DES MOINES – Democratic Senator Joe Bolkcom of Iowa City, chair of the Senate Ways and Means Committee, had some strong words for Governor Terry Branstad and the state’s continued investment in a controversial fertilizer plant in Southeast Iowa.
“When negotiating the Orascom fertilizer plant fiasco, Governor Branstad’s tired approach failed to protect Iowa taxpayers,” Bolkom said Monday.
“Iowa’s Governor let hired corporate lobbyists convince him Iowa was in a fight with Illinois, even though federal flood disaster bonds gave Iowa an unbeatable $300 million advantage. As a result of this mistake, Governor Branstad showered Egypt’s largest corporation with millions in tax cuts.
“Last month, I thought Governor Branstad had finally woke up and wised up. It was great news when the Iowa Economic Development Authority Board did not approve the last $25 million giveaway to Orascom as scheduled.
“At last Thursday’s debate, however, Governor Branstad showed that he still doesn’t understand how badly he bungled these negotiations. He made the preposterous claim that Orascom would end construction unless Iowa taxpayers cough up $25 million more.
“Governor Branstad’s arrogant inability to admit when he is wrong is his most serious shortcoming as our state’s executive. When the Iowa Economic Development Authority Board meets on Friday, August 22, they should make it clear that they will not throw away $25 million more to cover up Governor Branstad’s mistakes.”
Questions Governor Terry Branstad needs to answer:
If the future of the Orascom fertilizer plant is in doubt, why didn’t the Iowa Economic Development Authority Board formally consider the $25 million optional payment to Orascom during their July 2014 meeting as called for in your 2012 letter of understanding with billionaire Nassef Sawiris, Orascom’s CEO?*
Did you tell your Director of Economic Development Authority to delay granting another $25 million dollar tax cut to Orascom until after the November elections?
Bonus Question: Should Iowans be concerned that their Governor brags that his sloppy approach to high stakes economic development got him named “Politician of the Year” at an international gathering of corporate lobbyists looking for naïve, easily manipulated local leaders?**
* The World’s Billioinaires: #235 Nassef Sawiris (Forbes) http://www.forbes.com/profile/nassef-sawiris/
** Fertilizer plant, Branstad honored (Des Moines Register) http://www.desmoinesregister.com/story/money/business/2013/11/14/fertilizer-plant-branstad-honored/3523583/