IowaSF 60391st General Assembly (2025–2026)SenateWALLET

A bill for an act relating to workforce compensation and training, unemployment insurance, and other functions and programs of the department of workforce development, the workforce development board, and local government entities, and including effective date provisions. (Formerly SF 222, SSB 1068.) Effective date: 03/28/2025, 07/01/2025.

Sponsored By: COMMITTEE ON APPROPRIATIONS

Signed by Governor

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Bill Overview

Analyzed Economic Effects

7 provisions identified: 3 benefits, 1 costs, 3 mixed.

No local pay or training mandates

Cities, counties, and school districts cannot require extra pay or training rules for developers, contractors, or subcontractors. They also cannot tie local incentives to those extra rules. Apprenticeship is voluntary unless state law requires it. This lowers compliance costs for contractors but removes local tools that could raise pay or require training.

National service programs recognized statewide

The state commission can approve national service programs and positions. The law names AmeriCorps, Senior Corps, VISTA, Iowa summer youth corps, Iowa green corps, Iowa reading corps, RefugeeRISE AmeriCorps, and the Iowa conservation corps as part of the state corps. This supports service roles that can offer stipends, education awards, and job paths.

One-stop job services and skills test

Local workforce boards must write local plans that follow federal law and get state approval. The workforce agency must use a common intake, assessment, and tracking system across Iowa. A standard employability skills test for adults is part of one-stop services, and staff get trained to use it. This makes services more consistent for job seekers and workers.

More reporting on scholarships and jobs

State agencies must share data and publish a yearly report on scholarships, grants, program completions, schools, mentor agreements, and job outcomes by industry. The report is due each year by January 15 and protects people’s privacy. This improves insight into training results and where graduates find work.

Unemployment tax wage base redefined

The law changes what counts as taxable wages for employer unemployment taxes. It ties taxable wages to wages paid in Iowa in a calendar year and addresses work in other states with comity. This can change employer reporting and tax bills. This division of the law takes effect upon enactment.

Technical change to state retirement

The law deletes a specific subparagraph in the state retirement code. The text does not state what that rule did. Effects depend on the removed language, so practical changes for members are unclear.

Workforce boards and rules reorganized

The state workforce board gets new state-level duties on top of federal ones. Many older board duties and local system rules are deleted, and several older code sections are repealed. The Department of Education now leads industry and sector partnerships, working with the workforce agency. This reshapes who oversees workforce efforts and which rules apply.

Sponsors & Cosponsors

Sponsor

  • COMMITTEE ON APPROPRIATIONS

    Affiliation unavailable

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 208 • No: 83

Senate vote 3/19/2025

Passed Senate

Yes: 32 • No: 15

House vote 3/18/2025

Passed House

Yes: 64 • No: 34

legislature vote 3/18/2025

Amendment H-1106

Yes: 64 • No: 34

Senate vote 3/12/2025

Passed Senate

Yes: 48 • No: 0

Actions Timeline

  1. Fiscal note.

    6/6/2025legislature
  2. Signed by Governor.

    3/28/2025Governor
  3. Reported correctly enrolled, signed by President and Speaker, and sent to Governor.

    3/28/2025Senate
  4. Message from Senate.

    3/19/2025Senate
  5. Immediate message.

    3/19/2025legislature
  6. Passed Senate, yeas 32, nays 15.

    3/19/2025Senate
  7. Senate concurred with S-3030.

    3/19/2025Senate
  8. Deferred.

    3/19/2025legislature
  9. Amendment S-3034 filed, lost.

    3/19/2025legislature
  10. Amendment S-3033 filed, lost.

    3/19/2025legislature
  11. Fiscal note.

    3/19/2025legislature
  12. Message from House, with amendment S-3030.

    3/19/2025House
  13. Immediate message.

    3/18/2025legislature
  14. Passed House, yeas 64, nays 34.

    3/18/2025House
  15. Amendment H-1106, yeas 64, nays 34, adopted.

    3/18/2025legislature
  16. Motion to suspend rules prevailed.

    3/18/2025legislature
  17. Motion to suspend rules for immdiate consideration of amendment H-1106.

    3/18/2025legislature
  18. Point of order raised on amendment H-1106, ruled not germane.

    3/18/2025legislature
  19. Motion to suspend rules failed.

    3/18/2025legislature
  20. Motion to suspend rules for immediate consideration of amendment H-1117 to amendment H-1106, yeas 33, nays 63.

    3/18/2025legislature
  21. Point of order raised on amendment H-1117 to amendment H-1106, ruled not germane.

    3/18/2025legislature
  22. Amendment H-1117 filed.

    3/18/2025legislature
  23. Motion to suspend rules failed.

    3/18/2025legislature
  24. Motion to suspend rules for immediate consideration of amendment H-1115 to amendment H-1106, yeas 34, nays 64.

    3/18/2025legislature
  25. Point of order raised on amendment H-1115 to amendment H-1106, ruled not germane.

    3/18/2025legislature

Bill Text

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