Bill Text: IA SSB3115 | 2015-2016 | 86th General Assembly | Introduced
Bill Title: A study bill for an act establishing the facilitating business rapid response to state=declared disasters Act, and including effective date provisions.
Spectrum: Unknown
Status: (Introduced - Dead) 2016-03-17 - Voted - Ways and Means. [SSB3115 Detail]
Download: Iowa-2015-SSB3115-Introduced.html
Senate
Study
Bill
3115
-
Introduced
SENATE
FILE
_____
BY
(PROPOSED
COMMITTEE
ON
WAYS
AND
MEANS
BILL
BY
CHAIRPERSON
BOLKCOM)
A
BILL
FOR
An
Act
establishing
the
facilitating
business
rapid
response
to
1
state-declared
disasters
Act,
and
including
effective
date
2
provisions.
3
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
4
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S.F.
_____
Section
1.
FINDINGS.
The
general
assembly
finds
all
of
the
1
following:
2
1.
During
times
of
disaster
or
emergency,
many
businesses
3
bring
in
resources
and
personnel
from
other
states
on
a
4
temporary
basis
to
expedite
the
often
enormous
and
overwhelming
5
task
of
cleaning
up,
restoring,
and
repairing
damaged
6
buildings,
equipment,
and
property,
or
even
deploying
or
7
building
replacement
facilities
in
the
state.
8
2.
These
undertakings
may
involve
the
need
for
out-of-state
9
businesses,
including
out-of-state
affiliates
of
businesses
10
based
in
the
state,
to
bring
in
resources,
property,
11
or
personnel
to
perform
activities
related
to
critical
12
infrastructure
in
the
state,
including
but
not
limited
to
13
repairing,
renovating,
installing,
building,
and
rendering
14
services
or
other
business
activities,
and
for
which
personnel
15
may
be
located
in
the
state
for
extended
periods
of
time
to
16
perform
such
activities.
17
3.
During
such
time
of
operating
in
the
state
on
a
18
temporary
basis
solely
for
purposes
of
helping
the
state
19
recover
from
the
disaster
or
emergency,
these
businesses
and
20
individual
employees
should
not
be
burdened
by
any
requirements
21
for
business
and
employee
taxes
as
a
result
of
such
activities
22
in
the
state,
and
the
state’s
nexus
and
residency
thresholds
23
should
not
be
applied
to
businesses
and
individuals
coming
into
24
the
state
on
a
temporary
basis
to
provide
help
and
assistance
25
in
response
to
a
declared
state
disaster
or
emergency.
26
4.
To
ensure
that
businesses
may
focus
on
quick
response
27
to
the
needs
of
the
state
and
its
citizens
during
a
declared
28
state
disaster
or
emergency
it
is
appropriate
for
the
general
29
assembly
to
deem
that
such
activity
for
a
reasonable
period
of
30
time
before,
during,
and
after
the
disaster
or
emergency
shall
31
not
establish
presence,
residency,
or
doing
business
in
the
32
state
or
any
other
criteria
for
purposes
of
state
and
local
33
taxes,
licensing,
and
regulatory
requirements.
34
Sec.
2.
Section
29C.1,
subsection
3,
Code
2016,
is
amended
35
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to
read
as
follows:
1
3.
To
provide
for
the
rendering
of
mutual
aid
among
the
2
political
subdivisions
of
the
state
and
with
other
states
,
3
and
to
cooperate
with
the
federal
government
with
respect
to
4
the
carrying
out
of
emergency
management
functions
,
and
to
5
facilitate
the
rapid
response
of
businesses
and
workers
in
the
6
state
and
other
states
to
a
disaster
.
7
Sec.
3.
NEW
SECTION
.
29C.24
Facilitating
business
rapid
8
response
to
state-declared
disasters
Act.
9
1.
Title.
This
section
may
be
cited
as
the
“Facilitating
10
Business
Rapid
Response
to
State-Declared
Disasters
Act”
.
11
2.
Definitions.
For
purposes
of
this
section,
unless
the
12
context
otherwise
requires:
13
a.
(1)
“Critical
infrastructure”
means
real
and
personal
14
property
and
equipment
owned
or
used
by
any
of
the
following
15
networks
or
systems,
including
related
support
facilities,
16
which
network
or
system
provides
service
to
more
than
one
17
customer
or
person:
18
(a)
Communication
networks.
19
(b)
Electric
generation,
transmission,
and
distribution
20
systems.
21
(c)
Gas
distribution
systems.
22
(d)
Water
pipeline
systems.
23
(2)
“Critical
infrastructure”
includes
but
is
not
limited
24
to
buildings,
structures,
offices,
lines,
poles,
pipes,
and
25
equipment.
26
b.
“Declared
state
disaster
or
emergency”
means
a
disaster
27
or
emergency
event
that
meets
at
least
one
of
the
following
28
conditions:
29
(1)
A
disaster
emergency
proclamation
has
been
issued
by
the
30
governor
pursuant
to
section
29C.6
in
relation
to
the
event.
31
(2)
A
presidential
declaration
of
a
major
disaster
has
been
32
issued
in
relation
to
the
event.
33
c.
“Disaster
or
emergency-related
work”
means
repairing,
34
renovating,
installing,
building,
or
rendering
services
35
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_____
or
other
business
activities,
that
relate
to
critical
1
infrastructure
that
has
been
damaged,
impaired,
or
destroyed
by
2
a
declared
state
disaster
or
emergency.
3
d.
“Disaster
response
period”
means,
with
respect
to
4
each
declared
state
disaster
or
emergency,
a
period
of
time
5
that
begins
ten
calendar
days
prior
to
the
day
the
governor
6
proclaims
a
disaster
emergency
or
the
president
declares
a
7
major
disaster,
whichever
occurs
first,
and
extends
for
a
8
period
of
sixty
calendar
days
after
the
end
of
the
declared
9
state
disaster
or
emergency.
10
e.
(1)
“Out-of-state
business”
means
a
business
entity
that
11
meets
all
of
the
following
requirements:
12
(a)
The
business
entity
is
requested
to
perform
disaster
or
13
emergency-related
work
in
the
state
by
a
registered
business
or
14
by
the
state
or
a
political
subdivision
of
the
state.
15
(b)
Except
for
disaster
and
emergency-related
work,
the
16
business
entity
has
no
presence
in
the
state
and
conducts
no
17
business
in
the
state.
18
(c)
Except
for
disaster
and
emergency-related
work,
the
19
business
entity
had
no
registrations,
tax
filings,
or
nexus
in
20
the
state
for
the
tax
year
immediately
preceding
the
year
in
21
which
the
relevant
declared
state
disaster
or
emergency
occurs.
22
(2)
“Out-of-state
business”
may
include
a
business
entity
23
that
is
affiliated
with
a
registered
business
solely
through
24
common
ownership.
25
f.
“Out-of-state
employee”
means
an
employee
who
does
26
not
work
in
this
state
except
to
perform
disaster
or
27
emergency-related
work
during
a
disaster
response
period.
28
g.
“Registered
business”
means
a
business
entity
that
is
29
registered
to
do
business
in
the
state
prior
to
the
declared
30
state
disaster
or
emergency.
31
3.
Business
and
employee
status
during
disaster
response
32
period.
33
a.
Notwithstanding
any
other
provision
of
law
to
the
34
contrary,
an
out-of-state
business
that
conducts
operations
35
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_____
within
the
state
solely
for
the
purpose
of
performing
disaster
1
or
emergency-related
work
during
a
disaster
response
period
2
shall
not
be
considered
to
have
established
a
level
of
presence
3
that
would
subject
the
out-of-state
business
to
any
of
the
4
following:
5
(1)
The
requirement
to
complete
or
obtain
any
state
or
local
6
business
or
occupational
registration,
permit,
certification,
7
or
license,
or
pay
any
related
fee,
including
but
not
limited
8
to
the
requirement
to
register
with
the
secretary
of
state,
9
the
department
of
revenue,
or
a
political
subdivision.
This
10
subparagraph
(1)
does
not
apply
to
the
notification
requirement
11
in
subsection
5.
12
(2)
(a)
The
requirement
to
collect
and
remit
any
13
tax
imposed
upon
another
person
or
file
any
related
tax
14
return.
This
subparagraph
division
(a)
does
not
apply
to
an
15
out-of-state
business
for
the
collection
and
remittance
of
16
sales
and
use
taxes
under
chapter
423
if
the
out-of-state
17
business
is
registered
voluntarily
as
a
seller
under
the
18
streamlined
sales
and
use
tax
agreement.
19
(b)
Subparagraph
division
(a)
shall
not
be
construed
to
20
protect
or
otherwise
exempt
any
person
liable
for
the
payment
21
of
a
tax,
other
than
the
out-of-state
business,
from
the
22
responsibility
to
pay
such
tax.
23
(3)
The
imposition
of
income
taxes
under
chapter
422,
24
divisions
II
and
III,
including
the
requirement
to
file
tax
25
returns
under
sections
422.13
through
422.15
or
422.36,
as
26
applicable,
and
including
the
requirement
to
withhold
and
remit
27
income
tax
from
out-of-state
employees
under
section
422.16.
28
In
addition,
the
performance
of
disaster
or
emergency-related
29
work
during
a
disaster
response
period
by
an
out-of-state
30
business
or
out-of-state
employee
shall
not
require
an
31
out-of-state
business
to
be
included
in
a
consolidated
return
32
under
section
422.37,
and
shall
not
increase
the
amount
of
net
33
income
of
the
out-of-state
business
allocated
and
apportioned
34
to
the
state
under
sections
422.8
or
422.33,
as
applicable.
35
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(4)
The
employment
security
requirements
under
chapter
1
96,
including
but
not
limited
to
the
payment
of
employer
2
contributions
under
section
96.7.
3
(5)
The
use
tax
under
chapter
423,
subchapter
III,
or
4
the
equipment
tax
under
chapter
423D,
on
tangible
personal
5
property
or
equipment
purchased
outside
the
state
and
brought
6
into
the
state
to
aid
in
the
performance
of
disaster
or
7
emergency-related
work
during
a
disaster
response
period
if
8
such
tangible
personal
property
or
equipment
does
not
remain
in
9
the
state
after
the
conclusion
of
the
disaster
response
period.
10
(6)
The
assessment
of
property
taxes
by
the
department
of
11
revenue
under
sections
428.24
through
428.29,
or
chapters
433,
12
434,
and
437
through
438,
or
by
a
local
assessor
under
another
13
provision
of
law,
on
property
brought
into
the
state
to
aid
in
14
the
performance
of
disaster
or
emergency-related
work
during
a
15
disaster
period
if
such
property
does
not
remain
in
the
state
16
after
the
conclusion
of
the
disaster
response
period.
17
b.
Notwithstanding
any
other
provision
of
law
to
the
18
contrary,
the
performance
of
disaster
or
emergency-related
19
work
during
a
disaster
response
period
by
an
out-of-state
20
employee
shall
not
be
used
as
the
basis
to
determine
that
the
21
out-of-state
employee
has
established
residency
or
a
level
of
22
presence
that
would
subject
the
out-of-state
employee
to
any
23
of
the
following:
24
(1)
The
requirement
to
complete
or
obtain
any
state
or
local
25
business
or
occupational
registration,
permit,
certification,
26
or
license,
or
pay
any
related
fee,
including
but
not
limited
27
to
the
requirement
to
register
with
the
secretary
of
state,
the
28
department
of
revenue,
or
with
a
political
subdivision.
29
(2)
The
imposition
of
income
taxes
under
chapter
422,
30
division
II,
including
the
requirement
to
file
tax
returns
31
under
section
422.13
and
the
requirement
to
be
subject
to
32
withholding
of
income
tax
under
section
422.16.
In
addition,
33
the
performance
of
disaster
or
emergency-related
work
during
a
34
disaster
response
period
by
an
out-of-state
employee
shall
not
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increase
the
amount
of
net
income
of
the
out-of-state
employee
1
allocated
and
apportioned
to
the
state
under
section
422.8.
2
(3)
The
use
tax
under
chapter
423,
subchapter
III,
or
the
3
equipment
tax
under
chapter
423D,
on
tangible
personal
property
4
or
equipment
purchased
outside
the
state
and
used
in
the
state
5
to
aid
in
the
performance
of
disaster
or
emergency-related
work
6
during
a
disaster
response
period
if
such
tangible
personal
7
property
or
equipment
does
not
remain
in
the
state
after
the
8
conclusion
of
the
disaster
response
period.
9
c.
During
a
disaster
response
period,
an
out-of-state
10
business
or
an
out-of-state
employee
shall
be
subject
to
all
11
taxes
and
fees
not
included
in
paragraphs
“a”
and
“b”
,
and
this
12
subsection
shall
not
be
construed
to
provide
protection
or
13
exemption
during
a
disaster
response
period
or
any
other
period
14
from
taxes
or
taxable
events
not
included
in
paragraphs
“a”
and
15
“b”
.
16
4.
Business
and
employee
status
after
a
disaster
response
17
period.
An
out-of-state
business
or
out-of-state
employee
18
that
remains
in
the
state
after
the
conclusion
of
the
disaster
19
response
period
for
which
the
disaster
or
emergency-related
20
work
was
performed
shall
be
fully
subject
to
the
state’s
21
standards
for
establishing
presence,
residency,
or
doing
22
business
as
otherwise
provided
by
law,
and
shall
be
responsible
23
for
any
resulting
taxes,
fees,
licensing,
registration,
filing,
24
or
other
requirements.
25
5.
Notification
of
out-of-state
business
during
disaster
26
response
period.
27
a.
An
out-of-state
business
that
enters
the
state
to
perform
28
disaster
and
emergency-related
work
during
a
disaster
response
29
period
shall
provide
notification
to
the
secretary
of
state,
30
which
notification
shall
contain
all
the
following
information
31
related
to
the
out-of-state
business:
32
(1)
Name.
33
(2)
State
of
domicile.
34
(3)
Principal
business
address.
35
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(4)
Federal
employer
identification
number.
1
(5)
The
date
the
out-of-state
business
entered
the
state.
2
(6)
Contact
information.
3
(7)
A
statement
that
the
out-of-state
business
is
in
4
the
state
for
the
purpose
of
responding
to
a
declared
state
5
disaster
or
emergency.
6
b.
For
an
out-of-state
business
that
enters
this
state
to
7
perform
disaster
and
emergency-related
work
during
a
disaster
8
response
period
as
an
affiliate
of
a
registered
business,
the
9
registered
business
shall
provide,
on
behalf
of
the
affiliate
10
out-of-state
business,
the
notification
required
in
paragraph
11
“a”
,
which
notification
shall
also
include
contact
information
12
for
the
registered
business.
13
c.
The
secretary
of
state
shall
transmit
notification
14
information
to
the
department,
department
of
revenue,
and
other
15
appropriate
state
and
local
government
agencies
and
officials.
16
6.
Rules.
The
department,
the
secretary
of
state,
and
17
the
department
of
revenue
shall
each
adopt
rules
pursuant
to
18
chapter
17A
to
jointly
administer
this
section.
19
Sec.
4.
EFFECTIVE
UPON
ENACTMENT.
This
Act,
being
deemed
of
20
immediate
importance,
takes
effect
upon
enactment.
21
EXPLANATION
22
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
23
the
explanation’s
substance
by
the
members
of
the
general
assembly.
24
This
bill
establishes
the
“Facilitating
Business
Rapid
25
Response
to
State-Declared
Disasters
Act”
and
provides
findings
26
and
definitions.
The
bill
also
amends
the
statement
of
policy
27
in
Code
chapter
29C
(Emergency
Management
and
Security).
28
The
bill
provides
that
notwithstanding
any
law
to
the
29
contrary,
an
out-of-state
business
or
an
out-of-state
employee
30
that
performs
disaster
and
emergency-related
work
during
a
31
disaster
response
period
will
be
protected
from,
and
shall
not
32
be
subject
to,
certain
taxes,
fees,
licensing,
registration,
33
filing,
and
other
requirements,
as
specified
in
the
bill.
34
“Disaster
response
period”
is
defined
as
a
period
of
time
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beginning
10
days
before
the
governor
proclaims
a
state
1
disaster
or
emergency
or
the
president
declares
a
major
2
disaster
in
the
state,
and
ends
60
days
after
the
end
of
3
the
declared
state
disaster
or
emergency.
“Disaster
and
4
emergency-related
work”
is
defined
to
include
a
variety
of
work
5
on
critical
infrastructure
damaged,
impaired,
or
destroyed
6
by
the
declared
state
disaster
or
emergency.
“Critical
7
infrastructure”
is
defined
to
include
property
and
equipment
8
owned
or
used
by
a
communication
network;
electric
generation,
9
transmission,
and
distribution
system;
gas
distribution
10
system;
water
pipeline
system;
or
a
related
support
facility
11
of
those
networks
or
systems.
The
network
or
system
must
12
provide
service
to
more
than
one
customer
or
person.
“Critical
13
infrastructure”
includes
but
is
not
limited
to
buildings,
14
structures,
offices,
lines,
poles,
pipes,
and
equipment.
15
OUT-OF-STATE
BUSINESSES.
The
bill
defines
“out-of-state
16
business”
and
provides
that
an
out-of-state
business
performing
17
disaster
and
emergency-related
work
during
a
disaster
response
18
period
shall
not
be
considered
to
have
established
a
level
of
19
presence
that
would
subject
it
to
the
following:
20
1.
The
requirement
to
obtain
any
state
or
local
business
or
21
occupational
registration,
permit,
certification,
or
license,
22
or
pay
any
related
fee.
23
2.
The
requirement
to
collect
and
remit
any
tax
imposed
upon
24
another
person,
or
file
any
related
tax
return,
except
for
the
25
collection
of
sales
and
use
tax
by
an
out-of-state
business
26
registered
voluntarily
as
a
seller
under
the
streamlined
sales
27
and
use
tax
agreement.
28
3.
The
requirement
to
pay
the
individual
or
corporate
29
income
tax,
including
the
requirement
to
file
a
tax
return
30
or
be
included
in
a
consolidated
tax
return,
withhold
and
31
remit
income
tax
from
out-of-state
employees,
or
increase
the
32
amount
of
the
out-of-state
business’s
net
income
allocated
33
and
apportioned
to
Iowa
as
a
result
of
the
disaster
and
34
emergency-related
work.
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4.
The
requirement
to
be
subject
to
the
employment
security
1
requirements
of
Code
chapter
96,
including
but
not
limited
to
2
the
requirement
to
make
employer
contributions.
3
5.
For
tangible
personal
property
and
equipment
purchased
4
outside
of
Iowa
and
brought
into
the
state
to
aid
in
the
5
performance
of
disaster
or
emergency-related
work,
the
6
requirement
to
pay
use
tax
or
equipment
tax
on
the
property,
or
7
have
the
property
assessed
for
property
tax
purposes,
provided
8
the
property
does
not
remain
in
the
state
after
the
disaster
9
response
period.
10
Out-of-state
businesses
that
enter
the
state
to
perform
11
disaster
and
emergency-related
work
during
a
disaster
response
12
period
are
required
to
provide
a
notification
containing
13
various
information
to
the
secretary
of
state.
If
the
14
out-of-state
business
enters
the
state
as
an
affiliate
of
a
15
registered
business,
the
registered
business
must
provide
the
16
required
notification
on
behalf
of
the
out-of-state
business.
17
“Registered
business”
is
defined
in
the
bill.
The
secretary
of
18
state
is
required
to
share
the
notification
information
with
19
various
state
and
local
agencies
and
officials
as
specified
in
20
the
bill.
21
OUT-OF-STATE
EMPLOYEES.
The
bill
defines
“out-of-state
22
employee”
and
provides
that
the
performance
of
disaster
or
23
emergency-related
work
during
a
disaster
response
period
by
24
an
out-of-state
employee
shall
not
be
used
as
the
basis
to
25
determine
the
out-of-state
employee
has
established
residency
26
or
a
level
of
presence
that
would
subject
the
out-of-state
27
employee
to
the
following:
28
1.
The
requirement
to
obtain
any
state
or
local
business
or
29
occupational
registration,
permit,
certification,
or
license,
30
or
pay
any
related
fee.
31
2.
The
requirement
to
pay
the
individual
income
tax
or
32
file
a
tax
return,
be
subject
to
income
tax
withholding,
or
33
increase
the
amount
of
the
out-of-state
employee’s
net
income
34
allocated
and
apportioned
to
Iowa
as
a
result
of
the
disaster
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and
emergency-related
work.
1
3.
The
requirement
to
pay
use
tax
or
equipment
tax
on
2
tangible
personal
property
and
equipment
purchased
outside
of
3
Iowa
and
brought
into
the
state
to
aid
in
the
performance
of
4
disaster
or
emergency-related
work,
provided
the
property
does
5
not
remain
in
the
state
after
the
disaster
response
period.
6
The
bill
provides
that
out-of-state
businesses
and
7
out-of-state
employees
shall
be
subject
to
all
taxes
and
fees
8
not
specifically
included
in
the
bill,
and
provides
that
9
out-of-state
businesses
and
out-of-state
employees
that
remain
10
in
Iowa
after
the
conclusion
of
the
disaster
response
period
11
shall
be
fully
subject
to
Iowa’s
standards
for
establishing
12
presence,
residency,
or
doing
business
as
otherwise
provided
by
13
law,
and
shall
be
responsible
for
any
resulting
taxes,
fees,
14
licensing,
registration,
filing,
or
other
requirements.
15
The
bill
takes
effect
upon
enactment.
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