Budget work in the Iowa Legislature is divided among appropriations subcommittees, which meet jointly with House and Senate membership. The subcommittees are organized by subject area, such as education, justice, economic development, health and human services, and others. These subcommittees have been meeting for several weeks, combing through the Governor's budget proposal for Fiscal Year 2009 (which begins July 1, 2008), while also monitoring current state programs.

Last week the House and Senate released state general fund spending ceilings or "targets" for six subcommittees that oversee most programs funded through the state general fund. Releasing the targets marks the beginning of the legislative budget decision-making process. In meetings with leaders in both chambers to develop the joint House-Senate targets, our primary goal is to make sure that the state budget is balanced, that our cash reserve funds are full, and that we maintain our promises to fund education, health care, and jobs programs that benefit middle class Iowans.

The FY09 budget is based upon estimated revenue growth of 2.6% over the current year (FY 08). This year's general fund budget approaches $5.9 billion, and next year the budget will likely exceed $6 billion. Each year, over half the state general fund budget goes for K-12 school aid, community colleges, and state universities. About 20% of the budget funds health and human services such as Medicaid, foster care, adoption, child care, and mental health. Approximately 10% of the budget funds the justice systems—prisons, community based corrections and courts.

Subcommittee chairpersons have been asked to hold the line on spending and to scrutinize their budgets for places where we can find efficiencies. As Chair of the House Health and Human Services Appropriations Sub-committee, I have the responsibility and challenge of maintaining useful services to Iowans in a way that use our public resources in the most efficient and effective manner. Some of my primary challenges with this part of the budget will be to adequately fund mental health services and in-home services for senior citizens, while maintaining juvenile detention services and eliminating the Medicaid waiver waiting list for people with disabilities.

We will maintain our commitments to Iowans. There will be no new tax increases to balance the budget, and we will not dip into our rainy day funds. In fact, our cash reserve and economic emergency funds will actually be at their highest levels ever, $616 million.

I am looking forward to another very busy week working at the Capitol for my neighbors of House District 29. 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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