Capitol Notebook: Bioindustrial manufacturer to build new, $40M plant in Iowa

A Minnesota-based bioindustrial manufacturer plans to establish a new, $40 million manufacturing facility in central Iowa with the help of a $10 million state grant.

BioMADE, which is a U.S. Department of Defense Manufacturing Innovation Institute and is based in the Twin Cities, announced its plans Friday, and the Iowa Economic Development Authority announced the state grant.

The Iowa site will be the third facility in BioMADE’s network. The others are in Minnesota and California.

The three facilities will, according to a company press release, “establish the U.S. as a leader in the global bioeconomy, secure domestic supply chains for needed products with defense and commercial applications, and boost rural economic development.”

The facility near Ames will be 15,000 square feet and include up to 10,000-liter industrial fermenters, dry and wet lab space, and downstream processing capabilities centered on the development of agricultural bioproducts, chemicals, food and more, the company said in the press release.

The project is expected to cost $40 million, of which the company has committed at least half. Up to $10 million will come from cost-share contributions from Iowa State University and a $10 million grant from the state.

“Iowa is proud to partner with the U.S. Department of Defense and BioMADE to build the infrastructure needed to lead in the next generation of biomanufacturing,” Iowa Gov. Kim Reynolds said in the press release. “This facility will unleash new value from our agricultural resources, create high-quality jobs, and ensure Iowa remains at the forefront of bioscience innovation and global competitiveness.”

The $10 million state grant will come from the Iowa Economic Development Authority’s Strategic Infrastructure Program, and was awarded to the Iowa State University Research Park and BioMADE. The project will, according to an IEDA press release, “advance biomanufacturing and enhance Iowa crop values with the establishment of a multiuser fermentation scale-up facility at ISU’s BioCentury Research Farm in Boone.”

IEDA’s Strategic Infrastructure Program, according to the agency’s press release, “supports projects that develop commonly utilized assets with the goal of providing a competitive advantage to one or more private sector entities or that create necessary physical infrastructure in the state, and such projects are not adequately provided by the public or private sectors.”

The facility is scheduled to open in early 2028.

Iowa unemployment rate holds steady

Iowa’s unemployment rate was 3.7 percent in July, the same as June, according to the state’s workforce agency.

Both the number of Iowans working and the number of unemployed Iowans increased in the month, according to the Iowa Workforce Development figures.

“The fact that 11,000 more Iowans are working than the same time a year ago is a good sign given the job losses we’ve seen in manufacturing,” Iowa Workforce Development Executive Director Beth Townsend said in a press release. “There remain over 50,000 open jobs on IowaWORKS.gov, which means significant opportunities exist for Iowans who are looking for a new or next great job.”

The U.S. unemployment rate increased to 4.2 percent in July.

Iowa HHS picks companies for Medicaid dental services

Delta Dental of Iowa and DentaQuest USA Insurance Co. have been chosen by the state to provide dental care to Iowa Medicaid recipients.

The Iowa Department of Health and Human Services announced its intent to award contracts to the two companies to provide services through the state’s Hawki program.

The new contract begins July 1, 2026. Delta Dental has provided services through Iowa Medicaid since 2014, and DentaQuest USA is a new Iowa Medicaid contractor.

According to HHS, the plans will cover diagnostic and preventive services such as exams, cleanings, X-rays and fluoride treatments, fillings, root canals, dentures, crowns, extractions and other benefits.

There are no immediate changes or necessary actions for Iowa Medicaid members, Iowa HHS said.

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