Iowa Workforce Development bill advances

April 14, 2016

On Wednesday, the Senate Appropriations Committee approved Senate Study Bill 3176 and the bill is now eligible for full senate debate. As reported in previous updates, this bill had three main parts:

  • the statewide structural requirements of the federal Workforce Innovation and Opportunity Act (WIOA)
  • funding of software upgrades to improve accuracy and efficiency of Iowa’s Unemployment Compensation benefits system
  • the restoration of erroneous unemployment compensation payments made in 2014 into the UC Trust Fund, which is solely funded by Iowa’s employers through the State Unemployment Compensation Tax System.

After several weeks of discussions with IWD and key legislators, an agreement was reached that will “make whole” the loss of money from the UC Trust Fund. The agreement restores more than $528,000 of Iowa business contributed funds by use of federal Reed Act stimulus resources that were granted to Iowa. 

ABI was the only organization in discussion with Iowa Workforce Development (IWD) and legislative leaders to protect Iowa business interests in the UC Trust Fund. We will keep you updated as this bill continues to advance through the legislative process.