A new report underscores how badly Iowa lawmakers screwed up when they missed the chance in 2010 to enact reasonable regulations on “legalized usury,” more commonly known as payday lending.

Happy New Year to the Bleeding Heartland community, and condolences to the Hawkeye and Cyclone fans who watched yesterday’s bowl games. Here’s hoping for a better 2012 to all.

Former Governor Chet Culver may finally get to start serving on the Federal Agricultural Mortgage Corporation board of directors sometime in the new year. President Barack Obama appointed Culver to that position in July, but the Senate Agriculture Committee didn’t get around to holding a confirmation hearing until December 15. You can watch Culver’s testimony here, beginning with Senator Tom Harkin’s introduction around the 76:00 mark. No senators on the Agriculture Committee raised objections to Culver’s appointment, so if it ever comes up for a vote on the Senate floor, he is likely to be confirmed.

This is an open thread: all topics welcome.

The State Judicial Nominating Commission sent Governor Terry Branstad three nominees for the Iowa Court of Appeals yesterday. The governor has 30 days to select one of those three to replace Chief Judge Rosemary Sackett, a Branstad appointee from 1983 who became “the longest serving judge in the history of the Iowa Court of Appeals.”

The Iowa Court of Appeals held a ceremony yesterday to mark Chief Judge Rosemary Sackett’s retirement after 28 years of service. Meanwhile, Senator Tom Harkin cleared the way this week for the first woman to be named U.S. District Court judge for Iowa’s southern district.

Iowa House and Senate members have plenty of work to do during the next legislative session, scheduled to begin in January 2012. Governor Terry Branstad wants to pass a big education reform package as well as commercial property tax cuts he wasn’t able to get through the legislature this year. Lawmakers also face a deadline for adopting a new system for funding and delivering mental health services. Disagreements over the state budget pushed the 2011 legislative session two months beyond its original adjournment date, and I doubt Democrats and Republicans will find it easier to agree on spending priorities in 2012. Election years aren’t typically the most productive times at the state capitol.  

As if there weren’t enough contentious issues on the table, the governor’s transportation advisory commission will urge legislators to approve an 8-cent to 10-cent gas tax increase.  

Catching up on news from last week, Governor Terry Branstad has withdrawn Iowa’s membership in the leading advocacy group for passenger rail connecting the Midwest.  

For months, the Des Moines rumor mill has said former Governor Chet Culver was under consideration for some federal government position. The speculation was confirmed this week when President Barack Obama named Culver to the Federal Agricultural Mortgage Corporation board of directors. An excerpt from the White House press release is after the jump.

Better known as “Farmer Mac,” the corporation purchases agricultural loans, in theory freeing up credit to “improve the ability of agricultural lenders to provide credit to America’s farmers, ranchers and rural homeowners, businesses and communities.” Farmer Mac also “finances rural electric and telephone cooperatives.”

Many Iowa politics-watchers will recognize the name of the Farmer Mac board chairman: Lowell Junkins. He served 12 years in the Iowa Senate, rising to the position of majority leader, before he ran for governor against Terry Branstad in 1986. President Bill Clinton appointed Junkins to the Farmer Mac board in 1996.

In April of this year, Culver formed a consulting firm “to work with individuals and public and private sector entities to provide strategic consulting, cut through red tape and promote cutting-edge ideas that will move the country forward.” He also became “co-champion” of the national popular vote movement, an effort to ensure that the winner of the presidential election is the candidate who wins the most popular votes.

There was bad news for travelers in north central Iowa this week. Delta Airlines announced plans to drop service to 24 unprofitable small markets across the country, including Fort Dodge and Mason City. According to KSCG radio, “Delta flights in Mason City have a 46-percent load factor, with Fort Dodge flights having a 39-percent load factor.” Senator Tom Harkin warned in a statement that Delta’s decision “could disrupt air service across the state, forcing Iowans to drive farther and travel for longer periods of time to meet their destination.  It will also negatively impact business operations in these areas.” Harkin noted that Delta is also seeking aid to continue serving Sioux City and Waterloo. The whole statement from Harkin’s office is after the jump. The Republican-controlled House of Representatives passed a bill this year eliminating the Essential Air Service program, which subsidizes air travel to smaller communities. The Senate is trying to preserve the program, but House and Senate negotiators haven’t reached a compromise on that provision, which is part of a larger Federal Aviation Administration authorization bill.

By the way, that FAA bill passed the House on a mostly party-line vote (roll call). Republicans Tom Latham (IA-04) and Steve King (IA-05) voted for the bill, while Democrats Leonard Boswell (IA-03), Dave Loebsack (IA-02) and Bruce Braley (IA-01) voted against it. Currently Burlington, Mason City and Fort Dodge are the only Iowa communities receiving support through the Essential Air Service program. Loebsack represents the Burlington area, while Latham represents Mason City and Fort Dodge. Both of those cities are part of the new fourth Congressional district, where King will be running against former First Lady Christie Vilsack in 2012.

This is an open thread. What’s on your mind, Bleeding Heartland readers?

UPDATE: Someone tried to break into Representative Leonard Boswell’s farm outside Lamoni on Saturday night. Boswell was there with members of his family at the time. No one was seriously injured; a statement from Boswell’s office Sunday morning suggests that the intruder hasn’t been apprehended. That statement is after the jump.

This post was supposed to be about Governor Terry Branstad interfering with the Iowa Board of Regents. News broke on Monday that the governor leaned on the Regents’ elected president and president pro-tem to resign as board officers early, so that Branstad appointees could take charge right away.

That’s inappropriate and unprecedented, but it’s not even the most outrageous Branstad power grab of the week. The governor urged Iowa Workers’ Compensation Commissioner Chris Godfrey to resign four years before the end of his appointed term. When Godfrey declined the request, Branstad had his staff ask again for Godfrey’s resignation. When Godfrey refused, Branstad slashed his pay by a third.

When asked to explain his actions, Branstad passed the buck to the Iowa Association of Business and Industry. Details are after the jump.

Former Arkansas Governor Mike Huckabee announced on his Fox show last night that he will not be a candidate for president in 2012. I doubt many people were surprised, because Huckabee had done little to lay the groundwork for a campaign. Shortly after Huckabee visited Iowa on a book tour earlier this year, his 2008 state campaign manager Eric Woolson signed on with former Minnesota Governor Tim Pawlenty. Several other influential Huckabee backers from the last go-around are committed to other candidates as well, including State Senator Kent Sorenson and Wes Enos (now backing Representative Michele Bachmann) and former leaders of the Iowa Family Policy Center (supporting Judge Roy Moore).

It’s anyone’s guess who will benefit most from Huckabee’s absence. Every poll of Iowa Republican caucus-goers I’ve seen this year has put Huckabee in the lead. Former Massachusetts Governor Mitt Romney typically places second in those surveys, but he has signaled that he won’t campaign hard in Iowa this year. Judging from how other potential Republican presidential candidates reacted to yesterday’s news, Huckabee’s endorsement will be highly prized.

This story caught my eye: former Governor Chet Culver is co-chairing the National Popular Vote campaign, which seeks to ensure that the winner of the presidential election is the candidate who receives the most popular votes. Since a U.S. constitutional amendment to abolish the electoral college would never be ratified by enough states, the National Popular Vote campaign is seeking to prevent a repeat of the 2000 presidential election.

I was surprised to see Culver on board. When an Iowa Senate committee approved legislation in 2009 to assign Iowa’s electors to the winner of the nationwide popular vote (if enough other states approved the same reform), Culver spoke out against the bill. He warned, “If we require our Electoral College votes to be cast to the winner of the national popular vote, we lose our status as a battleground state.” Then Secretary of State Michael Mauro also opposed the bill, saying, “Under this proposal, it is hard to foresee Iowa maintaining its dominant role and expect candidates to spend their final hours campaigning in our state when they will be focused on capturing the popular vote in much larger states.” Todd Dorman views the national popular vote campaign as an “end-around” the normal constitutional amendment process, but I support the getting rid of the electoral college by the only practical means available. The president should be the person who receives the most votes.

May is Bike to Work Month, and the Iowa Bicycle Coalition has lots of resources to support recreational or commuter bicyclists. The Urban Country Bicycle blog posted about a study that showed the average worker in this country works 500 hours a year (about two hours per working day) just to pay for their cars.

This is an open thread. What’s on your mind this weekend, Bleeding Heartland readers?

UPDATE: Not surprisingly, Huckabee’s Fox News contract played a big part in his decision not to run for president.

Governor Terry Branstad used his weekly press conference on May 16 to urge Republicans candidates to compete in Iowa:

“This is probably going to be the most wide-open, competitive race we’ve ever had for the Iowa caucuses,” Branstad said. “This is a state where a candidate – with hard work and retail politics, going to all 99 counties and meeting with people and answering the questions – this is a state where you can effectively launch a campaign. And it’s not too late.” […]

Branstad publicly took issue with [former New Hampshire GOP Chair Fergus] Cullen’s editorial, which said, “Iowa Republicans have marginalized themselves to the point where competing in Iowa has become optional.”

“Mr. Cullen couldn’t be further from the facts,” Branstad said. “The truth is that Iowa is a full-spectrum state. I think the primary election that I won last year proves that. I would also point out that the front-runner, Mike Huckabee, made a decision over the weekend, which is momentous. He is not running this time, which means he got the largest block of votes in the Iowa caucuses four years ago and those are up for grabs.”

Cullen’s editorial is here; I posted excerpts here.

Branstad’s close associate Doug Gross, who co-chaired Mitt Romney’s 2008 campaign in Iowa, has long warned that the caucuses are not hospitable to moderate candidates. In November 2008, he said, “[W]e’ve gone so far to the social right in terms of particularly caucus attendees that unless you can meet certain litmus tests, if you will, you have a very difficult time competing in Iowa.” But Gross had a very different message today:

I think this is a different year because largely with Huckabee getting out, you’ll have multiple social conservatives in the race. As a result of that, they’ll divide up a lot of the Caucus vote and there’ll be an opportunity for a mainstream Republican to come in and do surprisingly well here. If I were Mitt Romney and I wanted to be the nominee for president, I’d play in Iowa this time because if you win in Iowa this time you have a chance to win the nomination.”

Talk radio conservative Steve Deace shared his perspective as an enthusiastic Huck supporter in 2008 who has grown disillusioned more recently: “Ideologically, the Huckabee of today sounds a lot more like the Rod Roberts of 2010 than the [Bob] Vander Plaats of 2010.”

More Iowa voters disapprove than approve of Terry Branstad’s performance as governor, according to the latest statewide survey by Public Policy Polling. Of 1,109 Iowa voters polled between April 15 and April 17, just 41 percent approved of Branstad’s performance, while 45 percent disapproved and 14 percent were not sure. In a hypothetical rematch between Branstad and Governor Chet Culver, 48 percent of respondents said they would vote for Culver, while 46 percent would vote for Branstad. Full results and crosstabs are here (pdf). Branstad was in net positive territory with men (45 percent approve/43 percent disapprove), but women disapproved by a 48-37 margin. The sample doesn’t perfectly match the Iowa electorate; I noticed that 38 percent of respondents said they were Democrats, 33 percent said they were Republicans and 29 percent said they were independents. As of April 2011, Iowa has 1,955,217 active voters, of whom 647,060 are registered Democrats (33 percent), 610,006 are registered Republicans (31 percent), and 696,061 are no-party voters (36 percent).

PPP’s last Iowa poll, taken in January, found only 40 percent of respondents had a favorable opinion of Branstad, while 44 percent had an unfavorable opinion.

The new survey suggests a plurality of Iowa voters accept marriage equality. Asked “which best describes your opinion on gay marriage,” 35 percent of respondents said “gay couples should be allowed to legally marry,” 29 percent said “gay couples should be allowed to form civil unions but not legally marry,” 33 percent said “there should be no legal recognition of a gay couple’s relationship,” and 2 percent were unsure. PPP’s January survey of Iowa voters asked the question differently and found 41 percent said same-sex marriage should be legal, 52 percent said it should not be legal, and 8 percent were unsure.

PPP also recorded job approval numbers for Senators Chuck Grassley and Tom Harkin and favorable/unfavorable numbers for Iowa’s five U.S. House representatives, Christie Vilsack and Tom Vilsack. Grassley and Harkin were both in net positive territory, but Grassley’s ratings (57/30) were much stronger than Harkin’s (47/38). It’s hard to read anything into the favorability ratings of the House members, since the opinion of voters statewide won’t necessarily reflect representatives’ standing in their own districts.

Share any relevant thoughts in this thread.

UPDATE: Forgot to mention that to my knowledge, Chet Culver’s approval ratings didn’t fall to the low 40s until the second half of 2009, when he was dealing with a recession, state budget crunch and the film tax credit fiasco.

Former Governor Chet Culver and former Republican gubernatorial candidate Chris Rants were vindicated today, as Governor Terry Branstad “encouraged transportation stakeholders to build support for a gas tax increase next year,” James Q. Lynch reported.

Last summer, Branstad said the timing wasn’t right for a gas tax increase, and today he told “representatives of highway associations and coalitions, local elected officials, engineers, economic developers and other stakeholders” that this year fiscal issues will take priority. Still, he made clear that he supports raising the gas tax to pay for more road construction in the future:

Having the resources to maintain and improve the transportation system is “absolutely critical to our goal of creating 200,000 jobs and raising incomes by 25 percent and making Iowa a growing and competitive state,” Branstad said.

That was welcome news to the transportation stakeholders who have lobbied in recent years for a gas tax increase to provide those resources. […]

“I want to team with you and help in this effort because I see it as part of what is critically important to our economic development success and achieving our ambitious job creation goals and income growth goals,” Branstad said.

According to Lynch, Branstad “repeatedly referred to motor fuel taxes as user fees that benefit motorists who pay it.” Earlier this month, a report by Iowa Public Interest Research Group demonstrated that “gas taxes cover barely half the costs of building and maintaining roads,” and “[t]he amount of money a particular driver pays in gasoline taxes bears little relationship to his or her use of roads funded by gas taxes.” The governor isn’t worried about taxpayers subsidizing roads for other people, to the tune of hundreds of millions of dollars a year, but he’s deeply troubled by a small subsidy for passenger rail.

I wouldn’t be surprised if Branstad backs a sales tax increase a year or two down the road. Last April, he told the Sioux City Journal editorial board that his “long-range plan” on taxes was “to have more of a thing on consumption.” Shifting to draw more state revenues from consumption taxes (like the sales and gas tax) and less from income and property taxes would make Iowa’s already regressive tax structure even worse.

Governor Terry Branstad defeated Chet Culver by more than 100,000 votes in November, but Public Policy Polling found no signs of a honeymoon in their survey of 1,077 Iowa voters between January 7 and 9:

Despite defeating Chet Culver and returning to office by a 53-43 margin in November, Terry Branstad is no more popular than his predecessor. Iowans disapprove of Culver’s four-year record, 41-46, but they are also down on Branstad, 40-44. The two post almost identical numbers with independents, and are equally polarizing across party lines.

PPP’s Tom Jensen comments,

Only 64% of Republicans like [Branstad], a lower number than you would expect and perhaps an indicator of some residual animosity toward him from his closer than expected primary contest. He unsurprisingly has little support from Democrats, only 18% of whom have a favorable opinion of him, and independents split 45/35 against him as well. […]

So if voters don’t like Branstad that much, you might ask, how did he still win by such a healthy margin? Well they certainly don’t think much of outgoing Democrat Chet Culver either. Only 41% of voters approve of the work he did as Governor to 46% who disapprove. Voters who didn’t like either Branstad or Culver likely went overwhelmingly for the challenger on the premise that he would at least take things in a different and possibly better direction.

I would add that PPP was polling all Iowa voters this month, but the group of voters who turned out in November skewed Republican. The statewide statistical report (pdf file) shows that the total number of Iowans who cast ballots in the midterm (1,121,175) was just under 53 percent of all registered Iowa voters. However, GOP turnout was nearly 69 percent (of 646,396 registered Republicans, 445,829 voted), while Democratic turnout was only 56.5 percent (of 698,227 registered Democrats, 394,252 voted). Republicans may not all like Branstad, but they at least viewed him as the lesser evil.

The PPP poll suggests that Branstad does not return to the governor’s post with a popular mandate for his ideas. That should stiffen the spines of Iowa Senate Democrats during this year’s legislative session.

My family attended a Des Moines Buccaneers hockey game this weekend for the first time this season. It was an exciting game: Bucs won 3-2 in overtime after blowing 2-1 lead with 58 seconds left in the third period. The only thing I disliked about the evening was the diehard fans who felt the need to boo and taunt the other team repeatedly. We’re trying to set good examples for our kids, and some guy a few rows down is all, “You suck!” “You still suck!” “Why do you suck?” the whole game. Grow up and just cheer for your own team, man.

Near the beginning of his inaugural address on Friday, Governor Terry Branstad got in a little dig at Chet Culver: “Even though Governor Culver is not with us today, I want to thank him on behalf of Iowans for his service.” It would have been a nice touch, had he mentioned even one thing Culver did that made Iowa a better place. Since he didn’t thank his predecessor for any specific accomplishment, it looked to me like Branstad was just calling attention to Culver’s absence. I don’t know whether Culver declined to attend the inauguration before or after Branstad decided not to attend Culver’s final address to the state legislature, nor do I care. However, I would be curious to read the hand-written note Culver left in Branstad’s desk.

This is an open thread. What’s on your mind this weekend, Bleeding Heartland readers?

UPDATE: I didn’t watch the Miss America pageant Saturday night, but apparently when contestants were asked to provide a “pithy” sentence about their state, Miss Iowa said this: “Leading the state in ethanol production, my state gives you gas.” And that wasn’t even the worst of them.

Terry Branstad begins his fifth term as governor this morning. Iowa Public Television is live-streaming the inauguration and will broadcast the event statewide tonight at 8:30 pm.

My liveblog begins after the jump. I’ve got another post in progress on Branstad’s latest appointments and policy statements. Share any thoughts about the changeover in this thread. I have to hand it to the Republicans who recruited Branstad back into political life. I believe no one else could have beaten Bob Vander Plaats in the GOP primary, and Governor Chet Culver probably could have beaten Vander Plaats even in a year as bad as 2010.

Culver shared a few thoughts with Radio Iowa yesterday:

“Leaving the governor’s office is awkward,” Culver said during an interview with Radio Iowa, laughing before he added: “It’s hard for any governor including, I guess, the Branstads.  It’s the best job in the world.” […]

Culver cleared out his desk in the statehouse late Wednesday, finding the letter Governor Tom Vilsack wrote to him in 2007. “(The letter was) very kind and thoughtful,” Culver said. “…It’s something I’ll always cherish and now, appropriately, put in a scrapbook rather than burying it in my desk.”

It is tradition for the exiting governor to leave a note behind for his successor and Culver plans to leave a hand-written letter in the desk Branstad will now use.

Culver has said he hopes to land a job in the renewable fuels industry and he vows he’s been putting an ethanol blend in the tank of the used pickup he bought last week.

Culver isn’t attending the inaugural, just as Branstad didn’t attend Culver’s final condition of the state speech to the Iowa legislature on Tuesday. This week the two camps traded accusations about who rejected whose invitation first.

UPDATE: Here’s Governor Branstad’s new official website.

During Governor Chet Culver’s final address to the Iowa legislature this morning, he mentioned that his administration

provided the legislature and the new administration with a detailed summary addressing the historic egg recall last summer. This includes five proposed changes in Iowa law that will help improve food safety and employee training standards in the wake of the salmonella outbreak last summer.

I’ve posted the full text of the Culver administration’s egg safety proposals after the jump. This passage summarizes the five areas that would require legislative action:

Although the new federal egg regulatory regime is aimed at the state’s largest producers, a new, mandatory Iowa [Salmonella enteriditis] detection and prevention program should be enacted under amendments to existing law and the creation of a new Iowa Code Section 196.15 to complement the federal government’s efforts to prevent SE contaminated shell eggs from entering into the nation’s food chain from all of Iowa’s egg producers.

There are at least five issues that are not covered by the recent federal egg regulatory reforms, that Iowa law does not currently address and that, therefore, unless corrected legislatively, may leave consumers of Iowa-produced eggs vulnerable to future SE poisoning.  First, federal egg safety laws pertain only to egg farms that host at least 3,000 hens and do not cover smaller operations.  Second, under federal law, producers have no legal obligation to report positive SE testing results to any federal or state agency.   Third, there are no accreditation or certification standards for laboratories that conduct SE testing.  Fourth, there are no legal criteria that establish the minimal level of training and competency for persons who are charged with the responsibility for implementing a new mandatory SE detection and prevention program.  And, fifth, there is no clearly-identified funding stream to support an effective expansion of state egg programs.

It would take heavy lifting to get these sensible ideas passed and signed into law. Even when Democrats controlled both chambers of the Iowa legislature, few new regulations on agriculture saw the light of day. The Iowa House now has a 60-40 Republican majority, which makes passing new food safety rules even more of an uphill battle. Governor-elect Terry Branstad has repeatedly criticized what he views as excessive regulations on farms, and the Iowa Farm Bureau Federation endorsed Branstad and almost a full slate of Republican legislative candidates last year.  

Governor Chet Culver addresses Iowa legislators for the last time this morning. Iowa Public Television will carry the speech, and I’ll liveblog after the jump. Meanwhile, use this thread for any comments about Culver’s record and legacy. I expect Culver will highlight efforts to increase renewable energy production and give more children access to health care and preschool, while leaving the state in better fiscal condition than most of the country.

I see Governor-elect Terry Branstad declined Culver’s invitation to attend today’s speech, and Culver won’t attend inaugural events on Friday.

UPDATE: The speech is now over, and my liveblog is after the jump. The biggest surprise for me came toward the end: Culver alluded to a report prompted by last summer’s massive egg recall, recommending five changes in Iowa law to address food safety issues. I’ll write a separate post later with more details on those proposed changes.

SECOND UPDATE: Here is the full text of Culver’s speech, as delivered.

Secretary of State Michael Mauro announced on December 29 that his office and the U.S. Election Assistance Commission have resolved all outstanding issues related to Iowa’s use of federal Help America Vote Act funds when Chet Culver was secretary of state. A federal audit originally questioned the use of about $2.5 million of the $30 million in HAVA funds Iowa received. By June of this year, federal officials reduced to $576,000 the amount Iowa would have to pay back.  The final agreement reached won’t cost Iowa anything.

For three years, state elections staff have worked to correct a long list of problems in an effort to avoid a large repayment, but federal officials concluded $221,000 in “disallowed costs” couldn’t be fixed or whittled down further.

However, the state won’t have to write a check to repay that money, said Secretary of State Michael Mauro said today.

Mauro asked federal officials to give the state a credit for expenses that were eligible for federal voting funds, but that Mauro chose to cover with state money knowing that questionable spending would likely need to be repaid.

Click here to view final correspondence from the EAC to the Secretary of State’s office. Governor Chet Culver’s general counsel Jim Larew emphasized in a statement that “no federal rules were broken,” and “Most of the federal rules that were interpreted to evaluate the Iowa HAVA program had not even been published by the time Iowa HAVA was completed.”

This settlement wraps up four years of outstanding work by Mauro as secretary of state. He never should have lost his re-election bid.

Last month, Governor-elect Terry Branstad praised Mauro’s work and said he would consider hiring him in his administration. On December 30, the Branstad/Reynolds transition announced that Branstad will nominate Mauro to head the Iowa Labor Commission. Before that term starts on May 1, 2011, Mauro will serve as deputy director at Iowa Workforce Development, beginning January 3.

I’ll post a more extensive update on Branstad’s personnel choices and policy statements in the next few days. After the jump I’ve posted Mauro’s press release and Larew’s statement on the HAVA audit resolution, as well as the Branstad statement on Mauro’s new position, which praised “the fair and even way [Mauro] administered election laws and how he effectively managed the Iowa secretary of state’s office.” No wonder Branstad never did much to help Mauro’s opponent Matt Schultz, in stark contrast to his longstanding and highly visible advocacy for attorney general candidate Brenna Findley.

AFSCME Iowa Council 61 announced on December 22 that its membership overwhelmingly approved a new contract covering fiscal years 2012 and 2013. The vote means Governor-elect Terry Branstad will not be able to persuade state employees to accept a pay freeze in the name of budget austerity.

Details on the vote and more are after the jump.

Fallout from last month’s vote against retaining Iowa Supreme Court Chief Justice Marsha Ternus and Justices Michael Streit and David Baker continues to make the news almost daily.

Follow me after the jump for links and analysis on the timetable for replacing Ternus, Streit and Baker, efforts to change Iowa’s system for choosing judges, political pressure on the remaining justices, and how the retention vote will affect the 2012 elections.

Governor-elect Terry Branstad announced today that former State Representative Rod Roberts will head the Iowa Department of Inspections and Appeals in the next administration. Roberts gave up his seat after six five terms in the Iowa House to run for governor. He won about 9 percent of the vote in the Republican primary. I believe his candidacy helped Branstad by attracting social conservatives who might otherwise have consolidated behind Bob Vander Plaats.

Branstad and other Republicans have criticized Dean Lerner, the head of the inspections and appeals department in Chet Culver’s administration. They claim state inspectors have been too tough on businesses, particularly nursing home owners. The nursing home industry already gets most of what it wants from state legislators, and will cheer Roberts’ appointment. I am skeptical that Branstad plans to improve on his dismal record of nursing home regulation.

UPDATE: Clark Kauffman reported in the Des Moines Register on December 9,

Roberts, 53, told The Des Moines Register Wednesday that he didn’t apply for the job. Instead, he said Branstad contacted him shortly after the election and offered him the job. […]

Roberts said his 10 years of experience as a lawmaker will help him lead the agency, although he acknowledged he faces a steep learning curve because he has no staff management or regulatory experience.

Roberts also said he would not have any conflicts of interests – despite ties that he and his wife have to facilities that are inspected and regulated by the employees he will supervise.

Roberts has served on the boards that govern the New Hope Village care center in Carroll and its charitable foundation.

His wife, Patricia Roberts, is director of development for the foundation that provides financial support for St. Anthony Regional Hospital and Nursing Home in Carroll.

Kathie Obradovich argues that Roberts should “pledge to have no part in any regulation of operations where he has personal ties and relationships. Staff members should handle it.”

Also on December 8, Branstad named Teresa Wahlert as his choice to head Iowa Workforce Development. She is a past president of the Greater Des Moines Partnership and a member Iowa Business Hall of Fame who informally advised Branstad’s gubernatorial campaign.

Finally, Branstad announced that Courtney Kay-Decker will head the Iowa Department of Revenue. Kay-Decker is a Davenport attorney who was a member of the Iowa State Tax Review Board from 2000 to 2007.

Press releases with background on the three latest Branstad appointees are after the jump. I expect the Iowa Senate to confirm them all.

Meanwhile, outgoing Governor Culver was in Washington recently. Culver told the trade publication North American Windpower that he met with members of Congress to advocate for legislation to promote renewable energy. Presumably some job-hunting was going on as well.

For the near term, Culver will focus on completing the five weeks he has remaining as Iowa governor. After that, he will begin weighing his options. He wants to stay involved with either a wind energy company or a public interest group, adding that he would rather focus his energy on the task at hand rather than dwelling on the November defeat.

Culver chaired the Governors’ Wind Energy Coalition and lobbied Congress for a strong renewable electricity standard while the federal climate change bill was being debated. I don’t expect any progress on promoting renewable energy at the federal level, especially now that Republicans will control the House of Representatives. The tenative tax cut deal President Barack Obama struck with Republican leaders includes extending biofuels subsidies but not tax credits for wind or solar power.

Iowa’s three-member Revenue Estimating Conference again raised projections for state revenues during the current fiscal year and fiscal year 2012, following another month of growing state tax collections in November. The news hasn’t deterred Republican leaders from planning mid-year budget cuts, and legislators from both parties acknowledged the end of federal stimulus funds will make the next budget year difficult. Details and proposals are after the jump.

Debi Durham’s appointment as economic development leader was the big news of the week from Governor-elect Terry Branstad’s camp, but he and his close advisers continue to lay the groundwork for his administration.

After the jump I catch up on stories about the state budget, inauguration plans, and top Branstad donors from the past year.

Governor-elect Terry Branstad today put Debi Durham in charge of job creation for his administration. She will start as head of the Iowa Department of Economic Development, which Branstad plans to convert into a public-private partnership. Durham’s work will be crucial for some of Branstad’s central campaign promises: creating 200,000 new jobs, increasing family incomes by 25 percent, and reviewing all state economic development programs to discard ones that don’t work. Branstad has said he will travel widely to sell Iowa to the business community, and Durham will be a partner in those marketing efforts.

Durham has worked for the Siouxland Chamber of Commerce for 17 years, and “chairs the board of the Iowa Chamber Alliance, a coalition representing the chambers of commerce in the state’s 17 largest metro areas.” She told reporters that leaving Sioux City was a hard choice. Outside economic development circles, she is best known as the Republican nominee for lieutenant governor in 2002, the year Doug Gross lost to Governor Tom Vilsack. Bret Hayworth wrote a good profile of her during the 2002 campaign. Incidentally, Gross also intended to remake IDED into a public-private partnership. Yet again, Branstad is following his former chief of staff’s playbook. David Roederer, who also headed Branstad’s staff in the past and will run the Department of Management in the new administration, has worked closely with Durham too. He was executive director of the Iowa Chamber Alliance during her time as board chair.

During this year’s campaign, Governor Chet Culver said IDED already has plenty of business input and has helped keep Iowa’s unemployment far below the national average. He also cited news reports showing that the Indiana Economic Development Corporation, which Branstad embraced as a model, touted “bogus” job creation claims and concealed information about tax credits some companies received. Iowa legislators should ensure that the revamped IDED doesn’t have similar transparency problems. Branstad can’t restructure economic development programs by government directive; he needs a new state law for that.

Culver appointed Durham to the Iowa Department of Transportation Commission and “spoke highly” of her during the September gubernatorial debate in Sioux City. Assuming the Iowa Senate confirms Durham (which should be no problem), she may need to give up her position on the transportation commission. If so, expect Branstad to appoint someone friendly to road-builders’ interests.

In related news, Branstad is raising money from private donors to help pay for the transition from Chet Culver’s administration to his own. Current Iowa law set aside only $10,000, clearly not enough to cover those costs. I look forward to seeing the list of donors. People looking to preserve certain business tax breaks or economic development incentives may be eager to help the new administration.

UPDATE: From Jason Clayworth’s blog at the Des Moines Register:

“Obviously when you hear private/public partnership that is the biggest question is the transparency,” Durham said. “What I can assure you and I’m going to take my lead from Gov. Branstad. Everything about Gov. Branstad and this administration is transparent  So anything that will have anything to do with any public funds or public funding will certainly meet that threshold of transparency.

One of Branstad’s key campaign promises is to create 200,000 jobs throughout the next five years. Durham acknowledged after today’s press conference that the goal is a tall order.

“I think it is a stretch goal but like I said will go to work every single day knowing that is the goal before us,” Durham said.

Iowa Citizens for Community Improvement criticized Branstad’s appointment of Durham today. Their statement is after the jump.

What’s on your mind this weekend, Bleeding Heartland readers?

Past and perhaps future presidential candidate Mike Huckabee is in Des Moines tonight Sunday, headlining the Iowa Family Policy Center’s annual fundraiser. Other speakers include WHO talk radio personality Steve Deace and Iowa Family Policy Center Action president Chuck Hurley.

The big event is also Bob Vander Plaats’ debut as “president and chief executive officer of an umbrella group that includes the Iowa Family Policy Center, Marriage Matters and their political action committee.” The Iowa Family Policy Center endorsed Vander Plaats for governor. Huckabee came to Iowa to campaign for Vander Plaats, who chaired his successful Iowa caucus campaign in 2008.

Vander Plaats told journalists this week that his umbrella group will mobilize social conservatives and endorse a candidate for the upcoming Iowa caucus campaign. If Huckabee stays out of the presidential race, several campaigns will work hard to win the approval of Vander Plaats, Hurley and Deace. If Huckabee runs again, other candidates may as well not waste their time.

I got a robocall from Huckabee Thursday or Friday of this week, but I don’t know whether it was a fundraising call or an attempt to identify supporters. The call ended quickly after I answered “no” to the question, “Do you consider yourself pro-life?”

I’m headed to a friend’s birthday party tonight as soon as my version of Jewish noodle kugel comes out of the oven for the potluck. Quite a few Branstad voters will be in attendance (including the birthday girl), and I’m determined not to get into any arguments.

My Twitter feed is full of Republicans freaking out about Governor Chet Culver’s deal with AFSCME. A 2 percent raise for state employees, followed by a 1 percent raise, is far from excessive. Republican complaints about Culver’s lack of “courtesy” amuse me. It wasn’t too polite of Terry Branstad to spend millions of dollars on tv ads lying about I-JOBS and how Culver managed the state’s finances.

UPDATE: To clarify, the proposed contract with AFSCME involves a 2 percent across the board salary increase starting July 1, 2011, a 1 percent across the board salary increase starting January 1, 2012, another 2 percent across the board salary increase beginning July 1, 2012, and a 1 percent across the board salary increase starting January 1, 2013.

This is an open thread.

UPDATE: Kay Henderson posted a good liveblog of Huckabee’s November 21 press conference and his speech to the Iowa Family Policy Center crowd. The same post links to an audio clip of Huckabee’s comments to reporters and covers Vander Plaats’ speech to the crowd at the fundraiser.

Governor Chet Culver accepted a tentative deal today on a new two-year contract with with largest union representing state employees. The contract would increase the pay of all state workers covered by AFSCME by 2 percent in fiscal year 2012 (from July 2011 through June 2012), with another 1 percent wage increase in fiscal year 2013. Some employees would qualify for other pay increases as well.

Iowa Republicans immediately denounced the deal.

The Republican takeover of the House of Representatives will change transportation policy priorities, but should not affect recently announced funding for a Chicago to Iowa City passenger rail link. KCCI-TV questioned this week, “Will Election Changes Kill Iowa-Chicago Train Funding?”

Florida Rep. John Mica, the comittee’s ranking GOP member, told The Associated Press in an interview Wednesday that he believes high-speed trains are a good idea, but he doesn’t agree with the projects selected by the Transportation Department for funding.

U.S. Transportation Secretary Ray LaHood was in Iowa just last week, where he joined local leaders to celebrate $230 million in federal money to start work on a passenger rail line. Service on the new GreenLine is expected to begin in 2015 and take passengers from Chicago’s Union Station to the Quad Cities to Iowa City.

I contacted the Federal Railroad Administration today to find out whether there is any way for Congress to reverse the passenger rail funding decisions. FRA spokesman Rob Kulat said, “You’d have to ask Chairman Mica” how he thinks he can do that, adding, “The money has been awarded.” When I asked about a possible review process, Kulat repeated, “The money has been awarded.”

The Wall Street Journal reported on November 3 that the newly elected Republican governors of Ohio and Wisconsin want to cancel passenger rail projects in their states. The same article said Iowa Governor-elect Terry Branstad “has supported expanding rail service between Chicago and cities in Iowa.” However, in late October Branstad’s campaign manager “declined to comment” when the Des Moines Register asked “if Branstad would support the use of state money to establish Chicago-to-Iowa City passenger service.”

Some Republicans claimed the passenger rail grant was a political ploy to help endangered Democrats in Iowa and the Quad Cities. If so, it didn’t work. Representative Phil Hare lost his re-election bid in Illinois’ 17th Congressional district, including Rock Island and Moline. Representative Bruce Braley was re-elected narrowly but trailed his Republican opponent in Scott County, containing Davenport and Bettendorf. Governor Chet Culver didn’t carry Scott County either.

It’s too bad the outgoing Congress didn’t approve a comprehensive transportation funding bill. Transportation Committee Chairman Jim Oberstar had a strong vision for balancing priorities and increasing investments in passenger rail and public transit. The Republicans who will write the new highway bill have little interest in rail or the administration’s efforts to make roads more pedestrian and bicycle-friendly. At a Congressional hearing this March, Iowa’s own Tom Latham asserted that every bicyclist is one fewer person paying into the transportation trust fund.

Judicial nominating commissions will soon begin evaluating possible replacements for Iowa Supreme Court Justices Marsha Ternus, Michael Streit and David Baker. The law gives the commissions 60 days to submit a short list of candidates for judgeships to the governor, which means soon to be former Governor Chet Culver could nominate justices before Governor-elect Terry Branstad is sworn in. Branstad said yesterday that he should appoint the new members of the high court:

“I think it would be inappropriate to have a governor that was just rejected by the voters try to rush through appointments to a court when the court was just rejected as well. I think we need to really sit down and think this thing through in a really careful way,” Branstad says. “But really my focus is on jobs. That’s why the people of Iowa elected me as governor and that’s where I’m going to put my focus in the days ahead.”

Culver has not promised to let Branstad appoint the new justices. A November 3 statement from the governor’s office said only this:

“I am reviewing the matter carefully to ensure the judicial selection process that is utilized now is consistent with the Iowa Constitution, with Iowa law, and with past practices used in the course of both Democratic and Republican administrations in instances when multiple vacancies in our appellate courts have been created simultaneously.”

Meanwhile, Republican Party of Iowa Chairman Matt Strawn says it would be “unconscionable” for Culver “to thumb your finger in the eyes of the voters who just repudiated those Supreme Court Justices and, quite frankly, repudiated you and the one party, Democrat rule in Des Moines.” Strawn also called for “a further discussion too on how we change the way judges are nominated and selected in this state as well, because I think that too is part of the problem.” Getting rid of Iowa’s judicial nominating commissions would require a constitutional amendment, but a new law could make minor changes. For instance, Branstad has endorsed efforts to require partisan balance on the judicial nominating commissions.

The Supreme Court has already heard some oral arguments in this year’s caseload. It’s not clear whether the four remaining justices will issue rulings on those cases or rehear the oral arguments once replacements for Ternus, Streit and Baker have been selected.

The November 4 edition of the Des Moines Register published a map showing the judicial retention vote by Iowa county. There was a strong urban/rural split in the voting. In seven counties, more than 70 percent of votes cast on retention said no to all three judges. In 48 counties, the no votes on retention totaled between 60 and 70 percent. In 34 counties, the no votes totaled between 50 and 60 percent. In Clinton County, Streit and Ternus received a majority of votes for retention, but the yes votes for Baker fell below 50 percent. All three judges received a majority of yes votes in the remaining nine counties: Winneshiek (Decorah area), Black Hawk (Waterloo/Cedar Falls), Story (Ames), Polk (Des Moines), Linn (Cedar Rapids), Johnson (Iowa City), Muscatine, Scott (Quad Cities), and Jefferson (Fairfield area). I will update this post with a link to the map if I find it on the Register’s website.

UPDATE: Thanks to Bleeding Heartland user ragbrai08 for posting the map in the comments below. I’ve posted it after the jump as well.

Time for a new thread on the statewide election results. I haven’t dug into the county-level returns in the governor’s race yet, but Chet Culver didn’t even carry Polk County, which he won with a 21,000 vote margin in 2006. Culver did carry Johnson County, but by a much smaller margin than in 2006. What happened in your area, Bleeding Heartland readers?

UPDATE: Culver carried only eight counties: Black Hawk (Waterloo/Cedar Falls area), Linn (Cedar Rapids), Johnson (Iowa City), Dubuque, Des Moines (Burlington area), Lee (Ft. Madison/Keokuk), Story (Ames), and Jefferson (Fairfield). Culver almost carried Floyd County, where Republicans easily won House district 14. I guess Charles City loves I-JOBS! LATE UPDATE: The unofficial results indicate that Culver did carry Floyd County (barely), by fewer than 100 votes.

Branstad carried Wapello County (Ottumwa) for the first time. In his 1994 landslide victory, Bonnie Campbell carried only four counties: Story, Johnson, Des Moines and Wapello.

The down-ticket Democrats had a lot of ground to make up with Chuck Grassley winning the U.S. Senate race 64 percent to 33 percent and Terry Branstad winning 53 percent to 43 percent. Secretary of State Michael Mauro outperformed Culver, which he wasn’t able to do in 2006, but still fell short against Matt Schultz. It’s a shame to see such a competent public official lose in a wave election. Iowa will continue to benefit from his work to make voting more accessible and secure, with paper ballots. I expect the new legislature to act on Schultz’s top priority, photo ID requirements, and I wonder if they will also revoke same-day voter registration.

Iowa Republicans didn’t miss many targets, but I think they overlooked an opportunity by not investing in the state treasurer’s race. Michael Fitzgerald won his eighth term by an unusually narrow (for him) margin: just under 53 percent to 47 percent. A few hundred thousand dollars thrown toward Dave Jamison’s campaign could have won that race. Jamison didn’t have the resources to improve his name identification or make his case against Fitzgerald. Last year some conservative blogger, it may have been Krusty, said Christian Fong should have challenged Fitzgerald instead of running for governor as a 32-year-old. With his background in finance, his connections to major Republican fundraisers, and his roots in both eastern and western Iowa, Fong might have outperformed Jamison.

Tom Miller winning more than 55 percent of the vote was such a relief. The Republicans threw everything they had at him, and he ran a non-existent campaign until the final month, but he still defeated Brenna Findley convincingly. Miller even carried Woodbury County, where Republicans romped. Now he can get back to work on state attorneys’ coordinated investigation of foreclosure practices:

Mr. Miller’s status as a point man in the multistate investigation has been seen by many observers as a sign that the states will push for a sweeping settlement requiring lenders to implement mortgage modifications allowing homeowners to stay in their houses.

Mr. Miller, who has monitored mortgage-industry practices for years, had already begun discussions with some lenders, including Bank of America. In one meeting last week at Mr. Miller’s office, he and officials from other states told Bank of America executives and outside lawyers that state attorneys general would like additional aid to be offered to borrowers, such as further principal reductions on certain delinquent loans where people owe much more than what their homes are worth, according to people familiar with the meeting.

Doubt Findley would have been interested in seeking concessions from corporations to people underwater on their mortgages.

Environmentalists lost a few supporters in the Iowa Senate last night, but today many advocates are cheering the passage of the Iowa Water and Land Legacy trust fund amendment. I wouldn’t count on that fund being filled anytime soon, and I don’t support a regressive sales tax increase. However, it’s good to know that if Branstad follows through on plans to shift from income taxes to consumption taxes, he won’t be able to avoid allocating more money to soil and water conservation. The big margin of victory for this amendment (62.7 percent yes, 37.3 percent no) was also a blow to the Iowa Farm Bureau Federation’s prestige. Farm Bureau never opposed this amendment the two times state legislators passed it nearly unanimously, and a Farm Bureau representative was on the group that helped shape the amendment wording. For some reason, Farm Bureau decided late in the game to made a play to stop this amendment. In doing so, they disappointed some sympathetic legislators and enraged conservatives who backed a constitutional convention. The Farm Bureau’s messaging urged a no vote on the constitutional convention question as well as the soil and water trust fund.

Please share your thoughts about any of last night’s election results in your town, county or beyond. Iowa City voters upheld the 21-only bar ordinance, by the way.

Feel free to comment on races from outside Iowa that caught your eye. A few U.S. Senate seats haven’t been called, but the chamber seems likely to have 53 Democrats and 47 Republicans. Republicans will pick up between 60 and 70 House seats, meaning they will hold 240 to 250 seats in the new chamber (218 are needed for a majority). Republicans are on track to hold about 30 governorships, although several states have yet to be decided. Republicans swept Michigan, Ohio and Pennsylvania, assuring that they can replicate their successful gerrymanders of those states. Florida approved ballot measures that were designed to limit gerrymandering, but opponents may challenge those rules in court. Florida will still have a Republican governor and legislature, but if the ballot measures stand Democrats may make gains at the state level and in Congressional districts.

Democrats did better in some states (Connecticut, California, West Virginia) than in most others, but a common thread was Republican gains among independents, working-class whites and suburban voters. For instance, Joe Sestak fell just short in the Pennsylvania Senate race, losing to Pat Toomey 51 percent to 49 percent. He did as well in Philadelphia as Bob Casey did four years ago, but couldn’t match Casey’s performance in other parts of the state.

The Republican campaign for president will start winding up any day now, so get ready for more Iowa visitors. On that note, one person who has been touted as a presidential prospect, Mike Pence, may be laying the groundwork to run for governor of Indiana instead.

For most of this year, Governor Chet Culver wasn’t campaigning as actively as Republican Terry Branstad, but the governor has been making up for lost time. Since his third debate with Branstad on October 21, Culver has headlined dozens of campaign events around the state. The governor performed well in that debate and has sharpened his stump speech. Everywhere he goes, he says he feels the momentum that will win him another term.

While Iowa Democrats insist the polling trendlines favor Culver, Branstad has led in every poll released since he entered the Iowa governor’s race. His campaign has played it safe the last few weeks and appears to have avoided any “game-changing” mistakes.

A review of recent Branstad and Culver campaign messages is after the jump.

The latest Iowa poll for the Des Moines Register finds Republicans leading the gubernatorial and U.S. Senate races and Iowa’s Supreme Court justices likely to be ousted. Selzer and Co sampled 805 likely Iowa voters between October 26 and 29.

Terry Branstad leads Governor Chet Culver 50 percent to 38 percent. That’s down from a 19-point lead in the Register’s September poll, but still a comfortable advantage. Culver’s campaign released an internal poll last week showing a much tighter race, with Branstad ahead 46-40. I had assumed Republican internal polling also showed Culver gaining, because the Cook Political Report just shifted its rating on the Iowa’s governor’s race from safe Republican to leaning Republican. I don’t think they would make that rating change if private polling showed Branstad at 50 percent with a double-digit lead.

Kathie Obradovich blogged tonight that Culver leads by 9 percent among respondents who had already voted, even though he trails by 12 percent among the whole sample. The Register’s other piece on the new poll refers to “the electorate’s conservative profile” but gives no details about the partisan breakdown of the sample. I will update this post if more details emerge about the poll’s demographics.

Selzer and Co found Senator Chuck Grassley leading Roxanne Conlin 61 percent to 30 percent, virtually the same margin as in the Register’s September Iowa poll.

The news for Iowa Supreme Court justices wasn’t much better:

A third of likely Iowa voters say they will vote to retain Chief Justice Marsha Ternus and Justices David Baker and Michael Streit. Thirty-seven percent say they will vote to remove all three. Ten percent plan to retain some. The rest either don’t plan to vote on judicial retention or haven’t made up their minds.

I thought it was foolish for the anti-retention groups to feature Representative Steve King in their radio commercials, but if voters throw out the judges, King will be able to take some credit.

Obradovich didn’t give poll numbers for the Congressional races but noted, “Mariannette Miller-Meeks appears to have the best chance of any of the GOP challengers to unseat an incumbent Democrat.” That would be quite an achievement, since Iowa’s second district has the strongest Democratic lean. However, Miller-Meeks has been campaigning hard, and the Democratic Congressional Campaign Committee’s latest commercial against her is atrocious. It wouldn’t surprise me if that ad drives more voters toward Miller-Meeks than toward incumbent Dave Loebsack.

Iowa Democrats need to get out the vote and hope the Register’s poll contains faulty assumptions about who will turn out on Tuesday.

UPDATE: One positive sign for Loebsack is the large lead Democrats have in early voting in the IA-02 counties (pdf file).

SECOND UPDATE: The best news in the poll: Tom Miller 45, Brenna Findley 34.

Findley, a 34-year-old Dexter lawyer and tea party favorite, has spent more on advertising than Miller, who was first elected in 1978. However, Miller leads Findley among independent voters by 20 percentage points and nets a larger share of support from Democrats than Findley receives from Republicans.

Exactly one week before election day, State Auditor David Vaudt released his report on Iowa’s film tax credit program, which Governor Chet Culver halted in September 2009. The audit found problems with about $26 million of the $32 million in tax credits awarded under the program. The Des Moines Register summarized the key findings and covered the civil and criminal cases filed so far in connection with fraudulent film tax credits.

Getting this fiasco back in the spotlight is likely to hurt Culver and help GOP candidate Terry Branstad, whom Vaudt has endorsed and joined on the stump. Branstad’s campaign seized on the chance to slam inadequate oversight of the film tax credit program. Vaudt probably also benefits from making news just before voters will see his name on the ballot. The audit featured prominently in newscasts on October 26 and was a front-page story in many Iowa newspapers the following day. According to Radio Iowa,

Vaudt, a Republican, was asked about the timing of the release of the report the week before the election.

Vaudt says the governor actually requested the investigation, and his office worked in collaboration with the Department of Revenue and the Attorney General’s office. Vaudt says they handled this report like any other and released it once the report was completed.

More like two months after completing the report. Radio Iowa posted the full report here (pdf file). On page 6, a cover letter from Vaudt and his chief deputy, Warren Jenkins, states, “Copies of this report have been filed with the Department of Management, the Division of Criminal Investigation, the Attorney General’s Office and the Polk County Attorney’s Office.” That letter was dated August 19, 2010. What’s Vaudt’s excuse for waiting nearly ten weeks to release the report to journalists?

Culver told the Des Moines Register on Tuesday, “The timing is interesting. It was purely political but [Vaudt]’s been the most partisan auditor that we’ve ever had so it’s not a surprise.” Scott Harrington, campaign manager for Democratic candidate for state auditor Jon Murphy, on 26 October asked Vaudt “to provide a detailed timeline as to how today was determined to be the appropriate date to release this report.” I’m not holding my breath until that happens.

The U.S. Department of Transportation awarded $230 million in federal funding today for a new Amtrak route connecting Chicago and Iowa City, Senators Tom Harkin and Dick Durbin announced. The route will go through the Quad Cities. From a statement released by Harkin’s office:

The project – scheduled for completion in 2015 – will create 588 jobs per year for the first four years of design and construction.  Once initiated, the new service is expected to increase business activity at $25 million per year. […]

The new Chicago – Quad Cities – Iowa City route will provide two daily round-trips and carry trains traveling at speeds up to 79 miles per hour (mph) with an expected trip time of less than 5 hours.  The long-term vision for the line includes expanding the frequency of trains to offer more than two daily round-trip trains; extending the route; and making additional infrastructure investments to increase speeds from 79 mph to 90 mph, or even 110 mph.

Today’s news is a pleasant surprise. Although Governor Chet Culver and several members of Congress strongly advocated for expanding passenger rail in Iowa, the U.S. Department of Transportation did not fund an earlier grant request supporting Amtrak routes between Chicago and Iowa City and Chicago and Dubuque.

A 2008 Amtrak feasibility study on passenger rail from Iowa City to the Quad Cities estimated annual ridership on the route at “about 187,000 passengers, based on two daily round-trips and if improvements are made allowing maximum speeds of 79 mph.” Typical passenger trains reach maximum speeds of 79 mph; anything faster than 110 mph is considered “high-speed rail.”

More details on today’s announced funding are in the full statement from Harkin’s office, which I’ve posted after the jump. The Quad-City Rail Coalition website has additional background information on the proposed route. Central Iowa business and political leaders hope a Chicago-Iowa City passenger rail link could eventually be extended through Des Moines to the Council Bluffs-Omaha metro area.

UPDATE: I’ve added a press release from the governor’s office with more details. It states that first-year ridership on the route between Iowa City and Chicago is projected at 246,800.

TUESDAY UPDATE: Senator Chuck Grassley also expressed support for this passenger rail link: “You’re finding a situation where, connected with the problems of Homeland Security, the problems of terrorists on airplanes, the fact that airlines are having trouble providing the service they used to provide, alternative service like rail service is something that, at least on a regional basis, is going to pay off.”

Share any reactions to today’s debate between Democratic Governor Chet Culver and Republican Terry Branstad in this thread. My thoughts are after the jump.

Note: some Bleeding Heartland readers have had trouble commenting lately using Internet Explorer. The problem seems to disappear when they try a different web browser (such as Firefox, Safari, or Chrome).

UPDATE: Watched the whole debate on Iowa Public television, which has posted the video on the web. To my mind, this was Culver’s strongest performance, and he probably helped himself with people who once supported him but weren’t sold on a second term yet. Branstad didn’t make any huge mistakes, but he evaded several questions and came across as hesitant at times. I doubt any Branstad supporters would change their minds based on the debate, though. More specific comments about each candidate’s strong and weak moments are at the bottom of this post.

Governor Chet Culver and Republican Terry Branstad debate for the third and last time today at noon in the Iowa Public Television studios. You can watch live at the Des Moines Register website, IPTV.org or on Mediacom Channel 119. Tonight Iowa Public TV will rebroadcast the debate statewide at 8 pm.

After the jump I’ll cover recent news from the gubernatorial campaign and the main points Culver and Branstad are likely to emphasize today.  

A longer update on the governor’s race is in progress, but Terry Branstad’s comments on the budget during yesterday’s Des Moines Register interview are a must-read. Since the day he declared his candidacy, Branstad has said “the cost of government must be reduced by at least 15 percent.” He put that promise in his stump speech and in his television and radio commercials. But anyone who has paid attention to his campaign rhetoric could see that the program cuts he has mentioned so far wouldn’t put Iowa on track to reduce spending by 15 percent over five years. Moreover, Branstad’s property tax relief proposal depends on the state taking over some county government functions, which would increase the state budget.

As Jason Clayworth writes,

The Register has for weeks requested Branstad outline how he would reduce Iowa’s $5.3 billion budget, of which more than 80 percent is spent on education and human services that assist the state’s economically- or physically-disadvantaged families.

Branstad’s been good at evading such questions, but his time ran out yesterday when he sat down face to face with the Register’s reporters and editorial writers. I encourage you to read Clayworth’s whole piece as well as Kathie Obradovich’s take. Some excerpts are after the jump.

Governor Chet Culver and Republican Terry Branstad face off in a few minutes at Cedar Rapids’ Coe College. KCRG and the Cedar Rapids Gazette are live-streaming the debate. From 8 to 9 pm people anywhere in Iowa can watch the debate on Iowa Public Television.

Unlike last time around, I won’t shirk my blogger duties. Live-blogging commences after the jump.

UPDATE: For the most part I agree with Todd Dorman; no surprises in the debate. I think whoever prepped Branstad for the debate was wise to have him waive rebuttals when the question didn’t play to a good issue for him.

In reference to the debate sparring over property taxes (see below) Culver’s campaign sent out a list of bills Branstad signed that authorized new or expanded property taxes.

Governor Chet Culver and Republican challenger Terry Branstad will debate for the second time tonight at 7 pm. You can watch live online at KCRG in Cedar Rapids, or statewide on Iowa Public Television at 8 pm. I’ll put up a debate discussion thread here later, but first let’s preview each candidate’s message on the big issues likely to come up tonight. As was apparent during the first gubernatorial debate, these two are masters at answering the question they want to answer.

Jobs, flood recovery, tv ads and more are after the jump.

Another independent analysis concludes Iowa is well-managed and compares favorably to most other states. 24/7 Wall St, a website geared toward investors, released its survey of “The Best and Worst Run States in America on Monday. Iowa ranked third, behind Wyoming and North Dakota. This survey took many indicators into account:

It is based on evaluation principles used in the award-winning Best Run States In America ratings published by the Financial World Magazine during the 1990s. These studies were used by state governments to evaluate the efficiency of their own operations. The new 24/7 Wall St. study is meant to help businesses and individuals examine state operation with an unbiased eye.

The word involved in comparing states is challenging. This is due the volume of the data and the many ways it can be interpreted. A comparison is made even more difficult because state governments have advantages and disadvantages that may be decades old. These include the presence of natural resources, the the decisions by large companies to locate or leave and the extent to which populations are rural or urban. […]

Ultimately, however, states can control their own destinies. Well-run states have a great deal in common with well-run corporations. Books are kept balanced. Investment is prudent. Debt is sustainable. Innovation is prized. Workers are well-chosen and well-trained. Executives are picked based on merit and not “politics.”

24/7 Wall Street identified surveys with complete data sets for each state. Using this data, our formula ranked each state giving weight to metrics that are most important to prudent governance. In addition to traditional fiscal information, including GDP per capita, debt per capita, and and credit rating, our analysis also showed the impact of state policies on its residents.

24/7 Wall St posted more information about its methodology near the bottom of this page. Governor Chet Culver and the Democratic-controlled state legislature can’t take credit for all of the factors that helped Iowa gain such a high ranking. However, this survey demonstrates the emptiness of Republican campaign rhetoric about “out of control” state spending and borrowing. Iowa has maintained a top credit rating and the sixth-lowest debt per capita, and our unemployment rate is relatively low by national standards.

Since Democrats gained Iowa House and Senate majorities four years ago, they have passed bills to expand access to health care for children and adults (see here and here for two examples). Those laws helped reduce Iowa’s already low percentage of residents without health insurance. Only Massachusetts and Hawaii now score better than Iowa on this metric, according to a chart near the middle of this page in the 24/7 Wall St report.

Yet again, outside analysts who don’t have a dog in the outcome of Iowa elections have concluded that the state is doing well, thanks to capable and prudent management. Don’t expect Republicans to notice, though.

New Jersey Governor Chris Christie is headlining a sold-out fundraiser for Republican gubernatorial candidate Terry Branstad in Des Moines this evening. Branstad has praised Christie for “cleaning up the state’s budget and again putting his state on the right track.” One Republican speaker after another tonight will bash Iowa Governor Chet Culver, ignoring the fact that our state ended the last fiscal year with a sizable surplus and has been described as one of the states “least like California” in terms of budget problems.

Bleeding Heartland would like to welcome Christie to Iowa by comparing his record on state borrowing with Culver’s I-JOBS infrastructure bonding program, a frequent Republican punching bag.

Iowa finished fiscal year 2010 on June 30 with an ending balance of $335.6 million and $419 million in various reserve accounts, the Iowa Department of Management reported yesterday. Remarkably, the surplus is the second-largest in the last 10 years despite the weak national economic recovery of the past year.

It’s been clear since July that the ending balance would exceed the $100 million projected when the legislature adopted the 2010 budget. Revenues during the second half of the fiscal year came in higher than expected.

Republicans have been lying about Iowa’s so-called “budget deficit” all year. During the past three months, gubernatorial candidate Terry Branstad has continued to accuse Governor Chet Culver of spending too much, and GOP candidates for many other offices have joined in the chorus about allegedly “out of control” spending.

Don’t expect Republicans to apologize for their demagoguery. Instead of acknowledging our state’s fiscal health, Iowa House Republicans put out a statement today fanning fears about a huge Medicaid funding shortfall in fiscal year 2012 (that’s the year that begins on July 1, 2011).

Kathie Obradovich’s take on today’s news at the Des Moines Register blog was stunning as well. Instead of pointing out that the final budget numbers disprove statements Branstad has been making all year, she chided Culver for “name-calling” against his Republican opponent. Why doesn’t she ask Branstad to show how he would balance the budget without accepting federal fiscal aid or dipping into reserve funds, while keeping his promise to reduce the size of state government by 15 percent over five years? We’ve seen no budget details from Branstad, and his plans to cut corporate taxes while having the state take on more responsibility for funding mental health and education services simply don’t add up.

More details on the final state budget numbers for fiscal year 2010 are after the jump, along with ending balances for each of the last ten fiscal years.

UPDATE: Iowa House Republican leader Kraig Paulsen still claims Culver “has a history of reckless and irresponsible budgeting” and accuses him of forcing a $500 million property tax increase. That Republican talking point has been debunked before. Paulsen asserts that Culver has “left a budget shortfall of over $1 billion for next year, including $600 million in Medicaid.” Again, that refers to fiscal year 2012. The Iowa legislature will take account of updated revenue and expense projects when drafting next year’s budget during the 2011 legislative session, just like legislators adjusted spending plans during this year’s session to keep the 2011 budget balanced.