This bill amends Section 8A.367 of the Iowa Code to require that, for the rental or leasing of passenger vehicles with internal combustion engines powered by diesel fuel, the vehicle manufacturer must explicitly state that the engine is capable of operating on biodiesel blended fuel classified as B-20 or higher. This new requirement aligns the rental and leasing process with existing regulations for purchasing diesel-powered vehicles, ensuring that all state contracts for these vehicles support the use of biodiesel.

The bill specifies that this requirement will apply to contracts issued or renewed on or after July 1, 2026. By extending the biodiesel compatibility certification to private entities involved in the rental or leasing of passenger vehicles, the legislation aims to promote the use of environmentally friendly fuel options within state operations.

Statutes affected:
Introduced: 8A.367