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HSB 754

A bill for an act relating to drainage or levee districts, by exempting an application fee that may be charged to certain persons applying for an easement to install fiber optic cable, and including effective date provisions.

2025-2026 Regular Session

Exempts administrative fees for fiber optic easement applications from drainage or levee districts when the applicant is a locally operated contractor or fiber optic company.

Committee report approving bill, renumbered as HF 2773.
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Bill Summary · HSB 754

Summary of HSB 754 (Session 2025-2026) – Iowa

Purpose and Intent

HSB 754 amends Iowa Code to exempt certain local fiber optic easement application fees from drainage or levee districts. Specifically, it prohibits administrative fees charged by a drainage or levee district when evaluating an easement application for installing fiber optic cable from a person whose business is primarily locally operated as a contractor or fiber optic network company. The bill also allows the district to publish a list of local contractors/companies that will not be charged the fee. The act takes effect upon enactment.

Key Provisions

  • New exemption (Code 468.186(1) – subsection 1A):
    • The governing body of a drainage or levee district may not charge an administrative fee related to consideration, approval, or disapproval of an easement application to install fiber optic cable if the applicant is a business primarily locally operated as:
    • A contractor, or
    • A fiber optic network company.
  • Public listing (optional):
    • The drainage district may prepare and publish a list identifying local contractors and fiber optic network companies that will not be charged the administrative fee.
  • Scope of easements covered:
    • Applies to easements on, over, across, or beneath district land, including installations for pipelines, electric transmission lines, communication lines, underground service lines, or similar installations (consistent with Code section 468.186(1)).
  • Effective date:
    • The bill takes effect immediately upon enactment.

Who Is Affected

  • Affected entities:
    • Drainage or levee districts (e.g., county boards of supervisors or boards of trustees) that manage easements on district lands.
    • Local contractors and fiber optic network companies whose primary operation is locally-based and who seek easements to install fiber optic cables.
  • Non-affected entities:
    • Applicants that are not primarily locally operated contractors/fiber optic companies (i.e., other firms or individuals would still be subject to any applicable administrative fees).

Procedural and Timeline Aspects

  • Legislative process (recent activity):
    • Subcommittee and committee approvals in early 2026.
    • Committee report recommended passage; bill renumbered to HF 2773 in committee before advancing.
  • Effective date:
    • Immediate upon enactment (no delayed effective date).

Practical Impact and Implications

  • Financial impact on local fiber projects:
    • Potential cost savings for locally operated fiber optic deployment projects by eliminating administrative fees for easement applications, which can lower project costs and facilitate faster deployment in districts that control land use.
  • Operational impact on districts:
    • Districts must apply the new exemption uniformly to eligible applicants and may maintain a published list of exempt local contractors/companies.
  • Policy and access considerations:
    • Encourages local participation in fiber optic infrastructure by reducing upfront administrative barriers when districts grant necessary easements.

Summary

HSB 754 seeks to support expansion of local, fiber optic infrastructure by exempting certain administrative fees from drainage or levee district easement processes for locally operated contractors and fiber optic network companies. The bill allows districts to publish a list of exempt local providers and becomes law immediately upon enactment.

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

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