Iowans for Tax Relief

ITR Watchdog - Session Week 7

Fri, 24 Feb 2012 00:00:00 +0000

House Version of Gas Tax Increase Is Dead

This week was funnel week in the Iowa Legislature. For those unfamiliar, funnel week is the last week in which most bills can be passed out of committee in their originating chamber and still be eligible to go before the full chamber. As explained in last Friday’s Watchdog, the House version of the gas tax increase did receive passage in subcommittee but it was not brought up for debate in the House Transportation Committee this week. This means that the House version of a gas tax increase is essentially dead. A bill that increases the gas tax could still technically come through the House Ways and Means Committee, but this is unlikely. This is good news for taxpayers, but it does not mean that this issue is off the table for this session.

Government Efficiencies

HSB 645, a bill that relates to government efficiencies, passed in the House State Government Committee this week. This bill includes a provision that would no longer allow Legislators’ per diem allowances to be considered as wages when calculating pension benefits under the Iowa Public Employees Retirement System (IPERS). The Senate also passed its version of a government efficiencies bill in the State Government Committee, but did not include any reform of IPERS benefits for Legislators.

ITR Poll: Most Iowans Oppose Gas Tax Increase

Mon, 20 Feb 2012 00:00:00 +0000

A poll of Iowans conducted on February 12, 2012 for Iowans for Tax Relief found that most Iowans oppose a proposal to increase the gas tax up to ten cents a gallon and increase registration fees for new vehicles. Opposition (59.8% total oppose) is nearly twice as high as support (32.6% total favor).

The poll also found that a third of Iowa voters would be less likely to re-elect a State Representative who voted to increase the gas tax and registration fees (33.3% total less likely). Iowans opposing this tax increase were three times more intense than its supporters: 36.3% strongly oppose, 11.8% strongly favor.

When those surveyed were asked whether they would prefer a gas tax increase or a fee system that targets the road users which cause the most damage to Iowa's roads, 49.8% said they would prefer a targeted fee system and 28.2% favored a 10 cent gas tax increase for all drivers.

ITR Watchdog - Session Week 6

Fri, 17 Feb 2012 00:00:00 +0000

House Passes Property Tax Reform for All Iowans

On Tuesday, members of the Iowa House passed a property tax reform bill that, if enacted, will provide tax relief to all Iowa property classes. HF 2274 reduces commercial property taxes for all businesses by 40% over eight years. The plan also allows for accelerated relief for small businesses. It is estimated that this bill would provide $602 million in property tax relief to business owners.

Gas Tax Update

Unfortunately, bills that would increase the gas tax made headway in both the Senate and House this week.

On Monday a House Transportation subcommittee passed HSB 547 that would increase the gas tax by eight cents and increase registration fees.

On Wednesday a bill that would increase the gas tax by ten cents passed in the Senate Transportation Committee. The vote was 11-2 with only Senator Brad Zaun (R) - Urbandale and Senator James Hahn(R) - Muscatine voting against the tax increase.

ITR Watchdog - Session Week 5

Fri, 10 Feb 2012 00:00:00 +0000

In this week's Watchdog:

Gas Tax Increase Passes in Senate Subcommittee

The bill is now able to go before the full Senate Transportation Committee for consideration.

Iowa Constitutional Amendments Proposed to Limit Spending and Taxes

This week HJR 2006, a resolution that proposes two amendments to the Iowa Constitution was introduced in the Iowa House.

Property Tax Reform Moves Forward

The House Ways and Means Committee approved a commercial property tax reform bill which is a compromise between House Republicans and the Governor.

ITR Watchdog - Session Week 4

Fri, 03 Feb 2012 00:00:00 +0000

IPERS and Health Benefit Reform for Legislators

Two bills have been introduced in the House that would place limitations on the retirement and health benefits Iowa Legislators currently receive. HF 2117, if enacted, would no longer allow Legislators’ per diem allowances to be considered as wages when calculating pension benefits under the Iowa Public Employees Retirement System (IPERS). HF 2118 would do the same as HF 2117, but would also require legislators to contribute at least $100 a month towards their health insurance premium if they are enrolled in a state plan.

House Bill to Increase Gas Tax

HSB 547, the House version of a bill to increase the gas tax has been introduced and assigned to sub-committee. The bill would increase the registration fee for new vehicles from 5% to 6% of the vehicle price, add $50 in annual registration fees to hybrid and mixed-fuel vehicles, add $100 in annual registration fees to alternative fuel, fuel cell, and plug-in electric vehicles and increase the gas tax by eight cents per gallon by May 1, 2014.

Governor Announces $50 Million in Iowa DOT Efficiencies

Fri, 27 Jan 2012 00:00:00 +0000

This week Governor Branstad announced $50 million in efficiencies from the Department of Transportation. These efficiencies were originated to help cover the shortfall for road repairs. It is important to note that $33 million of the $50 million in efficiencies will be annual savings and only $17 million will be one time. Iowans for Tax Relief applauds the Governor and the Department of Transportation for working towards these savings, but we are disappointed by legislators that continue to push for a gas tax increase on all Iowans.

ITR Encourages You to Email Your Legislators and Ask Them Not to Raise the Gas Tax.

Fri, 20 Jan 2012 00:00:00 +0000

This legislative session has started with talk of a possible gas tax increase. Currently, there is no bill in the House or Senate that proposes a gas tax increase, but it has been named as a priority by legislators in both chambers.

Iowans for Tax Relief is urging the Iowa Legislature not to raise the gas tax on Iowans at a time when gasoline prices are predicted to spike. ITR believes this is the wrong time to consider an increase when Iowans will already be spending a larger portion of their family budgets on transportation.

ITR Urges Legislators to Oppose Gas Tax Increase

Wed, 18 Jan 2012 15:30:00 +0000

Muscatine, IA. -- Iowans for Tax Relief today urged the Iowa Legislature, “Do not raise the gas tax on Iowans at a time when gasoline prices are predicted to spike.”

Rob Solt, ITR President, said, “ITR supports the Governor and Legislators who plan to ask the Department of Transportation to find efficiencies to help pay for road repair, rather than a blanket gas tax increase that would harm Iowans’ wallets.”

“More research needs to be done before Legislators even bring up the idea of a gas tax increase. Iowans have been told up to 20% of gas tax revenue would come from visitors traveling through Iowa, but we have not found any research on how Iowa’s border communities would be affected by higher gas taxes.

“ITR believes a study of border communities would find that significant numbers of non-Iowans, who come to Iowa weekly to buy gas, groceries, etc, would rethink those trips and stay home if Iowa had a higher gas tax. Before considering any gas tax hike, the Legislature needs to take a hard, close look at the overall consequences.”

Solt added, “Economists are predicting gas prices this summer may be at all-time highs. This is the wrong time to consider an increase when Iowans will already be paying a larger portion of their family budgets for transportation.”

“We encourage the Governor and Legislators to require thorough research on the gas tax with a dynamic model that helps them see clearly all the positives and negatives,” Solt concluded.

--END--

2012 Legislative Session Begins

Fri, 13 Jan 2012 00:00:00 +0000

This week the 2012 Legislative Session of the 84^th General Assembly began. The session started on Monday with Senate and House leaders stating their top priorities. Commercial property tax reform, education reform and job creation were all listed as main concerns from leaders in both the House and Senate. Senate and House leaders also found common ground in hopes for a short productive session.

Meet the ITR Lobbying Team

Mon, 09 Jan 2012 00:00:00 +0000

Iowans for Tax Relief works to limit total government spending and total taxes for the benefit of all the people. Responsible limits on taxes and spending are needed to protect freedom, provide jobs, increase incentives and opportunities, control inflation, reduce interest rates, and achieve a better life for all.

With the start of the 2012 Legislative session, we would like to introduce you to our lobbying team. Click on the link below for photos and contact informaion.

Long, but Lacking . . .

Fri, 01 Jul 2011 00:00:00 +0000

The 2011 Session of the 84^th General Assembly adjourned on Thursday, June 30, 2011, at 3:36 p.m. This was 172 calendar days after the start of the session, and the third longest session in the history of the Iowa General Assembly. While the Legislature averted a disaster by passing a budget a few hours before the start of the new fiscal year, it left much needed work unfinished.

We thank the Legislature and Governor for big steps to clean up Iowa’s financial mess, including the new Taxpayers Trust Fund; holding state general fund spending under $6 billion; and moving toward two-year budgeting. We thank the House of Representatives for passing many more pro-taxpayer bills which were unfortunately killed in the Senate. See information below.

What about Property Tax Reform?

Fri, 24 Jun 2011 00:00:00 +0000

Reports are that progress is being made toward reaching compromises, adopting a budget for fiscal years 2012 and 2013, and finally bringing the 2011 session of the Iowa General Assembly to a close. Nothing like a deadline with dire consequences to focus one’s attention!

However, we are also hearing that the very different versions of property tax reform adopted by the House and Senate have yet to be addressed. While Iowans for Tax Relief supports the Governor’s move to a two-year budget and agrees with the majority in the Iowa House that we must budget to spend no more than we take in, with an adequate “rainy day fund,” our top priority for this session has been to finally, after over twenty years of “study,” adopt meaningful property tax reform.

ITR Urges Strong Limits on Property Taxes

Fri, 17 Jun 2011 11:30:00 +0000

Des Moines, IA. -- Iowans for Tax Relief today “strongly urged the Legislature to listen to the great majority of Iowans who want real property tax relief, and reject the whining of politicians and lobbyists who oppose responsible limits on property taxes.”

Dr. Don Racheter, ITR Government Relations Director, said, “ITR supports the House-passed bill (HF 697) which will protect property taxpayers in three important ways: (1) It will reduce the unfair tax burden on business property and help attract job-creating construction. (2) It will limit the total amount of most city and county property taxes and allow increases only to match inflation, unless the voters approve higher taxes. (3) It will tighten the limit on annual increases of taxable value of Iowa homes and farms, reducing the current 4% limit to 2%.”

“City and county governments should be grateful for these generous limits. They are not asked to take a cut. They can increase their property taxes every year to match the inflation rate (Midwest consumer price index). If even more is needed, the local voters can approve a larger tax increase for up to two years. Local politicians should trust their voters.”

“The Iowa House of Representatives and Governor Branstad are leading our state government to limit spending and taxes, and clean up Iowa’s overspending mess. Iowa families are tightening their belts in hard times, cutting their spending. It’s time for city and county governments to join the rest of Iowa and accept these responsible limits on property taxes.”

Racheter asked, “How many Iowa workers get annual raises to match the rate of inflation? Many Iowa families have taken pay cuts or lost their jobs. And now they hear some politicians and lobbyists complaining their annual property tax increases are too small!”

“HF 697 places a common-sense limit on how fast property taxes can grow. It follows our Founders’ wisdom that constitutional government is limited government.”

Racheter said, “In the Senate Ways and Means Committee’s so-called “Listen and Learn” session on property tax reform, I was not allowed to speak as a taxpayer, citizen, or representative of Iowans for Tax Relief. The speakers were hand-picked tax-eaters who whined about the possibility that their gravy train might be slowed.”

“Senate Democrats would learn a lot more if they would listen to Iowa taxpayers who pay the bills and whose families are doing more with less. Listen to them, not to politicians who want to spend other people’s money.”

--END--

Constitutional Government is Limited Government

Fri, 17 Jun 2011 00:00:00 +0000

City and County Government Officials: Stop Whining!

I attended the so-called “Listen and Learn” session on property tax reform held by the Senate Ways and Means Committee on Tuesday of this week. However, I was not allowed to speak as a taxpayer, citizen, or representative of Iowans for Tax Relief. Nor were any other taxpayers or citizens allowed to speak -- other than those hand-picked by the Ways and Means Committee leaders to mouth the company line. All were tax-eaters who whined about the possibility that their gravy train might be slowed. While the speakers paid lip service to the idea that Iowa needs property tax relief, all were adamant that HF 697 was not the way to proceed. So the “listening” did not produce much “learning”!

Rob Solt is New President of Iowans for Tax Relief

Wed, 08 Jun 2011 12:30:00 +0000

Muscatine, IA. -- David M. Stanley, Chairman and CEO of Iowans for Tax Relief, announced that Robert H. (Rob) Solt is ITR’s new President and Chief Operating Officer, elected today by the Board of Directors.

Solt has served for 20 years in ITR staff and volunteer roles, including Lobbyist, Treasurer, Vice President, and as Vice Chairman until today. He continues as a member of the Board of Directors. He has served for five years as CEO of Pearl Mutual Funds.

Stanley said, "Rob Solt has the experience, leadership, and vision to help Iowans for Tax Relief win our goals of limited government, lower taxes, and reducing government debt and spending. I have worked closely with Rob since he came to Iowans for Tax Relief in 1991 and he has my total trust and confidence."

Stanley, ITR’s founder, added, "Iowans for Tax Relief began in 1978 with 12 members and has grown to 54,900 members, making ITR the largest pro-taxpayer state organization, per capita, in the country. Rob has had a key role in the growing effectiveness of ITR and knows how to win even more victories for Iowa taxpayers in future years."

The ITR Board of Directors also elected Dr. Donald P. Racheter, a 30-year Board member, as the new Vice Chairman. Daniel G. Steele, Vice President, was elected to the Board of Directors.

The Chairman, Vice Chairman, and Directors are unpaid volunteers.

--End--

The Watchdog

Fri, 03 Jun 2011 00:00:00 +0000

Action took place this week which may result in progress toward final adjournment and the adoption of a budget for fiscal years 2012 and 2013. Yes, it looks like Iowa is going back to two-year budgets as Governor Branstad has advocated. Yesterday, House Speaker Kraig Paulsen and Majority Leader Linda Upmeyer, accompanied by Lt. Governor Kim Reynolds and Senate Republican Leader Paul McKinley announced plans for an omnibus budget bill (instead of dealing with about ten separate budget bills as is usually done) which would contain some significant concessions on issues which the Democrats in the Senate have indicated are key sticking points in negotiations to this point in the session. Committee action will take place on Monday and floor debate will begin on Tuesday.

Why Property Tax Reform is Needed Now

Fri, 20 May 2011 00:00:00 +0000

Iowa agricultural property is taxed based on “100% of productivity and net earning capacity value. The assessor considers the productivity and net earning capacity of the property.” [i] Iowa farmers continue to increase their productivity in many ways, including wise management, hard work, new improved seeds, computer- assisted equipment, and better chemical application techniques. Prices of commodities continue to increase due to growing demand in emerging markets. As a result, the property taxes on agricultural land in Iowa have been increasing, and all indications are that these increases will continue in the coming years.

[i] Iowa Department of Revenue, http://www.iowa.gov/tax/educate/78573.html accessed on 19 May 2011.

Contact Your State Senator for Property Tax Reform

Fri, 13 May 2011 00:00:00 +0000

Thanks to your calls and emails in response to our last week’s Tax Action Alert – and the efforts of Governor Branstad, Speaker Paulsen, Majority Leader Upmeyer, the rest of the Republican leadership team, and several allied lobbying groups -- the Property Tax Reform bill (HF 691) was substituted onto SF 522 and passed by a margin of 58-40 in the Iowa House of Representatives on May 10th and messaged back to the Senate.

Please keep up the pressure, this time on your State Senator, to pass this much needed property tax reform now, and not let it die.

Click link below to read complete Watchdog update.

Call Your Representative for Property Tax Reform

Fri, 06 May 2011 00:00:00 +0000

Iowans for Tax Relief is working hard to win more victories for Iowa taxpayers in the closing weeks of this 2011 Legislative Session. As David Stanley said in last week’s Watchdog, our members are our best lobbyists -- so this is a call for each member to step up and let your Representative know that you, your friends, and relatives want them to quit “studying the property tax situation” and take action now, in this session.

Everyone who has studied Iowa’s property taxes for the last twenty years has concluded that reform is necessary! But we never seem to get all the key players to agree on what needs to be done. Right now Legislators are receiving pressure from city and county officials who are afraid any change may result in less money for their continued operations. Now the Representatives need to hear from taxpayers!

Click link below to read the complete Tax Action Alert Watchdog update.

Significant Tax Relief Options Item-Vetoed by Governor Branstad

Thu, 21 Apr 2011 19:17:00 +0000

Iowans for Tax Relief, 2610 Park Avenue, Muscatine, IA 52761

Contact: Katie Koberg, (563) 288-3600 or kkoberg@taxrelief.org

For Immediate Release: April 21, 2011

MUSCATINE, IA—Today Governor Branstad item-vetoed two significant tax relief portions of Senate File 209, the tax and spending compromise bill.

Iowans for Tax Relief President Ed Failor, Jr. issued the following statement:

“It is discouraging to see Governor Branstad’s item- vetoes which remove significant tax relief options in place to help Iowa job creators and Iowa families. A bi-partisan group of Legislators have worked for over six weeks on the compromise bill, and it is built with the best intentions for the taxpayers of Iowa.”

The veto message included the removal of two parts which are important to Iowans.

First, the Governor is discouraging Iowa job creators from further investing in their business. The item-veto of the Bonus Depreciation provision is unfair – Iowa’s small businesses should be encouraged to increase business investment, not be penalized by the Governor. Government needs to get out of the way of Iowa’s businesses, both small and large, and taking away this tax relief provision could end up slowing Iowa job creation.

Second, Governor Branstad took away important tax relief specifically targeted at low-income Iowa families with his veto pen. The Earned Income Tax Credit (EITC) would have helped Iowa working families make ends meet through a tax credit which would pay for important needs, like child care and groceries.

Iowa lawmakers have been working to find common ground on Senate File 209 since March 9, 2011. The majority of the bill which was signed by Governor Branstad was supplemental spending, however, one other key provision which was signed into law was the creation of a Tax Relief Fund (renamed the Taxpayers Trust Fund) which will capture excess state tax collections (up to $60 million) and return it to Iowa taxpayers in the form of tax relief.

“We applaud the work of Iowa lawmakers to find common ground. We look forward to finding additional options to provide tax relief to Iowans,” continued Failor.

The 2011 Legislative Session is scheduled to end by April 29, 2011, which is the scheduled 110^th day of work. If the Legislators are not adjourned by this date, the session will continue and by law they will not be paid for their extra days of work.

-END-