News from the Hill…
This week the bill to increase the fuel tax passed. There has been lots of information about that in the press and in my previous two newsletters. The bill passed with 53 ayes, 46 nays and 1 not voting. I voted no, enough said.
Funnel Week Coming…
This next week is what is referred to as the first funnel. By March 6, all House bills need to be passed out of a House Committee and all Senate bills need to be passed out of a Senate Committee. The bills that do not survive this first funnel are done for the year. There are some exceptions, bills that deal with appropriations, taxes or fees are funnel proof. In addition bills that come out of Government Oversight are funnel proof, also. So there will be lots of committee time this next week and most likely no floor action.
Prison Boondoggle…
Director Phipps told the Government Oversight Committee there is an additional $20 million being requested by the General Contractor, Walsh Construction, for equitable adjustments. When asked for specifics, the Director was unable to give examples of the equitable adjustments and could only tell the committee the request is made when a company believes it has provided additional resources or labor not part of the original bid. The committee was unable to get additional information on these equitable adjustments from the Director. This $20 million in equitable adjustment requests had not previously been shared with Representatives during the Oversight investigation. The Director was unsure if the State would have to pay the additional money. The Director may be unsure, but I am sure the TAXPAYERS should not be sending anymore money until this mess is fixed.
Currently there is no estimated date to open the prison. I am concerned it could be another year before the new prison is occupied.
The bi-partisan House Oversight Committee will continue to push for answers from all parties involved with the construction of the prison. Within the next week, members are expecting more detailed answers and documents from Department of Administrative Services. Once those documents have been reviewed the committee will be calling in more individuals involved with the prison construction to understand how all the problems occurred and to find a solution to ensure problems of this magnitude never happen again.
Zero-Based Budgeting…
The House State Government committee voted last week on HF 1; a bill requiring state agencies and departments, as well as the judicial branch to adopt a zero-based budgeting approach. The bill passed out on a party line vote 12-10. Predictably, Democrats opposed this plan which limits the growth of government spending.
Currently, State executive departments and agencies use estimates based on 75 percent of funding provided for the current fiscal year, and the form for budget submission is decided by the director. The judicial branch operates on the same procedure. With this bill, executive departments and the judicial branch will be required to use zero as their base approach when determining their budgets. Additionally, it requires the departments to prioritize requested expenditures, with support as to why every request is needed. Government is growing faster than what it can be sustained and this approach helps to get better control of the spending. I have supported zero-based budgeting practices for over 30 years, long before I came to the Legislature. It is time Iowa moved to this approach.
“Character, in the long run, is the decisive factor in the life of an individual and of nations alike.” – Theodore Roosevelt
For more information on these and other bills: www.legis.iowa.gov
Until next time,
Tom Sands
