House Republicans filed a Letter of Dissent with the Speaker of the House today after the passage of SF 376, a proposal to bond for money for projects in the state. Republicans state that the bill is unconstitutional, citing Article VII Section 2 of the Constitution of the State of Iowa, which states:
The state may contract debts to supply casual deficits or failures in revenues, or to meet expenses not otherwise provided for; but the aggregate amount of such debts, direct and contingent, whether contracted by virtue of one or more acts of the general assembly, or at different periods of time, shall never exceed the sum of two hundred and fifty thousand dollars; and the money arising from the creation of such debts, shall be applied to the purpose for which it was obtained, or to repay the debts so contracted, and to no other purpose whatever.
SF 376 bonds for $475 million, which is clearly above the amount in Article VII.
To read the full letter, click here.