House File 2475      

                            AN ACT
RELATING TO PERSONS DOING BUSINESS AS SWINE DEALERS AND
   PERSONS ENGAGED IN THE BUSINESS OF BUYING OR SELLING FEEDER
   PIGS AND PROVIDING AN EFFECTIVE DATE.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

   Section 1.  Section 163.61, subsections 2 and 3, Code 2003,
are amended to read as follows:
   2.  a.  Except as provided in paragraph "b" subsection 3, a
person violating a provision of this chapter, or a rule
adopted pursuant to this chapter, shall be subject to a civil
penalty of at least one hundred dollars but not more than one
thousand dollars.  In the case of a continuing violation, each
day of the continuing violation is a separate violation.
However, a person shall not be subject to a civil penalty
totaling more than twenty=five thousand dollars.
   b. 3.  Notwithstanding the provisions of paragraph "a"
subsection 2, a all of the following apply:
   a.  A person who falsifies a health certificate,
veterinarian inspection certificate, or certificate of
inspection shall be subject to a civil penalty of not more
than five thousand dollars for each reference to an animal
falsified on the certificate.  However, a person who falsifies
a certificate of inspection issued pursuant to chapter 166D
shall be subject to a civil penalty as provided in this
section or section 166D.16, but not both.  A person shall not
be subject to a civil penalty totaling more than twenty=five
thousand dollars for falsifying a certificate, regardless of
the number of animals falsified on the certificate.
   b.  A person required to be licensed as a dealer pursuant
to section 163.30 and who is not issued a license by the
department pursuant to that section, but does business as a
dealer, shall be subject to a civil penalty of at least one
thousand dollars but not more than five thousand dollars.
Each day that the person does business as a dealer without
being issued a license constitutes a separate offense.  A
person shall not be subject to a civil penalty totaling more
than twenty=five thousand dollars during any one year.
   3. 4.  Moneys collected from civil penalties shall be
deposited into the general fund of the state.
   Sec. 2.  Section 202C.1, subsection 4, Code Supplement
2003, is amended to read as follows:
   4.  "Financial institution" means a bank or savings and
loan association authorized by this state or by the laws of
the United States, which is a member of the federal deposit
insurance corporation, or the federal savings and loan
insurance corporation, or the national bank for cooperatives
established in the Agricultural Credit Act, Pub. L. No. 100=
233.
   Sec. 3.  Section 202C.2, subsection 3, Code Supplement
2003, is amended to read as follows:
   3.  The amount of the evidence of financial responsibility
shall be established by rules which shall be adopted by the
department.  Unless the department otherwise has good cause,
the rules shall be based upon the volume of sales reported by
the dealer to the United States department of agriculture
grain inspection, packers and stockyards administration.
However, the evidence of financial responsibility shall not be
for less than fifty five thousand dollars or for more than
three hundred twenty=five thousand dollars.  The department
may increase the amount of the evidence of financial
responsibility for a dealer upon a showing of good cause.
   Sec. 4.  Section 202C.3, Code Supplement 2003, is amended
by adding the following new subsection:
   NEW SUBSECTION.  3.  A legal action brought by a purchaser
against the surety on the bond or the issuer of the
irrevocable letter of credit shall be brought not later than
one hundred eighty days after the date that the dealer
delivers the feeder pigs to the purchaser pursuant to the
sales agreement.
   Sec. 5.  IMPLEMENTATION.  In implementing this Act, the
department may adopt rules pursuant to section 17A.4,
subsection 2, and section 17A.5, subsection 2, paragraph "b".
   Sec. 6.  EFFECTIVE DATE.  This Act, being deemed of
immediate importance, takes effect upon enactment.


                                                            
                              CHRISTOPHER C. RANTS
                              Speaker of the House


                                                            
                              JEFFREY M. LAMBERTI
                              President of the Senate

   I hereby certify that this bill originated in the House and
is known as House File 2475, Eightieth General Assembly.


                                                            
                              MARGARET THOMSON
                              Chief Clerk of the House
Approved                , 2004


                           
THOMAS J. VILSACK
Governor