DES MOINES – An Iowa lawmaker is blaming the state’s budget deficit on Republican-led tax cuts to corporations.
Representative Marti Anderson of Des Moines says the state of Iowa is in a big budget crunch and it’s all the fault of Republicans.
“The state does not have enough revenue to finish paying for government the rest of the current year,” Rep. Anderson says.
“This week we will have to cut at least $110 million from the CURRENT budget. This is the first time in decades a we’ve had a de-appropriations bill at the same time our economy and state revenue are growing. Over the past six years, Republicans pushed through massive corporate tax giveaways, that cost the state over $500 million annually.”
Anderson says the benefits of those tax changes have “not reached everyday Iowans. Tax dollars paid by hard working Iowans now go to corporations and redistribute wealth from Iowa taxpayers to large and out-of-state corporations.”
The Iowa legislature is meeting now to figure out a budget solution moving forward.
Democrats also said that over the last six years, legislative Republicans have touted budget “principles” in an effort to convince Iowans they are responsible stewards of tax dollars. However, as the state faces a $110 million deficit, Republicans have consistently violated their own budget principles while forcing Iowa students and working families to pay for their corporate tax giveaways.
Republican Budget Principle: “We will spend less than the state collects”
In the chart below, the red line represents tax receipts collected by the state. The black dotted line shows the amount spent in a given fiscal year. Republican budgets in FY 15, FY 16, and FY 17 all spent more than the state collected.
Democratic leaders of the Iowa House and Senate also raised concerns about the impact of deep, mid-year budget cuts proposed today by legislative Republicans.
Senator Joe Bolkcom, ranking member of the Senate Appropriations Committee, stated:
“The deep, mid-year budget cuts endorsed today by Republican legislators are mean-spirited and will harm Iowa college students, working families and seniors. The last thing we should do is cut services that Iowans depend on, including higher education, job training, public safety and human services.
“Second, this unnecessary budget mess could have been avoided if Governor Branstad, Lt. Governor Reynolds and legislative Republicans had focused more time and energy over the past six years on strengthening our schools, building the skilled workforce that Iowa employers need and improving quality of life for all Iowans. We need to make the economy work for Iowa families, especially in our small towns and rural areas.
“The Republican proposal unveiled today sends the wrong message about the future of our state. The budget slashing by Governor Branstad, Lt. Governor Reynolds and Republican legislators leaves the fastest growing part of the state budget off the table: excessive tax credits. It is time to drain the swamp.”
Rep. Chris Hall of Sioux City, ranking member of the House Appropriations Committee, stated:
“The Iowa GOP has lost all credibility on budgeting. After giving away the state’s budget surplus, policies enacted by the Branstad-Reynolds administration have slowed the state’s economy and left the budget in the red.
“Republicans’ failed fiscal policies aren’t working for Iowa families or growing the state’s economy. Tax breaks for corporations now top $500 million annually. Iowa would not be making cuts if the GOP had used better judgment in managing the state budget. The unfortunate result is Iowa students and working families are being forced to pay for failed Republican policies again.”
She is right we all want lower taxes but republicans give in to corporate welfare but they never pay for them. If you are going to cut the tax rate for anyone you have to cut funding to pay for them plain and simple.
People could not survive if were not for overpaid public servants – FAKE NEWS !!!
Where is the fake news?
Goverment cannot solve our problems -BIG GOVERNMENT IS OUR PROBLEM.
Time to cut the FAT – private sector has to do it to survive – cut ALL city/county/state/federal spending and cut government workers EVERYWHERE and reduce their salaries -WE the private sector cannot afford you anymore – Trump has already issued a federal hiring freeze and is cutting the federal budget by 10% except the military. ABOUT TIME we had a businessman running our country instead of political lieing bull shitters.
I really think you should do some homework but I realize that is a lot to ask of someone who believes in alternate facts and fake news. Did you get your car out your driveway this morning and drive down the city streets, county roads or state highways? Those darn government workers out there spending your hard earned money while earning so much money they don’t know what to do with it. Let’s pay them $5 an hour- that’ll show em we ain’t gonna take it anymore.
End of the Wicked Fascist Roman empire.
The real reason is Democrats think they can spend money that isn’t there.
The big spenders are stockman and ragan aka the spend sisters