Fiscal Note
Fiscal Services Division
HF 756 – Firearms Omnibus (LSB1852HV.1)
Staff Contact: Adam Broich (515.281.8223) adam.broich@legis.iowa.gov
Fiscal Note Version – Final Action
Description
House File 756 relates to the acquisition and possession of weapons, and makes numerous
changes to Iowa’s existing weapons laws.
Division I
Division I requires an unlicensed individual to possess a valid permit or satisfactorily complete a
national instant background check in order to acquire a pistol or revolver from a federally
licensed firearms dealer.
The individuals listed below are prohibited from acquiring a pistol or revolver. An individual who
violates these provisions is guilty of a serious misdemeanor. An individual who is denied a
license to acquire a pistol by the issuing party may appeal the denial with an administrative law
judge under Iowa Code section 724.21A.
• Individuals under the age of 21, except for those who acquire a pistol or revolver when the
person’s duty requires.
• Persons convicted of a felony in a State or federal court.
• Individuals prohibited by court order from possessing, shipping, transporting, or receiving a
firearm.
• Individuals ineligible from possessing a dangerous weapon under new Iowa Code section
724.8B include:
• A person addicted to the use of alcohol.
• A person for whom there exists probable cause to believe, based on documented action
by the person, that the person is likely to use the weapon unlawfully or in a way to
endanger oneself or others. Such action must have occurred within two years
immediately preceding the date of the permit application.
• Persons subject to provisions of Iowa Code section 724.26 pertaining to possession,
receipt, transportation, or dominion and control of firearms, offensive weapons, and
ammunition by felons and others.
• A person who, within the last three years, has been convicted of any serious or
aggravated misdemeanor defined in Iowa Code chapter 708 not involving the use of
firearms.
• A person who illegally possesses a controlled substance under Iowa Code chapter 124.
• A person who is committing an indictable offense.
Additionally, the Bill prohibits the transfer of a firearm to another person who does not possess a
permit if the person knows or reasonably should know that the recipient is prohibited from
receiving or possessing a firearm. The Bill also prohibits a person from loaning or renting a
firearm to another person for temporary use during lawful activities if the person loaning or
renting the weapon knows or reasonably should know that the recipient is prohibited from
receiving or possessing a firearm under State or federal law, is ineligible under new Iowa Code
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section 724.8B, or is intoxicated. A person who violates this provision commits a Class D
felony.
This Division also provides that when a court issues an order or judgment that prohibits a
person from acquiring a pistol or revolver, the clerk of the court must provide only such
information as is necessary to identify the person to the Department of Public Safety (DPS),
which is required to forward the same information to the Federal Bureau of Investigation for
inclusion in the National Instant Criminal Background Check System (NICS).
Upon receiving a written request from a prohibited person to update, correct, modify, or remove
the person’s record, the DPS shall notify the United States Department of Justice that the basis
for the records availability no longer applies and shall make the request available to the NICS.
Division II
Division II removes the provision that prohibits a person other than a peace officer from openly
carrying a pistol or revolver in the Iowa State Capitol building, State parking lots, and parking
garages unless the individual displays a valid permit to carry weapons upon request of Capitol
security personnel. Division II also eliminates the existing penalty for carrying a dangerous
weapon and provides that a person who goes armed with a dangerous weapon on or about the
person and uses the dangerous weapon in the commission of a crime is guilty of an aggravated
misdemeanor, except as provided in Iowa Code section 708.8. The Bill also allows the following
individuals, among others, to carry or transport a firearm on school property:
• A person who has been specifically authorized by the school to carry or transport a firearm
for a lawful purpose.
• A peace officer, including a peace officer who has not been certified and a federal officer
when the officer’s employment requires going armed, regardless of whether the officer is on
duty.
• A member of the U.S. Armed Forces or National Guard, when the weapon is carried in
connection with the member’s official duties.
• A correctional officer, as part of the officer’s official duties.
• A person who for any lawful purpose carries an unloaded pistol, revolver, or other firearm
inside a closed and fastened container or securely wrapped package that is too large to be
concealed.
A person carrying a dangerous weapon whose behavior demonstrates a danger to oneself or
others must fully cooperate with an investigating officer. An individual who commits the
following crimes is guilty of a serious misdemeanor:
• A minor who goes armed and concealed with a dangerous weapon.
• A minor who carries, transports, or possesses a loaded firearm within the limits of a city, or
knowingly carries or transports a pistol or revolver in a vehicle.
• A minor who goes armed with a dangerous weapon designed to immobilize a person by
directing an electric current impulse, wave, or beam that produces a high-voltage pulse,
concealed or not, is guilty of a simple misdemeanor.
Section 14 of Division II allows emergency medical care providers to obtain a professional
permit to carry weapons if the provider is attached to a law enforcement tactical team and
undergoes training as required in the Bill. An emergency medical care provider must also apply
and undergo a criminal history background check prior to receiving a professional permit to
carry weapons.
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Division III
Division III relates to handgun safety training. House File 756 requires the DPS to adopt rules
to approve organizations that may certify an individual as an instructor eligible to offer certain
handgun safety training courses.
Division IV
This Division prohibits political subdivisions from regulating the carrying of firearms, firearm
attachments or other weapons lawfully authorized.
Division V
Division V relates to the possession and storage of a firearm by a tenant in the context of
leasing certain property. Landlords who receive certain federal rental assistance payment are
prohibited from banning or restricting ownership, use or possession of a firearm, firearm
components or ammunition within the tenant’s dwelling.
The Division provides that except in cases of willful, reckless, or gross negligence, a landlord is
not liable in a civil action for personal injury, death, property damage, or other damages as a
result of an incident involving a firearm, firearm component, or ammunition. Additionally, the Bill
states that the storage or possession of a firearm alone does not constitute a clear and present
danger.
Background
Current law requires individuals to obtain an annual permit prior to the purchase of a revolver
unless the individual is exempt. A person who acquires ownership of a pistol or revolver without
a valid permit, or a person who transfers ownership of a pistol or revolver to a person who does
not have a valid permit is guilty of an aggravated misdemeanor. The DPS does not receive fee
revenue for permits to acquire firearms, but rather, only for permits to carry firearms. These
fees are set and collected by counties and can vary considerably. The DPS receives a
remittance of $10 for a new permit to carry, and $5 for a renewal permit. The remainder of the
$50 fee for a new permit to carry and a $25 renewal permit stays with individual counties. In
FY 2019, the DPS collected $391,925 in permit to carry fee revenue, and in FY 2020, a total of
$410,465.
Under current law, rules promulgated by the Department of Administrative Services require a
person to display a permit to carry upon request of State Capitol security guards, if the individual
chooses to carry in the Capitol building, parking garages, and parking lots. Additionally, under
current law, any individual who goes armed with, carries, or transports a firearm on the grounds
of a school is guilty of a Class D felony.
A simple misdemeanor is punishable by confinement of no more than 30 days and a fine of at
least $105 but not more than $855. A serious misdemeanor is punishable by confinement for
no more than one year and a fine of at least $430 but not more than $2,560. An aggravated
misdemeanor is punishable by confinement for no more than two years and a fine of at least
$855 but not more than $8,540. A Class D felony is punishable by confinement for no more
than five years and a fine of at least $1,025 but not more than $10,245.
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Assumptions
• The following will not change over the projection period: charge, conviction, and sentencing
patterns and trends, prisoner length of stay (LOS), revocation rates, plea bargaining, and
other criminal justice system policies and practices.
• A lag effect of six months is assumed from the effective date of this Bill to the date of first
entry of affected offenders into the correctional system.
• Marginal costs for county jails cannot be estimated due to a lack of data. For purposes of
this analysis, the marginal cost for county jails is assumed to be $50 per day.
• Data provided by the Criminal Juvenile Justice Division (CJJP) of the Department of Human
Rights related to convictions under Iowa Code section 724.4 includes data on the crime of
carrying or acquiring a firearm without a permit and going armed with a dangerous weapon.
It is not possible to parse out the data for the individual conviction rate. The data provides
an aggregate total of both convictions and is not duplicative.
• For estimating purposes, it is assumed under current law that the number of convictions
under Iowa Code section 724.4 will total 600 annually beginning in FY 2022.
• For estimating purposes, it is assumed under current law that the number of convictions
under Iowa Code section 724.4B will total four annually beginning in FY 2022.
• Any property and employee liability insurance claims arising out of the expansion of the
group of persons allowed to carry a firearm on school grounds will likely be covered by
existing school liability insurance policies.
• The DPS estimates that fee revenue will be reduced due to the removal of the requirement
to obtain a permit to acquire or carry weapons.
Correctional Impact
Divisions I and II
Except as stated below, Divisions I and II will have a positive correctional impact. This Division
decriminalizes acquiring or carrying a pistol or revolver without a permit. In FY 2019, there were
631 aggravated misdemeanor convictions under Iowa Code section 724.4. It is estimated that
beginning in FY 2022, there will be a reduction of 600 convictions annually. Refer to the
Legislative Services Agency (LSA) memo addressed to the General Assembly, Cost Estimates
Used for Correctional Impact Statements, dated January 22, 2021, for information related to the
correctional system.
Division I, Section 2: This section expands the list of individuals ineligible to acquire a pistol or a
revolver and provides that violations of this section are a serious misdemeanor. Division I,
Section 2, establishes a new crime, and the resulting correctional impact cannot be estimated.
Division I, Section 3: This section provides that the penalty for the transfer of ownership of a
pistol or revolver to a person that the transferor knows or should reasonably know is prohibited
from acquiring ownership of a pistol or revolver remains unchanged and as a result, is not
estimated to have a correctional impact.
Division II, Section 10: This section may have a positive correctional impact as it expands the
group of individuals allowed to carry a firearm on school grounds. In FY 2019, there were four
Class D felony convictions under Iowa Code section 724.4B. It is estimated that beginning
FY 2022, there may be a reduction of four convictions annually.
Division II, Section 12: This section establishes several new crimes related to a minor carrying
a dangerous weapon; carrying, transporting, or possessing a firearm; and going armed with a
specific weapon such as a taser. As these are new crimes, the resulting correctional impact
cannot be estimated.
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Divisions III, IV, and V are not estimated to have a correctional impact.
Minority Impact
Divisions I and II
Except as stated below, Divisions I and II will have a positive minority impact. In FY 2019, of
the total 631 convictions under Iowa Code section 724.4, 170 (26.9%) were African American.
In FY 2019, Caucasian and African Americans comprised 90.2% and 3.6% of the total Iowa
population, respectively. This indicates a conviction rate for African Americans that exceeds the
population proportion of the State. The decriminalization of acquiring or carrying a pistol or
revolver without a permit will lead to a decrease in the disproportionate minority impact. Refer
to the LSA memo addressed to the General Assembly, Minority Impact Statement, dated
January 27, 2021, for information related to minorities in the criminal justice system.
Division I, Section 2: This section expands the list of individuals ineligible to acquire a pistol or a
revolver under Iowa Code section 724.15. As a result, the CJJP cannot use prior existing data
to estimate the minority impact of this section.
Division I, Section 3: This section does not change the existing penalty for the transfer of
ownership of a pistol or revolver to a person who the transferor knows or should reasonably
know is prohibited from acquiring ownership of a pistol or revolver. The penalty remains
unchanged and as a result, is not estimated to have a minority impact.
Division II, Section 10: This section will also have a positive minority impact. In FY 2019, of the
total four convictions under Iowa Code section 724.4B, two were African American. In FY 2019,
Caucasian and African Americans comprised 90.2% and 3.6% of the total Iowa population,
respectively. This indicates a conviction rate for African Americans that exceeds the population
proportion of the State. Expanding the group of individuals allowed to carry a firearm on school
grounds may decrease convictions for this crime.
Division II, Section 12: This section establishes new crimes related to a minor carrying a
dangerous weapon; carrying, transporting, or possessing a firearm; and going armed with a
specific weapon such as a taser. These are new crimes and the CJJP cannot use prior existing
data to estimate the minority impact of this section.
Divisions III, IV, and V are not estimated to have a minority impact.
Fiscal Impact
Divisions I and II
Divisions I and II are estimated to reduce expenditures of the correctional system. The
Divisions will reduce the number of convictions under Iowa Code section 724.4. Table 1
provides the estimated range of costs for a single, simple, serious, and aggravated
misdemeanor conviction. The estimates include operating costs incurred by the Judicial
Branch, the State Public Defender, and the Department of Corrections (DOC) for one additional
conviction. Expenses will be incurred across multiple fiscal years for prison and parole
supervision.
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Table 1 — Average State Cost Per Offense Class Type
Offense Class Total Minimum Cost Total Maximum Cost
Simple Misdemeanor $ 40 $ 350
Serious Misdemeanor 410 7,500
Aggravated Misdemeanor 3,700 7,800
Decriminalizing the acquisition of a pistol or revolver without a permit or going armed with a
dangerous weapon will reduce expenses by the justice system by an estimated $2.2 million to
$4.7 million annually.
Eliminating requirements to obtain a permit to acquire or carry a firearm will reduce permit fee
revenue by an unknown amount and may affect the Department’s operating budget. In
FY 2019, the DPS approved a total of 5,980 initial and renewal permits. These permits are valid
for a five-year cycle. It remains unclear how many individuals will still choose to obtain a permit
to carry after the elimination of the requirement. The DPS notes that any estimates on permit
revenue loss are highly speculative.
Section 10 of Division II may also have a positive fiscal impact as this section will reduce the
number of convictions under Iowa Code section 724.4B as it expands the group of individuals
allowed to carry a firearm on school grounds. Table 2 provides the estimated range of costs for
a single Class D felony conviction. Estimates include operating costs incurred by the Judicial
Branch, the State Public Defender, and the DOC for one additional conviction. The cost would
be incurred across multiple fiscal years for prison and parole supervision.
Table 2 — Average State Cost Per Offense Class Type
Offense Class Total Minimum Cost Total Maximum Cost
Class D Felony $ 7,700 $ 13,500
Expanding the group of individuals allowed to carry a firearm on school grounds may decrease
expenditures for the correctional system by between $30,800 to $54,000 annually.
The Iowa Association of School Boards notes that any property and employee liability insurance
claims arising out of the expansion of the group of persons allowed to carry a firearm on school
grounds will likely be covered by existing school liability insurance policies. The cost of any rate
increases associated with such claims cannot be determined at this time.
Division I