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Capitol Notebook: Iowa Gov. Reynolds signs natural disaster relief legislation
Also, Iowa house approves bill that would allow Iowans to establish catastrophic savings accounts
Gazette-Lee Des Moines Bureau
Apr. 22, 2025 7:09 pm, Updated: Apr. 23, 2025 7:37 am
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DES MOINES — Iowans impacted by last year’s floods and tornadoes will receive some relief after Gov. Kim Reynolds signed her proposal to provide aid to those who have experienced natural disasters.
The proposal, introduced by Reynolds during her Condition of the State address in January, will appropriate $13.6 million from the Economic Emergency Fund to the Disaster Recovery Housing Assistance Program to provide disaster aid to impacted Iowans.
“The tenacity of Iowans has been tested over the past year,” Reynolds said in a statement Tuesday. “Our state faced devastating natural disasters in the spring of 2024 — strong tornadoes and widespread flooding affected tens of thousands of Iowa families. ... Today, I sign this legislation to streamline our disaster assistance process and make it easier for Iowans to get the help they need as soon as possible.”
Last June, northwestern Iowa experienced record flooding that impacted dozens of communities and thousands of homes. The rest of Iowa was also hit by natural disasters with a total of 125 tornadoes touching down across the state.
The law will create the Natural Hazard Mitigation Financing program, a revolving loan program that makes loans available to eligible entities to finance all or part of the costs of projects to build resiliency for future disasters. The program will be led by the state Department of Homeland Security and Emergency Management and the Iowa Finance Authority.
It also will add $2 million to the Nuisance Property and Abandoned Building Fund to assist local communities in tearing down disaster-damaged buildings destroyed by the 2024 flooding and tornadoes that are beyond repair. The legislation also will appropriate $11.6 million to the Iowa Finance Authority, which could provide funding for claims made from the 2024 floods and tornadoes.
Iowa House approves catastrophic savings accounts
Iowans would be able to set aside money to put toward future costs caused by natural disasters under legislation advanced unanimously by the Iowa House Tuesday.
As Iowa continues to see natural disasters across the state, House File 988 would allow Iowans to open interest-bearing, catastrophic savings accounts, which would be similar to health savings accounts
“Our insurance premiums for property and casualty have gone up over the years due to many weather events that we've had across the state of Iowa in recent years,” Republican Rep. Shannon Lundgren of Peosta, the bill’s floor manager, said. “This will allow folks to put money into an interest-bearing account and help pay for those things that are maybe not fully covered or not covered at all under their homeowners insurance policy.”
The bill would allow account holders who have an annual policy premium of up to $1,000 to put up to $2,000 in the account. Those whose annual policy premium is equal to or exceeds $1,000 would have a limit of $15,000 or twice the annual policy premium, whichever is less.
Self-insured account holders who are unable to or choose not to obtain a policy could put aside up to $350,000 or the assessed value of their home, whichever is less.
Legislation creating supports for pregnant university students advances
Students at Iowa public universities who are pregnant or have recently given birth would be granted more support under legislation unanimously passed by the Iowa House Tuesday
Senate File 288 would prohibit a public university from requiring a student to take a leave of absence, withdraw from a program or limit their participation in academic activities solely due to pregnancy.
It also would require institutions to make accommodations for pregnant students while they are completing a course or research and allow for leaves of absence up to 12 months or longer if there is a medically necessary reason.
Democratic Rep. Tracy Ehlert, of Cedar Rapids, who experienced two pregnancies while in college, said the supports provided in the bill are essential for students who are pregnant, adding that they should also apply to students with chronic illnesses, diseases or who have been in accidents.
“This bill makes a great attempt at recognizing the diverse populations that attend our colleges and the additional needs that they may have, but it doesn't go far enough,” Ehlert said.
The Iowa Senate passed the legislation unanimously in March, but the bill will go back to them for final approval after Republican Rep. Bob Henderson, of Sioux City, added an amendment identifying students involved as "biologically female."
Bill to increase number of Iowans in UI medical residency programs goes to governor
Legislation that would require 80 percent of students accepted to residency programs through the University of Iowa’s schools of medicine and dentistry to be Iowa residents or those who have attended college in Iowa is going to Gov. Kim Reynolds’ desk for approval.
Backers of the legislation say it will help address Iowa’s physician shortage by ensuring more medical students and residents stay in the state after graduation.
But critics question whether it was the best approach to addressing the state’s health care workforce shortage.
House File 516, which passed the House and Senate primarily along party lines, came back to the House for final approval Tuesday after the Senate added an amendment to identify Iowa applicants as students who were born in Iowa or who graduated from an Iowa high school; have family members or in-laws who reside in Iowa; who graduated from an Iowa public university, Iowa private college or Iowa community college; or who resided in a rural community that has similar characteristics to similar sized rural Iowa communities.
Applicants also can establish that they're interested in practicing in Iowa after graduation.