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Kim Reynolds
GOVERNOR
Office of the GovernorChris Cournoyer
LT GOVERNOR
June 02, 2026
The Honorable Paul Pate
Secretary of State of Iowa
State Capitol
Des Moines, Iowa 50319
Dear Mr. Secretary,
I hereby transmit:
House File 2531, an Act relating to interests in minerals owned by counties and cities.
The above House File is hereby approved on this date.
Sincerely,
Kim ^g^olds
Govemor of Iowa
cc: Secretary of the Senate
Clerk of the House
STATE CAPITOL DES MOINES, IOWA 50319 515.281.5211 WWW.GOVERNOR.IOWA.GOV
MUNTAI
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House File 2531
AN ACT
RELATING TO INTERESTS IN MINERALS OWNED BY COUNTIES AND CITIES,
AND INCLUDING EFFECTIVE DATE PROVISIONS.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
Section 1. NEW SECTION. 331,310 Mineral interests.
1. For purposes of this section:
a, '^Mineral interests" means any real property interest
in one or more natural resources or minerals underlying the
surface of a tract of land, which can be owned separately from
the surface estate.
b, '^Minerals" means coal, any naturally occurring gas,
oil, or other gaseous, liquid, or solid hydrocarbons; oil
shale; gemstones; metals; fissionable or nonfissionable ore; or
steam or other geothermal resources. '^Minerals" does not mean
minerals as defined in section 208.2.
2. A county shall divest itself of any mineral interest
owned or controlled by the county and shall convey such mineral
interest to the surface owner of the land to which the mineral
interest pertains except when the county is the fee simple
surface owner of the land. A conveyance under this section
shall be made without consideration and shall be without cost
to the surface owner of the land.
3. A county shall complete all conveyances required under
this section no later than five years after the effective date
of this Act. Conveyances pursuant to section 458A.20 shall
House File 2531f p. 2
be completed within one hundred fifty days of service of the
required notice. Any interest in minerals acquired by the
county after the effective date of this Act shall be conveyed
as required under this section within ninety days.
Sec. 2. NEW SECTION. 364.26 Mineral interests.
1. For purposes of this section:
a, ^Mineral interests" means any real property interest
in one or more natural resources or minerals underlying the
surface of a tract of land, which can be owned separately from
the surface estate.
b, ^Minerals" means coal, any naturally occurring gas,
oil, or other gaseous, liquid, or solid hydrocarbons; oil
shale; gemstones; metals; fissionable or nonfissionable ore; or
steam or other geothermal resources. '^''Minerals" does not mean
minerals as defined in section 208.2.
2. A city shall divest itself of any mineral interests
owned or controlled by the city and shall convey such mineral
interests to the surface owner of the land to which the mineral
interest pertains except when the city is the surface owner
of the land. A conveyance under this section shall be made
without consideration and shall be without cost to the surface
owner of the land.
3. A city shall complete all conveyances required under this
section no later than five years after the effective date of
this Act. Any mineral interest acquired by the city after the
effective date of this Act shall be conveyed as required under
this section within ninety days.
Sec. 3. Section 446.7, Code 2026, is amended by adding the
following new subsection:
NEW SUBSECTION. 3. The county shall not offer mineral
interests, as defined in section 331.310, for sale. If
the taxes on any mineral interests not owned by the surface
owner of the land are delinquent, the county shall proceed in
accordance with section 458A.20.
Sec. 4. Section 458A.18r Code 2026, is amended to read as
follows:
458A.18 Mineral rights taxed separately.
All rights and interests in or to oil, gas, or other minerals
underlying land, whether created by or arising under deed.
House Pile 2531, p. 3
lease, reservation of rights, or otherwise, which rights or
interests are owned by any person other than the surface owner
of the land, shall be assessed and taxed separately to the
owner of such rights or interests in the same manner as other
real estate. The taxes on such rights or interests that are
not owned by the surface owner of the land shall not be a lien
on the land.
Sec. 5. Section 458A.19, Code 2026, is amended to read as
follows;
458A.19 Rate.
In order to pay the costs of assessment and collection and
provide a reasonable minimum standard of taxation, the taxes on
any mineral rights or interests not owned by the surface owner
of the land shall be not less than five cents per acre.
Sec. 6. Section 458A.20, Code 2026, is amended to read as
follows:
458A.20 Tax sale — redemption by owner.
1. When If the taxes on any mineral rights or interests
not owned by the surface owner of the land are sold at tax
salet—and when delinquent, the county treasurer shall send a
statement of delinquent taxes and a notice that the mineral
rights or interests will be conveyed to the owner of the
associated surface tract unless the owner of those mineral
rights or interests docs not rcdOGm under the provisions of
chapter 447 pays the total amount of the delinquent taxes,
interest, and costs to the county treasurer within ninety days
after the tax sale,—the owner of the land shall thoroafter have
the same right of redemption as the owner of the mineral rights
or interests has,—and redemption by the notice is served.
The county treasurer shall serve the notice by sending it by
regular first class mail to the person^s last known address and
to the address of the person's registered agent listed with the
secretary of state, applicable.
2. When the owner of those mineral rights or interests does
not pay the total amount due by the deadline, the county shall
convey the mineral rights or interests pursuant to section
331.310 to the surface owner of the land. Such conveyance
shall terminate any right of redemption of the owner of the
mineral rights or interests.
House File 2531, p. 4
3. a. The county may collect the total amount due by
converting the amount due to a personal judgment against the
owner of the delinquent mineral interest pursuant to sections
445.3 and 446.20, notwithstanding the absence of a tax sale or
tax sale certificate.
b. If the treasurer determines that it is impractical to
pursue collection of the total amount due and the personal
judgment remedies, the treasurer shall make a written
recommendation to the board of supervisors to abate the amount
due. The board of supervisors shall abate, by resolution, the
amount due and direct the treasurer to strike the amount due
from the county system.
Sec. 7. Section 557C.1, Code 2026, is amended to read as
follows:
557C.1 Lapse of mineral interests in coal — prevention.
A mineral interest in coal shall be extinguished is
abandoned if it has not been active in accordance with section
557C.2A for a period of twenty years after its creation,
transfer, or preservation, unless a statement of claim is
filed in accordance with section 557C.3, and the ovyncrohip
shall revert to the poraon who was then the ov?ncr of the
interest from which the mineral interest in coal was created,
transferred, or preserved. Title to an abandoned mineral
interest vests in the owner of the surface estate in the land
in, or under, which the mineral interest is located on the date
of abandonment. Upon the filing of a statement of claim within
the specified period, the mineral interest shall be deemed to
have been preserved for an additional period of twenty years,
or a shorter period as may be specified in the instrument
creating the interest.
Sec. 8. Section 557C.2, subsection 2, Code 2026, is amended
to read as follows:
2. ^Mineral Severed mineral interest in coal means an
interest created by an instrument which that creates or
transfers_£_ either by grant, assignment, reservation, or
otherwise, an interest of any kind in coal, aa doacribGd in
chapter 207, without limitation on the manner of mining the
coal any naturally occurring gases, oil, or other gaseous,
liquid, or solid hydrocarbons? oil shale; gemstones; metals;
House File 2531, p. 5
fissionable or nonfissionable ore; or steam or other geothermal
resources. '^Severed mineral interest" ^oes not include an
interest in any resource listed in the definition of "mineral"
under section 208.2.
Sec. 9. NEW SECTION. 557C.2A Active mineral interests.
A severed mineral interest is active when any one of the
following conditions exists:
1. Minerals are produced or explored by the record owner
of the mineral interest, or the rightful assignees or lessees
of the record owner of the severed mineral interest, or
pursuant to a pooling order issued by the department of natural
resources pursuant to chapter 458A.
2. Operations are conducted for extraction, withdrawal,
injection, storage, or disposal of water, gas, or other fluid
substances to produce or enhance the production of minerals
by or with the express permission of the record holder of the
mineral interest, or pursuant to a pooling order issued by the
department of natural resources pursuant to chapter 458A.
3. For solid minerals, there is a production from a well or
a common vein or seam with the express permission, including
such permission as provided for in an instrument of lease or
other form of assignment, of the record owner of the severed
mineral interest, or pursuant to a pooling order issued by the
department of natural resources pursuant to chapter 458A.
4. Any valid conveyance, lease, mortgage, assignment,
private distribution, termination of joint tenancy interest
affidavit, termination of life estate affidavit, or any
judgment or decree that makes specific references to the record
owner's severed mineral interest is recorded within the last
twenty years in the recorder's office for the county in which
the severed mineral interest is located.
5. The severed mineral interest is subject to a written
agreement or pooling order issued by the department of natural
resources pursuant to chapter 458A.
6. A statement of claim is filed in accordance with section
557C.3.
Sec. 10. Section 557C.3, Code 2026, is amended to read as
follows:
557C.3 Statement of claim — filing requirement.
House Pile 2531, p. 6
The statement of claim provided in section 557C.1 shall be
filed by the owner of the severed mineral interest in coal
prior to the end of the twenty-year period set forth in section
557C.1 or by July 1, 1994, whichever is later. The statement
of claim shall contain the name and address of the owner of
the severed mineral interest in coal, and a description of the
real estate on, or under, which the severed mineral interest ift
coal is located. The statement of claim shall be filed in the
office of the recorder in the county in which the real estate
is located.
Sec. 11. Section 557C.4, Code 2026, is amended to read as
follows:
557C.4 Statement of claim — recorder's duty.
Upon the filing of the statement of claim provided for
in section 5570.3 in the recorder's office for the county
where the real estate on, or under, which the severed mineral
interest in coal exists-T- is located, the recorder shall record
the statement of claim and index the entries required to be
made pursuant to section 5570.3 and any applicable entries
specified in sections 558.49 and 558.52.
Sec. 12. Section 5570.5, Code 2026, is amended to read as
follows:
5570.5 Reservation in other conveyance.
A reservation of a mineral interest in coal or an exception
of a mineral interest in coal, contained in a conveyance of
the interest out of which it is carved, by a nonowner of the
mineral interest in coal shall not be deemed to satisfy the
requirements of this chapter or as a revival of a severed
mineral interest in coal otherwise extinguished under this
chapter.
Sec. 13. Section 5570.6, Oode 2026, is amended to read as
follows:
5570.6 Exemption.
The filing of the statement of claim required under section
5570.3 to preserve the severed mineral interest in coal shall
not be required of an owner if the severed mineral interest was
separately taxed for real estate tax purposes at any time after
July 1, 1971, the tax was paid, the mineral interest has not
been subject to a tax sale, and the severed mineral interest
House File 2531, p. 7
has not been conveyed to the owner of the surface estate
pursuant to sections 331.310 or 458A.20.
Sec. 14. EFFECTIVE DATE. This Act, being deemed of
immediate importance, takes effect upon enactment.
PAT GRASSLEY.
Speaker of the House
X<7^
AMY SI^LAIR
President of the Senate
I hereby certify that this bill originated in the House and
is known as House File 2531, Ninety-first General Assembly.
Approved 2026
MEO^N NELSON
cH"ief filerk o he House
KIM RflYNOLDS
Govern