House File 1031 leaves Recorder feeling anxious

     Last fall, Jones County Recorder Sheri Jones informed the Jones County Supervisors about proposed legislation via the Iowa County Recorders Association (ICRA) aimed at modernizing recording fees in Iowa.

   Early on, the proposed fees would go up to $10 per page filed or recorded. Three dollars of that would go to Iowa Land Records, which is owned by the ICRA. That additional $3 will help cover the records' preservation fee.

   Recording fees in Iowa have not increased since 1985.

   In March, Senate File (SF) 371 was then put into action via the ICRA. House Hile (HF) 328 was the Iowa House's version of the bill. The ICRA was not in support of HF 328 because it would allow counties to opt out of e-recording with Iowa Land Records, basically the 28E agreement.

   In April, Jones informed the board of supervisors that SF 371 did not make it out of the first funnel week in Des Moines.

   Both the HF and SF included proposals for increases in fees. The SF eliminated the maintenance fees county recorders have to pay. The HF kept those maintenance fees intact.

   During the recent April 29 board meeting, Jones again updated the supervisors on this legislation.

   The HF bill has since been renumbered to HF 1031 and passed out of the Iowa House.

   "The $10 per page is still in there," noted Jones. "But they also put in there that if county supervisors decide to get out of the 28E agreement, the county would not have to collect their e-submissions from Iowa Land Records. They could have their process in-house."

   If that were the case, though, those counties would still have to upload their recordings, but they would be e-filing through their own vendor.

   "So if they get out of the 28E agreement," Jones said, "instead of paying $3 (which would go back to Iowa Land Records) that we pay in because we're using the system, they would only pay $1, which is what we currently pay."

   The fee would also be capped at $250.

   "We don't see what many documents on average," said Jones.

   She admitted that makes her nervous in terms of the funding, when the whole idea behind the bill was to increase recording fees.

   "It could affect the rest of the funding for the rest of the group who stays in the (28E) agreement," commented Supervisor Joe Oswald.

   "Yes, we could have higher maintenance fees," warned Jones.

   Supervisor Darrick Hall asked if the new HF 1031 would benefit the larger counties in Iowa who want to opt out of the agreement.

   "Some smaller and larger counties use another vendor," offered Jones. "There is one county that doesn't even think we should raise the fees because it hurt her (that county recorder's) constituents. It's a user fee. Why would you not increase your user fees?"

   Jones shared that the ICRA is proposing an amendment to the newest HF to make the fee $2 instead of $1 for those counties wanting to opt out.

   "That's one of the amendments going forth that makes it a little bit more powerful," she said.

   She also advised Jones County stay in the 28E agreement with Iowa Land Recorders.

   "I don't know why we would get out," Jones said.

   Jones reached out to Sen. Carrie Koelker about the ICRA's proposed amendment, asking Koelker to support the amendment. She also reached out to Rep. Steven Bradley.

   "I told him I am all for raising the recording fees; it's time," she shared. "It still doesn't cover everything, but it's time. And it would help Jones County immensely."

   The board asked her what Bradley's response was to her correspondence.

   "He voted yes (for the revised bill) because I didn't specifically tell him how to vote," she said, "which I have told him to vote no before. There are other recorders who told him to vote yes. I was honest with him; I was anxious about it. Seeing it from the Jones County point of view, we need the fee increase for sure."

   Jones said she does have some anxiety about where HF 1031 will go and what it will look like when all is said and done.

   "Time will tell…," she advised.