We are completing week number 3 of the 2003 Legislative Session.  During this week I was glad to have several visitors from my District.  Charles Clark, the School Board President from L&M Schools was here, as well as several students from Southeastern Community College.  Warren Kemper of the Corn Growers Association was in Des Moines and stopped to see me.  I also had the opportunity to visit with School Superintendents from Southeastern Iowa last Saturday in Mediapolis.  They were Doug Graber (Wapello, Morning Sun); Fred Whipple (Mediapolis); John Dotson (L-M) and Rich Bridenstine (Columbus).  We covered many education issues which I know are important concerns to all of you.

On Monday, January 27, the House approved HF 32 (formerly House File 1), which restores $3.5 million in cuts to the Homestead, Ag Land and Elderly and Disabled property tax credits.

During the 2002 regular session, the property tax credits were reduced in order to balance the budget.  In May, the Revenue Estimating Conference (REC), reduced revenue projections by $200 million for FY 03.  In order to balance the budget, several items, including the property tax credits, were cut by 2.2 percent.

HF 32 restores the $2.3 million cut to the Homestead credit, restores the $800,000 cut to the Ag Land credit and restores the $400,000 cut to the Elderly and Disabled credit.  Each of the cuts was made in the May special session last year.

The bill originally stipulated that that the counties, which passed along the cut to taxpayers, give the taxpayers an additional credit in FY 04.  The counties, which used cash reserves or other funds to give the credit, could keep the money.  However, since there was confusion about which counties gave the credit and which did not, an amendment was adopted to send the money back to the counties and allow the county officials to decide whether or not to pass along the credit to the taxpayers. 

The bill was approved on a 97-0 vote and now goes to the Senate.

Byron Orton, the Labor Commissioner of Iowa, spoke to the Commerce, Regulation and Labor Committee on Tuesday, January 28.  The goal of the Division of Labor is to protect and enhance the occupational safety and health of working Iowans.  Historically and overall, Iowa has had a good record of safety.  Orton spoke regarding the statutory programs administered and enforced by the Iowa Division of Labor.

I will continue to examine everything we do this session based on the following three questions:

1. Does it foster the creation of wealth in Iowa?
2. Does it improve student performance in Iowa?
3. Does it put Iowa on sound financial footing for the future?

As we prepare to do the budgeting for the state we need to use the following seven steps to insure budgeting success;

1. Avoid the use of one-time or time-limited sources for ongoing expenses.

2. Avoid implementing new programs for a partial fiscal year.

3. Avoid multi-year accelerating commitments.

4. Avoid new automatic, or "standing," appropriations.

5. Accurately determine revenue and expenses.

6. Align expenses and revenue in the same fiscal year.

7. Avoid shifting program funding to property taxes or fees.

This won’t be easy, but it is necessary to make sure that we position our state for better economic times.  It is something that we can accomplish if we work together as a team for the good of its people.  Iowa is a great state and it is an honor to be able to serve the residents of house district 87 here at the State Capitol.  I am amazed at the amount of people that continue to show up at the capitol each and every day to seek representation.  This form of government may not be perfect, but it certainly is better than any other form that we have seen.

There is a legislative forum at the Muscatine Community College at 9:00am Saturday, February 1^st and later I will be at the LaReyna restaurant in Columbus Junction at 1:00pm.

I hope you all have a good weekend and until next week.