The Iowa Ethics and Campaign Disclosure Board issues this Advisory Opinion sua sponte pursuant to Iowa Code section 68B.32A(12) and Iowa Administrative Code rule 351-1.2(1).
We note at the outset that the Board’s jurisdiction is limited to the application of Iowa Code chapters 68A, 68B, and rules in Iowa Administrative Code chapter 351. Advice in a Board advisory opinion, if followed, constitutes a defense of a subsequent complaint based on the same facts and circumstances.
BACKGROUND
The Organization of MISO States (OMS) represents the interests of state public utility commissions in the Midcontinent Independent System Operator (MISO) 15 state region. Iowa's two investor owned rate regulated electric utilities are members of MISO, and the Iowa Utilities Commission is a member of OMS. MISO uses PLEXOS modeling software for electric transmission system planning. MISO's electric transmission system planning involves engagement from a variety of electric industry stakeholders including state public utility commissions. MISO electric transmission system planning stakeholders need to use the same software MISO uses in order to meaningfully engage in the planning process. OMS has partnered with the PLEXOS vendor, Energy Exemplar, to provide free a one-year PLEXOS licenses to all OMS member public utility commissions so that OMS member commissions can engage in the MISO ‘Futures’ transmission planning process that is taking place throughout 2026.
QUESTION POSED
The Iowa Utilities Commission would like to accept the free one-year PLEXOS license from Energy Exemplar. Energy Exemplar informed us that the PLEXOS software platform would cost between $75,000 and $90,000 and one named user license would cost between $20,000 and $25,000 if we were to purchase them. If this software acquisition passes DOM's security and legal reviews, our question for the Ethics Board is whether we may accept this free one-year software license from Energy Exemplar.
OPINION
The one-year software license from Energy Exemplar would be provided to UIC for free even though it has a fair-market value of $95,000-115,000. The provision of the license would be considered a gift to the Iowa Utilities Commission (IUC).[1] Iowa Code § 68B.22 prohibits all public officials, employees, and candidates from accepting any gift directly or indirectly from a restricted donor, but there is no prohibition under Iowa Code chapter 68B.22[2] on “departments” accepting gifts as long as the department reports all gifts valued at $50 or more to the Ethics Board within twenty days of receipt. Iowa Code § 68B.22A.
The term department is not expressly defined in Iowa Code chapter 68B, but based on its previous iteration as Iowa Code § 8.7,[3] it is reasonable to conclude the term “department” within Iowa Code § 68B.22A would include the IUC. The gift of the software would be to the UIC for its role in electric transmission system planning rather than for the benefit of an employee or official of the UIC.[4]
Therefore, the IUC, as a department, may accept the gift of the one-year software license from Energy Exemplar for its specified purpose in assisting the UPIC to perform is role in the MISO ‘Futures’ transmission planning process. Within 20 days of receipt, UIC will need to report the gift to the Ethics Board as required under Iowa Code § 68B.22A.
[1] “Gift” means a rendering of anything of value in return for which legal consideration of equal or greater value is not given or received.
[2] There is within other Code chapters an expectation gifts may be received by the State. For instance, Iowa Code § 565.3 states, “[a] gift, devise, or bequest of property, real or personal, may be made to the state, to be held in trust for and applied to any specified purpose within the scope of its authority, but the same shall not become effectual to pass the title in such property unless accepted by the governor on behalf of the state.”
[3] Iowa Code § 8.7 was transferred to § 68B.22A in 2024. 2024 Acts, ch 1185, § 85. Under Iowa Code chapter 8, “the terms ‘department and establishment’ and ‘department or establishment’ mean any executive department, commission, board, institution, bureau, office, or other agency of the state government, by whatever name called, that uses, expends, or receives any government funds, including the state department of transportation, except for funds that are required to match federal aid allotted to the state by the federal government for highway special purposes, but excluding the courts and the general assembly.”
[4] The legislature has warned, “the acceptance of personal benefits from those who could gain advantage by influencing official actions raises suspicions that tend to undermine the public trust. It is therefore the intent of the general assembly that the provisions of this subchapter be construed to discourage all gratuities, but to prohibit only those that create unacceptable conflicts of interest or appearances of improprieties.” Iowa Code § 68B.21 (emphasis added).
BY DIRECTION AND VOTE OF THE BOARD:
James Albert, Chair
Elaine Olson, Vice Chair
Jonathan Roos
Daniel Jessop
Leah Rodenberg
SUBMITTED BY:
Erika Eckley, Executive Director and Legal Counsel
ISSUED ON:
April 1, 2026
Pursuant to Iowa Administrative rule 351-1.3(3), a person who has received a board opinion may, within 30 days after the issuance of the opinion, request modification or reconsideration of the opinion. A request for modification or reconsideration shall be deemed denied unless the board acts upon the request within 60 days of receipt of the request. Pursuant to Iowa Administrative rule 351-1.3(6), a person who has received a board opinion or advice may petition for a declaratory order pursuant to Iowa Code section 17A.9. The Board will refuse to issue a declaratory order to a person who has previously received a board opinion on the same question, unless the requestor demonstrates a significant change in circumstances from those in the board opinion.