News from the Hill…
This is the time of year when patience runs short and days run long. That is a dangerous combination. The House is busy moving the Senate files that we have received through their respective committees that we want to keep alive for debate. At the same time the Senate is busy doing the very same thing with the House files we sent over to them. Iowans who care about certain bills or lobbyist who they have hired to watch out for their interest are busily scrambling around from House Committee to Senate Committee trying to advance the bills that their clients are interested in. Some bills will be advanced while others will fail to reach the next level of debate on each chambers floor for full debate. So, when the dust settles this week some will find relief, while others are trying to figure out how to breathe some breath back into their bill that just died during the second funnel this week. One such bill, SF 402, which deals with Dental Benefits and External Review, did not make it through the House Commerce Committee. I personally found that quite disappointing. On one side you had the dentist and the other side of the issue there was the dental insurance companies. As I listened to both the problem and possible solutions, I was very hopeful that a compromise could be reached. Especially on what appeared to be an issue ripe for finding common ground. However, an agreement could not be reached. One side was willing to bend and the other simply would not. Therefore the bill was not taken up in committee, very unfortunate.
Veterans Issues…
Presently there are numerous bills that have come from the House Veterans Committee that have tax implications sitting in the Ways and Means Committee. To name a few, HSB 647, increases the Military Property Tax exemption, HF 2372 exempt’s military pay from state income tax, HF 2374 creates income tax credit for military service in Lebanon, Grenada, Panama & certain Persian Gulf conflicts. The Senate sent us SF 303 which exempts Military pension income from state income tax. The total fiscal impact is around $30 million, it will be extremely difficult to do all of these this year, but we are trying to figure out which ones we can do at this time. I know we will definitely be doing something. What we do decide to do will most likely be combined into one bill as it moves from committee in the next few weeks. Our veterans have given a great deal for our country and to advance the cause of freedom. So whatever we can do for them is a small token of appreciation of what they actually deserve.
Ways and Means…
One of the bills we passed out of committee this week was HSB 670. This bill relates to the sales tax exemption for the purchase or rental of certain items used in manufacturing, research and development, data processing or storage, or recycling activities. The Department of Revenue and Manufactures spend lots of time and money disagreeing on what is taxed or what should not be taxed. Both sides were in favor of this law change to further clarify the law. A similar bill passed the Iowa House last year and died in the Senate. I have some new language in this bill and better information from different manufactures to help its success in the Senate. This bill passed out of committee with a vote of 21 voting aye, 3 voting nay and 1 absent. I strongly support any bill that saves taxpayers money and helps streamline the process. The bill heads to the house floor for full debate with a new number, HF 2443.
“You can fool all the people some of the time, and some of the people all the time, but you cannot fool all the people all the time.” – Abraham Lincoln
For more information on these and other bills: www.legis.iowa.gov
Until next time,
Tom Sands
This weekend’s Forum: Saturday, March 13th
9:15-10:30 am West Burlington City Hall, West Burlington, IA