Farm Progress

Legal Issues: Several bills relating to agriculture have been signed into law; more await governor’s signature.

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IOWA LEGISLATURE: The recently passed tax legislation eliminates federal deductibility and the alternative minimum tax.

Every year we update readers on the outcome of the Iowa Legislature’s activities and how they impact the state’s farmers and agriculture. The Iowa Legislature is close to adjourning its 2018 legislative session. There were several bills relating to agriculture that passed both the House and Senate, and have been signed by Gov. Kim Reynolds or are waiting on her desk for signature.

The governor signed the water quality bill, Senate File 512, in January. Here is a list of other bills that passed both the House and Senate. This list is not exhaustive, but highlights some bills of special interest to farmers and ag groups.

• Ag and Natural Resources funding. The Ag and Natural Resources Appropriations bill (HF 2491) passed the House and Senate in April, and has been sent to the governor’s desk. Among other things, the bill appropriates funds to the Iowa Department of Ag and Land Stewardship, Iowa Department of Natural Resources, Iowa State University and the University of Iowa ($39.43 million). Additional appropriations include $189,196 for dairy regulation, $75,000 for local food and farm programs, and $500,000 to IDALS from the Renewable Fuel Infrastructure Fund for motor fuel inspections.

This bill also would provide $130,000 for Farmers With Disabilities; $25,000 for ag education; $1 million for Conservation Reserve Enhancement Program; $900,000 for Conservation Reserve Program; $3.8 million for soil and water conservation; $8.33 million for conservation cost share; $2.38 million for water quality; $3.4 million for the Groundwater Protection Fund; $1.32 million for animal feeding operations; $425,000 for air quality monitoring; and $250,000 for foreign animal diseases afflicting livestock.

• Critical Infrastructure Sabotage. SF 2235 makes the sabotage of critical infrastructure a Class B felony and punishable by no more than 25 years, and a fine of no less than $85,000, but no more than $100,000. It defines such infrastructure to include various utilities, infrastructure for oil and gas, electricity, water, telecommunications, broadband, and other related services.

• Partitions of Property. SF 2175 establishes provisions for partitions of property in kind and property by sale, and creates new Iowa Code Ch. 651. The current procedures related to an action for partition are not changed by the bill. However, the bill does provide special provisions that apply only where real estate defined as “heirs property” is partitioned. The bill defines “heirs property” as real property held in tenancy in common, where there is no recorded agreement governing partition of the property, where one or more cotenants acquired title from a living or deceased relative, etc. According to the bill’s author, in enacting this bill, the Iowa Legislature recognized that family farms often present special circumstances, where non-economic factors should be given fair consideration in addition to simply ordering a procedure most likely to yield the highest sale price.

• Fence Viewing. HF 2340 amends Iowa Code Ch. 359A, which governs construction and maintenance of partition fences. The bill states that a fence viewer who has a conflict of interest involving a fence dispute must disclose the possible conflict of interest to the parties and other fence viewers, and requires the fence viewer to be disqualified voluntarily or by a vote of the other trustees for an actual conflict of interest and replaced, among other things.

• Health Benefit Plans for small employers, sole proprietors. SF 2349 was signed into law on April 2. For more information, see the Center for Agricultural Law and Taxation

Herbold-Swalwell is an attorney with Brick-Gentry PC in Des Moines. Contact her at [email protected].

About the Author(s)

Erin Herbold-Swalwell

Erin Herbold-Swalwell is an attorney with Wickham & Geadelmann PLLC.

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