# State Budget



Republican lawmaker voices doubts on alternative to Medicaid expansion

For months, I’ve been wondering if and when some Republican lawmakers would balk at supporting Governor Terry Branstad’s “costs more, covers less” alternative to expanding Medicaid in Iowa.

For the first time yesterday, an Iowa House Republican said he may not vote for Branstad’s plan. I doubt it’s a coincidence that the wavering lawmaker is unusually knowledgeable about health care services in Iowa.

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Iowa Medicaid expansion news roundup (updated)

Last week Governor Terry Branstad finally introduced legislation to enact his Healthy Iowa Plan instead of the Medicaid expansion foreseen under the 2010 federal health insurance reform law. Strangely, neither the governor’s office nor the Iowa House Republican caucus held a news conference or even posted a press release about House Study Bill 232. The bill arrived at the statehouse on Thursday, April 4, after many legislators had left for the weekend.

So far House and Senate Republicans appear united behind Branstad’s approach, while the governor’s office strives to counter the obvious case against his plan (costs more, covers less). I’ve posted arguments for both sides and other news links after the jump.

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Sixteen Iowa lawmakers issue dumbest ultimatum ever

The FAMiLY Leader’s strange obsession with the Iowa Governor’s Conference on LGBTQ Youth is well-established. Last year, the socially conservative organization led by Bob Vander Plaats was so focused on getting Governor Terry Branstad to drop his affiliation with this conference that they were too “busy” to protest as the governor wined and dined the future Communist ruler of China (world leader in coerced abortions).

The FAMiLY Leader was at it again last week, throwing a fit over the 8th Annual Governor’s Conference on LGBTQ Youth scheduled for April 3. For this post, I don’t want to focus on the “ludicrous” concerns raised by people like Chuck Hurley (“Stop coming after my kids and other people’s kids with evil propaganda”). I don’t want to focus on how Branstad “ducked rather than draw fire from name-callers” with this weak response to the controversy.

Today I’m more interested in sixteen Republican lawmakers who showed their solidarity with the FAMiLY Leader by making an idiotic promise they can’t possibly keep.

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Iowa Senate approves Medicaid expansion along party lines

Last night the Iowa Senate approved Senate File 296, a bill to expand Medicaid, on a strictly party-line vote of 26 to 23. You can listen to the entire Senate debate (approximately 90 minutes) at Radio Iowa. I’ve posted highlights from the debate after the jump, along with the full list of 52 organizations that have registered their support for Senate File 296. Some corporations and organizations have have registered their lobbyists as undecided on Senate File 296, but at this writing, not a single organization is registered against the Medicaid expansion.

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Iowa schools left in limbo despite growing state revenues

School districts across Iowa are flying blind with less than a month left to certify their budgets for the coming fiscal year. Although Iowa’s state revenues are rising and expected to grow more next year, administrators have no idea whether K-12 district budgets may increase, and if so, by how much.

Students and teachers will pay the price for the decision by Iowa House Republicans and Governor Terry Branstad to hold school funding hostage to education reform.

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Branstad running out of excuses not to expand Medicaid (updated)

Iowa Senate Democrats offered Governor Terry Branstad a compromise this week to address his concerns that the federal government will not keep its promises to fund the Medicaid expansion provided under the 2010 health care reform law. Follow me after the jump for details on their latest offer and a cost comparison of Medicaid expansion and Branstad’s “Healthy Iowa Plan.”

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Latest Iowa Medicaid expansion news and discussion thread

Expanding Medicaid in Iowa would add nearly $2.2 billion to the state’s economy, create an estimated 2,362 jobs, and save state government about $1.6 billion, according to a new study. For now, Governor Terry Branstad is sticking to his alternative plan for covering some low-income Iowans, but Senator Tom Harkin predicted last week that federal officials will not approve a waiver for Branstad’s approach.

Follow me after the jump for details on those stories and more about Medicaid in Iowa. I’ve also enclosed a moving personal statement State Senator Mary Jo Wilhelm delivered today about Iowans who can’t afford health insurance.

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Weekend open thread: Jobs and prosperity

What’s on your mind this weekend, Bleeding Heartland readers? The Bureau of Labor Statistics released a better than expected jobs report on Friday, but not all the numbers were encouraging. States have continued to cut jobs even after the end of the “Great Recession,” and the “sequester” federal budget cuts will lead to more public-sector job losses later this year. Disappearing state government jobs are a drag on the national economy.

Surprise, surprise: the Iowa Chamber Alliance thinks shoveling more taxpayer dollars to large corporations is the best way to create jobs. The Iowa Policy Project disagrees and points out that Iowa is already writing large subsidy checks to some companies that paid no income tax in 2012. UPDATE: Forgot to mention that Iowa just agreed to give the Principal Financial Group $22.5 million in tax credits for its $285 million renovation plan in downtown Des Moines. Why should Iowa taxpayers underwrite office remodeling for a profitable company? That’s part of the cost of doing business.

Conservatives who think high tax rates can’t coexist with economic prosperity should explain why “the average Canadian household is now richer than an average American household for the first time ever.” My guess is the answer is related to Canada’s efficient, single-payer health care system (no medical bankruptcies or huge out of pocket costs because of health problems).

Senator Tom Harkin has introduced a bill to raise the minimum wage from $7.25 to $10.10 over three years before “before indexing it to keep up with the rising cost of living.” Indexing the minimum wage to inflation should have happened a long time ago.

This is an open thread.

Will Branstad's "Healthy Iowa Plan" fly? (updated)

Governor Terry Branstad announced his administration’s alternative to Medicaid expansion this morning at his regular weekly press conference. The “Healthy Iowa Plan” would cover approximately 89,000 Iowans with income below the federal poverty level. In contrast, Medicaid expansion would cover up to 150,000 Iowans with income below 133 percent of the poverty level.

Details on the new plan are after the jump. Early reaction from Senate President Pam Jochum suggests that the Iowa Senate will not be inclined to approve this proposal. I also question whether the U.S. Department of Health and Human Services will grant a waiver for Branstad’s plan. Federal officials have already denied requests from Branstad and other governors to allow a smaller Medicaid expansion than what the 2010 health care reform law provides.  

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Iowa Senate approves boost to K-12 school funding (updated)

Traditionally, Democrats and Republicans in the Iowa legislature have argued over the amount of state education funding. Now it’s a battle just to set an allowable growth level for K-12 school districts. Last year’s legislature failed to meet a deadline for approving allowable growth for fiscal year 2014, covering the 2013/2014 academic year. As a result, school districts have no idea how much they will be able to increase their budgets for the fiscal year beginning on July 1, or whether they will be able to increase their budgets at all.

Yesterday the Democratic-controlled Iowa Senate voted along party lines to set allowable growth at 4 percent for the coming fiscal year. Governor Terry Branstad and statehouse Republicans want to put off any decision on allowable growth until the legislature passes another education reform bill. After the jump I’ve posted background and more details about this issue.

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Central City is Iowa's 2013 River Town of the Year

The non-profit organization Iowa Rivers Revival announced yesterday that its 2013 River Town of the Year award goes to Central City, a Linn County town on the Wapsipinicon River. Five Iowa towns have previously won the award: Webster City (Hamilton County), Elkader (Clayton County), Coon Rapids (Carroll County), Cedar Falls (Black Hawk County), and Charles City (Floyd County).

Details on Central City’s award are below. At the end of January, a larger city in Iowa will be named River City of the Year.  

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Branstad's new property tax plan and other Condition of the State news (updated)

Governor Terry Branstad just finished delivering his annual Condition of the State speech to Iowa House and Senate members. He unveiled a new property tax reform plan, which would cut commercial property taxes by 20 percent over four years. Previously the governor had called for cutting commercial property taxes by 40 percent. Branstad also urged legislators to approve the key points of education reform proposals he released yesterday. Finally, he outlined three policies that, in his view, would help Iowa become the healthiest state in the country.

Links and more details are after the jump. I will update this post later with more information and reaction. The video of Branstad’s speech will be available on IPTV.org and will be broadcast statewide on Iowa Public Television at 6:30 pm on January 16.

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Themes from the Iowa legislature's opening day in 2013

The Iowa House and Senate began their 2013 session yesterday with the usual welcoming speeches from legislative leaders and the ritual of choosing desks for each lawmaker in the chambers. Judging from this photo, returning legislators get first dibs.

As was the case in 2012, social issues like abortion and same-sex marriage were absent from the opening-day speeches. Republican leaders emphasized the need to cut both property and income taxes. Iowa House Speaker Kraig Paulsen also claimed credit on behalf of Republicans for Iowa’s improving fiscal condition. House Majority Leader Linda Upmeyer spent a fair amount of time criticizing Congress before calling for state action to improve education and cut taxes. House Speaker Pro Tem Steve Olson repeated some themes of last year’s election campaign and quoted U.S. Senator Marco Rubio of Florida. Similarly, Senate Minority Leader Bill Dix concentrated on tax reforms.

Senate Majority Leader Mike Gronstal focused on education and workforce training programs to address “Iowa’s skill shortage.” Senate President Pam Jochum focused on health-related issues: improve mental health services, helping elderly people stay in their own homes, and expanding Medicaid, which she described as “the biggest opportunity for this session to make a positive difference for Iowans.” Iowa House Minority Leader Kevin McCarthy emphasized the need for bipartisan work on a range of issues: education, mental health care delivery, the transition to a new maximum security prison, and protecting natural resources.

Follow me after the jump for excerpts from the opening-day speeches by legislative leaders (as prepared for delivery). I included the full text of Jochum’s remarks, because her personal journey says a lot about who she is. Jochum also paid a lovely tribute to former Republican State Senator Pat Ward, who died last year.  

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Weekend open thread: Possible Culver-Branstad rematch edition

Judging from this thread, Bleeding Heartland readers are interested in scenario spinning about the 2014 Iowa gubernatorial election. Former Governor Chet Culver is among several Democrats considering the race. I’ve posted a few thoughts about that prospect after the jump.

This is an open thread: all topics welcome.

UPDATE: Dave Wasserman continues to update presidential election popular vote totals on this spreadsheet. As of December 29, Barack Obama has exceeded 51 percent of the popular vote and is nearly 5 million votes ahead of Mitt Romney: 65,892,366 votes to 60,926,847 votes.

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"Overpaid" is in the eye of the beholder (updated)

Governor Terry Branstad begrudges the working poor a little extra money and wants to cut total compensation for thousands of state employees, whom he considers overpaid. But where his favorite appointees are concerned, Branstad uses bonuses or a housing allowance to evade salary caps on senior positions in state government.

Erin Jordan has the details in two must-read articles for the Cedar Rapids Gazette. Highlights are after the jump.

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Health care exchange and Medicaid expansion news roundup

Last week Iowa Governor Terry Branstad confirmed that Iowa will pursue a “partnership” health insurance exchange next year, rather than setting up its own insurance exchange for implementing the 2010 health care reform law, or letting the federal government set up an exchange for Iowa.

In addition, the governor again signaled that he is against the now-optional Medicaid expansion for states, because he believes it would become too expensive for Iowa in the future.

Links and recent news about health care reform in Iowa are after the jump.

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Child poverty still a major problem in Iowa

As Iowa’s economy has improved this year, the unemployment rate has dropped slightly, and state tax revenues have increased. But a recent report on children’s well-being in Iowa shows that child poverty rose significantly over the past decade. Highlights from the “Iowa Kids Count 2011” report by the Des Moines-based Child & Family Policy Center are after the jump.

Governor Terry Branstad wants to use much of Iowa’s projected budget surplus for corporate tax cuts; he would also use part of the money to fund proposed changes to teacher pay. When state lawmakers consider how to use surplus funds, they should remember the Iowans most adversely affected by the “Great Recession,” who are least able to help themselves. The Child & Family Policy Center’s Every Child Counts project endorses specific legislative action that would improve the well-being of children and families. Those priorities are identical to policies advocated before the 2012 legislative session. Let’s hope lawmakers are paying more attention this year.

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Iowa DNR director: Please help us stave off the EPA (updated)

Iowa Department of Natural Resources Director Chuck Gipp is asking for $1.3 million in additional state funding to help his agency hire eleven new livestock facility inspectors for next year. Gipp has been affiliated with agricultural interest groups throughout his career. He just endorsed a strategy on keeping nutrients of out waterways that was “fiercely criticized” by Iowa DNR staffers with the most expertise on farm runoff.

Why would Gipp suddenly ask for more DNR inspectors? According to his own testimony, he’s trying to keep the U.S. Environmental Protection Agency from enforcing Clean Water Act provisions against Iowa livestock farms.

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Iowa Governor's Bullying Prevention Summit news roundup

More than 1,100 people attended the Governor’s Bullying Prevention Summit in Des Moines yesterday. To his credit, Governor Terry Branstad stayed all day to listen to speakers like Sioux City Superintendent of Schools Paul Gausman and Rosalind Wiseman, author of the book “Queen Bees and Wannabes.” The governor also announced a new hotline and website designed to help young people targeted by bullies.

I was unable to watch the livestream from what sounds like a fantastic event. After the jump I’ve posted a bunch of news and links about the summit as well as background on Iowa’s anti-bullying policies.  

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Iowa Senate district 30: Final ads for Danielson and Reisetter

Given how much money Democratic and Republican leaders are spending on advertising in the Iowa Senate races, it’s unfortunate that so few of the television and radio commercials are available online. Both of the candidates in the battleground Senate district 30 (Cedar Falls/Waterloo) continue to set a good example for transparency, though.

The final tv ads supporting Senator Jeff Danielson and his Republican challenger Matt Reisetter are after the jump, along with other recent news from the campaign. Bleeding Heartland discussed these candidates’ previous ads here and here.

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Iowa House district 43: Chris Hagenow is worried

In a sure sign that Republicans consider House district 43 competitive, State Representative Chris Hagenow’s campaign is spending tens of thousands of dollars on television commercials attacking his Democratic challenger Susan Judkins. The ads repeat several messages a Republican push-poll used against Judkins earlier this fall. My transcript and description of the commercial is after the jump. Bleeding Heartland previewed the House district 43 race here.

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Iowa Senate ad watch: I-JOBS lies edition (updated)

The I-JOBS infrastructure bonding initiative helped fund more than 1,600 infrastructure projects around Iowa during the “Great Recession.” From the beginning, Republicans have used misleading rhetoric to make their case against I-JOBS. Terry Branstad and GOP lawmakers exaggerated the initiative’s costs and understated its benefits repeatedly during the 2010 campaign.

Now some Iowa Senate candidates are putting lies about I-JOBS at the center of their radio advertising.

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Childhood hunger, poverty growing in Iowa

Although Iowa’s unemployment rate is below the national average, and state government closed out the 2012 fiscal year with a record surplus, a growing number of Iowa children live in poverty and are hungry or malnourished at least some of the time. The Des Moines Register recently launched a series of reports on “unprecedented challenges for Iowa kids.” Follow me after the jump for some depressing highlights.

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Weekend open thread: Record surplus edition

In a striking contrast to the $16 trillion federal debt so frequently mentioned in political advertising, the state of Iowa “officially closed the fiscal 2012 ledger with a $688.1 million budget surplus after its cash reserve and economic emergency funds were filled to the statutory maximum of nearly $596 million.” That’s the largest surplus in state history, according to David Reynolds, a fiscal analyst with the Legislative Services Agency.

Governor Terry Branstad (who wrongly claimed Iowa could not afford to give public employees a 3 percent raise) is already using the surplus to justify deep income tax cuts for corporations and wealthy individuals, in addition to a major commercial property tax cut. An earned income tax credit that would benefit hundreds of thousands of low-income workers will be a bargaining chip again.

Meanwhile, children in thousands of Iowa public schools have been dealing with larger classroom sizes and program cuts, because the governor and Republican state legislators insisted the state couldn’t afford any allowable growth for K-12 budgets in the 2012 fiscal year, and just 2 percent allowable growth in the current year. (In past decades, Iowa legislators routinely agreed on 4 percent allowable growth for school district budgets.) For statehouse Democrats, the record surplus shows that Iowa doesn’t need to “starve” state programs, especially education and human services.

This is an open thread. All topics are welcome, particularly any comments on state budget priorities.

UPDATE: Rest in peace, George McGovern. After the jump I’ve enclosed a famous passage from his book, What It Means to Be A Democrat. John Deeth recalls meeting and interviewing McGovern in Iowa. SECOND UPDATE: Added statements from Senator Tom Harkin and Iowa Democratic Party Chair Sue Dvorsky below.

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Iowa Senate district 30 campaign update

Last time Bleeding Heartland discussed the Iowa Senate district 30 race, two-term Democratic incumbent Jeff Danielson and his Republican challenger Matt Reisetter had just launched their first television commercials in the Waterloo/Cedar Falls area. Both candidates have followed up with advertising that I’ve enclosed after the jump.

I applaud the openness of both campaigns in Senate district 30. Most of the Iowa House and Senate radio and television commercials from last cycle were never uploaded to YouTube, and I expect the same lack of transparency this year.

As for content, Reisetter’s third tv ad includes one of the most ludicrous interpretations of an Iowa legislative vote since the infamous “heated sidewalks” of 2010.

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Weekend open thread: Iowa state legislative race edition

What’s on your mind this weekend, Bleeding Heartland readers? A bunch of posts on Iowa House and Senate races are in the works for the next couple of weeks. Several Democratic candidates for the Iowa House have been targeted by push-polls similar to the one I received attacking Susan Judkins in House district 43. Direct mail pieces are resurrecting some of the dishonest Republican talking points of the 2010 campaign, including non-existent “heated sidewalks” allegedly funded with state money, fancy flowerpots and “bus service for lobbyists.”

Democratic Legislative Campaign Committee strategists included three Iowa Senate races in the new list of 50 essential state legislative races around the country. Those are Senate district 26, where Democratic incumbent Mary Jo Wilhelm faces Republican incumbent Merlin “build my fence” Bartz, Senate district 46, pitting Republican incumbent Shawn “Go Home” Hamerlinck against challenger Chris Brase, and Senate district 49, an open seat pitting almost-elected 2010 GOP candidate Andrew Naeve against longtime teacher and planning and zoning commissioner Rita Hart on the Democratic side.

Iowa Senate Majority Leader Mike Gronstal, who is working hard to preserve his 26-24 edge in the chamber, has chaired the Democratic Legislative Campaign Committee since 2007. Republicans failed to recruit a strong candidate against Gronstal in the new Senate district 8, covering Council Bluffs and Carter Lake.

This is an open thread. If you’ve noticed any interesting direct mail, phone calls, radio or television commercials supporting or attacking Iowa House and Senate candidates, please post a comment here, put up your own diary, or send a message to desmoinesdem AT yahoo.com. Most of the candidates are not uploading their campaign advertising to YouTube. Remember not to hang up the phone when you get calls targeting your local state legislative candidates. Instead, take detailed notes if you can, and don’t be afraid to ask the caller to repeat the questions.

UPDATE: Minneapolis Mayor RT Rybak and Democratic Representative Dave Loebsack will be at today’s Reichert Oktoberfest in Muscatine supporting state Senate Candidates Brase and Tom Courtney and state House Candidates John Dabeet and Sara Sedlacek.  

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