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Branstad touts delicate compromise on Iowa budget plan
Governor Branstad and legislative leaders unveil a combined $395 million deficit solution. The package raises the sales tax to 5 percent, trims $74 million in spending, and grants a $98 million pay raise for state workers. Major entities include K-12, human services, prisons, Regents schools, and community colleges. The plan limits growth in local property taxes and imposes restricted Medicaid costs while funding from the tax hike targets revenue gains of $259 million after tax breaks. Voters and lawmakers face a take-it-or-leave-it decision on this bipartisan package amid looming 8 percent cut options if negotiations fail.
MENTIONED IN THIS ARTICLE
Department of Human Services, Prisons
Department of Revenue
Branstad
Iowa
State Board of Regents