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<h1 id="toc_0">HSB 126 EXPLANATION</h1>
<p>The inclusion of this explanation does not constitute agreement with<br>
the explanation’s substance by the members of the general assembly.</p>
<p>This bill relates to the organization, structure, and<br>
functions of state government. The bill is organized by<br>
divisions.</p>
<h2 id="toc_1">DIVISION I — DEPARTMENT OF HEALTH AND HUMAN SERVICES. This</h2>
<p>division provides the legislative changes for the realignment<br>
of the department of human services (DHS) and department of<br>
public health (DPH) into the department of health and human<br>
services (HHS), as necessary, for consideration by the general<br>
assembly during the 2023 legislative session to implement the<br>
realignment effective July 1, 2023, as required by 2022 Iowa<br>
Acts, chapter 1131, section 51, subsection 6, paragraph “a”.</p>
<p>In addition, the bill incorporates into HHS the department<br>
on aging (DOA), the department of human rights (DHR), early<br>
childhood Iowa, and the Iowa commission on volunteer services.</p>
<p>The bill eliminates references to the subunit structure<br>
and the heads of such subunits of HHS and other agencies<br>
incorporated into HHS below the department level, including<br>
divisions, bureaus, and administrators. Some of these include<br>
the center for rural health and primary care, the center<br>
for congenital and inherited disorders, the oral health and<br>
delivery systems bureau, the division of tobacco use prevention<br>
and control, the division for records and statistics, the<br>
bureau of professional licensure, the division of acute disease<br>
prevention and emergency response, the division of mental<br>
health and disability services, the administrator assigned to<br>
control the state mental health institutes and state resource<br>
centers, the administrator of mental health and disability</p>
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<p>services, the division to which the director of DHS had<br>
assigned responsibility for income and service programs, the<br>
administrator of the child support recovery unit, and the<br>
division of adult, children, and family services. Instead,</p>
<p>the references are changed so that HHS, the director of HHS,</p>
<p>or a designee is responsible for these functions. The bill<br>
authorizes the director of HHS to organize HHS into subunits as<br>
necessary to most efficiently carry out the responsibilities</p>
<p>of HHS.</p>
<p>The bill restructures the membership of boards, commissions,<br>
and other entities to avoid duplicative representation by more<br>
than one person representing HHS following the incorporation of<br>
other agencies and units of government into HHS.</p>
<p>The bill changes current Code references to “child support<br>
recovery unit” to “child support services” and the reference to<br>
“foster care recovery unit” to “foster care services”.</p>
<p>The bill changes current Code references to “substance<br>
abuse”, “drug abuse”, and similar terms, to “substance use<br>
disorder”.</p>
<p>The bill designates “record check evaluation system” to<br>
refer to the process used by HHS to perform child and dependent<br>
adult abuse record checks and to evaluate criminal history and<br>
abuse records.</p>
<p>The bill changes current Code references to “food stamps” to<br>
“supplemental nutrition assistance program”.</p>
<p>The bill eliminates the state board of health and replaces<br>
the board with the council on health and human services, but<br>
retains local boards of health and local health departments.<br>
The bill amends the membership of the HHS council to expand<br>
voting membership from seven to nine members, and requires<br>
that at least one of these members is a physician licensed to<br>
practice medicine in Iowa.</p>
<p>Through incorporation of DHR into HHS, the bill eliminates<br>
the division of community advocacy and services, the division<br>
of community action agencies, and the division of criminal and</p>
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<p>juvenile justice planning, and assigns the functions of these<br>
former divisions to HHS while retaining the underlying offices,<br>
commissions, councils, and the human rights board.</p>
<p>The bill eliminates current Code references to “service<br>
area” and “service area manager” for the delivery of services,<br>
but retains references to county offices and advisory boards.</p>
<p>The bill moves the Code provision establishing the child<br>
abuse prevention advisory committee from a general provision<br>
under Code chapter 217 (DHS) to a new provision under Code<br>
chapter 235A (child abuse).</p>
<p>The bill changes current Code references to the “hawk-i”<br>
program and related terms to the “Hawki” program and related<br>
terms to reflect current program branding.</p>
<p>The bill also moves the function of the Iowa child death<br>
review team from the office of the state medical examiner<br>
to HHS; establishes the Iowa domestic abuse death review<br>
team under HHS rather than as an independent agency of<br>
state government; eliminates the reference to Iowa Medicaid<br>
enterprise and assigns those functions to the Medicaid program;<br>
moves the responsibility for regulation of consumable hemp to<br>
HHS from the department of inspections and appeals (DIA); and<br>
moves the creation of the child advocacy board from DIA to HHS.</p>
<p>The bill updates or eliminates outdated Code provisions.</p>
<p>The bill repeals Code chapter 136 (state board of health)<br>
and incorporates the functions of the board of health into the<br>
council on health and human services.</p>
<p>The bill repeals Code sections 135.2 (appointment of<br>
director and acting director) under the former DPH; 135.3<br>
(disqualifications) relating to the former director of DPH;<br>
135.6 (assistants and employees) relating to the former<br>
DPH; 135.7 (bonds) relating to bond requirements for certain<br>
employees of the former DPH; 135.8 (seal) relating to the<br>
official seal of DPH; 135.9 (expenses) relating to travel<br>
expenses for employees of the former DPH; 135.10 (office)<br>
relating to the location of the former DPH at the seat of</p>
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<p>government; 216A.2 (appointment of department director,</p>
<p>deputy director, and administrators — duties) relating to<br>
appointments for the former DHR; 217.7 (administration of<br>
divisions); 217.9 (additional duties); 217.10 (administrator<br>
of division of mental health and disability services);</p>
<p>217.15 (administrator of division of administration)</p>
<p>relating to the administrator position under the former DHS;<br>
217.16 (cooperation with other divisions) relating to the<br>
administrator of the division of administration with others<br>
under the former DHS; 217.17 (administrator of division of<br>
planning) relating to the administrator under the former</p>
<p>DHS; 218.19 (districts) relating to the administrator of<br>
institutions having control of an institution under control</p>
<p>of the former DHS; 218.20 (place of commitments — transfers)<br>
relating to commitments by district under the former DHS;<br>
218.40 (services required) relating to services required to be<br>
rendered by residents of institutions; 218.53 (dealers may file<br>
addresses) relating to the provision of contact information<br>
for those desiring to provide services to institutions;</p>
<p>218.54 (samples preserved) relating to the retention of</p>
<p>when purchases made by sample at institutions; 222.6 (state<br>
districts) relating to districts for resource centers; 227.19<br>
(administrator defined) relating to the administrator in<br>
control of mental health institutes under the former DHS;<br>
231.22 (director — assistant director) relating to the<br>
director and assistant director of former DOA; and 234.2<br>
(division created) relating to the division of child and family<br>
services under the former DHS.</p>
<p>The bill repeals 2022 Iowa Acts, chapter 1098, sections 68<br>
and 92, relating to a future amendment to Code section 232.142<br>
relating to juvenile detention homes which would have moved<br>
administration fully to DHR and the provision making section 68<br>
effective July 1, 2023.</p>
<h2 id="toc_2">DIVISION II — DEPARTMENT OF ADMINISTRATIVE SERVICES.</h2>
<p>This division transfers the library services duties of the</p>
<p>department of education, the state archivist and duties related<br>
to state records and archives, and most of the historical<br>
division of the department of cultural affairs to the<br>
department of administrative services. The bill also provides<br>
that the department of administrative services shall undertake<br>
responsibilities under Code chapter 305B, concerning museum<br>
property, currently provided by the department of cultural<br>
affairs.</p>
<p>LIBRARY SERVICES. Code sections 256.50 to 256.73,<br>
concerning the library services duties of the department of<br>
education, are transferred to the department of administrative<br>
services in Code chapter 8A. The bill eliminates the library<br>
services division of the department of education and transfers<br>
duties and responsibilities of the division to the department<br>
of administrative services. The state librarian is transferred<br>
to the department of administrative services and the bill<br>
further provides that the state librarian shall be appointed<br>
by the director of the department of administrative services<br>
and not by the state commission of libraries. The state<br>
commission of libraries is also transferred to the department<br>
of administrative services and the bill adds the director of<br>
the department of administrative services as a member of the<br>
commission. The bill retains the rulemaking authority of the<br>
commission as it relates to library services.</p>
<p>STATE RECORDS AND ARCHIVES. Code chapter 305, the state<br>
records and archives Act, is transferred to Code chapter 8A.<br>
The bill transfers the duties currently performed by the<br>
department of cultural affairs under that Code chapter to the<br>
department of administrative services. The bill also strikes<br>
the director of the department of cultural affairs as a member<br>
of the state records commission. The bill also provides that<br>
the director of the department of administrative services,<br>
and not the administrator of the historical division of the<br>
department of cultural affairs, shall serve as an ex officio<br>
member of the Iowa historical records advisory board.</p>
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<p>HISTORICAL RESOURCES. The bill transfers most of the<br>
duties of the historical division of the department of<br>
cultural affairs and the administrator of that division to<br>
the department of administrative services and the director of<br>
the department of administrative services under Code chapter<br>
8A. Duties of the historical division described in Code<br>
section 303.2 are generally transferred to the department of<br>
administrative services. The historic preservation officer,<br>
as well as related duties concerning historic properties and<br>
historic preservation activities, is not transferred to the<br>
department of administrative services. References to the<br>
historical division and to the state historical society as an<br>
agency of the state are eliminated and those responsibilities<br>
are transferred to the department of administrative services.<br>
The bill specifically defines the state historical society as<br>
a membership organization of the department of administrative<br>
services and retains those duties and responsibilities<br>
currently assigned to the state historical society as a<br>
membership organization with the state historical society.<br>
Current references to the state historical society as a<br>
state agency are changed to department of administrative<br>
services. The bill transfers the Iowa heritage fund and the<br>
historical resource development program to the department of<br>
administrative services.</p>
<p>The bill provides that those duties currently assigned to<br>
the department of cultural affairs under Code chapter 305B,<br>
concerning museum property, are assigned to the department of<br>
administrative services.</p>
<p>Finally, the bill also provides that control of the battle<br>
flag restoration fund, created in 2012 Iowa Acts, chapter 1136,<br>
shall be assigned to the department of administrative services<br>
and not the department of cultural affairs.</p>
<h2 id="toc_3">DIVISION III — DEPARTMENT OF INSPECTIONS, APPEALS, AND</h2>
<p>LICENSING. </p>
<p>This division of the bill renames the department of<br>
inspections and appeals (DIA) the department of inspections,</p>
<p>appeals, and licensing (DIAL), and modifies the organizational<br>
structure and duties of the renamed department.</p>
<p>ORGANIZATION — GENERAL PROVISIONS. Code section 7E.5,<br>
listing the principal departments of state government, is<br>
amended to reflect the change of DIA to DIAL and to reflect<br>
that the duties of the department include licensing, and laws<br>
related to employment safety, labor standards, and workers’<br>
compensation.</p>
<p>Code chapter 10A, governing the department, is amended to<br>
reflect the expanded duties of the department as provided in<br>
the bill. The organizational structure of the department is<br>
amended to eliminate the investigations and health facilities<br>
division of the department and to add a labor services and<br>
workers’ compensation division.</p>
<p>Code section 10A.104, providing for the powers and duties<br>
of the director of DIAL, is amended to reflect the transfer of<br>
duties to the director in the bill. The bill also provides for<br>
a teleconference option for boards and commissions under the<br>
purview of DIAL relating to health-related professions.</p>
<p>LABOR SERVICES. The bill transfers the labor services<br>
division and labor commissioner, currently under the department<br>
of workforce development, to DIAL, including duties of the<br>
division and commissioner.</p>
<p>The bill provides that the labor commissioner shall<br>
serve at the pleasure of the governor and not for a six-year<br>
term. The bill also provides that current duties of the<br>
labor commissioner under Code chapter 87, governing workers’<br>
compensation, and Code chapter 88, governing occupational,<br>
safety, and health, are retained as duties of the labor<br>
commissioner under DIAL. All other current labor-related<br>
duties of the labor commissioner, except for duties under<br>
Code section 73A.21 and Code chapter 94A, are transferred to<br>
DIAL and the director of DIAL, and not retained by the labor<br>
commissioner. The bill transfers the duties of the labor<br>
commissioner under Code section 73A.21 concerning bidder</p>
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<p>preferences to the department of administrative services.</p>
<p>WORKERS’ COMPENSATION. The bill transfers the workers’<br>
compensation services division and workers’ compensation<br>
commissioner, including duties of the division and<br>
commissioner, currently under the department of workforce<br>
development, to DIAL. The bill further provides that the<br>
workers’ compensation commissioner shall serve at the pleasure<br>
of the governor and not for a six-year term.</p>
<p>LICENSING AND REGULATION ACTIVITIES. The division<br>
transfers several licensing and regulation functions of<br>
state government to DIAL. The licensing and regulation of<br>
certain fire control and building code-related activities are<br>
transferred from the state fire marshal and the commissioner<br>
of public safety to DIAL. The licensing and regulation of<br>
certain health-related professions are transferred from the<br>
department of public health to DIAL. Finally, the licensing<br>
and regulation of certain business and commerce-related<br>
professions are transferred from the department of commerce and<br>
the professional licensing and regulation bureau of the banking<br>
division of the department of commerce to DIAL.</p>
<p>New Code section 10A.507 creates a licensing and regulation<br>
fund under the control of DIAL and provides that moneys in the<br>
fund are appropriated to DIAL to fulfill the administration<br>
and enforcement responsibilities of the department. The new<br>
Code section provides that moneys in the fund shall not revert<br>
and that interest and earnings on moneys in the fund shall be<br>
credited to the fund.</p>
<p>Concerning fire control duties, the bill transfers several<br>
duties currently performed by the state fire marshal to<br>
DIAL and the DIAL director. Specifically, those duties of<br>
the state fire marshal unrelated to arson investigations<br>
provided in Code chapter 100 are transferred to DIAL. In<br>
addition, duties and responsibilities of the state fire<br>
marshal and department of public safety under Code chapter 100C<br>
concerning fire extinguishing and alarm systems contractors</p>
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<p>and installers, Code chapter 100D concerning fire protection<br>
system installation and maintenance, Code chapter 101<br>
concerning combustible and flammable liquids and liquefied<br>
gases, Code chapter 101A concerning explosive materials, and<br>
Code chapter 101B concerning cigarette fire safety standards,<br>
are transferred to DIAL and the DIAL director. Also, state<br>
fire marshal duties related to school infrastructure, health<br>
care facilities, motor fuel facilities and dispensers, elder<br>
group homes, assisted living programs, adult day services,<br>
child foster care and child care facilities, children’s<br>
residential facilities, board of regents, school child care<br>
program facilities, fireworks, and department of corrections<br>
institutions, are transferred to DIAL and the director of<br>
DIAL. Finally, Code section 12.83, providing for allocation<br>
of certain school infrastructure fund moneys, is amended to<br>
transfer the allocation to DIAL.</p>
<p>Concerning state building code duties, the bill provides<br>
that the DIAL director, and not the commissioner of public<br>
safety, is the state building code commissioner and is<br>
responsible for those duties performed by the state building<br>
code commissioner. In addition, duties and responsibilities<br>
of the state fire marshal and department of public safety<br>
under Code chapter 103 concerning electricians and electrical<br>
contractors, are transferred to DIAL and the director of DIAL.<br>
Finally, the duties and responsibilities of the department of<br>
public health and the state fire marshal under Code chapter 105<br>
concerning plumbers, mechanical professionals, and contractors,<br>
are transferred to DIAL and the director of DIAL.</p>
<p>Concerning health-related professions and other<br>
related duties, the bill generally transfers licensing and<br>
board-related duties currently under the jurisdiction of<br>
the department of public health to DIAL and the director of<br>
DIAL. The bill provides that the boards and laws relative to<br>
“Health-related Professions”, Title IV, subtitle 3, of the<br>
Code, excluding Code chapter 147, are transferred from the</p>
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<p>32</p>
<p>department of public health to DIAL. The bill eliminates<br>
the professional licensure division of the department of<br>
public health and provides that the DIAL director, and not<br>
the director of public health, shall appoint and supervise<br>
a full-time executive director for the board of medicine,<br>
the board of nursing, the dental board, and the board of<br>
pharmacy. Current responsibilities of the department of public<br>
health relating to tattooing, natural hair braiding, and lead<br>
abatement are also transferred to DIAL and the DIAL director.<br>
Concerning the licensing and regulation of certain business<br>
and commerce-related professions, the bill eliminates the<br>
professional licensing and regulation bureau of the banking<br>
division of the department of commerce and transfers duties<br>
of the bureau as well as other department of commerce duties<br>
to DIAL and the DIAL director. Specifically, duties and<br>
responsibilities of the department of commerce and bureau<br>
under Code chapter 542B concerning professional engineers<br>
and land surveyors, Code chapter 534B concerning real estate<br>
brokers and salespersons, Code chapter 543D concerning real<br>
estate appraisals and appraisers, Code chapter 543E concerning<br>
real estate appraisal management companies, Code chapter 544A<br>
concerning licensed architects, Code chapter 544B concerning<br>
landscape architects, and Code chapter 544C concerning<br>
registered interior designers, are transferred to DIAL and<br>
the DIAL director. Code section 546.10, concerning the<br>
professional licensing and regulation bureau, is amended and<br>
transferred to Code chapter 10A governing DIAL. The bill also<br>
provides that fees currently collected by the department of<br>
commerce and bureau related to those boards and Code chapters<br>
reassigned to DIAL shall be deposited in the licensing and<br>
regulation fund created by the bill and not the general fund of<br>
the state or the commerce revolving fund. Provisions governing<br>
the current use of fees collected in Code section 546.10 are<br>
amended to reflect the changes in the bill.<br>
ADMINISTRATIVE LAW JUDGES. The division provides that</p>
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<p>administrative law judges utilized for purposes of unemployment<br>
security, the civil rights commission, the department of<br>
education, special education, and board of educational<br>
examiners shall be administrative law judges employed by the<br>
division of administrative hearings of DIAL under Code chapter<br>
10A.</p>
<p>CIVIL RIGHTS COMMISSION. The division provides that the<br>
Iowa state civil rights commission shall be created within<br>
DIAL.</p>
<p>CONFORMING CHANGES. The division amends the Code as<br>
necessary to conform to the changes provided in the division<br>
relative to changing the name and duties of the renamed DIAL.</p>
<h2 id="toc_4">DIVISION IV — DEPARTMENT OF JUSTICE.</h2>
<p>This division of<br>
the bill relates to the department of justice. The bill<br>
eliminates the position of general counsel of the department<br>
of transportation and directs the attorney general to provide<br>
legal services for the department of transportation. The bill<br>
strikes a provision making certain employees of the department<br>
of justice and administrative law judges appointed or employed<br>
by the public employment relations board subject to the merit<br>
system.</p>
<p>The bill allows the attorney general to prosecute a criminal<br>
proceeding without first receiving a request from a county<br>
attorney to act as a county attorney. The bill requires the<br>
attorney general to submit a report by January 15 of each year<br>
detailing all money settlement awards and court money awards<br>
that were awarded to the state of Iowa in the previous year.</p>
<p>The bill changes the title of the first assistant attorney<br>
general to “chief deputy attorney general”. The bill repeals<br>
Code sections allowing the attorney general to appoint<br>
assistant attorneys general to perform and supervise the legal<br>
work of the department of revenue and the division of child<br>
and family services of the department of human services. The<br>
bill allows the attorney general to charge state governmental<br>
entities for the cost of performing legal services and to</p>
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<p>require state governmental entities to provide office space for<br>
an assistant attorney general or other staff providing legal<br>
services exclusively for that entity. The bill changes the<br>
circumstances under which an entity of the state may employ<br>
private legal counsel.</p>
<p>The bill grants the attorney general exclusive jurisdiction<br>
to prosecute election-related crimes.</p>
<p>The bill exempts all employees of the department of justice<br>
from Code chapter 20 (public employment relations (collective<br>
bargaining)). Currently, nonsupervisory employees of the<br>
consumer advocate division who are employed primarily for the<br>
purpose of performing technical analysis of nonlegal issues are<br>
not exempt.</p>
<p>The bill eliminates the position of special assistant<br>
attorney general for claims and transfers the duties of the<br>
position to the attorney general.</p>
<p>The bill strikes a provision requiring the department of<br>
public safety to employ an assistant attorney general.</p>
<p>The bill changes certain provisions for the appointment<br>
and removal of the consumer advocate by the attorney general,<br>
including by striking a requirement that the consumer advocate<br>
be an attorney. The bill also provides that the attorney<br>
general, and not the consumer advocate, may employ attorneys<br>
and other employees necessary to discharge the duties of the<br>
consumer advocate division.</p>
<p>The division takes effect upon enactment.</p>
<h2 id="toc_5">DIVISION V — ECONOMIC DEVELOPMENT AUTHORITY.</h2>
<p>This division<br>
of the bill concerns the duties and responsibilities of<br>
the economic development authority and the director of the<br>
authority.</p>
<p>CULTURAL AFFAIRS. This division of the bill transfers<br>
the responsibilities of the department of cultural affairs,<br>
including the arts division and the film office, to the<br>
economic development authority (authority). The division<br>
eliminates the department of cultural affairs and all related</p>
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<p>internal organizational structure under the department. The<br>
division makes conforming changes to Code sections 7E.5,<br>
8A.412, 306D.2, 321.252, 404A.1, 404A.3, 404A.6, 423.3, 427.16,<br>
465A.2, 465B.2, and 465B.3.</p>
<p>STATE HISTORIC PRESERVATION OFFICER. This division of the<br>
bill transfers the state historic preservation officer (SHPO),<br>
and all related duties of the SHPO, under the authority.</p>
<p>IOWA FINANCE AUTHORITY. This division of the bill codifies<br>
that the director of the authority shall also serve as the<br>
director of the Iowa finance authority. The bill also provides<br>
that the director of the economic development authority shall<br>
serve at the pleasure of the governor and not for a four-year<br>
term.</p>
<h2 id="toc_6">DIVISION VI — ECONOMIC DEVELOPMENT AUTHORITY — PARTNER</h2>
<p>STATE PROGRAM. <br>
This division of the bill codifies the partner<br>
state program and puts the program under the authority.</p>
<p>The division takes effect upon enactment and includes an<br>
applicability provision relating to sister state agreements<br>
entered into before the effective date of the division.</p>
<h2 id="toc_7">DIVISION VII — PUBLIC EMPLOYMENT RELATIONS BOARD.</h2>
<p>This<br>
division relates to the public employment relations board<br>
(PERB).</p>
<p>The bill strikes language providing that when the governor<br>
selects members of the PERB, consideration shall be given<br>
to their knowledge, ability, and experience in the field<br>
of labor-management relations. The bill strikes language<br>
providing that members of the PERB shall devote full time to<br>
their duties. The bill additionally requires the PERB to meet<br>
at least quarterly and modifies language pertaining to the<br>
compensation of PERB members and employees.</p>
<p>The bill provides for an executive director of the PERB<br>
appointed by and serving at the pleasure of the governor<br>
and subject to confirmation by the senate. In selecting<br>
the executive director, consideration shall be given to the<br>
person’s knowledge, ability, and experience in the field of</p>
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<p>labor-management relations. The governor shall set the salary<br>
of the executive director within the applicable salary range<br>
established by the general assembly. The bill authorizes</p>
<p>the PERB to delegate its powers and duties to the executive<br>
director or persons employed by the PERB, as appropriate.</p>
<p>The bill provides that in a petition for judicial review of<br>
a decision of the PERB in a contested case under Code chapter<br>
20, the opposing party shall be named the respondent, and the<br>
PERB shall not be named as a respondent, notwithstanding Code<br>
chapter 17A, the Iowa administrative procedure Act. The bill<br>
provides that judicial review of agency action by the PERB<br>
under Code chapter 20 is not subject to Code chapter 17A. The<br>
bill additionally strikes language providing that the powers<br>
and duties of the PERB include preparing legal briefs and<br>
presenting oral arguments in court cases affecting the PERB.</p>
<h2 id="toc_8">DIVISION VIII — DEPARTMENT OF HOMELAND SECURITY AND</h2>
<p>EMERGENCY MANAGEMENT. </p>
<p>Under current law, the department<br>
of human services administers the disaster aid individual<br>
assistance grant fund and the disaster case management grant<br>
fund. The bill provides that the department of homeland<br>
security and emergency management shall administer the funds.<br>
The name of the disaster case management grant fund is changed<br>
to the disaster case advocacy grant fund.</p>
<p>The bill also provides that the director of the department of<br>
homeland security and emergency management shall be subject to<br>
confirmation by the senate and shall serve at the pleasure of<br>
the governor.</p>
<p>The bill makes conforming Code changes.</p>
<h2 id="toc_9">DIVISION IX — DEPARTMENT OF VETERANS AFFAIRS.</h2>
<p>This<br>
division relates to the administration of veterans services and<br>
the transfer of responsibility for such services.</p>
<p>The division requires the department of veterans affairs<br>
(IVA) to reimburse the auditor of state for audits and<br>
examinations the auditor of state conducts relating to the Iowa</p>
<p>veterans home.</p>
<p>The division combines the duties of the IVA director and<br>
the Iowa veterans home commandant into a single position<br>
and changes the title of the head of IVA from director to<br>
commandant.</p>
<p>The division replaces the commission’s authority to<br>
supervise the commandant’s administration of operations and<br>
conduct of the Iowa veterans home with the authority to review<br>
and approve applications for distributions of moneys from the<br>
veterans license fee fund and the veterans trust fund.</p>
<p>The division makes several conforming Code changes.</p>
<h2 id="toc_10">DIVISION X — OFFICE OF DRUG CONTROL POLICY.</h2>
<p>Current law<br>
provides that the governor’s office of drug control policy<br>
shall be an independent office, located at the same location<br>
as the department of public safety. Administrative support<br>
services may be provided to the governor’s office of drug<br>
control policy by the department of public safety.</p>
<p>The division provides that the office of drug control policy<br>
is established in the department of public safety. A drug<br>
policy director shall be appointed by the commissioner of the<br>
department of public safety, and the director shall direct the<br>
office of drug control policy.</p>
<h2 id="toc_11">DIVISION XI — DEPARTMENT OF WORKFORCE DEVELOPMENT.</h2>
<p>This<br>
division modifies duties and responsibilities of the department<br>
of workforce development and includes transition provisions.</p>
<p>The bill makes conforming changes to Code section 84A.5 to<br>
reflect the programs and responsibilities acquired by workforce<br>
development.</p>
<p>The bill annually appropriates $250,000 to the department<br>
of workforce development (workforce development) for the<br>
development and implementation of regional industry sector<br>
partnerships under Code chapter 260H.</p>
<p>The bill transfers administration of the statewide<br>
work-based learning intermediary network program under Code<br>
section 256.40 from the department of education to workforce<br>
development.</p>
<p>The bill requires workforce development, rather than the<br>
authority, to coordinate and review the industrial new jobs<br>
training program under Code chapter 260E.</p>
<p>The bill transfers jobs training under Code chapter 260F<br>
from the authority to workforce development.</p>
<p>The bill transfers the workforce development fund program<br>
from the authority to workforce development.</p>
<p>The bill transfers the accelerated career education program<br>
under Code chapter 260G from the authority to workforce<br>
development.</p>
<p>The bill transfers the older American community service<br>
employment program from the department on aging to workforce<br>
development.</p>
<p>The bill transfers vocational rehabilitation under Code<br>
chapter 259 from the department of education to workforce<br>
development.</p>
<p>The bill transfers the apprenticeship training program under<br>
Code chapter 15B from the authority to workforce development.</p>
<p>The bill transfers the future ready Iowa registered<br>
apprenticeship development program under Code section 15C.1<br>
from the authority to workforce development.</p>
<p>The bill transfers the future ready Iowa expanded registered<br>
apprenticeship opportunities program under Code section 15C.2<br>
from the authority to workforce development.</p>
<p>The bill transfers employment agencies under Code chapter<br>
94A from the labor commissioner to workforce development.</p>
<p>The bill transfers responsibility for reports and records<br>
under Code section 91.12 from the division of labor services to<br>
workforce development.</p>
<p>The bill requires workforce development, rather than the<br>
department of education, and community colleges to implement<br>
adult education and literacy programs. The department<br>
of education and community colleges are still required to<br>
implement adult education under Code section 260C.50.</p>
<h2 id="toc_12">DIVISION XII — DEPARTMENT OF REVENUE.</h2>
<p>This division of the</p>
<p>bill transfers the Iowa lottery authority and the duties of the<br>
alcoholic beverages division of the department of commerce to<br>
the department of revenue.</p>
<p>IOWA LOTTERY. The division eliminates the Iowa lottery<br>
authority and transfers authority for operating the Iowa<br>
lottery to the department of revenue and the director of<br>
the department of revenue. The position of chief executive<br>
officer of the lottery authority is replaced by a lottery<br>
administrator, with modified duties, and the duties and powers<br>
of the lottery board are modified.</p>
<p>The bill provides for a lottery administrator, instead of<br>
a chief executive officer, who shall direct the day-to-day<br>
operations of the lottery as specified by the department of<br>
revenue and director. The lottery administrator shall be<br>
appointed by the governor, confirmed by the senate, and shall<br>
serve at the pleasure of the governor. Under current law, the<br>
chief executive officer is appointed by the governor for a<br>
four-year term and shall only be removed from office for cause.<br>
Compensation of the lottery administrator shall be set by the<br>
governor. The division also transfers all duties and powers<br>
of the chief executive officer of the Iowa lottery under Code<br>
chapter 99G to the director of revenue, to include those duties<br>
and powers specified in Code sections 99G.6 and 99G.7.</p>
<p>The duties of the board of directors of the Iowa lottery<br>
as specified in Code sections 99G.8 and 99G.9 are modified by<br>
the bill. The bill limits the responsibility of the board<br>
to providing the director of revenue with private-sector<br>
perspectives of a large marketing enterprise and adopting<br>
lottery game-specific rules. Current duties of the board<br>
relating to the administration of the Iowa lottery, approval of<br>
a budget, approving major lottery procurements, and adopting<br>
administrative rules are transferred to the department of<br>
revenue.</p>
<p>Code section 99G.10, concerning personnel of the Iowa<br>
lottery, is amended. The power to designate particular</p>
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<p>employees as key personnel is transferred from the chief<br>
executive officer to the director of revenue and the power of<br>
the chief executive officer and the board to determine the<br>
number of full-time equivalent positions necessary to carry out<br>
the provisions of Code chapter 99G is eliminated. The bill<br>
also eliminates the ability to establish incentive programs for<br>
employees.</p>
<p>Code section 99G.40, concerning audits and reports, is<br>
amended. The provision requiring the chief executive officer<br>
to submit an informational budget for the lottery authority is<br>
amended. In addition, provisions governing the audit of the<br>
lottery authority are modified to reflect that any audit will<br>
be done as a part of an audit of the department of revenue.</p>
<p>The division includes a transition provision governing<br>
the transfer of all rights and authority of the Iowa lottery<br>
authority to the department of revenue on July 1, 2023.</p>
<p>The provision transfers lottery authority employees to the<br>
department of revenue and provides that the chief executive<br>
officer on the date of the transfer shall become the lottery<br>
administrator without requirement of reappointment by the<br>
governor. The transition provision also provides that the<br>
department of revenue shall take such steps as is necessary<br>
to effectuate the transfer of the lottery authority to the<br>
department.</p>
<p>ALCOHOLIC BEVERAGE CONTROL. The division eliminates the<br>
alcoholic beverages division of the department of commerce and<br>
transfers authority over the duties of the alcoholic beverages<br>
division to the department of revenue and the director of the<br>
department.</p>
<p>The bill eliminates the position of administrator of the<br>
alcoholic beverages division and transfers those duties of the<br>
administrator to the director of revenue.</p>
<p>The bill also modifies the duties of the alcoholic beverages<br>
commission and renames the commission as the alcoholic<br>
beverages council. The bill provides that the council shall</p>
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<p>act in an advisory capacity only to the department of revenue<br>
and director with the ability to advise and review actions of<br>
the director. Current duties of the commission to act as a<br>
policy-making body for the alcoholic beverages division, to<br>
affirm, reverse, or amend all actions of the administrator</p>
<p>of the division, and to prepare an annual report concerning<br>
the division are eliminated. Instead, the bill transfers<br>
this authority and responsibility currently exercised by the<br>
commission to the department of revenue.</p>
<p>CONFORMING CHANGES. Code section 7E.5, describing the<br>
responsibilities of the department of revenue, is amended to<br>
reflect the new duties of the department under the division.<br>
In addition, Code section 421.17, concerning the powers and<br>
duties of the director of revenue, is amended to reflect the<br>
new duties of the director under the division.</p>
<h2 id="toc_13">DIVISION XIII — DEPARTMENT FOR THE BLIND.</h2>
<p>This division<br>
provides that the director of the department of the blind shall<br>
be appointed by the governor, subject to confirmation by the<br>
senate, and shall serve at the pleasure of the governor. The<br>
bill provides that the salary of the director shall be set by<br>
the governor within the applicable salary range established by<br>
the general assembly. The bill also eliminates the authority<br>
for the commission for the blind to appoint officers for the<br>
commission.</p>
<h2 id="toc_14">DIVISION XIV — DEPARTMENT OF EDUCATION.</h2>
<p>This division<br>
transfers the responsibilities of several governmental entities<br>
to the department of education.</p>
<p>IOWA BRAILLE AND SIGHT SAVING SCHOOL AND IOWA SCHOOL FOR<br>
THE DEAF. Current law establishes the Iowa braille and sight<br>
saving school and the Iowa school for the deaf within the state<br>
board of regents and requires the board of regents to govern<br>
the operations of these schools. The bill transfers the Iowa<br>
braille and sight saving school and the Iowa school for the<br>
deaf from the board of regents to the department of education.<br>
The bill makes conforming changes. The bill establishes the</p>
<p>responsibilities of the department with respect to the Iowa<br>
braille and sight saving school and the Iowa school for the<br>
deaf. The bill includes transition provisions.</p>
<p>Current law prohibits the board of regents from merging<br>
the Iowa school for the deaf with the Iowa braille and sight<br>
saving school, or closing either of the schools, until certain<br>
requirements are met. The bill repeals this provision.</p>
<h3 id="toc_15">INNOVATION DIVISION. Current Code section 268.7 establishes</h3>
<p>the science, technology, engineering, and mathematics<br>
collaborative initiative (STEM initiative) at the university of<br>
northern Iowa. The bill creates the innovation division of the<br>
department of education and transfers the STEM initiative from<br>
the university of northern Iowa to the innovation division.</p>
<p>The bill provides that the chief administrative officer of<br>
the innovation division is the administrator, who is appointed<br>
by the director of the department. The bill establishes the<br>
responsibilities of the administrator and the innovation<br>
division.</p>
<p>Subject to an appropriation of moneys, the bill requires<br>
the innovation division to administer six regional science,<br>
technology, engineering, and mathematics networks for Iowa.<br>
Oversight for these networks is provided by a regional advisory<br>
board, the members of which are appointed by the governor.</p>
<p>The bill authorizes the state board of education to adopt<br>
rules to administer the STEM initiative. The bill includes<br>
transition provisions.</p>
<p>HIGHER EDUCATION DIVISION AND MISCELLANEOUS CHANGES.</p>
<p>Current Code section 256.1 establishes that the department of<br>
education is to act in a policymaking and advisory capacity</p>
<p>and to exercise general supervision over the state system</p>
<p>of education, including certain specified areas. The bill<br>
provides that the department is to act in a policymaking and<br>
advisory capacity and to exercise general supervision over</p>
<p>the Iowa braille and sight saving school, Iowa school for the<br>
deaf, STEM initiative, college student aid commission, board of</p>
<p>educational examiners, and the career and technical education<br>
programs offered by school districts or community colleges.</p>
<p>The bill establishes the higher education division<br>
within the department. The bill provides that the chief<br>
administrative officer of the higher education division is<br>
the administrator, who is appointed by the director of the<br>
department.</p>
<p>The bill establishes all of the following within the higher<br>
education division: the career and technical education bureau,<br>
the board of educational examiners, the college student aid<br>
commission, and the community colleges bureau. The bill<br>
requires the administrator of the higher education division to<br>
administer and coordinate all of these bureaus, boards, and<br>
commissions and to hire and control the personnel employed by<br>
the division, including the personnel under the control of<br>
the board of educational examiners or the college student aid<br>
commission, along with providing for other responsibilities.</p>
<p>Current Code sections 256.7 (duties of the state board of<br>
education) and 256.9 (duties of the director of the department<br>
of education) authorize the state board of education and the<br>
director to exercise broad authority over the operations of<br>
the department, except with respect to the college student aid<br>
commission, the commission of libraries and division of library<br>
services, and the public broadcasting board and division.</p>
<p>The bill modifies these Code sections to authorize the state<br>
board and the director to exercise broad authority over the<br>
operations of the department, except with respect to the higher<br>
education division; the bureaus, boards, and commissions within<br>
the higher education division; the commission of libraries and<br>
division of library services; and the public broadcasting board<br>
and division.</p>
<p>CAREER AND TECHNICAL EDUCATION BUREAU. Current Code chapter<br>
258 establishes the career and technical education program<br>
within the department of education. Current law requires the<br>
director of the department to appoint and direct the work of</p>
<p>personnel as necessary to carry out Code chapter 258.</p>
<p>The bill modifies provisions related to the career and<br>
technical education program to transfer the program to<br>
the career and technical education bureau, which the bill<br>
establishes within the higher education division of the<br>
department. The bill requires the director of the department<br>
to appoint the bureau chief of the career and technical<br>
education bureau. The bill tasks the bureau chief with<br>
directing the work of personnel as necessary to carry out the<br>
responsibilities of the career and technical education program.<br>
The bill makes conforming changes.</p>
<p>The bill authorizes the state board of education to adopt<br>
emergency rules to implement the provisions of the division<br>
pertaining to the career and technical education bureau. The<br>
bill includes transition provisions.</p>
<h3 id="toc_16">BOARD OF EDUCATIONAL EXAMINERS.</h3>
<p>Current Code chapter 272<br>
creates the board of educational examiners. The bill transfers<br>
the board to the purview of the higher education division<br>
of the department of education. The bill makes conforming<br>
changes.</p>
<p>Current law provides that the governor shall appoint an<br>
executive director of the board, subject to confirmation by<br>
the senate, who shall serve at the pleasure of the governor.<br>
Current law also provides that the board shall set the salary<br>
of the executive director within the range established by<br>
the general assembly. The bill modifies these provisions to<br>
provide that the director of the department of education shall<br>
appoint the executive director of the board and the director<br>
shall set the salary of the executive director. This provision<br>
applies to individuals appointed as the executive director<br>
of the board before, on, or after the effective date of the<br>
division.</p>
<p>The bill includes transition provisions.</p>
<h3 id="toc_17">COLLEGE STUDENT AID COMMISSION.</h3>
<p>Current Code chapter 261<br>
creates the college student aid commission. The bill transfers</p>
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<p>the commission to the purview of the higher education division<br>
of the department of education. The bill makes conforming<br>
changes.</p>
<p>Current law provides that the commission is an autonomous<br>
state agency that is attached to the department of education<br>
for organizational purposes only. The bill strikes this<br>
provision. Current law also provides that the commission shall<br>
determine its own organization, draw up its own bylaws, adopt<br>
rules under Code chapter 17A, and do such other things as may<br>
be necessary to carry out its responsibilities. The bill<br>
modifies this provision to provide that the commission may draw<br>
up its own bylaws, adopt rules, and do other such things as<br>
May be necessary to carry out its responsibilities under the<br>
authority of the higher education division of the department.</p>
<p>The bill provides that the director of the department<br>
of education shall appoint an executive director of the<br>
commission. The bill requires the director to set the<br>
salary of the executive director. This provision applies<br>
to individuals appointed as the executive director of the<br>
commission before, on, or after the effective date of the<br>
division.</p>
<p>The bill includes transition provisions.</p>
<h3 id="toc_18">COMMUNITY COLLEGES BUREAU.</h3>
<p>Current law establishes a<br>
community colleges division within the department of education.<br>
Current law requires the community college division to exercise<br>
the powers conferred upon the department with respect to<br>
community colleges. The bill modifies these provisions to<br>
transfer the responsibility to govern certain aspects of<br>
community colleges to the community colleges bureau, which the<br>
bill establishes within the higher education division of the<br>
department.</p>
<p>The bill requires the director of the department of<br>
education to appoint the bureau chief of the community colleges<br>
bureau. The bill tasks the bureau chief with directing the<br>
work of personnel as necessary to carry out Code chapter 260C</p>
<p>(community colleges). The bill makes conforming changes.</p>
<h2 id="toc_19">DIVISION XV — COMMERCE.</h2>
<p>This division concerns the current<br>
organization of the department of commerce. The division<br>
renames the department and modifies provisions relating to the<br>
office of the consumer advocate, the Iowa utilities board, and<br>
the renamed department.</p>
<h3 id="toc_20">CONSUMER ADVOCATE.</h3>
<p>The bill provides that the office of<br>
the consumer advocate shall be administratively supported by<br>
the utilities board. Current law provides that administrative<br>
support services are provided by the department of commerce.</p>
<h3 id="toc_21">IOWA UTILITIES BOARD.</h3>
<p>The bill provides that the utilities<br>
division of the department of commerce shall be removed as<br>
a division of the department and function as a stand-alone<br>
board. The utilities board shall continue to participate in<br>
the commerce revolving fund.</p>
<h3 id="toc_22">DEPARTMENT OF INSURANCE AND FINANCIAL SERVICES.</h3>
<p>The bill<br>
provides that the department of commerce shall be renamed<br>
the department of insurance and financial services. The<br>
department shall contain the insurance division, the banking<br>
division, and the credit division. The bill provides that the<br>
insurance commissioner shall be the director of the department<br>
of insurance and financial services. The superintendent of<br>
banking and superintendent of credit unions shall report to<br>
the insurance commissioner. The bill also provides that the<br>
department of commerce revolving fund shall be renamed the<br>
commerce revolving fund.</p>
<p>The bill provides that the superintendent of banking<br>
and the superintendent of credit unions shall serve at the<br>
pleasure of the governor and not for a four-year term. The<br>
bill also eliminates the provision that the superintendent of<br>
credit unions can only be removed from office by the governor<br>
for cause. Finally, the bill provides that the salary of<br>
the insurance commissioner, superintendent of banking, and<br>
superintendent of credit unions shall be set by the governor.</p>
<p>The bill updates law enforcement authority under Code</p>
<p>section 507E.8 to reflect the insurance commissioner’s<br>
responsibility to enforce laws under Code chapters 502,<br>
502A, 507A, 523A, 523C, 523D, and 5231, which is also the<br>
responsibility of the insurance commissioner.</p>
<h2 id="toc_23">DIVISION XVI — DEPARTMENT OF CORRECTIONS —</h2>
<h3 id="toc_24">JUDICIAL DISTRICT DEPARTMENTS OF CORRECTIONAL SERVICES AND</h3>
<p>COMMUNITY-BASED CORRECTIONAL PROGRAMS. </p>
<p>Current law provides<br>
that a judicial district of correctional services shall be<br>
established in each judicial district of the state which shall<br>
provide a community-based correctional program. Each judicial<br>
district of correctional services has a board of directors<br>
which employs a director for the district.</p>
<p>The bill provides that all employees of a judicial district<br>
department of correctional services shall be employees of<br>
the department of corrections, and that the director of<br>
the department of corrections shall appoint, subject to the<br>
approval of the board of corrections, a director for each<br>
judicial district department of correctional services.</p>
<p>The bill amends current law by providing that a district<br>
board of a judicial district department of correctional<br>
services shall be a district advisory board. Duties which were<br>
formerly those of the district board are transferred to the<br>
director.</p>
<p>The bill makes conforming Code changes and includes<br>
transition provisions.</p>
<h2 id="toc_25">DIVISION XVII — BOARD OF PAROLE.</h2>
<p>Current law provides<br>
that only the chairperson and vice chairperson of the board<br>
of parole are salaried and full-time employees. The three<br>
additional board members and three alternate board members are<br>
compensated on a per diem basis and are part-time employees.<br>
The bill eliminates the three alternate board members, and<br>
provides that all five members of the board shall be full-time,<br>
salaried employees.</p>
<p>The bill provides that the governor shall appoint a<br>
chairperson and vice chairperson from the membership of the</p>
<p>board who shall serve at the pleasure of the governor subject<br>
to senate confirmation.</p>
<p>The bill includes transition provisions for the current<br>
board membership.</p>
<h2 id="toc_26">DIVISION XVIII — SALARIES OF APPOINTED STATE OFFICERS.</h2>
<p>The general assembly periodically establishes salary ranges<br>
for certain appointed state officers and authorizes a person<br>
(generally the governor) to establish the salaries of those<br>
officers within the ranges provided. These noncodified<br>
provisions remain operative until the general assembly<br>
subsequently passes new salary ranges. The general assembly<br>
last passed such provisions in 2008.</p>
<p>Under the bill, the salary amounts set forth for ranges 4<br>
through 7 remain the same as those passed in 2008. Ranges 2<br>
and 3 no longer apply to any positions and are eliminated. The<br>
chairperson and members of the employment appeal board are<br>
moved from range 3 to range 4, the executive director of the<br>
public employment relations board is added to range 5, and the<br>
lottery administrator of the department of revenue is added to<br>
range 7.</p>
<p>The following positions included in the 2008 salary ranges<br>
(as amended) are not included in the bill’s salary ranges,<br>
either because the position no longer exists under the bill<br>
or because the salary of the position is to be set without<br>
a salary range limitation: (range 2) administrator of the<br>
arts division of the department of cultural affairs, (range 3)<br>
administrator of the division of criminal and juvenile justice<br>
planning of the department of human rights, administrator of<br>
the division of community action agencies of the department of<br>
human rights, (range 4) director of the department of human<br>
rights, members of the public employment relations board,<br>
(range 5) director of the department of homeland security and<br>
emergency management, drug policy coordinator, director of the<br>
department of cultural affairs, director of the department<br>
on aging, executive director of the department of veterans</p>
<p>affairs, executive director of the college student aid<br>
commission, administrator of the historical division of the<br>
department of cultural affairs, (range 6) administrator of the<br>
alcoholic beverages division of the department of commerce,<br>
director of the department of inspections and appeals,<br>
commandant of the Iowa veterans home, commissioner of public<br>
safety, commissioner of insurance, executive director of the<br>
Iowa finance authority, director of the department of natural<br>
resources, (range 7) director of the department of corrections,<br>
director of the department of education, director of human<br>
services, director of the economic development authority,<br>
director of transportation, director of the department of<br>
workforce development, director of revenue, director of public<br>
health, director of the department of management, and director<br>
of the department of administrative services.</p>
<p>The bill makes corresponding Code changes. This division<br>
takes effect June 23, 2023.</p>
<h2 id="toc_27">DIVISION XIX — BOARDS AND COMMISSIONS. The division</h2>
<p>establishes a boards and commissions review committee to study<br>
the efficiency and effectiveness of each board, council,<br>
commission, committee, or other similar entity of the state<br>
established by the Code. The committee shall consist of six<br>
voting members and four ex officio, nonvoting members. The<br>
voting members of the committee shall be composed of one staff<br>
member of the governor’s office, appointed by the governor,<br>
the administrative rules coordinator or the coordinator’s<br>
designee, the director of the department of management or<br>
the director’s designee, the director of the department of<br>
inspections, appeals, and licensing or the director’s designee,<br>
one assistant attorney general, appointed by the governor upon<br>
recommendation of the attorney general, and one member of the<br>
public, appointed by the governor. The ex officio, nonvoting<br>
members of the committee shall be two state representatives and<br>
two state senators. The bill provides that the office of the<br>
governor shall provide staffing for the committee. Finally,</p>
<p>the bill provides that the committee shall submit a report<br>
containing its findings and recommendations to the governor and<br>
the general assembly on or before September 30, 2023.</p>
<h2 id="toc_28">DIVISION XX — MISCELLANEOUS PROVISIONS.</h2>
<p>This division<br>
includes a provision relating to irreconcilable amendments as<br>
well as transition provisions.</p>
<p>The bill provides that if an amendment contained in division<br>
I of the bill concerning the department of health and human<br>
services is irreconcilable to an amendment that is made in the<br>
remainder of the bill, the amendment in the remainder of the<br>
bill, and not in division I, shall prevail.</p>
<p>The bill also includes a transition provision concerning<br>
administrative rules, legal obligations, personnel, funds,<br>
litigation, boards and commissions, and signs and insignia.</p>
<p>The bill provides that the transition provision in the<br>
division of the bill applies to the entirety of the bill to the<br>
extent that the transition provisions in the division are not<br>
inconsistent with alternative provisions specifically provided<br>
by law or in other divisions of the bill.</p>
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