A bill for an act relating to the use of water, including beneficial use in the context of water allocation and the disposal of wastewater from distillery operations. (Formerly HSB 713 .)

House

File

2642

-

Reprinted

HOUSE

FILE

2642

BY

COMMITTEE

ON

NATURAL

RESOURCES

(SUCCESSOR

TO

HSB

713)

(As

Amended

and

Passed

by

the

House

March

12,

2026

)

A

BILL

FOR

An

Act

relating

to

the

use

of

water,

including

beneficial

use

1

in

the

context

of

water

allocation

and

the

disposal

of

2

wastewater

from

distillery

operations.

3

BE

IT

ENACTED

BY

THE

GENERAL

ASSEMBLY

OF

THE

STATE

OF

IOWA:

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Section

1.

Section

455B.171,

Code

2026,

is

amended

by

adding

1

the

following

new

subsection:

2

NEW

SUBSECTION

.

18A.

“On-site

native

distillery

operation”

3

means

land

where

there

is

located

an

operating

native

4

distillery

issued

a

class

“A”

native

distilled

spirits

license

5

by

the

department

of

revenue

pursuant

to

section

123.43A.

6

Sec.

2.

NEW

SECTION

.

455B.172B

On-site

native

distillery

7

operations.

8

1.

The

department

shall

adopt

by

rule

pursuant

to

chapter

9

17A

standards

for

the

disposal

of

wastewater

from

an

on-site

10

native

distillery

operation.

These

standards

shall

provide

for

11

but

are

not

limited

to

disposal

by

all

of

the

following:

12

a.

By

land

application

if

all

of

the

following

apply:

13

(1)

The

volume

of

wastewater

produced

by

the

on-site

native

14

distillery

operation

is

less

than

one

thousand

five

hundred

15

gallons

per

day.

16

(2)

The

application

rate

does

not

exceed

thirty

thousand

17

gallons

per

acre

per

year.

18

(3)

The

application

rate

does

not

exceed

one

thousand

five

19

hundred

gallons

per

acre

per

day.

20

(4)

The

standards

for

land

application

are

consistent

with

21

the

rules

for

land

application

of

septage

adopted

to

implement

22

section

455B.172.

23

b.

At

a

publicly

owned

treatment

works

or

other

wastewater

24

treatment

system

with

the

permission

of

the

owner

of

the

25

treatment

works.

26

c.

Through

a

subsurface

absorption

system

in

conformance

27

with

applicable

regulations

of

the

United

States

environmental

28

protection

agency.

29

d.

Through

a

disposal

system

that

meets

all

of

the

following

30

requirements:

31

(1)

The

disposal

system

is

located

on

the

same

site

as

the

32

on-site

native

distillery

operation.

33

(2)

The

disposal

system

is

constructed

in

conformance

with

a

34

permit

issued

by

the

department.

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For

a

disposal

system

that

discharges

wastewater

1

into

a

water

of

the

United

States,

the

system

is

operated

in

2

conformance

with

a

national

pollutant

discharge

elimination

3

system

permit

issued

by

the

department

under

section

455B.197.

4

Sec.

3.

Section

455B.261,

subsection

4,

Code

2026,

is

5

amended

by

striking

the

subsection.

6

Sec.

4.

Section

455B.265,

subsection

1,

Code

2026,

is

7

amended

to

read

as

follows:

8

1.

In

its

consideration

of

applications

for

permits,

the

9

department

shall

give

priority

in

processing

to

persons

in

10

the

order

that

the

applications

are

received,

except

where

11

when

the

application

of

this

processing

priority

system

12

prevents

the

prompt

approval

of

routine

applications

or

13

where

when

the

public

health,

safety,

or

welfare

will

be

14

threatened

by

delay.

If

the

department

determines

after

15

investigation

that

the

diversion,

storage,

or

withdrawal

is

16

consistent

with

the

principles

and

policies

of

beneficial

17

use

and

ensuring

conservation,

the

department

shall

grant

a

18

permit.

The

determination

of

beneficial

use

shall

not

be

19

based

on

categories

of

uses.

An

application

for

a

permit

20

shall

be

approved

or

denied

within

ninety

days

from

the

date

21

that

the

department

receives

the

complete

application.

A

22

renewal

permit

shall

be

approved

or

denied

by

the

department

23

within

thirty

days

from

the

date

that

the

department

receives

a

24

complete

application

for

renewal.

If

the

applicant

requests

an

25

extension

of

the

time

allotted,

the

department

may

approve

the

26

request

to

allow

the

applicant

more

time

to

submit

additional

27

information

to

resolve

a

contested

or

complex

application.

28

Regardless

of

the

request

in

the

application,

and

subject

29

to

appeal,

the

director

or

the

department

may

determine

the

30

duration

and

frequency

of

withdrawal

and

the

quantity

of

31

water

to

be

diverted,

stored,

or

withdrawn

pursuant

to

the

32

permit.

Each

permit

granted

after

July

1,

1986,

shall

include

33

conditions

requiring

routine

conservation

practices,

and

34

requiring

implementation

of

emergency

conservation

measures

35

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by

the

department.

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