EIGHTY-SEVENTH GENERAL ASSEMBLY 2017 REGULAR SESSION DAILY SENATE CLIP SHEET MARCH 14, 2017 SENATE FILE 184 S-3131 1 Amend Senate File 184 as follows: 2 1. Page 1, line 11, after <cities.> by inserting 3 <However, the commission shall not allocate moneys from 4 the fund in this manner to a county or city until the 5 county or city certifies to the commission that, for 6 each project receiving moneys from the fund, the county 7 or city will comply with the buy America requirements 8 set forth in 23 C.F.R. §635.410.> By JEFF DANIELSON JANET PETERSEN RICH TAYLOR NATE BOULTON WALLY E. HORN HERMAN C. QUIRMBACH PAM JOCHUM TONY BISIGNANO ROBERT E. DVORSKY WILLIAM A. DOTZLER, JR. ROBERT M. HOGG RITA HART JOE BOLKCOM KEVIN KINNEY JIM LYKAM CHAZ ALLEN MATT McCOY AMANDA RAGAN TOD R. BOWMAN LIZ MATHIS S-3131 FILED MARCH 13, 2017 LOST SENATE FILE 184 S-3132 1 Amend Senate File 184 as follows: 2 1. Page 1, line 11, after <cities.> by inserting 3 <However, the commission shall not allocate moneys from 4 the fund in this manner to a county or city until the 5 county or city certifies to the commission that, for 6 each project receiving moneys from the fund, the county 7 or city will advertise or call for bids in accordance 8 with 23 C.F.R. §635.117(f) and 23 C.F.R. §635.309(f), 9 at wage rates set by the United States department of 10 labor pursuant to 23 U.S.C. §113.> By JEFF DANIELSON JANET PETERSEN RICH TAYLOR NATE BOULTON WALLY E. HORN HERMAN C. QUIRMBACH PAM JOCHUM TONY BISIGNANO ROBERT E. DVORSKY WILLIAM A. DOTZLER, JR. ROBERT M. HOGG RITA HART JOE BOLKCOM KEVIN KINNEY JIM LYKAM CHAZ ALLEN MATT McCOY LIZ MATHIS TOD R. BOWMAN AMANDA RAGAN S-3132 FILED MARCH 13, 2017 LOST
Transcript
EIGHTY-SEVENTH GENERAL ASSEMBLY 2017 REGULAR SESSION
DAILY SENATE CLIP SHEET
MARCH 14, 2017
SENATE FILE 184 S-3131 1 Amend Senate File 184 as follows: 2 1. Page 1, line 11, after <cities.> by inserting 3 <However, the commission shall not allocate moneys from 4 the fund in this manner to a county or city until the 5 county or city certifies to the commission that, for 6 each project receiving moneys from the fund, the county 7 or city will comply with the buy America requirements 8 set forth in 23 C.F.R. §635.410.> By JEFF DANIELSON JANET PETERSEN RICH TAYLOR NATE BOULTON WALLY E. HORN HERMAN C. QUIRMBACH PAM JOCHUM TONY BISIGNANO ROBERT E. DVORSKY WILLIAM A. DOTZLER, JR. ROBERT M. HOGG RITA HART JOE BOLKCOM KEVIN KINNEY JIM LYKAM CHAZ ALLEN MATT McCOY AMANDA RAGAN TOD R. BOWMAN LIZ MATHIS S-3131 FILED MARCH 13, 2017 LOST
SENATE FILE 184 S-3132 1 Amend Senate File 184 as follows: 2 1. Page 1, line 11, after <cities.> by inserting 3 <However, the commission shall not allocate moneys from 4 the fund in this manner to a county or city until the 5 county or city certifies to the commission that, for 6 each project receiving moneys from the fund, the county 7 or city will advertise or call for bids in accordance 8 with 23 C.F.R. §635.117(f) and 23 C.F.R. §635.309(f), 9 at wage rates set by the United States department of 10 labor pursuant to 23 U.S.C. §113.> By JEFF DANIELSON JANET PETERSEN RICH TAYLOR NATE BOULTON WALLY E. HORN HERMAN C. QUIRMBACH PAM JOCHUM TONY BISIGNANO ROBERT E. DVORSKY WILLIAM A. DOTZLER, JR. ROBERT M. HOGG RITA HART JOE BOLKCOM KEVIN KINNEY JIM LYKAM CHAZ ALLEN MATT McCOY LIZ MATHIS TOD R. BOWMAN AMANDA RAGAN S-3132 FILED MARCH 13, 2017 LOST
SENATE FILE 184 S-3133 1 Amend Senate File 184 as follows: 2 1. Page 1, line 6, after <counties,> by inserting 3 <the office of the state archaeologist, the state 4 historic preservation office of the department of 5 cultural affairs,> 6 2. Page 1, line 11, after <cities.> by inserting 7 <This paragraph "c" shall not be construed to absolve 8 the commission or the department from any federal, 9 state, county, or municipal law or ordinance protecting 10 historical sites and structures, including but not 11 limited to human graves and ancient burial sites, and 12 properties listed on or determined to be eligible for 13 the national register of historic places.> By JOE BOLKCOM PAM JOCHUM ROBERT E. DVORSKY RITA HART MATT McCOY JANET PETERSEN HERMAN C. QUIRMBACH NATE BOULTON LIZ MATHIS RICH TAYLOR TONY BISIGNANO JIM LYKAM ROBERT M. HOGG WILLIAM A. DOTZLER, JR. S-3133 FILED MARCH 13, 2017 LOST
S-3134 1 Amend Senate File 250 as follows: 2 1. Page 1, by striking lines 9 through 33 and 3 inserting: 4 <b. (1) Adopt rules, in collaboration with 5 appropriate stakeholders, to require that, by January 6 1, 2018, a facility at which mammography services 7 are performed shall include information on breast 8 density in mammogram reports sent to all mammography 9 patients, pursuant to regulations implementing the 10 federal Mammography Quality Standards Act of 1992, 11 Pub. L. No. 102-539, as amended. The mammogram 12 report shall include information on a patient's 13 breast density, as categorized by an interpreting 14 physician at the facility based on standards as defined 15 in nationally recognized guidelines or systems for 16 breast imaging reporting of mammography screening, 17 including the breast imaging reporting and data system 18 of the American college of radiology. For patients 19 categorized as having heterogeneously dense breasts or 20 extremely dense breasts, or an equivalent determination 21 by another nationally recognized density gradient 22 system, the report to the patient shall include 23 evidence-based information on dense breast tissue, the 24 increased risk associated with dense breast tissue, 25 and the effects of dense breast tissue on screening 26 mammography.> 27 2. Page 2, line 2, after <paragraph "b".> by 28 inserting <Notwithstanding any other provision of 29 law to the contrary, this paragraph "b" shall not 30 create a cause of action or create a standard of care, 31 obligation, or duty that provides grounds for a cause 32 of action.> 33 3. Page 2, after line 7 by inserting: 34 <Sec. ___. EFFECTIVE UPON ENACTMENT. This Act, 35 being deemed of immediate importance, takes effect upon S-3134 -1-
S-3134 Page 2 1 enactment.> 2 4. Title page, line 2, after <patients> by 3 inserting <, and including effective date provisions> 4 5. By renumbering as necessary. By MARK SEGEBART S-3134 FILED MARCH 13, 2017
S-3123 1 Amend Senate File 435 as follows: 2 1. By striking page 2, line 23, through page 3, 3 line 26, and inserting: 4 <Sec. ___. Section 85.33, subsection 3, Code 2017, 5 is amended to read as follows: 6 3. a. If an employee is temporarily, partially 7 disabled and the employer for whom the employee 8 was working at the time of injury offers to the 9 employee suitable work consistent with the employee's 10 disability, the employee shall accept the suitable 11 work, and be compensated with temporary partial 12 benefits. If the employee refuses to accept the 13 suitable work with the same employer, the employee 14 shall not be compensated with temporary partial, 15 temporary total, or healing period benefits during 16 the period of the refusal. If suitable work is not 17 offered by the employer for whom the employee was 18 working at the time of the injury and the employee who 19 is temporarily, partially disabled elects to perform 20 work with a different employer, the employee shall 21 be compensated with temporary partial benefits. For 22 the purposes of this subsection, work offered to an 23 employee shall be considered suitable work if the work 24 offered meets all of the following requirements: 25 (1) The work offered is reasonably appropriate for 26 the employee's education, training, and vocational 27 experience. 28 (2) The work offered is consistent with the 29 employee's medical restrictions. 30 (3) The work offered does not require the employee 31 to work a substantially different schedule which 32 unreasonably interferes with the employee's customary 33 activities in caring for a dependent. For the purposes 34 of this subsection, "dependent" means a dependent as 35 described in section 85.42 or 85.44. S-3123 -1-
S-3123 Page 2 1 (4) The work is not offered for the purpose of 2 punishing or harassing the employee. 3 (5) The work offered does not require the employee 4 to accept a permanent reassignment to a different job 5 subsequent to the period of temporary disability, 6 provided that once the period of temporary disability 7 ends, this subsection shall not be construed to limit 8 the employer from reassigning the employee to a job 9 consistent with the employee's permanent medical 10 restrictions, if any. 11 b. For the purposes of paragraph "c", "traveling 12 employee" means an employee whose regular job duties 13 regularly require the employee to be away from the 14 employee's residence for extended periods of time. 15 c. For the purposes of this subsection, work 16 offered to a traveling employee shall be considered 17 suitable work if the work offered meets the 18 requirements contained in paragraph "a", subject to the 19 following additional requirements: 20 (1) The geographic location of the work offered 21 to the traveling employee shall be considered in 22 making a determination of whether the work offered is 23 suitable work only if the work offered does any of the 24 following: 25 (a) Requires a commute or other travel beyond the 26 physical capacity of the employee. 27 (b) Requires the traveling employee to spend 28 substantially more time away from the employee's 29 residence than the employee's regular job duties. 30 (c) Interferes with the medical care of the 31 traveling employee for the work-related injury, 32 including but not limited to forcing a change in a 33 health service provider or a delay in medical care or 34 treatment. 35 (2) If an employer offers suitable work to a S-3123 -2-
S-3123 Page 3 1 traveling employee that requires the employee to 2 spend substantially more time away from the employee's 3 residence than the employee's regular job duties, the 4 employer shall notify the employee in writing of the 5 following: 6 (a) The nature of the job duties and physical 7 requirements of the work offered. 8 (b) The geographic location of the work offered, if 9 the location of the work offered will be substantially 10 different than the location of the traveling employee's 11 regular job duties. 12 (c) The possible suspension of temporary partial, 13 temporary total, or healing period benefits if the 14 traveling employee refuses the suitable work offered. 15 (d) The traveling employee's right to file a claim 16 with the workers' compensation commissioner. 17 (3) The employer shall deliver written notice of 18 the suitable work offered to the traveling employee, by 19 mail, or by personal or electronic delivery. 20 (4) Within seven days after the employer mails 21 written notice to the traveling employee of the 22 suitable work offered, or within three days after the 23 employer personally or electronically delivers written 24 notice to the traveling employee of the suitable work 25 offered, whichever is earlier, the employee shall 26 either accept the offer of suitable work or refuse the 27 offer of suitable work, in written or electronic form, 28 stating the basis for the employee's refusal of the 29 suitable work offered, if applicable. 30 (5) If at any time the employer substantially 31 alters the job duties, physical requirements, or 32 location of the suitable work, the employer shall 33 provide the traveling employee with written notice of 34 the proposed alterations and the employee shall accept 35 or refuse the alterations to the suitable work, in S-3123 -3-
S-3123 Page 4 1 written or electronic form, within three days after 2 the notice is delivered, stating the basis for the 3 employee's refusal of the alterations, if applicable. 4 (6) If the traveling employee believes that the 5 suitable work offered is not suitable under this 6 subsection after accepting and engaging in the work, 7 the employee may refuse the work as unsuitable. 8 The employee's right to refuse the work offered as 9 unsuitable is not affected by the employee's initial 10 acceptance of and engagement in the work. 11 (7) If the employer makes an offer of suitable 12 work pursuant to this subsection that requires a 13 traveling employee to commute or travel further than 14 the location of the employee's regular job duties, the 15 employer shall provide the employee with reasonable 16 transportation, overnight lodging, and meals, or 17 with prompt reimbursement for such reasonable travel 18 expenses. 19 d. This subsection shall not be construed to create 20 a new legal claim or cause of action or to extinguish 21 or modify any existing legal claim or cause of action.> 22 2. By renumbering as necessary. By NATE BOULTON S-3123 FILED MARCH 13, 2017
SENATE FILE 435 S-3124 1 Amend Senate File 435 as follows: 2 1. Page 2, line 10, after <work-related> by 3 inserting <and of a serious nature> 4 2. Page 2, line 22, after <work-related> by 5 inserting <and of a serious nature> By NATE BOULTON S-3124 FILED MARCH 13, 2017
SENATE FILE 435 S-3125 1 Amend Senate File 435 as follows: 2 1. Page 4, by striking lines 16 through 21 and 3 inserting: 4 <Sec. ___. Section 85.34, subsection 2, paragraph 5 u, Code 2017, is amended to read as follows:> 6 2. By renumbering as necessary. By NATE BOULTON S-3125 FILED MARCH 13, 2017
SENATE FILE 435 S-3126 1 Amend Senate File 435 as follows: 2 1. Page 5, by striking lines 3 through 5 and 3 inserting <shall be presumed to have no loss of earning 4 capacity. If an employee sustains an> By NATE BOULTON S-3126 FILED MARCH 13, 2017
SENATE FILE 435 S-3127 1 Amend Senate File 435 as follows: 2 1. Page 5, by striking lines 5 through 10 and 3 inserting <the employee's earning capacity.> By NATE BOULTON S-3127 FILED MARCH 13, 2017
SENATE FILE 435 S-3128 1 Amend Senate File 435 as follows: 2 1. By striking page 5, line 31, through page 6, 3 line 17, and inserting: 4 <Sec. ___. Section 85.34, subsection 3, paragraph 5 b, Code 2017, is amended to read as follows:> 6 2. By renumbering as necessary. By NATE BOULTON S-3128 FILED MARCH 13, 2017
SENATE FILE 435 S-3129 1 Amend Senate File 435 as follows: 2 1. Page 10, by striking lines 3 through 9. 3 2. By renumbering as necessary. By NATE BOULTON S-3129 FILED MARCH 13, 2017
SENATE FILE 435 S-3130 1 Amend Senate File 435 as follows: 2 1. Page 10, line 33, by striking <predominant> and 3 inserting <substantial contributing> 4 2. Page 11, line 1, by striking <predominant> and 5 inserting <substantial contributing> By NATE BOULTON S-3130 FILED MARCH 13, 2017
SF 457 – Stroke System of Care (LSB2504SV) Analyst: Kenneth Ohms (Phone: (515)725-2200) ([email protected]) Fiscal Note Version – New
Description Senate File 457 requires the Department of Public Health (DPH) to do the following related to stroke care quality improvement: • Recognize nationally accredited comprehensive stroke centers, primary stroke centers, and
acute stroke-ready hospitals, and monitor these entities for compliance with their national accreditation. The DPH may suspend or revoke a provider’s certification for noncompliance with rules adopted.
• Develop and distribute a sample stroke triage assessment tool. Emergency Medical Services (EMS) providers must adopt this, or a substantially similar tool, and other protocols related to stroke.
• Maintain a statewide stroke database that compiles information and statistics on stroke care, utilize a nationally recognized data set platform, and require nationally certified comprehensive stroke centers, primary stroke centers, acute stroke-ready hospitals, and EMS providers to report data on the treatment of individuals suffering confirmed strokes. The DPH must file a report by September 1, 2017, and annually afterward a summary of the progress made in improving quality of care and patient outcomes for individuals who have suffered a stroke.
Assumptions • The DPH will need an Iowa Stroke Coordinator for administrative rules development to
recognize and monitor providers related to the American Heart Association accreditation compliance.
• The DPH will need a program planner to develop and implement the protocols specific to stroke care, and ensure triage and transport timelines established with EMS providers are met. The program planner will also perform development, training, and compliance work related to the triage tool.
• The DPH will need a program planner to administer and implement the quality improvement plan development, administrative rules development, data system changes, data collection, monitoring, and technical assistance for all stroke centers, hospitals, and EMS providers. The DPH will also need a statistical research analyst to oversee data collection, use, analysis, and reporting.
• The DPH will adapt to the existing EMS and Trauma System database to develop and modify the stroke data module to comply with the requirements in the Bill.
Fiscal Impact The Bill will increase DPH expenditures for implementation as presented in the following table.
The fiscal note for this Bill was prepared pursuant to Joint Rule 17 and the Iowa Code. Data used in developing this fiscal note is available from the Fiscal Services Division of the Legislative Services Agency upon request.
FY 2018 FY 2019Salary
Executive Officer (Stroke Care Coordinator) 68,396$ 68,396$ Programming Planner 60,241 51,480Programming Planner 60,241 51,480Statistical Research Analyst 26,699 43,305
Sub Total Salary 215,577$ 214,661$
Staff & Program Support 43,497$ 29,763$ Development/adaptation/maintenance of existing EMS/Trauma System for collection and reporting of data and training 67,500 15,000Grand Total 326,574$ 259,424$
Estimated Impact of SF 457
Fiscal Note Fiscal Services Division
SF 468 – Stalking (LSB2036SV) Analyst: Alice Wisner (Phone: (515)281-6764) ([email protected]) Fiscal Note Version – New
Description Senate File 468 expands the definition of stalking and applies penalties.
Background This Bill expands the definition of course of conduct in relation to stalking to include situations where a technological device is repeatedly used to locate, listen to, or watch a person without a legitimate purpose. The Bill also states that someone commits stalking when the person: • Engages in a course of conduct that would cause a reasonable person to feel terrorized,
frightened, intimidated, or threatened. • Engages in a course of conduct that would cause a reasonable person to fear bodily injury
or death of that person or a member of their immediate family. • Have knowledge or should have knowledge that a reasonable person would feel terrorized,
frightened, intimidated, threatened, or have fear of bodily injury or death to that person or a member of their immediate family.
Senate File 468 eliminates a current element of stalking requiring the offender’s course of conduct to actually induce fear in the victim of bodily injury to, or death of, the victim or the victim’s family members. A violation of Iowa Code section 708.11 can be either an aggravated misdemeanor punishable by no more than two years of confinement and a fine of at least $625 but no more than $6,250, or a Class C felony punishable by no more than 10 years of confinement and a fine of at least $1,000 but no more than $10,000.
Assumptions • The following will not change over the projection period: charge, conviction, and sentencing
patterns and trends; prisoner length of stay; 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 $15 per day.
• 50.0% of charges under Iowa Code section 708.11 that were dismissed in FY 2016 would become convictions under this Bill.
Impact Correctional Impact There will be additional convictions under this Bill, and it is estimated that the prison population could increase by 11 offenders by FY 2020. Table 1 below shows estimates for sentencing to State prison, parole, probation, or Community-Based Corrections (CBC) residential facilities; length of stay (LOS) under those supervisions; and supervision marginal costs per day for convictions of Class D felonies and aggravated misdemeanors against persons. Refer to the
LSA memo addressed to the General Assembly, Correctional Impact Memo, dated January 30, 2017, for information related to the correctional system.
Table 1 – Sentencing Estimates and LOS
Minority Impact This Bill would have a minority impact to the African-American community. In FY 2016, 10.4% of the persons convicted of stalking were African-American. The U.S. Census estimate as of July 1, 2015, states that the Iowa population was 3.5% African-American. Refer to the LSA memo addressed to the General Assembly, Minority Impact Memo, dated January 30, 2017, for information related to minorities in the criminal justice system. Fiscal Impact Due to the lag time of six months before entry of the affected offenders into the correctional system, the full affect would not be experienced until FY 2019. During FY 2019, it is estimated that there would be 14 additional Class D felony convictions and seven additional aggravated misdemeanor convictions. This could result in an estimated additional 14 admissions to prison, 13 additional placements on probation status, one additional admission to CBC residential facilities, and nine additional admissions to local jail facilities. Table 2 below shows the estimated costs to the General Fund from the Bill.
Table 2 – Estimated Costs
Sources Department of Human Rights, Division of Criminal and Juvenile Justice Planning Department of Corrections Office of the State Court Administrator Office of the State Public Defender
/s/ Holly M. Lyons
March 10, 2017
The fiscal note for this Bill was prepared pursuant to Joint Rule 17 and the Iowa Code. Data used in developing this fiscal note is available from the Fiscal Services Division of the Legislative Services Agency upon request.
SF 478 – Medicaid Host Homes (LSB2426SV) Analyst: Jess Benson (Phone: (515)281-4611) ([email protected]) Fiscal Note Version – New
Description Senate File 478 directs the Department of Human Services (DHS) to provide a daily reimbursement rate for Supported Community Living (SCL) services under Medicaid Home and Community-Based Services (HCBS) Waivers taking place in the home of a relative or in the home of a person who is legally responsible for the Medicaid member and is also the provider of the services. The DHS is required to ensure that the relative or person legally responsible for the Medicaid member meets all provider qualifications and has the ability to meet the needs of the member.
Assumptions • The new family home model for SCL assumes a one-to-one staff-to-member ratio, with an
average cost of $260 per day. • The current SCL model has a staff ratio that is greater than one to one, and the average
daily cost is $179 per day. • It is assumed that 220 (5.0%) of the 4,400 members on the Intellectual Disabilities Waiver
would switch from the current SCL model to the new family home SCL model. • The Federal Medical Assistance Percentage (FMAP) rate for FY 2018 is 58.05% federal and
41.95% State.
Fiscal Impact Senate File 478 is estimated to increase General Fund expenditures by $2.7 million in FY 2018 and FY 2019. Although the Bill takes effect upon enactment and is retroactive to March 1, 2017, it is assumed that it would take some time to shift individuals to the new family home model, limiting any fiscal impact for FY 2017.
Source Department of Human Services
/s/ Holly M. Lyons
March 9, 2017
The fiscal note for this Bill was prepared pursuant to Joint Rule 17 and the Iowa Code. Data used in developing this fiscal note is available from the Fiscal Services Division of the Legislative Services Agency upon request.
SF 483 – Runoff Primary Elections (LSB1315SV) Analyst: Jennifer Acton (Phone: (515) 281-7846) ([email protected]) Fiscal Note Version – New
Description Senate File 483 requires that a primary runoff election be held to determine a party’s nominee in in the event of an inconclusive primary election. An inconclusive primary occurs when there is not a sufficient number of candidates, from one political party, that received at least 35.0% of the vote in a primary election to fill the necessary number of nominations for an office. This includes elections for county offices, statewide offices, congressional offices, and members of the General Assembly.
Background • For an inconclusive primary election under current law, the winner is determined by
applicable delegates at convention and expenses are paid by the applicable political party. • In Iowa, during the 2004 and 2014 elections, a congressional district seat in each of those
elections went to convention. • Eleven states have provisions for primary runoff elections: Alabama, Arkansas, Georgia,
Louisiana, Mississippi, North Carolina, Oklahoma, South Carolina, South Dakota, Texas, and Vermont. Vermont only holds runoffs in the event of a tie, and South Dakota only holds runoffs for the offices of U.S. Senator, U.S. Representative, and Governor.
Assumptions • There are 1,681 voting precincts in Iowa. • Each county auditor will determine how to staff, equip, and supply the election with precinct
officials and the appropriate quantity of ballots. • Precinct workers’ pay varies from county to county, but averages approximately $8.50 per
hour, plus travel reimbursement, training, and supplies. Travel costs in rural precincts will be higher than precincts in the city. Each precinct has approximately five workers per precinct working a 16-hour day.
• The cost per ballot is $0.25 and the cost for postage and envelopes per absentee ballot is $1.68.
• County election administration costs are estimated to be $30 per hour, per person, including base pay, overtime pay, and benefits.
• Publication costs per county are $2,000. • The voting equipment programming cost per county is $3,000. • The calculations assume a 25.0% voter turnout. • The average cost per precinct is $1,470. • Some county supervisors are elected “at large” by the entire county and some are elected
by a specific district within the county. The smallest district is assumed to include seven precincts.
• Primary runoff elections happen infrequently, but are assumed to happen more frequently at the county level, rather than the State or congressional level.
Fiscal Impact All costs for a primary runoff election would be paid at the county level. The effect on county expenditures will depend on the number of precincts involved. Costs range from approximately $10,000 for seven precincts in a county local election for a specific County Board of Supervisor seat up to $2.5 million for a statewide election, such as the Secretary of Agriculture or Attorney General. In the event of a statewide primary runoff, the Secretary of State’s Office will incur approximately $35,000 in additional computer programming costs and staff overtime expenses. The costs will be paid from the General Fund appropriation.
Sources Iowa State Association of Counties (ISAC) Secretary of State’s Office
/s/ Holly M. Lyons
March 10, 2017
The fiscal note for this Bill was prepared pursuant to Joint Rule 17 and the Iowa Code. Data used in developing this fiscal note is available from the Fiscal Services Division of the Legislative Services Agency upon request.
Fiscal Note Fiscal Services Division
SF 489 – Fireworks (LSB2088SZ) Analyst: Alice Fulk Wisner (Phone: (515) 281-6764) ([email protected]) Fiscal Note Version – New
Description Senate File 489 legalizes the sale and use of consumer fireworks and novelties. Sales would only be allowed from June 1 or June 13 (depending on the type of structure) through July 8 of each year, and December 10 through January 3 each year. The time allowed for usage of fireworks is also restricted in the Bill. The Bill would take effect immediately upon enactment.
Background The State Fire Marshal Division of the Department of Public Safety (DPS) is directed to: • Establish a consumer fireworks seller license, including a fee schedule. • Provide an application for a consumer fireworks seller’s license. • Require all wholesalers to register. • Adopt rules to enact various parts of the Bill. • Establish a local fire protection and emergency medical service providers grant program to
establish or provide fireworks safety education programming to members of the public. • Enforce all laws and rules relating to this legislation. The State Fire Marshal is directed to adopt emergency rules to implement the Bill. Revenues from seller license fees and wholesaler registrations are to be deposited in the Consumer Fireworks Fee Fund under the control of the State Fire Marshal for administration and enforcement. The Bill establishes annual license fees for retailers and community groups offering fireworks for sale, and establishes a wholesaler registration fee. Annual license fees and the wholesaler registration fee are established as follows: • Permanent building retailer with 50.0% or more of floor space devoted to fireworks: $1,000. • Temporary structure retailer with at least 50.0% of floor space devoted to fireworks: $500. • Temporary structure retailer with less than 50.0% of floor space devoted to fireworks: $400. • Community group offering first-class consumer fireworks for sale: $400. • Retailer or community group offering second-class consumer fireworks for sale: $100. • Wholesaler registration fee: $1,000. The Bill also establishes simple misdemeanors for violation of various requirements, with a fine of at least $250 but no more than $625. Simple misdemeanors also generate a 35.0% criminal penalty surcharge and $60 in court costs. • Simple misdemeanor fines and court costs are deposited in the General Fund. • Criminal penalty surcharges are distributed in the following manner:
• 5.0% goes to the local government where the ticket is written. • 95.0% goes to the State. Of that 95.0%, 17.0% goes to the Victim Compensation Fund
Assumptions Expenditures • The DPS estimates 2.0 Fire Inspector FTE positions at an annual cost of $149,706 will be
needed to implement SF 489. It is assumed that three months of the salary cost would be incurred in FY 2017.
• Support necessary for enforcement is estimated to be $103,369 in FY 2017 and $31,375 for FY 2018. Support costs include two computers, two vehicles, vehicle depreciation, fuel, two hand guns, two rifles, two shot guns, equipment to outfit two Fire Inspectors, and miscellaneous items.
• In addition to these items, the State Fire Marshal’s Division states that the services of a construction engineer to assist with reviewing plans for permanent buildings selling retail fireworks would be necessary. That cost has not been estimated and is not included in the Department’s estimate to enforce the Bill.
Revenue • 2015 taxable sales of consumer fireworks in South Dakota and Tennessee were adjusted to
allow a per-capita sale of fireworks in the Iowa estimate. Those states allow sales and use of fireworks only during specified seasons. This resulted in an average fireworks sales revenue estimate for Iowa of $17.8 million in FY 2017 and $24.8 million in FY 2018.
• Growth in sales tax revenues as estimated by the Revenue Estimating Conference was used to estimate future growth in fireworks sales.
• The Iowa sales tax rate is 6.0%; 1.0% of this goes to the Secure an Advanced Vision for Education (SAVE) program that is used for school infrastructure purposes. The effective Local Option Sales Tax (LOST) rate is 0.87%.
Fiscal Impact Table 1 shows the estimated expenditures for the State Fire Marshal Division to establish and enforce the Bill.
Table 1 – Estimated Expenditures
To fully fund the $140,796 of estimated costs for the State Fire Marshal Division to administer the Bill in FY 2017 would require the sale and collection of approximately 141 retail licenses or wholesaler registration fees at $1,000 each, 282 retailer licenses at $500 each, 362 retail licenses at $400 each, or a combination of these. For comparison purposes: • Missouri has 1,200 seasonal retailers, 75 wholesale/retail distributors, 50 special fireworks
distributors, and 10 wholesalers. • Michigan issued 676 nonpermanent and 215 permanent licenses in FY 2014. • South Dakota issued 387 temporary and holiday retail licenses ($25/each), 26 wholesale
licenses ($500/each), and 40 special and optional retail licenses for sales to out-of-state residents only ($1,000 each) in 2016.
It is not known at this time how many licenses would be applied for. It is assumed that the majority of licenses issued will be for temporary retailers. Given the short time periods allowed for the sale of fireworks, it may be that very few permanent structures would be built and licensed. The timing of license revenue being received by the State Fire Marshal Division in relation to the need for funds to establish a consumer fireworks program and implement the Bill may be a concern.
FY 2017 FY 2018Salary $37,427 $149,706 Support $103,369 $31,375 Total $140,796 $181,081
Revenue. Sales tax revenue deposits to the General Fund are estimated at $1.1 million for FY 2017 and $1.5 million in FY 2018. The amount from sales tax revenue allocated to the SAVE program is estimated to be $178,000 in FY 2017 and $248,000 in FY 2018. LOST is estimated to be $155,000 in FY 2017 and $216,000 in FY 2018.
Correctional Impact There are no estimates available on how many simple misdemeanor tickets will be written for violations of this Bill. Revenue collected from misdemeanor fines collected under current law (anyone selling or exploding a firework) will be reduced. In FY 2016, there were 18 convictions under Iowa Code section 727.2 dealing with fireworks infractions under current law. The correctional impact will be negligible.
Sources Iowa Department of Revenue Iowa Department of Public Safety Missouri Department of Public Safety, Office of the State Fire Marshal South Dakota State Fire Marshal Michigan Licensing and Regulatory Affairs
/s/ Holly M. Lyons March 10, 2017
The fiscal note for this bill was prepared pursuant to Joint Rule 17 and the Iowa Code. Data used in developing this fiscal note is available from the Fiscal Services Division of the Legislative Services Agency upon request.
SJR 9 – Expenditure Limitation Constitutional Amendment (LSB2639XS) Analyst: David Reynolds (Phone: (515)281-6934) ([email protected]) Fiscal Note Version – New
Description Senate Joint Resolution 9 (SJR 9) proposes an amendment to the Iowa Constitution that creates a State General Fund expenditure limitation requirement to be used for establishing a General Fund budget for a subsequent fiscal year. The proposed expenditure limitation would be the lesser of the following:
• 99.0% of the adjusted revenue estimate established by the Revenue Estimating Conference (REC) for the next fiscal year.
• The net revenue estimate for the current fiscal year in progress increased by 4.0%.
The adjusted revenue estimate is defined as the most recent estimate determined before January 1 by the REC, or a lower subsequent estimate, adjusted by subtracting estimated refunds.
The net revenue estimate is defined as the most recent revenue estimate for the current fiscal year in progress determined before January 1 by the REC, or a later lower estimate, adjusted by subtracting estimated refunds.
The Resolution defines new revenue as moneys received by the General Fund due to increased tax rates or fees or newly created taxes or fees over and above those moneys received by the General Fund that were in effect as of January 1. The definition of new revenue also includes revenue transfers to the General Fund. The Resolution requires that a newly proposed revenue source be added to the expenditure limitation at 95.0% of the estimate. The Resolution also requires that any revenue decreases be applied to the expenditure limitation at 100.0%.
The Resolution prohibits the Governor from approving or disapproving appropriation bills in a manner that causes the final appropriations to exceed the expenditure limitation.
Senate Joint Resolution 9 requires the General Assembly to enact legislation to implement the provisions of the constitutional amendment after it is ratified by Iowa voters.
Background Iowa Code section 8.54 establishes expenditure limitation requirements for Iowa’s General Fund budget process. Under current law, the adjusted revenue estimate is calculated by adding new revenue to the base estimate established by the REC in December, or the March estimate if it is lower than the December estimate.
Current law does not include the alternative adjusted revenue estimate calculation included in SJR 9 that increases the current year estimate by 4.0%.
In addition, current law allows the balance from the previous year’s surplus, after the reserve fund requirements are fulfilled, to carry forward to the next fiscal year and be added to the expenditure limitation at 100.0%.
Fiscal Impact The fiscal impact of SJR 9 cannot be determined, as it is dependent on future revenue collections, revenue estimates, and appropriation decisions. However, ratification of the Resolution could possibly reduce future General Fund appropriations compared to current law.
Based on an analysis of State General Fund revenue estimates and appropriation levels over the last 10 legislative sessions, if the expenditure limitation requirements in SJR 9 had been in place in each of those fiscal years, the appropriations would have been lower than the enacted appropriations in seven of the fiscal years. The Resolution would have had no impact on appropriations in three of the fiscal years. The fiscal impact of SJR 9 on the seven impacted fiscal years would have resulted in an average annual reduction of $75.6 million, or 1.1% of the enacted appropriations (see the table below).
Senate Joint Resolution 9 would have the largest impact on fiscal years in which a General Fund surplus is carried forward from the prior fiscal year and added to the expenditure limitation. Because the provisions of SJR 9 do not allow General Fund surplus carryforward funds to be added to the expenditure limitation, fiscal years that would otherwise have surplus funds would be impacted more significantly under SJR 9. Six of the seven impacted fiscal years analyzed (FY 2012 through FY 2017) had surplus carryforward funds added to their respective expenditure limitations. However, the impact of SJR 9 on FY 2009 was due to the General Assembly overriding the December estimate of the REC and allowing the higher subsequent estimate to be used for the FY 2009 budget. Overriding the December estimate would not be allowed under the provisions of SJR 9.
The Resolution does not address the disposition of a General Fund surplus that may result after the statutory reserve fund requirements are met. Under current law, once the combined balances in the Cash Reserve Fund and the Economic Emergency Fund reach 10.0% of the adjusted revenue estimate and any obligations of the Performance of Duty and Taxpayers Trust Fund are fulfilled, the remaining surplus dollars carry forward to the next fiscal year.
* SJR 9 would not have had an impact on appropriation levels for FY 2008, FY 2010, and FY 2011.
Comparison of Enacted General Fund Appropriations to the Expenditure Limitation as Recalculated under SJR 9
(Dol lars in Mi l l ions)
Source Legislative Services Agency
/s/ Holly M. Lyons
The fiscal note for this Bill was prepared pursuant to Joint Rule 17 and the Iowa Code. Data used in developing this fiscal note is available from the Fiscal Services Division of the Legislative Services Agency upon request.
March 13, 2017
SENATE FILE 447 S-3122 1 Amend Senate File 447 as follows: 2 1. Page 1, line 35, by striking <another> and 3 inserting <the> 4 2. Page 2, by striking lines 27 and 28 and 5 inserting <awarded to a person under this paragraph 6 "c"> 7 3. By striking page 2, line 34, through page 3, 8 line 9. 9 4. Page 3, line 11, by striking <subsection 4.> and 10 inserting <subsections 4 and 5.> 11 5. By renumbering, redesignating, and correcting 12 internal references as necessary. By DAN ZUMBACH S-3122 FILED MARCH 13, 2017
