Iowa Industrial New Jobs Training Program (260E): Administrative Rules and Interim Study Committee Timeline

260E was a popular topic at CCforIowa’s Day on the Hill in February of 2026. Pictured. Here is Iowa Central Community College, with its largest location in Fort Dodge, showcasing its business partnerships.

Iowa Industrial New Jobs Training Program (260E): Administrative Rules and Interim Study Committee Timeline

The Iowa Industrial New Jobs Training Program (260E) has been connecting businesses across Iowa with educated professionals and customized training for over 40 years. During the most recent legislative session, changes were passed that affect how the program functions and the potential partnerships between local businesses and Iowa’s community colleges. Here’s a closer look at these developments as they stand today.

Background

HF 2799, signed June 2, 2026, made changes to 260E that run on separate tracks. First, it amended the 260E statute; requiring Iowa Workforce Development (IWD) to rewrite the program’s rules (ARC 0629D) to carry out those changes. Second, it created a legislative interim study committee to review the whole program.

Date	Track	Event
May 2–3, 2026	Legislation	HF 2799 passes the House 78–7 (May 2) and the Senate 41–0 (May 3).
June 2, 2026	Legislation	Governor signs HF 2799. Effective dates: 06/02/2026 and 07/01/2026.
Aug. 1, 2026	Interim	Statutory deadline for the committee’s first meeting (“on or before August 1, 2026”).
Aug. 19, 2026	Rules	IWD publishes Regulatory Analysis RA 26-259 for new 260E administrative rules.
Sept. 8, 2026	Rules	IWD public hearing on the RA. CCforIowa testifies and files written comments.
Sept. 14, 2026	Rules	ARRC reviews the RA. CCforIowa provides comments.
Sept. 30, 2026	Rules	Notice of Intended Action ARC 0629D published with no changes from the RA.
Oct. 7, 2026	Interim	First (organizational) meeting of the 260E Interim Study Committee.
Oct. 12, 2026	Rules	ARRC calls up ARC 0629D for discussion. Emily Shields testifies. ARRC members ask IWD not to take any action until after the interim report is released Dec. 15, 2026.
Oct. 20, 2026	Rules	IWD public hearings (10–11 a.m. and 2–3 p.m.).
Nov. 16, 2026	Interim – next	Full-day committee review of the program.
Dec. 15, 2026	Interim – next	Deadline for the committee’s report and recommendations to the General Assembly.
TBD	Rules – next	The rules are noticed and filed by IWD and can be reviewed at the next ARRC meeting.
Jan. 2027	Next	The 2027 legislative session can act on the committee’s recommendations.

Significance

Rules (immediate, operational): The rules control how 260E works day to day, and several provisions go further than the statute – capping admin expenses at 7%, requiring a 30% employer payment before the release of funds, excluding leadership, communication, and teamwork training. These changes could reduce employer participation, especially among small and rural employers, and shrink college capacity to administer projects.
Interim committee (policy direction): The committee is the main forum shaping potential 2027 legislative recommendations. The report could support anything from targeted fixes to broader eligibility changes (such as health care or incumbent workers), to replacing the program.

What Is Still to Come

Rules: IWD reviews comments and decides whether to adopt ARC 0629D as noticed, change it, or not adopt it. If adopted, it will be published as an Adopted and Filed rule, and ARRC can review it again and decide whether to vote for a session delay, 70-day suspension, or objection. If no action is taken, they are adopted as filed.
Interim committee: At the Nov. 16 deep dive, the committee must cover the 8 statutory review questions: original objectives, jobs created, wage gains, retention, financial impact and ROI, training quality, targeting of high-demand industries, and underserved sectors. It must also gather participant input; review college partnerships, compliance monitoring, use of bond interest, skill transferability and the payment mechanism; and compare 260E with other incentives. The final report is due Dec. 15, 2026.
Combined: The two tracks are not sequenced. While the ARRC has requested IWD to wait for the interim committee’s final report, IWD may finalize rules before it’s released. That could put major operational changes in place before the interim study committee’s review is finished, and any recommendations are made. Because 260E revenue also funds 260F, effects could reach incumbent-worker training as well.

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