Iowa budget closes with full cash reserves, surplus of $305M

Gov. Kim Reynolds announced today that the State of Iowa will end Fiscal Year 2020 with a balance of $305.5 million in its General Fund. 

"Fiscal responsibility has put the state of Iowa in a strong position despite some significant challenges ranging from a global pandemic to trade disruption,” said Gov. Reynolds. “In Iowa, we have turned those obstacles into opportunities, making significant investments in education, agriculture, workforce, technology, and health care. The actions we have taken this year will help Iowa emerge from this unprecedented pandemic stronger than ever before. Going forward, we will continue to invest responsibly in Iowans’ priorities and remain mindful of the potential challenges that still lie ahead.”   

“Iowa is in a strong financial position due to responsible spending practices and our strong cash reserves of over $770 million,” said Dave Roederer, Director of the Iowa Department of Management. “I commend Governor Reynolds and the Iowa legislature for their efforts to maintain a strong ending balance. We will continue to monitor the impact COVID19 has on our state budget for the coming fiscal year.”  

FY 2020 closed on June 30th, but the accrual period officially ends on September 30th. During this time, Iowa closes the books and pays out and receives outstanding obligations. Last year’s budget surplus was $289 million dollars.