Members,

Last Week

The legislature held more than 200 subcommittee meetings last week, and nearly every committee in both chambers met at least once as lawmakers worked to advance legislation before the first funnel deadline on February 20th. Any bills that do not pass out of a policy committee in the chamber where the bill was originally introduced before February 20th are no longer eligible for consideration after the funnel deadline. Bills in either the Ways and Means or Appropriations Committees are exempt from this deadline. So far this session, over 2,500 pieces of legislation have been introduced.

Governor’s Healthcare Proposal

On Tuesday, Governor Reynolds introduced House Study Bill 694 and its companion Senate Study Bill 3130. The bills direct the state to maintain Iowa’s current waivers for the Supplemental Nutrition Assistance Program and the Summer EBT Program, which prevent Iowans from using either program to purchase pop, candy, and certain prepared foods considered unhealthy.

Division IV of the bill allows Ivermectin to be sold over the counter in the state and exempts pharmacists and pharmacies from civil or criminal penalties for distributing Ivermectin.

Division V of the bill makes changes to the school district breakfast and lunch programs by prohibiting the following ingredients:

• Blue dye 1
• Blue dye 2
• Green dye 3
• Potassiumbromate
• Propylparaben
• Red dye 40
• Yellow dye 5
• Yellow dye 6

Finally, the bill raises the sales tax on cigarettes, loose tobacco products, cigars, vapor products, and consumable hemp. The revenues from the new tax rates are directed to a newly created health care trust fund.

Iowa Economic Development Authority Omnibus Bill

The Senate held a subcommittee hearing on the Iowa Economic Development Authority’s proposed omnibus bill. Senate File 2301 establishes new programs within IEDA and modifies the funding mechanism for the state’s 260E training program. The bill advanced out of subcommittee and passed the Senate Commerce Committee on Wednesday.

The bill is broken out into the following divisions:

• Division I – Creates the new Headquarters Expansion and Development for Growth and Employment Program (EDGE)
  • Eligibility criteria set by IEDA.
  • Tax Incentives
  • Required program agreements with enforceable performance criteria.
  • Qualifying wage tax credit available for up to 3 years, contingent on creating and retaining jobs paying at least 200% of the qualifying wage threshold.
• Division II – Major Economic Growth Attraction Fund
  • Extends the existing program sunset from 2027 to 2030
  • Updates the definition of “foreign adversary.”
• Division III – Business Incentives for Growth Program Training Fund
  • Creates a new fund allowing up to 1.5% of the gross wages an eligible business pays to be credited to the fund from the withholding payments
  • Jobs identified by IEDA as having a sufficient economic impact may use the fund to cover training costs.
• Division IV – Repeal of the New Tax Jobs Tax Credit
• Division V – Load Forecasting
  • Directs IEDA to commission ISU to produce a report forecasting the probable future growth of electricity use within the state and the Midwest region every two years.
  • Grants the Iowa Utilities Commission the authority to direct public utilities to share with IUS information necessary to develop the load forecasts and electric transmission system expansion planning analyses.
• Division VI – Iowa Industrial New Jobs Training Program (260E)
  • Makes changes to the funding mechanism for the 260E Program by removing the withholding option and requiring costs be paid by the employer upfront.

Other Bills of Interest

House Study Bill 597: Prohibits a local authority that does not hold a valid permit for a speed camera from posting signs stating that a camera is in use and establishes penalties. The bill advanced out of subcommittee on Thursday.

House Study Bill 692: Creates standardized language for counties to use to regulate renewable energy, including setback, shadow flicker, and sound limitations within ranges established in the statewide standard. The bill advanced out of subcommittee on Wednesday.

Senate File 2252: Expands the Major Economic Growth and Attraction Program to include financial incentives for a National Football League team to build a stadium in Iowa. The bill was introduced in response to the Chicago Bears’ exploration of a new stadium project. The bill was passed by a 7-member subcommittee on Thursday.

Senate Study Bill 3067: Authorizes certain manufacturers of electric vehicles to be licensed as motor vehicle dealers. Currently, Tesla and Rivian both have service stations in Council Bluffs. This bill would allow those manufacturers to test drive and sell vehicles in Iowa.

This Week

The legislature is expected to hold hearings in every committee to advance legislation prior to Friday’s funnel deadline.

House Schedule

Senate Schedule

 

Take Care,

Chris LaFerla

President & CEO
Council Bluffs Chamber