# Exclusive



Who the Iowa Democratic primary voters are

Early voting for Iowa’s June 7 primary begins on May 18. Democrats have one contested race for a federal office (Abby Finkenauer, Mike Franken, and Glenn Hurst are running for U.S. Senate) and one for a statewide office (Joel Miller and Eric Van Lancker are running for secretary of state). There are also many competitive primaries for Iowa House or Senate seats.

Turnout for this year’s primary will likely be much lower this year than in 2020, when Secretary of State Paul Pate sent every active registered voter an absentee ballot request form. In addition, a law Republicans enacted last year shortened Iowa’s early voting window from 29 days to 20 days and made it harder to return a completed ballot in time to have the vote counted.

Even so, more than 100,000 Democrats will likely participate in the June 7 election. I analyzed statistics and results from the last three cycles for clues on who Iowa Democratic primary voters are and where most of them live.

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Key state financial report four months late, not near completion

More than four months after the usual publication date of December 31, Iowa’s Annual Comprehensive Financial Report (ACFR) for the fiscal year that ended on June 30, 2021 is nowhere in sight.

It’s the second straight year that the detailed report on state finances is far behind schedule. The ACFR must be completed before many other annual audits of state government entities can be conducted.

For decades, Iowa routinely published the report within six months of the end of the previous fiscal year. That time frame earned the state a Certificate of Achievement for Excellence in Financial Reporting from the leading organization for government finance officers.

CAUSE OF DELAY STILL UNCLEAR

The report for fiscal year 2020 was delayed for about nine months, mostly because of accounting problems at Iowa State University. But the university told Bleeding Heartland in January that ISU “submitted all year-end financials, responded to audit questions and completed recommended changes for the final financial statements by Nov. 12, 2021.” That’s only about six weeks after the deadline for most state government entities to send fiscal year-end data to the Iowa Department of Administrative Services.

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DNR director offers a cautionary tale for Iowans who hunt, fish

Iowa Department of Natural Resources Director Kayla Lyon has a message for Iowans after being cited on March 21 for fishing without a license in Jackson County.

Reached by email on March 25, Lyon confirmed a record in Iowa Courts Online referred to her citation, explaining,

I had my combination hunting and fishing license set to auto renew but my bank issued me a new card and I forgot to update the system. I was paddlefishing on the Mississippi last Friday [March 18]. When I was informed that I didn’t have a valid license, I asked our law enforcement chief to issue me a citation as soon as we could connect on Monday morning. It was an honest mistake but the laws apply to me just like anyone else. I have since gone online and renewed my combination license.

I’m told this situation is not uncommon. I would encourage anyone with an Iowa license to routinely check their accounts to ensure this doesn’t happen to them.

I would guess that most people who use credit cards have forgotten to update their information on some recurring charge after getting a new card. So this case presents a useful warning to Iowa’s “hook and bullet crowd”: next time you go fishing or hunting, check beforehand to make sure your licenses are up to date.

Lyon set a good example by acknowledging her mistake, knowing the citation would be listed in publicly available databases.

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Barriers for third-party candidates reduced Iowa voters' choices

New laws enacted by Republican legislators and Governor Kim Reynolds succeeded in limiting third-party competition for Iowa’s state and federal offices.

According to the general election candidate list published by the Iowa Secretary of State’s office on March 21, only one minor-party candidate qualified for a federal office this year: Bryan Jack Holder, who is running in the fourth Congressional district. Libertarians are fielding candidates for governor and lieutenant governor: Rick Stewart and Marco Battaglia. In 2018, Libertarian candidates were on the ballot for all of Iowa’s statewide and federal offices.

No independent candidate filed for any federal or statewide office in Iowa this year. For most of the last decade’s elections, independent candidates were on the ballot for several of those offices.

Only two candidates not representing a major party filed for any of the the 34 Iowa Senate seats on the ballot in 2022; both are running in Senate district 17. Across the 100 Iowa House races, only three Libertarian candidates and four independents will appear on the November ballot.

Before Republicans passed new restrictions in 2019 and 2021, Iowa voters were able to choose candidates not representing either major party in more elections.

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Federal auditors reviewing CARES Act funds for governor's staff salaries

The U.S. Treasury Department’s Office of Inspector General is reviewing documentation provided to justify Governor Kim Reynolds’ use of federal COVID-19 relief funds to compensate staff in her office, Deputy Inspector General Richard Delmar told Bleeding Heartland on March 14.

The State Auditor’s office concluded in November and reaffirmed this month that Reynolds used $448,449 in CARES Act funds to pay part of the salaries and benefits of 21 permanent staffers between March and June 2020 in order to “cover a budget shortfall that was not a result of the pandemic.” State Auditor Rob Sand called on Reynolds to return the money to Iowa’s Coronavirus Relief Fund before the end of 2021. The governor’s office has insisted its use of COVID-19 relief funds for staff salaries was justified.

When the State Auditor’s office published its findings in November, Delmar told Bleeding Heartland his office “has not initiated an audit of the Governor’s Office salaries and awaits resolution of this matter between the Iowa State Auditor and the Governor’s Office.”

Asked this week about the impasse between Reynolds and state auditors, Delmar confirmed via email, “We have requested documentation of the uses from the State Auditor’s Office and are in the process of reviewing it.”

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Exclusive: Governor was comped state building for SOTU response

Governor Kim Reynolds delivered the Republican response to the State of the Union from a government building terrace that is currently closed for rentals, and her office paid nothing to use the space.

The governor’s spokesperson Alex Murphy confirmed on March 2 that Reynolds gave the speech from the State Historical Building terrace. Five days and several emails later, Murphy confirmed the building “did not charge a fee for the Governor’s use of the space.”

Communications staff for the Iowa Department of Cultural Affairs did not respond to messages over the past week seeking to clarify who approved the unusual arrangement for the governor.

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Iowa's annual financial report late again; agencies mum on why

For the second straight year, the state of Iowa missed a deadline for releasing a detailed report on state finances. Officials publicly acknowledged the delay last week but have not explained why the Annual Comprehensive Financial Report for fiscal year 2021 is not complete.

Staff at the Iowa Department of Administrative Services, which compiles this report, have not responded to five inquiries from Bleeding Heartland about the matter over the past two weeks. Staff at the Iowa Department of Management, which prepared a public notice about the late report, likewise ignored three attempts to clarify the source of the problem.

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Iowa extends nurses' contract as COVID-19 hospitalizations surge

As COVID-19 hospitalizations reach levels not seen in Iowa for more than a year, the state has extended a contract for 100 out-of-state nurses and respiratory therapists to alleviate staff shortages at major medical centers.

Iowa Department of Public Health spokesperson Sarah Ekstrand confirmed to Bleeding Heartland via email that the state has twice extended the six-week contract signed with Kansas company Favorite Healthcare Staffing in early December—first to run through January 28, and more recently to run through February 11.

Ekstrand added that the state recently accepted bids “to establish a statewide hospital bed transfer line. The goal is to establish a call center to help relieve pressure on hospital staff in order for them to be able to spend more time caring for ill patients.”

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Exclusive: Governor stacked labor relations board with Republicans

Governor Kim Reynolds has kept one of three positions on Iowa’s Public Employment Relations Board (PERB) vacant for more than a year, and since October has ensured the board operates with Republican members only.

By law, the board that handles public sector labor relations “shall consist of three members appointed by the governor,” of whom no more than two “shall be of the same political affiliation.” Reynolds has left one position unfilled since August 2020 and recently replaced Democrat Mary Gannon with Republican Jane Dufoe. She serves alongside Erik Helland, a longtime Republican and former state lawmaker.

The current situation runs counter to the spirit of PERB’s partisan balance requirement and potentially allows Reynolds to circumvent the Iowa Senate confirmation process, by shifting board members who are not confirmed to an open position.

In addition, state salary records show Reynolds’ GOP appointees to PERB immediately earned higher pay than Gannon, despite the Democrat’s years of experience. For decades, under Republican and Democratic governors, PERB members not chairing the board had received identical salaries.

The governor’s communications director Alex Murphy confirmed Dufoe’s party affiliation in September, then did not respond to eight follow-up inquiries about the PERB appointments over a three-month period.

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Iowa State Patrol fatality involved vehicle model with "inadequate" headlights

John Morrissey is a freelance writer in Des Moines.

Iowa State Trooper Ted Benda, who died of injuries suffered in a single-vehicle crash on October 14, had been driving a vehicle rated by a national standards organization as having poor-performing headlights.

The Iowa State Patrol reviews a variety of information about vehicles it purchases, spokesperson Sgt. Alex Dinkla told Bleeding Heartland. The department has received “no complaints” about vehicle headlights, he said. The Iowa State Patrol has not yet issued its final crash report; Dinkla suggested it may take weeks or months to complete.

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Governor taps American Rescue Plan for IT project predating pandemic

UPDATE: In November 2023, a spokesperson for OCIO told Bleeding Heartland, “OCIO never executed a contract for Master Data Management in any RFP.” She did not explain why the project was shelved. However, it appears that the American Rescue Plan funds allocated for this project were not spent for that purpose. In December 2023, the spokesperson confirmed, “Master Data Management has not moved forward since October 2021.” Original post follows.

Governor Kim Reynolds has allocated $13 million from the state’s American Rescue Plan funds for a data project that has been in the works since 2019.

Last year, the governor approved a request from the state’s Office of Chief Information Officer (OCIO) to pay for the Master Data Management Program with $13 million from the Coronavirus Aid, Relief, and Economic Security (CARES) Act. But those funds were never spent, according to pandemic spending reports and documents obtained through public records requests.

OCIO recently transferred the $13 million earmarked for the data management project back to the agency that administers Iowa’s Coronavirus Relief Fund, spokesperson Cayanna Reinier told Bleeding Heartland on September 29. She added that OCIO is “in the process of restarting” the project and “looking forward to moving ahead” with it, now that the governor’s office has approved the use of American Rescue Plan funds.

It’s far from clear this program is an eligible expense under the latest federal relief package.

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Exclusive: Other agencies covered $900K in governor's office costs

Governor Kim Reynolds’ office was able to spend nearly 40 percent more than its $2.3 million budget appropriation during the last fiscal year, mostly by shifting personnel costs onto other state agencies.

Documents Bleeding Heartland obtained through public records requests show that eight state agencies covered $812,420.83 in salaries and benefits for nine employees in the governor’s office from July 1, 2020 through June 30, 2021. In addition, the Office for State-Federal Relations in Washington, DC remained understaffed, as it has been throughout Reynolds’ tenure. The vacant position should allow roughly $85,000 in unspent funds to be used to balance the rest of the governor’s office budget, as happened last year.

The governor’s communications director Pat Garrett did not respond to four inquiries over the past two weeks related to the office budget. But records indicate that unlike in 2020, federal COVID-19 relief funds will not be tapped to cover salaries for Reynolds’ permanent staffers in fiscal year 2021.

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Governor holds over agency directors Iowa Senate didn't confirm

In an unusual move, Governor Kim Reynolds is allowing two state agency directors she appointed early this year to continue serving through next year’s legislative session, even though they lacked the votes to be confirmed by the Iowa Senate.

Reynolds withdrew the nominations of Department of Management Director Michael Bousselot and Department of Administrative Services Director Adam Steen shortly before state lawmakers adjourned for the year in May. Days later, she rejected the directors’ resignations, saying she would resubmit their names to the Senate in 2022, documents obtained through public records requests show.

The governor’s office has not publicly announced Reynolds’ decision to hold over Bousselot and Steen and did not respond to Bleeding Heartland’s inquiries.

The Department of Management handles state budget planning as well as disbursements from Iowa’s general fund and various other funds. The Department of Administrative Services handles human resources, payroll, and procurement of goods and services for state government.

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Exclusive: Governor approved CARES Act spending on office tech upgrades

Governor Kim Reynolds approved plans last year to spend federal COVID-19 relief funds to upgrade the technology in her conference room, state records show.

The Office of Chief Information Officer (OCIO) paid vendor AVI Systems $67,543.48 in December for unspecified “IT Equipment and Software” and “IT Outside Services.” Published reports and searchable databases do not reveal that those purchases benefited the governor’s office. But documents Bleeding Heartland obtained through public records requests indicate that the spending covered new audio and video equipment installed in the Robert Ray Conference Room, which is part of the governor’s office suite.

Records also show the payments were supposed to come out of Iowa’s Coronavirus Relief Fund, a pot of federal money established under the March 2020 Coronavirus Aid, Relief and Economic Security (CARES) Act.

OCIO may have tapped a different funding source later to cover the conference room upgrade, as happened with a $39,512 project to migrate the governor’s office computers from Google suite to Microsoft Office 365 last year. Entries on the state’s online checkbook, totaling $67,543.48 to AVI Systems on the same December dates, do not mention the Coronavirus Relief Fund.

The governor’s spokesperson Pat Garrett ignored six inquiries over a two-week period. OCIO’s public information officer Gloria Van Rees also did not respond to eight messages during the same time frame seeking to clarify what funding stream paid for the conference room upgrades, and whether the governor’s office reimbursed OCIO for the payments to AVI Systems, as happened following the Office 365 migration.

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New COVID-19 outbreak hits Iowa Veterans Home

The Iowa Veterans Home is currently experiencing a COVID-19 outbreak. Families and guardians of loved ones living at the state-run facility in Marshalltown–the largest nursing home in Iowa–were notified on June 22 that four employees and five residents had tested positive that day. All lived or worked in the same building. An email sent on June 25 indicated that another resident in the same unit (Malloy 3) had tested positive, and all six affected residents were in the home’s COVID unit.

As of June 25, the long-term care dashboard on the state’s coronavirus website was showing eight positive cases and no recoveries at the Iowa Veterans Home within the last fourteen days.

The state website doesn’t break down how many cases have been identified among staff and how many among residents, or whether anyone has been hospitalized. Emails to relatives and guardians indicated that one Iowa Veterans Home resident was hospitalized on June 23 but had returned to the home by June 25.

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Late budget amendment sought funds for no-bid Homeland Security contract

One day before Iowa lawmakers adjourned for the year, the Iowa Senate amended a spending bill to allocate $4.5 million over two years to the Iowa Department of Homeland Security and Emergency Management for a sole source contract.

The funding to install a mobile panic button system in Iowa’s K-12 schools could only have been used by Rave Mobile Safety, which recently signed a contract with the Homeland Security department to replace Iowa’s emergency mass notification system.

The Iowa House altered the bill to leave the funding in place without an earmark for a specific product. But the last-minute effort raises questions about whether outgoing Homeland Security Director Paul Trombino III sought the funding to benefit a company represented by one of Iowa’s most influential lobbyists.

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Data show no clear trend for Iowa suicides during pandemic

While defending her approach to the COVID-19 pandemic last year, Governor Kim Reynolds repeatedly asserted that Iowa was seeing an “uptick” in suicides, and listed suicides among the mental health problems that were “exponentially increasing.”

Preliminary data on Iowa deaths by suicide in 2020 paint a more complex picture. An estimated 557 Iowans took their own lives last year, the highest number recorded in two decades. However, many of the increased deaths occurred during January and February, before COVID-19 was identified in Iowa and well before any restrictions were imposed to slow the spread of the novel virus.

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Iowa concealed COVID-19 testing help for well-connected firms

State officials deployed “strike teams” involving the Iowa National Guard to more businesses last year than previously acknowledged.

Records the Iowa Department of Public Health (IDPH) released on April 26 show seventeen workplaces received COVID-19 testing assistance through a strike team. The agency had stated in January that only ten workplaces (operated by nine companies) had strike team visits. Several newly-disclosed events benefited businesses linked to Governor Kim Reynolds’ major campaign donors.

Iowa used the strike teams mostly during the spring of 2020, when COVID-19 testing supplies were scarce. However, a strike team was sent to Iowa Select Farms administrative headquarters in mid-July, more than five weeks after the state had stopped providing testing help to other business. That company’s owners are Reynolds’ largest campaign contributors.

The governor asserted at a January news conference that the state had facilitated coronavirus testing for more than 60 companies, saying no firm was denied assistance. The newly-released records show nineteen businesses received testing kits from the state, and another nineteen were directed to a nearby Test Iowa site where their employees could schedule appointments.

The public health department’s spokesperson Sarah Ekstrand has not explained why she provided incomplete information about the strike team program in January. Nor has she clarified what criteria state officials used to determine which companies received which kind of testing assistance.

The governor’s spokesperson Pat Garrett did not respond to any of Bleeding Heartland’s emails on this subject. Reynolds walked away when I tried to ask her about the strike team decisions at a media gaggle on April 28.

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Terrace Hill fence approved last summer; governor's role unclear

Officials in the Iowa Department of Public Safety and the governor’s office decided during the summer of 2020 to install a permanent fence around the Terrace Hill mansion in Des Moines, records obtained by Bleeding Heartland show.

The documents don’t reveal, nor did state officials clarify, whether Governor Kim Reynolds or her staff pushed for added security around the governor’s official residence. The records also don’t explain the timing of the decision to move forward with a plan that had been floated years earlier, according to the agency responsible for protecting the governor.

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Governor endorses plan targeting Iowans on public assistance

A longstanding effort by Iowa Senate Republicans to reduce the number of Iowans receiving various forms of public assistance got a quiet boost last week from Governor Kim Reynolds.

For the first time, the governor’s draft human services budget included provisions that would create asset tests for federal food assistance and require the Iowa Department of Human Services to establish a new “eligibility verification system” for Medicaid and several other public assistance programs.

State Senator Jason Schultz has pushed similar legislation for several years running. Each session, Senate Republicans have approved the bills, which died in the House Human Resources Committee (see here and here).

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Iowa House Republican shares anti-COVID vaccine memes

State Representative Ray Sorensen included two negative memes about COVID-19 vaccines in his latest weekly newsletter on Iowa legislative happenings.

Since early March, the Republican has regularly shared memes purporting to be humorous near the end of his online updates about bills the House has approved or is considering. The edition Sorensen sent out late last week, covering week 13 of the legislative session, included the following two images, interspersed with memes mocking public assistance programs, feminists, environmentalists, President Joe Biden, and leftist intellectuals.

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Exclusive: Iowa governor's campaign opts donors into recurring contributions

Governor Kim Reynolds’ campaign is using pre-checked boxes for online fundraising to drive supporters toward recurring monthly contributions as well as additional one-time gifts.

The donation pages, associated with Facebook and Twitter posts bashing President Joe Biden’s policies, recall “aggressive” tactics President Donald Trump’s campaign used last year. As Shane Goldmacher reported for the New York Times earlier this month, the Trump campaign and Republican National Committee used pre-checked boxes to generate record-setting online fundraising in the summer and fall of 2020, followed by an unprecedented number of refunds to donors who felt duped.

Reynolds campaign representatives did not respond to Bleeding Heartland’s inquiries about the practice.

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Exclusive: Bonuses push five Iowa agency heads above maximum pay

Governor Kim Reynolds has approved bonuses for at least five current state agency directors, allowing them to receive substantially more compensation than the top of the pay scale Iowa law sets for their positions.

The Iowa Department of Administrative Services disclosed information about four agency leaders now receiving such bonuses in response to Bleeding Heartland’s public records request. The Cedar Rapids Gazette’s Erin Jordan was first to report on Homeland Security and Emergency Management Director Paul Trombino’s bonus, in an article published April 7.

This post discusses each official’s bonus pay in the order that they were awarded. The governor’s spokesperson Pat Garrett did not respond to an April 7 email seeking to clarify whether any other heads of state departments are receiving greater compensation than the statutory maximum for their positions.

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Exclusive: ISU accounting issues still delaying state financial report

Editor’s note from Laura Belin: The Governmental Accounting Standards Board and the Government Finance Officers Association now discourage use of the common acronym for this report, because when pronounced it sounds like a racial slur. Bleeding Heartland will avoid using the acronym in the future. Original post follows.

Challenges in obtaining auditable financial data from Iowa State University continue to delay the publication of the state’s Comprehensive Annual Financial Report (CAFR) covering the fiscal year that ended June 30, 2020. The Iowa Department of Administrative Services compiles the CAFR and typically publishes it by December 31. The latest edition has been held up because ISU was unable to submit its year-end financial data on the usual timetable.

The university switched to using the Workday computer system for accounting at the start of the 2020 fiscal year. While Iowa’s public universities have long sent year-end data to the Department of Administrative by October 1, ISU is still working on some “supplemental pieces” six months later.

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Joni Ernst voted against more than half of Biden's cabinet

U.S. Senator Joni Ernst has voted against confirming twelve of President Joe Biden’s cabinet appointees, a majority of the 23 cabinet officials who are subject to Senate confirmation. Senators have confirmed 21 cabinet members; Eric Lander is awaiting a vote as director of the Office of Science and Technology Policy, and the president has yet to announce a replacement for Neera Tanden, who withdrew her nomination to lead the Office of Management and Budget.

Only ten of the 50 Republican senators have voted against more of Biden’s appointees than Ernst: Josh Hawley, Ted Cruz, Rick Scott, Tom Cotton, Tommy Tuberville, Bill Hagerty, Rand Paul, Richard Shelby, Marsha Blackburn, and Tim Scott.

Iowa’s senior Senator Chuck Grassley has voted against five of the 21 cabinet members confirmed so far.

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Exclusive: Iowa approved CARES Act funds for governor's office software switch

UPDATE: Weeks after publication, state officials said this payment had been “inaccurately coded to the federal CARES program,” which was “anticipated” to cover this expense but did not. They said the database would be corrected to reflect the coding error. More details are at the end of this post. Original text follows.

Iowa’s Office of Chief Information Officer spent $39,512 in federal COVID-19 relief funds on a project to migrate computers in Governor Kim Reynolds’ office from Google suite to Microsoft Office 365.

Public databases showing expenditures from Iowa’s Coronavirus Relief Fund do not indicate the governor’s office was the beneficiary of that November payment from OCIO to the vendor Insight Public Sector for unspecified “IT Outside Services.” Documents obtained through public records requests show the money covered the cost of the Google to Office 365 migration.

The governor’s office reimbursed OCIO for that expense in mid-December, days after the Reynolds administration was forced to backpedal on other COVID-19 funds spent on computer technology. Earlier the same month, Bleeding Heartland had sought records related to goods and services OCIO purchased on behalf of the governor’s office using money from the Coronavirus Relief Fund. 

The governor’s spokesperson Pat Garrett has not replied to inquiries about who authorized the initial spending on switching from Google to Office 365 or what funding source eventually covered the cost.

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Exclusive: Test Iowa vendor gave officials talking points for PR video

Governor Kim Reynolds and other officials with important roles in Iowa’s COVID-19 response received talking points from Domo, Inc. before filming a promotional video for the company on state property last July.

The Utah-based firm, part of a group that received a $26 million no-bid contract to create the Test Iowa program, provided each interview subject with questions and “key statements” in advance, documents Bleeding Heartland received through a public records request show. State Medical Director Dr. Caitlin Pedati, the governor’s chief operating officer Paul Trombino, and others voiced some of those messages on camera.

Despite official claims that “no state resources were used” for the video, email records indicate two of the governor’s staffers spent time on preparations such as securing permissions to use different areas of the state capitol building. In addition, Trombino asked Dr. Michael Pentella, director of the State Hygienic Laboratory, to participate in the Test Iowa video.

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ISU switch to Workday accounting delayed state financial report

Editor’s note from Laura Belin: The Governmental Accounting Standards Board and the Government Finance Officers Association now discourage use of the common acronym for this report, because when pronounced it sounds like a racial slur. Bleeding Heartland will avoid using the acronym in the future. Original post follows.

The state of Iowa missed a deadline for publishing a key report on its finances because Iowa State University was unable to provide the data on time.

Iowa’s public universities have typically submitted their financial information to the state by October 1, allowing the state to complete its Comprehensive Annual Financial Report (CAFR) by December 31. But ISU is more than four months behind schedule in submitting data for fiscal year 2020.

The delay stems from the university’s transition to a new accounting method using Workday software, raising concerns about the functionality of the computer system state government committed to in 2019.

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Exclusive: Governor fast-tracked COVID tests for firm linked to major donor

Governor Kim Reynolds authorized using state resources to conduct COVID-19 tests at a workplace that had only one confirmed case after the company’s owners reached out to her last May.

Iowa National Guard and Iowa Department of Public Health (IDPH) personnel facilitated coronavirus testing at GMT Corporation, a machine parts manufacturer in Waverly, on May 22, 2020. Fewer than a dozen Iowa businesses received such visits during the two months the state’s “strike team” program was active, when coronavirus testing kits were not widely available.

Summit Ag Investors, the asset management arm of Bruce Rastetter’s Summit Agricultural Group, owns a majority interest in GMT. Emails Bleeding Heartland obtained through a public records request indicated, and GMT’s top executive confirmed, that someone from Summit Ag “contacted the governor directly” after GMT staff learned they “would most likely be denied” testing assistance from the state.

Neither Summit Ag executives nor staff in the governor’s office responded to Bleeding Heartland’s inquiries.

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Exclusive: Iowa governor overspent office budget before tapping CARES Act

Governor Kim Reynolds’ office would have had a large shortfall for the fiscal year that ended June 30 without a transfer of federal funds from the Coronavirus Aid, Relief and Economic Security (CARES) Act, state financial reports show.

Documents Bleeding Heartland obtained through public records requests indicate that in mid-September, the state’s accounting system showed $448,448.86 was needed to balance the fiscal year 2020 appropriation for the governor’s office. Reynolds’ chief of staff Sara Craig Gongol invoiced the Iowa Department of Homeland Security for exactly that amount in CARES Act funds shortly before the books closed on fiscal year 2020.

That invoice and an accompanying document on “COVID-19 Personnel Costs” were revised to incorporate language from U.S. Treasury guidance on allowable Coronavirus Relief Fund expenditures.

For many years, during several administrations, Iowa governors have maintained a larger office than the general fund appropriation would otherwise allow by having separate state agencies support some employees’ salaries. But it has not been typical to use hundreds of thousands of federal dollars to balance the books. Without the CARES Act funding, Reynolds’ office would have been deeply in the red during the last fiscal year, even after four state agencies chipped in a total of $357,652 to cover part of four staffers’ compensation.

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Exclusive: Iowa's official COVID-19 website undercounts deaths

UPDATE: State officials changed their methodology for counting COVID-19 deaths in early December 2020. Original post follows.

The state’s official website on the coronavirus pandemic regularly understates the number of Iowans who have died of COVID-19, Bleeding Heartland’s analysis of U.S. Centers for Disease Control data indicates.

The Iowa Department of Public Health submitted information to the CDC indicating that 2,099 Iowans had died from COVID-19 through the week ending November 7. The latest figures published on coronavirus.iowa.gov show 2,206 total deaths, but account for only 1,920 deaths through November 7.

Sara Anne Willette, who maintains the Iowa COVID-19 Tracker website, has noticed the same discrepancy. It may explain why IDPH communications staff never answered Bleeding Heartland’s many inquiries about how the state counts coronavirus fatalities.

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Exclusive: Iowa medical director's 45% raise violated state policy

Iowa Medical Director Dr. Caitlin Pedati received a 45 percent raise this summer despite a state policy limiting within-grade pay increases, records obtained by Bleeding Heartland show.

Department of Administrative Services (DAS) Interim Director Paul Trombino III advocated for Pedati to receive the unusually large raise three weeks after informing state agency directors that they could give employees within-grade salary hikes of up to 3 percent.

State rules also require that “any within grade pay increase must be accompanied by a current performance evaluation,” Trombino reminded directors in the same memo. However, staff with the Iowa Department of Public Health (IDPH) and DAS did not answer questions about whether anyone has formally reviewed Pedati’s work this year.

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Exclusive: Payment scheme concealed CARES Act funds for governor's staff

Federal funds used to cover salaries and benefits for Governor Kim Reynolds’ staffers were routed through the Iowa Department of Homeland Security and Emergency Management, rather than going directly to the governor’s office.

Because of the unique arrangement, state agencies’ databases and published reports on expenditures from the Coronavirus Aid, Relief and Economic Security (CARES) Act do not reveal that any funding supported the governor’s office. Instead, some show allocations from Iowa’s Coronavirus Relief Fund to Homeland Security, from which $448,449 was spent on “COVID Staffing” or “State Government COVID Staffing.”

That’s the exact dollar amount Reynolds approved to pay permanent employees on her staff for part of their work during the last three and a half months of the 2020 fiscal year. Other agencies that had staff working on the pandemic response from the State Emergency Operations Center, such as the Iowa Department of Public Health, did not receive CARES Act funding through the same indirect route.

The governor’s communications director Pat Garrett and chief of staff Sara Craig Gongol did not respond to six inquiries over a three-week period about how these payments were made and recorded.

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State moves forward on merging human services, public health programs

The state of Iowa is looking for a private company to help integrate programs of the Iowa Department of Human Services (DHS) and Department of Public Health (IDPH).

Governor Kim Reynolds indicated this summer that she planned to merge many operations of the departments, which serve a combined total of more than 1 million Iowans. After Gerd Clabaugh announced plans to retire as IDPH director, Reynolds appointed DHS Director Kelly Garcia to serve simultaneously as interim director of public health, saying in a news release, “This is an opportunity to increase cooperation and collaboration between these two agencies to better serve Iowans.”

A Request for Proposal reveals more details about the planned scope of the reorganization, which is scheduled to begin early next year. Notably, control of infectious diseases is among the areas of the IDPH’s work that will be “excluded from the redesign.”

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Five unanswered questions about Iowa governor's staff salary payments

Governor Kim Reynolds has defended her decision to use nearly $450,000 in federal funds from the Coronavirus Aid, Relief and Economic Security (CARES) Act to pay salaries and benefits for her permanent staffers.

But her comments at a September 16 news conference, along with information her staff provided to some reporters afterwards, left several salient questions unanswered.

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Exclusive: Iowa governor used CARES Act funds to pay staff salaries

Governor Kim Reynolds directed that nearly $450,000 in federal funding the state of Iowa received through the Coronavirus Aid, Relief and Economic Security (CARES) Act be used to cover salaries and benefits for staff working in her office.

According to documents Bleeding Heartland obtained from the Iowa Department of Management through public records requests, the funds will cover more than 60 percent of the compensation for 21 employees from March 14 through June 30, 2020.

Reynolds has not disclosed that she allocated funds for that purpose, and reports produced by the nonpartisan Legislative Services Agency have not mentioned any CARES Act funding received by the governor’s office. Nor do any such disbursements appear on a database showing thousands of state government expenditures under the CARES Act.

The governor’s communications director Pat Garrett did not respond to four requests for comment over a two-week period.

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Iowa's state universities won't follow Trump's payroll tax deferral

Tens of thousands of employees at Iowa’s state universities will have their payroll taxes withheld as usual this fall, despite a recent executive order from President Donald Trump.

Trump moved last month to suspend payroll taxes from September 1 through December 31, 2020. Affected employees would see slightly higher paychecks for the next four months, but would have lower take-home pay from January through April 2021 as employers withhold double the amount for payroll taxes.

Josh Lehman, communications director for the Iowa Board of Regents, told Bleeding Heartland on September 9,

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Why did these House Republicans reject an easy win for Iowa taxpayers?

State Auditor Rob Sand had “great news” to share with members of the Iowa House and Senate Appropriations Committees in May. Federal officials had agreed not to demand repayment for alleged overbilling, provided that Iowa changed its billing practices for future audits. The savings to the state would amount to tens of thousands of dollars for each fiscal year.

Documents Bleeding Heartland obtained through a public records request confirm that key Reynolds administration officials were on board with the reform plan, and Iowa Senate appropriators took it up in June as the legislature was completing its work.

The records also show that State Representatives Gary Mohr and John Landon refused to move the fix through the Iowa House.

What they don’t explain is why.

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