(C) Iowa Capital Dispatch
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State considering hiring private company to provide health care in Iowa prison system • Iowa Capital Dispatch [1]
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Date: 2025-07-08
An Iowa Department of Corrections official confirmed Tuesday the department is issuing a request for proposal to contract with a private company for health care services in state prisons, though the state has not made a final decision on pursuing such a contract.
Paul Cornelius, the DOC chief of staff, said in an email to the Iowa Capital Dispatch that the request for proposal, or RFP, is meant to “explore future options for health care delivery and to replace our current electronic health record system.”
“This is an exploratory step — no final decisions have been made, and no immediate changes are planned for staff or services,” Cornelius wrote. “The goal is to evaluate how we can best meet long-term health care needs while continuing to provide high-quality care.”
The RFP has not been posted publicly, but the department intends to look at private companies to provide health services in Iowa’s correctional facilities. According to reporting from the Gazette, an email sent from the DOC to its medical staff stated this change is a response to ongoing challenges with staff shortages, the rising costs of pharmaceutical drugs and transportation, and a need to expand the system’s mental health and substance abuse treatment capabilities.
The privatization of health care in Iowa’s prisons would hurt the care providers currently working for the DOC, Todd Copley, president of AFSCME Council 61, said.
“This is a slap in the face to the public employees who’ve kept Iowa’s correctional health system running through crisis after crisis,” Copley said. “Instead of investing in the frontline workers already doing the job, the state wants to hand it off to a private contractor. That’s not a solution, it’s a mistake.”
Under the proposal outlined in the email to staff, all health care workers in the DOC system would be employed by the company contracted to provide care should the department decide to award a contract. Copley said this is cause for concern because current DOC workers could see pay cuts if they are offered to keep their position, and because these health care professionals would no longer have access to Iowa Public Employees’ Retirement System (IPERS), the state’s public pension system, as they would no longer be public employees.
While labor advocates opposed contracting out health care work in state correctional facilities, AFSCME 61 stated in was supportive of another part of the plan — updating the DOC’s electronic health record system. While updates to the record system are “long overdue,” Copley opposed tying these upgrades to workforce changes, saying the move “risks disrupting care, weakening accountability, and undermining staffing.”
Instead of pursuing privatization, Copley called for the state leaders to use funds from the state’s budget reserves toward better pay for health care staff and system upgrades.
“The governor has bragged about a $1.8 billion surplus,” Copley said. “If that’s not enough to upgrade systems and pay a competitive wage to public healthcare workers, then what are we saving it for?”
While Iowa has built up a sizable surplus over several years, Republicans at the Iowa statehouse are planning to use those funds in part to finance the implementation of recent tax cuts. In the 2025 legislative session, lawmakers approved a $9.425 billion budget, spending more than the projected $8.5 billion in revenue for Fiscal Year 2026. This shortfall was made up for by drawing from the state reserves, Taxpayer Relief Fund and remaining balance from previous years.
Rep. Timi Brown-Powers, D-Waterloo, said the RFP to privatize health care in Iowa’s correctional facilities is due to Republicans’ budgeting decisions, saying the move would be a “costly mistake.”
“We shouldn’t be surprised that Republican leaders are once again making Iowa workers pay the price for their poor budgeting decisions by privatizing healthcare at the Iowa Department of Corrections,” Brown-Powers said. “It’s part of a disturbing pattern of short-sighted choices as Republican lawmakers continue to ruin the state’s finances and spend more than available revenue, which hurts working families and costs the state more in the long run.”
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