Iowa Legislative Report: Funnel week eliminates some bills

The first funnel week of this session ended, which means each chamber has had to pass out of committee all bills to be considered this session. Bills that deal with taxes or appropriations are exceptions to this timeline. Because of the shortened session, it has become apparent some legislation is being rushed and some legislative intent has been undermined. Bills dealing with sick leave, prevailing wage, fair share, an ethanol mandate, an end to greyhound racing and a ban on texting while driving are among those that survived.

But Senate Republicans said Democrats failed to work in a bipartisan fashion to help increase job opportunities for Iowans, hold down property taxes and curb runaway spending. On Thursday, they released a list of at least nine bills that would have increased the state's chances for long-term job growth. "Iowa Democrats have chosen to act in a partisan fashion and refused to move these bills out of committee," the Senate Republican white paper said.

The funnel will narrow lawmakers' focus with less than seven weeks left in the session. The next funnel is March 5, when bills from one chamber must clear a committee of the other chamber. "There are a lot of bills that will go by the wayside," Gronstal said.

Bills which passed out of Agriculture and Environmental Committees:

Watershed Advisory Council:  HSB 660 establishes a watershed quality planning advisory council charged with revisiting the six recommendations that came out of the watershed taskforce in 2007. The council will look at the overall picture of watersheds to help improve water quality and facilitate implementation by reviewing research on pollution control procedures. The goal is a holistic watershed-based approach, identified by numerous working groups, to solve problems due to fragmented communication and a lack of a unified state plan. The group is to meet at least once a year and give an annual report to the Governor, General Assembly, DNR, IDALS, and the Water Coordinating Council.

Measure to Align DNR Definitions of Common Management: The House Agriculture Committee considered and passedHF 2324unanimously. The bill extends current Code definition of common management that already applies to open feedlot animals to animals in confinement feeding operations. The bill also reiterates legislative intent that last year’s legislation dealing with manure application restrictions on snow- or ice-covered ground does not require unpermitted existing confinement operators to build a specified minimum amount of manure storage. HF 2324 replaces the existing DNR administrative rule language interpretation and preempts a pending DNR administrative rule revision. The bill formalizes the interpretation of a definition of

“common management” that applies to non-cattle confinement animal feeding operations that utilize liquid manure handling systems. This existing DNR interpretation now considers two different confinement livestock farmers with separate manure handling systems located within a certain distance, depending on combined capacity to be one facility for air permitting purposes The pending DNR rule revisions adds the following verbiage to the formal rule (IAC 567-65.1)—“Significant control includes the majority ownership by a person of the animals in each of two or more confinement feeding operations.”   The language proposed by HF 2324 is—“For purposes of determining whether two or more confinement feeding operations are under a person's common management, the person must have significant control of the management of the day-to-day operations of each of the confinement feeding operations. Common management does not include control over a contract livestock facility by a contractor, as defined in Code section 202.1.” The other aspect of HF 2324 deals with pending DNR/EPC rule that would require confinement animal feeding operations to have at least 180-days of cumulative manure storage in order to be afforded the right to emergency apply manure on frozen or snow-covered ground.  During the rule promulgation process, DNR has stated its intent that existing operations not previously required to have minimum manure storage should explore other alternatives or provide sufficient manure storage capacity to retain manure generated during that period. The Senate companion to HF 2324 is SF 2229.

Extend Current Livestock/Construction Truck Axel/Weight Limits to Other Ag Trucks : Both Agriculture committees approved HSB 688 & SSB 3182. The bills propose to add trucks carrying grain, fertilizer, age-lime, and agricultural chemicals to the existing weight limits and axel configuration already applicable to trucks hauling grain or construction materials. Currently livestock and aggregate may run transaxle configurations on Iowa’s non-interstate highways.  The measure does not apply to special trucks for farm use. As a result, there is less wear and tear on roads due to additional axles balancing the weight.

Wildlife Feeding Prohibition: Both Natural Resources Committees passed out bills, HSB 631 & SSB 3119, limiting wildlife feeding. The bills passed by party-line votes.  Much of the agricultural community is still concerned with the bill’s language dealing with the prohibition of feeding or baiting wildlife and whether existing agricultural practices might erroneously be considered as such. For instance, there is language in the bill that could be construed as requiring a farmer to excavate or cover soil surrounding a livestock salt block location that also attracts wildlife. Another disquieting provision that superficially exempts livestock fees stored with a cover or feed that is—“present solely as a result of normal agricultural, forest management, orchard management, wildlife food planting, or similar land management practices.” The language appears to preclude the use of unusual or innovative practices that might evolve for these activities, not related to wildlife. Furthermore, some Committee members mused why, if the intent of the bill is to prevent the “herding-up” of wildlife near a food location that is purportedly a disease risk, are food plots and feeders within 50-yards of an occupied home allowed when such allowance will also concentrate wildlife at those locations.

Farm Tenancy:Both Agriculture Committees amended and passed companion bills introduced last year pertaining to farm tenancy,HF 2380 (previously HF 558) and SF 267. The legislation changes the definition of a “crop” to include everything above ground (grain and stalks). While at one time considered a waste product, forage from corn and soybean fields now can be harvested and used as feed and bedding and in ethanol fuel production. In several cases farmers have experienced the problem of returning to the field to process the above-ground leftover crop but found the new owner had tilled the soil and made the leftovers unavailable. The legislation allows a farm tenant to take the above-ground portions of a crop until the termination of the tenancy unless the lease states otherwise.

NPDES MATTERS:A DNR bill pertaining to NPDES matters passed unanimously in both agriculture committees, SF 2248 (successor to SSB 3177) & HSB 679. The legislation makes changes to the state’s administration of the National Pollutant Discharge Elimination System (NPDES) to address two issues that were of concern to the EPA. First, the bill eliminates the role of the state’s Environmental Protection Commission in the appeal process for contesting the issuance or denial of an NPDES permit. Currently, the EPC has the authority to review appeals of a denial or issuance of an NPDES permit by the DNR. However, provisions in the federal Clean Water Act prohibit appeals of NDPES permits being heard by a body where a member has directly or indirectly received a significant portion of their income from an NPDES permit holder. Iowa Code requires citizens representatives of manufacturing and farming sectors that are routinely issued NPDES permits to be members of the EPC, plus other members may work for or have a spouse that works for an NPDES permit holder. As such, the EPA has said that the EPC cannot have review authority over NPDES permits. Instead, appeal hearings will be heard by an administrative law judge.

The second portion of the bill allows the DNR to issue NPDES permits to confined animal feeding operations, or CAFOs. Current state law had exempted CAFOs from NPDES permit requirements because they are prohibited from discharging waste into waterways. The EPA said Iowa cannot exempt these facilities from the NPDES permitting process since they have the potential to discharge. To address this concern from EPA, the bill gives the DNR’s NPDES program the authority to issue NPDES permits to CAFO facilities. The bill directs the DNR to initiate rulemaking to set guidelines for the regulation of CAFOs under the NPDES permit program. The vast majority of CAFO facilities will not be impacted by the new regulations since they manage their operations to avoid the discharge of waste. An NPDES permit issued for a CAFO facility will not be a permit to discharge because current state law prohibits discharge from these facilities. The permit will likely set forth monitoring and reporting requirements for facilities that have to obtain a permit in the future.

Agriculture Drainage Districts: The House Agriculture Committee passed out two Agriculture Drainage District bills. Ag Drainage Wells, HF 2206, extends the deadline for a landowner to keep surface water out of an agricultural drainage well until 2020. It was amended from 2015 to 2020 because it has been extended for years and Rep. Mertz was afraid she wouldn’t be here in 5 years to make sure it was extended again. Rep. Mertz also ran a bill for Drainage District Bids, HF 2273, that requires a bidder only submit financial security in the amount of 5 percent and increases the threshold for bids to $20,000.

Ethanol Mandate: SF 2107 is replaced with a strike-after amendment that creates legislation to establish an E10 fuel-quality standard (with exceptions for small and off-road engines) and maintain the Ethanol Production Tax Credit for blends of Ell and higher. As a result, the current E85 is greatly enhanced. The bill also requires the state to increase the ethanol blend if the Environmental Protection Agency allows a higher percentage.

Senate President Jack Kibbie, a Democrat from Emmetsburg, has been pushing the legislation for years. “It’s worked in Minnesota now for seven or eight years,” Kibbie says. “There are five other states that (have) some kind of requirement on ethanol, so to me it’s just a step forward.” Kibbie predicts Iowa drivers would use an additional 30 million gallons of the corn-based fuel if such a mandate is adopted. But Kibbie admits there’s resistance to a mandate.

GRAIN DEALER LICENSES:SSB 3193 HSB 690 makes changes to grain transactions and the grain indemnity fees charged to the grain industry when the fund is in an assessment mode. This bill makes no change to the per-bushel fee that can be passed on to producers. The bill moves the bulk of the industry fees from warehousing to grain dealing. The bill provides for grain dealers to pay an assessment of fourteen-thousandths of a cent ($0.0014) per bushel on grain purchased in the dealer’s fiscal year, with no limit. However, grain purchased via credit-sale contract would not be assessed. The bill provides for warehouse operators to pay an assessment of fourteen-thousandths of a cent ($0.0014) per bushel of storage capacity, with a limit of $500. Both the grain dealer and warehouse operator’s fees would be a minimum of $50. The bill also changes the timing of industry fee payments from being based upon the state fiscal year end to a quarterly basis, based upon the licensee’s fiscal year end renewal date.

DNR MATTERS:SF 2243 (successor to SSB 3115) & HSB 587, as amended in committee, makes changes to activities under the environmental services division of the Department of Natural Resources (DNR). The bill gives the DNR, the EPC and NRC 120 days to respond to a petition for rule making and revises the scheduled date for the DNR to report to the Governor and General Assembly on the state greenhouse gas emissions inventory. The date change is to correspond with a new requirement from the United States Environmental Protection Agency (EPA) that facilities report greenhouse gases to the federal government. The EPA will send that information to the DNR, which will then use the data to create its report for the Governor and General Assembly. Additionally, the bill allows DNR to use the Drinking Water State Revolving Loan Fund (SRF) to fund improvements to drinking water facilities in state parks maintained by DNR. The DNR already had the authority to use the Clean Water/Wastewater SRF for DNR-operated facilities, and this simply extends that eligibility to the Drinking Water SRF. The DNR will not receive preferential scoring in applying for loans from the Drinking Water SRF. The SRF has always had enough money to offer loans to eligible applicants, so this is not predicted to reduce the availability of SRF money to communities that apply for funding.

ELECTRICAL LICENSING: The bill, HF 2182, pertains to legislation passed in 2007 requiring electrical work on residences, commercial, or industrial to have a licensed electrician and be inspected. Rules have been written to include agriculture under commercial and HF 2182 clarifies that farmers are exempt for the licensing rules on electrical work from both needing a permit and inspections.

GREEN CLEANING:HF 823 Requires school and state agencies to use green cleaning supplies as of July, 2010. Allows the schools and agencies to use up their existing supplies. Requires the DPH to develop a list of green cleaning products.

PESTICIDE INJURY: HSB 703 was amended and passed in the House committee. It allows a person to claim personal injury due to pesticide application by plane. Requires the person to file a statement with DALS. Increases civil penalties, creates criminal penalties and requires license revocations for twice applying pesticides in such a way as to cause personal injury.

Bills which did not pass out of Ag or Environmental Committees:

HSB 708/SSB 3211 VETERINARY PRACTICES (Agriculture) Defines livestock pregnancy testing and related practices that are part of accepted livestock management practice. Allows a person to provide these services. Board: Requires that at least one Vet Board member practice primarily on livestock. Livestock Services: Requires a person who gives livestock technical services to have received a certificate of registration form DALS. Allows DALS to establish fees to cover the costs of registration. Exempts licensed vets from this provision. Requires ISU and DALS to develop recommendations on the program. (Marek (C), Sweeny, Zirkelbach)/(Fraise, Kapucian, Kibbie)

HSB 717 BIODIESEL STANDARDS (Environmental Protection) Requires bio-diesel to be at least B-5 in order to be sold. Includes exceptions for electric generating equipment at facilities regulated by the NRC, vehicles used at airports and back-up generators. Allows the Governor to suspend the B-5 level due to shortages or other reasons. Makes these provisions effective January, 2012. Other: Removes the member from the Motor Truck Association from the Renewable Fuels board in the DED. Authorizes DALS to adopt rules. Makes these provisions July, 2010. Reichert (C), Frevert, S. Olson

HF 2309 NATIONAL ANIMAL ID (Schultz) Prohibits an agency from using state money to implement the National Animal ID System. (Agriculture)

HF 2363 COUNTY SITING (Hanson, et al) Authorizes counties to adopt ordinances on siting confinement feeding operations. Allows conditions on construction and on manure application. Exempts the ordinance from any rules on zoning farm structures. (Environmental Protection)

HF 2365HOMES NEAR CFOS (Worthan, et al) Defines residences near CFOs in regard to separation requirements. Requires that the residence be occupied as a domicile for at least six months out of the previous two years, that it not be readily mobile, that it be assessed as real property and that it be connected to utilities. (Agriculture)

SSB 3222 PARK SEPARATION DISTANCES Sodders (C), Courtney, Johnson

SSB 3223 MASTER MATRIX COMMITTEE (Agriculture) Re-establishes the 10-member technical advisory committee to make recommendations on the master matrix for the approval of CFOs. Directs the committee to make a reevaluation and to consider methods to further the purpose of the master matrix. Effective on enactment.Sodders (C), Olive, Johnson

SF 2229 FROZEN MANURE APPLICATION(Hancock) Exempts a confinement feeding operation built before July, 2009 and not expanded after that date from requirements to build a manure storage structure to deal with the rules on applying manure on frozen ground. (Agriculture) See HF 2324

Other legislation of interest:

HSB 713 ENDING DOG RACING: Allows a dog racing track to pay a racing exemption fee to discontinue dog racing. Sets the exemption fee for the Dubuque racetrack at $10 million payable in two payments in December or June of FY 2011, or $3 million a month payable from January to July 2011. Sets the fee for the Council Bluffs track: 2 payments ($25 million); monthly payments ($7 million).  Allows for dog races to be simulcast.  Effective on enactment. AMENDED & PASSED, 12-9; FM:  Quirk (Strikes provisions allowing dog racing tracks to pay an exemption fee.)

SF 2233 COMMERCIAL KENNELS (Seng & McCoy) Authorizes the DALS to regulate animals in commercial establishments, other than those held for agricultural purposes. Requires breeders, dealers and public auctions to have a permit. Makes changes to the current fee schedule, including increasing fees for commercial or boarding kennels. Prohibits pet shops, dealers or breeders from purchasing a dog or cat from a commercial establishment without a permit.  Establishes a standard of care for animals in such facilities. Allows DALS to enter such a facility to inspect records and to make sure the facility is meeting the standards of care. Authorizes disciplinary actions. Strikes a current exemption for federal licensees but creates an exemption for greyhound breeders. Authorizes civil penalties. Makes vets mandatory reporters of animal abuse. Effective on enactment. (Ways & Means) See HF 2280

SSB 3189 WATERSHED MANAGEMENT AUTHORITIES: Authorizes the creation of watershed management authorities. Allows cities, counties and soil and water conservation districts to create a watershed management authority.  Requires the flood risks and a water quality in the district. Prohibits cities and counties in some watershed from receiving financial assistance if the watershed does not participate in a watershed management authority. Requires the watershed authority to coordinate activities with the DNR and DALS  AMENDED &  PASSED, 13-0.  FM - Hogg  (Allows a local government to not join a watershed authority.  Makes other changes.)

SSB 3198 NATURAL RESOURCES SPENDING: Includes provisions to implement the collection and spending of any sales tax increase for natural resources and recreation, should the voters approve the amendment. AMENDED & PASSED 12-0 FM - Dearden (Makes language changes to some of the use sections, changing outdoor recreation to natural resources. Strikes provisions on some allocations from revolving funds. Strikes a provision on integrated roadside management)

SF 2188 RETRACTABLE AXLE EXEMPTION (Transportation; Successor to SF 2036) Creates a temporary exemption from axle weight limitations for vehicles with retractable axles under certain conditions. Allows the retractable axle to be raised for a turn if the vehicle meets the weight limits when the axle is down. FM:Riley

For information about ISA's legislative activity, please contact Carol Balvanz at 515-251-8640.

 

 

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