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flag Iowa’s Medicaid faces $181M deficit in 2027 as pandemic funding ends and costs rise.

flag Iowa’s Medicaid program faces projected deficits of $76 million in 2026 and $181 million in 2027 as pandemic-era federal funding ends and costs rise due to a sicker patient population, higher drug prices, and increased managed care payments. flag State Auditor Rob Sand, a Democrat, criticized Republican leadership for relying on temporary funds, calling the situation a “fiscal time bomb.” While officials say care for vulnerable groups will continue, uncertainty remains over federal funding cuts and proposed work requirements.

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