Bill Text: IA HF730 | 2019-2020 | 88th General Assembly | Introduced
Bill Title: A bill for an act relating to conflicts of interest in certain government public contracts. (Formerly HF 178.)
Spectrum: Committee Bill
Status: (Introduced - Dead) 2019-04-17 - Withdrawn. H.J. 899. [HF730 Detail]
Download: Iowa-2019-HF730-Introduced.html
House
File
730
-
Introduced
HOUSE
FILE
730
BY
COMMITTEE
ON
LOCAL
GOVERNMENT
(SUCCESSOR
TO
HF
178)
(COMPANION
TO
SF
283
BY
COMMITTEE
ON
LOCAL
GOVERNMENT)
A
BILL
FOR
An
Act
relating
to
conflicts
of
interest
in
certain
government
1
public
contracts.
2
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
3
TLSB
1729HV
(2)
88
ec/rn
H.F.
730
Section
1.
Section
279.7A,
Code
2019,
is
amended
to
read
as
1
follows:
2
279.7A
Interest
in
public
contracts
prohibited
——
exceptions.
3
1.
A
member
of
the
board
of
directors
of
a
school
4
corporation
shall
not
have
an
interest,
direct
or
indirect,
in
5
a
contract
for
the
purchase
of
goods,
including
materials
and
6
profits,
and
the
performance
of
services
for
the
director’s
7
school
corporation.
A
contract
entered
into
in
violation
of
8
this
section
is
void.
9
2.
This
section
does
not
apply
to
contracts
for
the
10
purchase
of
goods
or
services
which
benefit
a
director,
or
11
to
compensation
for
part-time
or
temporary
employment
which
12
benefits
a
director,
if
the
benefit
to
the
director
does
not
13
exceed
two
six
thousand
five
hundred
dollars
in
a
fiscal
year,
14
and
contracts
made
by
a
school
board,
upon
competitive
bid
in
15
writing,
publicly
invited
and
opened.
16
3.
This
section
does
not
apply
to
a
contract
that
is
a
17
bond,
note,
or
other
obligation
of
a
school
corporation
if
the
18
contract
is
not
acquired
directly
from
the
school
corporation,
19
but
is
acquired
in
a
transaction
with
a
third
party,
who
may
20
or
may
not
be
the
original
underwriter,
purchaser,
or
obligee
21
of
the
contract,
or
to
a
contract
in
which
a
director
has
an
22
interest
solely
by
reason
of
employment
if
the
contract
is
made
23
by
competitive
bid
in
writing,
publicly
invited
and
opened,
or
24
if
the
remuneration
of
employment
will
not
be
directly
affected
25
as
a
result
of
the
contract
and
the
duties
of
employment
do
not
26
directly
involve
the
procurement
or
preparation
of
any
part
of
27
the
contract.
28
4.
The
competitive
bid
qualification
of
this
section
29
does
not
apply
to
a
contract
for
professional
services
not
30
customarily
awarded
by
competitive
bid.
31
Sec.
2.
Section
331.342,
subsection
2,
paragraph
j,
Code
32
2019,
is
amended
to
read
as
follows:
33
j.
Contracts
not
otherwise
permitted
by
this
section
,
for
34
the
purchase
of
goods
or
services
by
a
county,
which
benefit
a
35
-1-
LSB
1729HV
(2)
88
ec/rn
1/
3
H.F.
730
county
officer
or
employee,
if
the
purchases
benefiting
that
1
officer
or
employee
do
not
exceed
a
cumulative
total
purchase
2
price
of
one
six
thousand
five
hundred
dollars
in
a
fiscal
3
year.
4
Sec.
3.
Section
362.5,
subsection
3,
paragraph
j,
Code
2019,
5
is
amended
to
read
as
follows:
6
j.
Contracts
not
otherwise
permitted
by
this
section
,
for
7
the
purchase
of
goods
or
services
by
a
city
having
a
population
8
of
more
than
two
thousand
five
hundred,
which
benefit
a
city
9
officer
or
employee,
if
the
purchases
benefiting
that
officer
10
or
employee
do
not
exceed
a
cumulative
total
purchase
price
of
11
one
six
thousand
five
hundred
dollars
in
a
fiscal
year.
12
Sec.
4.
Section
362.5,
subsection
3,
paragraph
k,
Code
2019,
13
is
amended
by
striking
the
paragraph.
14
EXPLANATION
15
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
16
the
explanation’s
substance
by
the
members
of
the
general
assembly.
17
Current
Code
provisions
generally
restrict
school
board
18
members
and
city
and
county
officers
and
employees
from
19
entering
into
contracts
with
the
applicable
governmental
entity
20
or
having
an
interest,
direct
or
indirect,
in
a
contract
with
21
the
entity.
The
prohibition
does
not,
however,
apply
to
22
contracts
if
purchases
benefiting
the
individual
do
not
exceed
23
specified
value
thresholds
in
a
fiscal
year.
The
current
24
thresholds
are
$2,500
for
school
board
members,
$1,500
for
25
county
officers
or
employees,
$1,500
for
officers
or
employees
26
of
a
city
with
a
population
of
more
than
2,500,
and
$2,500
for
27
officers
or
employees
of
a
city
with
a
population
of
2,500
or
28
less.
This
bill
increases
all
such
contract
threshold
amounts
29
to
$6,000.
30
By
operation
of
law,
the
threshold
amount
changes
in
the
bill
31
also
apply
to
other
provisions
governing
school
board
members
32
and
provisions
governing
certain
school
organizations
and
clubs
33
under
Code
section
298A.15,
port
authorities
under
Code
chapter
34
28J,
regional
transit
districts
under
Code
chapter
28M,
and
35
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H.F.
730
county
enterprise
commissions
under
Code
section
331.471.
1
-3-
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1729HV
(2)
88
ec/rn
3/
3