Report from the Statehouse – Week 13 Compiled by ISA Contract Lobbyist, Jill Altringer With probably one week left in this year’s legislative session, it’s down to the final issues legislators want to consider. ISA has accomplished one of our early goals in raising the per diem for directors and getting it signed by the governor. Renewable fuels infrastructure has received most of our attention in the past week, with John Heisdorffer, Dennis Bogaards and Carol Balvanz joining me at the statehouse on Wednesday, April 9, to meet with several members of the Senate and other groups on our views on the infrastructure bill. Specific issues of interest to soybean producers: HF 2553 SOYBEAN PER DIEMS Signed by Governor – Raises the per diem compensation for directors of the Iowa Soybean Association Board from $50 to $100. The bill passed the House 94-1 and Senate 49-0 before going down to the Governor. Renewable Fuels Infrastructure Clears House Ways and Means – The House Ways & Means Committee passed HF 2632 which addresses the state’s biofuels Renewable Fuel Infrastructure Program. HF 2632 language makes a number of Code modifications to enable the use of blender pumps to allow a motorist to select the appropriate biofuel mix. The bill modifies the rate of cost-share grants for renewable fuel infrastructure by increasing ethanol fuel infrastructure grants to $50,000 and biodiesel terminal grants to $100,000 per location. The amendment also increases the current cost-share of ethanol from 50 percent to 70 percent. The bill also included having state vehicles use biodiesel fuels when applicable and available, and a media and public relations campaign by the Department of Energy Independence touting the benefits of increased biofuel use by Iowans. Statewide Sales Tax Approved By House – On Wednesday, by a vote of 59-41, the House approved HF 2663, which repeals the local option sales tax and replaces it with a 6 percent statewide tax. Supporters of the bill said it will further improve the fairness of the school sales tax, and offer significant amounts of property tax relief ($207M over 6 years). Supporters also note all 99 of Iowa’s counties currently collect the local sales tax. Opponents charge changing from a local option to a statewide sales tax will be a tax increase for 13,000 Iowa businesses, and also the change ended local accountability and gives state lawmakers more opportunities to scoop the money for spending unrelated to school infrastructure or property tax relief. Power Fund Board Moves on First Round of Proposals - This week the Iowa Power Fund Board recommended negotiations begin for 5 applications (requests totaling < $6.7M). The Board must grant final approval once negotiations have been completed. Find more information here. State Tax Revenues Update – Last Friday, the Revenue Estimating Conference (REC) met to revise the FY ‘08 and FY ‘09 revenue estimates. With revenue continuing to exceed the December estimate, the REC increased FY ‘08 by $78.8M and FY ‘08 by $49.1M. It is unclear how the excess revenue will be spent by the General Assembly. Additional bills signed by the Governor: HF 2551 PESTICIDE APPLICATORS – Strikes the requirement for a crop-duster licensed in another state to be under the direct supervision of one licensed in Iowa.  Requires DALS to adopt rules on licenses for non-residents, and allows rules on the condition of the aircraft and on the application of pesticides under the supervision of someone licensed in this state.  Effective on enactment. HF 2554 DRAINAGE DISTRICT EXPENSES – Increases the ceiling for various repairs or weed eradication that can be authorized by the governing board of a drainage district (county supervisors) without a public hearing to $20,000. Increases the threshold for a landowner to file a remonstrance to $25,000. SF 2230 SPECIAL NON-RESIDENT HUNTING LICENSES – Authorizes the NRC to issue special non-resident turkey and any sex deer licenses to non-residents with a severe physical disability or a terminal illness. Allows the NRC to prepare an application that requires the illness or disability to be certified b y a doctor. Makes these licenses in addition to other authorized non-resident licenses. SF 2328 DEER DEPREDATION MATTERS – Specifically includes representatives from farm organizations, nursery and landscape groups, insurance groups and ISU and DALS on the farmer advisory committee for deer depredation.  Includes in the wild animal depredation program damage to crops, horticultural products, trees and nurseries. Requires the NRC to issue certain deer depredation permits and requires that any deer killed with such a permit use the deer harvesting reporting system. Directs the DNR to make information about deer depredation programs available to the public, to farmers, and to farm and commodity organizations, by June 30, 2008. Effective on enactment. Bills to the Governor: SF 2133 IOWA CROP IMPROVEMENT ASSOCIATION – Strikes a requirement that the ICIA file with DALS to show its existence. Gives the ICIA rulemaking authority and re-writes Code section on its purposes. Expressly authorizes the hiring of an executive director. Increases the board membership to 11, adding a member from ISU and from stakeholders, and makes other changes in board membership.  Allows the board to decide whether to reimburse members for expenses. The Senate PASSED the bill, 50-0; it now goes to the Governor. SF 2361 BIO-BASED PURCHASING –  Requires the DAS, state agencies with purchasing power and the boards or merged areas to give a purchasing preference to designated bio-based products, based on USDA standards. Requires the purchase to be for the product with the greatest percentage of bio-based material, with exceptions for availability, cost, effectiveness and any existing bio-based purchase preferences. Bills Sent to the Senate: The AG and Natural Resources Appropriations includes funding for the On Farm Research in the following language passed by the House and sent to the Senate: FARM MANAGEMENT DEMONSTRATION PROGRAM  12  9    a.  For continuation of a statewide voluntary farm  12 10 management demonstration program to demonstrate the  12 11 effectiveness and adaptability of emerging practices in  12 12 agronomy that protect water resources and provide other  12 13 environmental benefits:  12 14 .................................................. $    850,000  12 15    b.  Not more than 8 percent of the moneys appropriated in  12 16 paragraph "a" may be used for costs of administration and  12 17 implementation of soil and water conservation practices.  12 18    c.  Of the amount appropriated in paragraph "a", $400,000  12 19 shall be allocated to the Iowa Soybean Association's  12 20 agriculture and environment performance program. HF 2662 AGRICULTURE & NATURAL RESOURCES APPROPRIATIONS -- Total:  $126.1 million: $43.4 million from the GF; $82.7 million from other sources. DALS - Totals $21.3 million from the GF  Administration Total $19.1 million; Regulatory Dairy Products $950,000; Avian Influenza $50,000; Chronic Wasting $80,000; Apiary Program $75,000; Soil Commissioners’ Expenses $400,000; Senior Farms Market $75,000; Insect Pests  $100,000; Farm to School $80,000; Emergency Vet Service $100,000; Grape & Wine Fund $280,000; Organic Ag Products $50,000.  Regents: ISU Vet Lab $2 million. Other Funds Native Dog & Horse Program $305,000 Open Feedlots $50,000 Conservation Reserve $1.5 million, Watershed Protection $2.55 million, Farm Management Demo. $850,000, Drainage Wells $1.5 million, Cost Share $7 million Conservation Reserve Program $1.5 million, S. Iowa Cons. & Dev. Auth. $300,000, Fuel Inspection $300,000. Loess Hills $600,000. DNR - Totals $20 million from the GF and $42.1 million from DNR revenues and programs.  General Fund: Operations $20 million Other Funds: Fish & Wildlife $37.6 million; Groundwater Protection $3.45 million; Snowmobile Fees $100,000 Underground Tank Administration $200,000; Permits $700,000. Natural Resources Capital REAP $16 million; Volunteers $100,000; Parks $2.5 million; Watershed/Water Quality $4.1 million; Air Quality $325,000; Feeding Operations $360,000; Resources Conservation & Development $250,000; Climate Change $50,000. DED - Total $500,000 (Brownfields) Appropriates $15,000 from the Agrichemical Remediation fund for a soil and water conservation assessment on the Little Sioux River.   Appropriates $775,000 from the underground storage tank fund to the atv fund and $950,000 from the GF to the snowmobile fund to support programs for those vehicles.  Allows the voting public members serving on the watershed improvement review board to receive per diem and expenses, paid from the fund. The House PASSED the bill, as amended, 51-44; it now goes to the Senate. SF 2348 COOP MEMBERSHIP - Standard of Care:  Makes the standard of conduct for a co-op association’s board of directors or officers one of good faith and reasonableness, and using ordinary care. Allows for a director to consider community-interest factors when making a decision.  Allows for the reliance on persons that the officer or director has reason to believe is reliable and competent. Makes the director or officer not liable when acting under these standards of care. Sales:  Allows the board to condition its recommendation about the sale of an association, acquisition, merger or consolidation, upon any basis.  Allows an association, in its articles of incorporation, to adopt rules requiring more than a 2/3 majority to approve the sale, acquisition, merger or consolidation. Allows the directors to consider community interest when looking at acquisitions and mergers, and to reject a proposal if not in the best interest of the association. Requires the care standard not be for an ordinary person but for someone in a like position.  Requires a provision which adds, changes, or deletes a greater voting or quorum requirement must be adopted by the voting or quorum requirements then in effect or proposed, whichever is greater. House Ways and Means Committee:  Voted Out HF 2652 MANURE ODOR RESEARCH – An Act providing for efforts to mitigate odor emitted from a livestock operation including by providing for basic and applied research and evaluations, and including applicability and effective date provisions. Palmer, Reasoner, Wise, Struyk, Deyoe. HF 2518 WATER WELL DRILLING RULES – Directs the EPC to develop rules for water well drilling that consider the size of the well, as measured by the water flow, the best management practices for reducing wastewater discharge, the necessity of inspecting the drilling site, notification of the DNR prior to starting drilling, retention of well records and limits on wastewater discharge. Directs the EPC to convene an advisory committee with representatives from the Iowa Water Well Association to develop the rules. Requires the rules by December 31, 2008. Amended & PASSED, 25-0, Floor Manager:  Thomas Senate Ways and Means Committee:  Voted Out SF 2389 TIME-21 II – Requires the Treasurer to credit $346 million from registration fees to the TIME-21 fund. Registration: Replaces the use-tax fee with changed registration fees.  Makes truck registration fees the same as car registration fees for model years from 2010. Does not affect trucks already registered under the current truck fee schedule. Cars:  Changes the rate schedule for registrations. Makes the minimum registration fee $75 but allows owners paying a lower rate to continue to do so for that car. Other:  Raises the fees for farm trucks and trailers.(Amended to allow TIME-21 to move forward.) Amended & Passed, 17-0, Floor Manager:  McCoy. For more information on these bills or other legislative activity, contact ISA Director of Policy, Carol Balvanz at 515-251-8640.
CLICK HERE If You Are Having Problems Viewing This eNewsletter