Iowa Bills

House File 1018 amends a previous law regarding the historic preservation tax credit. This bill extends the period during which existing historic preservation tax credits are protected from changes to their refundability. Specifically, it shifts the cutoff date for preserving existing rights to these tax credits from January 1, 2023, to July 1, 2023. This means that taxpayers who were issued, awarded, or allowed historic preservation tax credits prior to July 1, 2023, will have their rights to those credits, including any carryforward amounts, protected from certain reductions in refundability.

HF 1030 proposes to exempt certain cash tips from the individual income tax for qualifying Iowans. Individuals whose net income is less than $155,000 could subtract up to $25,000 in "qualified tips" from their taxable income. "Qualified tips" are defined as cash tips received in occupations that traditionally and customarily received cash tips before December 31, 2023. This exemption would apply to tax years beginning on or after January 1, 2026, unless the federal government enacts similar legislation.

HF 961 exempts up to $500,000 of income from nonqualified deferred compensation plans from state individual income tax. This exemption applies to taxpayers who are disabled, 55 years of age or older, or the surviving spouse or survivor with an insurable interest of an individual who would have qualified. The bill amends the state's tax code to include this new subtraction from net income. It also includes retroactive applicability, making it effective for tax years beginning on or after January 1, 2025.

HF 1009 authorizes school districts to use revenues from their existing district management levy for school safety and security purposes. This bill directly affects school districts by expanding the allowable uses for these funds. Specifically, the funds can be used to pay for school safety and security infrastructure, such as weapons detection and door monitoring systems. Additionally, the levy can cover costs for employing or retaining various security personnel, including school resource officers, private security with weapon permits, reserve or peace officers, and individuals with at least two years of law enforcement or security experience. This Act applies to school budget years beginning on or after July 1, 2025.

This bill primarily regulates noncoal mine sites, focusing on active underground mining operations. It increases the initial mining license application fee for operators from $50 to $75. Operators of active underground mine sites must immediately notify the division upon the formation of a sinkhole above their site. The bill also empowers the division to adopt rules for reclaiming lands disturbed by these sinkholes and to issue emergency remediation orders for such incidents.

House File 1004 proposes to exempt the sales price of honeybees from Iowa's state sales and use tax. This means that individuals or businesses purchasing honeybees would no longer be subject to these taxes on their acquisition. The bill achieves this by adding honeybees to the list of items specifically excluded from sales tax under existing state law. Consequently, honeybees would also be exempt from the state's use tax.

House File 1051 authorizes cities, counties, and townships to establish self-supported tourism improvement districts. These districts allow local governments to levy special assessments on lodging businesses located within the district. The funds collected from these assessments are used to finance activities and improvements that directly benefit the assessed lodging businesses, such as tourism promotion, marketing, and economic development. Assessments can be structured in various ways, like a fixed amount or percentage of sales, and are intended to supplement existing tourism funding.

HF 167 modifies the definition of "grooming behavior" for licensed school employees. Currently, school districts and agencies must report employees who engage in grooming behavior, defined as actions to entice or entrap a student for a sex act. This bill changes that definition to "the process of building trust and emotional connections with a student with the intent to exploit such student." This revised definition would be used when school authorities make mandatory reports to the Board of Educational Examiners (BOEE).

House File 384 amends the current law concerning a minor's ability to consent to medical care for sexually transmitted diseases or infections. Under existing law, minors can consent to prevention, diagnosis, or treatment for STDs/STIs without parental consent. This bill creates an exception, stipulating that minors would no longer have the legal capacity to consent specifically to vaccinations for sexually transmitted diseases or infections. Minors would still be able to consent to other forms of care, such as diagnosis or treatment, without requiring consent from a parent, guardian, or spouse.

This bill authorizes cities to establish designated "self-supported entertainment areas," directly affecting local governments, businesses within these zones, and consumers who frequent them. To create an area, a city council must receive a petition from property owners, hold a public hearing, and ensure the proposed area meets specific criteria regarding size, zoning, and types of establishments. Once established, these areas can impose an entertainment surcharge of up to three percent on retail sales of food, alcoholic beverages, entertainment tickets, and lodging within their boundaries. The revenues generated from this surcharge are then used to fund improvements and services specifically for that entertainment area.

HSB 344 establishes a system to supplement horse race purses by redirecting a portion of state sales tax. Beginning July 1, 2025, sales tax collected on specific horse care products, such as feed, supplements, and tack, will be transferred into a new "horse racing purse fund" in the state treasury. Annually, starting April 1, 2026, moneys from this fund will be appropriated to the State Racing and Gaming Commission. The commission will then distribute these funds to licensed horse racing facilities, which must use them to supplement horse race purses according to a designated structure.

House File 883 requires public school districts to provide free feminine hygiene products, such as sanitary napkins and tampons, to female students in grades six through twelve. These products must be accessible in women's restrooms within school buildings and refilled regularly. The bill appropriates state funds to the Department of Education from July 1, 2025, to June 30, 2028, to reimburse school districts for the full cost of compliance. After this period, school districts will cover these costs using state school foundation aid.