the 92 15 state's producers residing in each of five districts according 92 16 to the most recent United States census of agriculture. 92 17 c. The secretary receives the petition not less than one 92 18 hundred fifty days from the date that the order is due to 92 19 expire, but receives the petition not more than two hundred 92 20 forty days before the date that the order is due to expire. 92 213.6. a. The secretary shall conduct theelection as 92 22 provided for aspecial referendum to terminate the promotional 92 23 order including the state assessment for direct use and the 92 24 state assessment for clean water in the same manner as an 92 25 initial referendum conducted under this chapter, including 92 26 sections 185C.16 through 185C.20. 92 27 b. The secretary shall conduct the special referendum to 92 28 terminate the state assessment for clean water in the same 92 29 manner as an initial referendum conducted under this chapter, 92 30 including sections 185C.16 through 185C.20. 92 31 7. a. If upon counting and tabulating the ballots, the 92 32 secretary determines that a majority of voting producersfavor 92 33favors termination of the state assessment for direct use, the 92 34 secretary, in cooperation with the board, shall terminate the 92 35 state assessment for direct use in an orderly manner as soon 93 1 as practicable. 93 2 b. If upon counting and tabulating the ballots, the 93 3 secretary determines that a majority of voting producers favors 93 4 termination of the state assessment for clean water, the 93 5 secretary, in cooperation with the board, shall terminate the 93 6 state assessment for clean water in an orderly manner as soon 93 7 as practicable. 93 84.8. a. Ifthea state assessment for direct use is 93 9 terminated,anotheran initial referendum shall not beheld 93 10conducted for at least one hundred eighty days from the date 93 11 that the state assessment is terminated. 93 12 b. If a state assessment for clean water is terminated, 93 13 another special referendum or another special referendum which 93 14 includes a special question to establish a state assessment 93 15 shall not be conducted within one hundred eighty days from the 93 16 date that the state assessment is terminated. 93 17 9. A succeeding special referendum to restore the state 93 18 assessment for direct use shall be called by the secretary 93 19 upon receipt of a petition of at least five hundred producers 93 20 requestingathe special referendum. The petitioners shall 93 21 guarantee the costs of the succeeding referendum. The 93 22 secretary shall conduct theelectionspecial referendum as 93 23 provided foraan initial referendum underthis chapter93 24 section 185C.2 not later than one hundred fifty days after 93 25 the secretary receives the petition. If a referendumheld 93 26conducted pursuant to this subsection is approved by producers, 93 27 the promotional order shall commence no later than two hundred 93 28 ten days following the date that the petition is received by 93 29 the secretary. 93 30 10. a. A succeeding special referendum to restore the state 93 31 assessment for clean water shall be called by the secretary 93 32 upon petition that otherwise complies with a petition to 93 33 restore the state assessment for direct use under subsection 9. 93 34 The secretary shall conduct the succeeding special referendum 93 35 in the same manner as a succeeding special referendum conducted 94 1 under that subsection. If a special referendum conducted 94 2 pursuant to this paragraph is approved by producers, the state 94 3 assessment for clean water shall commence not later than two 94 4 hundred ten days following the date that the petition is 94 5 received by the secretary. 94 6 b. Upon receipt of a petition that otherwise complies 94 7 with a petition to restore the state assessment for direct 94 8 use under subsection 9, the secretary shall include as part 94 9 of the succeeding special referendum conducted under that 94 10 subsection a separate special question whether to restore the 94 11 state assessment for clean water, if the secretary determines 94 12 the inclusion of the special question is cost=effective or the 94 13 request demands inclusion. 94 14 Sec. 111. Section 185C.25A, Code 2016, is amended to read 94 15 as follows: 94 16 185C.25A Collection of federal assessment. 94 17 1. a. Prior to the collection of the federal assessment, 94 18 the board may approve the continued collection of the state 94 19 assessment for direct use as part of the promotional order 94 20 during the collection of the federal assessment. 94 21 b. If a federal assessment is collected, the state 94 22 assessment for clean water, if established, shall continue to 94 23 be imposed until terminated under section 185C.25. 94 24 2. If thecollection ofamount collected from the state 94 25 assessment for direct use would be in addition to, and not an 94 26 offset against, thecollection ofamount collected from the 94 27 federal assessment, the board shall suspend the collection 94 28 of the state assessment. On the date of the termination or 94 29 suspension of the federal assessment, the promotional order 94 30 shall recommence and the suspension of the state assessment for 94 31 direct use shall terminate. The termination or suspension of 94 32 the federal assessment shall not affect the state assessment 94 33 for clean water. 94 34 Sec. 112. Section 185C.26, Code 2016, is amended to read as 94 35 follows: 95 1 185C.26 Deposit of moneys ==== corn promotion fund ==== 95 2 administration of moneys. 95 3 1. a.AMoneys from a state assessment for direct use 95 4 imposed as part of a promotional order and collected by the 95 5 board from a sale of corn shall be deposited in the office of 95 6 the treasurer of state in a special fund known as the corn 95 7 promotion fund. The fund may also include any gifts, rents, 95 8 royalties, interest, license fees, or a federal or state grant 95 9 received by the board.MoneysThe moneys collected, deposited 95 10 in the corn promotion fund, and transferred to the board as 95 11 provided in this chapter shall be subject to audit by the 95 12 auditor of state. The auditor of state may seek reimbursement 95 13 for the cost of the audit from moneys deposited in the corn 95 14 promotion fund as provided in this chapter. 95 15 b. The department of administrative services shall transfer 95 16 moneys from the corn promotion fund to the board for deposit 95 17 into an account established by the board in a qualified 95 18 financial institution. The department shall transfer the 95 19 moneys as provided in a resolution adopted by the board. 95 20 However, the department is only required to transfer moneys 95 21 once during each day and only during hours when the offices of 95 22 the state are open. 95 23 c. From moneys collected, the board shall first pay all 95 24 the direct and indirect costs incurred by the secretary and 95 25 the costs of initial and special referendums, elections, and 95 26 other expenses incurred in the administration of this chapter, 95 27 before moneys may be expended to carry out the purposes of this 95 28 chapter as provided in section 185C.11. 95 29 2. Moneys from a state assessment for clean water collected 95 30 by the board may be deposited in a qualified financial 95 31 institution and shall be transferred to the clean water fund 95 32 created in section 466B.51. 95 33 Sec. 113. Section 185C.27, Code 2016, is amended to read as 95 34 follows: 95 35 185C.27 Refund of assessment. 96 1 1. a. A producer who has sold corn and had a state 96 2 assessment for direct use deducted from the sale price, by 96 3 application in writing to the board, may secure a refund in the 96 4 amount deducted. The refund shall be payable only when the 96 5 application shall have been made to the board within sixty days 96 6 after the deduction. The board shall have thirty days from the 96 7 date the application for refund is received to remit the refund 96 8 to the producer. 96 9 b. A producer who has sold corn and had the state 96 10 assessment for clean water deducted from the sale price may, 96 11 by application in writing to the board, secure a refund of the 96 12 amount deducted payable by the division of soil conservation 96 13 and water quality of the department of agriculture and land 96 14 stewardship. The board shall forward approved applications to 96 15 the division within sixty days after the deduction. 96 16 2. Application forms shall be given by the board to 96 17 each first purchaser when requested and the first purchaser 96 18 shall make the applications available to any producer. Each 96 19 application for refund by a producer shall have attached to 96 20 the application proof of the state assessment deducted. The 96 21 proof of state assessment may be in the form of a duplicate 96 22 or certified copy of the purchase invoice by the first 96 23 purchaser.The board shall have thirty days from the date the 96 24 application for refund is received to remit the refund to the 96 25 producer.The form shall allow the applicant to elect whether 96 26 the refund is for the state assessment for direct use or the 96 27 state assessment for clean water or both. The board shall not 96 28 approve an application unless the application indicates the 96 29 election. 96 30 3. a. The board may provide for refunds of a federal 96 31 assessment as provided by federal law. Unless inconsistent 96 32 with federal law, refunds shall be made under section 185C.26. 96 33 b. The board may provide for filing applications for a 96 34 refund of the state assessment for direct use and the state 96 35 assessment for clean water based on applicable procedures 97 1 for the filing of applications for refunds of the federal 97 2 assessment. 97 3 Sec. 114. Section 185C.29, subsection 1, Code 2016, is 97 4 amended to read as follows: 97 5 1. After the direct and indirect costs incurred by the 97 6 secretary and the costs of elections, referendums, necessary 97 7 board expenses, and administrative costs have been paid, at 97 8 least seventy=five percent of the remaining moneys from a 97 9 state assessment for direct use shall be deposited in the corn 97 10 promotion fund and shall be used to carry out the purposes of 97 11 the board as provided in section 185C.11. 97 12 Sec. 115. Section 185C.33, Code 2016, is amended to read as 97 13 follows: 97 14 185C.33 Report. 97 15 The board shall each year prepare and submit a report 97 16 summarizing the activities of the board under this chapter to 97 17 the auditor of state and the secretaryof agriculture. The 97 18 report shall show all income, expenses, and other relevant 97 19 information concerningfeesthe state assessment for direct use 97 20 collected and expended under the provisions of this chapter. 97 21 DIVISION IX 97 22 CLEAN WATER FUND 97 23 Sec. 116. NEW SECTION. 7D.10B Payment to the clean water 97 24 fund. 97 25 If moneys are not sufficient to reimburse the department 97 26 of agriculture or a commodity organization described in 97 27 section 466B.51 for reasonable expenses incurred in conducting 97 28 a referendum to establish, continue, or terminate a state 97 29 assessment for clean water, the executive council may authorize 97 30 as an expense paid from the appropriations addressed in section 97 31 7D.29 the payment of an amount to the clean water fund created 97 32 in section 466B.51. However, not more than a total of one 97 33 hundred thousand dollars shall be paid pursuant to this section 97 34 to the fund at any one time to pay for expenses incurred in 97 35 conducting a referendum. 98 1 Sec. 117. Section 466A.3, subsection 1, unnumbered 98 2 paragraph 1, Code 2016, is amended to read as follows: 98 3 A watershed improvement review board is established. The 98 4 board shall advise the clean water commission created in 98 5 section 466B.52. 98 6 Sec. 118. Section 466A.3, subsection 4, unnumbered 98 7 paragraph 1, Code 2016, is amended to read as follows: 98 8 The watershed improvement review board shall carry out 98 9 the purposes of this chapter as provided in section 466A.2, 98 10 including by determining how moneys are to be expended from 98 11 the watershed improvement fund and authorizing the expenditure 98 12 of moneys from the fund. In carrying out those purposes, and 98 13 acting upon direction of the clean water commission, the board 98 14 shall do all of the following: 98 15 Sec. 119. Section 466A.5, Code 2016, is amended to read as 98 16 follows: 98 17 466A.5 Administration. 98 18 1. The division of soil conservation and water quality 98 19 created within the department of agriculture and land 98 20 stewardship pursuant to section 159.5 shall provide 98 21 administrative support to the board. The division shall 98 22 administer this chapter under the oversight of the clean water 98 23 commission created in section 466B.52. 98 24 2. Not more than one percent of the total moneys deposited 98 25 in the general account of the watershed improvement fund on 98 26 July 1 of a fiscal year or fifty thousand dollars, whichever is 98 27 less, is appropriated each fiscal year to the division for the 98 28 purposes of assisting the watershed improvement review board 98 29 in administering this chapter. 98 30 Sec. 120. Section 466B.2, Code 2016, is amended by adding 98 31 the following new subsections: 98 32 NEW SUBSECTION. 01. "Commission" means the clean water 98 33 commission created in section 466B.52. 98 34 NEW SUBSECTION. 2A. "Iowa nutrient reduction strategy" 98 35 means the latest version of the document entitled "Iowa 99 1 Nutrient Reduction Strategy" initially presented in 2012 by the 99 2 department of agriculture and land stewardship, the department 99 3 of natural resources, and Iowa state university of science and 99 4 technology. 99 5 Sec. 121. Section 466B.3, subsections 1 and 2, Code 2016, 99 6 are amended to read as follows: 99 7 1. Council established. A water resources coordinating 99 8 council is established within the department of agriculture 99 9 and land stewardship. The council shall carry out the 99 10 powers and duties described in this section in accordance 99 11 with the policies and under the direction and supervision of 99 12 the commission. The council shall advise the commission as 99 13 required by the commission. 99 14 2. Purpose. The purpose of the council shall be to advise 99 15 the commission regarding strategies and methods to preserve 99 16 and protect Iowa's water resources, and to coordinate the 99 17 management of those resources in a sustainable and fiscally 99 18 responsible manner. Inthe pursuit of this purposeproviding 99 19 advice to the commission and acting in accordance with its 99 20 policies, and under its direction and supervision, the 99 21 council shall use an integrated approach to water resource 99 22 management, recognizing that insufficiencies exist in current 99 23 approaches and practices, as well as in funding sources and 99 24 the utilization of funds. The integrated approachused by the 99 25 councilshall attempt to overcome old categories, labels, and 99 26 obstacles with the primary goal of managing the state's water 99 27 resources comprehensively rather than compartmentally. 99 28 Sec. 122. Section 466B.3, subsection 3, unnumbered 99 29 paragraph 1, Code 2016, is amended to read as follows: 99 30 The success ofthe council'sefforts made under this section 99 31 shall ultimately be measured by the following outcomes: 99 32 Sec. 123. Section 466B.3, subsection 6, paragraph c, Code 99 33 2016, is amended to read as follows: 99 34 c. The council, acting in accordance with the policies and 99 35 under the direction and supervision of the commission, shall 100 1 develop recommendations for policies and funding promoting a 100 2 watershed management approach to reduce the adverse impact 100 3 of future flooding on this state's residents, businesses, 100 4 communities, and soil and water quality. The council and the 100 5 commission shall consider policies and funding options for 100 6 various strategies to reduce the impact of flooding, including 100 7 but not limited to additional floodplain regulation; wetland 100 8 protection, restoration, and construction; the promulgation and 100 9 implementation of statewide storm water management standards; 100 10 conservation easements and other land management; perennial 100 11 ground cover and other agricultural conservation practices; 100 12 pervious pavement, bioswales, and other urban conservation 100 13 practices; and permanent or temporary water retention 100 14 structures. In developing recommendations, the council and 100 15 the commission shall consult with hydrological and land use 100 16 experts, representatives of cities, counties, drainage and 100 17 levee districts, agricultural interests, and soil and water 100 18 conservation districts, and other urban and regional planning 100 19 experts. 100 20 Sec. 124. Section 466B.31, subsection 1, Code 2016, is 100 21 amended to read as follows: 100 22 1. a. A watershed planning advisory council is established 100 23 for purposes of assembling a diverse group of stakeholders 100 24 to review research and make recommendations to various state 100 25 entities regarding methods to protect water resources in the 100 26 state, assure an adequate supply of water, mitigate and prevent 100 27 floods, and coordinate the management of those resources in 100 28 a sustainable, fiscally responsible, and environmentally 100 29 responsible manner. 100 30 b. The council shall carry out the powers and duties 100 31 described in this section in accordance with the policies 100 32 and under the direction and supervision of the commission. 100 33 The council shall advise the commission as required by the 100 34 commission. 100 35 c. Theadvisorycommission shall supervise the councilmay 101 1 seekin seeking input from councils of governments or other 101 2 organizations in the development of its recommendations. The 101 3 advisory council shall meet once a year and at other times as 101 4 deemed necessary to meet the requirements of this section. 101 5 The advisory council may appoint a task force to assist the 101 6 advisory council in completing its duties. 101 7 Sec. 125. Section 466B.31, subsection 3, unnumbered 101 8 paragraph 1, Code 2016, is amended to read as follows: 101 9 By December 1 of each year, the watershed planning advisory 101 10 council with approval by the commission shall submit a report 101 11 to the governor, the general assembly, the department of 101 12 agriculture and land stewardship, the department of natural 101 13 resources, and the water resources coordinating council. The 101 14 report shall include recommendations regarding all of the 101 15 following: 101 16 Sec. 126. Section 466B.42, Code 2016, is amended to read as 101 17 follows: 101 18 466B.42 Water quality initiative. 101 19The division shall establish aA water quality initiative 101 20 is established in order to assess and reduce nutrients in this 101 21 state's watersheds, including subwatersheds, and regional 101 22 watersheds. Thedivisioncommission shallestablishoversee 101 23 and the division, acting in accordance with the policies 101 24 and under the direction and supervision of the commission, 101 25 shall administer the water quality initiative and advise 101 26 the commission as required by the commission. As part of 101 27 the initiative, the division shall administer projects to 101 28 reduce nutrients in surface waters from nonpoint sources 101 29 in a scientific, reasonable, and cost=effective manner. 101 30 The commission and the division shall utilize a pragmatic, 101 31 strategic, and coordinated approach with the goal of 101 32 accomplishing reductions over time. 101 33 Sec. 127. NEW SECTION. 466B.51 Clean water fund. 101 34 1. A clean water fund is created in the state treasury 101 35 under the management and control of the clean water commission. 102 1 The clean water fund is composed of a general account, an 102 2 assessment account, and an expenditures account. 102 3 2. The clean water fund's general account includes moneys 102 4 appropriated to the account from the general assembly, and 102 5 other moneys available to and obtained or accepted by the 102 6 commission, including moneys from public or private sources. 102 7 However, the account shall not include moneys transferred 102 8 from a commodity organization as described in subsection 3. 102 9 Except as provided in subsection 3, all moneys received by the 102 10 commission for deposit into the fund shall be credited to the 102 11 general account. 102 12 3. The clean water fund's assessment account includes the 102 13 following moneys collected and transferred to the account from 102 14 the following commodity organizations: 102 15 a. The Iowa dairy industry commission as established in 102 16 chapter 179 or the Iowa state dairy association as recognized 102 17 in that chapter, which shall transfer moneys collected from the 102 18 state assessment for clean water as provided in that chapter, 102 19 including section 179.5. 102 20 b. The Iowa beef cattle producers association as established 102 21 in chapter 181 which shall transfer moneys from the state 102 22 assessment as provided in that chapter, including section 102 23 181.13. 102 24 c. The Iowa sheep and wool promotion board established 102 25 pursuant to chapter 182 which shall transfer moneys from the 102 26 state assessment as provided in that chapter, including section 102 27 182.18. 102 28 d. The Iowa pork producers council as established in chapter 102 29 183A, or the Iowa pork producers association as recognized 102 30 in that chapter, which shall transfer moneys from the state 102 31 assessment as provided in that chapter, including section 102 32 183A.7. 102 33 e. The Iowa egg council as established in chapter 184 which 102 34 shall transfer moneys from the state assessment as provided in 102 35 that chapter, including section 184.13. 103 1 f. The Iowa turkey marketing council as established in 103 2 chapter 184A which shall transfer moneys from the state 103 3 assessment as provided in that chapter, including section 103 4 184A.4. 103 5 g. The Iowa soybean association as recognized in chapter 103 6 185 which shall transfer moneys from the state assessment as 103 7 provided in that chapter, including section 185.26. 103 8 h. The Iowa corn promotion board as established in chapter 103 9 185C which shall transfer moneys from the state assessment as 103 10 provided in that chapter, including section 185C.26. 103 11 4. The clean water fund's expenditures account only 103 12 includes moneys transferred from the general account and the 103 13 state assessment account as provided in this section. 103 14 5. a. Moneys in the clean water fund shall not be used for 103 15 any purpose other than described in this section. 103 16 b. Moneys in the general account shall not be used for any 103 17 purpose other than for transfer to the expenditures account. 103 18 c. Moneys in the assessment account shall not be used for 103 19 any purpose other than to do the following: 103 20 (1) Pay administrative expenses which are limited to all of 103 21 the following: 103 22 (a) Reimbursing the department of agriculture and land 103 23 stewardship or a commodity organization for all reasonable 103 24 costs of conducting a referendum to determine if a state 103 25 assessment for clean water is to be established, continued, or 103 26 terminated. The division shall apply to the executive council 103 27 if necessary to receive moneys required to pay for reasonable 103 28 costs of conducting a referendum as provided in section 7D.10B. 103 29 (b) Remitting refunds of moneys to persons who have paid a 103 30 state assessment for clean water to a commodity organization, 103 31 if the application for a refund has been approved by the 103 32 commodity organization and submitted to the department as 103 33 required by the division of soil conservation and water 103 34 quality. 103 35 (c) Paying reasonable expenses associated with the 104 1 collection and transfer of moneys associated with the 104 2 collection of the state assessment for clean water and the 104 3 processing of refund applications associated with such 104 4 collection. 104 5 (d) Transfer remaining moneys to the expenditures account 104 6 as provided in this section. 104 7 6. The clean water commission shall review the balance of 104 8 moneys in the general account and the balance of moneys in the 104 9 assessment account fund not later than June 1 of each year to 104 10 make one of the following determinations: 104 11 a. The total amount of moneys expected to be credited to 104 12 the general account during the following state fiscal year 104 13 beginning July 1 and ending June 30 will not equal or exceed 104 14 the balance of moneys in the assessment account on July 1 of 104 15 that same state fiscal year. If the commission makes this 104 16 determination, the commission shall order all moneys credited 104 17 to the general account to be transferred to the expenditures 104 18 account during that same state fiscal year. The commission 104 19 shall also order that each commodity organization that is 104 20 imposing and collecting a state assessment to immediately 104 21 suspend the imposition of that state assessment for the 104 22 following state fiscal year. 104 23 b. The total amount of moneys expected to be credited to 104 24 the general account during the following state fiscal year 104 25 beginning July 1 and ending June 30 will at least equal the 104 26 balance of moneys in the state assessment account on July 1 104 27 of that same state fiscal year. If the commission makes this 104 28 determination, the commission shall order all moneys credited 104 29 to the general account and assessment account to be transferred 104 30 to the expenditures account during that same state fiscal year. 104 31 7. Moneys in the fund's expenditures account shall be 104 32 expended by the clean water commission to support programs 104 33 and projects administered to improve the state's watersheds 104 34 and surface waters, including but not limited to projects 104 35 associated with the water quality initiative established 105 1 pursuant to section 466B.42. Moneys in the account shall be 105 2 used to support soil conservation and watershed protection, the 105 3 installation of conservation practices and watershed protection 105 4 improvements as provided in chapters 161A, 161C, 461A, 466, 105 5 and 466A. Moneys in the account shall also be used to support 105 6 water quality programs and projects administered by the Iowa 105 7 finance authority under chapter 16. 105 8 8. Notwithstanding section 8.33, moneys in the clean 105 9 water fund shall not revert. Notwithstanding section 12C.7, 105 10 subsection 2, interest or earnings on moneys in the fund shall 105 11 be credited to the fund. 105 12 Sec. 128. NEW SECTION. 466B.52 Clean water commission ==== 105 13 appointment and administration. 105 14 1. A clean water commission is created which shall be housed 105 15 in the division of soil conservation and water quality of the 105 16 department of agriculture and land stewardship. 105 17 2. The commission shall be comprised of nine voting members 105 18 appointed by the governor. 105 19 3. The commission shall also be comprised of four 105 20 legislative members who shall serve in a nonvoting, ex officio 105 21 capacity. The legislative members shall include all of the 105 22 following: 105 23 a. Two members of the senate. One senator shall be 105 24 appointed by the majority leader of the senate and one senator 105 25 shall be appointed by the minority leader of the senate. 105 26 b. Two members of the house of representatives. One 105 27 member shall be appointed by the speaker of the house of 105 28 representatives and one member shall be appointed by the 105 29 minority leader of the house of representatives. 105 30 4. The commission shall also be comprised of persons 105 31 appointed by commodity organizations described in section 105 32 466B.51 who shall serve in a nonvoting, ex officio capacity. 105 33 Each commodity organization may appoint one person if producers 105 34 who are members of the commodity organization have approved 105 35 the establishment of a state assessment for clean water to be 106 1 transferred to the clean water fund created in section 466B.51. 106 2 5. Voting members shall serve four=year terms and may be 106 3 reappointed. The initial terms of the voting members shall 106 4 be staggered at the discretion of the governor. Nonvoting 106 5 members shall serve at the pleasure of the persons or commodity 106 6 organizations making their appointments. 106 7 6. Sections 69.16, 69.16A, and 69.19 shall apply to the 106 8 voting members. The voting members are subject to senate 106 9 confirmation. 106 10 7. a. A member, other than a legislative member, is 106 11 eligible to receive compensation as provided in section 7E.6, 106 12 and shall be reimbursed for actual and necessary expenses 106 13 incurred in performance of the members' duties. All expenses 106 14 shall be paid from appropriations for such purposes and the 106 15 commission shall be subject to the budget requirements of 106 16 chapter 8. 106 17 b. A legislative member serves for a term as provided in 106 18 section 69.16B and is eligible for per diem and expenses as 106 19 provided in section 2.10. 106 20 8. The commission shall meet in January of each year for the 106 21 purpose of electing one of its voting members as chairperson. 106 22 9. The commission shall meet on a regular basis and at the 106 23 call of the chairperson or upon the written request to the 106 24 chairperson of five or more voting members. Written notice 106 25 of the time and place of the meeting shall be given to each 106 26 member. 106 27 10. A majority of voting members constitutes a quorum, 106 28 and the affirmative vote of a majority of the voting members 106 29 is necessary for any action taken by the board, except that a 106 30 lesser number may adjourn a meeting. 106 31 11. Any vacancy in the membership of the commission shall 106 32 be filled in the same manner as regular appointments are made 106 33 for the unexpired portion of the regular term. A vacancy in 106 34 the membership of the commission does not impair the rights of 106 35 a quorum to exercise all rights and perform all duties of the 107 1 commission. 107 2 12. A person shall not serve as a member of the commission 107 3 if the person has an interest in a contract or job of work or 107 4 material or the profits thereof or service to be performed 107 5 for the department of agriculture and land stewardship or 107 6 department of natural resources. Any member of the commission 107 7 who accepts employment with or acquires any stock, bonds, or 107 8 other interest in any company or corporation doing business 107 9 with the department of agriculture and land stewardship or the 107 10 department of natural resources shall be disqualified from 107 11 remaining a member of the commission. 107 12 13. The department of agriculture and land stewardship in 107 13 cooperation with the department of natural resources shall 107 14 assist the commission by doing all of the following: 107 15 a. Provide the commission with necessary facilities, items, 107 16 and clerical support. 107 17 b. Perform administrative functions necessary for the 107 18 management of the commission. 107 19 Sec. 129. NEW SECTION. 466B.53 Clean water commission ==== 107 20 powers and duties. 107 21 1. The purpose of the clean water commission shall be to 107 22 identify and finance methods to improve surface water quality, 107 23 including by reducing contributing contaminant loads to 107 24 receiving surface waters and reducing soil erosion and sediment 107 25 loss. 107 26 2. In furthering the purpose set forth in subsection 1, the 107 27 clean water commission shall do all of the following: 107 28 a. Develop comprehensive water quality policies and plans, 107 29 that identify existing plans, programs, and projects. The 107 30 commission shall use existing data and amend, augment, and 107 31 consolidate existing plans or strategies which have improved or 107 32 which promise to improve water quality. 107 33 b. Identify additional water quality improvement needs on a 107 34 watershed basis, including the need to develop new or innovate 107 35 programs or projects. 108 1 c. Measure the effectiveness and results of programs and 108 2 projects according to performance measures and associated 108 3 benchmarks. The data demonstrating accountability collected by 108 4 the department shall be made readily available and maintained 108 5 in a computer=readable format. 108 6 3. The clean water commission shall establish objectives 108 7 of programs described in subsection 2 to be achieved by 108 8 dates identified by the commission which may include program 108 9 timelines and milestones. The commission shall measure and 108 10 monitor progress toward achieving program objectives. 108 11 4. The commission shall develop comprehensive water quality 108 12 policies and plans, that integrate existing plans, programs, 108 13 and projects in accordance with the Iowa nutrient reduction 108 14 strategy. The commission shall use existing data and amend, 108 15 augment, and consolidate existing plans or strategies which 108 16 have improved or which promise to improve water quality. 108 17 The commission shall also develop new comprehensive water 108 18 quality policies and plans, that integrate existing plans, 108 19 programs, and projects. The information collected by the 108 20 department shall be made readily available and maintained in a 108 21 computer=readable format. 108 22 5. The commission shall identify additional water quality 108 23 improvement needs on a watershed basis, including the need to 108 24 develop new or innovate programs or projects. 108 25 6. By October 1, 2018, and by October 1 of each year 108 26 thereafter, the commission shall submit a report to the 108 27 governor and the general assembly used to support the programs 108 28 described in subsection 2. A report shall include all of the 108 29 following: 108 30 a. A description and update of the current status of water 108 31 quality programs and associated projects, and the expenditure 108 32 of moneys appropriated to support the programs and associated 108 33 projects administered by state entities, including but not 108 34 limited to the department of agriculture and land stewardship, 108 35 the department of natural resources, Iowa state university 109 1 of science and technology, the Iowa finance authority, and 109 2 watershed management authorities. 109 3 b. An evaluation of the successes and failures of a 109 4 water quality program and any associated project in meeting 109 5 the program's objectives. The report shall include any 109 6 legislative proposals to enact, amend, or repeal statutes and 109 7 any administrative proposals to adopt, revise, or rescind 109 8 administrative rules. 109 9 7. The Iowa finance authority, the department of natural 109 10 resources, and the department of agriculture and land 109 11 stewardship shall cooperate with the commission in providing 109 12 the commission with all information necessary for the 109 13 commission to carry out the provisions of this section. 109 14 Sec. 130. NEW SECTION. 466B.54 Clean water commission ==== 109 15 study. 109 16 1. The clean water commission, in cooperation with the 109 17 department of agriculture and land stewardship, the department 109 18 of natural resources, and the Iowa finance authority shall 109 19 prepare and submit a clean water evaluation and expenditure 109 20 report to the governor and general assembly by January 15, 109 21 2018. 109 22 2. The clean water evaluation and expenditure report shall 109 23 include all of the following: 109 24 a. A description of current clean water programs and 109 25 projects, and the expenditure of moneys appropriated to 109 26 support those programs and projects. The report shall evaluate 109 27 successes and failures of each program and project in meeting 109 28 water quality objectives. The report may also recommend 109 29 methods to improve the program. 109 30 b. A plan for allocating moneys in the expenditures account 109 31 of the clean water fund created in section 466B.51. The plan 109 32 shall include a formula which takes into account the extent to 109 33 which moneys may be used for all of the following: 109 34 (1) Watersheds requiring immediate improved surface water 109 35 quality. 110 1 (2) The establishment of infrastructure, conservation 110 2 measures, and practices that reduce contributing nutrient 110 3 loads, associated sediment, or contaminants from nonpoint 110 4 sources to surface waters in a scientific, reasonable, and 110 5 cost=effective manner. 110 6 (3) The administration of programs or projects in a manner 110 7 that is consistent with the Iowa nutrient reduction strategy. 110 8 (4) The degree to which political subdivisions or 110 9 stakeholders have demonstrated a willingness and have the 110 10 resources to participate in programs or projects. 110 11 (5) The degree to which clean water programs can attract 110 12 additional funding from private and public sources including 110 13 federal funding. 110 14 3. The clean water evaluation and expenditure report shall 110 15 include a detailed plan for consolidating all water quality 110 16 and soil conservation initiatives and programs and associated 110 17 projects administered by the department of agriculture and 110 18 land stewardship, the department of natural resources, and the 110 19 Iowa finance authority under the overall supervision of the 110 20 commission. The plan shall include any legislative proposals 110 21 to enact, amend, or repeal statutes and any administrative 110 22 proposals to adopt, revise, or rescind administrative rules. 110 23 Sec. 131. APPROPRIATION. 110 24 1. There is appropriated from the general fund of the state 110 25 to the clean water commission created in section 466B.52 for 110 26 the fiscal year beginning July 1, 2017, and ending June 30, 110 27 2018, the following amount, or so much thereof as is necessary, 110 28 to be used for the purposes designated: 110 29 To be credited to the general account of the clean water fund 110 30 created in section 466B.51: 110 31 .................................................. $ 40,000,000 110 32 2. The amount of the appropriation made in subsection 1 110 33 shall be reduced by any amount of moneys to be credited to 110 34 the assessment account of the clean water fund due to state 110 35 assessments collected on or before June 30, 2017. 111 1 DIVISION X 111 2 ADMINISTRATION 111 3 Sec. 132. NAME CHANGE TO REFERENDUM FOR DIRECT USE. Nothing 111 4 in this Act requires the department of agriculture and land 111 5 stewardship or a commodity organization described in section 111 6 466B.51, as enacted in this Act, to conduct a referendum 111 7 because of this Act's reference to a referendum as a referendum 111 8 for direct use. 111 9 EXPLANATION 111 10 The inclusion of this explanation does not constitute agreement with 111 11 the explanation's substance by the members of the general assembly. 111 12 This bill relates to agricultural commodity organizations 111 13 representing producers of that commodity that are authorized 111 14 to impose an excise tax or "assessment" (and commonly 111 15 referred to as a "checkoff") on the commodity when first 111 16 sold by the producer to a first purchaser. The goal of the 111 17 assessment is to fund promotional activities which involve 111 18 market development, research, and education. The commodity 111 19 organizations include the Iowa dairy industry commission or 111 20 Iowa state dairy association (Code chapter 179), Iowa beef 111 21 cattle producers association (Code chapter 181), Iowa sheep and 111 22 wool promotion board (Code chapter 182), Iowa pork producers 111 23 council or Iowa pork producers association (Code chapter 183A), 111 24 Iowa egg council (Code chapter 184), the Iowa turkey marketing 111 25 council (Code chapter 184A), the Iowa soybean association 111 26 (Code chapter 185), and the Iowa corn promotion board (Code 111 27 chapter 185C). The bill requires a commodity organization 111 28 to establish a separate state assessment for clean water, if 111 29 approved by a majority of its members at a referendum. The 111 30 bill also requires commodity organizations to conduct a special 111 31 referendum to increase the rate of the assessment for clean 111 32 water. The rate of the state assessment is established by the 111 33 governing body of the commodity organization not to exceed the 111 34 assessment for direct use or national assessment or both. The 111 35 referendum would be conducted in the same manner as an initial 112 1 or special referendum conducted by the commodity organization 112 2 under its specific Code chapter. The special assessment could 112 3 be continued or terminated in the same manner as the commodity 112 4 organization's assessment for promotional activities. Moneys 112 5 from the state assessment would be collected by the commodity 112 6 organization and transferred to a newly created clean water 112 7 fund. 112 8 The bill establishes a clean water commission housed in 112 9 the division of soil conservation and water quality of the 112 10 department of agriculture and land stewardship. The commission 112 11 is composed of nine voting members appointed by the governor, 112 12 four legislative members who serve in a nonvoting, ex officio 112 13 capacity, and persons appointed by the commodity organizations, 112 14 who also serve in a nonvoting, ex officio capacity. 112 15 Appointments are contingent on the commodity organization 112 16 having approved the establishment of a state assessment for 112 17 clean water to be transferred to the clean water fund. The 112 18 purpose of the commission is to finance methods to improve 112 19 surface water quality, including by reducing contributing 112 20 contaminant loads to receiving surface waters and reducing soil 112 21 erosion and sediment loss. The commission is responsible for 112 22 overseeing the water quality initiative as administered by the 112 23 division of soil conservation and water quality. 112 24 Moneys collected from the state assessment are to be 112 25 credited to the clean water fund which is under the supervision 112 26 of the commission. The fund is composed of a general account, 112 27 an assessment account, and an expenditures account. The fund's 112 28 general account includes moneys appropriated by the general 112 29 assembly and other moneys available to and obtained or accepted 112 30 by the commission. Moneys collected from the state assessment 112 31 are to be credited to the assessment account. The bill also 112 32 includes an expenditures account which only includes moneys 112 33 transferred from the general account and the assessment account 112 34 for purposes of financing methods to improve surface water 112 35 quality. Moneys transferred from the assessment account are 113 1 to be used to reimburse the department of agriculture and land 113 2 stewardship or a commodity organization for reasonable costs 113 3 of conducting a referendum to determine if a state assessment 113 4 for clean water is to be established, continued, or terminated. 113 5 The commission can also apply to the executive council for 113 6 moneys required to pay for reasonable costs of conducting a 113 7 referendum. Moneys deposited into the expenditures account 113 8 may also be used to pay refunds to producers who have paid the 113 9 state assessment if the refund application has been approved 113 10 by the commodity organization. The commission must review 113 11 the balance of moneys in the general account and the balance 113 12 of moneys in the assessment account, prior to the end of 113 13 each fiscal year. If the total amount of moneys expected 113 14 to be credited to the general account during the following 113 15 fiscal year will not at least equal the balance of moneys in 113 16 the assessment account the commission must order that each 113 17 commodity organization that is imposing and collecting a state 113 18 assessment immediately suspend the imposition of that state 113 19 assessment for the following fiscal year. 113 20 The bill appropriates $40 million from the general fund 113 21 of the state to the clean water commission for the fiscal 113 22 year beginning July 1, 2017, and ending June 30, 2018, to 113 23 be credited to the general account of the clean water fund. 113 24 However, the amount of the appropriation is to be reduced by 113 25 any moneys credited to the fund's assessment account due to 113 26 state assessments collected on or before June 30, 2017. 113 27 The commission, in cooperation with the department of 113 28 agriculture and land stewardship, the department of natural 113 29 resources, and the Iowa finance authority, must submit a 113 30 report to the governor and general assembly by January 15, 113 31 2018, which includes a description of current clean water 113 32 programs and projects and a detailed plan for consolidating all 113 33 water quality and soil conservation initiatives and programs 113 34 and associated projects administered by the department of 113 35 agriculture and land stewardship, the department of natural 114 1 resources, and the Iowa finance authority under the overall 114 2 supervision of the commission. 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