James Van Fossen - Iowa State House Representative

The Week In Review

March 3, 2000
E-mail: jvanfos@legis.state.ia.us

Session Week 8
Fax: 319-355-9954

Republicans Unveil Honest Budget

Republican leaders in the Iowa legislature have unveiled a $4.9 billion budget plan for fiscal year 2001 – an honest budget that requires the State of Iowa to live within its means. The Republican budget proposes $110 million in new spending without exceeding the 99% spending limitation law, maintaining the Republican commitment to develop a balanced budget.

The Republican budget plan is a sharp contrast to the Governor’s budget. The Governor’s plan exceeds the 99% spending limitation law and raids the state’s economic Emergency Fun for the first time since its creation.

The Republican budget plan proposes a combination of new spending and reallocations, limiting the overall rate of government spending will be used to improve K-12 education, keep violent criminals off the streets, and provide better access to quality healthcare. Highlights of the proposal include.

$54.2 million increase in school aid for K-12, reading and class size initiatives;
$26.2 million property tax reduction including Machinery & Equipment and elderly tax credit;
$4 million commitment to the Value-Added Agriculture program maintained;
$45 million increase to improve access to healthcare, and expand public health and substance abuse programs; and
$2.3 million increase to the State’ s justice system and judicial branch to continue to fight drug dealers and violent offenders.

"This is our blueprint for building Iowa’s future, " said House Majority Leader Christopher Rants (R-Sioux City). "Republicans have developed an honest budget that reflects our choice to invest in strengthening Iowa’s schools, enhancing the quality of life, and improving our state’s economic competitiveness. We want Iowa to be the place people choose to live, work, and raise a family." In addition the House Ways & Means Committee passed a joint resolution stating our commitment to Iowa’s budget process. It affirms the commitment of the General Assembly and the Governor to conform with Iowa’s general fund expenditure

limitation law and to enact a balanced budget which conforms to generally accepted accounting principals.
Representative Van Fossen
To Appear On Iowa Press

On Sunday, March 5^th, at noon, IOWA PRESS focuses on the tax issues currently under discussion at the second session of Iowa’s 78^th General Assembly. State Senator Joann Johnson, Chairwoman of the Senate Ways & Means Committee, and Representative Jamie Van Fossen Chairman of the House Ways & Means Committee will provide assessments on a number of issues in front of the current legislative session. For more information visit IPTV at: www.iowapress.iptv.org Davenport Channel 12, Des Moines Channel 11, Council Bluffs Channel 32

Bills passed out of Ways & Means this week:

SF 2089 a bill relating to the collection of the physical plant and equipment property tax levy in certain urban renewal areas.

HJR 2010 a joint resolution affirming the commitment in accordance with Iowa’s general fund expenditure limitation law to enactment of a balanced budget that is in conformance with generally accepted accounting principles and that maintains the maximum balances in and foregoes any appropriation from the Iowa economic emergency fund and cash reserve fund.

HSB 550 a bill relating to the allocation to Iowa of income earned by an S corporation for purposes of the state individual income tax.

Bills introduced in Ways & Means this Week:

HF 482 a bill providing an individual and corporate income tax credit for the rehabilitation of certain eligible commercial and residential property and barns.

HF 2010 a bill relating to eligibility for military service property tax exemption

HF 2250 a bill relating to economic development programs and related tax credits.

HF 2338 a bill relating to distributions made to and income from missing property of certain persecuted victims of World War II and their heirs, including effective date.

You can track these bills on the Internet at: www.legis.state.ia.us

Ways & Means Update