Contact: Rachel Zimmermann Smith, Johnson County Attorney
Contact Number: 319-339-6100
Contact Email: [email protected]
For Immediate Release
Over the State’s Objection Owner James Watts Granted a Deferred Judgement for Failure to Maintain Workers Comp Insurance
May 21, 2026 (JOHNSON COUNTY, IA) – James Watts and his company Hawkeye Waste Systems, Inc. were sentenced today for Failure to Maintain Workers Compensation Insurance, a Class D Felony. Watts pled guilty to the Class D Felony charges in January 2026. Over objection from Johnson County Attorney Rachel Zimmermann Smith, District Associate Court Judge Jason Burns granted Watts’s request for a deferred judgment and placed him on probation for a period of 3 years.
Along with the standard conditions of probation, Watts will also be required to maintain appropriate insurance on every business for which he is responsible. Watts owns businesses that operate in several counties in Iowa.
If Watts successfully completes probation, his record will be expunged.
Zimmermann Smith said, “Regardless of the sentence, holding the Defendant accountable shows that disregard for workers and the laws that protect them will not be tolerated.”
In April 2025, charges were filed against Hawkeye Waste Systems, James Watts, and three of its employees and corporate officers for Failure to Maintain Worker’s Compensation Insurance after an employee died after a workplace accident at their Iowa City location. Matthew Reuwsaat died on November 9, 2024, from injuries sustained in a workplace incident.
An investigation by the Iowa Division of Worker’s Compensation revealed that Hawkeye Waste Systems did not have worker’s compensation.
To check on whether a business carries worker’s compensation insurance, you can go to the Workers Compensation Verification Website at https://www.ewccv.com/cvs/.
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Note: The official online PDF includes the judgment and sentencing orders.