| LAWS OF THE 2001 REGULAR SESSION OF THE SEVENTY-NINTH GENERAL ASSEMBLY OF THE STATE OF IOWA |
Section 1. Section 499.3, Code 2001, is amended to read as follows:
499.3 DEALING WITH NONMEMBERS.
A nonstock livestock shipping association shall not handle livestock of any nonmembers.
Any association may restrict the amount of business done with nonmembers and may limit its dealings or any class thereof to members only.
No association shall, during any year, deal or function with or for nonmembers to
an extent exceeding one-half of the value of business done. This provision shall not apply to
its sales or services to municipal or governmental bodies; nor to agricultural
associations' purchases from or sales to corporate landowners who are not primarily engaged in
the business of farming.
Sec. 2. Section 499.4, Code 2001, is amended by adding the following new unnumbered paragraph:
NEW UNNUMBERED PARAGRAPH. This chapter does not control the use of fictitious names; however, if a cooperative association or a foreign cooperative association uses a fictitious name in this state, it shall deliver to the secretary of state for filing a copy of the resolution of its board of directors, certified by its secretary, adopting the fictitious name.
Sec. 3. Section 499.14, Code 2001, is amended to read as follows:
499.14 MEMBERSHIP IN NONSTOCK ASSOCIATIONS.
Membership in associations without capital stock may be acquired by eligible parties in the manner provided in the articles, which shall specify the rights of members, the issuing price of memberships, if any, and what, if any, fixed dividends accrue thereon. If the articles so provide, membership shall be of two classes, voting and nonvoting. Voting members shall be agricultural producers, and all other members shall be nonvoting members. Nonvoting members shall have all the rights of membership except the right to vote.
Sec. 4. Section 499.14A, Code 2001, is amended to read as follows:
499.14A ELECTRIC COOPERATIVE ASSOCIATION MEMBERSHIPS.
An electric generation and
transmission
cooperative association may have one or
more classes of members. Qualifications, requirements, methods of acceptance, terms,
conditions, termination, and other incidents of membership shall be set forth in the
bylaws
articles of
incorporation of the association. An electric utility as defined in section 476.22 and a person
who generates or transmits electric power for sale at wholesale to an electric utility may become a member
in accordance with the bylaws.
Sec. 5. Section 499.16, Code 2001, is amended to read as follows:
499.16 SUBSCRIPTIONS — ISSUING CERTIFICATES.
If permitted by the association's articles of incorporation, any eligible subscriber for common stock or membership may vote and be treated as a member, after making part payment of the amount, if any, required to be paid for the common stock or membership in cash, giving the subscriber's note for the balance, and satisfying any other requirement for the subscription as set forth in the articles. A subscription may be forfeited as provided in section 499.32. Stock or a membership certificate shall not be issued until payment of the amount, if any, required to be paid for the stock or membership certificate is fully made. A subscriber shall not hold office until the subscriber's certificate has been issued.
Sec. 6. EFFECTIVE DATE. This Act, being deemed of immediate importance, takes effect upon enactment.
Approved March 14, 2001
Updated: 23-Oct-2001 03:21 PM
rc/sw