# Taxes



Republicans running negative radio ads in key Iowa Senate and House races

Radio commercials appeared in several competitive Iowa Senate districts during the last week of September, coinciding with the start of early voting. This week, the Republican Party of Iowa has launched the first negative radio spots I’ve heard in state legislative races this year. After the jump I’ve enclosed the transcript of the ad attacking Chaz Allen, the Democratic candidate in the open Iowa Senate district 15. Allen’s own positive ad, which Bleeding Heartland transcribed here, is still in rotation and promotes the former Newton mayor’s record of recruiting businesses. The new Republican spot blames Allen for high property taxes that allegedly discouraged companies from coming to Newtown after “Maytag pulled out on Chaz Allen’s watch.” The ad also plays up Governor Terry Branstad’s support for Crystal Bruntz, the Republican candidate in Senate district 15. While the ad asserts that Bruntz “understands job creation,” it fails to mention anything substantive she has ever done to create jobs.

In Iowa Senate district 41, a leading pickup opportunity for Democrats, Republican State Senator Mark Chelgren’s new radio spot highlights flippant and sarcastic responses Siegel mailed in response to a survey Chelgren circulated in 2010. More details on that commercial are after the jump.

In the open Senate district 39, another seat targeted by both parties, a Bleeding Heartland reader tells me that the new Republican radio spot attacks Democratic nominee Kevin Kinney over his support for “Common Core” educational standards. I have not heard the ad yet and would appreciate any further details. It seems like an odd angle for an attack, but I guess Kinney’s background as a deputy sheriff and family farmer didn’t give them easy targets. Politics-watchers generally believe that education is a campaign issue favoring Democrats. As far as I can tell, fear-mongering over Common Core only resonates with social conservatives who would already be voting for Kinney’s opponent, Michael Moore.

I have not yet heard details on radio spots attacking State Senators Daryl Beall or Rita Hart, the Democratic incumbents in Senate districts 5 and 49, respectively. Nor have I heard of any attack ads against three-term Democratic incumbent Amanda Ragan in Senate district 27, although anecdotally, Republicans have supposedly given up on taking back that seat. I always appreciate tips from Bleeding Heartland readers, so please let me know if you’ve heard radio ads in the Fort Dodge, Clinton, or Mason City area.

In the open Iowa House district 55 (northeast Iowa), Republican Daniel Branhagen started running a commercial this week calling his Democratic opponent Rick Edwards a big spender. I haven’t heard attack ads against any Iowa House Democrats yet on Des Moines area radio stations.

Any comments about the state legislative races are welcome in this thread.

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IA-Gov: Final Branstad-Hatch debate liveblog and discussion thread

Governor Terry Branstad and State Senator Jack Hatch debate for the third and final time tonight, starting at 7:00 pm. The candidates are meeting in Sioux City’s Orpheum Theater. KTIV will live-stream here. I’ll be liveblogging after the jump and will also update later with reaction to the debate. C-SPAN does not appear to be televising.

Any comments about the governor’s race are welcome in this thread. It’s been a discouraging couple of months for Democrats, as Hatch had to pull his television advertising in late September for lack of funds. Meanwhile, Branstad’s campaign has been advertising statewide almost continuously since early June. For a lot of this year, polling indicated that there was an opening for a challenger to make a case against Branstad. The governor’s re-elect numbers were below 50 percent in many polls, despite decent approval ratings–indicating that quite a few Iowans who liked Branstad questioned whether he deserved another term. I liked Hatch’s commercial that hammered on the theme of Branstad being around too long, but he wasn’t able to follow up with other spots to raise his profile and highlight the incumbent’s failures. Most recent polls have shown Branstad ahead of Hatch by 15 to 20 points. I wish money were not so influential in our campaigns and elections.  

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Weekend open thread, with lots of IA-Sen links

Whose idea was it to hold so many Iowa candidate debates on Saturday nights this year? At 7 pm this evening, Bruce Braley and Joni Ernst face off in the second of three scheduled debates. (C-SPAN will televise nationwide, and KWQC TV will televise in the Quad Cities area.) Immediately after that, KWQC will broadcast the second and final debate between Representative Dave Loebsack and Mariannette Miller-Meeks in the second Congressional district race. (That debate will be taped earlier in the day.)

I won’t be able to watch either showdown live because of a family wedding, but I will catch up later with some links and recap, as well as highlights from the new Selzer poll for the Des Moines Register and Bloomberg.

This is an open thread: all topics welcome. A bunch of links related to the IA-Sen race are after the jump. I still see the debate as equally risky for Braley and Ernst, for different reasons.

UPDATE: The new Des Moines Register/Bloomberg poll by Selzer & Co has Braley and Ernst nearly tied. Ernst is ahead by a statistically insignificant 47 percent to 46 percent. I do not believe Ernst lost a lot of ground during the last two weeks. I believe she was never as far ahead as the last Selzer poll indicated. Other polls in the field around the same time showed a much closer race. In particular, I do not believe that in two weeks, Braley went from a 25-point deficit among men to a 16-point deficit now.

SECOND UPDATE: The full debate video is on the KWQC website.

THIRD UPDATE: I wish every undecided voter in Iowa had seen this debate. Having finally watched the full video myself, I understand why shills for Ernst kept reaching for their security blankets on Saturday night. Talk about a disastrous performance. She repeatedly fell back on rote talking points that didn’t answer the question. On several occasions it was apparent that she did not understand the policy implications of her own words. I particularly loved how she insisted that the bipartisan Senate-passed immigration reform bill was “amnesty,” even though Braley had already explained why it was different from amnesty. She talked about securing the border, even though Braley had already explained that we would have 20,000 more border control agents if that immigration reform bill had become law. Toward the end of that exchange, though, I was pleasantly surprised to hear Ernst say she would not vote to repeal President Barack Obama’s DACA program (Deferred Action for Childhood Arrivals). A lot of conservatives were presumably surprised too, but not in a pleasant way.

At the end of this post I’ve linked to several pieces summarizing the debate highlights.

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Quick hits on the race in IA-03

Here’s a new thread for any comments on the race between David Young and Staci Appel in Iowa’s third Congressional district. Some stories that caught my eye in the last few days:

The Democratic Congressional Campaign Committee shared with Roll Call partial results from a Greenberg Quinlan Rosner Research poll taken on October 1 and 2, which showed Appel ahead of Young by 49 percent to 42 percent, with 9 percent undecided. That’s a bigger lead for Appel than in the previous DCCC poll, despite weeks of Republican attacks on the phony “passports for terrorists” issue.

Speaking of which, I agree with Kathie Obradovich’s take (excerpted below) on the way the candidates handled “passports for terrorists” during their second debate.

Young’s campaign released a memo yesterday hailing some $800,000 in third-quarter fundraising and an internal poll allegedly showing Young ahead. I’ve enclosed that memo and the Appel campaign’s response at the end of this post. The polling firm Tarrance Group used strange methodology. Whereas the survey toplines showed Young leading by 43 percent to 41 percent, with other candidates taking 6 percent and 10 percent undecided, the Tarrance Group claimed Young was ahead by 47 percent to 43 percent based on “projected turnout.”

I look forward to digging into the details of the third-quarter FEC reports, which should be released by October 15. I would expect GOP donors to flock to Senator Chuck Grassley’s longtime top aide. But I don’t understand why Young would cancel television advertising time if his campaign was bringing in so much money in the third quarter. Even if he used some of the money to pay off debts incurred during the second quarter, he should have had plenty left over for a full-court press on television.

The DCCC has increased its television advertising buy in the Omaha market, which covers roughly 20 percent of the population in IA-03. To my knowledge, neither Young nor the National Republican Congressional Committee has aired tv ads in Omaha lately.

The DCCC has been running radio ads bashing “DC David Young” for supporting tax breaks for the wealthy, even as he backs cuts to education funding (such as eliminating the U.S. Department of Education). A similar television spot has been on the air for a while. Although education funding and tax policy are important issues, I suspect most voters tune out cookie-cutter negative political advertising.

Conservative blogger Shane Vander Hart thinks Young has problems with the GOP base because of some comments on abortion, his qualified support for a minimum wage increase, and legal residency for some undocumented immigrants. News flash: IA-03 is a swing district. Young has to communicate some level of moderation on at least a few issues. Vander Hart’s comments make me wonder whether hard-core conservatives will go for Libertarian candidate Ed Wright as a protest vote.

I’ve enclosed below excerpts from Young’s comments to the Des Moines Register’s editorial board about how to handle an estimated 11 million undocumented immigrants living in the U.S.

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IA-Sen: First Braley/Ernst debate liveblog and discussion thread

In a few minutes Representative Bruce Braley and State Senator Joni Ernst will start their first debate at Simpson College in Indianola. You can watch the debate on KCCI-TV in the Des Moines viewing area and on C-SPAN across the country (in central Iowa that’s channel 95).

I previewed what I see as the biggest potential pitfalls for each candidate here. I’ll be liveblogging after the jump and will also update later with some reaction to the debate.

UPDATE: KCCI has posted the debate video online. I cleaned up some typos and filled in gaps in the liveblog below.

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IA-Gov: Second Branstad-Hatch debate live-blog and discussion thread

Governor Terry Branstad and Democratic State Senator Jack Hatch are holding their second debate tonight in Burlington. The discussion will focus on economic issues. C-SPAN is televising the debate (channel 95 in the Des Moines area). I’ll be live-blogging after the jump. I expect to hear a lot of bogus statistics from Branstad about jobs he allegedly created. Reality: no economist or labor market analyst tracks the fake statistic the Branstad administration made up (“gross over the month job gains”). That’s just a fiction to allow Branstad to claim he’s on track to create 200,000 jobs. Also, median incomes in Iowa have not grown significantly.

Any comments about the debate or the governor’s race in general are welcome in this thread.  

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IA-03: First Staci Appel/David Young debate discussion thread (updated)

Democrat Staci Appel and Republican David Young are holding their first debate in the third Congressional district race. Iowa Public Television will live-stream the Council Bluffs debate on the “Iowa Press” page. You can also watch on C-SPAN 2, which is channel 87 for Mediacom subscribers in Des Moines. I will be live-blogging the debate after the jump.

P.S.-I’ve also enclosed below the Democratic Congressional Campaign Committee’s latest television commercial against Young. The format seems a little stale, and I wonder how many people even remember Young’s magic-themed ads before the Republican primary.

UPDATE: I didn’t realize the Appel campaign is also running a new ad. Scroll to the end to see that video and transcript.

FRIDAY UPDATE: Iowa Public Television has the debate video up on the “Iowa Press” page and will broadcast this debate tonight at 7 pm and Sunday morning.

I’ve added lots more below, including post-debate spin and Young’s second television commercial of the general election campaign, which started running on September 12. Young is presenting himself as a reasonable, moderate, experienced problem-solver. The theme of the Democratic communication is that Young spent the debate hiding from more radical positions he took as a Republican primary candidate for U.S. Senate and later for IA-03. That’s accurate, but the reality is that Young does not present as a wild-eyed extremist. Voters may conclude that he was just pandering to wingnuts during the primary campaign.

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IA-03: David Young wants to "bring a dose of Iowa reality to Washington"

Republican Congressional candidate David Young has launched his first television commercial of the general election campaign. I’ve posted the video and transcript to “Good Meal” after the jump. Echoing his opponent Staci Appel’s promise to “bring Iowa common sense to Washington,” Young’s new ad vows to “bring a dose of Iowa reality to Washington.” Speaking to the camera, Young separates himself from beltway insiders who are mismanaging the government: “I get it, and you get it. Why can’t they?”

Campaigning against Washington is standard practice, but this rhetoric is real chutzpah coming from a guy who has spent most of his adult life as a Congressional staffer based in the capital. The fundraising e-mail that accompanied today’s ad release glossed over Young’s professional background, asserting, “Washington needs David,” and urging supporters to “Help send David to Washington,” as if Young hadn’t spent the better part of two decades there.

Any comments about the race in IA-03 are welcome in this thread.

P.S.- While many voters would probably agree with Young’s claim that the federal government “overspends” and “overtaxes,” Young is smart enough to know better. Fact is, the federal tax burden on most American households is at historically low levels, whether you look at federal income taxes only or total federal taxes. By the same token, total federal government spending as a share of U.S. gross domestic product has “fallen dramatically” since the Great Recession ended, and the federal government “outside Social Security and Medicare is already significantly below its historical average size.”  

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IA-03: Second Staci Appel ad stresses independence, bipartisan work

Democratic Congressional candidate Staci Appel’s campaign started running its second television commercial today.  “Independence” focuses on the candidate’s work in the Iowa Senate from 2007 through 2010. I’ve posted the video and my transcript after the jump. As in her first commercial, the announcer refers to the candidate as “Staci”–ever since Hillary Clinton’s 2008 presidential campaign, this approach seems to be a trend with women candidates.

The script includes key words that resonate with conservatives and moderates (“business,” “finance,” “balance budgets”) as well as with progressives (expanding pre-K, raising the minimum wage, approving pay equity). That makes sense in a swing district like Iowa’s third. Appel mentioned the same set of issues in her soapbox appearance at the Iowa State Fair. I’ve posted excerpts from the news coverage after the jump.

Groups backing Republican candidate David Young are sure to portray Appel as a liberal Nancy Pelosi clone, so it makes sense to pre-empt that message with an ad about bipartisanship. To my knowledge, neither Young nor the National Republican Congressional Committee have run television ads in IA-03 since the primary. The NRCC ran a web ad bashing Appel, while U.S. Senator Chuck Grassley recorded a radio spot supporting Young.

In related news, Appel’s press release announcing today’s new tv spot took a swipe at Young for backing a “flat tax” at the Iowa State Fair (video here). At the end of this post I’ve enclosed excerpts from the Des Moines Register’s coverage of Young’s soapbox speech.

Appel is one of eight great women candidates for U.S. House, according to a feature in the latest edition of Elle magazine. The piece described Appel as a “mother of six and fierce pro-choice advocate,” who wants to bring “less bickering” and more “Iowa-mom common sense” to Washington.

IA-03 contained 153,285 registered Democrats, 164,984 Republicans, and 156,626 no-party voters as of August 1.

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New data bolster supporters of raising Iowa's gas tax

The average cost of owning a car is lower in Iowa than in any other state, the Cedar Rapids Gazette’s B.A. Morelli reported on August 16, citing an analysis by Bankrate.com. Car insurance costs an average of $630 per year in Iowa, the lowest in the 50 states. Vehicle repairs cost Iowa drivers an average of $315 per year, also the lowest number for any state. The average cost of gasoline for Iowa drivers worked out to $998 a year, taking into account not only the price of gas but also vehicle miles traveled and fuel efficiency rates. That’s “middle of the pack,” Morelli noted.

Iowa’s gasoline tax has not been increased since 1989, reaching a historic low in real terms. Meanwhile, Iowa road and bridge conditions continue to deteriorate. Three years ago, our state ranked third-worst in the country for structurally deficient bridges. The latest data indicate we are second-worst in that category, with more than 20 percent of the state’s bridges in need of repairs or replacement.

Democratic gubernatorial candidate Jack Hatch supports raising the gas tax, while Governor Terry Branstad has said he favors other ways to finance road and bridge work. The candidates clashed over that issue during last week’s debate. Branstad has left himself some wiggle room by not pledging to veto a gas tax increase.

The current leaders of the Iowa House and Senate Transportation Committees strongly support raising the gas tax to pay for road work. Bills to increase the tax by a total of 10 cents per gallon over several years passed committees in both chambers in recent years, but advocates were unable to recruit enough bipartisan support to pass them in the full Iowa House or Senate in either of the past two legislative sessions. Iowa House Transportation Committee Chair Josh Byrnes has promised to keep working on this issue, and State Representative Brian Moore, the vice chair of that committee, said this spring that a gas tax hike is “in the works” for 2015. He has emphasized that weight limits on structurally deficient bridges are bad for businesses like the livestock transportation company he owns.

Republicans Byrnes and Moore both represent Iowa House districts that may be targeted this fall, as does Iowa Senate Transportation Committee Chair Tod Bowman, a Democrat. Prospects for raising the gas tax will depend in part on whether key advocates are re-elected in November. Regardless of which parties control the Iowa House and Senate after the midterm elections, a gas tax increase would have to be a bipartisan effort.

Democratic and Republican critics of increasing the gasoline tax have pointed out that consumption taxes tend to be regressive, hitting lower-income people harder. A gas tax hike would also disproportionately affect rural residents, who may need to travel further to work or shop. The Washington-based Institute on Taxation and Economic Policy has recommended reforms to address those concerns. I’ve posted the short summary after the jump; you can read more in depth on their ideas for “building a better gas tax” here. I would add that any increase to Iowa’s gas tax should be accompanied by “fix-it first” language, so that new road construction doesn’t swallow the most of the revenue that should be earmarked for repairs. Fixing roads and bridges gives taxpayers more bang for their buck and creates more jobs than building new roads or putting new lanes on existing roads, which (while sometimes needed) increase future maintenance costs.

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IA-Gov: First Branstad-Hatch debate discussion thread (updated)

Governor Terry Branstad and State Senator Jack Hatch are debating this afternoon at the Iowa State Fair. Iowa Public Television is live-streaming the event and will replay the debate at 7 pm tonight. Share any comments about the governor’s race in this thread. I will be updating with my thoughts after the jump.

Branstad has agreed to two other debates with Hatch, but his team are refusing to allow Lieutenant Governor Kim Reynolds to debate Hatch’s running mate, Cedar Rapids City Council member Monica Vernon. It’s a strange stance for a guy who is determined to make Reynolds the next governor.

UPDATE: My live-blog is after the jump. I will add more links and discussion later. If you missed the debate, you can watch at 7 pm on Iowa Public Television. They may also keep the video up on the IPTV website. SECOND UPDATE: The full debate transcript is now available here.

THIRD UPDATE: Mike Glover saw this debate as a sign Iowa “will actually have a governor’s race this year.” Click through to read the whole piece; I’ve posted excerpts below, after the liveblog.

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A smoke-free Cedar Rapids casino is not a public health initiative

The Iowa Racing and Gaming Commission sent a strong message last week to backers of a casino project in Cedar Rapids: don’t bother trying to get a license for at least the next three years.

Rational actors would have started working on Plan B for prime downtown real estate as soon as commissioners voted down the application for a Cedar Rapids casino in April. But Mayor Ron Corbett and some other movers and shakers are determined to chase the gambling dream, through legislative or judicial means. Instead of taking the hint from the Racing and Gaming commissioners, Corbett is ratcheting up his strategy for gaining legislative approval for a new casino. He’s smart and experienced enough to know that state lawmakers need a better excuse for acting than “we don’t like what the commission did.” So, he’s now dressing the casino project up as a public health initiative. Lawmakers shouldn’t fall for or hide behind this ruse.

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Report highlights immigrants' impact on Iowa economy

A detailed analysis by the Iowa Policy Project shows that immigrants contribute substantially “to Iowa’s economy both as workers and employers,” and could contribute more “if immigration reform were to make work authorization or a path to citizenship possible” for some undocumented Iowa residents. You can read the full report by Heather Gibney and Peter Fisher here (pdf). I’ve enclosed excerpts from the executive summary after the jump.

One key finding is that contrary to the image fostered by some politicians, undocumented immigrants are not a drain on state or federal budgets. They generate significant revenue for public assistance programs, from which they cannot benefit. Representative Steve King (R, IA-04) is notorious for his demagoguery against “illegals,” but sadly many other Iowa Republican elected officials, including Governor Terry Branstad, have promoted myths about undocumented immigrants taking state benefits.

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The IRS and Chuck Grassley - "Ain't no there, there."

(Latest fake scandal pumped up by conservative media. - promoted by desmoinesdem)

The DSM Register had an article today on the IRS scrutiny of Sen. Chuck Grassley. To be fair to the Register, conservatives are trying to make it appear that the IRS is on a witch hunt for members of Congress, and so while there’s no news here, the Register is covering it because the conservatives are trying to make it a story.

The real witch hunt here is fed by conservative’s disconnection with reality. Here’s the short version of the facts: The IRS was sent a complaint that an organization might be offering Grassley something as a benefit. The IRS investigator looked at it and rightly asked her supervisor if this was something that could justify an audit. The supervisor said no, the only thing that would justify an audit would be if Grassley accepted and then didn’t report it. End of story. No further action by the IRS.

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Weekend open thread: Iowa Democratic Party convention edition

What’s on your mind this weekend, Bleeding Heartland readers? The Iowa Democratic Party’s state convention got overshadowed by the circus-like spectacle Republicans put on in Urbandale yesterday. We’re talking about David Young’s surprising nomination in IA-03 here. This is an open thread for all other topics.

After the jump I’ve posted several links about the Democratic convention and the full text (as prepared) of Maryland Governor Martin O’Malley’s speech. He seems to have made a good impression, as he did at the Harkin Steak Fry in 2012. O’Malley won’t challenge Hillary Clinton for the presidential nomination; he was loyal Clinton surrogate during the 2008 primaries, even after Barack Obama crushed her in his state. If Clinton decides against running for president again, O’Malley could have a lot of upside potential in Iowa. He’s much more familiar with this state than your average east-coast governor, having worked as a field organizer for Gary Hart’s 1984 Iowa caucus campaign. John Deeth wrote up O’Malley’s appearance for gubernatorial nominee Jack Hatch and running mate Monica Vernon in Iowa City.

UPDATE: Added below a short version of what would be the progressive case against O’Malley if he competes in the Iowa caucuses.

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IA-Gov: "Stache-less" Jack Hatch and Monica Vernon news roundup

Democratic gubernatorial candidate Jack Hatch announced today that Cedar Rapids City Council member Monica Vernon will be his running mate. In addition to following the Iowa tradition of female lieutenant governors, Vernon balances the ticket geographically and ideologically. An elected official in Iowa’s second-largest city for seven years, she has been campaigning around northeast Iowa since last summer as a Democratic candidate for Congress. She carried Linn County and finished a strong second to Pat Murphy district-wide on June 3.

Some Democrats are grumbling that Vernon is a longtime Republican who joined our party just five years ago. But frankly, Hatch isn’t running in a Democratic primary. He needs to appeal to a statewide electorate including thousands who have become disaffected from the GOP, just like Vernon did. Anyway, she is arguably more progressive than Governor Chet Culver’s running mate, lifelong Democrat Patty Judge. Despite the complaining, there shouldn’t be any major snags when the Iowa Democratic Party’s statewide convention officially nominates Vernon for lieutenant governor this Saturday.

After the jump I’ve posted background on Vernon and other recent news from the Hatch campaign, including his first television commercial for the general election and highlights from his weekend appearance on Iowa Public Television’s “Iowa Press” program.

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IA-Gov: Republican Governors Association hits Hatch as Branstad launches positive ad

The Republican Governors Association jumped out the day after the primary election with a television commercial attacking State Senator Jack Hatch, the Democratic nominee against Governor Terry Branstad. I’ve posted the video and transcript after the jump, along with the Branstad campaign’s opening tv ad, touting Iowa’s “comeback” under his leadership.

It’s standard procedure for incumbents generally, and Branstad in particular, to try to define challengers before they’ve had a chance to introduce themselves to most voters. That said, this spot is also a sign that the RGA may be more concerned about Iowa than they’re letting on. I wonder whether their internal polling is showing a shrinking lead for Branstad over Hatch, as we’ve seen in several polls released in the last two months. Hatch plans to start running a biographical television commercial later this month, but he can’t match Branstad and Republican-aligned forces in money spent on advertising.

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Branstad staffer Adam Gregg will run for Iowa attorney general

No Republican stepped up to run against Iowa Attorney General Tom Miller in time to appear on the primary election ballot, but yesterday Adam Gregg announced that he will seek the GOP nomination for attorney general at the state party convention later this month. Gregg worked in private practice for the Des Moines-based Brown Winick law firm before joining Governor Terry Branstad’s staff as a legislative liaison in 2012. (He’s quitting that job to run for office.) His press release touted his work to help pass “the largest tax cut in Iowa’s history, historic education reform, and a state based, Iowa alternative to Obamacare.” The tax cut refers to the property tax reform approved during the 2013 legislative session. The Iowa Health and Wellness Plan is more accurately described as an alternative to Medicaid expansion rather than an alternative to “Obamacare.” Iowa is still implementing the 2010 Affordable Care Act.

Gregg promised “to fight everyday for Iowa families, Iowa farmers, and our constitutional freedoms,” to “be an advocate for open government,” and to “hold Washington, DC accountable when the federal government oversteps its bounds.” Around the country, many Republican state attorneys general have used the job to grandstand against federal policies they don’t like for ideological reasons. Sounds like Gregg will be emulating that model.

I don’t give him much chance of beating Tom Miller. Four years ago, Brenna Findley got in the race early and ran a strong and well-financed campaign, only to come up well short amid a huge Republican landslide. Running a statewide campaign will raise Gregg’s profile, though, and possibly open doors to future political jobs. The Des Moines rumor mill expects Miller to retire rather than seek another term in 2018. In that case, Gregg could join Findley as prominent candidates in a much more winnable race.

IA-03: David Young's coherent campaign message

From the earliest days of David Young’s campaign for U.S. Senate to the earliest weeks of his bid to represent Iowa’s third district in the U.S. House, I’ve been skeptical that many rank and file Republicans would vote for a career Congressional staffer in a competitive primary. I still view Young as an underdog going into next Tuesday’s vote. However, he has been working hard in the IA-03 counties and has put together a stronger campaign than most first-time candidates could manage.

Follow me after the jump for an overview of Young’s campaign themes, including videos and transcripts of the two television commercials he has run so far.  

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Weekend open thread: End of 2014 legislative session edition

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

The Iowa legislature got out of town on May 2, 110 calendar days after the 2014 session began. That’s ten days after lawmakers’ per diem payments ran out but earlier than in any year since 2010, when Democrats held majorities in both chambers. After the jump I’ve posted closing remarks delivered by the top Iowa Senate Democrats (Majority Leader Mike Gronstal and President Pam Jochum) and the top Iowa House Republicans (Speaker Kraig Paulsen and Majority Leader Linda Upmeyer). A series of posts next week will focus on some of the more significant legislative results from the session, as well as important bills that never did pass.

I’ve also enclosed Gronstal’s prepared remarks on the final Iowa Senate vote of the session: granting subpeona power to the Government Oversight Committee to continue investigating various scandals in Governor Terry Branstad’s administration. Gronstal emphasized that the resolution is “narrowly drafted” and “not a criminal investigation. The goal is not to convict people. The only goal is to find out what went wrong [in state government] and how to fix it.” The resolution passed by voice vote just before the Senate adjourned on Friday morning. Iowa Senate Minority Leader Bill Dix blasted what he called a “dangerous” and “underhanded partisan move.” He claimed the “disruption of separation of powers” will invite “a state constitutional crisis,” and that the Oversight Committee’s investigation is politically motivated.

Finally, in non-legislative news, Patrick Caldwell reported for Mother Jones this week on a remarkably shady deal involving Danny Carroll in 1996. At the time, Carroll was a real estate agent in the Grinnell area and an Iowa House Republican. He currently chairs the Republican Party of Iowa–though probably not for much longer. After reading Caldwell’s piece, I want to know why anyone supposedly committed to Christian values would participate in a scheme to take advantage of an elderly widow with debts.  

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IA-Sen: Braley learns painful lesson in 21st century campaigning (updated)

Every candidate for public office has to learn basic rules of campaigning, such as, “Every mic is a live mic.” In other words, always assume you may be overheard when you stand next to a microphone, even if you think it’s not turned on.

In the age of camera phones and YouTube, candidates may be speaking into a live mic even when there’s no microphone to be seen. Representative Bruce Braley, the Democratic candidate for U.S. Senate in Iowa, learned that lesson the hard way today.  

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Iowa legislative news roundup: dead and alive after the second funnel

The Iowa legislature’s second “funnel” deadline passed late last week. To remain eligible for debate during the remainder of this year’s session, most legislation needed to have passed one chamber as well as a committee in the other chamber. There are a few exceptions to the rule, namely appropriations bills and some tax measures. Rod Boshart listed the most significant “dead” and “alive” bills for the Cedar Rapids Gazette. The Iowa House Republican staff compiled a more comprehensive list of “second funnel survivors,” including bill summaries. The Iowa Senate Democratic staff highlighted the most important bills passed by the Senate that died in the House.

After the jump I’ve enclosed more links and some analysis on bills that died as well as those still under consideration. From my perspective, the most surprising casualty of the funnel was a bill to extend the statute of limitations for sex crimes against children (see the “safety and crime” section below).

Any comments on pending legislation in the Iowa House or Senate are welcome in this thread.  

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Can Josh Byrnes escape a GOP primary challenge in Iowa House district 51?

Since last summer, many Iowa politics watchers have had Republican State Representative Josh Byrnes on retirement watch. However, he announced this week that he will seek a third term in Iowa House district 51. After the jump I’ve posted a district map and Byrnes’ re-election statement.

Democratic candidate Laura Hubka has been actively campaigning for months. She’s facing a relatively strong incumbent in this district, which covers Howard, Mitchell, Worth, and part of Winneshiek Counties along Iowa’s northern border. Byrnes was comfortably re-elected in 2012 even as President Barack Obama won more than 55 percent of the vote in House district 51. The latest totals from the Secretary of State’s office indicate that the district contains 5,765 registered Democrats, 6,470 Republicans, and 8,643 no-party voters.

Although I have not heard of any Republican planning to challenge Byrnes, three factors make me suspect he will not get a free pass in the GOP primary.

1. Byrnes is the leading Iowa House proponent of raising the gasoline tax, a popular view among some rural constituencies but not in the Republican base. He even taunted the advocacy group Iowans for Tax Relief after this year’s subcommittee hearing, where the gas tax bill advanced.

2. While many Iowa House Republicans are quietly satisfied to see a constitutional amendment on marriage die in the funnel for two years running, to my knowledge Byrnes is still the only person in his caucus who openly supports same-sex marriage rights.

3. Last year Byrnes was one of just two GOP legislators to support the Democratic position on expanding Medicaid in Iowa. (The other one, Brian Moore, represents the most Democratic-leaning Iowa House district Republicans now control.)

It will be a St. Patrick’s Day miracle if no anti-tax zealot, social conservative, or “Liberty” activist steps up to challenge Byrnes by the March 14 filing deadline.  

UPDATE: Amazingly, no other Republican filed papers to seek the GOP nomination in House district 51.

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Des Moines residents vote today on franchise tax (updated)

Voters in Des Moines will decide today whether to allow the city to collect a “franchise tax” on utility bills. The money would be used to repay tens of millions of dollars collected in “franchise fees” between 2004, when a class-action lawsuit was filed challenging the fee as an illegal tax, and 2009, when the Iowa legislature approved and Governor Chet Culver signed a law allowing cities to charge franchise fees. The Iowa Supreme Court ruled in March 2012 that the city would have to refund the franchise fees collected between 2004 and 2009. The Iowa legislature approved language that would have allowed the city of Des Moines to collect a franchise fee for seven years, but Governor Terry Branstad vetoed that line item.  

Des Moines city leaders then considered three options for repaying the estimated $42 million: cutting city staff or services (which already took a hit during the “Great Recession”), raising property taxes, or raising the franchise fee on utility bills. City leaders opted for the franchise tax, but it will only happen if Des Moines voters approve today’s referendum.

Bleeding Heartland user Jon Muller made this case for a yes vote:

There’s an election in Des Moines to approve a Franchise Tax today.  I encourage voters to approve the measure.  It’s a very simple choice for any homeowner.  You can pay a modest tax on your utility bill for 7 years, $2.50 on a $100 monthly bill.  Or, if the measure does not pass, you will pay 41 cents per thousand of taxable valuation for 20 years.  On a $150,000 house, you’re looking at $32 a year for 20 years.

This was the easiest Yes vote I have ever cast.  Not even a line call.  This isn’t about past mistakes, which many of us agree could have avoided this entire situation.  It’s only about how you prefer your taxes be raised, how much they will be raised, and for how long.  More than 40% of the property in Des Moines isn’t even subject to property taxes, but virtually all of the property in Des Moines consumes electricity.  A Yes vote means we spread the burden across more taxpayers, at a lower rate, for less time.

Simple.

An analysis by the city determined that raising property taxes “would cost a typical homeowner about $444 over the next 20 years,” while the proposed franchise fee increase “would cost a electric customer about $273 over the next seven years.”

UPDATE: Unofficial results from the Polk County auditor’s office indicate that “yes” passed easily by 8,095 votes to 1,422 (85 percent to 15 percent).

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A Plea to Liberals to Reconsider Position on Minimum Wage

(Bleeding Heartland welcomes guest diaries on policy or politics.   - promoted by desmoinesdem)

We liberals have been fighting the wrong battle with the Minimum Wage.  I am not sure whether liberals understand the economics of the minimum wage and choose to ignore them, or whether we just don’t understand basic principles of economics.  I can’t do much about the former, but I can at least shed some light on what actually happens when we raise the minimum wage.

We liberals all share a fundamental belief that government has the power and the resources to improve the standard of living of the poor and the middle class in this country.  Because we have the power and the resources, we have an obligation to take action to do so.  But we should also do no harm in the process, especially to those whose lives we are trying to improve.  The Earned Income Tax Credit is a more efficient way to accomplish our objectives, at a lower cost to society as a whole, with fewer unintended consequences that end up hurting poor people.

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Iowa legislature funnel week discussion thread

This week marks the Iowa legislature’s first “funnel” deadline of the 2014 session. With the exception of appropriations bills, most legislation that has not cleared at least one committee in at least one chamber is dead for the year. Only occasionally do House or Senate leaders revive bills that didn’t get through the funnel.

Rod Boshart published a comprehensive list of bills that are still pending in either the Iowa House or Senate, as well as proposals that didn’t make it this year. Notably, the ideas Governor Terry Branstad outlined in his Condition of the State speech last month are still alive, as are the top priorities House and Senate leaders mentioned on the opening day of this year’s session.

Any comments about the legislature’s work is welcome in this thread. Reading Boshart’s lists, I felt a mixture of relief and disappointment. So many bad ideas died in the funnel, but so did a lot of proposals I would strongly support.

My dismay is probably nothing compared to what socially conservative Republicans are feeling. For the second year in a row, no bills aimed at “protecting” traditional marriage made it through the funnel. Every proposed anti-abortion bill died too, except for the ban on “telemedicine” abortions (which failed to move last year but passed the Iowa House last week). You would think that with a 53-47 Republican majority, the Iowa House would move more of these abortion bills through committee at least.

Iowa's budget process leaves a lot to be desired

A new report by the Center on Budget and Policy Priorities shows that Iowa and many other states fail to incorporate enough long-term fiscal planning in the budget process. Click here to read the executive summary of the thoroughly researched piece by Elizabeth McNichol, Vincent Palacios, and Nicholas Johnson. Click here to download the full report (pdf).

After the jump I’ve posted the two-page fact sheet on Iowa, which scored only 4.5 out of a possible 10 and ranked 37th among the states. I’ve also enclosed a sidebar explaining the ten criteria they used to evaluate state fiscal planning. Table 1 toward the bottom of this page shows that Iowa received full marks under three categories: consensus revenue estimates, legislative fiscal offices, and budget status reports. Iowa received half-credit in three more categories: multi-year fiscal notes, pension oversight, and well-designed rainy-day funds. Iowa received zero marks in four categories: multi-year forecasting, a projection of future costs to deliver the “quantity and quality of services to residents that it is delivering in the current budget period,” pension funding and debt level reviews, and oversight of tax expenditures.

For years, the Iowa Policy Project and the Iowa Fiscal Partnership have been sounding the alarm on how Iowa needs to start calculating the costs of various tax breaks and tax credits.

While you’re at it, read the Iowa Fiscal Partnership’s recent background piece on why “Iowa lawmakers must recognize the long-term impact of tax cuts on spending choices. Past choices will force future legislatures to lower investments on critical services on which economic growth depends.”

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Reaction to Branstad's 2014 Condition of the State address

Immediately following Governor Terry Branstad’s Condition of the State address to Iowa legislators yesterday, Senate Majority Leader Mike Gronstal told Iowa Public Television that he “didn’t hear anything I disagreed with.” Not every Iowan who closely follows state government shared his reaction. State Senator Jack Hatch, the leading Democratic challenger to Branstad, slammed the governor’s “very shallow agenda” of “low expectations.”

After the jump I’ve posted more detailed comments from Hatch and a few other Iowa Democrats, as well as statements released by several non-profit organizations, which called attention to important problems Branstad ignored or glossed over.  

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Highlights from Branstad's 2014 Condition of the State address

Governor Terry Branstad delivered his annual “Condition of the State” address to Iowa lawmakers this morning. By Branstad’s standards, it was not a partisan speech. He drew several standing ovations from legislators in both parties, and it’s easy to imagine the Democratic-controlled Iowa Senate embracing most of the policies he advocated. In fact, immediately after the speech, Senate Majority Leader Mike Gronstal told Iowa Public Television’s Dean Borg that he “didn’t hear anything” he disagreed with. Gronstal did get in a quick jab at the governor, though, pointing out that Branstad hailed “predictability” for the state budget, which is what statehouse Democrats are seeking for school districts. During the last two years, House Republicans and Branstad have refused to comply with Iowa law requiring the legislature to set allowable growth levels for K-12 school districts a year in advance.

Highlights from the governor’s speech are after the jump. Click here to read the full text, as prepared. Any relevant comments are welcome in this thread.

Stylistic note: for a guy who’s been in politics as long as Branstad has, he keeps his eyes glued to his script a lot. Experienced public speakers typically make more eye contact with the audience.  

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Highlights from the first day of the Iowa legislature's 2014 session

The Iowa House and Senate convened today to begin the 2014 legislative session. All of the opening remarks reflected on key achievements of the 2013 session, such as compromise bills on commercial property tax cuts, education reform, and providing health care to low-income Iowans. All of the speeches called for more bipartisan work this year, and all stressed “pocketbook” issues such as improving education and building the middle class rather than social issues. But Republican and Democratic leaders take different priorities into the 2014 session.

I’ve summarized below the key points Iowa House and Senate majority and minority leaders raised today. I also enclosed lengthy excerpts and in some cases the full texts of their opening day speeches.

Click here for a tentative schedule of key dates during the 2014 legislative session. Lawmakers tend to finish their work earlier in election years than in odd-numbered years, but I highly doubt they will be ready to adjourn by March 30, as House Speaker Paulsen hopes. They will be lucky to finish work on the state budget by April 22, when lawmakers stop receiving per diem payments.

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IA-Gov: Branstad to make income tax cuts a major issue

A governor committed to a certain policy will have his staff or a commission work out a plan, then push hard for its adoption in his annual address to state legislators. We’ve seen Governor Terry Branstad take that route in the past to support commercial property tax cuts or education reform.

A governor casting about for a re-election campaign issue may advocate some vague idea, then blame its inevitable defeat on his political opponents. Case in point: Branstad’s half-assed “plan” to allow higher earners to opt into a lower state income tax rate with fewer deductions.  

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IA-Sen: Strengths and weaknesses of Mark Jacobs

Catching up on news from last week, former energy company chief financial officer Mark Jacobs is now an official candidate for the U.S. Senate. His campaign is on the web here, on Facebook here, and on Twitter here. Scroll to the end of this post to read his announcement speech in full, or listen to it at Radio Iowa. The key excerpt: “Jobs are my top priority. In fact, you can’t spell Jacobs without jobs. And if you send me to the United States Senate, I will make jobs for Iowa my number one priority.”  

Here’s my first take on Jacobs’ strengths and weaknesses in the crowded Republican field. Any comments about the Senate race are welcome in this thread.  

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Paul Ryan's going to need a better message than that (updated)

Roughly 800 people came to Altoona on Saturday night to celebrate Governor Terry Branstad’s birthday and raise money for his re-election campaign. The featured speaker was House Budget Committee Chair and 2012 Vice Presidential nominee Paul Ryan. Listening to his remarks at Radio Iowa’s website, I didn’t hear a serious contender for the presidency in 2016.

Three big things were missing from Ryan’s speech.

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IA-Gov: AFSCME backs Olson, Hatch releases income tax plan (updated)

Yesterday was a big news day for two Democratic candidates seeking to unseat Governor Terry Branstad. Iowa’s largest labor union endorsed State Representative Tyler Olson, while State Senator Jack Hatch released a major tax reform proposal. Details are after the jump.

UPDATE: Added excerpts from Danny Homan’s November 2 guest editorial for the Des Moines Register below.  

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Medical Device Manufacturers About to Get a Sweet Deal

(Thanks to JonMuller for an illuminating look at the medical device excise tax, which Congressional Republicans have been trying to repeal. Iowa's representatives have split along party lines over eliminating this tax.   - promoted by desmoinesdem)

Imagine you own a business.  There’s a knock on the door.  It’s the government, and they’re here to help.  “We’re going to give everyone enough money to buy your product.  We’re not going to make anyone buy it, but it won’t cost them anything if they do.  Your profit is going grow 20%, but we’re going to take half of the new profit so we can afford to pay people to buy it.  But you get to keep the rest.

That’s essentially what happened with the Affordable Care Act (ACA) with respect to Medical Device Manufacturers (MDM).  MDM’s started paying a 2.3% excise tax on the sale of their wares in January 2013.  The logic behind the compromise was as simple as the opening scenario.  Prior to ACA, 30 million to 50 million people were either uninsured or uninsurable.  As a practical matter, people without insurance go without hip and knee replacements and similar procedures.  They just limp.

While there may well be more knee replacements, there will be many more people with insurance, and virtually everyone will have access to insurance if they need it.

Now the winds are shifting.  Tea Party Republicans, ostensibly opposed to deficit spending, have shut down the government and are threatening to cause the first credit default in US history.  In a particularly ironic twist, a compromise is emerging, most recently championed by Sen. Susan Collins, a Republican from Maine, to repeal the tax on MDMs.

In other words, the government will be greatly expanding the market and increasing the profits of MDMs, but will not ask for anything in return for that expanded market.  The result will be an increase in the deficit of $30 billion over the next 10 years.

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Matt Hinch will be Branstad's new chief of staff

Governor Terry Branstad announced yesterday that Matt Hinch will start work as his new chief of staff on October 14. A short bio of Hinch is in the press release I’ve posted after the jump. He has worked as a Congressional and campaign staffer to U.S. Representative Tom Latham, chief of staff to Iowa House Speaker Kraig Paulsen, and most recently as a lobbyist for the Greater Des Moines Partnership.

Hinch’s connections with the partnership made me wonder whether he might open the governor’s mind regarding proposed passenger rail service between Chicago and Omaha. Branstad has long opposed allocating state funds to match a federal grant for passenger rail. Like many business groups, the Greater Des Moines Partnership has supported state funding for the rail project as part of its legislative agenda. But probably I am raising false hopes; interviews Hinch gave last year suggest that rail wasn’t on his radar as an issue to press on behalf of the partnership. Moreover, Hinch’s former boss Latham has historically been hostile to funding alternate modes of transportation, including passenger rail. Hinch’s former boss Paulsen works for a trucking company and adamantly opposes state funding for passenger rail.

Branstad’s legal counsel Brenna Findley has served as interim chief of staff since Jeff Boeyink left last month to start work as a lobbyist. She’s more qualified to run the governor’s office than she is for her current position, so I thought she might become the next permanent chief of staff. Perhaps she is gearing up for a second bid to become Iowa’s attorney general. Running for statewide office is a full-time job.

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Will Branstad fix the mess his mental health funding veto created?

Iowa’s constitution allows the governor to line-item veto provisions in appropriations bills, and Governor Terry Branstad has used that power to overrule legislative decisions on many spending proposals, large and small. Among this year’s line-item vetoes, perhaps the most controversial was Branstad’s surprising decision to ax $13 million for mental health services. That line item was intended to cushion the blow for counties as Iowa reorganizes its mental health care delivery system. (In the past, available care depended greatly on a patient’s county of residence.) Despite broad bipartisan support for this appropriation and a large state budget surplus, Branstad decided that counties didn’t need extra help with mental health services.

This week four Democratic state senators and one Republican asked Branstad to help fix the mess he created, which has already led to some service cuts.

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