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Your financial contribution empowers watchdog reporting that protects and informs us all. New Iowa laws on issues from transgender civil rights protections to changes to Iowa's unemployment insurance tax system will be officially enacted Tuesday. July 1, the beginning of the fiscal year, is when most laws passed during a legislative session begin enforcement. However, there are some measures that have other start dates—for example, warnings will begin Tuesday for violations of Senate File 22, the law banning the use of cellphones while driving outside of hands-free or voice activated modes, but criminal charges will not start until January 2026. Additionally, there are also several education-related laws that take effect July 1, but will not be enacted until the 2025-2026 school year begins. Here's what to know about some of the changes in Iowa Code taking effect: Gender identity in the Iowa Civil Rights Act: The first bill Reynolds signed in the 2025 legislative session was Senate File 418, removing gender identity as a protected class in the Iowa Civil Rights Act. As the measure takes effect, there will no longer be legal protections against discrimination in employment, housing, public accommodations and education for transgender individuals or others who have been denied access to these services or opportunities because of their gender identity. This new law directly relates to another measure going into effect Tuesday through the state's Health and Human Services appropriations bill, House File 1049. The law bans Medicaid coverage for transgender Iowans seeking gender-affirming health care, like sex reassignment surgery, hormone treatment therapy and other physical health care treatments for gender dysphoria. Previous attempts to enact a ban on Medicaid coverage for gender-related health care were struck down in court because of the protections provided by the Iowa Civil Rights Act. Unemployment insurance taxes: Iowa will collect less in unemployment insurance taxes from employers with the enactment of Senate File 607. The law cuts the taxable wage base used in collecting unemployment insurance taxes from employers in half, from 66.7% to 33.4%, in addition to making changes to employer contribution rates. When signing the bill into law in early June, Reynolds said the change was "long overdue" in correcting overpayments into the state's Unemployment Compensation Trust Fund. Anti-SLAPP lawsuits: "Strategic lawsuits against public participation," or SLAPP lawsuits, can see expedited relief in courts under House File 472. SLAPP lawsuits are cases brought by an entity against news organizations or activists to suppress public speech or reporting on an issue by engaging in an expensive, drawn-out legal battle. The new law will allow these lawsuits — court actions related to First Amendment rights, like the freedom of speech and press — to be addressed more quickly. The law passed includes a caveat that anti-SLAPP protections cannot be applied retroactively, meaning that only lawsuits filed July 1 onward are eligible for expedited relief. Citizenship verification for voters: House File 954 allows registered voters to have their citizenship status challenged at the polls. However, supporters of the measure and Iowa Secretary of State Paul Pate, who proposed the law, say it also contains provision that will prevent the need for widespread voter eligibility challenges similar to what happened in the 2024 election, by allowing the Secretary of State's office to verify citizenship status of registered voters before an election through contracts with state and federal agencies, as well as private entities. The measure also includes a ban on ranked choice voting, though this component of the bill does not go into effect until Jan. 1, 2026. Election recounts: The process for conducting—and calling—election recounts in Iowa will be different under House File 928. Initial election results must be within a threshold of 1% or 50 votes, whichever is less, and within a 0.15% difference for recounts in statewide and federal races, for a candidate to request a recount under the new law. Previously, candidates could request a recount with no limitations on the margin of victory in initial results, though the state would only cover the costs of a recount if results were within one percentage point. The law also changes the composition of election recount boards to be led by the county auditor, with staff and hired election workers making up the boards. An equal number of workers from each political party is required. Pharmacy benefit managers: The law setting regulations on pharmacy benefit managers (PBMs), Senate File 383, is a measure some pharmacists and supporters say will help keep rural and independent pharmacies across the state in business. The law stops PBMs, the entities that negotiate prescription drug prices between drug manufacturers, health insurance companies and pharmacies, from engaging in certain business practices that push consumers to use mail-order or specific pharmacies, like the use of financial incentives or penalties. It also sets a dispensing fee of $10.68 from PBMs to pharmacists for each prescription filled at rural and small pharmacies. Though the law will be enacted Tuesday, a lawsuit from several businesses and organizations filed in late June is seeking to overturn the measure. Firearm age limits: The minimum age to own and carry handguns, like pistols and revolvers, is lowered from age 21 to age 18 by House File 924. While buying a handgun from a federally licensed firearm dealer would still be banned for 18- to 20-year-olds under federal restrictions, the measure makes a change that lawmakers said addresses recent federal court decisions that found similar laws restricting firearms for adults under age 21 were unconstitutional. Cellphones in school: With rules set to take effect as K-12 schools return for the 2025-2026 school year, House File 782 requires public K-12 school districts set policies that, at minimum, restrict the use of cellphones during instructional periods. The measure, one of Reynolds' priorities for the 2025 legislative session, includes exceptions, such as students with an Individualized Education Program (IEP) or 504 plan that involves the use of a cellphone or other device in their accommodations, and when a school district approves a parent's request for their child to retain access to their phone because of a "legitimate" reason related to their mental or physical health. Fetal development instruction: Senate File 175 requires Iowa schools' human growth and development classes for students in grades 5-12 include fetal development videos and graphics that depict "the humanity of the unborn child by showing prenatal human development, starting at fertilization." The content shown in schools to meet this requirement cannot come from entities that perform or "promote" abortions, or that contract, affiliate, or make referrals to organizations which perform or promote abortions. Threat assessment teams: Senate File 583 allows K-12 public school districts, private schools and charters schools to establish threat assessment teams to prevent school shootings and violence. These teams, which can be made up of school officials, law enforcement, mental health and social services workers, are able to share "reasonably necessary" information about students if their behavior is deemed a potential safety risk to other students or school staff. Join the community of savvy subscribers (for free)! Get the latest updates, tips, and insider information by subscribing to the free newsletter today.

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What to Know About the New Laws Going Into Effect July 1