ARC 0298D

ARC 0298D

WORKFORCE DEVELOPMENT DEPARTMENT[871]

Notice of Intended Action

Proposing rulemaking related to contested cases
and providing an opportunity for public comment

    The Workforce Development Department hereby proposes to adopt new Chapter 2506, “Contested Cases,” Iowa Administrative Code.

Legal Authority for Rulemaking

    This rulemaking is proposed under the authority provided in Iowa Code chapter 17A.

State or Federal Law Implemented

    This rulemaking implements, in whole or in part, Iowa Code chapter 17A.

Purpose and Summary

    This proposed rulemaking modifies the Uniform Rules on Agency Procedure related to contested cases (7—Chapter 2506) to ensure that contested cases arising from Workforce Innovation and Opportunity Act programs, Registered Apprenticeship programs, and Vocational Rehabilitation programs are governed by the applicable federal regulations (20 CFR Part 683, Subpart F; 29 CFR Parts 29 and 30; and 34 CFR Part 361) and not the contested case provisions of 7—Chapter 2506.

    The new Uniform Rules on Agency Procedure are effective as of January 13, 2026, which means there is an inconsistency between the contested case provisions of the Uniform Rules on Agency Procedure and the procedures laid out in 20 CFR Part 683, Subpart F; 29 CFR Parts 29 and 30; and 34 CFR Part 361. Earlier adoption of this rulemaking will allow the Department to ensure any contested case coming before the Department has clear direction as to the appropriate procedural requirements.

Fiscal Impact

     This rulemaking has no fiscal impact to the State of Iowa.

Jobs Impact

    After analysis and review of this rulemaking, no impact on jobs has been found.

Waivers

    Any person who believes that the application of the discretionary provisions of this rulemaking would result in hardship or injustice to that person may petition the Department for a waiver of the discretionary provisions, if any, pursuant to 7—Chapter 2504.

Public Comment

     Any interested person may submit written or oral comments concerning this proposed rulemaking, which must be received by the Department no later than 4:30 p.m. on June 16, 2026. Comments should be directed to:

Public Hearing

     No public hearing is scheduled at this time. As provided in Iowa Code section 17A.4(1)“b,” an oral presentation regarding this rulemaking may be demanded by 25 interested persons, a governmental subdivision, the Administrative Rules Review Committee, an agency, or an association having 25 or more members.

Review by Administrative Rules Review Committee

    The Administrative Rules Review Committee, a bipartisan legislative committee which oversees rulemaking by executive branch agencies, may, on its own motion or on written request by any individual or group, review this rulemaking at its regular monthly meeting or at a special meeting. The Committee’s meetings are open to the public, and interested persons may be heard as provided in Iowa Code section 17A.8(6).

Emergency Rulemaking Adopted by Reference

    This proposed rulemaking is also published herein as an Adopted and Filed Emergency rulemaking (see ARC 0299D, IAB 5/27/26). The purpose of this Notice of Intended Action is to solicit public comment on that emergency rulemaking, whose subject matter is hereby adopted by reference.