Capitol Comments

EDUCATION REFORM & ALLOWABLE GROWTH

This week, House Republicans offered their proposal for a “compromise” to the Conference Committee on HF 215. Read the compromise here.

The House proposal, while acknowledging the need for 4 percent allowable growth, came with an ultimatum “drawn in the sand”: Take the House version without negotiations – the version passed by Republicans in a party-line vote. And if you don’t, Iowa schools may see as little as 0% instead of 4%. This flies in the face of compromise, bipartisanship and what is best for Iowa’s students!

As a condition of the “horse trade” The House Republicans offered a 2 + 2 formula for allowable growth in FY 2014 and 4 percent for FY 2015. The practical (reality) effect of this is that the 2015 allowable growth increase will be calculated off the 2 percent from 2014 because of their new math. This means less money for students in the long run. And this means less money for schools and students in 2015. Remember, the House Republicans will only agree to the allowable growth money if their entire partisan bill (HF 215) is adopted.

Another issue: funding for early-grade education and class size reduction. Democrats want to see the funding continued and contained in the reform package; Republicans don’t. Without this continued funding we would see reductions in school funding by $30 million a year.

Here are some of the provisions in HF 215 which would be adopted under the House Republican proposal:

• Annual summative evaluations by administrators that includes student outcome measures as a part of teacher evaluations. Note: A valid assessment for this does not yet exist and the decision on this test is left to someone in the state Dept. of Education.
• Lowering the minimum teacher salary from the Governor and the Senate’s proposal of $35,000 to $32,000 annually.
• Underfunding the teacher leadership program, excluding over 200 school districts from being able to participate. Districts won’t have sufficient salary funds to replace teachers “pulled” from the classrooms to fill leadership positions.
• Making the entire teacher leadership program optional. Districts are not required to participate.
• Allows home-school instruction for up to four unrelated students and eliminates many education reporting requirements for homeschooling.

The opening House Conference Committee proposal by House Republicans will not meet the needs of Iowa’s students in the long run, and accepting HF 215, carte blanche, will not improve student learning, expand educational opportunities, or enhance the educational environment in our state.

It is imperative that the Governor and both parties begin productive talks about education reform, about areas of common concern and agreement – real bipartisan negotiating, and compromise. Iowa students are depending on our leadership.

Here’s a report on Wednesday’s conference committee meeting, by Jason Noble, from the Des Moines Register.com: here.

This week’s Iowa Education debate Videos:

Senator Herman Quirmbach on Republican proposal: http://www.youtube.com/watch?v=hkP63ZwxkBY

Response by Governor Branstad: http://www.youtube.com/watch?v=6waHUn2Geww

Response to Governor by Senator Rob Hogg: http://www.youtube.com/watch?v=OBIQxvg5jHo

Senate Democrats’ Counter Offer Proposal being offered Thursday morning:

1)     Yes – on House Republican Funding Proposal for Allowable Growth for FY14 and FY15

2)     Funding for schools in the Allowable Growth Formula is linked to $31 million for Early Intervention Program – Keep Senate language on repealing sunset on Early Intervention/Class Size Reduction Program.

3)     Retain Senate language on Teacher Pathways, including these key provisions:

a)     Teacher Leadership Supplement at $400 per pupil

b)     Minimum teaching salaries at $35,000

c)     By 2016 – All school districts shall adopt a model of teacher compensation and career pathways

d)     Must have comparable model language and criteria

e)     Schools can choose one of four models, but every model must include key principles/criteria

f)      Local districts models and implementation decided by and oversight by State Commission (vs. DE)

g)     Want Site-based local commissions to choose eligible teachers for mentors/leaders.  Teacher must have at least one year of experience in the district and three year’s of experience overall in teaching

h)     Senate Amendment language about only implement what district can afford with Teacher Leadership Supplement money from the state

4)     House Language on Iowa Learning Online

5)     House Language on Teach Iowa

ECONOMIC DEVELOPMENT/JOBS/SKILLED WORKFORCE

This week, in the Iowa House, I supported a plan to create jobs and build Iowa’s middle class. But in the House version, I felt the plan fell well short of what we can and need to do. So I did not support the final House version, preferring the Senate’s. I plan to support an improved, negotiated, version that will be “hammered out” in a House/Senate conference before end of session. Let me explain:

Strengthening Iowa’s economy and building a strong middle class are top priorities. We have the opportunity, now, to improve our skilled workforce, put Iowans back to work, help local small business thrive, and encourage more innovation and research across our state.

Some of the initiatives I supported include incentives to help local businesses create good-paying jobs; expanded training at Iowa’s community colleges; support for entrepreneurs and small businesses; re-opening workforce centers in areas with high unemployment; and developing a public-private partnership to target training for the underemployed or unemployed. Many of these were offered as amendments to Senate File 430, the economic development budget bill.

Many of us called for support of the High Quality Jobs Program, which is the State’s only vehicle for direct financial assistance for businesses to expand or relocate to Iowa. In order to qualify for assistance, a business must pay at least 120% of the area wage, ensuring that each job created is a good paying job. This plan has been supported in the Governor and Senate budgets but is not included in the budget of the House majority party.

Plans were also offered for new research initiatives at Iowa’s three state universities. The initiatives, called for by Governor Branstad and the Senate, would create a new Bioeconomy initiative at Iowa State University, an Entrepreneurship program at the University of Iowa, and a new Economic Gardening initiative at UNI to help start-up businesses in Iowa. These new initiatives are needed to keep Iowa’s economy competitive in today’s global economy and create good-paying jobs. Many of these plans were offered but were not accepted as part of the House bill. Hopefully, they can be addressed in the joint House/Senate committee and become part of the final legislation.

As the session winds down, we must put aside politics and find the common ground on ways to grow our economy and the middle class. We must work together and find an agreement before session ends – we can’t afford to miss this opportunity.

Since an economic development budget bill has now been approved by both the House and Senate in different forms, both versions will likely be sent to a special conference committee of legislators to reach compromise on a bill that can pass both chambers.

MAIN STREET TAX CUT / COMMERCIAL PROPERTY TAX REFORM

Background

Commercial property tax makes up approximately 26% of all property tax revenues. The remaining four classes of real property that are taxed under Iowa law are residential at approximately 43%, agricultural at approximately 23%, industrial at approximately 5%, and utilities, including railroads, at approximately 3%. All real commercial property is assessed every two years in odd-numbered years.

Over 20 years ago, residential property values were increasing rapidly. The Legislature enacted an assessment limitation to lessen the increase of residential property taxes. This assessment limitation is typically called the “rollback”. If the statewide values of agricultural and residential land increase by more than 4% due to revaluation the increases are limited to 4% statewide. Rollback is available for industrial and commercial property, but currently commercial property taxpayers pay 100% of the value of their real property.

Democrats support a Main Street Tax Cut plan to reduce commercial property taxes by $250 million. It reduces property tax rates for 4 out of 5 Iowa businesses by about 40% to a rate near that of homeowners. The plan is fully paid for by the state so it will not shift the property tax burden to homeowners and farmers.

Commercial property owners currently pay taxes on 100% of the assessed value of their property, about twice what residential property owners pay. A priority of many in both parties, everyone recognizes the need to reduce commercial property taxes for Iowa businesses. After failing to reach consensus last year, we are trying to reach a compromise before the session ends.

Iowa commercial property owners currently pay taxes on 100% of assessed value, about twice what residential property taxpayers pay. When fully funded, the $250 million Main Street Tax Cut will provide a tax cut to every Iowa business. Taxes are cut on EVERY commercial property. Eight (8) out of ten (10) commercial properties will then pay the same rate as residential properties. Nine (9) out of ten (10) properties will do better under the Senate’s Main Street Tax Cut than under the Republican plan, which transfers tens of millions of dollars to large, out-of-state corporations.

The Main Street Tax Cut, offered by the Senate, DOES NOT shift the tax burden onto residential property taxpayers because it uses state dollars to replace funding for schools and local services. This is the only responsible, sustainable commercial property tax plan on the table. The bulbous plan offered by Republicans is unsustainable and costs other Iowa taxpayers – estimated at $2 billion. This is the same old “tax shift” that will require the state to squeeze the lost revenue from hard-working Iowans in increased income tax and sales tax (the 2 major sources of state revenue).

PUBLIC HEARING ON HEALTHCARE

The Iowa House hosted a public hearing on Tuesday to gather input on expanding access to affordable health care.

Speakers at the public hearing in support of Medicaid expansion told personal stories of Iowans who ended up in the emergency room because they do not have access to affordable health care. A cancer doctor talked about patients who came to see him with late stage cancer because they didn’t have access to health care earlier. Others talked about the downside of the Branstad plan because it covers fewer Iowans and costs more.

With the public hearing set at 90 minutes, about 40 Iowans were able to speak in the House Chambers. However, over 30 Iowans who support Medicaid expansion were unable to speak because of the time limit. The public was also encouraged to submit written testimony for those unable to attend or not able to speak in the House Chambers.

Of all the input received, 87% supported Medicaid expansion and 13% supported Branstad’s plan. Testimony in support of Medicaid expansion included citizens of all ages, AARP, doctors, hospitals, and several other health care providers.

There are two different plans under consideration right now. The Medicaid expansion plan, which is supported by most Iowans and has already been approved by the Senate, expands affordable health care to 150,000 Iowans while improving health care outcomes. The Governor has offered a different plan, called Healthy Iowa, which covers only 89,000 Iowans but costs both Iowa taxpayers and the federal government more money.

Despite strong public support for Medicaid expansion, Republicans are still insisting on the Governor’s plan. It’s an issue that has to be decided before we adjourn for the year because the health care plan we have today, called IowaCare, expires later this year. If we don’t take action, about 63,000 Iowans will lose the health care they have right now. The issue may be debated by the Iowa House as early as next week.

This Maxen electric car, one of only three manufactured, was built one hundred years ago in Cedar Rapids! It ran on battery power and sold for $1,450. According to Research Historian, Mark Stoffer Hunter, there were charging stations much like being proposed today. This is just one of the original artifacts on display at the Carl & Mary Koehler History Center in Cedar Rapids.

For more info, click here: http://www.historycenter.org/

Susan and I toured the International Paper corrugated box plant, located on Shaver Rd, not too far from our home. I learned that this one plant has an impact on our lives every day; the company (IP) produces more than 1/3 of our corrugated boxes (with 90% recycled materials!). Many things impressed me on this tour – especially the complexity, size and scope of their production right here in CR – but mostly the emphasis on safety and cleanliness, and how green they strive to be while producing 1.8 billion square feet of high-quality product. Shown here with Complex GM, Jim Barry, and Govt. Relations Mgr, David Kluesner. Site Manager, Joe McGovern, was also on hand to answer questions. Great visit – fascinating tour. I’m already more appreciative of the cardboard boxes in my garage, now that I know how and where they’re made!

Visiting with Cory Berkenes, State Director of Iowa Food Bank Association. 38 states do provide financial support for their food banks – Iowa doesn’t, yet. We are working on this issue. Representative Kelley has a bill that would add a “…check off” to the tax form for individuals to donate a buck to Iowa’s food banks. I am co-sponsoring a bill written by Representative Chuck Isenhart that would give tax credits to farmers who provide fresh foods for our food banks. Hunger and food insecurity are real, daily concerns for many Iowa families.

Funny coincidence, we were just discussing the merits/problems of a possible bottle bill in Sunday School. When I came into the Capitol Monday, Troy Williard, CEO of the Can Shed in Cedar Rapids, spoke to me about this very issue. The current bill works: 92% of glass bottles and 88% of aluminum cans are recovered and $36 million in scrap value is salvaged. According to www.iowabottlebill.com, one positive of an expansion of the bill would be the addition of 330 new jobs. And by adding popular, non-carbonated beverages such as water, tea and sports drink containers to the current bottle bill, more containers would be recovered and kept out of landfills. There are deposits, handling issues and redemption costs, and other issues to consider.

Iowans – what do you think about this complicated issue? Please share your views via email: art.staed@legis.iowa.gov

 

The Interfaith Alliance of Iowa Intersections luncheon at First Presbyterian Church was well-attended. Guest speaker was Nate Monson, Exec. Dir. for Iowa Safe Schools. The topic was “bullying” and Nate asked us to have individual table conversations about privileges we may experience as members of certain groups: able-bodied, white, financially secure, heterosexual, etc. Bullying often takes place when there’s a difference in power and a lack of respect for differences. I am proud to have co-sponsored the 2007 Iowa Safe School bill that requires Iowa schools to have anti-bullying/anti-harassment policies. It’s a first step towards creating a safe, respectful and accepting atmosphere for all of our students.

 

 

If you haven’t taken your kids out to Wickiup Hill Learning Center, there’s no time like the present. Susan, Mom and I attended the Grand Opening ceremonies and had a great time touring the beautiful new building. This project was the result of a large cooperative effort by private and public partners, including city, county, state and federal government, individual contributors and local foundations. You can learn more about Wikiup here: https://www.facebook.com/wickiuphill

I facilitated a neighborhood meeting in Cedar Rapids. The meeting went well, with the group coming together unanimously on a long-term strategy to resolve their concerns.

 

(Above two photos) We attended the History Center’s new exhibit, “Workin’ On The Railroad” depicting downtown Cedar Rapids in the early days. I visited with model train experts, Darren Ferreter and Kenneth Breher. Darren is in charge of this historically accurate restoration and also does model train repair, prototype design and upgrades. If, like me, you have an old railroad train set in your attic that you’d like to see resurrected, Darren can help you: modelrailroaddreams@yahoo.com.

 

 

(Above two photos) Just a few of the people waiting to speak at the Public Hearing on Medicaid Expansion. Of the 77 registered to speak, 57 were pro-Medicaid and 16 were opposed. Among those opposing the Medicaid expansion were two GOP county chairs, the spouse of a GOP legislator, a Romney coalition organizer, a GOP candidate for the Senate, a county young Republican leader and a former Branstad chief of staff. Those speaking in favor were a bipartisan group from the AARP, Iowa Primary Care, Iowa Hospital Association, League of Women Voters, Iowa Association of Area Agencies on Aging, Primary Care, Child & Family Policy Center, NAMI, Mercy Hospital Network and many others.

Midge Slater, Field Organizer for Iowa Alliance for Retired Americans, and Sue Dinsdale of Iowa Citizen Action Network – two more supporters for Medicaid Expansion who spoke at the Public Hearing.

Wednesday the House adopted House Resolution 29, Honoring the 133rd Test Squadron Iowa National Guard. The Squadron has a critical role in our country’s defense, testing communications gear, radar, data links and software before it’s issued to all branches of the government. They received the 2012 Air Force Outstanding Unit Award. Congratulations to the 133rd!

Jack Hall is the Chief Doorkeeper for House Chambers. Before graduating from Omaha University, he was accepted into Drake Law School. Decades later, Jack donned cap and gown to walk across the UNO stage to receive his diploma, having earned his Bachelor’s Degree at the age of 85. Jack is truly a life-long learner….and a terrific asset for the Iowa House legislators!

Read More from the Iowa House

To read the rest of the Statehouse News go to: http://iowahouse.org/StatehouseNews/4-19-13.html