Bill > HSB694

Introduced Session

S.F. _____ H.F. _____ This bill relates to the regulation of health-related matters, including health-related professions, health facilities, nutrition, and taxation. The bill is organized in divisions. DIVISION I —— CONTINUING EDUCATION REQUIREMENTS —— NUTRITION AND METABOLIC HEALTH. The bill requires the board of medicine and the board of physician assistants to adopt rules requiring certain licensees to receive continuing education credits regarding nutritional and metabolic health as a condition of license renewal. DIVISION II —— CERTIFICATE OF NEED. The bill changes the definition of “new institutional health service” or “changed institutional health service”. The bill alters the list of items that are excluded from the provisions of Code chapter 135 (department of health and human services —— public health), subchapter VI (health facilities). The bill strikes a provision restricting the department of health and human services (HHS) from processing applications for an intermediate care facility for persons with an intellectual disability, or considering a new or changed institutional health service for an intermediate care facility for persons with an intellectual disability, unless the new or changed beds shall not result in an increase in the total number of medical assistance certified intermediate care facility beds for persons with an intellectual disability in the state, exclusive of those beds at the state resource centers or other state institutions, beyond 1,636 beds. The bill replaces a requirement that HHS hold a public hearing on an application for a certificate of need with a requirement that the department provide a period for the submission of written comments from affected persons. The bill strikes an authorization for the department to call a public hearing on the question of whether to grant an extension for an S.F. _____ H.F. _____ expiring certificate of need. DIVISION III —— SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM —— SUMMER ELECTRONIC BENEFITS TRANSFER FOR CHILDREN PROGRAM. The bill requires HHS to continuously maintain state participation in the federal supplemental nutrition assistance program (SNAP) by administering the program in accordance with guidelines approved by the United States department of agriculture, food and nutrition service, to define “eligible foods” as “healthy foods”, as that term is defined by the department, and to seek any federal approval necessary to ensure that provision of benefits is continuous. The bill requires HHS to ensure that the provision of SNAP benefits to recipients is uninterrupted. The bill also allows HHS to participate in the summer electronic benefits transfer for children program, subject to federal approval of guidelines for eligible foods under the program that are similar to the guidelines for eligible foods under SNAP. DIVISION IV —— IVERMECTIN —— OVER-THE-COUNTER AVAILABILITY. The bill allows a pharmacist, pharmacy, or other person to distribute ivermectin for human consumption as an over-the-counter medicine. A pharmacist, pharmacy, or other person who distributes ivermectin pursuant to the bill shall not be subject to professional discipline or civil or criminal penalties. DIVISION V —— SCHOOL FOODS AND BEVERAGES. The bill prohibits school districts, certain charter schools, and innovation zone schools from serving meals to students as part of the school’s breakfast or lunch program that contain blue dye 1, blue dye 2, green dye 3, potassium bromate, propylparaben, red dye 40, yellow dye 5, or yellow dye 6, unless the foods or beverages in the meal were received as part of a direct delivery from the foods in schools program of the United States department of agriculture. The bill also prohibits schools from permitting the sale to students of any foods or beverages that contain such ingredients on school campus unless the sale takes place S.F. _____ H.F. _____ after the end of the school day. The bill requires nonpublic schools that use moneys appropriated by the general assembly to provide breakfast or lunch to students to ensure that the meals comply with the same prohibition on ingredients as school districts. This division of the bill applies to school years beginning on or after July 1, 2027. DIVISION VI —— PSYCHOLOGY INTERJURISDICTIONAL COMPACT. The bill creates an interstate compact to allow psychologists from other states to practice telepsychology with patients living in Iowa, to practice “face-to-face” psychology on a temporary basis in Iowa, and to allow Iowa psychologists to practice telepsychology with patients in other states. The compact is intended to authorize regulatory authorities to afford legal recognition, in a manner consistent with the terms of the compact, to psychologists licensed in another state. The compact does not apply when a psychologist is licensed in both the “home” and “receiving” states. A commission is created to oversee the compact, which is effective upon the enactment into law by the seventh compact state. DIVISION VII —— CIGARETTE TAXATION. The bill raises the cigarette tax from 6.8 cents per cigarette to 10.05 cents per cigarette. The overall tax on a pack of cigarettes (20 cigarettes) goes from $1.36 to $2.01. The bill also raises the tax on loose tobacco products inserted into a vending machine from which assembled cigarettes are dispensed. The tax is increased from 3.06 cents on each cigarette dispensed from the vending machine to 4.52 cents. By increasing the cigarette tax in the bill, the inventory tax is also assessed on cigarettes remaining in inventories taxed under the previous tax rate that is equal to the difference between the previous tax rate and the new tax rate. Code section 453A.35 specifies that revenues from the tax on cigarettes are deposited into the health care trust fund created in Code section 453A.35A. S.F. _____ H.F. _____ DIVISION VIII —— TAX ON TOBACCO PRODUCTS. Currently, a tax is imposed on the distributor of all tobacco products (excluding cigarettes, little cigars, and snuff) at a rate of 22 percent of the wholesale sales price under Code section 453A.43(1)(a) and at a rate of 28 percent under Code section 453A.43(1)(b) for a combined rate of 50 percent tax on the wholesale sales price. The bill combines the 22 percent rate and the 28 percent rate and raises the tax on tobacco products from the combined rate of 50 percent to 55 percent of the wholesale sales price. Currently, the tax on cigars is capped at 50 cents per cigar. The bill raises the cap on the tax on cigars to 55 cents to match the percentage increase of the other tax increases within Code section 453A.43(1). The bill changes the tax on snuff to match the tax on other tobacco products within Code section 453A.43(1) by taxing snuff at 55 percent of the wholesale price rather than taxing snuff at a rate of $1.19 per ounce. By increasing the tax on the wholesale sales price of tobacco products in the bill, the inventory tax is assessed on any tobacco products remaining in inventories taxed under the previous tax rate that is equal to the difference between the previous tax rate and the new tax rate. Code section 453A.35 specifies that revenues from the tax on tobacco products are deposited into the health care trust fund created in Code section 453A.35A. The bill also makes other conforming changes to Code section 453A.43. DIVISION IX —— EXCISE TAX ON VAPOR PRODUCTS. The bill creates an excise tax on vapor products at a rate of 15 percent on the sales price from the retail sale, including a delivery sale, of vapor products to consumers. The excise tax is in addition to any other tax imposed by law. The excise tax shall be collected at the point of sale from the consumer. The bill requires the director of revenue to administer the vapor S.F. _____ H.F. _____ product excise tax as nearly as possible in conjunction with the administration of the state sales and use tax law, except that portion of the law that implements the streamlined sales and use tax agreement. The bill deposits all revenues raised from the vapor products excise tax into the health care trust fund created in Code section 453A.35A. The bill requires the department to adopt rules to administer the new excise tax. The bill makes other conforming changes to implement the new tax. DIVISION X —— EXCISE TAX ON CONSUMABLE HEMP PRODUCTS. The bill creates an excise tax on consumable hemp products at a rate of 15 percent on the sales price from the retail sale, including a delivery sale, of consumable hemp products to consumers. The excise tax is in addition to any other tax imposed by law. The bill requires the department to adopt rules to administer the new excise tax. The bill requires the director of revenue to administer the consumable hemp excise tax as nearly as possible in conjunction with the administration of the state sales and use tax law, except that portion of the law that implements the streamlined sales and use tax agreement. The bill deposits all revenues raised from the consumable hemp excise tax into the health care trust fund created in Code section 453A.35A.

Committee Categories

No sponsors listed

Other Sponsors (1)

Committee vote: Yeas, 14. Nays, 7. H.J. 335. (on 02/17/2026)

Official Document