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Representative Ro Foege
Report from the Iowa Legislature
April 17, 2005

Two Weeks & a Long Way to Go

There are two weeks until the scheduled end of the 2005 legislative session, and we still have a long way to go. The House has passed most of the necessary budget bills, and we are now waiting on the Senate to take up these bills, amend them and send them back to the House for approval. Most of the unfinished business lies in the Senate, where the 25-25 partisan split means that compromises much be reached before action can be taken.

The problem with the budget is one of accumulated needs. For the past several years, legislators patched together bare bones budgets that scarcely met Iowans' education and health care needs. We need to start making up the lost ground this year.

One of the places where we made up some of the lost ground was in the Health and Human Services budget bill which passed the House several weeks ago. I am the Ranking Member of the committee that develops this budget. The bill allocates funding for the Departments of Human Services, Elder Affairs, Public Health, and the Commission on Veterans Affairs. It contains the resources for Medicaid (Title IXX), mental health, child welfare, the children’s health insurance program known as HAWK-I, as well as an appropriation for the civil commitment unit for sexual offenders, to name just a few of the programs.

Some of the highlights of the bill include an increase for the private agencies that contract with the state to provide child welfare services. Some of those agencies in our area include Alternative Services, Four Oaks, Tanager Place, Lutheran Services of Iowa and Hillcrest Family Services. We were able to provide them with a 3% increase, the first increase they’ve had since 1998. The bill also raised health care provider rates by 3% for serving individuals eligible for Medicaid. This budget increases the HAWK-I program by $4.5 million in new funds to cover the expected funding need for fiscal year 2006.

Another very positive part of this legislation was the $6 million to eliminate the waiting lists under the Medicaid home and community based waiver program. A total of 2,237 Iowa families are currently on the waiting list for one of the four waivers: ill and handicapped children, brain injured, AIDS/HIV and physical disability. This budget totally wipes out those waiting lists. Those families who have been waiting for services for so long can really appreciate that help is on the way!

The major gap in this budget is in the area of child care. To make up for lost ground, we need an additional $9 million to make certain that we have safe and nurturing care of children while parents are working or attending college.

It is often the case in major budget bills that the minority party disagrees with and votes not to approve the majority party’s budget decisions. In this case, in spite of the gap in funding for child care, I supported the Health and Human Services budget bill as presented. I was able to support it because much of the bill included funding levels suggested by myself or my fellow Democrats. You may often hear of the disagreements between the parties in the State Capitol. However, I have been able to work in a cooperative and harmonious manner with the Chair of this committee, Rep. Dave Heaton. Because of this positive working relationship, I believe we are able to accomplish better outcomes for the taxpayers of Iowa and for those who need the services of the agencies we fund.

Both houses have passed legislation containing additional money for the Iowa court system and for new Highway Patrol cars, but still ahead of us are major spending decisions on teacher quality improvements, the Iowa Values Fund, state universities and community colleges, early childhood education, sex offender programs, and the collective bargaining agreement with state employees. Democrats and Republicans generally agree that these programs need additional funding, but there are big differences in how much each party is willing to commit.

On the revenue side, the state got some good news when state revenue forecasters increased their estimates by $79 million this year and $85 million next. That's a sign that Iowa's economy is turning around and that revenue growth is strengthening. Another piece of good news this week was that Senate Republicans showed some flexibility by agreeing to debate a tobacco tax increase, as long as it is limited to no more than a 36˘ per pack. The current excise tax on a pack of cigarettes is 36˘ which would bring the total to 72˘. That is still below tobacco tax in surrounding states. The additional 36˘ would raise an estimated $69 million and provide needed funds for the budget.

Budget decisions can come together very quickly. Once leaders reach agreement on the contentious parts of the budget, we can move the bills in relatively short order. By the same token, reaching that elusive agreement can take weeks if either side locks into a non-negotiable position. Here's hoping for a responsible and timely conclusion.

At least for the next couple of weeks, you can write me at the State Capitol, Des Moines, IA 50319; call 515/281-3221 or e-mail me at ro.foege@legis.state.ia.us.

Ro

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