July 09, 2025

Week 16 update

By State Rep. Jon Dunwell

As your state representative, I am committed to keeping you informed about the critical work happening in Des Moines. This week, I want to provide an update on two key areas: the ongoing investigation into the misallocation of court debt funds by the Iowa Judicial Branch and the progress on the Fiscal Year 2026 budget negotiations.

The House Government Oversight Committee held another hearing this week to examine the Iowa Judicial Branch’s misallocation of at least $27 million in court debt funds. We heard testimony from State Auditor Rob Sand, whose office failed to identify these irregularities in a timely manner. Alarmingly, Auditor Sand was alerted to the issue in the fall of 2022 but did not inform the Iowa House until two years later, allowing the problem to persist and worsen.

During the hearing, Auditor Sand downplayed the severity of the misallocation, claiming the funds were redirected to the general fund. However, we have yet to receive concrete documentation verifying this claim. The consequences of this misallocation are significant: victims of crime have been denied timely compensation, infrastructure projects like bridge repairs and road improvements have been delayed, and community safety programs have been underfunded.

The lack of timely communication from both the Judicial Branch and the Auditor’s office is unacceptable. The House Government Oversight Committee is dedicated to a thorough investigation to uncover the full scope of this issue, ensure accountability, and implement safeguards to prevent future errors. Iowans deserve a government that prioritizes transparency, protects public resources, and delivers on its commitments to support victims, infrastructure, and community safety.

This week, House Republicans, Senate Republicans, and the Governor released their budget targets for Fiscal Year 2026, marking a significant step toward finalizing the state budget. House Republicans have proposed a fiscally responsible budget of $9.453 billion, a 5.65% increase over the current year’s $8.947 billion. This $506 million increase reflects our commitment to funding Iowans’ priorities while maintaining fiscal discipline.

The Senate and Governor have agreed on a slightly lower budget of $9.417 billion, approximately $36 million less than the House proposal. Negotiations are ongoing, but I am proud to report that the House Appropriations Committee met Thursday to advance several key budgets, including Economic Development, Education, Transportation, Infrastructure, Federal Block Grants, Sports Wagering Receipts, and Opioid Settlement Fund appropriations.

House Republicans have a proven track record of passing responsible budgets that lower the tax burden while investing in critical priorities. Our proposed budget supports elderly Iowans in nursing homes, maintains our commitment to increased paraprofessional pay, and provides resources for human trafficking victims. We are fighting to ensure taxpayer dollars are used wisely to deliver on these promises.

As we continue our work in the Iowa House, I remain dedicated to advocating for transparency, accountability, and responsible governance. My colleagues and I are working diligently to resolve the issues surrounding the misallocated court debt funds and to finalize a budget that reflects the needs and values of Iowans.

Let’s keep the conversation going!