ARC 9928C

ARC 9928C

ENVIRONMENTAL PROTECTION COMMISSION[567]

Notice of Intended Action

Proposing rulemaking related to landfill alternatives financial assistance programs
and providing an opportunity for public comment

    The Environmental Protection Commission (Commission) hereby proposes to rescind Chapter 109, “Special Waste Authorizations”; to adopt a new Chapter 109, “Landfill Alternatives Financial Assistance Programs”; and to rescind Chapter 209, “Landfill Alternatives Financial Assistance Programs,” Iowa Administrative Code.

Legal Authority for Rulemaking

    This rulemaking is proposed under the authority provided in Iowa Code sections 455B.301A, 455B.306 and 455E.9.

State or Federal Law Implemented

    This rulemaking implements, in whole or in part, Iowa Code sections 455B.301A, 455B.306 and 455E.11.

Purpose and Summary

    Existing Chapter 209 was reviewed and simplified consistent with Executive Order 10. This rulemaking will rescind Chapter 209 and move it into proposed new Chapter 109, after removing language that is unnecessary, redundant and duplicative. Rescinding and replacing this chapter will not impact the Department’s ability to implement its landfill alternatives programs, nor will it impact the ability of interested parties to voluntarily apply for and implement financial assistance awards.

Regulatory Analysis

    A Regulatory Analysis for this rulemaking was published in the Iowa Administrative Bulletin on September 17, 2025. A public hearing was held on the following date(s):

     ?   October 8, 2025

Fiscal Impact

    This rulemaking has no fiscal impact to the State of Iowa.

Jobs Impact

    After analysis and review of this rulemaking, no impact on jobs has been found.

Waivers

    Any person who believes that the application of the discretionary provisions of this rulemaking would result in hardship or injustice to that person may petition the Commission for a waiver of the discretionary provisions, if any, pursuant to 567—Chapter 13.

Public Comment

    Any interested person may submit written comments concerning this proposed rulemaking, which must be received by the Department of Natural Resources (Department) no later than 4:30 p.m. on January 30, 2026. Comments should be directed to:

    Free Language Access: If you speak a non-English language, the Department offers language assistance services free of charge. Contact the Department at [email protected].

    Asistencia lingüística gratuita: Si habla un idioma que no sea el inglés, los servicios de asistencia lingüística están disponibles de forma gratuita, comuníquese con el Departamento al [email protected].

Public Hearing

    Public hearings at which persons may present their views orally or in writing will be held digitally as follows:

    Persons who wish to make oral comments at a public hearing may be asked to state their names for the record and to confine their remarks to the subject of this proposed rulemaking.

    Persons who wish to attend a public hearing must contact the Department at [email protected] for a link to the hearing.

    Any persons who intend to attend a hearing and have special requirements, such as those related to hearing or mobility impairments, should contact the Department and advise of specific needs.

    Free Language Assistance: If you need assistance in a language other than English, contact the Department at [email protected] or [email protected] or by telephone at 515.452.1794 at least seven days before the event.

    Asistencia lingüística gratuita: Si necesita ayuda en un idioma que no sea inglés, comuníquese con el Departamento al [email protected] o [email protected] o por teléfono a 515.452.1794 al menos siete días antes del evento.

Review by Administrative Rules Review Committee

    The Administrative Rules Review Committee, a bipartisan legislative committee which oversees rulemaking by executive branch agencies, may, on its own motion or on written request by any individual or group, review this rulemaking at its regular monthly meeting or at a special meeting. The Committee’s meetings are open to the public, and interested persons may be heard as provided in Iowa Code section 17A.8(6).

    The following rulemaking action is proposed:

    ITEM 1.  Rescind 567—Chapter 109 and adopt the following new chapter in lieu thereof:

CHAPTER 109

LANDFILL ALTERNATIVES FINANCIAL ASSISTANCE PROGRAMS

567—109.1(455B,455E) Purpose. The purpose of this chapter is to provide direction for the department’s implementation of certain financial assistance programs that are funded from the solid waste account within the groundwater protection fund as described in Iowa Code section 455E.11, including the solid waste alternatives program as described in Iowa Code section 455E.11(2)“a”(1)(e); the derelict building program as described in Iowa Code section 455E.11(2)“a”(1)(d); the Iowa solid waste environmental management systems program as described in Iowa Code section 455E.11(2)“a”(1)(c); and other waste management assistance programs as described in Iowa Code section 455E.11(2)“a”(2)(a)(1)(iv). All rules, standards, technical guidance, and other similar legal or technical documents referenced in this chapter shall be the version of those documents in effect on August 1, 2025, unless otherwise noted in these rules, and except for references to the Iowa Code and Iowa Administrative Code, which shall always be the most recent version unless otherwise noted in these rules.

567—109.2(455B,455E,455J) Definitions. For the purposes of this rule, the definitions in 567—Chapter 100, those found in Iowa Code section 455B.301 and chapters 455E and 455J, and the following definitions shall apply.

    “Abandoned” means that the building has been unoccupied for a minimum of six continuous months.

    “Asbestos-containing material” or “ACM” means any material that contains more than 1 percent of asbestos.

    “Building renovation” means repairs that stabilize or improve the structural integrity of the building, including but not limited to roof repair or replacement, building stabilization, and the tuck-pointing of exterior walls.

    “Cost share” means the applicant’s share of the eligible costs of the proposed project.

    “Deconstruction” means the selective dismantlement of a building for the purpose of maximizing reuse and recycling opportunities through source separation while minimizing disposal costs.

    “Derelict building grant eligibility” means any city with a population of 5,000 or less is eligible to apply for a derelict building grant. An applicant may partner with a local nonprofit organization on a project.

    “Financial assistance” means monetary assistance in the form of grants, loans, or forgivable loans awarded by the department.

    “Phase I environmental assessment” means review of known environmental records and land use information about the site and vicinity.

    “Phase II environmental assessment” means actual soil, groundwater and structural material sampling and testing to confirm or deny the presence of contamination.

    “Recipient” means any applicant selected to receive financial assistance under these rules.

567—109.3(455B,455E) Funding sources. The department will use moneys that are appropriated by the legislature and that may be obtained from other sources for the purpose of achieving the goals outlined in these rules.

567—109.4(455B,455E,455J) Requirements for financial assistance programs. In addition to any of the requirements of Iowa Code chapters 455B, 455E and 455J, the following requirements shall be met.

    109.4(1) Requests for financial assistance. Requests for financial assistance must be made by applicants on the relevant program application form provided by the department and according to accompanying guidance documentation that specifies program criteria.

    109.4(2) Awards and agreements for financial assistance.

    a.  Recipients shall enter into a written agreement with the department for the purposes of implementing the project for which financial assistance has been awarded. The agreement shall be signed by the appropriate department signatory and the recipient’s authorized signatory.

    b.  A written agreement must be executed between the department and the award recipient prior to the recipient incurring expenses. Awarded funds are disbursed on a reimbursable basis and are not to be incurred prior to executing a written agreement.

    c.  The department may terminate agreements and seek the return of funds released under the agreement for failure by the recipient to perform under the terms and conditions of the agreement.

    d.  Amendments to agreements may be adopted by mutual written consent of the department and the recipient.

    e.  The department reserves the right to offer financial assistance awards in an amount less than that requested by the applicant.

    f.  For funds to be disbursed, the recipient shall be in compliance with all applicable statutes and regulations as specified in the written agreement.

567—109.5(455B,455E,455J) Denial of financial assistance. The department reserves the right to deny financial assistance requests for any reason, including the following:

    109.5(1) Funds are insufficient to award financial assistance to all qualified applicants.

    109.5(2) An applicant does not meet eligibility requirements pursuant to the provisions of 109.6(1) for the solid waste alternatives program, 109.7(1) for the derelict building program or 109.8(2) for the environmental management system program.

    109.5(3) An applicant does not provide sufficient requested information on forms provided by the department pursuant to 567—109.4(455B,455E,455J).

    109.5(4) An applicant has previously received financial assistance under these rules and is determined by the department to be delinquent in repaying the loan or delinquent in submitting required documentation.

    109.5(5) The goals or scope of the project is not consistent with 109.6(2) for the solid waste alternatives program, 109.7(2) for the derelict building grant program or 109.8(2) for the environmental management system program.

567—109.6(455B,455E) Solid waste alternatives program. Financial assistance awarded under the solid waste alternatives program shall be used to implement activities that support the practical and beneficial use of solid waste materials and for activities leading to a reduction in the reliance on sanitary landfills for disposal of solid waste.

    109.6(1) Eligible applicants. Any unit of local government, public or private group, individual or business that has an interest in or has responsibility for solid waste management in Iowa and is currently in compliance with all applicable state statutes and regulations is eligible to apply for the solid waste alternatives program.

    109.6(2) Eligible projects. The department may provide financial assistance to applicants for the following types of projects that are consistent with the goal and purpose of this program:

    a.  Best practices—practices and programs that will move Iowa toward long-term pollution prevention, waste reduction and recycling sustainability;

    b.  Education—practices and programs that are consistent with a coordinated statewide message on pollution prevention, waste reduction, and recycling to ensure ongoing support of these integrated solid waste management activities; and

    c.  Market development—practices and programs that develop a demand for value-added recyclables sufficient to provide increased and stable commodity markets.

    109.6(3) Type of financial assistance. The types of financial assistance offered to an applicant may include a forgivable loan, zero interest loan, or low-interest loan. The department reserves the right to offer any combination of types of financial assistance to any selected project.

    109.6(4) Loans. The term of all loans executed under these rules shall be determined on a case-by-case basis and shall be based on the specific capital costs financed, as well as the terms of other financing provided for the project. The written agreement between the department and the recipient will establish other conditions or terms needed to manage or implement the project.

567—109.7(455B,455E) Derelict building grant program. Financial assistance awarded under the derelict building grant program is available to cities of 5,000 or less to help improve the attractiveness and appearance of their jurisdictions by providing financial assistance for eligible projects. Each project must have a landfill diversion component.

    109.7(1) Eligible applicants. Any city with a population of 5,000 or less is eligible to apply for a derelict building grant. An applicant may partner with a local nonprofit organization on a project.

    109.7(2) Eligible projects. A city’s building is eligible for the program if the building meets the following criteria:

    a.  The building is an abandoned commercial or public building of which a city has ownership or will obtain ownership no later than June 30 of the fiscal year in which the city applies.

    b.  The building is not on the National Register of Historic Places.

    109.7(3) Eligible activities and amount of financial assistance. The eligible activities and amount of financial assistance for each are:

    a.  Asbestos-containing material inspections: 100 percent reimbursement for inspection costs conducted by a state of Iowa-licensed asbestos contractor.

    b.  Abatement of asbestos-containing material: 100 percent reimbursement, not to exceed $10,000, for abatement of ACM performed by a state of Iowa-licensed asbestos contractor. A 50 percent cost share is required for those costs exceeding $10,000.

    c.  Structural engineering analysis: 100 percent reimbursement not to exceed $1,500 for a structural engineering analysis conducted by a licensed structural engineer or architectural historian to determine the ability to renovate the building. The recipient is responsible for all costs exceeding $1,500.

    d.  Phase I environmental assessment: 100 percent reimbursement not to exceed $3,000 for conducting a Phase I environmental assessment. The recipient is responsible for all costs exceeding $3,000.

    e.  Phase II environmental assessment: 50 percent reimbursement not to exceed $2,500 for conducting a Phase II environmental assessment. The recipient is responsible for all costs exceeding $5,000. The need for this assessment is determined by the results of the Phase I environmental assessment and involves the sampling of structure components, soil, and groundwater to confirm or deny the presence of contamination.

    f.  Building renovation: 50 percent reimbursement not to exceed $50,000 for renovation costs, including but not limited to:

    (1)  Restoration or removal of materials for reuse, either at the site or off site, or for recycling.

    (2)  Roof repair or replacement.

    (3)  Building stabilization.

    (4)  Tuck-pointing of exterior walls.

    g.  Deconstruction: 50 percent reimbursement not to exceed $50,000 for costs related to deconstruction. All deconstruction projects must achieve a minimum landfill diversion rate of 30 percent of the structure by weight to receive reimbursement for deconstruction costs.

    109.7(4) Deconstruction cost-share incentive. For every additional 10 percent above 30 percent of landfill diversion by weight that is documented upon completion of the project, the applicant’s cost share is reduced by 5 percent and the grant award amount will increase by 5 percent. The maximum grant award for deconstruction projects shall not exceed $75,000.

567—109.8(455E,455J) Environmental management system program. Financial assistance awarded under the environmental management system program is to support projects that pursue continuous improvement by mitigating the environmental impacts of solid waste disposal.

    109.8(1) Eligible applicants. Any solid waste planning or service area designated as an environmental management system is eligible to apply.

    109.8(2) Eligible projects. The department may provide financial assistance to applicants for projects that pursue continuous improvement in organics waste management, hazardous household materials collection, water quality improvement, greenhouse gas reduction, recycling services, or environmental education.

These rules are intended to implement Iowa Code sections 455B.301A and 455E.11 and chapter 455J.

    ITEM 2.  Rescind and reserve 567—Chapter 209.