United Group Insurance

Iowa GOP lawmakers call for cuts in state spending

News

April 5th, 2017 by Ric Hanson

DES MOINES, Iowa (AP) — Republicans with majorities in the Iowa Legislature have released a general blueprint for the next state budget that slashes overall government spending. GOP leaders from both chambers announced a spending plan Wednesday totaling about $7.2 billion for the budget year that takes effect in July. That’s about $14 million less than the current budget year.

David Roederer, a chief budget official for Gov. Terry Branstad, says such reduced spending is rare. It’s also unclear which areas of state government could be cut. Lawmakers this session reduced funding and dipped into cash reserves to plug shortfalls amid declining revenue. Republicans say lawmakers must make tough decisions to responsibly balance the budget.

The governor’s office agrees with the spending plan, an indication GOP lawmakers could approve a budget and adjourn within weeks.