Partial Budget Revealed -->Last week in the Iowa House, Democrats released partial state budget
targets to the budget subcommittees. This is the first step in putting together
the budget for fiscal year 2011, which is the budget year that begins on July 1
of this year. This partial glance at the budget gives us an incomplete picture
of the Democrats’ spending plan but there are also some very clear signals it
sends.
The targets cover roughly $2.5 billion of the general fund budget
which. Ultimately this will be less than one-half of the general fund
expenditures. Hopefully the remainder of the plan will be forthcoming soon.
While it’s only a small glimpse of the budget, it appears that
legislative Democrats plan to carry forward Gov. Culver’s property tax
increases.
Many questions remain regarding the budget but there are
three things we know for sure. The plan the Democrats released will:
- Spend more money than the state takes in;
- Significantly underfund Medicaid;
- Dramatically raises property taxes
Democrat leaders have said they will use one time dollars to balance the
budget. The governor recommended borrowing $200 million from the Cash Reserve
Fund, it is my expectation that Democrats will take at least that much. There is
also one-time federal stimulus dollars remaining which will be spent by
Democrats in this budget ($200 million). This allows them to spend more than we
have in ongoing revenue. I understand the need to meet Iowans’ needs, but this
is a set-up for increased fiscal troubles down the road and more tax increases
than the governor has already done.
Additionally, the House
Appropriations chair stated last week that the Democrats intend to under-fund
Medicaid (health care for the poor and elderly). Since Medicaid is an
entitlement, this just pushes the problem off until next January when the
Legislature will be forced to appropriate funds to eliminate the shortfall
caused by the under-funding. This is not optional spending, all underfunding now
does is make it easier to temporarily balance the budget.
Lastly, you
may recall from previous newsletters that when Governor Culver did his across
the board cut he raised Iowans’ property taxes by an amount that could be as
much as $250 million, approximately a 6 to 7% increase. This occurs because K-12
education expenses were transferred from state funding to the back of the
property taxpayer. Democrat legislative leaders have indicated they intend
continue these tax increases.
At this point the budget lacks clarity in
many regards but this is basically what we know at this time.
House
Republicans believe in open and transparent budgeting. Furthermore, it’s vital
that the budget not spend more than the state takes in and not raise taxes,
especially property taxes.
As we continue to move through the budget
process, House Republicans will offer more budget savings ideas. We have already
offered multiple ideas this year that when added together come close to $300
million in savings. We’re committed to commonsense budgeting and being frugal
with taxpayers’ dollars.
As always, feel free to contact me if you have
any questions or concerns. Feel free to call my office at (515) 281-3521 or
email me at mailto:kraig.paulsen@legis.state.ia.us
2010
is an election year and I believe we have great opportunities to elect more
Republicans to your Iowa House of Representatives. I would appreciate your
support with a financial contribution, please visit:http://victorydiy.com/secure/diy/shopping_cart_contrib.php?addtocart=29&site=1133&contrib.
These dollars will be used for candidate training and constituent
contact, ensuring we are able to communicate our message effectively.
Robin Tucker serves as a member of the Linn County Republican Central Committee for CR 41 (votes at Bethany across from Washington HS) and has been involved in HD 38 for the LCRCC, served currently by Tyler Olson (Dem).
Robin Tucker is Linn County Chair for Miller-Meeks for Congress. Dr. Miller-Meeks is seeking the Republican nomination for U.S. Congress in the 2Nd District for the State of Iowa. The 2Nd district includes both Cedar Rapids and Iowa City, Linn and Johnson Counities.
Robin Tucker is a member of National Write Your Congressman
1 comment:
Miller-Meeks is not what I would consider a Republican, at best she is a Rhino.. Also don't care for the fact that she claims to be pro-life when in fact she is PRO-CHOICE, only a good rhino speaks out of both sides of their mouth.
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