Iowa governor stands by use of virus aid for IT project

Gov. Kim Reynolds says her administration will try to convince federal auditors to allow its plan to spend $21 million in coronavirus relief funds on a long-planned information technology system.

Reynolds said that the state believes spending federal virus aid to purchase and implement a new accounting and human resources system for the executive branch is “an allowable expense.”

She said that if auditors disagree, the state will change course.

State Auditor Rob Sand concluded Monday that the use of funds for the Workday project was inappropriate. He warned that Iowa will be on the hook to repay the federal government $21 million later if it’s not diverted to an allowable use.