Last week I highlighted the half-truths and misleading arguments that underpin Iowa Senate minority leader Paul McKinley’s case against Democratic governance in Iowa. I wasn’t planning to revisit the Republican leader’s fantasy world until I read the July 16 edition of his weekly e-mail blast. McKinley claims to offer five “big ideas” to “make Iowa again a state where jobs and prosperity can flourish.”

His premise is absurd when you consider that CNBC just ranked Iowa in the top 10 states for doing business (again), and number one in terms of the cost of doing business. Many of McKinley’s specific claims don’t stand up to scrutiny either, so follow me after the jump. There’s also a poll at the end of this post.

While Iowa Republicans keep talking down our state’s economy and misleading voters about our fiscal condition, facts and figures compiled by professional analysts paint a different picture.

Links on encouraging revenue projections and economic indicators are after the jump.

Terry Branstad’s campaign started running a new television commercial statewide yesterday. The ad repeats the same revisionist history and false claims Branstad’s been pushing for months.

The commercial can be found after the jump, along with some fact-checking.

One day after Terry Branstad won the Republican nomination for governor, his accountability problem was back on display. Speaking to the Iowa Association of Business and Industry’s annual convention in Ames yesterday, Branstad told the audience, “I want to get rid of the present incumbent because he’s driven the state into the biggest budget deficit in history.”

In the psychological field, projection is “a defense mechanism that involves taking our own unacceptable qualities or feelings and ascribing them to other people.” I’m not qualified to offer any professional diagnosis, but Branstad’s the guy who really did keep two sets of books to hide illegal deficits. It’s incredible to hear him keep making that false claim about Governor Chet Culver’s administration. The governor and Iowa’s legislative leaders haven’t run up any budget deficit, let alone the largest deficit ever. If Culver were running deficits, Iowa wouldn’t have a top-level credit rating or be considered one of the states “least like California” in terms of fiscal problems.

How long will Branstad keep getting away with making stuff up about Culver’s record? Your guess is as good as mine.

In other news, Branstad promised the Association of Business and Industry crowd that if elected, he wouldn’t allow key priorities of organized labor like the prevailing wage or collective bargaining bills to become law. I doubt ABI has to worry about that, since Iowa Democrats haven’t delivered on those issues during the past four years.

Culver visited a Cedar Rapids preschool yesterday and blasted Branstad’s “20th Century thinking” on preschool funding:

“This is an investment we cannot afford to not make in the future,” Culver said about the preschool initiative. He said he budgeted $90 million this year for the program and $115 million next year. […]

“While we want to continue to fund preschool … Terry Branstad wants to take that away,” Culver said. […]

The fiscal 2011 funding will assist an additional 150 school districts and school district collaborations under the statewide voluntary preschool program, he said. It is projected that during the 2010-2011 school year about 21,354 four-year-olds will be served by the preschool program in 326 school districts across the state.

Many Iowa families could not afford early education for their children without the state program. Culver is right to pound Branstad for his screwed-up priorities. Culver also criticized the Republican for wanting to go backwards on state-funded stem cell research, women’s reproductive rights and flood recovery funding for the Cedar Rapids area. Like everyone else in the Iowa GOP, Branstad has criticized the I-JOBS infrastructure bonding initiative but not explained how he would have paid for the flood reconstruction and prevention projects Iowa needs.

Branstad told Todd Dorman of the Cedar Rapids Gazette that he would not try to repeal the I-JOBS bonding, but “also compared I-JOBS to the Greek debt crisis.” Give me a break. The professional investor community drove down the interest rate of the initial I-JOBS offering because of Iowa’s solid fiscal condition and plan for repaying the bonds. In fact, I-JOBS was one of the top 10 “deals of the year” in 2009 according to Bond Buyer, the daily newspaper of public finance.

Since Memorial Day was established a few years after the Civil War, Americans have marked the holiday every year by remembering our war dead (ok, almost all our war dead). In his weekly address, President Barack Obama asked Americans to honor “not just those who’ve worn this country’s uniform, but the men and women who’ve died in its service; who’ve laid down their lives in defense of their fellow citizens; who’ve given their last full measure of devotion to protect the United States of America.”

Every so often I read the I Got The News Today profiles of Americans killed in Iraq and Afghanistan. According to an old Jewish teaching, saving one life is equivalent to saving the whole world. The IGTNT diaries, like “Six More Lost to All Who Loved Them,” are a crushing reminder that the death of one person is like the death of the whole world to the people left behind.

The IGTNT series will likely continue for many more years. The number of Americans killed in Afghanistan recently passed 1,000, and we are preparing to send an additional 30,000 troops there. Although we have fewer troops in Iraq now than we did for most of the past seven years, we have more troops deployed in Iraq and Afghanistan combined now than we did when Obama became president.  

The price of these wars is also enormous in monetary terms. On May 30 the estimated cost of U.S. military involvement in Afghanistan and Iraq exceeded $1 trillion. We could have done lots of things with that kind of money. On May 27 the U.S. Senate passed yet another war supplemental funding bill, this time for $58.8 billion. On May 28 the House passed the $726 billion Defense Authorization Bill for 2011 (roll call here). Iowa’s House members split on party lines, with Democrats Bruce Braley (IA-01), Dave Loebsack (IA-02) and Leonard Boswell (IA-03) supporting them and Republicans Tom Latham (IA-04) and Steve King (IA-05) voting no.

Meanwhile, Congress adjourned for the Memorial Day weekend without extending unemployment benefits or passing another jobs bill. This economic relief bill had already been watered down because of “concerns” about deficit spending. You’ll notice few members of Congress are concerned about deficit spending to fund our endless war machine.

For many, Memorial Day is a time to remember lost loved ones, regardless of whether they served in the military. Cedar Rapids Gazette columnist Todd Dorman’s mother recently died, and he wrote this tribute to her.

For some people, Memorial Day is first and foremost the unofficial beginning of summer. Feel free to share any fun plans or picnic recipes in the comments. We’ve been invited to a potluck tomorrow, and I haven’t decided whether to make my favorite chick pea dish (from Madhur Jaffrey’s Indian Cooking), a North African potato salad with olive oil and spices, or a pasta salad with a Chinese-style peanut butter sauce. I like to bring vegan dishes to potlucks so I don’t worry if they sit outside for a few hours. Also, the party I’m attending tomorrow may include some vegetarians and people who keep kosher (they don’t mix meat with dairy in the same meal).

This thread is for anything on your mind this weekend.

UPDATE: Graphs showing number of days in Iraq and number of U.S. deaths in Iraq before and after President George W. Bush announced “Mission Accomplished.”

To hear Iowa Republicans tell it, our state has suffered terribly under the leadership of job-killing, overspending Democrats. The reality, as measured by the conservative U.S. Chamber of Commerce, is quite different:

Iowa’s focus on entrepreneurship, innovation and exports has led to an eighth-place ranking on a list of top economic-performing states compiled by the U.S. Chamber of Commerce and National Chamber Foundation.

Iowa ranked high overall as “a solid performer across most of our metrics,” according to the chamber’s newly released Enterprising States survey, largely because “Iowa’s strength is perhaps its stability. The state’s largest cluster, agribusiness, food processing and technology, grew at a 1 percent rate since 2002, significantly better performing than the same group of industries nationally.”

The business group also listed Iowa seventh under “top export performers” due to overseas trade offices that provide help to Iowa companies looking to tap international markets. According to the study, “efforts are paying off, as the state places fourth in growth of exports as a share of gross state product.”

Read more at the Des Moines Register’s site, or download the whole report here.

Governor Chet Culver’s office recapped some other favorable reports by outside analysts looking at Iowa’s economy:

[E]arlier this year, Forbes Magazine, the national economic and business journal, named Des Moines as the No. 1 city in America for businesses and careers, and ranked Cedar Rapids as the No. 1 city for projected job growth.

In 2008, Iowa had the eighth-fastest growing economy in the nation, according to the Bureau of Economic Analysis. CNBC’s 2009 “Top States for Business” survey ranks Iowa the fourth best in the nation and No. 1 for low costs of doing business. Finally, last year MarketWatch, another national financial publication, named Des Moines No. 1 in the country for doing business.

Unemployment is too high as we come out of the worst recession since World War II, but Iowa’s unemployment rate is still low by national standards. Contrary to what Republicans would have you believe, our state’s budget is balanced, and our per capita debt burden is low, which is why every major credit rating agency has given Iowa top marks in the past year.

So far I haven’t seen any Iowa Republican reaction to the Chamber of Commerce report. I’ll update this post with any relevant comments.

Iowa Senators Tom Harkin and Chuck Grassley voted no on Tuesday as the Senate rejected an amendment to “establish a Bipartisan Task Force for Responsible Fiscal Action, to assure the long-term fiscal stability and economic security of the Federal Government of the United States, and to expand future prosperity and growth for all Americans.”

President Barack Obama supported creating that commission, which is the brainchild of Senate Budget Committee Chairman Kent Conrad. The goal is to find some way to get big Social Security and Medicare cuts through Congress. Don’t get me started on why a Democratic president and a bunch of Democratic senators are so keen on cutting the most successful programs Democrats have ever enacted.

Anyway, Conrad’s idea was for the commission to work out a comprehensive deficit reduction strategy, which Congress would be not be empowered to amend before voting on it. Two decades ago, a similar procedure was developed for recommending military base closings to Congress.

Conrad’s amendment, offered to a bill that raises the U.S. debt ceiling, failed on a bipartisan 53-46 vote. 36 Democrats, 16 Republicans and Joe Lieberman voted for creating the deficit reduction commission, while 22 Democrats, 23 Republicans and Bernie Sanders voted no (roll call here). Bloomberg News reported,

Conrad’s idea was attacked from the left and right, with groups such as the Washington-based anti-tax Americans for Tax Reform saying it would mean higher taxes while the AFL-CIO and NAACP said it would lead to cuts in federal benefits.

It was also opposed by lawmakers who lead congressional committees with authority over tax and spending programs. Among them are Senate Finance Committee Chairman Max Baucus of Montana, Appropriations Chairman Daniel Inouye of Hawaii, Commerce Committee Chairman Jay Rockefeller of West Virginia and Tom Harkin of Iowa, head of the health-care panel.

Senate Republican Conference Chair Lamar Alexander told Politico that Obama needs to “produce a Democratic majority in favor of” this idea if he wants more Republicans to vote for it.

During tonight’s State of the Union address, Obama is expected to announce plans to create his own deficit reduction commission. Bloomberg noted yesterday that “Such a panel’s recommendations ordinarily could be ignored by lawmakers, although Conrad, North Dakota Democrat, is trying to negotiate an agreement to guarantee a vote.”

Too bad the wrong North Dakota Democrat is retiring from the Senate.

Any relevant comments are welcome in this thread.

Barack Obama’s job approval in Iowa fell to 49 percent according to the latest statewide poll by Selzer and Co. for the Des Moines Register. His lowest marks were for his handling of the budget deficit (30 percent approve, 61 percent disapprove), leading Kathie Obradovich to suggest that “Cut spending and balance the budget” should be at the top of Obama’s to-do list.

No matter what today’s polls say about the deficit, it would be poor economic policy and foolish politics to make deficit reduction a priority now.

Iowa has relatively good money-management practices and is among the states “least like California” in terms of budget problems, according to a report released yesterday by the Pew Center on the States.

In the report, Pew’s researchers identified factors that have contributed significantly to California’s difficulties, then determined the degree to which other states are experiencing the same challenges. These factors are: (1) loss of state revenues; (2) the relative size of budget gaps; (3) increasing joblessness; (4) high foreclosure rates; (5) legal obstacles to balanced budgets-specifically, a supermajority requirement for tax increases or budget bills and (6) poor money-management practices.

Pew scored all 50 states using the best available data as of July 31, 2009. The snapshot captures an important juncture: the first and second quarters of 2009, the pressure point for governors and legislatures in the throes of crafting their budgets for fiscal year 2010 (which began on July 1 in all but four states).

Click here to view a map showing which states are most and least like California. On that page you’ll also find links to download the full report, its methodology, and a 50-state scorecard (pdf file).

Scanning the scorecard, I noticed that only one state has a better score overall than Iowa. The size of Iowa’s budget gap (as a percentage of total spending) ranks 15th. Only three states had a smaller change in the unemployment rate than Iowa. Only seven states had a lower foreclosure rate. We were among eight states that received a B+ grade for money-management practices (only five states received an A or A- in that category).

Republicans can complain about so-called fiscal mismanagement by Governor Chet Culver and the Democratic-controlled legislature, but compared to many other states, Iowa is weathering this challenging economy well.

Commenting on the Pew report yesterday, Mark Zandi of Moodys.com called for additional federal stimulus funding to support state budgets in fiscal year 2011: “In the past six decades, state and local governments have never seen the kind of tax-revenue collapse they are now experiencing, Mr. Zandi said.”