Iowa House Bill HF1055

Iowa 2025-2026 Regular Session

• Introduced: 5/14/25

Caption

A bill for an act relating to state finances, including by making, modifying, limiting, or reducing appropriations, distributions, or transfers, authorizing expenditure of unappropriated moneys in special funds, providing for properly related matters including prohibiting state membership in the Iowa individual health benefit reinsurance association, making corrections, and including effective date and retroactive applicability provisions.

Impact

The bill also includes provisions that specifically prohibit state membership in the Iowa individual health benefit reinsurance association, altering existing health insurance regulation in the state. By preventing the state from being part of this association, the bill essentially impacts how health benefits and associated claims are managed and funded. Furthermore, it allows for the transfer of funds from the taxpayer relief fund to the general fund of the state, which should improve the overall allocation of available financial resources for essential state services.

Summary

House File 1055 addresses various financial aspects of the state, focusing on appropriations, distributions, and transfers. Specifically, it proposes limitations and reductions of appropriations for the fiscal year 2025-2026, affecting areas such as nonpublic school pupil transportation and instructional support state aid. These proposed reductions aim to allocate financial resources more efficiently within the state budget, especially in the wake of fiscal challenges resulting from prior legislation.

Contention

There has been some contention regarding the reduction of appropriations, as these cuts could significantly impact educational funding and support for nonpublic schools. Opponents may argue that such reductions would lead to decreased effectiveness in educational services and could hinder the ability of schools to meet the needs of students. Conversely, proponents of the bill assert that these financial measures are necessary to maintain fiscal responsibility and address the state's budgetary concerns.