The state of Iowa receives $6.1 billion in federal money annually for programs.
“About half of that goes to Medicaid,” said David Roederer, director of the Department of Management and Gov. Terry Branstad’s top budget officer. “The theory is they aren’t going to do anything to Medicaid, Medicare and Social Security.”
If Medicaid goes through untouched, that leaves $3.05 billion to help underwrite a huge variety of programs in the state from money for elementary school teacher training and building roads to dollars for cleaning up rivers.
State officials have been careful not to say what would get cut and what would be saved because negotiations are ongoing in Washington, D.C., but Roederer has been telling department heads to expect 7 to 8 percent budget cuts overall.
“We’re also telling them not to expect any backfill from the state,” he said. “If you have a program that’s 80 percent federally funded, it’s likely going to be reduced significantly.”