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Representative Ro Foege
Report from the Iowa Legislature
February 13, 2005
Property Taxes & Local ControlThe House
Education Committee approved a bill this week that would vastly increase
state support for Iowa schools, resulting in as much as a $480 million cut
in property taxes statewide. Currently, school districts levy $5.40 per
assessed valuation for schools. The state then steps in and pays the next
87.5% of the per pupil cost. Property taxpayers then pick up the remaining
12.5%.
The bill would have the state gradually pick up 100% of the per pupil cost
after the initial local effort. This could save Iowa property taxpayers
hundreds of millions of dollars a year. Of course, that would be good news
for all Iowa property taxpayers—homeowners, businesses, farmers, and
seniors. The bill will now go to the House Ways and Means Committee for
consideration.
I have consistently voted to reduce property tax. It is the most regressive
of our taxes as it is not based on one’s ability to pay. Many seniors in
Iowa are on a fixed income and have no defense against higher property
taxes. As taxes rise and their budgets are squeezed, it becomes increasingly
difficult for seniors to afford basic necessities – utilities, food,
clothing, medicine. High property taxes could force some seniors out of
their homes.
Unfortunately, the bill that came through the Education Committee, of which
I am a member, has a huge problem: where does the state of Iowa get the $480
million dollars this bill would cut? What services will have to be cut? What
cuts would my constituents want? Do we want to cut assistance to schools,
universities, private colleges, community colleges, services to seniors,
mental health services, and child welfare services? Are the people of Iowa
ready to raise income taxes or sales taxes to make up the $480 million in
lost services?
The answers were not provided by the people who were in a hurry to get the
bill out of committee. Because of this dilemma, I voted against the measure,
and I will continue to oppose it until we learn where the $480 million in
cuts will be made. In the current budget situation, I it is not realistic
that the Legislature would be able to provide reasonable and reliable
allowable growth on top of a new $480 million commitment.
I hope that the Ways and Means Committee will slow the process down until
some answers are found. Fortunately, the bi-partisan local governance
committee is also looking into this area. It is unfortunate that some on the
Education Committee wanted to jump the gun, rather than waiting for the
bipartisan group to look at ways to reform the entire property tax system
without cutting essential services.
In other news, I reintroduced a bill that will allow local communities to
adopt stronger restrictions on smoking in public places. During the past few
years several communities in Iowa passed ordinances that would ban smoking
in public facilities. However, they were overturned by Iowa courts because
the bans were in conflict with state law. I worked with the Attorney
General’s office in drafting legislation to support those local decisions.
Iowa is a state that trusts local control. Communities ought to have the
option of passing stronger restrictions on smoking in their public spaces.
We do not need more rhetoric on home rule, we need to put it into practice.
We know that when there are stronger restrictions on smoking in public
places, we have a healthier community. California, which has a ban on
smoking in public places, has seen a 19.5% reduction in lung cancer, and
smoking rates have dropped by 27%.
When we reduce tobacco related illnesses, private health plans will see
their claims drop. Additionally, the government will save money on the
Medicaid program, which spent $235 million last year on tobacco related
illnesses. Smoking restrictions save money and save lives.
I look forward to hearing from constituents about the work of the Iowa
Legislature.
You can write me at the State Capitol, Des Moines, IA 50319; call me at
515/281-7328 or e-mail me at
ro.foege@legis.state.ia.us.
Ro
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