(NIT photo)
The following is a legislative update from Republican State Rep. Shannon Latham, representing portions of Franklin, Hamilton, Story and Wright counties in Iowa House District 55:
March 7 Marks the End of “First Funnel”
This week legislators focused on moving bills out of committee to keep bills alive due to the March 7 legislative deadline, known as the first funnel.
Bills that fail to get passed by a subcommittee and a full committee – except for bills that get referred to the Ways & Means or Appropriations Committees – are essentially “dead.” Once a bill gets passed by a committee, it becomes eligible for floor debate. As a result, I expect there to be more floor debate next week.
Also next week, more attention will be given to developing the state’s budget. The Revenue Estimating Conference (REC) will meet on March 13, and then each budget subcommittee will have a better idea of its budget targets. Seven legislative joint (House and Senate) budget subcommittees are part of the Appropriations Committee. I have the honor of serving as the chair for the Economic Development (Eco Devo) Budget Subcommittee in the Iowa House of Representatives.
Our final Eco Devo budget sub meeting was held March 3. Representatives from Iowa State University, the University of Iowa and the University of Northern Iowa shared how they have used innovation funds.
Taxpayer Relief Fund
Our state has a bank account – called the Taxpayer Relief Fund – that helps return money to Iowa families. This is an account in the State Treasury that holds unanticipated state revenue to be returned to taxpayers.
For a deposit to be made in the Taxpayer Relief Fund, state revenue must exceed what was projected for state tax collections by the three-member Revenue Estimating Conference (REC). The difference between what was collected in tax revenue and what the REC had projected is deposited into the account once the fiscal year’s books have been closed.
This Fund was created in 2011 as the Taxpayer Trust Fund. As part of the 2018 state tax reform law, the Taxpayer Trust Fund was changed to the Taxpayer Relief Fund. The limit on the amount of funds that could be deposited into the account was stripped from the law, as was the automatic return of the funds via the personal income tax credit. Instead, the Fund became dedicated to tax relief which would be determined by the Legislature.
With strong, sustained revenue growth during the last five years, the Taxpayer Relief Fund has grown significantly. The Fund has grown significantly to $3.94 billion in its account. This is just one of the state’s savings accounts. Iowa is in a solid financial position to implement income tax reductions.
Commerce Committee Funnel Survivors
This year the House Commerce Committee advanced 23 House bills with the vast majority receiving bipartisan support. Some of the bills that advanced dealt with energy, Pharmacy Benefit Manager (PBM) reform, insurance, and financial institutions. I’ve written about the “big bills” in previous articles, so this week I’m focusing on newly passed bills of interest:
- HF 302 – Climate Change Hazardous Liquid Pipeline –This bill removes the statute the Iowa Utilities Commission (IUC) cited in its Summit Carbon decision to say that the state policy finds the factor of climate change weighs in favor of granting a hazardous liquid pipeline to Summit. This bill also prohibits the IUC from considering climate change when determining whether to grant a HLP permit.
- HF 404 – Community Solar –This bill requires investor-owned utilities to allow for community solar projects in their service area.
- HF 781 – Casino Smoking – This bill eliminates the exemption to the Smoke-Free Air Act that allows for smoking on gaming floors.
Expanded Cancer Coverage for First Responders
This week the State Government Committee passed a monumental piece of legislation to further protect the Iowans who protect and rescue those in their community every day. House Study Bill 266 was reported out of State Government Committee unanimously. The bill would amend the Iowa Code to ensure that all types of cancer are covered for Iowa’s firefighters. Currently, there are only 14 types of cancer that are covered under the presumption that it was contracted while on active duty because of the job. There are over 200 types of diagnosable cancers.
