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Senate Democrats
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Responsibly
balancing the state budget in troubled times
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Protecting educational
opportunity in tough times
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Stepping up our efforts to
help unemployed Iowans
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Values Fund helps expand
Iowa’s middle class
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Regional partnerships
expand student opportunities
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Cracking down on meth
makers in Iowa
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Flags will honor
servicemembers who give their lives
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Shining a light on
government
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Grain Indemnity Fund
changes to protect farmers
In the face of tough economic times, the Legislature took
another step this week toward approving a fiscally responsible state budget when
legislative leaders released their targets for state pending.
The targets will guide Republican and Democratic
legislators as we work together on the details of a new state budget that
focuses on our key priorities.
Here are some of the most frequent questions I’m being
asked.
1) Why are budget
cuts necessary?
Due to the deepening national recession, state revenues
have nosedived in recent months, and we are concerned that the situation is
getting worse in the short term. We must adjust spending to respond to
changing economic conditions. Because Iowa
law mandates a balanced budget, I won’t support legislation that goes against
responsible budgeting practices.
2) Is it true that the Legislature’s budget proposal calls
for spending LESS than Governor Culver requested?
Yes. Governor
Culver and the Legislature responded earlier this year to the national
recession by cutting the current year’s General Fund budget by $36.6
million.
I’m now working on the Legislature’s proposal to cut an ADDITIONAL
$133.9 million from the Governor’s already tight budget proposal. We will
also use $100 million LESS from the state cash reserve fund than what the
Governor proposed.
3) What’s the next step?
Each of the seven state budget subcommittees is required
to cut its budget by at least 1 percent from the Governor’s proposed budget.
Given the cuts we’ve already made and increased demand for some state
services due to the recession, that won’t be easy.
When we find existing programs that don’t work or aren’t
needed, we’ll shut them down. We’re
targeting resources to get the biggest bang for the buck. And I’m listening
to your suggestions to help us accomplish this difficult task.
4) What’s your bottom line?
This year, we’ll be tightening our belts while working
hard to fulfill the commitments we’ve made on health care, education and
jobs. Fiscal responsibility will help
us keep our promises.
Protecting educational opportunities and growing Iowa’s middle class
are two of the best ways for us to help our state recover from the national
recession.
That’s why the Iowa Senate voted this week to increase
basic state funding for local schools by 2 percent during the 2010-2011
school year. This money will be used for textbooks, heating bills, technology
and other necessities that help students, teachers and schools succeed.
We also took steps to improve student achievement and keep
the best teachers in Iowa
classrooms by increasing funding by 2 percent for teacher quality,
professional development, class-size reduction, and reading and early
intervention strategies.
In these tough economic times, I am committed to making
the difficult decisions necessary to protect Iowans’ priorities and balancing
the state budget without raising taxes.
By increasing school funding, we maintain our commitment to top-notch
schools while being fiscally responsible.
The recession is putting too many Iowans out of work. When
one person loses a job, it’s hard for the whole family. When 20, or 50,
or100 people in a community are suddenly out of work, the local economy
suffers.
At times like these, one of the best safety nets we can
offer Iowa’s
working families is good unemployment insurance. Unemployment benefits help
families make ends meet and help communities get back on their feet.
This week, the Iowa Senate unanimously passed Senate File
197, which reforms Iowa’s
Unemployment Insurance program. These changes will put Iowa in compliance with
the Federal Unemployment Insurance Modernization Act. The federal government
then will send Iowa
about $70 million to improve and expand services for people who have lost
their jobs during this national recession.
I believe we should also pay the unemployment claims of
replacement workers who lose jobs when our Guard and Reserve personnel return
home. When Iowa
soldiers come back to work, the state should help the replacement workers
without penalizing the employers.
In the Senate, we’ll keep looking for ways to help
middle-class Iowa
families during this difficult economic time.
One of the most important jobs of the Legislature is to
invest in long-range economic development to ensure that Iowa’s middle class grows and prospers.
That’s why the Legislature has maintained its commitment
to the Iowa Values Fund, the state’s highly successful job-creation
initiative.
The Iowa Department of Economic Development recently
released its annual report for the Iowa Values Fund. The Values Fund has
awarded more than $147 million in direct financial investment and $750 million
in state tax credits to attract and expand businesses in Iowa since 2003, according to the report.
More than 32,000 good-paying, high-quality jobs have been
created or retained through Iowa Values Fund financial assistance. This is
great news for Iowa’s
working families.
Review the annual report and search the Values Fund
database for specific business development awards at www.iowalifechanging.com/annualreport/2008/compliance/.
Iowa
needs schools that can work together to offer our rural students the same
opportunities that students in many urban schools enjoy.
The Regional Academy for Math & Science (RAMS) in Oelwein is
a concept that will open doors for many northeast Iowa students and may provide a model that
could be implemented statewide.
RAMS, a partnership between the local community college, area
K-12 schools and Regent universities, offers rigorous and relevant math,
science and technology course work for area students, as well as teachers and
community members who want advanced degrees in those subject areas. The
curriculum is designed to meet the needs of students and for specialized
training needed by business and industry.
RAMS, which allows rural northeast Iowa schools to provide educational
opportunities that students would not get otherwise, has received $1.7
million in state and federal funding to pursue its mission.
I am hopeful that other schools across the state will
pursue this type of partnership to ensure more students get the best possible
educational opportunities.
Democrats and Republicans have been working together for
years in the Iowa Legislature to crack down on meth
makers in our state. We’ve had a lot of success and are continuing our
efforts.
One of the biggest problems we see today is “smurfing,” which is when meth
makers illegally buy pseudoephedrine from many
different pharmacies around the state. This week, the Senate Judiciary
Committee passed legislation that is designed to help stop this practice by
tracking pseudoephedrine sales electronically. It
would also make it easier to locate and prosecute those who are breaking the
law.
Our goal is to cut down on the number of meth labs in Iowa.
Meth is not just a dangerous drug. The ingredients
that go into making it can be volatile, creating a very dangerous environment
for those who live in the vicinity of a meth lab,
including innocent children and neighbors.
On February 25, the Senate unanimously approved a bill to
honor Iowa’s
servicemembers who lose their lives in the line of duty.
Under the legislation, an Iowa
servicemember’s family will be given the U.S.
and Iowa
flags flown at half-staff over the Statehouse in recognition
of their service and death while on active duty. The two
flags will be presented by the Governor to the surviving spouse or other
immediate family member.
This is another step in
our bipartisan efforts to show our appreciation for the sacrifices of our
servicemembers and their families. The bill, Senate File 112, now goes to the
Iowa House for consideration.
Open meetings and open records result in open
government. That’s why the Senate
State Government Committee has approved making updates to Iowa’s “sunshine laws.”
It’s important that citizens know what their government is
doing and that their rights to information are protected. Open government is
an important safeguard against corruption, favoritism and bad ideas.
For example, the outrageous salaries in the CIETC scandal
would have been rejected outright if the public had known what was going
on.
That famous motto – “Sunshine is the best disinfectant” --
has served Iowa
well for many years. This year, we
will continue to strengthen our commitment to open records, open meetings and
open government.
Iowans who store grain in a warehouse or sell grain to a
licensed grain dealer are eligible to have their losses covered through the
Grain Indemnity Fund. In a loss situation, the fund pays the claimant for 90
percent of their loss.
The fund is supported by a dealer warehouse fee and a per
bushel fee on grain sold to a dealer by a seller. The Indemnity Fund, which
was started in 1986, has a current net worth of more than $8 million.
The Senate Agriculture Committee recently approved these changes to the Grain Indemnity Fund:
The maximum payout for a
loss by an eligible claimant is increased from $150,000 to
$300,000.
The balance in the fund
required to automatically waive the assessment of the
dealer warehouse fee and the per bushel fee is increased from $6 million to $12
million.
The balance in the fund
required to automatically reinstate the fees is
increased from $3 million to $6 million.
More information is at www.iowaagriculture.gov/grainWarehouse/GrainIndemnityFund.asp.
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