• Report questions Culver budget assumptions: REGISTER
• Propane users left in the cold: REGISTER
• Domestic violence cases resulting in death on the rise: RADIO IOWA
• Iowa wins two passenger rail grants, others denied: RADIO IOWA
• Culver in Council Bluffs to discuss pending layoffs: RADIO IOWA
• New rules for teen drivers: RADIO IOWA
• MHI in Clarinda now targeted for closure: RADIO IOWA
• Bill would help deal with insurance rate increase due to crisis: RADIO IOWA
• Lawmakers, governor have far to go on Iowa budget: QC TIMES
• Governor meets with Electorlux workers: QC TIMES
• We’ll pay $70 million if Iowa scraps greyhound racing, Harrah’s says: REGISTER
• State says schools can make up time with longer days: REGISTER
• High court won’t review cemetery fraud case: QC TIMES
• Pair of Iowa senators push to legalize sports betting: QC TIMES
• Iowa lawmakers work on corporate election spending law: QC TIMES
• Iowa train supporters will move forward with push for expanded service: REGISTER
• Iowa’s road use tax fund deflating: QC TIMES
• Film credit rescue plan offered: REGISTER
• Legislation would change Bingo rules in Iowa: QC TIMES
• Biomass energy heating St. Ansgar: WCF COURIER
• Canadian pork imports dip, cutting demand for Iowa corn: REGISTER
• Review: Job training costs excessive: REGISTER
• More caution warranted on Iowa budget: REGISTER

A new January 2010 newsletter is available for viewing. Click the link below to see a PDF version.

Caucus Newsletter January 27, 2010

Included in this edition:

• Initial Review of the Gov’s Budget
• Public Option in Iowa
• Dems Push Gambling Expansion

• Culver unveils budget plan: RADIO IOWA
• Culver offers mix of savings, cuts in budget plan: REGISTER
• Administrator says restrictions are more likely than ban on Everclear; RADIO IOWA
• Head of Civil Rights Commission warns of delays: RADIO IOWA
• State of the Union: Iowa delegation’s reaction: REGISTER
• Impact of budget proposals on state agencies: REGISTER
• Report: College endowments suffer huge declines: QC TIMES
• Iowa needs flood warning system, lawmakers told: QC TIMES
• Bid for federal money for passenger trains falls short: REGISTER
• Plan puts camera at work zones in Iowa: QC TIMES
• How Culver calculates budget savings: REGISTER
• Election ’10: Democratic Senate candidate Conlin raises $603,000: QC TIMES
• Democrats protest maneuver by lobbyist on bill: REGISTER
• $3 million loan guarantee for fine arts complex: QC TIMES
• House panel looking at eliminating federal deductibility: GAZETTE
• DNR director proud parks stay open despite budget cutbacks: WCF COURIER
• Focus must be on rebuilding the economy: REGISTER
• Obama broke his pledge to rural America: REGISTER
• Election ’10: King challenger focuses on health in congressional campaign launch: SC JOURNAL

Does the Governor’s Budget Spend Less than the State Takes in?

No. In addition to general fund appropriations of $5.32 billion, the Governor uses $387 million in one-time money to increase spending:

• $207.5 million from the Cash Reserve Fund
• $37.7 million from the Senior Living Trust Fund for Medicaid
• $48 million in stimulus money for education and general purpose
• $94.2 million in stimulus for Medicaid expenditures

Total spending on general fund items is $5.707 billion

Does the Governor’s Budget Raise Taxes?

Yes. The Governor claims to fund 2 percent allowable growth for K-12 education at $333 million. This is $233 million from the general fund and $100 million from the Cash Reserve Fund. LSA estimates that 2 percent will cost $514 million in FY 2011. Therefore, he underfunds the 2 percent by $170 million. Since the spending authority remains, the $170 million can be made up with in property tax increases. The Governor also proposes other property tax increases by funding the property tax credits below last year’s level and funding the State Patrol out of the Road Use Tax Fund. Both will increase property taxes.

How much is the reorganization savings and is it real?

Unclear. The Governor plugs in $341 million in reorganization savings. Some of the things (IT consolidation, reducing the fleet, eliminating phantom employees) were House Republican ideas from last year. Some of the ideas like increasing unclaimed property and federal grants appear to be dubious at best. Also, $50 million of the savings is for shifting the State Patrol into the RUTF and that is unlikely to happen.

Governor Culver released his budget to the legislature today. You can find a PDF copy of it below:

FY11 Iowa Budget Recommendations

Today House Republican Leader Kraig Paulsen (R-Hiawatha) released the following statement on Gov. Chet Culver’s recent budget proposal:

“The governor’s budget spends more money than it takes in and will increase the burden on property taxpayers. Once again, decisions in Des Moines are going to drive up property taxes across the state. It’s irresponsible and will be costly for Iowans.

“House Republicans will dive into budgets, ask tough questions, and identify savings and government waste while being responsible with taxpayers’ money.”

• Safety experts push for texting ban for drivers in Iowa: QC TIMES
• Harkin a ‘no’ on giving fed chair another go: RADIO IOWA
• Grassley undecided: RADIO IOWA
• Former ISU, current NFL QB talks financial literacy with students: RADIO IOWA
• Push to help Iowa veterans take Veterans Day off: RADIO IOWA
• Democrats pass bill to aid some military spouses: RADIO IOWA
• Two Iowa refugee agencies to end resettlements: REGISTER
• ELECTION ’10: Lawyer seeks GOP nod to take on Braley: QC TIMES
• Iowa short on cash for health goals: REGISTER
• Complaint prompts state to alter lobbying database: REGISTER
• Number of homeless students increasing in Dubuque: QC TIMES
• ‘Bogus’ bands the target of Iowa legislator: QC TIMES
• State emergency managers mired in paperwork from ’08 storms: REGISTER
• Family-planning aid could run until age 55: REGISTER
• Liberals push range of issues at Iowa Capitol: QC TIMES
• Small phone companies raise rates: GAZETTE
• Change takes time, political will: REGISTER
• Training required for manure applicators: GLOBEGAZETTE

• Kemin CEO warns cutting tax credit would cut jobs: RADIO IOWA
• Industry: Make all gas in Iowa contain ethanol: REGISTER
• Republicans renew criticism of IJOBS: RADIO IOWA
• Bill to help some cancer patients in clinical trials: RADIO IOWA
• Legislators develop compromise plan on puppy mills: RADIO IOWA
• Braley pushing for gas pump labeling: QC TIMES
• ELECTION ’10: Iowa gubernatorial candidate supports blended biodiesel mandate: QC TIMES
• Iowa state auditor, governor trade barbs over cost-cutting: QC TIMES
• Higher fees urged for dog breeders: REGISTER
• Highway lobby argues against cash diversion: REGISTER
• Culver confident state can save $300 million: QC TIMES
• Iowa gets $6.6 million to expand broadband: QC TIMES
• Directive by Culver aide rubs some the wrong way: REGISTER
• Stimulus powered wind industry: REGISTER
• Students and taxpayers benefit from home schooling: REGISTER
• Group proposes closing schools, using buildings for library, school offices: GAZETTE
• SC metro area lost 100 jobs in December: SC JOURNAL

• Culver to submit spending priorities: QC TIMES
• State regulators weigh ban, limits on Everclear: REGISTER
• Legislators to consider gambling package: RADIO IOWA
• Culver isn’t with public as often as Vilsack, Branstad: REGISTER
• Two Culver propels in jeopardy: RADIO IOWA
• 2 Iowans help push health debate: REGISTER
• Election ’10: Conlin releases finances report: QC TIMES
• Mega Millions game comes to Iowa: REGISTER
• State ‘double dipping’ on the rise: REGISTER
• Lawmakers tighten focus on budget: QC TIMES
• Party leaders pledge to rally behind Culver, retain power: REGISTER
• Tax issue worth millions to Iowans: QC TIMES
• Who’s winning the money game?: REGISTER
• No mergers, but counties do cooperate, share to get things done: GAZETTE
• Recent GOP wins add buzz to meetings: REGISTER
• Iowa ties Race to the Top to core curriculum plan: REGISTER
• Find way to provide stable funding for State Patrol: WCF COURIER
• Election ’10: Election 2010: Campaigns will be awash in cash: SC JOURNAL

As the 2010 tax deadline approaches, April 15th, the Internal Revenue Service has published a list – on its website www.irs.gov – of tips taxpayers should keep in mind when filing their returns. Individual taxpayers and taxpayers with children may find the following tips useful:

Read the tips here…