Bill Text: IA HF692 | 2011-2012 | 84th General Assembly | Introduced
Bill Title: A bill for an act relating to renewable fuels, including by providing for tax credits, providing an appropriation, and including effective date and retroactive and other applicability provisions. (Formerly HF 452) (Formerly HF 293)
Spectrum: Committee Bill
Status: (Introduced - Dead) 2011-12-31 - END OF 2011 ACTIONS [HF692 Detail]
Download: Iowa-2011-HF692-Introduced.html
House
File
692
-
Introduced
HOUSE
FILE
692
BY
COMMITTEE
ON
WAYS
AND
MEANS
(SUCCESSOR
TO
HF
452)
(SUCCESSOR
TO
HF
293)
A
BILL
FOR
An
Act
relating
to
renewable
fuels,
including
by
providing
1
for
tax
credits,
providing
an
appropriation,
and
including
2
effective
date
and
retroactive
and
other
applicability
3
provisions.
4
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
5
TLSB
1861HZ
(2)
84
da/rj
H.F.
692
DIVISION
I
1
RETAIL
DEALERS
——
MOTOR
FUEL
STANDARDS
2
Section
1.
Section
214A.2,
subsection
4,
paragraph
b,
Code
3
2011,
is
amended
by
adding
the
following
new
subparagraph:
4
NEW
SUBPARAGRAPH
.
(4)
Biodiesel
blended
fuel
classified
as
5
B-6
or
higher
but
not
higher
than
B-20
must
conform
to
A.S.T.M.
6
international
specification
D7467
or
a
successor
A.S.T.M.
7
international
specification
as
established
by
rules
adopted
by
8
the
department.
9
DIVISION
II
10
RETAIL
DEALERS
——
LIABILITY
11
Sec.
2.
NEW
SECTION
.
214A.20
Retail
dealers
——
limitation
12
on
liability.
13
1.
A
retail
dealer
is
not
liable
for
damages
caused
by
the
14
use
of
incompatible
motor
fuel
dispensed
at
the
retail
dealer’s
15
retail
motor
fuel
site,
if
all
of
the
following
applies:
16
a.
The
incompatible
motor
fuel
complies
with
the
17
specifications
for
a
type
of
motor
fuel
as
provided
in
section
18
214A.2.
19
b.
The
incompatible
motor
fuel
is
selected
by
a
person
other
20
than
the
retail
dealer,
including
an
employee
or
agent
of
the
21
retail
dealer.
22
c.
The
incompatible
motor
fuel
is
dispensed
from
a
motor
23
fuel
pump
that
correctly
labels
the
type
of
fuel
dispensed.
24
2.
For
purposes
of
this
section,
a
motor
fuel
is
25
incompatible
with
a
motor
according
to
the
manufacturer
of
the
26
motor.
27
DIVISION
III
28
RETAIL
DEALERS
——
ETHANOL
PROMOTION
TAX
CREDIT
29
Sec.
3.
Section
422.11N,
subsection
1,
paragraph
a,
Code
30
2011,
is
amended
to
read
as
follows:
31
a.
“E-85
gasoline”
,
“ethanol”
,
“ethanol
blended
gasoline”
,
32
“gasoline”
,
and
“retail
dealer”
,
and
“retail
motor
fuel
site”
33
mean
the
same
as
defined
in
section
214A.1
.
34
Sec.
4.
Section
422.11N,
subsection
3,
paragraph
a,
Code
35
-1-
LSB
1861HZ
(2)
84
da/rj
1/
25
H.F.
692
2011,
is
amended
to
read
as
follows:
1
a.
The
taxpayer
is
a
retail
dealer
who
sells
and
dispenses
2
ethanol
blended
gasoline
through
a
motor
fuel
pump
in
located
3
at
the
retail
dealer’s
retail
motor
fuel
site
during
the
tax
4
year
in
determination
period
or
parts
of
the
determination
5
periods
for
which
the
tax
credit
is
claimed
as
provided
in
this
6
section
.
7
Sec.
5.
Section
422.11N,
Code
2011,
is
amended
by
adding
the
8
following
new
subsection:
9
NEW
SUBSECTION
.
3A.
a.
When
first
claiming
the
tax
credit,
10
the
retail
dealer
shall
elect
to
compute
and
claim
the
tax
11
credit
on
a
company-wide
basis
or
site-by-site
basis
in
the
12
same
manner
as
provided
in
section
452A.33.
13
(1)
In
making
a
company-wide
election,
the
retail
dealer
14
must
compute
and
claim
the
tax
credit
based
on
calculations
15
as
provided
in
this
section
for
all
retail
motor
fuel
sites
16
where
the
retail
dealer
sells
and
dispenses
motor
fuel
on
a
17
retail
basis.
The
retail
dealer
shall
not
claim
the
tax
credit
18
based
on
a
calculation
which
does
not
include
all
such
retail
19
motor
fuel
sites.
A
retail
dealer
shall
use
the
company-wide
20
election
in
order
to
calculate
the
retail
dealer’s
biofuel
21
threshold
percentage
as
provided
in
subsection
4,
paragraph
22
“b”
.
23
(2)
In
making
a
site-by-site
election,
the
retail
dealer
24
must
compute
and
claim
the
tax
credit
based
on
calculations
as
25
provided
in
this
section
for
each
retail
motor
fuel
site
where
26
the
retail
dealer
sells
and
dispenses
motor
fuel
on
a
retail
27
basis.
The
retail
dealer
shall
not
claim
the
tax
credit
based
28
on
a
calculation
which
includes
two
or
more
retail
motor
fuel
29
sites.
Nothing
in
this
subparagraph
requires
the
retail
dealer
30
to
compute
or
claim
a
tax
credit
for
a
particular
retail
motor
31
fuel
site.
The
retail
dealer
shall
not
use
the
site-by-site
32
election
in
order
to
calculate
the
retail
dealer’s
biofuel
33
threshold
percentage
as
provided
in
subsection
4,
paragraph
34
“b”
.
35
-2-
LSB
1861HZ
(2)
84
da/rj
2/
25
H.F.
692
b.
Once
the
retail
dealer
makes
an
election
as
provided
in
1
paragraph
“a”
,
the
retail
dealer
shall
not
change
the
election
2
without
the
written
consent
of
the
department.
3
Sec.
6.
Section
422.11N,
subsection
4,
paragraph
d,
Code
4
2011,
is
amended
by
striking
the
paragraph.
5
Sec.
7.
Section
422.11N,
subsection
5,
paragraph
a,
6
subparagraph
(1),
Code
2011,
is
amended
to
read
as
follows:
7
(1)
For
any
tax
year
in
which
the
retail
dealer
has
attained
8
a
biofuel
threshold
percentage
for
the
determination
period,
9
the
tax
credit
rate
is
six
and
one-half
eight
cents.
10
Sec.
8.
Section
422.11N,
subsection
5,
paragraph
a,
11
subparagraph
(2),
subparagraph
divisions
(a)
and
(b),
Code
12
2011,
are
amended
to
read
as
follows:
13
(a)
If
the
retail
dealer’s
biofuel
threshold
percentage
14
disparity
equals
two
percent
or
less,
the
tax
credit
rate
is
15
four
and
one-half
six
cents.
16
(b)
If
the
retail
dealer’s
biofuel
threshold
percentage
17
disparity
equals
more
than
two
percent
but
not
more
than
four
18
percent,
the
tax
credit
rate
is
as
follows:
19
(i)
For
calendar
year
2011,
two
and
one-half
cents.
20
(ii)
For
calendar
year
2012
and
for
each
subsequent
calendar
21
year,
four
cents.
22
Sec.
9.
Section
422.11N,
subsection
6,
Code
2011,
is
amended
23
to
read
as
follows:
24
6.
a.
A
retail
dealer
is
eligible
to
claim
an
ethanol
25
promotion
tax
credit
as
provided
in
this
section
even
though
26
the
retail
dealer
claims
an
one
or
all
of
the
following
related
27
tax
credits:
28
(1)
The
E-85
gasoline
promotion
tax
credit
pursuant
to
29
section
422.11O
.
30
(2)
The
E-15
plus
gasoline
promotion
tax
credit
pursuant
to
31
section
422.11Y.
32
b.
The
retail
dealer
may
claim
the
ethanol
promotion
tax
33
credit
and
one
or
more
of
the
related
tax
credits
as
provided
34
in
paragraph
“a”
for
the
same
tax
year
and
for
the
same
ethanol
35
-3-
LSB
1861HZ
(2)
84
da/rj
3/
25
H.F.
692
gallonage.
1
Sec.
10.
Section
452A.33,
subsection
1,
paragraph
b,
Code
2
2011,
is
amended
by
striking
the
paragraph
and
inserting
in
3
lieu
thereof
the
following:
4
b.
The
report
shall
include
information
required
in
5
paragraph
“a”
on
a
company-wide
and
site-by-site
basis,
as
6
required
by
the
department.
7
(1)
The
information
submitted
on
a
company-wide
basis
shall
8
include
the
total
motor
fuel
gallonage,
including
for
each
9
classification
and
subclassification,
sold
and
dispensed
by
the
10
retail
dealer
as
provided
in
paragraph
“a”
for
all
retail
motor
11
fuel
sites
from
which
the
retail
dealer
sells
and
dispenses
12
motor
fuel.
13
(2)
The
information
submitted
on
a
site-by-site
basis
shall
14
include
the
total
motor
fuel
gallonage,
including
for
each
15
classification
and
subclassification,
sold
and
dispensed
by
the
16
retail
dealer
as
provided
in
paragraph
“a”
separately
for
each
17
retail
motor
fuel
site
from
which
the
retail
dealer
sells
and
18
dispenses
motor
fuel.
19
Sec.
11.
2006
Iowa
Acts,
chapter
1142,
section
49,
20
subsection
2,
as
amended
by
2006
Iowa
Acts,
chapter
1175,
21
section
17,
is
amended
to
read
as
follows:
22
2.
For
a
retail
dealer
who
may
claim
an
ethanol
promotion
23
tax
credit
under
section
422.11N
or
422.33,
subsection
11A,
as
24
enacted
in
this
Act
and
amended
in
subsequent
Acts
,
in
calendar
25
year
2020
and
whose
tax
year
ends
prior
to
December
31,
2020,
26
the
retail
dealer
may
continue
to
claim
the
tax
credit
in
the
27
retail
dealer’s
following
tax
year.
In
that
case,
the
tax
28
credit
shall
be
calculated
in
the
same
manner
as
provided
in
29
section
422.11N
or
422.33,
subsection
11A,
as
enacted
in
this
30
Act
and
amended
in
subsequent
Acts
,
for
the
remaining
period
31
beginning
on
the
first
day
of
the
retail
dealer’s
new
tax
year
32
until
December
31,
2020.
For
that
remaining
period,
the
tax
33
credit
shall
be
calculated
in
the
same
manner
as
a
retail
34
dealer
whose
tax
year
began
on
the
previous
January
1
and
who
35
-4-
LSB
1861HZ
(2)
84
da/rj
4/
25
H.F.
692
is
calculating
the
tax
credit
on
December
31,
2020.
1
Sec.
12.
ADMINISTRATIVE
RULES.
The
department
of
revenue
2
may
adopt
emergency
rules
under
section
17A.4,
subsection
3,
3
and
section
17A.5,
subsection
2,
paragraph
“b”,
to
implement
4
the
provisions
of
this
division
of
this
Act,
and
the
rules
5
shall
be
effective
immediately
upon
filing
unless
a
later
date
6
is
specified
in
the
rules.
Any
rules
adopted
in
accordance
7
with
this
section
shall
also
be
published
as
a
notice
of
8
intended
action
as
provided
in
section
17A.4.
9
Sec.
13.
EFFECTIVE
DATE.
This
division
of
this
Act,
and
10
the
application
of
section
422.33,
subsection
11A,
due
to
this
11
division
of
this
Act,
take
effect
upon
enactment.
12
Sec.
14.
APPLICABILITY.
This
division
of
this
Act
applies
13
retroactively
to
January
1,
2011,
including
section
422.11N,
as
14
amended
in
this
division
of
this
Act,
and
the
application
of
15
section
422.33,
subsection
11A,
due
to
this
division
of
this
16
Act,
applies
to
tax
years
beginning
on
and
after
January
1,
17
2011.
18
DIVISION
IV
19
E-85
GASOLINE
PROMOTION
TAX
CREDIT
20
Sec.
15.
Section
422.11O,
subsection
2,
Code
2011,
is
21
amended
to
read
as
follows:
22
2.
The
taxes
imposed
under
this
division
,
less
the
credits
23
allowed
under
section
422.12
,
shall
be
reduced
by
an
E-85
24
gasoline
promotion
tax
credit
for
each
tax
year
that
the
25
taxpayer
is
eligible
to
claim
the
tax
credit
under
this
26
subsection
.
27
a.
In
order
to
be
eligible,
all
of
the
following
must
apply:
28
a.
(1)
The
taxpayer
is
a
retail
dealer
who
sells
and
29
dispenses
E-85
gasoline
through
a
motor
fuel
pump
in
located
30
at
the
retail
dealer’s
retail
motor
fuel
site
during
the
tax
31
calendar
year
in
or
parts
of
the
calendar
year
for
which
the
32
tax
credit
is
claimed
as
provided
in
this
section
.
33
b.
(2)
The
retail
dealer
complies
with
requirements
of
the
34
department
to
administer
this
section
.
35
-5-
LSB
1861HZ
(2)
84
da/rj
5/
25
H.F.
692
b.
The
tax
credit
shall
apply
to
E-85
gasoline
that
meets
1
the
standards
provided
in
section
214A.2.
2
Sec.
16.
Section
422.11O,
subsection
3,
Code
2011,
is
3
amended
by
striking
the
subsection
and
inserting
in
lieu
4
thereof
the
following:
5
3.
For
a
retail
dealer
whose
tax
year
is
on
a
calendar
year
6
basis,
the
retail
dealer
shall
calculate
the
amount
of
the
tax
7
credit
by
multiplying
a
designated
rate
of
sixteen
cents
by
the
8
retail
dealer’s
total
E-85
gasoline
gallonage
as
provided
in
9
sections
452A.31
and
452A.32.
10
Sec.
17.
Section
422.11O,
subsection
5,
Code
2011,
is
11
amended
to
read
as
follows:
12
5.
a.
A
retail
dealer
is
eligible
to
claim
an
E-85
gasoline
13
promotion
tax
credit
as
provided
in
this
section
even
though
14
the
retail
dealer
claims
an
one
or
all
of
the
following
related
15
tax
credits:
16
(1)
The
ethanol
promotion
tax
credit
pursuant
to
section
17
422.11N
for
the
same
tax
year
for
the
same
ethanol
gallonage
.
18
(2)
The
E-15
plus
gasoline
tax
credit
pursuant
to
section
19
422.11Y.
20
b.
(1)
The
retail
dealer
may
claim
the
E-85
gasoline
21
promotion
tax
credit
and
one
or
more
of
the
related
tax
credits
22
as
provided
in
paragraph
“a”
for
the
same
tax
year.
23
(2)
The
retail
dealer
may
claim
the
ethanol
promotion
24
tax
credit
as
provided
in
paragraph
“a”
for
the
same
ethanol
25
gallonage
used
to
calculate
and
claim
the
E-85
gasoline
26
promotion
tax
credit.
27
Sec.
18.
Section
422.11O,
subsection
8,
Code
2011,
is
28
amended
to
read
as
follows:
29
8.
This
section
is
repealed
on
January
1,
2021
2018
.
30
Sec.
19.
Section
422.33,
subsection
11B,
paragraph
c,
Code
31
2011,
is
amended
to
read
as
follows:
32
c.
This
subsection
is
repealed
on
January
1,
2021
2018
.
33
Sec.
20.
2006
Iowa
Acts,
chapter
1142,
section
49,
34
subsection
3,
is
amended
to
read
as
follows:
35
-6-
LSB
1861HZ
(2)
84
da/rj
6/
25
H.F.
692
3.
For
a
retail
dealer
who
may
claim
an
E-85
gasoline
1
promotion
tax
credit
under
section
422.11O
or
422.33,
2
subsection
11B,
as
enacted
in
this
Act
and
amended
in
3
subsequent
Acts
,
in
calendar
year
2020
2017
and
whose
tax
4
year
ends
prior
to
December
31,
2020
2017
,
the
retail
dealer
5
may
continue
to
claim
the
tax
credit
in
the
retail
dealer’s
6
following
tax
year.
In
that
case,
the
tax
credit
shall
be
7
calculated
in
the
same
manner
as
provided
in
section
422.11O
8
or
422.33,
subsection
11B,
as
enacted
in
this
Act
and
amended
9
in
subsequent
Acts
,
for
the
remaining
period
beginning
on
the
10
first
day
of
the
retail
dealer’s
new
tax
year
until
December
11
31,
2020
2017
.
For
that
remaining
period,
the
tax
credit
shall
12
be
calculated
in
the
same
manner
as
a
retail
dealer
whose
tax
13
year
began
on
the
previous
January
1
and
who
is
calculating
the
14
tax
credit
on
December
31,
2020
2017
.
15
Sec.
21.
ADMINISTRATIVE
RULES.
The
department
of
revenue
16
may
adopt
emergency
rules
under
section
17A.4,
subsection
3,
17
and
section
17A.5,
subsection
2,
paragraph
“b”,
to
implement
18
the
provisions
of
this
division
of
this
Act.
Any
rules
adopted
19
in
accordance
with
this
section
shall
also
be
published
as
a
20
notice
of
intended
action
as
provided
in
section
17A.4.
The
21
department’s
rules
shall
not
take
effect
earlier
than
July
1,
22
2011.
23
Sec.
22.
EFFECTIVE
DATES.
24
1.
Except
as
provided
in
subsection
2,
this
division
of
this
25
Act
takes
effect
on
July
1,
2011.
26
2.
The
section
of
this
division
of
this
Act
authorizing
27
the
department
of
revenue
to
adopt
rules
takes
effect
upon
28
enactment.
29
3.
The
section
of
this
division
of
this
Act
allowing
a
30
retail
dealer
to
compute
and
claim
an
E-85
gasoline
promotion
31
tax
credit
in
calendar
year
2011
for
the
period
beginning
32
January
1,
2011,
and
ending
June
30,
2011,
takes
effect
upon
33
enactment.
34
Sec.
23.
FORMER
TAX
CREDIT
AVAILABILITY
——
CLAIMS
FOR
THE
35
-7-
LSB
1861HZ
(2)
84
da/rj
7/
25
H.F.
692
2011
CALENDAR
YEAR
FOR
THE
PERIOD
ENDING
JUNE
30,
2011
——
1
RETROACTIVE
APPLICABILITY.
2
1.
A
retail
dealer
who
is
claiming
an
E-85
gasoline
3
promotion
tax
credit
for
the
period
beginning
January
1,
2011,
4
and
ending
June
30,
2011,
shall
calculate
the
tax
credit
5
pursuant
to
section
422.11O
or
422.33,
subsection
11B,
as
6
that
section
or
subsection
existed
immediately
prior
to
July
7
1,
2011.
A
retail
dealer
who
is
claiming
an
E-85
gasoline
8
promotion
tax
credit
for
the
period
beginning
July
1,
2011,
and
9
ending
December
31,
2011,
shall
calculate
the
tax
credit
as
10
otherwise
provided
in
this
division
of
this
Act.
11
2.
This
section
applies
retroactively
to
January
1,
2011.
12
Sec.
24.
APPLICABILITY
OF
NEW
TAX
CREDIT.
13
1.
Except
as
provided
in
subsection
2,
section
422.11O,
14
as
amended
in
this
division
of
this
Act,
and
section
422.33,
15
subsection
11B,
as
amended
in
this
division
of
this
Act
and
16
applied
due
to
this
division
of
this
Act,
apply
to
tax
years
17
beginning
on
and
after
January
1,
2012.
18
2.
Section
422.11O,
as
amended
in
this
division
of
this
Act,
19
and
section
422.33,
subsection
11B,
as
amended
in
this
division
20
of
this
Act,
and
applied
due
to
this
division
of
this
Act,
21
apply
to
that
part
of
a
retail
dealer’s
tax
year
or
tax
years
22
occurring
during
the
portion
of
the
calendar
year
beginning
on
23
and
after
July
1,
2011,
and
ending
on
December
31,
2011.
In
24
that
case,
the
retail
dealer
shall
calculate
the
E-85
gasoline
25
promotion
tax
in
the
same
manner
as
a
retail
dealer
calculating
26
the
tax
credit
on
January
1,
2012.
27
DIVISION
V
28
RETAIL
DEALERS
——
BIODIESEL
BLENDED
FUEL
TAX
CREDIT
29
Sec.
25.
Section
422.11P,
Code
2011,
is
amended
by
adding
30
the
following
new
subsection:
31
NEW
SUBSECTION
.
1A.
For
purposes
of
this
section,
biodiesel
32
blended
fuel
is
classified
in
the
same
manner
as
provided
in
33
section
214A.2.
34
Sec.
26.
Section
422.11P,
subsection
2,
Code
2011,
is
35
-8-
LSB
1861HZ
(2)
84
da/rj
8/
25
H.F.
692
amended
to
read
as
follows:
1
2.
The
taxes
imposed
under
this
division
,
less
the
credits
2
allowed
under
section
422.12
,
shall
be
reduced
by
the
amount
3
of
the
a
biodiesel
blended
fuel
tax
credit
for
each
tax
year
4
that
the
taxpayer
is
eligible
to
claim
a
tax
credit
under
this
5
subsection
.
6
a.
In
order
to
be
eligible,
all
of
the
following
must
apply:
7
(1)
The
taxpayer
is
a
retail
dealer
who
sells
and
dispenses
8
qualifying
biodiesel
blended
fuel
through
a
motor
fuel
pump
9
located
at
a
the
retail
dealer’s
retail
motor
fuel
site
10
operated
by
the
retail
dealer
in
during
the
tax
calendar
year
11
in
or
parts
of
the
calendar
years
for
which
the
tax
credit
is
12
claimed
as
provided
in
this
section
.
13
(2)
Of
the
total
gallons
of
diesel
fuel
that
the
retail
14
dealer
sells
and
dispenses
through
all
motor
fuel
pumps
located
15
at
a
motor
fuel
site
operated
by
the
retail
dealer
during
the
16
retail
dealer’s
tax
year,
fifty
percent
or
more
is
biodiesel
17
blended
fuel
which
meets
the
requirements
of
this
section
.
18
(3)
(2)
The
retail
dealer
complies
with
requirements
of
the
19
department
established
to
administer
this
section
.
20
b.
The
tax
credit
shall
apply
to
biodiesel
blended
fuel
21
formulated
with
a
minimum
percentage
of
two
percent
by
volume
22
of
biodiesel,
if
the
formulation
classified
as
provided
in
this
23
section,
if
the
classification
meets
the
standards
provided
in
24
section
214A.2
.
25
Sec.
27.
Section
422.11P,
subsection
3,
Code
2011,
is
26
amended
by
striking
the
subsection
and
inserting
in
lieu
27
thereof
the
following:
28
3.
For
a
retail
dealer
whose
tax
year
is
on
a
calendar
year
29
basis,
the
retail
dealer
shall
calculate
the
amount
of
the
tax
30
credit
by
multiplying
a
designated
rate
by
the
retail
dealer’s
31
total
biodiesel
blended
fuel
gallonage
as
provided
in
section
32
452A.31
which
qualifies
under
this
subsection.
33
a.
In
calendar
year
2012,
in
order
to
qualify
for
the
tax
34
credit,
the
biodiesel
blended
fuel
must
be
classified
as
B-2
35
-9-
LSB
1861HZ
(2)
84
da/rj
9/
25
H.F.
692
or
higher.
The
designated
rate
for
each
gallon
of
qualifying
1
biodiesel
blended
fuel
is
three
cents.
2
b.
In
calendar
year
2013
and
for
each
subsequent
calendar
3
year,
in
order
to
qualify
for
the
tax
credit,
the
biodiesel
4
blended
fuel
must
be
classified
as
B-5
or
higher.
The
5
designated
rate
for
each
gallon
of
qualifying
biodiesel
blended
6
fuel
is
five
cents.
7
Sec.
28.
Section
422.11P,
Code
2011,
is
amended
by
adding
8
the
following
new
subsection:
9
NEW
SUBSECTION
.
3A.
For
a
retail
dealer
whose
tax
year
is
10
not
on
a
calendar
year
basis,
the
retail
dealer
shall
calculate
11
the
tax
credit
as
follows:
12
a.
If
a
retail
dealer
has
not
claimed
a
tax
credit
in
the
13
retail
dealer’s
previous
tax
year,
the
retail
dealer
may
claim
14
the
tax
credit
in
the
retail
dealer’s
current
tax
year
for
that
15
period
beginning
on
January
1
of
the
retail
dealer’s
previous
16
tax
year
to
the
last
day
of
the
retail
dealer’s
previous
tax
17
year.
For
that
period
the
retail
dealer
shall
calculate
the
18
tax
credit
in
the
same
manner
as
a
retail
dealer
who
will
19
calculate
the
tax
credit
on
December
31
of
that
calendar
year
20
as
provided
in
subsection
3.
21
b.
(1)
For
the
period
beginning
on
the
first
day
of
the
22
retail
dealer’s
tax
year
until
December
31,
the
retail
dealer
23
shall
calculate
the
tax
credit
in
the
same
manner
as
a
retail
24
dealer
who
calculates
the
tax
credit
on
that
same
December
31
25
as
provided
in
subsection
3.
26
(2)
For
the
period
beginning
on
January
1
to
the
end
of
the
27
retail
dealer’s
tax
year,
the
retail
dealer
shall
calculate
28
the
tax
credit
in
the
same
manner
as
a
retail
dealer
who
will
29
calculate
the
tax
credit
on
the
following
December
31
as
30
provided
in
subsection
3.
31
Sec.
29.
Section
422.11P,
subsection
6,
Code
2011,
is
32
amended
to
read
as
follows:
33
6.
This
section
is
repealed
January
1,
2012
2018
.
34
Sec.
30.
Section
422.33,
subsection
11C,
paragraphs
c
and
d,
35
-10-
LSB
1861HZ
(2)
84
da/rj
10/
25
H.F.
692
Code
2011,
are
amended
to
read
as
follows:
1
c.
The
tax
credit
shall
be
calculated
separately
for
each
2
retail
motor
fuel
site
operated
by
the
taxpayer
in
the
same
3
manner
as
provided
in
section
422.11P
.
4
d.
c.
This
subsection
is
repealed
on
January
1,
2012
2018
.
5
Sec.
31.
TAX
CREDIT
AVAILABILITY
——
CLAIMS
FOR
THE
2011
6
CALENDAR
YEAR.
Nothing
in
this
Act
affects
a
retail
dealer’s
7
claiming
of
a
biodiesel
blended
fuel
tax
credit
as
provided
in
8
2006
Iowa
Acts,
chapter
1142,
section
49,
subsection
5.
9
Sec.
32.
TAX
CREDIT
AVAILABILITY.
For
a
retail
dealer
who
10
may
claim
a
biodiesel
blended
fuel
promotion
tax
credit
under
11
section
422.11P
or
422.33,
subsection
11C,
as
amended
in
this
12
Act
and
amended
in
subsequent
Acts,
in
calendar
year
2017,
and
13
whose
tax
year
ends
prior
to
December
31,
2017,
the
retail
14
dealer
may
continue
to
claim
the
tax
credit
in
the
retail
15
dealer’s
following
tax
year.
In
that
case,
the
tax
credit
16
shall
be
calculated
in
the
same
manner
as
provided
in
section
17
422.11P
or
422.33,
subsection
11C,
as
amended
in
this
Act
and
18
amended
in
subsequent
Acts,
for
the
remaining
period
beginning
19
on
the
first
day
of
the
retail
dealer’s
new
tax
year
until
20
December
31,
2017.
For
that
remaining
period,
the
tax
credit
21
shall
be
calculated
in
the
same
manner
as
a
retail
dealer
whose
22
tax
year
began
on
the
previous
January
1
and
who
is
calculating
23
the
tax
credit
on
December
31,
2017.
24
Sec.
33.
ADMINISTRATIVE
RULES.
The
department
of
revenue
25
may
adopt
rules
under
chapter
17A
prior
to
the
effectiveness
26
and
applicability
of
section
422.11P,
and
section
422.33,
27
subsection
11C,
as
amended
in
this
division
of
this
Act,
due
to
28
this
division
of
this
Act.
The
department’s
rules
shall
not
29
take
effect
earlier
than
January
1,
2012.
30
Sec.
34.
EFFECTIVE
DATES.
31
1.
Except
as
provided
in
subsection
2,
this
division
of
this
32
Act
takes
effect
July
1,
2011.
33
2.
a.
The
section
of
this
division
of
this
Act
authorizing
34
the
department
of
revenue
to
adopt
administrative
rules
takes
35
-11-
LSB
1861HZ
(2)
84
da/rj
11/
25
H.F.
692
effect
upon
enactment.
1
b.
The
section
of
this
division
of
this
Act
which
provides
2
for
tax
credit
availability
for
the
2011
calendar
year
under
3
2006
Iowa
Acts,
chapter
1142,
section
49,
subsection
5,
being
4
deemed
of
immediate
importance,
takes
effect
upon
enactment.
5
c.
Section
422.11P,
as
amended
in
this
division
of
this
Act,
6
and
section
422.33,
subsection
11C,
as
amended
in
this
division
7
of
this
Act,
take
effect
on
January
1,
2012.
8
Sec.
35.
APPLICABILITY.
Section
422.11P,
as
amended
in
this
9
division
of
this
Act,
and
section
422.33,
subsection
11C,
as
10
amended
in
this
division
of
this
Act
and
applied
due
to
this
11
division
of
this
Act,
apply
to
tax
years
beginning
on
and
after
12
January
1,
2012.
13
DIVISION
VI
14
RETAIL
DEALERS
——
E-15
PLUS
GASOLINE
TAX
CREDIT
15
Sec.
36.
NEW
SECTION
.
422.11Y
E-15
plus
gasoline
promotion
16
tax
credit.
17
1.
As
used
in
this
section,
unless
the
context
otherwise
18
requires:
19
a.
“E-85
gasoline”
,
“ethanol”
,
“gasoline”
,
“retail
dealer”
,
20
and
“retail
motor
fuel
site”
mean
the
same
as
defined
in
section
21
214A.1.
22
b.
“Motor
fuel
pump”
means
the
same
as
defined
in
section
23
214.1.
24
c.
“Sell”
means
to
sell
on
a
retail
basis.
25
d.
“Tax
credit”
means
the
E-15
plus
gasoline
tax
credit
as
26
provided
in
this
section.
27
2.
For
purposes
of
this
section,
ethanol
blended
gasoline
is
28
classified
in
the
same
manner
as
provided
in
section
214A.2.
29
3.
The
taxes
imposed
under
this
division,
less
the
credits
30
allowed
under
section
422.12,
shall
be
reduced
by
the
amount
31
of
the
E-15
plus
gasoline
tax
credit
for
each
tax
year
that
32
the
taxpayer
is
eligible
to
claim
a
tax
credit
under
this
33
subsection.
34
a.
In
order
to
be
eligible,
all
of
the
following
must
apply:
35
-12-
LSB
1861HZ
(2)
84
da/rj
12/
25
H.F.
692
(1)
The
taxpayer
is
a
retail
dealer
who
sells
and
dispenses
1
qualifying
ethanol
blended
gasoline
through
a
motor
fuel
pump
2
located
at
the
retail
dealer’s
retail
motor
fuel
site
during
3
the
calendar
year
or
parts
of
the
calendar
years
for
which
the
4
tax
credit
is
claimed
as
provided
in
this
section.
5
(2)
The
retail
dealer
complies
with
requirements
of
the
6
department
established
to
administer
this
section.
7
b.
The
tax
credit
shall
apply
to
ethanol
blended
gasoline
8
classified
as
provided
in
this
section,
if
the
classification
9
meets
the
standards
provided
in
section
214A.2.
10
4.
For
a
retail
dealer
whose
tax
year
is
on
a
calendar
year
11
basis,
the
retail
dealer
shall
calculate
the
amount
of
the
tax
12
credit
by
multiplying
a
designated
rate
by
the
retail
dealer’s
13
total
ethanol
blended
gasoline
gallonage
as
provided
in
section
14
452A.31
which
qualifies
under
this
subsection.
15
a.
In
order
to
qualify
for
the
tax
credit,
the
ethanol
16
blended
gasoline
must
be
classified
as
E-15
or
higher
but
not
17
classified
as
E-85.
18
b.
The
designated
rate
of
the
tax
credit
is
as
follows:
19
(1)
For
calendar
year
2012,
calendar
year
2013,
and
calendar
20
year
2014,
three
cents.
21
(2)
For
calendar
year
2015,
calendar
year
2016,
and
calendar
22
year
2017,
two
cents.
23
5.
For
a
retail
dealer
whose
tax
year
is
not
on
a
calendar
24
year
basis,
the
retail
dealer
shall
calculate
the
tax
credit
25
as
follows:
26
a.
If
a
retail
dealer
has
not
claimed
a
tax
credit
in
the
27
retail
dealer’s
previous
tax
year,
the
retail
dealer
may
claim
28
the
tax
credit
in
the
retail
dealer’s
current
tax
year
for
that
29
period
beginning
on
January
1
of
the
retail
dealer’s
previous
30
tax
year
to
the
last
day
of
the
retail
dealer’s
previous
tax
31
year.
For
that
period
the
retail
dealer
shall
calculate
the
32
tax
credit
in
the
same
manner
as
a
retail
dealer
who
will
33
calculate
the
tax
credit
on
December
31
of
that
calendar
year
34
as
provided
in
subsection
4.
35
-13-
LSB
1861HZ
(2)
84
da/rj
13/
25
H.F.
692
b.
(1)
For
the
period
beginning
on
the
first
day
of
the
1
retail
dealer’s
tax
year
until
December
31,
the
retail
dealer
2
shall
calculate
the
tax
credit
in
the
same
manner
as
a
retail
3
dealer
who
calculates
the
tax
credit
on
that
same
December
31
4
as
provided
in
subsection
4.
5
(2)
For
the
period
beginning
on
January
1
to
the
end
of
the
6
retail
dealer’s
tax
year,
the
retail
dealer
shall
calculate
7
the
tax
credit
in
the
same
manner
as
a
retail
dealer
who
will
8
calculate
the
tax
credit
on
the
following
December
31
as
9
provided
in
subsection
4.
10
6.
a.
A
retail
dealer
is
eligible
to
claim
an
E-15
plus
11
gasoline
promotion
tax
credit
as
provided
in
this
section
even
12
though
the
retail
dealer
claims
one
or
all
of
the
following
13
related
tax
credits:
14
(1)
The
ethanol
promotion
tax
credit
pursuant
to
section
15
422.11N.
16
(2)
The
E-85
gasoline
promotion
tax
credit
pursuant
to
17
section
422.11O.
18
b.
(1)
The
retail
dealer
may
claim
the
E-15
plus
gasoline
19
promotion
tax
credit
and
one
or
more
of
the
related
tax
credits
20
as
provided
in
paragraph
“a”
for
the
same
tax
year.
21
(2)
The
retail
dealer
may
claim
the
ethanol
promotion
22
tax
credit
as
provided
in
paragraph
“a”
for
the
same
ethanol
23
gallonage
used
to
calculate
and
claim
the
E-15
plus
gasoline
24
tax
credit.
25
7.
Any
credit
in
excess
of
the
retail
dealer’s
tax
liability
26
shall
be
refunded.
In
lieu
of
claiming
a
refund,
the
retail
27
dealer
may
elect
to
have
the
overpayment
shown
on
the
retail
28
dealer’s
final,
completed
return
credited
to
the
tax
liability
29
for
the
following
tax
year.
30
8.
An
individual
may
claim
the
tax
credit
allowed
a
31
partnership,
limited
liability
company,
S
corporation,
estate,
32
or
trust
electing
to
have
the
income
taxed
directly
to
the
33
individual.
The
amount
claimed
by
the
individual
shall
be
34
based
upon
the
pro
rata
share
of
the
individual’s
earnings
of
a
35
-14-
LSB
1861HZ
(2)
84
da/rj
14/
25
H.F.
692
partnership,
limited
liability
company,
S
corporation,
estate,
1
or
trust.
2
9.
This
section
is
repealed
on
January
1,
2018.
3
Sec.
37.
Section
422.33,
Code
2011,
is
amended
by
adding
the
4
following
new
subsection:
5
NEW
SUBSECTION
.
11D.
The
taxes
imposed
under
this
division
6
shall
be
reduced
by
an
E-15
plus
gasoline
promotion
tax
credit
7
for
each
tax
year
that
the
taxpayer
is
eligible
to
claim
the
8
tax
credit
under
this
subsection.
9
a.
The
taxpayer
shall
claim
the
tax
credit
in
the
same
10
manner
as
provided
in
section
422.11Y.
The
taxpayer
may
claim
11
the
tax
credit
according
to
the
same
requirements,
for
the
same
12
amount,
and
calculated
in
the
same
manner,
as
provided
for
the
13
E-15
plus
gasoline
promotion
tax
credit
pursuant
to
section
14
422.11Y.
15
b.
Any
E-15
plus
gasoline
promotion
tax
credit
which
is
in
16
excess
of
the
taxpayer’s
tax
liability
shall
be
refunded
or
may
17
be
shown
on
the
taxpayer’s
final,
completed
return
credited
to
18
the
tax
liability
for
the
following
tax
year
in
the
same
manner
19
as
provided
in
section
422.11Y.
20
c.
This
subsection
is
repealed
on
January
1,
2018.
21
Sec.
38.
TAX
CREDIT
AVAILABILITY.
For
a
retail
dealer
who
22
may
claim
an
E-15
plus
gasoline
promotion
tax
credit
under
23
section
422.11Y
or
422.33,
subsection
11D,
as
enacted
in
this
24
Act
and
amended
in
subsequent
Acts,
in
calendar
year
2017,
and
25
whose
tax
year
ends
prior
to
December
31,
2017,
the
retail
26
dealer
may
continue
to
claim
the
tax
credit
in
the
retail
27
dealer’s
following
tax
year.
In
that
case,
the
tax
credit
28
shall
be
calculated
in
the
same
manner
as
provided
in
section
29
422.11Y
or
422.33,
subsection
11D,
as
enacted
in
this
Act
and
30
amended
in
subsequent
Acts,
for
the
remaining
period
beginning
31
on
the
first
day
of
the
retail
dealer’s
new
tax
year
until
32
December
31,
2017.
For
that
remaining
period,
the
tax
credit
33
shall
be
calculated
in
the
same
manner
as
a
retail
dealer
whose
34
tax
year
began
on
the
previous
January
1
and
who
is
calculating
35
-15-
LSB
1861HZ
(2)
84
da/rj
15/
25
H.F.
692
the
tax
credit
on
December
31,
2017.
1
Sec.
39.
ADMINISTRATIVE
RULES.
The
department
of
revenue
2
may
adopt
rules
under
chapter
17A
prior
to
the
effectiveness
3
and
applicability
of
section
422.11Y,
as
enacted
in
this
4
division
of
this
Act,
and
section
422.33,
subsection
11D,
as
5
enacted
in
this
division
of
this
Act
and
applied
due
to
this
6
division
of
this
Act.
The
department’s
rules
shall
not
take
7
effect
earlier
than
January
1,
2012.
8
Sec.
40.
EFFECTIVE
DATES.
9
1.
Except
as
provided
in
subsection
2,
this
division
of
this
10
Act
takes
effect
July
1,
2011.
11
2.
a.
The
section
of
this
division
of
this
Act
authorizing
12
the
department
of
revenue
to
adopt
administrative
rules
takes
13
effect
upon
enactment.
14
b.
Section
422.11Y,
as
enacted
in
this
division
of
this
Act,
15
and
section
422.33,
subsection
11D,
as
enacted
in
this
division
16
of
this
Act,
take
effect
January
1,
2012.
17
Sec.
41.
APPLICABILITY.
Section
422.11Y,
as
enacted
in
this
18
division
of
this
Act,
and
section
422.33,
subsection
11D,
as
19
enacted
in
this
division
of
this
Act
and
applied
due
to
this
20
division
of
this
Act,
apply
to
tax
years
beginning
on
and
after
21
January
1,
2012.
22
DIVISION
VII
23
RENEWABLE
FUEL
INFRASTRUCTURE
——
APPROPRIATION
——
24
TRANSFER
OF
AUTHORITY
FROM
25
DEPARTMENT
OF
ECONOMIC
DEVELOPMENT
TO
DEPARTMENT
OF
AGRICULTURE
26
AND
LAND
STEWARDSHIP
27
Sec.
42.
Section
15.104,
subsection
8,
paragraph
j,
Code
28
2011,
is
amended
by
striking
the
paragraph.
29
Sec.
43.
Section
15G.201,
subsection
2,
Code
2011,
is
30
amended
to
read
as
follows:
31
2.
“Department”
means
the
Iowa
department
of
economic
32
development
created
in
section
15.105
department
of
agriculture
33
and
land
stewardship
.
34
Sec.
44.
Section
15G.202,
subsection
2,
paragraph
c,
35
-16-
LSB
1861HZ
(2)
84
da/rj
16/
25
H.F.
692
subparagraph
(4),
Code
2011,
is
amended
to
read
as
follows:
1
(4)
The
Iowa
motor
truck
association
biodiesel
board
.
2
Sec.
45.
Section
15G.205,
subsection
4,
paragraph
c,
Code
3
2011,
is
amended
to
read
as
follows:
4
c.
Notwithstanding
section
8.33
,
unencumbered
and
5
unobligated
moneys
remaining
in
the
infrastructure
fund
at
the
6
close
of
each
fiscal
year
shall
not
revert
but
shall
remain
7
available
in
the
infrastructure
fund
for
expenditure
for
the
8
same
purposes
until
the
end
of
the
fiscal
year
that
begins
July
9
1,
2011,
at
which
time
the
unencumbered
and
unobligated
moneys
10
remaining
shall
revert
to
the
funds
from
which
appropriated
.
11
Sec.
46.
Section
159.20,
subsection
1,
paragraph
j,
Code
12
2011,
is
amended
to
read
as
follows:
13
j.
Provide
for
the
promotion
and
expansion
of
renewable
14
fuels
and
coproducts,
by
doing
all
of
the
following:
15
j.
(1)
Assist
the
office
of
renewable
fuels
and
coproducts
16
in
administering
the
provisions
of
chapter
159A
,
subchapter
I
.
17
(2)
Assist
the
renewable
fuel
infrastructure
board,
provide
18
for
the
administration
of
the
renewable
fuel
infrastructure
19
programs,
and
provide
for
the
management
of
the
renewable
fuel
20
infrastructure
fund,
as
provided
in
chapter
159A,
subchapter
21
II.
22
Sec.
47.
Section
159A.2,
unnumbered
paragraph
1,
Code
2011,
23
is
amended
to
read
as
follows:
24
As
used
in
this
chapter
subchapter
,
unless
the
context
25
otherwise
requires:
26
Sec.
48.
Section
321.145,
subsection
2,
paragraph
a,
Code
27
2011,
is
amended
to
read
as
follows:
28
a.
Four
Moneys
shall
be
deposited
into
and
credited
to
the
29
following
funds:
30
(1)
First,
three
million
two
five
hundred
fifty
thousand
31
dollars
per
quarter
shall
be
deposited
into
and
credited
to
32
the
Iowa
comprehensive
petroleum
underground
storage
tank
33
fund
created
in
section
455G.3
,
and
the
moneys
so
deposited
34
are
a
continuing
appropriation
for
expenditure
under
chapter
35
-17-
LSB
1861HZ
(2)
84
da/rj
17/
25
H.F.
692
455G
,
and
moneys
so
appropriated
shall
not
be
used
for
other
1
purposes.
2
(2)
Second,
seven
hundred
fifty
thousand
dollars
per
3
quarter
shall
be
deposited
into
and
credited
to
the
renewable
4
fuel
infrastructure
fund
created
in
section
15G.205,
and
5
the
moneys
so
deposited
are
a
continuing
appropriation
for
6
expenditure
under
chapter
15G,
subchapter
II,
and
moneys
so
7
appropriated
shall
not
be
used
for
other
purposes.
8
Sec.
49.
TRANSITIONAL
PROVISIONS
——
ADMINISTRATIVE
9
RULES.
The
rules
adopted
by
the
department
of
economic
10
development
as
codified
in
261
IAC,
chapters
311
through
11
314,
shall
continue
in
full
force
and
effect
until
amended,
12
repealed,
or
supplemented
by
affirmative
action
of
the
13
department
of
agriculture
and
land
stewardship.
14
Sec.
50.
TRANSITIONAL
PROVISIONS
——
EMERGENCY
15
ADMINISTRATIVE
RULEMAKING.
The
department
of
agriculture
and
16
land
stewardship
may
adopt
emergency
rules
under
section
17A.4,
17
subsection
3,
and
section
17A.5,
subsection
2,
paragraph
“b”,
18
to
implement
the
provisions
of
this
division
of
this
Act,
and
19
the
rules
shall
be
effective
July
1,
2011,
unless
a
later
date
20
is
specified
in
the
rules.
Any
rules
adopted
in
accordance
21
with
this
section
shall
also
be
published
as
a
notice
of
22
intended
action
as
provided
in
section
17A.4.
23
Sec.
51.
TRANSITIONAL
PROVISIONS
——
ADMINISTRATIVE
HEARINGS
24
OR
COURT
PROCEEDINGS.
An
administrative
hearing
or
court
25
proceeding
arising
out
of
an
enforcement
action
under
chapter
26
15G
pending
on
July
1,
2011,
shall
not
be
affected
due
to
27
this
division
of
this
Act.
Any
cause
of
action
or
statute
28
of
limitations
relating
to
an
action
taken
by
the
department
29
of
economic
development
shall
not
be
affected
as
a
result
30
of
this
division
of
this
Act
and
such
cause
or
statute
of
31
limitation
shall
apply
to
the
department
of
agriculture
and
32
land
stewardship.
33
Sec.
52.
TRANSITIONAL
PROVISIONS
——
REPLACEMENT
ITEMS.
A
34
replacement
item,
including
but
not
limited
to
logos,
35
-18-
LSB
1861HZ
(2)
84
da/rj
18/
25
H.F.
692
stationery,
or
insignia,
that
is
made
due
to
the
effect
of
1
this
division
of
this
Act
shall
be
done
as
part
of
the
normal
2
replacement
cycle
for
such
item.
3
Sec.
53.
TRANSITIONAL
PROVISIONS
——
TRANSFER
OF
RECORDS.
4
1.
The
department
of
economic
development
shall
provide
the
5
department
of
agriculture
and
land
stewardship
with
records
6
necessary
to
administer
and
enforce
chapter
15G,
subchapter
7
II,
including
sections
of
the
subchapter
amended
by
this
Act,
8
and
rules
adopted
by
the
department
of
economic
development
9
pursuant
to
that
subchapter.
10
2.
The
transfer
described
in
subsection
1,
shall
be
11
accomplished
by
June
15,
2011,
unless
the
department
of
12
economic
development
and
the
department
of
agriculture
and
land
13
stewardship
agree
to
a
different
date
in
2011.
14
Sec.
54.
TRANSITIONAL
PROVISIONS
——
OUTSTANDING
CONTRACTS.
15
1.
The
department
of
economic
development
shall
assign
16
and
the
department
of
agriculture
and
land
stewardship
17
shall
assume
all
outstanding
cost-share
agreements
executed
18
by
the
department
of
economic
development
pursuant
to
the
19
renewable
fuel
infrastructure
program
for
retail
motor
fuel
20
sites
as
provided
in
section
15G.203
and
the
renewable
fuel
21
infrastructure
program
for
biodiesel
terminal
facilities
as
22
provided
in
section
15G.204.
23
2.
The
assignment
and
assumption
of
the
cost-share
24
agreements
described
in
subsection
1
shall
be
effective
on
July
25
1,
2011,
unless
the
department
of
economic
development
and
26
the
department
of
agriculture
and
land
stewardship
agree
to
a
27
different
date
in
2011.
28
Sec.
55.
TRANSITIONAL
PROVISIONS
——
RENEWABLE
FUEL
29
INFRASTRUCTURE
BOARD.
The
department
of
economic
development
30
and
the
department
of
agriculture
and
land
stewardship
shall
31
jointly
consult
with
the
renewable
fuel
infrastructure
board
32
as
created
in
section
15G.202,
as
amended
by
this
Act,
when
33
effectuating
the
transitional
provisions
of
this
division
of
34
this
Act.
35
-19-
LSB
1861HZ
(2)
84
da/rj
19/
25
H.F.
692
Sec.
56.
TRANSFER
OF
SECTIONS.
Chapter
15G,
subchapter
1
II,
is
transferred
to
chapter
159A,
new
subchapter
III.
2
Chapter
159A,
subchapter
I,
shall
include
section
159A.1,
Code
3
2011.
Chapter
159A,
subchapter
II,
shall
include
all
of
the
4
following:
section
159A.2,
Code
2011,
as
amended
by
this
Act;
5
and
sections
159A.3
through
159A.8,
Code
2011.
Chapter
159A,
6
subchapter
III,
shall
include
all
of
the
following:
sections
7
15G.201,
15G.201A,
and
15G.202,
Code
2011,
as
amended
by
this
8
Act;
sections
15G.203
and
15G.204,
Code
2011;
section
15G.205,
9
Code
2011,
as
amended
by
this
Act;
and
section
15G.206,
Code
10
2011.
The
Code
editor
shall
correct
internal
references
as
11
necessary,
including
references
in
section
321.145,
subsection
12
2,
paragraph
“a”,
as
amended
in
this
division
of
this
Act.
13
Sec.
57.
EFFECTIVE
DATES.
14
1.
Except
as
provided
in
subsection
2,
this
division
of
this
15
Act
takes
effect
on
July
1,
2011.
16
2.
a.
The
section
of
this
division
of
this
Act
amending
17
section
15G.202,
subsection
2,
paragraph
c,
subparagraph
(4),
18
takes
effect
upon
enactment.
19
b.
The
section
of
this
division
of
this
Act
amending
20
section
15G.205,
subsection
4,
paragraph
c,
takes
effect
upon
21
enactment.
22
c.
The
sections
of
this
division
of
this
Act
which
include
23
transitional
provisions
to
accomplish
the
transfer
of
powers
24
and
duties
of
the
department
of
economic
development
to
the
25
department
of
agriculture
and
land
stewardship,
being
deemed
26
of
immediate
importance,
take
effect
upon
enactment.
As
used
27
in
this
paragraph,
such
transitional
provisions
are
limited
to
28
those
uncodified
sections
of
this
division
of
this
Act
which
29
provide
for
the
transfer
of
powers
and
duties
by
the
department
30
of
economic
development
associated
with
chapter
15G,
subchapter
31
II,
including
those
sections
in
subchapter
II
as
amended
or
32
transferred
to
chapter
159A
by
this
Act.
33
EXPLANATION
34
GENERAL.
This
bill
provides
for
the
regulation
and
35
-20-
LSB
1861HZ
(2)
84
da/rj
20/
25
H.F.
692
promotion
of
renewable
fuels,
including
ethanol
used
in
the
1
formulation
of
gasoline
containing
various
percentages
of
2
fuel
grade
alcohol
and
biodiesel
used
in
the
formulation
of
3
diesel
fuel
containing
various
percentages
of
oils
or
fats.
4
Renewable
fuel
is
classified
according
to
those
designations.
5
For
example,
E-10
contains
between
9
and
10
percent
ethanol,
6
E-15
contains
at
least
15
percent
ethanol
but
is
not
classified
7
as
E-85.
E-85
contains
between
70
and
85
percent
ethanol,
8
B-2
contains
2
percent
biodiesel,
and
B-5
contains
5
percent
9
biodiesel
(Code
section
214A.2).
The
bill
concerns
retail
10
dealers
of
renewable
fuels
(persons
selling
a
renewable
fuel
11
on
a
retail
basis).
The
bill
addresses
the
following
state
12
agencies:
the
department
of
agriculture
and
land
stewardship
13
(DALS),
the
department
of
revenue
(DOR),
and
the
department
of
14
economic
development
(DED).
15
RETAIL
DEALERS
——
MOTOR
FUEL
STANDARDS.
DALS
regulates
16
standards
for
motor
fuel
based
on
specifications
promulgated
17
by
A.S.T.M.
international
(Code
section
214A.2).
The
bill
18
provides
a
new
standard
for
biodiesel
blended
fuel
classified
19
from
B-6
to
B-20
based
on
A.S.T.M.
international
specification
20
D7467.
21
RETAIL
DEALERS
——
LIABILITY.
The
bill
provides
that
a
22
retail
dealer
regulated
under
Code
chapter
214A
is
not
liable
23
for
damages
caused
to
a
motor
by
the
use
of
an
incompatible
24
motor
fuel
(e.g.,
the
use
of
E-85
gasoline
in
a
conventional
25
gasoline-powered
motor).
The
bar
against
liability
depends
26
upon
the
satisfaction
of
certain
conditions:
(1)
the
motor
27
fuel
must
meet
legal
specifications,
(2)
the
retail
dealer
28
cannot
have
selected
it
for
use
in
the
motor,
and
(3)
the
29
dispensing
pump
must
be
correctly
labeled.
30
RETAIL
DEALERS
——
TAX
CREDITS.
The
bill
amends
a
number
of
31
existing
tax
credits
and
creates
a
new
tax
credit
for
retail
32
dealers
who
sell
and
dispense
renewable
fuel.
Generally,
a
tax
33
credit
is
calculated
on
a
calendar
year
basis
regardless
of
34
whether
the
tax
credit
is
claimed
on
a
retail
dealer’s
calendar
35
-21-
LSB
1861HZ
(2)
84
da/rj
21/
25
H.F.
692
year
or
noncalendar
year’s
tax
return.
The
tax
credits
apply
1
to
individual
and
corporate
tax
filers.
2
ETHANOL
PROMOTION
TAX
CREDIT.
The
bill
amends
the
ethanol
3
promotion
tax
credit
(Code
sections
422.11N
and
422.33,
4
subsection
11A).
The
tax
credit
is
calculated
and
claimed
on
5
100
percent
ethanol
used
in
ethanol
blended
gasoline
sold
and
6
dispensed
by
a
retail
dealer
as
ethanol
blended
gasoline.
7
Under
current
law,
the
tax
credit
rate
depends
upon
the
8
retail
dealer’s
total
ethanol
gallonage
plus
the
retail
9
dealer’s
total
biodiesel
gallonage
(referred
to
as
the
retail
10
dealer’s
biofuel
distribution
percentage).
There
are
two
11
tax
credit
schedules
based
on
the
dealer’s
biofuel
threshold
12
percentage:
the
first
schedule
applies
to
retail
dealers
who
13
sell
and
distribute
more
than
200,000
gallons
of
motor
fuel
in
14
a
calendar
year
(determination
period)
and
the
second
schedule
15
applies
to
retail
dealers
who
sell
200,000
gallons
or
less
of
16
motor
fuel
in
the
same
determination
period.
The
tax
credit
is
17
eliminated
on
January
1,
2021.
18
The
bill
adjusts
the
tax
credit
rates
for
retail
dealers
who
19
either
meet
or
do
not
attain
the
applicable
biofuel
threshold
20
percentage
for
a
determination
period.
A
disparity
occurs
21
when
a
retail
dealer’s
disparity
equals
2
percent
or
less
or
22
equals
more
than
2
percent
but
not
more
than
4
percent.
In
23
calendar
year
2011,
the
tax
credit
rate
is
increased
from
6.5
24
to
8
cents
for
a
determination
period
in
which
the
retail
25
dealer
attains
the
biofuel
threshold
percentage.
In
calendar
26
year
2011,
the
tax
credit
rate
for
a
disparity
of
2
percent
27
or
less
is
increased
from
4.5
to
6
cents.
In
2011,
the
tax
28
credit
rate
for
a
disparity
of
more
than
2
percent
but
not
more
29
than
4
percent
remains
at
2.5
cents
and
in
2012,
the
tax
credit
30
rate
for
such
disparity
is
increased
to
4
cents.
The
bill
also
31
allows
a
retail
dealer
to
calculate
the
tax
credit
based
on
a
32
site-by-site
basis
(each
individual
motor
fuel
site
operated
by
33
a
retail
dealer)
or
a
company-wide
basis
(all
motor
fuel
sites
34
operated
by
a
retail
dealer)
assuming
that
the
retail
dealer’s
35
-22-
LSB
1861HZ
(2)
84
da/rj
22/
25
H.F.
692
biofuel
threshold
percentage
is
calculated
on
a
company-wide
1
basis.
The
bill
also
amends
provisions
requiring
retail
2
dealers
to
report
motor
fuel
gallonage
to
DOR,
by
specifically
3
recognizing
site-by-site
or
company-wide
reporting.
The
4
provisions
are
retroactively
applicable
to
January
1,
2011.
5
E-85
GASOLINE
PROMOTION
TAX
CREDIT.
The
bill
amends
the
6
E-85
promotion
tax
credit
(Code
sections
422.11O
and
422.33,
7
subsection
11B)
based
on
the
total
gallons
of
E-85
gasoline
8
sold
and
dispensed
by
the
retail
dealer.
The
bill
eliminates
9
the
current
declining
tax
credit
rate
schedule
allowing
for
25
10
cents
per
gallon
of
E-85
gasoline
in
calendar
year
2006
to
1
11
cent
in
calendar
year
2020,
and
fixes
the
tax
credit
rate
at
a
12
constant
16
cents
for
each
calendar
year
until
the
end
of
2017.
13
The
new
rate
takes
effect
July
1,
2011.
It
applies
to
tax
years
14
beginning
on
and
after
that
date.
15
RETAIL
DEALERS
——
BIODIESEL
BLENDED
FUEL
TAX
CREDIT.
The
16
bill
amends
the
biodiesel
blended
fuel
tax
credit
based
on
the
17
total
gallons
of
biodiesel
blended
fuel
sold
and
dispensed
18
(Code
sections
422.11P
and
422.33,
subsection
11C).
Currently,
19
the
tax
credit
is
multiplied
by
taking
a
constant
(designated)
20
rate
multiplied
by
the
number
of
gallons
of
B-2
or
higher
sold
21
and
dispensed.
The
tax
credit
is
due
to
expire
at
the
end
of
22
calendar
year
2011.
23
The
bill
eliminates
an
eligibility
requirement
specifying
24
that
of
all
gallons
of
diesel
fuel
sold
and
dispensed
by
a
25
retail
dealer,
50
percent
or
more
must
be
biodiesel
blended
26
fuel.
It
establishes
a
tax
credit
rate
for
calendar
year
2012
27
based
on
whether
the
retail
dealer
sold
or
dispensed
is
B-2
or
28
higher.
The
designated
rate
is
3
cents.
Beginning
in
calendar
29
year
2013,
the
tax
credit
rate
is
only
calculated
on
B-5
and
30
higher.
The
tax
credit
rate
for
each
gallon
of
B-5
or
higher
is
31
5
cents.
The
tax
credit
is
extended
until
the
end
of
calendar
32
year
2017.
33
E-15
PLUS
GASOLINE
PROMOTION
TAX
CREDIT.
The
bill
creates
34
an
E-15
plus
gasoline
promotion
tax
credit
which
is
calculated
35
-23-
LSB
1861HZ
(2)
84
da/rj
23/
25
H.F.
692
on
the
total
gallons
of
ethanol
blended
gasoline,
classified
1
as
E-15
and
higher
but
not
E-85,
sold
and
dispensed
by
a
retail
2
dealer
(new
Code
sections
422.11Y
and
422.33,
subsection
11D).
3
The
amount
of
the
tax
credit
equals
a
constant
(designated)
4
rate
multiplied
by
the
total
number
of
gallons
of
E-15
or
5
higher
sold
and
dispensed
by
the
retail
dealer.
A
designated
6
rate
of
3
cents
applies
for
calendar
years
2012
through
2014
7
and
a
designated
rate
of
2
cents
applies
for
calendar
years
8
2015
through
2017.
The
tax
credit
expires
at
the
end
of
9
calendar
year
2017.
10
RENEWABLE
FUEL
INFRASTRUCTURE.
The
bill
amends
provisions
11
which
establish
a
renewable
fuel
infrastructure
board
12
(Code
section
15G.202)
which
includes
members
representing
13
agricultural
producers,
petroleum
refiners,
petroleum
14
marketers,
petroleum
equipment
contractors,
the
trucking
15
industry,
insurers,
and
the
renewable
fuels
industry.
The
16
board
is
housed
within
DED.
The
board,
with
assistance
17
from
DED,
is
responsible
for
administering
two
programs:
18
the
renewable
fuel
infrastructure
program
for
retail
motor
19
fuel
sites
(Code
section
15G.203)
and
the
renewable
fuel
20
infrastructure
program
for
biodiesel
terminal
facilities
(Code
21
section
15G.204).
The
programs
are
supported
by
a
renewable
22
fuel
infrastructure
fund
(Code
section
15G.205).
23
The
bill
replaces
a
board
member
representing
the
Iowa
24
motor
truck
association
with
a
member
representing
the
Iowa
25
biodiesel
board.
The
bill
eliminates
a
provision
that
requires
26
the
reversion
of
moneys
credited
to
the
infrastructure
fund
to
27
their
originating
sources,
including
the
Iowa
comprehensive
28
petroleum
underground
storage
tank
fund
(2006
Iowa
Acts,
29
ch.
1175).
The
bill
appropriates
moneys
from
certain
fees
30
associated
with
motor
vehicles
that
are
currently
appropriated
31
to
the
Iowa
comprehensive
petroleum
underground
storage
tank
32
fund
(Code
section
455G.3),
to
the
infrastructure
fund.
The
33
bill
also
transfers
administration
of
the
programs
and
the
fund
34
to
DALS,
and
includes
a
number
of
transitional
provisions
to
35
-24-
LSB
1861HZ
(2)
84
da/rj
24/
25