I’ve been trying to discover if MEC is paying the correct amount of property taxes at their wind farm located near me.  The quick answer is- I don’t think they are– due to information (mostly a lack of information) provided by MEC employee Dean Crist.   An earlier post on this subject can be found here. Interested folks are invited to examine more posts on this subject at my blog.

To recap:  I became curious about how Pocahontas County determined the rates for the MidAmerican (MEC) wind project in the county. The assessor’s office provided me with a property tax appraisal for the wind farm (constructed in three phases), for the first 131 turbines – $2,580,000 ($1720 per kW), the next 39 at $2,850,000 ($1,900 per kW) and $3,660,000 ($1591 per kW) for the final 13. The assessor’s office reluctantly provided basic filings (after an attorney requested them in writing) submitted to the county by MEC that roughly match the assessments, listing met tower, land, turbines, and substation costs. Phase 1 & 2 are 1.5 megawatt turbines. Phase 3 turbines are 2.3 megawatts.

The following numbers were provided by Mr. Crist:

School board elections take place all over Iowa today, and seven community colleges in our state have property tax levy renewal questions on the ballot. I encourage Bleeding Heartland readers to make your voices heard. Your vote is more likely to be decisive in a low-turnout local election. Regardless of whether you or any family members use public education, we all benefit from adequate funding for community colleges and competent leadership of K-12 school district boards. The Republican Party of Iowa is urging supporters to reject the community college tax levies.

I live in the West Des Moines school district, where as usual, there is no real competition: just three candidates this year for three spots on the school board. It’s still important to turn out, not only because of the Des Moines Area Community College tax levies, but also to prevent some “out there” write-in candidate from winning a school board seat with a few dozen votes. I’m biased against write-ins, because it’s not hard to get on the ballot in our state. If you want to serve on the school board, you shouldn’t hide behind some stealth agenda.

Many communities have highly competitive school board races. I haven’t studied all the candidates for Des Moines school board, but I do hope voters reject the incumbents. They were rubber stamps for former superintendent Nancy Sebring and have mishandled several controversial issues in recent years. Time for new blood on the Des Moines school board. A lot of Democrats I know are voting for Rob Barron, a longtime staffer for Senator Tom Harkin.

John Deeth has been covering the Iowa City elections at his site, including turnout, campaign funding, and teachers’ union endorsements.

I learned from Blog for Iowa that the city of Pleasant Hill wants to put a massive industrial warehouse next to Southeast Polk High School along Highway 163. That is insane. Mixing a bunch of semi trucks with inexperienced high school drivers is a recipe for disaster. Even if there aren’t any traffic fatalities, the idling trucks will pump out a lot of polluted air near the school, day in and day out.

The Internal Revenue Service and U.S. Treasury confirmed today that legally married same-sex couples will be able to file the same kind of federal tax returns (jointly or separately) as married heterosexual couples. The move was widely anticipated after the U.S. Supreme Court struck down key provisions in the Defense of Marriage Act in June, but Treasury Secretary Jack Lew cleared up one important question today:

“Today’s ruling provides certainty and clear, coherent tax filing guidance for all legally married same-sex couples nationwide. It provides access to benefits, responsibilities and protections under federal tax law that all Americans deserve,” Treasury Secretary Jack Lew said in a statement.

“This ruling also assures legally married same-sex couples that they can move freely throughout the country knowing that their federal filing status will not change.”

In other words, federal authorities will recognize the marriages of same-sex couples wed in Iowa since April 2009, even if those couples now live in a state that does not recognize their marriage. Donna Red Wing, executive director of the LGBT advocacy group One Iowa, released a statement hailing “a good day for same-sex couples and their families” and thanking the administration for “moving quickly and judiciously.”

What’s on your mind this weekend, Bleeding Heartland readers? This is an open thread. Last night I watched a fascinating CNN program about John Hinckley’s attempt to assassinate President Ronald Reagan. I had no idea that Hinckley had been stalking Jimmy Carter during the fall of 1980. Twice he got within a few feet of the president at campaign events.

I also taped the CNN “Our Nixon” documentary first aired earlier this month, based on home movies shot by Nixon’s aides. Looking forward to watching that soon.

Rob Christensen published an interesting essay about conservatism in the south: “Few states took the idea of minimalist government as far as North Carolina. All of the 1800s was a case study of the proposition that North Carolina works best with bare-bones government.”

Speaking of small-government conservatives, here’s an oldie but goodie by Reagan administration economist Bruce Bartlett on Reagan’s forgotten record of raising taxes as California governor and president.

Moving to more recent history, I strongly disagree with what Patty Judge told the New York Times about Hillary Clinton needing a strong ground game if she comes back to Iowa. If Clinton runs for president, she will win the Iowa caucuses and the Democratic nomination without any question, whether or not she spends time on retail politics here. There won’t be a repeat of 2007-2008, because she will have only token opposition during the primaries.

The Koch Brothers-funded group, Americans for Prosperity, is conducting a series of town halls in Iowa attacking Congressman Bruce Braley who is running for senate. They call it the “Big Government Braley” tour. The first two events, yesterday in Fort Dodge, and today in Carroll, featured Congressman Steve King. The third, on Saturday in Marshalltown, will be conducted by Sen. Chuck Grassley.

The meeting today was kicked off by AFP state director Mark Lucas. He said the greatest threat to the United States is the deficit. He also talked about cap and trade and a carbon tax as threats.

Then Lucas turned the mike over to Steve King.

What King said follows: 

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

A recent news report brought to my attention research published earlier this year on poor road and bridge conditions in Iowa. The full report by the national non-profit group TRIP is available here (pdf). Excerpts from the conclusions are after the jump. I knew that Iowa was one of the worst states for structurally deficient bridges, and that the Des Moines metro area is one of the country’s worst mid-sized communities on that metric. However, the estimated financial impact of bad roads and bridges on drivers surprised me. I also didn’t know that “poor road conditions are a factor in one-third of all traffic deaths in Iowa.”  

What’s on your mind this weekend, Bleeding Heartland readers? I’ve been thinking about some high-tech failures. For instance, genetically-modified seeds were supposed to solve farmers’ weed problems. Yet weeds resistant to glyphosate (the main ingredient in Monsanto’s Roundup herbicide) are “gaining ground” across Iowa. The problem is worse on farms where Monsanto’s Roundup Ready seeds have been planted the longest.

Rootworms “resistant to one type of genetically engineered corn” are also a growing problem. Genetically-modified seed was supposed to make corn plants poisonous to rootworm, but now farmers are “deploying more chemical pesticides than before.” The outcome was predictable.

On a related note, research shows that nitrogen enrichment through added fertilizers can hurt plant diversity and productivity of grasslands in the long term.

Some Midwestern cities and towns “are absorbing a financial beating after betting big on an innovative coal-fired power plant” during the last decade. “Clean coal” was always a boondoggle.

Speaking of costly investments, the state of Iowa continues to shovel tax credits to Orascom for a fertilizer plant project that would have been built in Iowa anyway. But hey, what’s another $25 million?

This is an open thread: all topics welcome.

State Senator Joni Ernst made her U.S Senate campaign official last week by bringing her Joni for Iowa website live and posting several slogans on a campaign Facebook page. She plans several public events around Iowa later this week, beginning at the Montgomery County courthouse in Red Oak.

Ernst is the fifth candidate in the Republican field, after Matt Whitaker, David Young, Sam Clovis, and Paul Lunde–or the sixth if you count Mark Jacobs, who has formed an exploratory committee but not announced his candidacy. Lots of links and early thoughts about her campaign are after the jump.

JULY 17 UPDATE: Adding news from Ernst’s campaign kickoff events below.

David Osterberg stepped down yesterday as executive director of the Iowa Policy Project, Iowa’s leading think tank. A legendary figure in this state’s environmental community, Osterberg served six terms in the Iowa House, chairing the Agriculture Committee for four years and the Energy and Environmental Protection Committee for two years. He has received honors and awards from many non-profit organizations and was the Democratic nominee for U.S. Senate against Chuck Grassley in 1998.

In 2001, Osterberg created the Iowa Policy Project “to bring a fact-based focus to public policy issues affecting Iowa families.” The organization’s research reports and Iowa Policy Points blog are must-reads for anyone interested in state policy. In conjunction with the Des Moines-based Child and Family Policy Center, the Iowa Policy Project also publishes valuable research on the Iowa Fiscal Partnership website. The latest Iowa Fiscal Partnership report shows how food assistance programs in the Farm Bill affect thousands of Iowans.

I was pleased to read in the statement enclosed below that Osterberg will keep working with the Iowa Policy Project on energy and environment research, and longtime assistant director Mike Owen will take over as executive director.  

Yesterday Governor Terry Branstad traveled to Hiawatha, the home base of Iowa House Speaker Kraig Paulsen, to sign a wide-ranging bill on property taxes, income taxes, and the earned income tax credit. Senate File 295 passed both chambers of the Iowa legislature with bipartisan support. Every Republican voted for the bill, as did all but six Senate Democrats and thirteen House Democrats, named here. You can read the full text of Senate File 295 here. Bleeding Heartland covered the key points in the deal here.

The property tax law is one of the most important outcomes of this year’s legislative session. It will be a major theme in next year’s campaigns for governor and the state legislature. After the jump I offer five perspectives on this law: three from supporters of the deal and two with a gloomier view of its likely impact.

Sam Clovis announced yesterday that he will seek the Republican nomination for U.S. Senate. Clovis is ending his conservative talk radio program and has a sabbatical for the coming academic year from Morningside College in Sioux City. After the jump I’ve posted more background on Clovis, including the statement of purpose he posted on his campaign website, as well as highlights from his news conference yesterday. You can watch clips from his speech here, and he is on Twitter here. Many Iowa conservatives will buy what Clovis is selling, but can he raise the money to run a strong statewide campaign?

Meanwhile, Alexander Burns reported at Politico yesterday that State Senator Joni Ernst is consulting with GOP strategist David Polyansky as she lays the groundwork for a Senate campaign.

“She’s making all the steps necessary to advance towards a campaign,” said one Republican close to Ernst. “I think she has the core nucleus [of a campaign] in place so that, should she decide to pull the trigger, she’d be able to do so fairly soon.”

The Sunday Des Moines Register featured a guest editorial by Mark Jacobs, a former energy company executive who is also considering the Senate race. After the jump I’ve posted some bullet points from that editorial, which focused on next steps for Iowa in education reform.

If no candidate wins at least 35 percent of the vote in the June 2014 primary, a statewide convention will determine the GOP nominee for Senate.

UPDATE: I should have mentioned that Polyansky previously worked for the presidential campaigns of Mike Huckabee and Michele Bachmann, although he bailed on Bachmann a few months before the Iowa caucuses.

SECOND UPDATE: I keep forgetting Paul Lunde, who is also seeking the GOP nomination for Senate. James Lynch reports that if elected, Lunde “plans to introduce what he calls the ‘second Bill of Rights’ – 12 constitutional amendments that include making Social Security and Medicare permanent, changing the Electoral College, instituting a limited national sales tax and setting term limits for members of Congress.”

Conservative talk radio host and Morningside College professor Sam Clovis plans a press conference on June 10, Bret Hayworth reported for the Sioux City Journal yesterday. Clovis has previously said he may run for Iowa’s open U.S. Senate seat. He declined to specify whether he will announce a Senate campaign on Monday, but said he will disclose news “that affects my future” and “is a commitment for something down the road.” These comments seem to indicate that Clovis is leaning toward running:

“I’m a very principled man, a man of great integrity, so that is a skill set that I think is very much there,” he said.

“I’ve been a natural leader my whole life and I think those are, again, skills that are very lacking in Washington. Because we don’t have people who are willing to stand up and tell people the truth and then stick to their principles to make sure that happens. Everything seems to be about self-interest, nothing seems to be about the people of the country.”

Clovis added, “I’ve been an executive, I’ve been in business, non-profit, for-profit, education, military service second to none, a very distinguished career there. So I have all of the credentials that one would need to be a person that one would look to to lead and do the things that are necessary to lead this country, particularly if one pursued public office in the United States Senate.”

I have no idea whether Clovis can raise enough money to run a credible statewide campaign, but having hosted a radio show for the past two years, he probably has better communication skills than any other potential Republican candidate. As a self-described “red-meat conservative,” Clovis would compete aggressively in a primary. Both of the declared GOP Senate candidates have vulnerabilities: Matt Whitaker failed to stake out a clear position on “Obamacare,” and David Young (amazingly) was not familiar with the “fair tax” proposal.  

Senator Chuck Grassley’s former chief of staff David Young and former U.S. Attorney Matt Whitaker have both officially entered the U.S. Senate race. Highlights from the candidates’ announcements and recent interviews are after the jump.

Any comments about the IA-Sen campaign are welcome in this thread.

State Senator Jack Hatch announced on twitter and Facebook this evening that he will “take the next step on the road to Terrace Hill in 2014” tomorrow. It’s no surprise, since he had previously signaled his intention to challenge Governor Terry Branstad.

I will update this post tomorrow with details from Hatch’s announcement. His campaign website is here. Any comments about the governor’s race are welcome in this thread.

UPDATE: Added the official bio from Hatch’s website after the jump.

SECOND UPDATE: At a press conference on May 29 (audio at Radio Iowa), Hatch said he is exploring a run for governor and will tour Iowa for three months before deciding whether to pursue the campaign by the end of the summer. He hopes to raise $1 million by the end of this year. Hatch indicated that he will not run for governor if either Tom Vilsack or Chet Culver decide to seek the office again.

The Iowa Senate wrapped up its work for the year shortly after midnight on May 23, and Iowa House members adjourned about 11 hours later. Lawmakers in both parties have been congratulating themselves for compromising on some big issues that ended in stalemate the previous two years. Rod Boshart compiled an excellent list of what the legislature did and didn’t approve during 2013.

We all can appreciate the desire to finish a big project before a holiday weekend, and since legislators stopped receiving per diem payments weeks ago, they understandably wanted to get out of town as quickly as possible. However, I found it disturbing that votes were held before most lawmakers, let alone members of the public, had time to digest final conference committee deals on education reform, an alternative to Medicaid expansion, property taxes, and the health and human services budget. Transparency isn’t just a buzzword. Had journalists and advocacy groups been able to look over the last-minute compromises, people might have discovered problematic language or even simple drafting errors, which could produce unintended consequences after Governor Terry Branstad signs these bills into law.

I have a lot of questions about the final education reform bill and the plan to provide health insurance to low-income Iowans, particularly those earning between 101 percent and 138 percent of the poverty level. I also need more time to sort through the budget numbers and final changes to the standings bill. After the holiday weekend Bleeding Heartland will examine the important results of the legislative session in more detail. For now, I’ve posted after the jump details on who voted for and against the major bills approved this week.

UPDATE: In the May 24 edition of the On Iowa Politics podcast, statehouse reporters Mike Wiser and James Lynch discussed how the big issues came together “behind closed doors,” with no public scrutiny or oversight. Lynch commented that to his knowledge, the conference committee named to resolve the impasse over Medicaid expansion never formally met, except perhaps for one organizational meeting. Lynch recounted one occasion when Iowa House Republican Dave Heaton was briefing journalists about the health care talks, and the journalists asked when that happened, since there hadn’t been any public notices of conference committee meetings. According to Lynch, Heaton replied, “We’re not having meetings, but we’re meeting.” Senate President Pam Jochum said that negotiations between Democratic State Senator Amanda Ragan and House Majority Leader Linda Upmeyer produced the “key to Iowa’s health care compromise.” Notably, Upmeyer didn’t have a prominent role in passing the House health insurance plan, nor was she named to the conference committee assigned to merge the House and Senate proposals.

Speaking to journalists on May 22, Senate Majority Leader Mike Gronstal and Jochum weren’t able to answer a specific question about compromise wording reached regarding Medicaid coverage of abortions. That was no minor issue–it was the last sticking point holding up approval of the health and human services budget. In effect, Gronstal told journalists, you can see the wording after the final bill is published.

Time for another discussion thread on the race for Iowa’s open U.S. Senate seat. Recent news on the campaign is after the jump.

Iowa House and Senate conference committee negotiators appear to have struck a grand bargain on taxes. I haven’t seen any press release on the agreement yet from Senate Democrats, so I don’t know whether there is consensus in the caucus for the deal. But both Senate Majority Leader Mike Gronstal and Minority Leader Bill Dix are backing the compromise, as is House Speaker Kraig Paulsen.

After the jump I’ve posted commentary on the deal and a memo outlining the details. The bulk of the tax cuts will go to commercial property owners, but I see no evidence that the majority of small business operators (who rent rather than own property) will benefit at all. Democrats are getting the earned income tax credit increase they’ve been trying to pass for years, and that’s an important issue. However, the same vulnerable populations that benefit from the earned income tax credit will bear the brunt of the state and county service cuts that will likely happen as the commercial property tax reductions are phased in.  

I haven’t had my eye on property taxes during this year’s legislative session, because I assumed no compromise would be found between the very different bills favored by Iowa House Republicans and Iowa Senate Democrats. A recent analysis by the Iowa Fiscal Partnership showed that the Democratic approach was better for commercial property owners “with less than $622,500 valuation in property,” while larger businesses (such as national retailers or real estate trusts) would do better under the GOP plan. That must-read study also undercut the case for any urgency to reduce property taxes in Iowa.

Any relevant thoughts are welcome in this thread. UPDATE: Added some comments from Iowa legislators and information about a loophole that could disqualify a lot of commercial property from the tax reduction.

Internal Revenue Service Acting Director Steven Miller was forced to resign this week following revelations that the IRS targeted tea party organizations that applied for tax-exempt status. I enclose below reaction to this scandal from Iowa’s Congressional delegation.

A separate post is in progress to catch up on recent votes by Iowa’s four U.S. representatives and two senators.

What’s on your mind this weekend, Bleeding Heartland readers? Rand Paul was in Cedar Rapids on Friday to headline the Republican Party of Iowa’s spring fundraiser. Links and highlights are after the jump. Nothing I read convinced me that Paul has any chance of becoming president someday, but count on him to try.

Speaking of Rand, did you know that he was never board-certified? I learned that recently from an ophthalmologist and eye surgeon. After I mentioned that Iowa Department of Public Health Director Mariannette Miller-Meeks is also an ophthalmologist, she looked up Miller-Meeks in the academy database and commented, “She’s well-trained.” Miller-Meeks did her residency at the University of Iowa and a fellowship at the University of Michigan. She is board-certified and was re-certified about ten years ago.

This is an open thread: all topics welcome. In previous years I’ve posted Mother’s Day links here, here, and here. Best wishes to those who celebrate today, and healing thoughts to those who grieve on Mother’s Day.

Shortly after Lieutenant Governor Kim Reynolds ruled out running for U.S. Senate next year, Republican State Senator Joni Ernst posted on Facebook, “I will be considering a run for US Senate.”

Today Ernst and Iowa Secretary of Agriculture Bill Northey discussed the factors influencing their decision on whether to run for Senate.

One of the most influential world leaders of the 20th century died today. Former UK Prime Minister Margaret Thatcher was 87 years old. The BBC posted her obituary and other links about her life, as well as reaction to her passing and a collection of her most famous quotes.

It’s hard to overstate how much Thatcher changed British politics and society during her eleven years as prime minister. On the other hand, she was such a lightning rod that her own Conservative Party replaced her in 1990 rather than face another parliamentary election with her leading the government.

Like her political “soul mate” Ronald Reagan, Thatcher is admired by many conservatives on this side of the pond. But whereas the Tories have moderated their policies under the last few party leaders, the Republican Party has moved much further to the right since Reagan’s presidency. Today’s GOP politicians reject any tax increases (failing to acknowledge Reagan’s many tax hikes) and view compromise on immigration reform as betrayal.

Any memories about Thatcher’s life or thoughts about her legacy are welcome in this thread.

UPDATE: In this speech from 1988, the British actor Ian McKellen lambasted the Thatcher government’s “queer-bashing.”

Appearing on Iowa Public Television’s “Iowa Press” program today, Representative Steve King (IA-04) acknowledged that the open U.S. Senate race will be a “slight uphill battle” for any Republican, but asserted that he can see a “path to victory” if he decides to run.

I am still 100 percent convinced that King will opt out of the Senate race eventually, citing personal reasons (not political reality). Nevertheless, his comments on the Senate race are worth reading closely, so I’ve enclosed them below. You can watch the whole interview or read the full transcript here.

King claimed to be unable to think of any positions he has taken that are “out of step with Iowans.” Near the end of this post, I’ve suggested two issues that would become central features in Bruce Braley’s case against King.

President Barack Obama is taking another stab at the “grand bargain” he wants to strike with Congressional Republicans. Yet again, he wants to cut Social Security benefits for low- and middle-income seniors in exchange for token tax increases on the wealthiest Americans. He is offering this deal despite evidence that Social Security benefits are a growing percentage of retired Americans’ total income.

Obama’s biggest fans need to stop deluding themselves about “eleven-dimensional chess” and acknowledge that for whatever reason, the president wants Social Security cuts to be part of his legacy.

Representative Bruce Braley’s campaign for the U.S. Senate has steadily rolled out endorsements this month. Eight labor unions have backed Braley’s Senate bid so far, joined today by Iowa Attorney General Tom Miller and Iowa State Treasurer Michael Fitzgerald.

Since Braley lacks any competition in the Democratic primary, these endorsements aren’t newsworthy at face value. However, a closer look at the announcements points to five major themes the Braley campaign will highlight over the next 19 months.

UPDATE: Added a sixth theme below.

Today the U.S. Supreme Court heard oral arguments in United States v. Windsor, a challenge to the constitutionality of the 1996 federal Defense of Marriage Act. Unlike yesterday’s hearing on California’s same-sex marriage ban, this case will affect many Iowans directly. The court’s ruling on DOMA will determine whether thousands of married LGBT couples in Iowa are eligible for benefits granted to married citizens under federal law.

Lots of links are after the jump, but the enduring sound bite from the day will surely be Justice Ruth Bader Ginsburg’s comment: “You’re saying […] there are two kinds of marriages, the full marriage, and this sort of skim milk marriage.”

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

Governor Terry Branstad didn’t draw the right lessons from Indiana’s experience when he proposed his Healthy Iowa Plan as an alternative to expanding Medicaid. Below I’ve posted excerpts from Laura Hermer’s recent commentary on the Healthy Indiana Plan.

Iowa’s top economic development official, Debi Durham, still can’t answer basic questions about why the state offered more than $100 million in tax incentives to a company that was going to build a fertilizer plant in Iowa anyway. Follow me after the jump for Durham’s non-responsive response on the Orascom deal during this week’s “Iowa Press” program.

Speaking of which, the Branstad administration is stonewalling Iowa Watchdog reporter Sheena Dooley’s efforts to obtain more information about the Orascom deal.

UPDATE: For the hundredth time, family budgets are not comparable to the federal budget. Plus, Michael Tomasky summarizes three basic principles of fiscal policy that should be conventional wisdom already: “Modest deficits are perfectly sustainable. Budget cutting, far from being ‘responsible,’ hurts the economy. And balanced budgets don’t create jobs-it’s the other way around.”

The U.S. Senate approved a budget for fiscal year 2014 at 4:38 am on Saturday after voting on amendments for most of the night. The budget passed by 50 votes to 49 (roll call). Iowa’s Senator Chuck Grassley and the rest of the Senate Republicans voted no, joined by four Democrats representing red states. The rest of the Democrats, including Senator Tom Harkin, voted for the budget.

As is often the case, Senate votes on various amendments were more interesting than the final party-line vote on the budget. Follow me after the jump for details on how Grassley and Harkin voted on some of those amendments. I’ve also enclosed statements from Grassley and Harkin.

The Republican National Committee released a so-called “autopsy” on the 2012 election results today. You can read the full report on the “Growth and Opportunity Project” here. I’ve posted a few excerpts, links and thoughts after the jump.

Any comments about the GOP’s rebuilding and rebranding effort are welcome in this thread.

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.”

Governor Terry Branstad traveled to Fort Madison yesterday to discuss a fertilizer plant project involving the largest tax incentive package in Iowa history. Previewing a likely theme of his re-election campaign next year, Branstad spun questions over his administration’s handling of the Orascom deal into an attack on Iowa Senate Democrats and the Koch brothers.

U.S. House Budget Committee Chair Paul Ryan presented his new federal budget blueprint today. As before, he would end Medicare as a single-payer system for all Americans under age 55, slash spending on programs for the poor such as food stamps and Medicaid, and cut taxes for some, though the details there are fuzzy. He would not cut the defense budget or Social Security. Ryan says his budget would be balanced in 10 years, but he relies on some assumptions that won’t happen, such as repeal of the 2010 health care reform law.

I’ve enclosed Iowa political reaction to the Ryan budget below and will update this post as needed.

Senator Chuck Grassley doesn’t plan to endorse a candidate in the Republican primary for Iowa’s open U.S. Senate seat next year, he told John Stanton of BuzzFeed.com this week. He has a favored candidate in mind, but plans to keep that view to himself:

Despite his role as the elder statesman of the party, Grassley said he’s not getting seriously involved in the primary: though he has spoken to one candidate. “I said to him, ‘You’re the only one I’m going to encourage to run, I’m not going to tell anyone they shouldn’t run.’ Because everyone I’ve heard talked about is a viable candidate … that’s as far as I’m going to go.

Grassley was wise not to discount Representative Steve King’s prospects; respect from elder statesmen like him and Governor Terry Branstad will make it easier for King to bow out of the Senate race without looking chicken.

I would guess that Iowa Secretary of Agriculture Bill Northey is the person Grassley has encouraged to run for Senate. Northey is thinking about the race, but I suspect that his past support for a gasoline tax would become a problem in a GOP primary.

Any comments about the Senate race are welcome in this thread. UPDATE: Bret Hayworth of the Sioux City Journal has been covering King for some time. He believes that King is more likely than not to run for Senate.

SECOND UPDATE: Iowa GOP Chair A.J. Spiker confirmed that he is thinking about running for Senate. Good luck with that. The Ron Paul machine is well-organized but probably not large enough to deliver victory in a statewide primary.

Nine days from now, approximately 85 billion in federal spending cuts will go into effect unless Congress and President Barack Obama can agree on an alternative to the so-called “sequester.” After the jump I’ve posted details on how the spending cuts might affect Iowa, as well as recent comments and actions by some of the Iowans in Congress.

I’ve been trying to determine if MidAmerican Energy Company (MEC) is paying the correct amount of property tax on their wind farm property in Pocahontas County.  As it turns out, this is not an easy task for an interested Iowa tax payer. The reason for this winter “adventure” stems from the county supervisors proposed creation of a Tax Increment Finance district around MEC’s wind project. If they proceed, tax revenue would be diverted away from our school district, fire department, etc., for other projects in the county. An individual taxpayer within the school district will mostly likely see their tax rates increase as a result.  Since the county is debating where to spend their “windfall” revenue, I became curious about how the county determined the tax rates for an asset with over a $1/2 billion in value. In the interest of full disclosure, I have a company that offers consulting for wind farm development, so I have some experience with this issue. (continues below)

 

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

The Des Moines Register continues to release bits and pieces from the latest Iowa poll conducted by Selzer & Co. After the jump I’ve posted some of the more important findings, other than the IA-Sen numbers, which I discussed in this post. Like the Iowa .Gif-t Shop blog, I found it bizarre that the Register asked respondents whether they’d be “thrilled,” “mildly happy,” or “don’t really care” about the prospect of certain national retailers opening an Iowa store.

The Egyptian company that received the largest tax incentive package in Iowa history has a subsidiary accused of defrauding the federal government out of $332 million, Ryan Foley reported yesterday in a must-read story for the Associated Press. Excerpts from Foley’s article are after the jump, but I strongly recommend reading the whole piece.

Iowa Economic Development Authority Director Debi Durham admitted that the federal lawsuit over improper contracts “did not come up in our due diligence,” which is no surprise. Durham’s negotiating strategy seems to have been not to question anything Orascom executives told Iowa officials. Although Governor Terry Branstad has claimed Iowa landed the fertilizer plant deal “by the skin of our teeth,” evidence suggests Orascom would have invested in Iowa even without generous state and local tax incentives.

President Barack Obama delivers another State of the Union address tonight, and U.S. Senator Marco Rubio of Florida is set to give the Republican response. I will miss most of the president’s speech but plan to watch the replay later and will update this post with highlights. Meanwhile, feel free to comment on any topics raised during the speeches in this thread.

UPDATE: Highlights from the speeches and reaction from the Iowans in Congress are after the jump.

I find it depressing that when I came home to catch up on the news, the blogosphere and twitterverse were obsessing over Rubio taking a drink of water during his remarks. So sue him, he’s not the most camera-savvy politician in Washington (yet). Who cares?

As Iowa legislators consider what to do with the state’s nearly $1 billion budget surplus, Republicans are advocating a $750 income tax credit for “every average Iowa family.” But that credit would do nothing for lower-income Iowans who have the largest state and local tax burden. The latest report by the Institute on Taxation and Economic Policy shows yet again that in Iowa and across the country, the bottom 20 percent of households by income pay the largest percentage of their income in state and local taxes (mostly property, sales and excise taxes).

The full report is available on the institute’s website. For the Iowa data, click here or here. Some charts, facts and figures on Iowa’s regressive tax system are after the jump. In my opinion, the bulk of Iowa’s surplus should go toward restoring and improving state services that have been underfunded for many years. The most valuable tax policy change would be increasing the earned income tax credit that benefits working families. Cutting personal income taxes should be way down the priority list, especially since high-income Iowans can already use a wide range of deductions to lower their income tax bill.

Iowa Economic Development Authority Director Debi Durham went to the statehouse yesterday to advocate for more tax credits to use as business incentives during the next fiscal year. She inadvertently revealed that in the negotiating department, she could benefit from wisdom that President Ronald Reagan borrowed from a Russian proverb.

Two former Republican members of the Iowa House recently accepted new positions that will allow them to continue state policy work.