Bill Text: IA HF2503 | 2021-2022 | 89th General Assembly | Introduced
Bill Title: A bill for an act relating to price increases for goods, services, and lodging occurring during a declared emergency, and providing penalties.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced - Dead) 2022-02-22 - Introduced, referred to Commerce. H.J. 327. [HF2503 Detail]
Download: Iowa-2021-HF2503-Introduced.html
House
File
2503
-
Introduced
HOUSE
FILE
2503
BY
BENNETT
and
RUNNING-MARQUARDT
A
BILL
FOR
An
Act
relating
to
price
increases
for
goods,
services,
and
1
lodging
occurring
during
a
declared
emergency,
and
providing
2
penalties.
3
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
4
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Section
1.
NEW
SECTION
.
714.16D
Declared
emergencies
——
1
maximum
lawful
prices.
2
1.
As
used
in
this
section,
unless
the
context
otherwise
3
requires:
4
a.
“Building
materials”
means
lumber,
construction
tools,
5
windows,
and
other
items
used
in
building
or
rebuilding
6
property.
7
b.
“Consumer
food
items”
means
the
same
as
“food”
as
defined
8
in
section
137F.1.
9
c.
“Declared
emergency”
includes
a
“disaster”
as
defined
10
in
section
29C.2,
and
“public
health
disaster”
as
defined
in
11
section
135.140,
as
declared
by
the
governor
or
other
state
or
12
local
official
with
declaration
authority.
13
d.
“Emergency
supplies”
includes
water,
flashlights,
14
radios,
batteries,
candles,
blankets,
soaps,
diapers,
temporary
15
shelters,
tape,
toilet
paper,
tissues,
paper
towels,
gasoline
16
generators,
chainsaws,
food
coolers,
tarps,
charcoal,
propane
17
tanks,
toiletries,
plywood,
nails,
and
hammers.
18
e.
“Fuel”
means
any
energy
source
used
to
power
a
motor
19
vehicle
or
power
tool
including
gasoline
and
propane.
20
f.
“Medical
supplies”
includes
prescription
and
21
nonprescription
medications,
bandages,
gauze,
isopropyl
22
alcohol,
and
antibacterial
products.
23
g.
“Repair
or
reconstruction
services”
means
services
24
performed
by
any
person
who
is
required
to
be
licensed
under
25
the
state
for
repairs
to
residential
or
commercial
property
26
that
is
damaged
as
a
result
of
the
disaster.
27
h.
“Transportation,
freight,
and
storage
services”
means
28
services
performed
by
a
company
to
move,
store,
or
transport
29
personal
or
business
property
or
that
rents
equipment
for
those
30
purposes,
including
towing
services.
31
2.
a.
During
a
declared
emergency
and
for
a
period
of
32
thirty
days
following
the
end
of
the
declared
emergency,
a
33
person
or
business
shall
not
sell
or
offer
to
sell
building
34
materials,
consumer
food
items,
emergency
supplies,
fuel,
35
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home
heating
oil,
medical
supplies,
repair
or
reconstruction
1
services,
or
transportation,
freight,
and
storage
services
for
2
a
price
of
more
than
ten
percent
above
the
price
charged
by
3
that
person
or
business
for
those
goods
or
services
immediately
4
prior
to
the
declared
emergency.
5
b.
A
person
or
business
not
engaged
in
selling
building
6
materials,
consumer
food
items,
emergency
supplies,
fuel,
7
home
heating
oil,
medical
supplies,
repair
or
reconstruction
8
services,
or
transportation,
freight,
and
storage
services
9
immediately
prior
to
the
declared
emergency
shall
not
charge
a
10
customer
more
than
ten
percent
above
the
average
price
charged
11
in
the
state
for
the
same
good
or
service
immediately
prior
to
12
the
declared
emergency.
13
c.
A
seller
may
increase
the
price
of
building
materials,
14
consumer
food
items,
emergency
supplies,
fuel,
home
heating
15
oil,
medical
supplies,
repair
or
reconstruction
services,
or
16
transportation,
freight,
and
storage
services
greater
than
ten
17
percent
if
the
seller
can
prove
either
of
the
following:
18
(1)
The
price
increase
is
directly
attributable
to
19
additional
costs
the
supplier
of
the
goods
imposed
on
the
20
seller.
21
(2)
The
price
increase
is
directly
attributable
to
22
additional
costs
for
labor
or
materials
used
to
provide
the
23
services.
24
d.
Where
a
seller
increases
the
price
of
building
materials,
25
consumer
food
items,
emergency
supplies,
fuel,
home
heating
26
oil,
medical
supplies,
repair
or
reconstruction
services,
or
27
transportation,
freight,
and
storage
services
pursuant
to
28
paragraph
“c”
,
the
increase
in
price
shall
not
be
greater
than
29
ten
percent
of
the
total
cost
to
the
seller
plus
the
amount
of
a
30
customary
markup
applied
in
the
usual
course
of
business
prior
31
to
the
declared
emergency.
32
e.
A
seller
offering
building
materials,
consumer
food
33
items,
emergency
supplies,
fuel,
home
heating
oil,
medical
34
supplies,
repair
or
reconstruction
services,
or
transportation,
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freight,
and
storage
services
on
a
discounted
sales
price
prior
1
to
the
declared
emergency
may
use
the
nonsale
price
of
the
2
goods
or
services
for
purposes
of
this
subsection.
3
3.
During
a
declared
emergency
and
for
a
period
of
thirty
4
days
following
the
end
of
the
declared
emergency,
an
owner
or
5
operator
of
a
hotel,
motel,
or
other
lodging
or
room
service
6
shall
not
increase
regular
rates
advertised
immediately
prior
7
to
the
declared
emergency
greater
than
ten
percent.
An
owner
8
or
operator
may
increase
the
price
if
the
increase
is
directly
9
attributable
to
additional
costs
imposed
on
the
owner
or
10
operator
for
goods
or
services
used
in
the
regular
course
of
11
business,
including
seasonal
adjustments
in
rates.
12
4.
The
provisions
in
this
section
may
be
extended
as
13
necessary
for
an
additional
thirty-day
period
by
the
governor,
14
public
elected
official,
or
the
general
assembly.
15
5.
A
violation
of
this
section
is
a
serious
misdemeanor
16
punishable
by
imprisonment
not
exceeding
one
year
and
a
fine
17
not
exceeding
ten
thousand
dollars,
or
both.
A
violation
of
18
this
section
constitutes
an
unlawful
practice
pursuant
to
19
section
714.16.
20
EXPLANATION
21
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
22
the
explanation’s
substance
by
the
members
of
the
general
assembly.
23
This
bill
relates
to
price
increases
for
goods,
services,
24
and
lodging
occurring
during
a
declared
emergency.
25
The
bill
defines
“building
materials”
to
mean
lumber,
26
construction
tools,
windows,
and
other
items
used
in
building
27
or
rebuilding
property.
The
bill
defines
“declared
emergency”
28
to
include
a
“disaster”
as
defined
in
Code
section
29C.2,
and
29
“public
health
disaster”
as
defined
in
Code
section
135.140,
as
30
declared
by
the
governor
or
other
state
or
local
official
with
31
declaration
authority.
The
bill
defines
“emergency
supplies”
32
to
include
water,
flashlights,
radios,
batteries,
candles,
33
blankets,
soaps,
diapers,
temporary
shelters,
tape,
toilet
34
paper,
tissues,
paper
towels,
gasoline
generators,
chainsaws,
35
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2503
food
coolers,
tarps,
charcoal,
propane
tanks,
toiletries,
1
plywood,
nails,
and
hammers.
2
The
bill
provides
that
during
a
declared
emergency
and
for
30
3
days
following
the
end
of
the
declared
emergency,
a
person
or
4
business
shall
not
sell
or
offer
to
sell
building
materials,
5
consumer
food
items,
emergency
supplies,
fuel,
home
heating
6
oil,
medical
supplies,
repair
or
reconstruction
services,
or
7
transportation,
freight,
and
storage
services
for
a
price
of
8
more
than
10
percent
above
the
price
charged
by
that
person
9
or
business
for
the
same
items
or
services
immediately
prior
10
to
the
declared
emergency.
The
bill
provides
that
a
person
11
or
business
not
engaged
in
selling
certain
goods
or
services
12
immediately
prior
to
the
declared
emergency
shall
not
charge
a
13
customer
more
than
10
percent
above
the
average
price
charged
14
in
the
state
for
the
same
good
or
service
immediately
prior
to
15
the
declared
emergency.
16
The
bill
provides
that
a
seller
may
increase
the
price
of
17
certain
goods
or
services
greater
than
10
percent
if
the
seller
18
can
prove
that
the
price
increase
is
directly
attributable
to
19
costs
imposed
by
the
supplier
of
the
goods
or
costs
for
labor
20
or
materials
used
to
provide
the
services.
The
increase
in
21
price
shall
not
be
greater
than
10
percent
of
the
total
cost
to
22
the
seller
plus
the
amount
of
a
customary
markup
applied
in
the
23
usual
course
of
business
prior
to
the
declared
emergency.
24
The
bill
provides
that
a
seller
offering
certain
goods
or
25
services
for
a
sale
price
prior
to
the
declared
emergency
may
26
use
the
nonsale
price
of
the
good
or
service
for
purposes
of
27
calculating
price
increases
under
the
bill.
28
The
bill
provides
that
during
a
declared
emergency
and
for
30
29
days
following
the
end
of
the
declared
emergency,
an
owner
or
30
operator
of
a
hotel,
motel,
or
other
lodging
or
room
service
31
shall
not
increase
regular
rates
advertised
immediately
prior
32
to
the
declared
emergency
greater
than
10
percent,
but
may
33
increase
the
price
if
the
increase
is
directly
related
to
costs
34
imposed
on
the
owner
or
operator
for
goods
or
services
used
in
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the
regular
course
of
business.
1
The
bill
provides
that
cost
controls
established
by
the
bill
2
may
be
extended
as
necessary
for
an
additional
30-day
period
by
3
the
governor,
public
elected
official,
or
the
general
assembly.
4
The
bill
provides
that
a
violation
of
the
provisions
of
the
5
bill
is
a
serious
misdemeanor
punishable
by
imprisonment
not
6
exceeding
one
year,
a
fine
not
exceeding
$10,000,
or
both.
The
7
attorney
general
may
prosecute
violations
of
the
bill
as
an
8
unlawful
practice
under
Code
section
714.16
(consumer
frauds).
9
Under
current
administrative
law,
a
seller
is
prohibited
10
from
charging
an
excessive
price
for
merchandise
needed
by
11
disaster
victims
during
and
for
a
period
following
a
disaster
12
(61
IAC
31.1).
A
violation
of
the
administrative
law
is
an
13
unfair
practice
under
Code
section
714.16.
Merchandise
needed
14
by
disaster
victims
includes
water,
food,
medicines,
sanitation
15
supplies,
utilities,
building
materials,
and
materials,
goods,
16
or
services
for
cleanup
or
repair.
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