Bill Text: IA HF2464 | 2015-2016 | 86th General Assembly | Enrolled


Bill Title: A bill for an act relating to environmental protection by modifying and eliminating allocations from the statutory allocations fund to the Iowa comprehensive petroleum underground storage tank fund and the renewable fuel infrastructure fund, making related changes, including changes related to the repeal of the environmental protection charge on petroleum diminution, and including effective date provisions. (Formerly HF 2381) (Formerly HSB 638)

Spectrum: Committee Bill

Status: (Passed) 2016-05-16 - Signed by Governor. H.J. 999. [HF2464 Detail]

Download: Iowa-2015-HF2464-Enrolled.html
House File 2464 - Enrolled




                              HOUSE FILE       
                              BY  COMMITTEE ON
                                  APPROPRIATIONS

                              (SUCCESSOR TO HF 2381)
                              (SUCCESSOR TO HSB 638)
 \5
                                   A BILL FOR
 \1
                                        House File 2464

                             AN ACT
 RELATING TO ENVIRONMENTAL PROTECTION BY MODIFYING AND
    ELIMINATING ALLOCATIONS FROM THE STATUTORY ALLOCATIONS FUND
    TO THE IOWA COMPREHENSIVE PETROLEUM UNDERGROUND STORAGE TANK
    FUND AND THE RENEWABLE FUEL INFRASTRUCTURE FUND, MAKING
    RELATED CHANGES, INCLUDING CHANGES RELATED TO THE REPEAL OF
    THE ENVIRONMENTAL PROTECTION CHARGE ON PETROLEUM DIMINUTION,
    AND INCLUDING EFFECTIVE DATE PROVISIONS.

 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
                           DIVISION I
 UNDERGROUND STORAGE TANK FUND AND RENEWABLE FUEL INFRASTRUCTURE
                        FUND ALLOCATIONS
    Section 1.  Section 321.145, subsection 2, paragraph a, Code
 2016, as amended by division II of this Act, is amended by
 striking the paragraph.
    Sec. 2.  Section 321.145, subsection 2, paragraph b, Code
 2016, is amended to read as follows:
    b.  Moneys remaining after the operation of paragraph "a"
  shall be credited in order of priority as follows:
    (1)  An amount equal to four percent of the revenue from the
 operation of section 321.105A, subsection 2, shall be credited
 to the department, to be used for purposes of public transit
 assistance under chapter 324A.
    (2)  An amount equal to two dollars per year of license
 validity for each issued or renewed driver's license which is
 valid for the operation of a motorcycle shall be credited to
 the motorcycle rider education fund established under section
 321.179.
    (3)  The amounts required to be transferred pursuant to
 section 321.34 from revenues available under this subsection
 shall be transferred and credited as provided in section
 321.34, subsections 7, 10, 10A, 11, 11A, 11B, 13, 16, 17,
 18, 19, 20, 20A, 20B, 20C, 21, 22, 23, 24, 25, and 26 for the
 various purposes specified in those subsections.
    Sec. 3.  Section 455B.302, unnumbered paragraph 3, Code
 2016, is amended to read as follows:
    A city or county which provides closure or postclosure care
 on the premises of a sanitary landfill owned by a private
 agency, shall have a lien upon the property to secure payment
 for the amount of materials and labor expended by the city or
 county to perform the required closure or postclosure care on
 the premises. The lien shall be recordable and collectable
 in the same manner as provided in section 424.11, Code 2016.
 The lien shall attach at the time the city or county incurs
 expenses to provide closure or postclosure care on the premises
 of the sanitary landfill. The lien shall be valid as against
 subsequent mortgagees, purchasers, or judgment creditors,
 for value and without notice of the lien, only upon filing a
 notice of the lien with the recorder of the county in which the
 property is located. Upon payment, the city or county shall
 release the lien. If no lien has been recorded at the time
 the property is sold or transferred, the property shall not be
 subject to a lien or claim for any closure or postclosure costs
 incurred by the city or county.
    Sec. 4.  Section 455B.392, subsection 7, paragraph d, Code
 2016, is amended to read as follows:
    d.  Cleanup expenses incurred by the state or a political
 subdivision shall be a lien upon the real estate constituting
 the hazardous condition site, recordable and collectable in
 the same manner as provided for in section 424.11, Code 2016,
 subject to the terms of this subsection. The lien shall
 attach at the time the state or a political subdivision incurs
 expenses to clean up the hazardous condition site. The lien
 shall be valid as against subsequent mortgagees, purchasers,
 or judgment creditors, for value and without notice of the
 lien, only when a notice of the lien is filed with the recorder
 of the county in which the property is located. Upon payment
 by the person to the state or a political subdivision, of
 the amount specified in this subsection, the state or a
 political subdivision shall release the lien. If no lien has
 been recorded at the time the person sells or transfers the
 property, then the person shall not be liable for any cleanup
 costs incurred by the state or a political subdivision.
    Sec. 5.  Section 455G.1, subsection 2, unnumbered paragraph
 1, Code 2016, is amended to read as follows:
 This subchapter applies to petroleum underground storage
 tanks for which an owner or operator is required to maintain
 proof of financial responsibility under federal or state law,
 from the effective date of the regulation of the federal
 environmental protection agency governing that tank, and not
 from the effective compliance date, unless the effective
 compliance date of the regulation is the effective date of the
 regulation. An owner or operator of a petroleum underground
 storage tank required by federal or state law to maintain proof
 of financial responsibility for that underground storage tank
 is subject to this subchapter and chapter 424.
    Sec. 6.  Section 455G.3, subsection 1, Code 2016, is amended
 to read as follows:
    1.  The Iowa comprehensive petroleum underground storage
 tank fund is created as a separate fund in the state treasury,
 and any funds remaining in the fund at the end of each fiscal
 year shall not revert to the general fund but shall remain
 in the Iowa comprehensive petroleum underground storage tank
 fund. Interest or other income earned by the fund shall be
 deposited in the fund. The fund shall include moneys credited
 to the fund under this section, section 321.145, subsection
 2, paragraph "a", Code 2016, and sections 455G.8 and 455G.9,
 and section 455G.11, Code 2003, and other funds which by
 law may be credited to the fund. The moneys in the fund are
 appropriated to and for the purposes of the board as provided
 in this subchapter. Amounts in the fund shall not be subject
 to appropriation for any other purpose by the general assembly,
 but shall be used only for the purposes set forth in this
 subchapter. The treasurer of state shall act as custodian
 of the fund and disburse amounts contained in it as directed
 by the board including automatic disbursements of funds as
 received pursuant to the terms of bond indentures and documents
 and security provisions to trustees and custodians. The
 treasurer of state is authorized to invest the funds deposited
 in the fund at the direction of the board and subject to any
 limitations contained in any applicable bond proceedings. The
 income from such investment shall be credited to and deposited
 in the fund. The fund shall be administered by the board which
 shall make expenditures from the fund consistent with the
 purposes of the programs set out in this subchapter without
 further appropriation. The fund may be divided into different
 accounts with different depositories as determined by the board
 and to fulfill the purposes of this subchapter.
    Sec. 7.  Section 455G.3, subsection 5, Code 2016, is amended
 by striking the subsection.
    Sec. 8.  Section 455G.4, subsection 3, paragraph b, Code
 2016, is amended by striking the paragraph.
    Sec. 9.  Section 455G.5, unnumbered paragraphs 2 and 3, Code
 2016, are amended to read as follows:
    The board may enter into a contract or an agreement
 authorized under chapter 28E with a private agency or person,
 the department of natural resources, the Iowa finance
 authority, the department of administrative services, the
 department of revenue, other departments, agencies, or
 governmental subdivisions of this state, another state, or
 the United States, in connection with its administration and
 implementation of this subchapter or chapter 424 or 455B.
    The board may reimburse a contractor, public or private,
 retained pursuant to this section for expenses incurred in the
 execution of a contract or agreement. Reimbursable expenses
 include, by way of example, but not exclusion, the costs of
 collecting the environmental protection charge or administering
 specific delegated duties or powers of the board.
    Sec. 10.  Section 455G.6, subsection 4, Code 2016, is amended
 to read as follows:
    4.  Grant a mortgage, lien, pledge, assignment, or other
 encumbrance on one or more improvements, revenues, asset of
 right, accounts, or funds established or received in connection
 with the fund, including revenues derived from the moneys
 credited under section 321.145, subsection 2, paragraph "a",
 Code 2016, and deposited in the fund or an account of the fund.
    Sec. 11.  Section 455G.8, subsection 2, Code 2016, is amended
 to read as follows:
    2.  Statutory allocations fund.  The moneys credited from the
 statutory allocations fund under section 321.145, subsection
 2, paragraph "a", Code 2016, shall be allocated, consistent
 with this subchapter, among the fund's accounts, for debt
 service and other fund expenses, according to the fund budget,
 resolution, trust agreement, or other instrument prepared or
 entered into by the board or treasurer of state under direction
 of the board.
    Sec. 12.  Section 455G.9, subsection 5, paragraph a, Code
 2016, is amended to read as follows:
    a.  If an owner or operator ceases to own or operate a tank
 site for which remedial account benefits were received within
 ten years of the receipt of any account benefit and sells or
 transfers a property interest in the tank site for an amount
 which exceeds one hundred twenty percent of the precorrective
 action value, adjusted for equipment and capital improvements,
 the owner or operator shall refund to the remedial account
 an amount equal to ninety percent of the amount in excess of
 one hundred twenty percent of the precorrective action value
 up to a maximum of the expenses incurred by the remedial
 account associated with the tank site plus interest, equal
 to the interest for the most recent twelve=month period for
 the most recent bond issue for the fund, on the expenses
 incurred, compounded annually. An owner or operator under this
 subsection shall notify the board of the sale or transfer of
 the property interest in the tank site. Expenses incurred
 by the fund are a lien upon the property recordable and
 collectible in the same manner as the lien provided for in
 section 424.11, Code 2016, at the time of sale or transfer,
 subject to the terms of this section.
    Sec. 13.  Section 455G.9, subsections 7 and 10, Code 2016,
 are amended to read as follows:
    7.  Expenses of cleanup not required.  When an owner or
 operator who is eligible for benefits under this subchapter
 is allowed by the department of natural resources to monitor
 in place, the expenses incurred for cleanup beyond the level
 required by the department of natural resources may be covered
 under any of the accounts established under the fund only
 if approved by the board as cost=effective relative to the
 department accepted monitoring plan or relative to the repeal
 date specified in section 424.19, Code 2016. The cleanup
 expenses incurred for work completed beyond what is required
 is the responsibility of the person contracting for the excess
 cleanup. The board shall seek to terminate the responsible
 party's environmental liabilities at such sites prior to the
 board ceasing operation.
    10.  Expenses incurred by governmental subdivisions and public
 works utilities.  The board shall adopt rules for reimbursement
 for reasonable expenses incurred by a governmental
 subdivision or public works utility for sampling, treating,
 handling, or disposing, as required by the department, of
 petroleum=contaminated soil and groundwater encountered in a
 public right=of=way during installation, maintenance, or repair
 of a utility or public improvement. The board may seek full
 recovery from a responsible party liable for the release for
 such expenses and for all other costs and reasonable attorney
 fees and costs of litigation for which moneys are expended by
 the fund. Any expense described in this subsection incurred
 by the fund constitutes a lien upon the property from which
 the release occurred. A lien shall be recorded and an expense
 shall be collected in the same manner as provided in section
 424.11, Code 2016.
    Sec. 14.  Section 455G.13, subsection 5, Code 2016, is
 amended to read as follows:
    5.  Lien on tank site.  Any amount for which an owner or
 operator is liable to the fund, if not paid when due, by
 statute, rule, or contract, or determination of liability by
 the board or department of natural resources after hearing,
 shall constitute a lien upon the real property where the tank,
 which was the subject of corrective action, is situated, and
 the liability shall be collected in the same manner as the
 environmental protection charge pursuant to section 424.11,
 Code 2016.
    Sec. 15.  EFFECTIVE DATE.  This division of this Act takes
 effect December 31, 2016.
                           DIVISION II
 RENEWABLE FUEL INFRASTRUCTURE FUND == ENVIRONMENTAL PROTECTION
              CHARGE ON PETROLEUM DIMINUTION REPEAL
    Sec. 16.  Section 321.145, subsection 2, paragraph a,
 subparagraph (2), Code 2016, is amended to read as follows:
    (2)  Second, seven one million five hundred fifty thousand
 dollars per quarter shall be deposited into and credited to the
 renewable fuel infrastructure fund created in section 159A.16,
 and the moneys so deposited are a continuing appropriation for
 expenditure under chapter 159A, subchapter III, and moneys so
 appropriated shall not be used for other purposes.
    Sec. 17.  Section 424.19, Code 2016, is amended to read as
 follows:
    424.19  Future repeal.
 This chapter is repealed effective June 30 December 31,
 2016.
    Sec. 18.  EFFECTIVE UPON ENACTMENT.  This division of this
 Act, being deemed of immediate importance, takes effect upon
 enactment.


                                                             
                               LINDA UPMEYER
                               Speaker of the House


                                                             
                               PAM JOCHUM
                               President of the Senate
    I hereby certify that this bill originated in the House and
 is known as House File 2464, Eighty=sixth General Assembly.


                                                             
                               CARMINE BOAL
                               Chief Clerk of the House
 Approved                , 2016


                                                             
                               TERRY E. BRANSTAD
                               Governor

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