December 13, 2022

Iowa Announces CDL Reimbursement Plan - $6 Million in Funding

An overhead view of a long-haul truck driving along a straight road bordered by golden fields
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Many states across the country have announced in recent years that they are facing a CDL driver shortage. Over the years many barriers to entry have also risen making the process of attaining a CDL timelier and more costly. The state if Iowa is taking a big step in overcoming these barriers.

In efforts to break costly barriers on obtaining a CDL, Iowa governor Kim Reynolds announced $6 million to support employers, nonprofits, and other related organizations who employ Iowa based CDL drivers and sponsor or partner on training programs that are aimed in preparing potential CDL drivers for the skills and knowledge tests.

“Truck drivers play such a critical role in meeting our supply chain demands — if you got it, a truck driver brought it,” Reynolds said. “Like the rest of the nation, Iowa, too, has a high demand for truck drivers; and in order to meet that demand, we need innovative solutions that reduce barriers for anyone interested in obtaining a CDL license,” said Gov. Reynolds.

This new program will break down barriers that currently exist for obtaining a CDL and provide support to organizations who sponsor these critical training opportunities right here in Iowa.

Kim Reynolds
Iowa Governor

Earlier this year the FMSCA announced that they are implementing Entry Level Driver Training which is a mandate that requires all new CDL drivers to take additional training requirements and courses on top of their required CDL obligations.

“This program was created to set up some alternative training methods, particularly for the agricultural segment,” said Brenda Neville, president and CEO of Iowa Motor Truck Association. She explained that adding new FMCSA requirements are creating “a barrier to entry and we are noticing it in the agricultural segment.”

Grant funding from the Iowa Entry-Level Driver Training Program can be used to reimburse eligible organizations that either offer these additional training programs in house or through partnerships with third party providers. The funds can be used to pay for instructor wages, curriculum needs, etc. If using a third party, employers can use the funds to pay for the tuition of these required programs.

Applications for grant funding will be accepted at IowaGrants.gov beginning on Tuesday, Dec. 13, and are due by 11:59 a.m. on Friday, Feb. 3, 2023.