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Lawsuit claiming pathology 'monopoly' is dismissed by court • Iowa Capital Dispatch

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Lawsuit claiming pathology 'monopoly' is dismissed by court • Iowa Capital Dispatch


A federal judge has dismissed a lawsuit alleging a group of central Iowa pathologists conspired to maintain a monopoly at the expense of patients.

The lawsuit was one of three involving allegations of unfair competition, harassment, retaliation and discrimination among central Iowa pathologists.

The suit was filed in May 2024 in U.S. District Court for the Southern District of Iowa by four pathologists who last year established Goldfinch Laboratory of Urbandale – physicians Tiffani Milless, Caitlin Halverson, Renee Ellerbroek and Jared Abbott.

The four sued their previous employers, Iowa Pathology Associates of Des Moines and Regional Laboratory Consultants, alleging the two companies tried to suppress competition for pathology services in central Iowa and maintain a monopoly, all in violation of state and federal law.

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Each of the companies provides dermatopathology and other pathology services for patients in central Iowa whose physicians require laboratory services that provide medical diagnoses from biological specimens.

The lawsuit alleged that since 2021, IPA and RLC pressured its pathologists to sign employment agreements that include a no-compete clause. At the time, the four IPA-employed pathologists who would later depart and form Goldfinch refused to sign the agreement.

The lawsuit claims the agreement was not intended to prohibit the use of confidential corporate information and was instead aimed at maintaining IPA’s and RLC’s monopoly on services.

As part of its lawsuit, Goldfinch accused IPA of refusing to share biopsy slides with Goldfinch pathologists, even when those slides were required to ensure the continuity of care offered to patients and even when, according to Goldfinch, the refusal “could well have caused harm to patients.”

IPA and RLC denied any wrongdoing and filed a motion to have the case dismissed. U.S. District Judge Rebecca Goodgame Ebinger recently granted the motion after finding that Goldfinch failed to define a geographic market in which consumers had no other source for pathology services.

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“Even assuming central Iowa is where the defendants draw a sufficiently large portion of their business, Goldfinch has not sufficiently alleged a plausible reason why potential referral sources cannot practicably turn to alternative sources outside central Iowa,” the judge ruled. “Goldfinch has not plausibly identified a relevant market as required to allege attempted monopolization.”

Two other lawsuits still pending

The federal lawsuit followed a still-pending state court lawsuit filed by IPA and RLC against the four Goldfinch partners in late 2022 that is in the final stages of litigation.

That lawsuit seeks to block Goldfinch from soliciting IPA clients or using IPA information, and alleges the Goldfinch pathologists were “flagrantly, rampantly and disloyally working against” IPA’s interests even before they left IPA.

A bench trial in that case was held last month, but the court has yet to issue a decision and recent post-trial briefs are sealed from public view.

Separately, two of the Goldfinch pathologists — Tiffani Milless and Caitlin Halverson – have filed a discrimination lawsuit against IPA and RLC, alleging they were paid $200,000 to $350,000 annually, which they claim was far less than what some of the less qualified male doctors were paid.

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A trial in that case is scheduled for August 2025.



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Iowa City residents face higher water bills in July

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Iowa City residents face higher water bills in July


IOWA CITY, Iowa (KCRG) -Water and wastewater utility rates in Iowa City will increase starting July 1, following a city council decision on May 19.

The water utility rate will increase by 3%, while the wastewater rate will increase by 5%.

The increases are part of a funding model to help recover the costs of providing water and wastewater services to Iowa City residents.

The new rates will take effect in tandem with Iowa City’s 2027 fiscal year and apply to customers served by the Iowa City Water Division and the Iowa City Wastewater Division.

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The city said the rate adjustment supports its continued provision of safe and reliable water service.

To learn more about the city’s utilities, visit their website.

Copyright 2026 KCRG. All rights reserved.



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New Iowa program aims to remove barriers to family support

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New Iowa program aims to remove barriers to family support


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Thrive Iowa, a new initiative from the Iowa Department of Health and Human Services, has officially launched in a number of counties across the state with the goal of helping struggling Iowa families connect with local resources and build a network of support in their community.

On June 23, Warren County celebrated its own program site launch as one of eight initial sites. Other counties that are celebrating their own site launches are Cass, Lee, Black Hawk, Webster, Buena Vista, Fayette and Clayton. A site is officially launched once it has enrolled a minimum of 20 participants, Iowa HHS Director of Communications Danielle Sample said in a statement.

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The eight sites serve 11 counties in total, with services also available in Henry, Madison, and Van Buren counties, according to the Thrive Iowa website.

What is Thrive Iowa?

The initiative is focused on serving families, such as parents, caretakers, and pregnant individuals, according to the program’s website. To be eligible to receive help from the program, families must be living in Iowa, be a U.S. citizen or legal resident, and have an income at or below 200% of the federal poverty level.

The 2026 federal guidelines consider a family of four to be at the 200% threshold if they make $66,000 or less annually.

The program also outlines 13 core areas of well-being where it offers support. These include housing, recovery, employment, transportation, education, mental health, physical health, safety, dental, financial stability, food, child care and legal assistance.

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The overall goal of the program is to reduce barriers to accessing support for families by doing the work of finding the right organization to meet their needs for them. Instead of having to reach out to multiple sources, a family can visit the program’s HopeHub, a case management system, to create a free account and receive a referral. Once referred, the individual is connected with a Thrive Navigator who will create a personalized plan and build local connections to assist the family.

Thrive Iowa is modeled after Restore Hope, an Arkansas-based nonprofit that began in 2015 to reduce the number of individuals in incarceration and the foster care system through community-based approaches. In addition to Iowa, this model is also used in Tennessee and Canada, according to the organization’s website.

The Iowa program plans to expand to other counties in the near future, Sample said. In July, Iowa HHS will begin onboarding more participating organizations and counties, expanding the program to serve 22 counties.

Warren County launch pledges to take families from crisis to careers

At the Warren County launch, the county’s initiative coordinator, Sarah Downard, was joined by Iowa State Rep. Brooke Boden, Ben Segebart, senior pastor at Indianola Freedom Fellowship Church, Sue Wilson, executive director of WeLIFT Job Search Center in Indianola, and Paul Chapman, executive director of Restore Hope.

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Downard said the Warren County site is currently serving over 20 families.

To a room of around 75 community members and local organizations at The Hive event venue in Indianola, the five speakers emphasized the importance of the mission behind Thrive Iowa, which is collective impact and helping build strong communities through supporting the families that live there.

The group also invited the whole room to sign the site’s declaration of participation in the program, which stated the goals of the program and a pledge to work together to help take families from crisis to career.

“When families are struggling, we feel the impact everywhere,” Boden said. “We see this in our schools, our health care systems, our workplace, and our communities.”

Isabelle Foland is a communities reporter for the Register. Reach her at ifoland@registermedia.com.

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Iowa one of nine states that won’t have to match portion of federal SNAP benefits

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Iowa one of nine states that won’t have to match portion of federal SNAP benefits


CEDAR RAPIDS, Iowa (Iowa Capital Dispatch) – The majority of U.S. states will soon have to pay 5% to 15% of federal nutrition assistance benefits in their state, according to the U.S. Department of Agriculture’s release Wednesday of Supplemental Nutrition Assistance Program payment error rates.

House Resolution 1, commonly known as the One Big Beautiful Bill Act that was enacted in 2025, stipulated that states with SNAP payment error rates greater than 6% would be required to foot 5%, 10% or 15% of SNAP benefits costs in their state.

Iowa, with a payment error rate of 5.34% in 2025, is just one of nine states with an error rate below 6% and that won’t have to match a portion of the SNAP benefits it pays out, starting in October 2027.

According to USDA, SNAP payment error rates measure the accuracy of states in determining who is eligible for SNAP and how much they receive. The rate is calculated via a series of reviews from state and federal agencies where instances of overpayments and underpayments are identified.

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USDA’s SNAP quality control page says errors are “largely unintentional” and might be the fault of a state agency or a SNAP household.

Eighteen states had payment error rates above the national average of 10.62%. Per the quality control process, these states will have to either pay USDA a determined amount, or invest 50% of that amount into activities that will fix the root causes of the payment errors.

USDA said that while the 2025 average payment error rate is a “modest” decrease from the 2024 average error rate of 10.93%, it represents $10.1 billion in improper payments.

Secretary of Agriculture Brooke Rollins said the latest payment error rates show that “state accountability is severely lacking” in SNAP.

“USDA has taken historic action to help interested states curb SNAP waste, and I hope other states, regardless of political leadership, prioritize needy families and the American taxpayer over politics,” Rollins said in a news release.

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An analysis of H.R. 1 from the Congressional Budget Office estimated that the law, which included several changes to SNAP benefits in addition to the error rate cost share, would reduce federal spending on the SNAP benefits by $255 billion between 2025 and 2034. CBO also estimated that state spending on SNAP benefits would increase during the same period by $85 billion.

Critics of the bill said the cost shift to states would endanger the SNAP program and stress state budgets.

According to the 2025 error rates from USDA, 41 states had payment error rates above the 6% threshold set by the 2025 law. South Dakota had the lowest error rate at 2.47%. Idaho, Kentucky, Nebraska, Utah, Vermont, Wisconsin and Wyoming were the other states with rates below 6%. Alaska had the highest error rate of 23.15%.

The higher the error rate, the greater the share, up to 15%, the state will have to pay of its SNAP benefits, which are otherwise 100% footed by the federal government.

In addition to the cost share, states with a payment error rate in excess of 6% are required to submit a corrective action plan to the Food and Nutrition Administration, formerly known as the Food and Nutrition Service, to explain the root cause of the payment errors and how the state plans to correct the errors.

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Copyright 2026 KCRG. All rights reserved.



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