Key Bills ABI is Tracking as the Iowa Legislature Reaches Its First Deadline

Below is a list of bills ABI’s public policy team has been tracking that are of interest to members:

WORKFORCE-RELATED LEGISLATION

SF 2275/HF 2279 - Workforce/Tort Reform: Gov. Kim Reynolds’ comprehensive workforce bill aims to help Iowans who are unemployed rejoin the workforce more quickly. This aligns with ABI’s top policy priority in 2022, which is modernizing Iowa’s employment insurance system and turning it into a re-employment system. The bill would reduce the maximum number of weeks a person can qualify for unemployment benefits from six months to four months. It would also add a one-week waiting period before a person can qualify for benefits. Division 2 of the legislation addresses tort reform through hard caps on noneconomic damages for medical malpractice cases. The tort reform division also sets hard caps on cases against the owner or operator of a commercial motor vehicle.

• ABI Position: For
• Status: Alive

SSB 3123/HSB 682 - Governor’s Second Workforce Bill: This legislation contains additional workforce priorities Gov. Reynolds highlighted in her Condition of the State address. Some provisions of this bill include establishing requirements for work-based learning programs and directing licensing boards to establish procedures to expedite the professional licensing process for a person who is a spouse of an active duty member of the military. The Senate State Government Committee passed this bill with an amendment this week. The House Economic Growth Committee passed this bill this week as is. One of the divisions included in this bill pertains to property tax, meaning this legislation will eventually also have to go through the Ways and Means Committee.

• ABI Position: For
• Status: Alive

SF 2268/HF 2131 - Child Care Ratios Bill: One of the recommendations the Governor’s Child Care Task Force made was to re-examine child-staff ratios. This bill would allow the Iowa Dept. of Human Services to raise the ratios so child care centers can have a child-to-staff ratio of one worker for every seven children who are two years old and one child care worker for every 10 children who are three years old. Both the Senate and House versions have passed their chamber’s Human Resources committee.

• ABI Position: For
• Status: Alive

SF 2129/HF 2165 - Last Dollar Scholarship Expansion: This bill would expand eligibility for a last dollar scholarship under the Future Ready Iowa program to include part-time students.

• ABI Position: For
• Status: Alive

EMPLOYMENT-RELATED LEGISLATION

SF 2250 - Guns in Employer Parking Lots: This bill would not allow employers to prohibit employees “from carrying, transporting, or possessing a firearm or ammunition” if the firearm or ammunition is out of sight and locked inside that employee’s car on the employer’s property. The Senate Labor and Business Relations Committee advanced the bill past the funnel deadline.

• ABI Position: Against
• Status: Alive

HF 2411 - Replacements of Permanent Prosthetic Devices for Injured Workers: This bill would mandate an employer to provide an employee with a replacement permanent prosthetic device for an injury that occurred while they were employed by the employer. This would be considered reasonable medical care under workers’ compensation. This bill passed the House Commerce Committee.

• ABI Position: Against
• Status: Alive

SF 2196 - Copies of Employee Files: This bill requires an employer to provide an employee with one copy of their personnel file at no charge. The employer can provide subsequent copies electronically. The Senate State Government Committee advanced this bill. 

• ABI Position: Neutral
• Status: Alive

SF 339 - E-Verify: The Senate Judiciary Committee passed this bill that would require all businesses to use the federal E-verify system. The bill would also allow law enforcement, a county attorney and someone from the public to file a complaint with the Iowa Workforce Development (IWD). It allows the IWD to bring an employer to court if the department determines there has been a violation. It also includes language that allows business licenses to be revoked for an entity that commits a second violation. A subcommittee was held this week on similar legislation in the House, but that version did not advance past the funnel deadline.

• ABI Position: Against
• Status: Alive

SF 496 - Prohibition of Low Wage Noncompete Agreements: This legislation would null and void low wage noncompete agreements between employers and employees. The bill defines a low wage employee as someone whose average monthly wage is less than or equal to $14.50 an hour. Last year, the full Senate passed this bill unanimously. It now sits in the House Commerce Committee where it was approved a few weeks ago. ABI worked to get the language in a position where the association can be neutral.

• ABI Position: Neutral
• Status: Alive

SF 485/HF 2257 - Pregnancy Accommodations: This bill would require employers to provide reasonable accommodations to employees based on pregnancy or childbirth. Reasonable accommodations would include and are not limited to: provision of an accessible worksite, a change or addition of equipment, job restructuring and a modified work schedule. The House State Government Committee unanimously approved HF 2257 and it’s now eligible for debate in the House. The version in the Senate, SF 485, was considered by the Labor and Business Relations Committee, but did not advance.

• ABI Position: Against
• Status: HF 2257 is alive. SF 485 is dead.

HF 2233 - Restrictive Covenants for Medical Professionals: This bill would have prohibited restrictive covenants between a person who is licensed to practice medicine and surgery, osteopathic medicine and surgery or pharmacy and their employer. The restrictive covenants limit the locations where the licensee may practice or prohibit them from contacting a previous patient. A subcommittee was held on the bill, but it didn’t advance.

• ABI Position: Against
• Status: Dead

DATA

SF2049/HF 2302 - Affirmative Defenses for Cybersecurity Programs: This bill adds blockchain technology into Iowa’s definition of “electronic record” and “electronic signature.” The legislation also creates new sections in Iowa’s law and outlines the cybersecurity program framework a business would have to follow if it wants to seek an affirmative defense in the event of a data breach. has passed the House Information Technology Committee.

• ABI Position: Undecided
• Status: Alive

HSB 674 - Consumer Data Protection: This week, the House Information Technology Committee advanced online consumer protection legislation. Under the proposed bill, consumers could view what has been collected about them, redact certain information and prohibit the sale of information between parties. The proposal is closely patterned after the efforts in other states so that collectively, they may provide a template for a federal solution. Stakeholders are working on language that will be satisfactory to all parties monitoring this legislation.

• ABI Position: Undecided
• Status: Alive

HEALTH-RELATED LEGISLATION

SF 2231/HF 2384 - Pharmacy Benefit Manager Legislation: Both the House and Senate Commerce Committees have advanced legislation that would change the way that pharmacy benefits are delivered under private sector health care plans offered by ABI members to their employees. The legislation changes the manner in which pharmacy benefit managers, working on behalf of health insurance plan administrators, work to control health care costs for businesses that offer health coverage to their employees. ABI was neutral on last year’s legislation until a formal review of the costs of the bill was published. Once those costs were quantified, ABI opposed the effort as employer health plans would experience significantly higher premiums. We are registered neutral until official cost estimates are available and will be taking a position on the legislation at that time.

• ABI Position: Undecided
• Status: Alive

ENVIRONMENT & ENERGY

SF 2160 - Eminent Domain Bill: This legislation would have prohibited the Iowa Utilities Board from granting eminent domain rights to private companies for something that isn’t considered a “public use”. The bill passed a subcommittee, but ultimately wasn’t approved by the full Commerce Committee before the funnel deadline.

• ABI Position: Undecided
• Status: Dead

SF 2127 - Limitation on Implementation of Solar Farms: This bill requires a commercially-owned solar panel field installed on agricultural land to be at least one-half mile from surrounding solar panel fields. The solar panel field would also have to be at least 1,250 feet from the nearest adjacent landowner. The Senate Agriculture Committee approved this bill.

• ABI Position: Monitoring
• Status: Alive

Most Vaccination Bills Fail to Advance

A number of vaccine-related bills that would have applied to employers were filed during this session, but failed to advance in the legislative process. HSB 647, which is the medical privacy bill, would apply to businesses and is a bill that ABI continues to monitor. This bill would prohibit businesses and employers from asking about a person’s medical treatment status. A person’s medical status also cannot be considered by an employer for purposes of hiring, wage surcharge or decreases or firing an employee. The House State Government Committee passed this bill this week, which means it met the funnel deadline.