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Enacted

Iowa Senate File 2138 Restricts Alcohol Industry Ties and Political Activity for State Officials

Original title: A bill for an act relating to prohibited activities in the administration of alcoholic beverage control by the department of revenue, and including effective date provisions.(Formerly SSB 3037 .)

Last action · June 2, 2026: Signed by Governor . H.J. 1166 .

Introduced
Committee
Floor Vote
Passed
Law

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What This Bill Does

Senate File 2138 prohibits members of the alcoholic beverages commission and the director of revenue from holding financial interests in alcohol manufacturing or sales, restricts commission members from using their office to promote political views, and bars Department of Revenue employees from licensing or enforcing alcohol rules where they hold ownership interests or employment ties. The measure takes effect immediately upon enactment.

Why it matters

The law alters conflict-of-interest standards and political neutrality rules for state officials overseeing alcohol regulation, making violators subject to disciplinary action including potential termination.

Who It Affects

Groups the bill's text affects, as described in the record. Being affected is not a position for or against it.

Directly affected

Members of the Alcoholic Beverages Commission

Commission members face new restrictions on holding financial interests in alcohol businesses and are explicitly barred from using their office for political persuasion.

Directly affected

Director of Revenue

The director is subject to strict conflict-of-interest prohibitions regarding financial stakes in alcohol enterprises and properties.

Directly affected

Department of Revenue Employees

Employees are prohibited from licensing, permitting, or enforcing rules against any alcohol-related business in which they hold an ownership interest or employment control position.

Key Facts

  • Not more than two members of the alcoholic beverages commission may hold permits, licenses, or financial interests in the manufacture, wholesale, or retail sale of alcoholic beverages, except as institutional investors.
  • Commission members are prohibited from directly or indirectly using their office to influence, persuade, or induce any person to adopt their political views or favor political candidates.
  • The director of revenue is prohibited from having any financial interest in the manufacture or sale of alcoholic beverages, or mortgages/deeds of trust on properties used for alcoholic beverage businesses.
  • Department of Revenue employees are barred from licensing, permitting, or participating in the licensing process for any person, business, or organization if the employee has an ownership interest or employment control position with them.
Show all 8 facts
  • Department of Revenue employees are barred from enforcing alcohol laws or rules against any entity in which they hold an ownership interest or employment control position.
  • A director of revenue or department employee who violates the restrictions is subject to disciplinary action up to and including discharge from employment.
  • Commission members, the director of revenue, and department employees remain legally permitted to purchase and keep alcoholic beverages in their personal possession.
  • The legislation takes effect immediately upon enactment.

Frequently Asked Questions

Does the law prevent state officials from buying or possessing alcohol for personal use?
No. The law explicitly states that commission members, the director of revenue, and department employees are not prohibited from lawfully purchasing and keeping alcoholic beverages in their personal possession.
What happens if a Department of Revenue employee violates these conflict-of-interest rules?
Any department employee or the director of revenue who violates these provisions is subject to disciplinary action, up to and including discharge from employment, in addition to any other penalties provided by law.

What else do you want to know?

News Coverage

No news coverage found yet. Articles are indexed twice daily.

Where This Stands

Current status: Signed into law.

Procedural history

55 actions
  1. Jun 2, 2026HouseEnrolled
    Signed by Governor . H.J. 1166 .
  2. May 6, 2026House
    Reported correctly enrolled, signed by Speaker and President, and sent to Governor. H.J. 1164 .
  3. May 1, 2026House
    Explanation of vote. H.J. 1082 .
  4. Apr 28, 2026House
    Message from Senate. H.J. 1031 .
  5. Apr 28, 2026Senate
    Immediate message. S.J. 902 .
  6. Apr 28, 2026SenateFloor
    Passed Senate , yeas 43, nays 4. S.J. 902 .
Show 49 earlier actions
  1. Apr 28, 2026SenateFloor
    Conference committee report adopted. S.J. 901 .
  2. Apr 27, 2026House
    Message from House. S.J. 881 .
  3. Apr 23, 2026Senate
    Conference committee report filed. S.J. 879 .
  4. Apr 23, 2026House
    Immediate message. H.J. 996 .
  5. Apr 23, 2026HouseFloor
    Passed House , yeas 87, nays 0. H.J. 991 .
  6. Apr 23, 2026HouseFloor
    Conference committee report adopted. H.J. 991 .
  7. Apr 23, 2026House
    Conference committee report filed. H.J. 988 .
  8. Apr 21, 2026House
    Message from House. S.J. 843 .
  9. Apr 20, 2026House
    Immediate message. H.J. 947 .
  10. Apr 20, 2026House
    House conference committee appointed : Jones, Chair; Collins, Bloomingdale, Baeth, and Nielsen. H.J. 936 .
  11. Apr 16, 2026House
    Message from Senate. H.J. 932 .
  12. Apr 16, 2026Senate
    Immediate message. S.J. 818 .
  13. Apr 16, 2026Senate
    Senate conference committee appointed : Green, chair; Bisignano, Bousselot, Drey, and Koelker. S.J. 824 .
  14. Apr 16, 2026Senate
    Senate insisted. S.J. 816 .
  15. Apr 8, 2026House
    Message from House. S.J. 748 .
  16. Apr 7, 2026House
    Immediate message. H.J. 835 .
  17. Apr 7, 2026House
    House refused to concur with Senate amendment H-8285 . H.J. 827 .
  18. Apr 1, 2026House
    Senate amendment H-8285 filed. H.J. 804 .
  19. Apr 1, 2026House
    Message from Senate. H.J. 801 .
  20. Apr 1, 2026Senate
    Immediate message. S.J. 707 .
  21. Apr 1, 2026SenateFloor
    Passed Senate , yeas 43, nays 3. S.J. 707 .
  22. Apr 1, 2026SenateFloor
    Amendment S-5151 filed, adopted. S.J. 706 .
  23. Apr 1, 2026Senate
    Amendment S-5128 withdrawn. S.J. 706 .
  24. Apr 1, 2026Senate
    Substituted for SF 2138 . S.J. 706 .
  25. Apr 1, 2026Senate
    Withdrawn. S.J. 707 .
  26. Apr 1, 2026Senate
    HF 2200 substituted. S.J. 706 .
  27. Mar 24, 2026Senate
    Amendment S-5128 filed. S.J. 642 .
  28. Mar 19, 2026Senate
    Placed on calendar under unfinished business. S.J. 599 .
  29. Mar 19, 2026Senate
    Placed on calendar under unfinished business. S.J. 599 .
  30. Mar 10, 2026SenateIntroduced
    Read first time, attached to SF 2138 . S.J. 546 .
  31. Mar 10, 2026House
    Message from House. S.J. 546 .
  32. Mar 10, 2026House
    Immediate message. H.J. 630 .
  33. Mar 10, 2026HouseFloor
    Passed House , yeas 88, nays 4. H.J. 623 .
  34. Mar 10, 2026Senate
    Attached to HF 2200 . S.J. 546 .
  35. Jan 29, 2026HouseIntroduced
    Introduced, placed on calendar. H.J. 173 .
  36. Jan 29, 2026Iowa Legislature
    Committee report approving bill, renumbered as HF 2200 .
  37. Jan 28, 2026Iowa Legislature
    Committee report approving bill, renumbered as SF 2138 .
  38. Jan 28, 2026Senate
    Committee report, approving bill. S.J. 163 .
  39. Jan 28, 2026SenateIntroduced
    Introduced, placed on calendar. S.J. 157 .
  40. Jan 27, 2026House
    Committee vote: Yeas, 18. Nays, 2. Excused, 3. H.J. 162 .
  41. Jan 27, 2026House
    Committee report, recommending passage. H.J. 162 .
  42. Jan 26, 2026Iowa Legislature
    Subcommittee recommends passage.
  43. Jan 21, 2026Iowa Legislature
    Subcommittee Meeting: 01/26/2026 12:00PM RM 305.
  44. Jan 21, 2026Iowa Legislature
    Subcommittee recommends passage.
  45. Jan 20, 2026House
    Subcommittee: Jones, Baeth and Bossman. H.J. 128 .
  46. Jan 20, 2026HouseIntroduced
    Introduced, referred to State Government. H.J. 124 .
  47. Jan 20, 2026Senate
    Subcommittee Meeting: 01/21/2026 3:00PM Senate Lounge.
  48. Jan 15, 2026Iowa Legislature
    Subcommittee: Green, Drey, and Koelker.
  49. Jan 15, 2026Iowa LegislatureIntroduced
    Introduced, referred to State Government.

Version history

Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.

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Lobbying Activity

No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.

Full breakdown

Who this bill affects and the strongest case for and against it, written only from the bill’s own text.

Connected Entities

Department of Revenue, General Assembly of the State of Iowa
OrganizationDepartment of Revenue“State agency employing the director and staff responsible for alcoholic beverage”Map →
OrganizationGeneral Assembly of the State of Iowa“Enacting body of the state legislature”Map →

Sources

Open source document

www.legis.iowa.gov

Analysis Score

0–100
  • Significance55
    How much this matters to a regular citizen
  • Controversy15
    Intensity of disagreement among stakeholders
  • Entertainment5
    Compellingness for a non-policy-wonk reader
  • Buzz20
    Current news / social attention level

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