WeVote
Log In

Bill

Bill

HSB 79

A bill for an act relating to alcoholic beverages, including license authorizations and fee determinations, and including effective date and applicability provisions.

2025-2026 Regular Session

State agencies may obtain retail alcohol licenses without the moral-character requirement; outside-city license fees will use USPS-determined nearest incorporated city population.

Committee report approving bill, renumbered as HF 470.
#alcoholicbeverages
0
WeVote Research Nonpartisan
Bill Summary · HSB 79

Summary: HSB 79 (Renumbered HF 470) — Alcoholic Beverages Provisions

Overview

HSB 79, introduced January 23, 2025, relates to alcoholic beverages, including license authorizations, license-fee determinations, and related effective date and applicability provisions. The bill was approved by a committee and renumbered as HF 470 (Committee report dated February 19, 2025).

Key Provisions

1) State Agency Retail Alcohol Licenses — Moral Character Exemption

  • The bill authorizes the State of Iowa or a state agency to be issued a retail alcohol license.
  • It excludes state agencies from the general requirement that an applicant for a retail alcohol license (and specific license types listed below) be a person of good moral character and authorized to do business in Iowa.
    • Affected license types include:
    • Retail alcohol license (general)
    • Class “A” native distilled spirits license
    • Class “A” or special Class “A” beer permit
    • Class “A” wine permit
  • The bill does not extend this exclusion to a wine auction permit (Code section 123.173C).
  • Effective date: This division takes effect upon enactment.

2) Licensing Fee Determination Reform

  • Clarifies how certain license fees are determined when the licensed premises are outside the corporate limits of any city.
  • Under current law, the fee basis uses the population of the nearest incorporated city (with special handling if the premises is in an unincorporated town).
  • The bill would change the basis to use the population of the nearest incorporated city as determined by the United States Postal Service (USPS) address for the licensed premises.
  • Scope: Applies to classes of licenses including:
    • Class “B,” Class “C,” Special Class “C,” and Class “E” retail alcohol licenses outside city corporate limits.
  • Effective date: This division applies to licenses issued or renewed on or after November 10, 2025. Licenses issued prior to that date remain in effect until expiration or renewal.

Affected Entities

  • State agencies and the state (as license holders) would be subject to a moral-character exemption.
  • Licensees seeking outside-city licenses (B, C, Special C, E) whose premises are outside city limits could see changes in fee amounts based on USPS-determined nearest incorporated city population.
  • Wine auction permits retain existing moral-character requirements (no exemption).

Legislative Timeline and Status

  • 01/23/2025: Introduced; referred to State Government
  • 01/27/2025 – 01/29/2025: Subcommittee meeting and passage recommended
  • 02/12/2025: Subcommittee/Committee action; Committee vote 23 Yeas, 0 Nays
  • 02/19/2025: Committee report approving bill; renumbered as HF 470

Effective Dates and Applicability

  • Division on state agency licensing: effective upon enactment.
  • Division on fee determinations: effective for licenses issued or renewed on/after November 10, 2025; earlier licenses continue under existing terms until expiration/renewal.

Practical Impact

  • State agencies could obtain retail alcohol licenses without meeting the standard moral-character qualification.
  • License-fee calculations for certain outside-city licenses would shift to USPS-address-based population determinations, potentially altering fee amounts depending on USPS-determined city proximity.
  • The wine auction permit remains subject to existing moral-character requirements.

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.