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HF942 • 2026

A bill for an act providing for a pilot program to reduce the use of commercial nitrogen-based fertilizers to produce crops, and making appropriations.(Formerly HSB 165 .)

A bill for an act providing for a pilot program to reduce the use of commercial nitrogen-based fertilizers to produce crops, and making appropriations.(Formerly HSB 165 .)

Agriculture Budget
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
COMMITTEE ON AGRICULTURE
Last action
2025-03-12
Official status
Introduced, referred to Appropriations. H.J. 613 .
Effective date
Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

A bill for an act providing for a pilot program to reduce the use of commercial nitrogen-based fertilizers to produce crops, and making appropriations.(Formerly HSB 165 .)

A bill for an act providing for a pilot program to reduce the use of commercial nitrogen-based fertilizers to produce crops, and making appropriations.(Formerly HSB 165 .)

What This Bill Does

  • A bill for an act providing for a pilot program to reduce the use of commercial nitrogen-based fertilizers to produce crops, and making appropriations.(Formerly HSB 165 .)

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

  1. 2025-03-12 Iowa Legislature

    Introduced, referred to Appropriations. H.J. 613 .

Official Summary Text

A bill for an act providing for a pilot program to reduce the use of commercial nitrogen-based fertilizers to produce crops, and making appropriations.(Formerly HSB 165 .)

Current Bill Text

Read the full stored bill text
House

File

942

-

Introduced

HOUSE

FILE

942

BY

COMMITTEE

ON

AGRICULTURE

(SUCCESSOR

TO

HSB

165)

A

BILL

FOR

An

Act

providing

for

a

pilot

program

to

reduce

the

use

of

1

commercial

nitrogen-based

fertilizers

to

produce

crops,

and

2

making

appropriations.

3

BE

IT

ENACTED

BY

THE

GENERAL

ASSEMBLY

OF

THE

STATE

OF

IOWA:

4

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Section

1.

NEW

SECTION

.

466B.51

Definitions.

1

As

used

in

this

subchapter,

unless

the

context

otherwise

2

requires:

3

1.

“Commercial

fertilizer”

means

the

same

as

defined

in

4

section

200.3.

5

2.

“Commercial

nitrogen-based

fertilizer”

means

a

commercial

6

fertilizer

containing

at

least

twenty-five

percent

total

7

nitrogen.

8

3.

“Division”

means

the

division

of

soil

conservation

and

9

water

quality

created

within

the

department

of

agriculture

and

10

land

stewardship

pursuant

to

section

159.5.

11

4.

“Fund”

means

the

innovative

nutrient

incorporation

12

incentive

pilot

program

fund

created

in

section

466B.55.

13

5.

“Producer”

means

a

person

actively

engaged

in

farming

14

agricultural

land

as

those

terms

are

defined

in

section

9H.1.

15

6.

“Program”

means

the

innovative

nutrient

incorporation

16

incentive

pilot

program

created

pursuant

to

section

466B.52.

17

7.

a.

“Qualifying

crop

production

product”

means

a

18

commercially

available

product

that,

when

applied

to

cropland

19

in

conjunction

with

or

as

an

alternative

to

a

commercial

20

fertilizer,

cost-effectively

promotes

optimum

plant

growth

in

a

21

manner

that

best

reduces

nitrogen

as

a

nonpoint

source

of

water

22

pollution.

23

b.

“Qualifying

crop

production

product”

includes

but

is

not

24

limited

to

a

soil

conditioner

with

nitrogen-fixing

properties,

25

biological

sources

of

nitrogen,

and

biofertilizers

that

improve

26

efficiencies

in

nitrogen

management

practices.

27

8.

“Soil

conditioner”

means

the

same

as

defined

in

section

28

200.3.

29

Sec.

2.

NEW

SECTION

.

466B.52

Innovative

nutrient

30

incorporation

incentive

pilot

program

——

creation

and

goal.

31

1.

An

innovative

nutrient

incorporation

incentive

pilot

32

program

is

created.

33

2.

a.

The

goal

of

the

program

is

to

encourage

farmers

to

34

best

optimize

commercial

nitrogen-based

fertilizer

rates

and,

35

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942

where

appropriate,

determine

how

commercial

nitrogen-based

1

fertilizer

application

rates

can

be

reduced

by

the

threshold

2

limit

of

the

lesser

of

fifteen

percent

or

thirty

pounds

per

3

acre

by

incorporating

identifiable

cost-effective

qualifying

4

crop

production

products

and

methodology.

5

b.

The

division

may

reevaluate

and

revise

the

goal

of

6

the

program

after

determining

that

commercial

nitrogen-based

7

fertilizer

application

rates

can

be

efficiently

reduced

more

8

than

the

threshold

limit

described

in

paragraph

“a”

.

9

Sec.

3.

NEW

SECTION

.

466B.53

Program

administration.

10

1.

The

program

shall

be

administered

by

the

division

of

soil

11

conservation

and

water

quality.

12

2.

The

division

may

adopt

rules

as

provided

in

chapter

17A

13

to

administer

this

subchapter.

14

3.

In

administering

the

program,

the

division

may

do

any

of

15

the

following:

16

a.

Contract

with

another

party,

including

a

private

person,

17

to

develop,

implement,

and

manage

any

part

of

the

program

18

subject

to

the

division’s

direction

and

supervision.

19

b.

Cooperate

with

any

interested

organization

to

the

extent

20

that

the

interested

organization

elects

to

cooperate

with

the

21

division.

22

Sec.

4.

NEW

SECTION

.

466B.54

Program

requirements.

23

1.

Each

year,

the

division

shall

select

qualified

producers

24

to

participate

in

the

program

according

to

criteria

established

25

by

the

division.

In

selecting

qualified

producers,

the

26

division

shall

consider

applicants

actively

engaged

in

growing

27

field

crops

in

all

regions

of

the

state.

A

selected

producer

28

may

reapply

to

participate

in

the

program

each

year

that

the

29

program

continues.

30

2.

The

division

shall

approve

the

use

of

qualifying

crop

31

production

products

and

application

methods

according

to

label

32

instructions

and

standards

established

by

the

division.

33

3.

A

selected

producer

using

qualifying

crop

production

34

products

must

keep

records

as

required

by

the

division

that

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document

application

methods,

timing,

and

results

as

part

of

1

the

selected

producer’s

crop

fertility

plan.

2

4.

The

division

may

award

a

selected

producer

an

incentive

3

payment

for

each

acre

that

the

selected

producer

applies

4

qualifying

crop

production

products

and

methodology

to

meet

5

the

goal

provided

in

section

466B.52.

The

total

amount

of

an

6

award

shall

not

be

less

than

five

dollars

for

each

acre

used

to

7

apply

the

qualifying

crop

production

products

and

methodology.

8

Before

selecting

qualified

producers

each

year,

the

division

9

may

adjust

the

amount

of

the

payment

based

on

the

number

of

10

selected

producers,

the

availability

of

moneys,

the

rate

of

11

inflation,

more

cost-effective

technologies,

or

less

expensive

12

qualifying

crop

production

products.

13

Sec.

5.

NEW

SECTION

.

466B.55

Innovative

nutrient

14

incorporation

incentive

pilot

program

fund.

15

1.

An

innovative

nutrient

incorporation

incentive

pilot

16

program

fund

is

created

in

the

state

treasury

under

the

17

management

and

control

of

the

division.

18

2.

The

fund

shall

include

moneys

appropriated

by

the

general

19

assembly.

The

fund

may

include

other

moneys

available

to

and

20

obtained

or

accepted

by

the

division,

including

moneys

from

21

public

or

private

sources.

22

3.

Moneys

in

the

fund

are

appropriated

to

the

division

and

23

shall

be

used

exclusively

to

carry

out

the

provisions

of

this

24

subchapter

as

determined

by

the

division.

25

4.

a.

Notwithstanding

section

12C.7,

interest

or

earnings

26

on

moneys

in

the

fund

shall

be

credited

to

the

fund.

27

b.

Notwithstanding

section

8.33,

unencumbered

and

28

unobligated

moneys

in

the

fund

shall

not

revert

but

shall

29

remain

available

for

expenditure

for

the

purposes

designated.

30

5.

Any

unencumbered

or

unobligated

moneys

in

the

fund

upon

31

repeal

of

this

subchapter

pursuant

to

section

466B.59

shall

be

32

transferred

to

the

Iowa

nutrient

research

fund

created

pursuant

33

to

section

466B.46.

34

Sec.

6.

NEW

SECTION

.

466B.56

Appropriation.

35

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For

the

fiscal

year

beginning

July

1,

2025,

and

ending

1

June

30,

2026,

and

for

each

fiscal

year

thereafter,

there

is

2

appropriated

from

the

general

fund

of

the

state

to

the

fund

the

3

amount

of

two

million

dollars.

4

Sec.

7.

NEW

SECTION

.

466B.57

Innovative

nutrient

5

incorporation

incentive

pilot

program

report.

6

On

or

before

January

15,

2029,

the

division

shall

prepare

7

and

deliver

to

the

governor

and

general

assembly

an

innovative

8

nutrient

incorporation

incentive

pilot

program

report

regarding

9

the

status

of

the

program,

together

with

any

findings

and

10

recommendations

regarding

how

producers

in

this

state

may

best

11

utilize

qualifying

crop

production

products

and

methodology.

12

Sec.

8.

NEW

SECTION

.

466B.58

Confidentiality.

13

Any

information

received,

collected,

or

held

under

this

14

subchapter

is

a

confidential

record

as

provided

in

section

15

22.7,

if

the

information

identifies

any

of

the

following:

16

1.

A

person

who

holds

a

legal

interest

in

the

cropland

used

17

in

conducting

the

program

or

who

has

previously

held

a

legal

18

interest

in

that

cropland.

19

2.

A

person

who

is

involved

in

managing

the

cropland

used

20

in

conducting

the

program

or

who

has

previously

managed

that

21

cropland.

22

3.

The

identifiable

location

of

the

cropland

used

in

23

conducting

the

program.

24

Sec.

9.

NEW

SECTION

.

466B.59

Repeal.

25

This

subchapter

is

repealed

December

31,

2030.

26

EXPLANATION

27

The

inclusion

of

this

explanation

does

not

constitute

agreement

with

28

the

explanation’s

substance

by

the

members

of

the

general

assembly.

29

GENERAL.

This

bill

amends

Code

chapter

466B,

which

includes

30

a

number

of

subchapters

that

provide

programs

to

improve

31

surface

water

quality.

The

bill

creates

a

new

Code

subchapter

32

requiring

the

division

of

soil

conservation

and

water

quality

33

(division)

within

the

department

of

agriculture

and

land

34

stewardship

to

administer

an

innovative

nutrient

incorporation

35

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incentive

pilot

program

(pilot

program)

on

cropland

for

four

1

crop

years.

2

PILOT

PROGRAM

GOAL.

The

bill

provides

that

the

goal

of

3

the

pilot

program

is

to

encourage

farmers

to

best

optimize

4

commercial

nitrogen-based

fertilizer

application

rates,

and

5

achieve

a

fertilizer

threshold

reduction

limit

of

the

lesser

of

6

15

percent

or

30

pounds

per

acre

by

incorporating

identifiable

7

cost-effective

qualifying

crop

production

products

and

8

methodology.

9

ADMINISTRATION

AND

FINANCING

OF

PILOT

PROGRAM.

The

10

bill

allows

the

division

to

administer

the

pilot

program

or

11

contract

with

a

person

to

administer

the

pilot

program

under

12

the

division’s

supervision.

Each

year,

the

division

must

13

select

qualified

producers

to

participate

in

the

program.

The

14

division

may

award

a

selected

producer

an

incentive

payment

for

15

each

acre

to

which

the

selected

producer

applies

qualifying

16

crop

production

products

and

methodology

to

meet

the

goal

of

17

the

pilot

program.

The

bill

creates

a

pilot

program

fund

18

that

includes

moneys

appropriated

from

the

general

fund

to

19

support

the

pilot

program.

For

each

fiscal

year,

$2

million

20

is

appropriated

from

the

general

fund

to

support

the

pilot

21

program.

22

REPORT

AND

CONFIDENTIALITY

OF

CERTAIN

INFORMATION.

The

bill

23

requires

the

division

to

prepare

and

deliver

to

the

governor

24

and

general

assembly

a

report

regarding

the

status

of

the

pilot

25

program

on

or

before

January

15,

2029.

Information

acquired

as

26

a

part

of

the

pilot

program

is

a

confidential

record.

27

REPEAL.

The

new

Code

subchapter

containing

the

bill’s

28

provisions

is

repealed

December

31,

2030.

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