WATERLOO, Iowa — At a time when gas prices are generally expected to rise, Iowa has seen prices level off and drop after having moved upward in March. This has businesses bracing for the annual rise as the peak demand season approaches.

Average gasoline prices in Iowa peaked in the first week of April at about $3.85 per gallon. In the first week of May, the average state gas price is about $3.61 per gallon with prices slightly higher than state average in the Cedar Valley, according to Minneapolis-based gas price-tracking company, GasBuddy.com.