House File 2641 - Enrolled
House File 2641
AN ACT
RELATING TO AGRICULTURE, BY PROVIDING FOR THE ADMINISTRATION OF
PROGRAMS AND REGULATIONS, MAKING APPROPRIATIONS, PROVIDING
PENALTIES, AND INCLUDING EFFECTIVE DATE PROVISIONS.
5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 DIVISION I
2 IOWA-FOALED HORSES
3 Section 1. Section 99D.22, subsection 2, paragraph b,
4 subparagraph (3), Code 2024, is amended to read as follows:
5 (3) (a) Continuous For a thoroughbred foal, continuous
6 residency from December 31 15 until the foal is inspected if
7 the mare was bred by other than an Iowa registered stallion and
8 is not bred back to an Iowa registered stallion.
9 (b) For a standardbred foal or quarter horse foal,
10 continuous residency from January 31 until the foal is
11 inspected if the mare was bred by other than an Iowa registered
12 stallion and is not bred back to an Iowa registered stallion.
13 DIVISION II
14 AGRICULTURAL MARKETING
15 Sec. 2. Section 159.20, subsection 2, Code 2024, is amended
16 to read as follows:
17 2. The department shall establish and administer a
18 choose Iowa promotional program as provided in part 2 of
19 this subchapter, in order to provide consumers a choice in
20 programs that advance the purchasing food items of agricultural
21 commodities produced on Iowa farms and Iowa products that
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22 originate as an agricultural commodity commodities produced on
23 Iowa farms under this title, including chapter 187.
24 Sec. 3. Section 159.20, subsection 3, unnumbered paragraph
25 1, Code 2024, is amended to read as follows:
26 As used in this subchapter section:
27 Sec. 4. Section 159.28, Code 2024, is amended to read as
28 follows:
29 159.28 Choose Iowa promotional program.
30 1. The department shall establish and administer a choose
31 Iowa promotional program to advertise for retail sale on a
32 retail basis a food item that originates as an agricultural
33 commodity produced on an Iowa farm, and an Iowa product that
34 may include any of the following:
35 a. An agricultural commodity produced on an Iowa farm,
1 except that it may be prepared for sale by washing or packaging
2 in this state.
3 b. A product, if it is An agricultural commodity processed
4 in this state and any of its ingredients, if its components
5 originate as an agricultural commodity produced on an Iowa
6 farm.
7 2. a. The department may adopt rules further defining an
8 Iowa farm, Iowa agricultural commodity, and Iowa product; and
9 describing how an Iowa agricultural commodity originates on an
10 Iowa farm.
11 b. The department may adopt rules providing for the
12 acceptable use of ingredients originating a component that
13 originates from an agricultural commodities commodity not
14 produced on an Iowa farms farm. In adopting the rules, the
15 department may consider whether the ingredient component is
16 an incidental additive or other component that the department
17 determines is or insignificant part of an Iowa product.
18 Sec. 5. Section 159.29, subsections 1 and 5, Code 2024, are
19 amended to read as follows:
20 1. As part of the choose Iowa promotional program, the
21 department may establish a choose Iowa logo to identify a food
22 item originating as an agricultural commodity produced on an
23 Iowa farm an Iowa product.
24 5. The use of a choose Iowa logo does not do any of the
25 following:
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26 a. Provide an express or implied guarantee or warranty
27 concerning the safety, fitness, merchantability, or use of a
28 food item product.
29 b. Supersede, revise, or replace a state or federal labeling
30 requirement, including but not limited to a provision in the
31 federal Fair Packaging and Labeling Act, 15 U.S.C. §1451 et
32 seq.
33 c. Indicate the grade, specification, standard, or value of
34 any food item agricultural commodity, component, or product.
35 Sec. 6. Section 159.31, subsections 1, 2, and 3, Code 2024,
1 are amended to read as follows:
2 1. A choose Iowa fund is established created in the state
3 treasury under the management and control of the department.
4 2. The fund shall include moneys collected as fees by
5 the department as provided in section 159.30 187.303, moneys
6 appropriated by the general assembly, and other moneys
7 available to and obtained or accepted by the department,
8 including moneys from public or private sources.
9 3. Moneys in the fund are appropriated to the department
10 and shall be used exclusively to carry out the provisions of
11 this part administer the programs created in this subchapter
12 as determined and directed by the department, and shall not
13 require further special authorization by the general assembly.
14 Sec. 7. Section 159.31A, Code 2024, is amended to read as
15 follows:
16 159.31A Dairy innovation fund and revitalization program.
17 1. As used in this section unless the context otherwise
18 requires:
19 a. “Financial assistance” means assistance provided only
20 from the moneys and assets legally available to the department
21 pursuant to this section and includes assistance in the form of
22 grants, low-interest loans, and forgivable loans.
23 b. “Fund” means the dairy innovation fund.
24 c. “Located in” means the place or places at which
25 a business’s operations are located and where at least
26 ninety-eight percent of the business’s employees work, or where
27 employees that are paid at least ninety-eight percent of the
28 business’s payroll work.
29 d. “Program” means the dairy innovation program.
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30 2. a. The fund is created in the state treasury under
31 the control of the department and consists of any moneys
32 appropriated to the fund by the general assembly and any other
33 moneys available to or obtained or accepted by the department
34 for placement in the fund. Moneys in the fund are appropriated
35 to the department to award financial assistance as provided
1 under the program. The department shall use any moneys
2 specifically appropriated for purposes of this section only for
3 the purposes of the program.
4 b. Notwithstanding section 8.33, moneys in the fund
5 that remain unencumbered or unobligated at the close of the
6 fiscal year shall not revert but shall remain available for
7 expenditure for the purposes designated until the close of the
8 succeeding fiscal year.
9 1. A dairy innovation and revitalization program is created
10 within the department. The purpose of the program is to
11 promote the development, modernization, and expansion of this
12 state’s dairy industry.
13 3. 2. The In administering the program, the department
14 shall establish and administer the program for the purpose of
15 awarding award financial assistance to eligible businesses
16 engaged in to support projects that do one or more of the
17 following:
18 a. Expand or refurbish existing milk plants or establish a
19 new milk plant, operating pursuant to a permit issued pursuant
20 to section 192.111 or 194.3A.
21 b. Expand or refurbish existing mobile dairy processing
22 units, or establish new mobile dairy processing units.
23 c. Rent buildings, refrigeration facilities, or freezer
24 facilities, or equipment necessary to expand dairy processing
25 capacity, including mobile dairy or refrigeration units used
26 exclusively for dairy processing.
27 d. Incorporate methods and technologies that reduce farm
28 labor associated with milk production and storage, including
29 but not limited to the use of robotics and processes or systems
30 that operate using computerized equipment or machinery.
31 4. 3. The department shall establish eligibility criteria
32 for the program by rule. The eligibility criteria must include
33 all of the following:
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34 a. The business must be located in this state.
35 b. The business must not have been subject to any regulatory
1 enforcement action related to federal, state, or local
2 environmental, worker safety, food processing, or food safety
3 laws, rules, or regulations within the last five years.
4 c. The business must only employ individuals legally
5 authorized to work in this state.
6 d. The business must not currently be in bankruptcy.
7 e. The business must employ less than fifty individuals.
8 5. 4. A An eligible business seeking financial assistance
9 under this section shall make application to the department in
10 the manner and on forms prescribed by the department by rule.
11 6. 5. Applications for financial assistance under this
12 section shall be accepted during one or more annual application
13 periods to be determined established by the department by
14 rule. Upon reviewing and scoring all applications that are
15 received during an application period, and subject to funding
16 the availability of moneys, the department may award financial
17 assistance to eligible businesses. A financial assistance
18 award shall not exceed the amount of eligible project costs
19 included in the eligible business’s application. Priority
20
21 shall be given to eligible businesses whose proposed project or
projects under subsection 3 will 2 are most likely to do any
22 one or more of the following:
23 a. Create new jobs.
24 b. Create or expand opportunities for local small-scale milk
25 producers to market pasteurized milk and milk products under
26 private labels.
27 c. Provide greater flexibility or convenience for local
28 small-scale farmers to have milk processed.
29 d. Reduce labor associated with the on-farm production and
30 storage of milk.
31 7. 6. A An eligible business that is awarded financial
32 assistance under this section may apply for financial
33 assistance under other programs administered by the authority
34 department.
35 8. The department shall adopt rules pursuant to chapter 17A
1 to administer this section.
2 Sec. 8. NEW SECTION. 187.101 Short title.
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3 This chapter shall be known and may be cited as the “Choose
4 Iowa Act”.
5 Sec. 9. NEW SECTION. 187.102 Definitions.
6 As used in this chapter, unless the context otherwise
7 requires:
8 1. “Agricultural commodity” means an animal or plant, or raw
9 material originating from an animal or plant.
10 2. “Component” means an agricultural commodity that is
11 combined to form a product during processing.
12 3. “Department” means the department of agriculture and land
13 stewardship.
14 4. “Farm” means land and associated structures used to
15 produce an agricultural commodity.
16 5. a. “Financial assistance” means support provided by the
17 department to an eligible business under this chapter from
18 moneys or other assets legally available to the department.
19 b. “Financial assistance” includes any form of grant,
20 low-interest loan, or forgivable loan.
21 6. “Food item” means an agricultural commodity, or an item
22 processed from an agricultural commodity, that is fit for human
23 consumption.
24 7. “Fund” means the choose Iowa fund created in section
25 187.201.
26 8. “Horticulture item” means any of the following:
27 a. A nursery, floral, or greenhouse plant.
28 b. A product processed from a nursery, floral, or greenhouse
29 plant, including a seed, rooting, cutting, tissue culture,
30 seedling, or other propagation material.
31 9. “Located in” means the place or places at which
32 a business’s operations are located and where at least
33 ninety-eight percent of the business’s employees work, or where
34 employees that are paid at least ninety-eight percent of the
35 business’s payroll work.
1 10. “Natural fiber item” means fiber originating from
2 an agricultural commodity for use in processing, including
3 manufacturing into a textile, apparel, or other similar
4 product.
5 11. “Process” means to prepare a product that includes an
6 agricultural commodity alone or as a component.
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7 12. a. “Product” means an agricultural commodity that
8 in its raw or processed state is moveable at the time of its
9 retail sale.
10 b. “Product” includes but is not limited to a food item,
11 horticulture item, or natural fiber item.
12 Sec. 10. NEW SECTION. 187.103 Administration.
13 The department shall adopt all rules under chapter 17A as it
14 determines necessary or desirable to administer this chapter.
15 Sec. 11. NEW SECTION. 187.321 Value-added agricultural
16 grant program.
17 A value-added agricultural grant program is created within
18 the department. The purpose of the program is to identify,
19 evaluate, and support projects and services that add value to
20 agricultural commodities produced on Iowa farms, including by
21 supporting new technologies and marketing strategies.
22 Sec. 12. REPEAL. Sections 159.26 and 159.27, Code 2024,
23 are repealed.
24 Sec. 13. TRANSFER OF MONEYS.
25 1. Not later than June 30, 2024, the balance of the dairy
26 innovation fund created in section 159.31A shall be transferred
27 to the choose Iowa fund created in section 159.31.
28 2. Not later than June 30, 2024, any moneys appropriated
29 to the department of agriculture and land stewardship that the
30 department has not expended as required to support a value
31 added agriculture grant program shall be transferred to the
32 choose Iowa fund, including moneys appropriated in 2022 Iowa
33 Acts, chapter 1147, section 12, and 2023 Iowa Acts, chapter
34 109, section 4, subsection 9.
35 Sec. 14. CODE EDITOR DIRECTIVE.
1 1. The Code editor is directed to make the following
2 transfers:
3 a. Section 159.28 to 187.301.
4 b. Section 159.29 to 187.302.
5 c. Section 159.30 to 187.303.
6 d. Section 159.31 to 187.201.
7 e. Section 159.31A to 187.311.
8 2. The Code editor shall correct internal references in the
9 Code and in any enacted legislation as necessary due to the
10 enactment of this section.
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11 Sec. 15. DIRECTIONS TO CODE EDITOR —— SUBCHAPTERS AND
12 PARTS. The Code editor is directed to divide the provisions
13 of chapter 187, as amended, enacted, or transferred in this
14 division of this Act, into subchapters and parts as follows:
15 1. Subchapter I, including sections 187.101 through
16 187.103.
17 2. Subchapter II, including section 187.201.
18 3. Subchapter III, as follows:
19 a. Part 1, including sections 187.301 through 187.303.
20 b. Part 2, including section 187.311.
21 c. Part 3, including section 187.321.
22 Sec. 16. EFFECTIVE DATE.
23 1. Except as provided in subsection 2, this division of this
24 Act takes effect July 1, 2024.
25 2. The following section of this division of this Act, being
26 deemed of immediate importance, takes effect upon enactment:
27 The section that provides for the transfer of moneys to the
28 choose Iowa fund.
29 DIVISION III
30 COMMERCIAL ESTABLISHMENTS
31 Sec. 17. Section 162.2, subsection 8, Code 2024, is amended
32 to read as follows:
33 8. “Commercial breeder” means a person, engaged in the
34 business of breeding dogs or cats, who sells, exchanges, or
35 leases dogs or cats in return for consideration, or who offers
1 to do so, whether or not the animals are raised, trained,
2 groomed, or boarded by the person. A person who owns or
3 harbors three or fewer breeding males or females is not a
4 commercial breeder. However, a person who breeds any number
5 of breeding male or female greyhounds for the purposes of
6 using them for pari-mutuel wagering at a racetrack as provided
7 in chapter 99D shall be considered a commercial breeder
8 irrespective of whether the person sells, leases, or exchanges
9 the greyhounds for consideration or offers to do so.
10 Sec. 18. Section 162.2B, subsection 1, paragraph b, Code
11 2024, is amended to read as follows:
12 b. For the issuance or renewal of a state license or permit,
13 one hundred seventy-five dollars. However, a commercial
14 breeder who owns, keeps, breeds, or transports a greyhound dog
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15 for pari-mutuel wagering at a racetrack as provided in chapter
16 99D shall pay a different fee for the issuance or renewal of a
17 state license as provided in rules adopted by the department.
18 Sec. 19. Section 162.10A, subsection 2, Code 2024, is
19 amended to read as follows:
20 2. a. Except as provided in paragraph “b” or “c”, a
21 commercial establishment shall comply with rules that the
22 department adopts to implement subsection 1. A commercial
23 establishment shall be regulated under this paragraph “a”
24 unless the person is a state licensee as provided in paragraph
25 “b” or a permittee as pro