I don't know - Hospitals in Iowa still have tons of capacity, and unless there are a bunch more people dying than normal that aren't being attributed to Coronavirus, more testing isn't going to paint a worse picture. More testing would only show that potentially a hell of a lot more people have it that don't get hospitalized. In other words, the hospitalized and fatality numbers are what they are with only some possible slight changes due to some people in those categories not being attributed to COVID.
If anything, having limited testing makes it appear that a much higher percentage of people that get the virus are hospitalized and die. Now, broad testing will do wonders in helping us figure out more accurate actual mortality rates, more effectively isolate in a targeted way, understand the potential for reinfection, and understand the extent of additional peaks when things open up again.
The state government has disincentive to keep positive cases artificially low. They would have way more incentive to test as many as possible, hopefully showing a fairly high percentage of people have/or had it already and we still don't have very many people in the hospital because of it.