The House Republican Budget proposal spends $6.059 billion or $313 million less than the total overall spending for FY 2011 and $59.9 million more than the FY 2012 budget. The small increase is almost all due to $55 million of new expenditure to fully fund property tax credits. If enacted, this will be the first time state property tax credits have been fully-funded since FY 2000.

Despite the increase to fund the property tax credits, it is still only a 1 percent budget growth over FY 2012.

Another key component of the targets is $42.9 million for state employees, including legislators, to contribute to the cost of their health insurance. This assumes that all state employees, including legislators, will pay at least $200 per month for their premiums

In comparing other budget targets in the legislature, it is important to understand how the available revenue number is used in each proposal. Some budget proposals plan to spend all available dollars, even one-time money carried over from the previous year. The House Republican plan does not consider these one-time funds to be appropriate for spending toward ongoing projects. Spending these one-time funds only grows government, and forces tax increases in future years.

This budget will be another positive step toward aligning state spending with state revenue. With a healthy balance sheet, the taxpayers of Iowa can have greater confidence that future legislatures will not resort to tax increases to solve budget problems. This confidence will help individuals and families plan their own budgets and for employers to be able to predict future expenses.

Governor Branstad’s proposed budget meets my top criteria in that it complies with Iowa’s expenditure limitation.  Unlike prior budgets that spent far more than the state collects in revenue, this budget does not contain the budget gimmicks we have seen in the past.

The increases that are included in the Governor’s proposed budget are focused on what I consider to be essential functions of government.  The FY2013 budget contains additional money for Medicaid, education, mental health services, and prisons.  As we move through the budget process, I will be looking for ways to cover these essential services in a fiscally responsible manner.

You have my ongoing promise that I will not support any spending beyond what the state collects in revenue.  We will fully fund the priority obligations of government while we seek cost savings to make state government smaller and smarter.

All of our work this year must be considered through the lens of what is good for Iowa’s economic recovery and our future growth.  It is my belief that the best way to put Iowans back to work is to advance policies that create an environment that gets government out of the way and encourages employers to create jobs right here in Iowa.

I will be advocating for legislation that provides the certainty that job-creators require and the opportunity for careers that Iowans deserve.  What I will not support is more government “stimulus”, or another I-JOBS plan that grows government and borrows even more from our children.

Iowa’s employers must have a commitment from their government to keep spending under control so they can plan for the future and know for certain that a tax increase for them is not on the horizon to pay for bigger, more bloated government.

A big part of this challenge is my commitment that I will not support a budget that spends more than it collects in revenue.

Governor Branstad presented his Fiscal Year 2011-2012 Budget to the Legislature in a joint meeting on Thursday, Jan. 27. The Iowa Constitution requires the Governor to propose a budget and then the Legislature approves the budget through the regular legislative process.

I was encouraged to hear that the Governor agrees with House Republicans’ commitment to stop the unsustainable growth in the size and cost of government.

The Governor promised to cut the state budget and focus on creating jobs.  Voters were clear this fall that they want budget accountability and I consider this an opportunity to keep our promise to end the recent trend of spending beyond our means.

Governor Branstad’s proposal cuts state agency spending by 6 percent and does not propose any funding for the salary increases pushed through by Governor Culver in the final days of his administration.  For agencies to fund these pay raises, they will have to find the money from within their existing operations budget.  It is my hope that our public employees will return to the bargaining table, to help us fix our budget mess.

As a member of the House Appropriations Committee I am eager to get to work on implementing cuts like the ones in Governor Branstad’s proposal.  House Republicans will lead the charge to bring about this change to legislative thinking about government spending.