Iowa Governor Signs Medicaid Work Requirements, $56M Opioid Settlement Funding

Iowa Gov. Kim Reynolds has signed into law legislation that establishes work requirements for able-bodied adults on the state's Medicaid expansion program, the Iowa Health and Wellness Plan, requiring at least 80 hours of work per month or enrollment in educational or job skills programs to maintain coverage. The law directs the Iowa Department of Health and Human Services to seek a federal waiver to implement these requirements, with a preliminary request already submitted to the Trump administration that proposes a 100-hour monthly work threshold. Approximately 171,000 Iowans would be affected by this policy, though exemptions exist for certain groups such as those under 19 or over 64, caregivers of young children, and individuals with disabilities or substance abuse treatment needs. Additionally, Reynolds signed legislation allocating $56 million from national opioid settlement funds to address opioid abuse, including funding for specific projects suggested by the Iowa Department of Health and Human Services. The new laws also increase penalties for public officials who violate open meeting and public records laws and overhaul the state's Research Activities Credit program by creating a Research and Development Tax Credit Program to incentivize business research expenses. These measures reflect ongoing efforts by the Iowa government to address public health and transparency concerns while promoting work as a condition of public assistance.