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Iowa will receive $152 million from US Agriculture Department toward rural development

Marissa Payne, Des Moines Register
Last updated: August 10, 2025 2:24 am
Marissa Payne, Des Moines Register
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Iowa will receive an infusion of $152 million in federal money toward 19 rural development projects across the state in what U.S. Agriculture Secretary Brooke Rollins called an “unprecedented” effort to spur economic growth, attract private investment and develop rural infrastructure.

Announcing the federal money at the Iowa State Fair on Saturday, Aug. 9 before showing the steer “Snoop Dog” in the Governor’s Charity Steer Show, Rollins said these investments are important in supporting rural America, “where the real American spirit lives and thrives and was born and must continue.”

“Whether it’s better hospitals in rural America, better health care in rural America, better child care in rural America, better services, water, etc. in rural America, this president, perhaps more than any in our lifetimes, isn’t just a farmers-first president,” Rollins said. “He’s also the rural America president.”

U.S. Secretary of Agriculture Brooke Rollins shows at the Governor’s Charity Steer Show at the Iowa State Fair on Aug. 9, 2025.

Gov. Kim Reynolds cheered the investment and said “during this time of uncertainty in the ag economy, I’m so grateful to have a partner that we can rely on. Farming is essential to the American way of life.”

The funding will support health care infrastructure with a $37 million loan to Guthrie County Hospital to expand and renovate its facility, supporting a 16,000-square-foot addition. That will include adding a behavioral health room in the emergency room, an MRI room, exam rooms and lab space; updating nurse call technology and providing new sleep ventilators; and renovating the dining hall and kitchen.

More: Need fair info? The Iowa State Fair 2025 daily guide is your source

It also supports transportation and street improvements, rural business and job growth through electric cooperatives, and several water and wastewater projects.

One of those grants toward water projects was awarded to Bondurant, which will receive $2.5 million to build a 1-million-gallon elevated water tower and main to prevent water pressure loss for its 7,365 residents.

U.S. Department of Agriculture Secretary Brooke Rollins speaks during a press conference in Penningroth Arena in the Cattle Barn during the third day of the Iowa State Fair on Aug. 9, 2025, in Des Moines.

U.S. Department of Agriculture Secretary Brooke Rollins speaks during a press conference in Penningroth Arena in the Cattle Barn during the third day of the Iowa State Fair on Aug. 9, 2025, in Des Moines.

Will the USDA relocate its offices to Iowa?

The USDA in July unveiled its reorganization plan to move most of its Washington-area staff to five locations around the country and shutter several USDA offices in the capital area.

Those newly announced hubs are in North Carolina, Colorado, Utah, Missouri and Indiana. As of now, there is “no Iowa, but there are more announcements coming,” Rollins said.

“Listen, I love the USDA buildings in Washington,” Rollins said. “They are beautiful. They’re right on the National Mall. They’re just — it’s inspiring to walk up every day. But do we really need three massive buildings for USDA on the National Mall?”

She said one of the buildings has 6,000 offices, and only about 900 people work there regularly, so the move will save the federal government “billions.”

“The bottom line is moving the power out of Washington, returning the government to the peopleand having people that are better able to serve our constituents, who are closer to them,” Rollins said.

Iowan nominated to lead USDA’s rural development efforts

Rollins also announced that President Donald Trump has nominated an Iowan to be the USDA under secretary for rural development.

Trump has tapped Glen Smith of Atlantic to oversee the department’s rural development policies and programs, including assistance in rural business, utilities and housing.

He has recently served on the Farm Credit Administration Board of Directors in Washington, D.C., and is a graduate of Iowa State University.

Rollins said Smith “will continue to be an incredible leader and a resolute voice for farmers here in Iowa and across the country in this new role.”

Reynolds congratulated Smith and said “we don’t think they could have picked a better person to serve.”

Marissa Payne covers the Iowa Statehouse and politics for the Register. Reach her by email at mjpayne@registermedia.com. Follow her on X, formerly known as Twitter, at @marissajpayne. 

This article originally appeared on Des Moines Register: Iowa will receive $152 million from USDA toward rural development

TAGGED:Brooke RollinsIowaIowa State FairIowa State UniversityKim Reynoldsrural Americarural developmentrural infrastructureUSDA
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