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2013 VETO SUMMARY

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SF 204 – Exclusion from Gambling Facilities (bill vetoed)
SF 396 – Government Efficiency (item veto)
SF 406 – Involuntary Commitment, Division of Mental Health Advocate (item vetoed)
SF 430 – FY14 and FY15 Economic Development Appropriations Bill (item veto)
SF 446 – Health & Human Services Appropriations FY14 (item veto)
SF 447 – Justice System Appropriations Bill (item vetoed)
SF 452 – Standings FY14 (item veto)
HF 569 – Licensure of Substance Abuse Counselors (bill vetoed)
HF 604 – Education Appropriations Bill (item veto)
HF 638 – Infrastructure FY14 (item veto)
HF 648 – Debt, Pensions, One-time Funding (item veto)

 

 

SF 204 – Exclusion from Gambling Facilities
Senate Passage: 46-2, March 19, 2013
House Passage: 78-19, April 8, 2013
Total Dollars Vetoed: $0 (estimated savings $3.5 million)
Bill Vetoed: April 26, 2013

 

Background

SF 204 changes the lifetime-only ban from gambling facilities. A person would have the option to voluntarily ban themselves for five years or for life. If the person chooses a five-year ban, they would have another opportunity to ban themselves for another five years or for life. At the end of the second five-year ban, a person would have another opportunity to ban themselves for life. Iowa is one of two states that mandate a lifetime ban for a person choosing to do a voluntary statewide self-exclusion. SF 204 would allow people to apply for a five-year ban if they had voluntarily banned themselves for life before the enactment of this legislation.

 

Bill Veto — Governor’s Justification

1. Here’s an excerpt from Gov. Branstad’s veto message for SF 204

SF 204 makes it possible for people with gambling addictions who voluntarily banned themselves from gambling to engage in gambling again after five years. The voluntary lifetime ban was instituted in 2004 so that an individual can choose to be banned from all casinos in Iowa for life. In addition, if someone who has voluntarily banned themselves from gaming has gaming winnings, these monies are forfeited to the Iowa Gambling Treatment Program. Treatment experts have found that addictions tend to be life-long, which is why the voluntary lifetime ban serves a valuable public purpose. This voluntary ban option is an important part of Iowa’s laws relating to responsible gaming.”

 

 

SF 396 – Government Efficiency
Senate Passage: 47-0, May 8, 2013
House Passage: 86-11, May 16, 2013
Total Dollars Vetoed:  $0
Item-Vetoed:  June 20, 2013

 

Background

SF 396 includes a number of provisions designed to make government more efficient.

 

Item-Veto — Governor’s Justification

1. Sections 40, 42, 43 – Payroll System. These sections require the Department of Administrative Services to start a RFP process to purchase a new payroll system. 

“From the beginning of my administration, I asked state agencies to work diligently to reduce administrative costs and reduce overhead costs.  At my direction, many efficiency and cost-control measures are already being implemented by the executive branch departments.  My administration is committed to reducing the size and cost of government by 15 percent through efficiencies and new technologies that allow for savings.  I believe a mandate to purchase a payroll system at this time is inappropriate.  The department may review the payroll system and determine the best way to proceed while protecting and serving the taxpayers of Iowa. ” 

 

2. Section 41 – Bumping Rights. This section prohibits non-contract employees from bumping contract employees in case of a reduction in force. 

 

“This item prohibits non-contract employees from bumping contract employees in the case of a reduction in force.  In order to achieve increased efficiencies within state government, my administration is committed to finding areas where we can consolidate duplicative efforts.  However, in doing so we must strive to ensure that various classifications of employees are treated fairly.  The executive branch will continue to implement policies that will reduce the size and cost of government by 15 percent and this provision would be an impediment in achieving this goal. ”   

 

 

 

SF 406 – Involuntary Commitments & State Division of Mental Health Advocate
Senate Passage: 47-0, May 16, 2013
House Passage: 88-8, May 15, 2013
Total Dollars Vetoed: $0
Item-Vetoed: June 20, 2013

 

Background:

Chapter 229 of the Iowa Code provides for the commitment of persons with mental illness. Those who are involuntarily committed are assigned an advocate who is to follow them through the mental health system. Currently, counties hire and pay the advocates. Under this system, there is little consistency in qualifications, training and compensation for the advocates, nor are they accountable to anyone. As part of the mental health redesign, a Judicial Branch and Department of Human Services (DHS) work group studied the involuntary commitment process. This bill is a result of the recommendations that work group.

Division I of the bill establishes an Office of Mental Health Advocate in the Department of Inspections & Appeals (DIA) and specifies the duties of the director of the Division of Mental Health Advocate. (Item vetoed)

Division II of the bill provides for a transition period of one year for DIA to establish the Division of Mental Health Advocate. (Item vetoed)

Division III of the bill sunsets the involuntary commitment process set out in Chapter 222 for persons with an intellectual disability per the work group recommendation.

Division IV of the bill consolidates the application process for involuntary commitment, provides for a pre-application screening process and requires DHS to study a hospital bed tracking system.

 

Item-Veto – Governor’s Justification

1. Although the bill was not an appropriations bill, the Governor item vetoed Divisions I and II of the bill.  These divisions established the statewide Office of Mental Health Advocate and outlined how the Office would function. The Governor maintained Division III of the bill. This is the Governor’s justification for the item veto:

 

“Currently these advocates work at the county level. In the newly designed mental health and disability services system, it is best for these positions to remain at the local level where services will be managed and delivered regionally.”

 

  

SF 430 – FY14 and FY15 Economic Development Appropriations Bill
Senate Passage: 27-18, May 15, 2013
House Passage: 89-8, May 15, 2013
Total Dollars Vetoed: $0
Item-Vetoed: June 20, 2013

 

Background

SF 430 appropriates a total of $41.1 million from the General Fund for FY14. This is an increase of $3.4 million. The bill also appropriates $6.3 million from other funds (no change compared to FY13). FY15 is funded at 50 percent.

 

Item-Veto — Governor’s Justification

1. The Governor vetoed carry-forward language for General Fund appropriations to the Department of Cultural Affairs (DCA) for FY13, FY14 and FY15. In addition, he vetoed the retro applicability section applying to FY13 carry-forward since he vetoed the carry-forward in FY13. The carry-forward would have allowed DCA to use unspent General Fund dollars at the end of the fiscal year to spend in the next fiscal year. For example, the carry-forward for FY13 would have allowed money that was appropriated to the Arts Division for the film office to be spent in FY14 since the film office got a late start in FY13.

 

“I am unable to approve the item designated as Section 1, subsection 2. This item creates carry-forward language which is unnecessary for the Department of Cultural Affairs for fiscal year 2014. The carry-forward language does not advance my goals of returning predictability and sustainability to government budgeting.”

  

 

SF 446 – Health & Human Services Appropriations FY14
Senate Passage: 26-24, May 22, 2013
House Passage: 80-17, May 23, 2013
Total Dollars Vetoed:  $9,194,117
Item-Vetoed: June 20, 2013

 

Background

SF 446 appropriates $1.72 billion from the General Fund for FY14 ($52.3 million or 3.1 percent increase compared to FY 2013) to support the Department on Aging, Department of Public Health, Department of Veterans Affairs, Iowa Veterans Home, and the Department of Human Services. FY 2015 appropriations are provided for most programs at 50 percent of the FY 2014 level. However, FY 2015 Medicaid is appropriated at the FY 2014 level. SF 446 also appropriates $61 million to Medicaid and IowaCare, $955,000 to the Adoption Subsidy Program, and $2 million for nursing facilities as supplemental General Fund appropriations for FY 2013.

 

Item-Veto — Governor’s Justification

1. $200,000 for two additional long-term care resident advocates in the Office of the Long-Term Care Resident Advocate (Department on Aging) (Section 2, Subsection 1).

 

“As of today, there are eight long-term care resident’s advocates, serving the needs of Iowa’s vulnerable seniors. Currently, the Department on Aging is in the process of an aging system redesign and is thoroughly reviewing state services. It is important to ensure that all new positions are consistent with the redesign so that Iowa can best serve the needs of aging Iowans.”

 

2. $28,644 for the Emergency Medical Services (EMS) Task Force (Section 3, Subsection 8, lettered paragraph e).

 

“Due to the fact that the new task force is not created, the money is not needed. Iowa is fortunate to have many dedicated professional and volunteer emergency medical services personnel. These Iowans give their time to provide critical care in emergency situations as first responders. The Iowa Department of Public Health (DPH) helps provide oversight, assistance and acts as regulatory body for the profession to ensure Iowans statewide get a high level of care. The Department of Public Health will continue to work to improve our system. An additional task force, growing the size, scope and cost of government is not an effective use of taxpayer dollars at this time.”

 

3. Requirement of the Iowa Veterans Home to submit a monthly expenditure report to the Legislative Services Agency (LSA) (Section 4, Subsection 2, lettered paragraph 2).

 

“This item creates a redundant, overly burdensome mandate requiring the Iowa Veterans’ Home to make expenditure reports monthly to the LSA for FY 2014. I strongly support transparency efforts that publicly disclose how departments spend their resources and this information is already available within the State’s accounting and budgeting systems.”

 

4. Requirement that the Department of Human Services (DHS) submit quarterly reports to the Legislature on Medicaid cost containment strategies implementation (Section 12, Subsection 19, lettered paragraph e).

 

“The DHS, Department of Management (DOM), and LSA meet on a monthly basis to determine projections for the Medical Assistance appropriation. Information relating to cost containment strategies is shared during these meetings. While I strongly support transparency efforts that publicly disclose how departments spend their resources, this information is already available within the State’s accounting and budgeting systems.”

 

5. $8,715,473 to “buy-down” Medicaid home and community based waiver waiting lists (Section 12, Subsection 20).

 

“Past history demonstrates funding specifically earmarked to buy down the waiting list is not a successful long-term solution. Additionally, the Iowa Health and Wellness Plan (IHAWP) will be implemented January 1, 2014. The IHAWP will provide access for Iowans currently on the waiting list to high quality health care, including home and community based services.”

 

6. Language on DHS Field Operations that makes the appropriation conditional on DHS filling open field operations positions, alleviating hiring approval by the DOM and monthly reporting to the Legislature regarding the status of open field operations positions (Section 26, Subsection 1).

 

“This item prohibits external approvals that are designed to ensure budget integrity, stability and predictability. Management must have the ability and flexibility to allocate resources where they are most effective and needed. In addition, this item creates a redundant, overly burdensome mandate requiring the Department to report to the chairpersons and ranking members of the appropriations committees on a monthly basis. While I strongly support transparency efforts that publicly disclose how departments spend their resources, this information is already available within the State’s accounting and budgeting systems.”

 

7. Requirement that DHS submit monthly expenditure reports on department operations and programs to the Legislative Services Agency (Section 27, Subsection 2).

 

“While I strongly support transparency efforts that publicly disclose how departments spend their resources, this information is already available within the State’s accounting and budgeting systems.”

 

8. $250,000 for two positions within the newly created Division of Mental Health Advocate at the Department of Inspections & Appeals (DIA) (Division created in SF 406) (Section 27, Subsection 5).

 

“Currently, these advocates work at the county level. In the newly redesigned mental health and disabilities service (MHDS) system, it is best for these positions to remain at the local level where the services will be managed and delivered regionally. I look forward to continuing work with the General Assembly to implement the MHDS redesign in a manner that best serves Iowans and serves our goals for an efficient and effective state government. The language creating a new mental health advocate division was an item that was disapproved in SF 406.”

 

9. Language directing that provider rate increases are to be used to increase compensation and costs of employment for non-administrative staff (Section 29, Subsection 8).

 

“The DHS not have the ability to monitor providers to determine compliance. In addition, it is no appropriate to direct provider increases in this manner. Providers are best equipped to manage their own budgets.”

 

10. Language directing fees imposed/collected by the Department on Aging via penalties to the Office of the Long Term Care Resident’s Advocate rather than the General Fund (Section 49).

 

“I oppose this change which uses fines to automatically fund Office of the Long-Term Care Resident’s Advocate because it sets a dangerous precedent and creates a conflict of interest.”

 

11. Creation of the EMS Task Force (Division X)

 

“Iowa is fortunate to have many dedicated professional and volunteer emergency medical services personnel. These Iowans give their time to provide critical care in emergency situations as first responders. The Iowa Department of Public Health (DPH) helps provide oversight, assistance and acts as regulatory body for the profession to ensure Iowans statewide get a high level of care. The Department of Public Health will continue to work to improve our system. An additional task force, growing the size, scope and cost of government is not an effective use of taxpayer dollars at this time.”

 

12. Carry-forward/non-reversion language applied to the newly created Autism Support Fund (Section 83, Paragraph 5, Subparagraph b).

 

“It creates new, permanent carryforward language which does not work to advance my goal of predictability and sustainability for government budgeting.”

 

13. Authority for DHS to enter into a sole-source contract to administer the Autism Support Program (Section 84, Paragraph 2).

 

“It is important to allow for a full review process and thoroughly plan new initiatives. In addition, competitively bid contracts ensure the best value for taxpayer dollars and that more people are served when this value is maximized.”

 

14. Creation of a study committee concerning the placement of aggressive or psychotic persons in long-term care facilities (Division XIX).

 

“My administration currently has a work group that is working together to propose constructive recommendations. The work group is open to public input. An additional committee is not needed at this time.”

 

15. Requirement that the telepharmacy pilots submit a report outlining suggested changes in law or rule necessary to implement telepharmacy statewide and identifying approval or denial of any projects (Section 128).

 

“This report is not necessary due to the fact that this information is available upon request by the General Assembly.”

 

16. The remaining six line-item vetoes apply conforming changes to FY 2015 appropriations (see numbers 1, 3, 4, 6, 7, and 8 above).

 

  

SF 447 – Justice System Appropriations Bill
Senate Passage: 27-18, May 15, 2013
House Passage: 94-3, May 15, 2013
Total Dollars Vetoed: $950,000
Item-Vetoed: June 20, 2013

 

Background:

SF 447 appropriates a total of $547.3 million from the General Fund for FY14 to the departments of Justice, Corrections, Inspections & Appeals, Public Defense, Human Rights and Public Safety, the Iowa Law Enforcement Academy, Board of Parole and Civil Rights Commission.

 

Item-Veto – Governor’s Justification:

1. Language that prohibited the office of the Attorney General (AG) from requiring a provider to close a shelter as a condition of receiving a victim assistance grant was item vetoed.

 

“This item unduly restricts the Department of Justice from closing facilities and transitioning to new, more effective community-based services for victims. The program must have the flexibility to provide services to victims in the most efficient and effective way possible.”

 

2. Non-reversion language that allowed the AG to retain victim assistance grant monies that were not expended by the end of the fiscal year (FY14 and FY15).

 

“This item creates carry-forward language which is unnecessary for the Department of Justice.  The carry-forward language does not advance my goals of returning predictability and sustainability to government budgeting.”

 

3. The requirement that the Department of Corrections submit a report to the Legislature regarding plans for the prison at Fort Madison (FY14 and FY15).

 

“Although I support transparency efforts, this requirement is redundant as this report was submitted on January 15, 2013, and is already available to the legislature.”

 

4. The requirement that the Department of Corrections not enter into a new contract exceeding $100,000 for the privatization of services performed by the Department using state employees, without first consulting with the affected state employee organization and providing notification to the Justice Budget co-chairs and ranking members.

 

“This item would prevent the department from obtaining services for inmates in an effective and efficient manner. This notification unnecessarily impedes on the department’s management authority.”

 

5. Public Safety Training and Facilities Task Force to look into the creation of a consolidated public safety training facility.

 

“The Department of Public Safety and the Iowa Law Enforcement Academy will continue to work to improve our system. It is my administration’s goal to reduce the size and cost of government by 15% and as such, I believe this issue can be reviewed without growing the size and cost of government.”

 

6. Language that transferred any remaining Cigarette Fire Safety Standard Fund monies to the Attorney General for victim assistance grants. It was estimated to be about $150,000.

 

“This item creates carry-forward language from the balance of the Cigarette Fire Safety Standard Fund to the Victim Assistance Grants program. The carry-forward language does not advance my goals of returning predictability and sustainability to government budgeting.”

 

7. An increase in the standing limited appropriation from $1.2 to $2 million to the AG from the Consumer Education and Litigation Fund. The money appropriated is used for education and enforcement of consumer protection laws. This is not General Fund Money, but is money won by the AG in consumer fraud litigation. 

 

“Currently, any increase over the current standing limited appropriation is reviewed by the legislature and additional funds are provided annually based on need. Before this automatic increase is made permanent, further review by the legislature needs to be conducted.”

 

  

SF 452 – Standings FY14
Senate Passage: 26-24, May 22, 2013
House Passage: 96-1, May 22, 2013
Total Dollars Vetoed:  $200,000
Item-Vetoed: June 20, 2013

 

Background

SF 452 appropriates $2.988 billion in FY14 ($23 million increase) and is referred to as the Standings bill. The majority of “Standing” appropriations are fully funded in FY15. 

 

Item-Veto — Governor’s Justification

1. Chronic Care Consortium – $200,000

 

“The strategic planning work is duplicative of efforts already taking place within Medicaid.  Additionally, the revenue from the Clinical Health Coach training program will eventually allow the Iowa Chronic Care Consortium Board to become a self-sustaining enterprise.” 

 

2. Sections 32-34. This language requires the Department of Public Safety and Department of Corrections to use funds to retain non-supervisory personnel and not use funds for administration. The Governor states that his vetoes do not affect the appropriations. 

 

“This language restricts the Department from fulfilling its mission.  It is not appropriate to direct departments to treat employees differently solely based on an employee’s classification.  Additionally, departments are best equipped to manage their own budgets.” 

 

3. Division XI – Historic Preservation and Cultural & Entertainment District tax credits. This language raised the cap for the Historic Tax Credits to $55 million in FY15 for three years and then lowered the cap to $50 million.  There is no fiscal impact in FY14.

 

“Currently, there is an Executive Order 80 Stakeholder group reviewing this tax credit program.  It is my plan to approach Historical Preservation tax credits in a comprehensive and thoughtful manner.  As such, I look forward to continuing to work with members of the House and Senate as this program is reviewed.” 

 

4. Division XXI – General and Special Education, Private Agency Residential Services. This language states that if a private agency contracted with a school district to provide education services on or before FY11 for services in FY12 and FY13, then the facility can charge the school for the costs of this program. The language sets out what can be included in the costs. The division also requested a legislative interim study. 

 

“This item would legalize what are currently non-permissive expenditures for educational funding to include a long list of expenditures that are non-educational, including expenditures related to administration, facilities, and mental health costs.  This would cause an expansion of allowable expenditures and many of these facilities were complying with current law and therefore not billing for these expenses; therefore, the State would see an increase in spending as a result of these provisions.  Due to the fact many school districts already operate at a deficit related to education expenditures, this increase would be directly passed on to local property taxes.”

 

5. Section 182 – Federal Funds. This language requires the State to cover any reduction of funds for counties, if the federal government fails to live up to funding promises. 

 

“The federal government has not passed a budget in more than four years and has amassed more than $16 trillion in debt.  I believe the federal financial picture is unsustainable in the long-term, and, therefore, obligating State taxpayer funds in such an unpredictable manner is not in the best interest of hardworking Iowa taxpayers.”

 

 

HF 569 – Licensure of Substance Abuse Counselors
House Passage: 95-0, March 7, 2013
Senate Passage: 39-11, April 9, 2013
Total Dollars Vetoed: $0
Bill Vetoed: April 26, 2013

 

Background

HF 569 established a state licensure of substance abuse and addictive disorders counselors under the Board of Behavioral Science. The Board of Behavioral Science currently licenses Mental Health Counselors and Marital and Family Therapists. New licensure requirements were to be implemented by January 1, 2015.

 

Bill Veto — Governor’s Justification

1. The Governor stated that this legislation needlessly expands the size and cost of government. Here is a summary of his veto justification: 

 

• The Board of Behavioral Science would have to increase fees on hardworking Iowans to pay for the increased expenses and hire additional staff due to an anticipated doubling of the number of active licenses.

 

• Substance abuse and addictive disorder counselors can be certified by the Iowa Board of Certification, which does a good job providing standards and certification.

 

• There is no need for an additional layer of government regulation and licensure.

 

• Many of these certified professionals work in licensed facilities or under the supervision of others with licenses.

 

• As the field grows to meet demand, it is in the best interests of Iowans to ensure that no artificial barriers to entry are created to keep people from the field. Often, counselors decide to enter the field after successfully winning the battle with their own addiction or abuse issues.

 

• We want to ensure that qualified people can continue to enter the profession. The legislation requires a bachelor’s or master’s degree. However, nearly one out of four people working in this field today in Iowa does not have such a degree but possesses relevant experience equal to the requirements of the field. Although this legislation grandfathers these people in for now, future Iowans would not have the same path or opportunity to enter the field.

 

• According to License to Work, a study by the Institute for Justice, in the 1950s only one in 20 individuals needed the government’s permission to pursue their chosen profession. Today, the number is almost one in three.

 

• Regulations and licenses should only be mandated when necessary to serve public health or safety. An occupational license is governmental permission to work in a particular field. In contrast, certification serves to provide a professional credentialing process for treatment and prevention providers.

 

• One of my goals is to grow jobs by eliminating impediments to economic growth imposed by burdensome administrative rules and regulations. New policies that encourage a job-friendly environment can take Iowa a significant way forward in our effort to compete for new jobs, but much of that work can be undone by overregulation.

 

• Given that the certification process for substance abuse and addictive disorder counseling and prevention professionals is well-functioning and serves the interests of protecting health and public safety, there is no need to add an additional mandated layer of regulation and four new licenses.

 

 

HF 604 – Education Appropriations Bill
House Passage: 52-45, March 20, 2013
Senate Passage: 26-22, April 18, 2013
Conf Committee: May 16, 2013: Senate 27-21; House 87-10
Total Dollars Vetoed: $0
Item-Vetoed: June 20, 2013

 

Background

HF 604, as proposed by the Conference Committee, contains funding for Department for the Blind, College Student Aid Commission, Department of Education, Board of Regents, and a Skilled Workforce Training and Job Creation Fund.

 

Item Veto — Governor’s Justification

1. Governor Branstad vetoed half a paragraph of language that described applicant requirements for a refugee assistance pilot project. This pilot would supplement support services for international refugees to improve learning, literacy and assimilation in Polk County. The bill language provided for an RFP process through the Department of Human Services.

This portion of the paragraph was vetoed: A qualified applicant was defined by a number of specifics, including an organization with more than 100 interpreters fluent in more than 50 languages to help medical clinics and government agencies and others to overcome language barriers of new Iowans.

Since the Governor didn’t veto the whole paragraph, contrary to his veto message below, the funds will still be transferred to DHS for an RFP process for this general purpose.

 

“I am unable to approve HF 604, Section 30, subsection 1, lettered paragraph 4. This item allocates funds for an organization to provide resources and support services for international refugees.  This potentially creates a sole-source appropriation.  It is important for the State to receive competitive requests for proposals from qualified organizations in order to protect Iowa taxpayers’ interests and best serves the needs of refugees.” 

 

  

HF 638 – Infrastructure FY14
House Passage: 91-2, May 17, 2013
Senate Passage: 28-17, May 17, 2013
Total Dollars Vetoed: $3.9 million
Item-Vetoed: June 20, 2013

 

Background

HF 638 is the Rebuild Iowa Infrastructure Fund and the Technology Fund budget bill. HF 638 appropriates a total of $77.4 million in FY14, with $68.5 million from the Infrastructure Fund and $8.9 million from the Technology Fund.

 

Item-Veto — Governor’s Justification

1. Wallace Building – $2.6 million for repairs and moving costs

 

“I made it clear that my top priority for the State Capitol Complex is the repair and remodeling of the State Historical Building.  The $2.6 million shall revert to the Rebuild Iowa Infrastructure Fund.  Infrastructure investments must be made pursuant to a long-term strategic plan. ” 

 

2. River Enhancement Community Attraction & Tourism Program (RECAT) – $1 million

 

“The Iowa Economic Development Authority (IEDA) did not request this item and it was not a part of the budget recommendation I submitted to the General Assembly.” 

 

3. Nursing facilities renovation and construction – $300,000

 

“Currently, the State of Iowa reimburses nursing facilities for construction and renovation through the current Medicaid cost reporting and reimbursement rates.  The Dept. of Human Services did not request this item.  Additionally, nursing facilities are receiving a $15,268,148 provider rate increase based on the cost reports submitted to the State, $1 million more than I recommended as part of the budget recommendation I submitted to the General Assembly.” 

 

4. Iowa Economic Development Authority – Community Attraction & Tourism (CAT) Program. This language requires the IEDA to conduct a study to determine the effectiveness of giving priority to projects that attract the highest number of visitors and highest match levels from the CAT fund. 

 

“The CAT program has been an important economic development tool for smaller communities throughout our state.  This provision suggests a shift in the program’s policy focus which I cannot support.”

 

  

 

HF 648 – Debt, Pensions, One-time Funding
Senate Passage: 28-22, May 22, 2013
House Passage: 97-0, May 23, 2013
Total Dollars Vetoed:  $134,850,000
Item-Vetoed:  June 20, 2013

 

Background

HF 648 appropriated $332,956,940 in FY13 supplemental funds to retire debt, make payments to two of Iowa’s public pension systems and invest in numerous one-time projects. 

 

Veto — Governor’s Justification

1. Pensions – $110.2 million
• Judicial Pensions – $18.9 million
• Peace Officer Retirement Funds (PORS) – $91.3 million
• Restored $5 million funding in FY14 for PORS

 

“While these retirement plans have funding shortfalls, trying to make up for these shortfalls should not be borne only by the taxpayers of the State.  Iowa needs a comprehensive, long-term, sustainable plan for making up the shortfall in these retirement funds. The plan should include both the State and the participants of the plan as financial partners in bringing these funds to financial balance.”

 

2. Community Colleges Fire Safety/Deferred Maintenance – $1 million

 

“I did not include this spending in my budget recommendation. Community colleges have received other increases and additional funding for the next fiscal year in other areas beyond my recommendation.

 

3. Public Safety Training & Facilities Task Force – $50,000

 

“The funding is no longer necessary due to the fact that the new task force was disapproved in SF 447.”

 

4. Regional Emergency Response Training Centers – $150,000

 

“Providing funding to entities without guidance or oversight is not an efficient use of taxpayer funds.”

 

5. Regents – $7 million
• U of I planning for Pharmacy Building – $3 million (anticipated cost of project is $67.7 million)
• ISU planning for Biosciences Building – $2.5 million (anticipated cost of project is $42.5 million)
• UNI planning for Schindler Education Center renovation – $1.5 million (anticipated cost of project is $31.6 million)

 

“Until strategic plans and sustainable financing are secure, it is not appropriate to spend taxpayer money designing and planning the progress.  The Iowa Board of Regents should continue to engage in a long-term strategic planning process to review infrastructure needs in light of changes in educational technology.  Technology and innovation should make it feasible to deliver high-quality education to students at a lower tuition and infrastructure costs, as delivery of educational services will require less physical presence on college campuses in the future.” 

 

6. Dubuque Air Traffic Control Tower – $150,000

 

“Earlier this year, concerns existed that federal sequestration of funds could withhold funds and affect operation of this control tower.  However, federal funding was restored.  The state funds are no longer needed.”

 

7. Iowa Workforce Development, Energy Sector Worker Grants (I-Green) – $300,000

 

“While I support renewable energy and the job opportunities associated with it, this spending provides state taxpayer dollars for a program pursuant to a federal grant with no state guidance or oversight.  This is not the best use of state taxpayer funds.  We have already provided $15.8 million in FY14 for workforce training through the Iowa Skilled Worker and Job Creation Fund, an increase of $7.8 million over FY13.

 

8. Department of Human Services, Mental Health Risk Pool – $13 million

 

“Under the new Iowa Health and Wellness Plan, Iowans will have access to high quality mental health services.  These services will be fully funded by federal dollars which greatly reduces the demand on county mental health funds. Counties are already receiving additional funds aiding the redesign of the mental health system, including $11,628,317 in transition funds and $29,820,478 in equalization funding, as well as $110,656,258 to be collected statewide in property taxes to support mental health services.  The additional risk pool funding is not necessary at this time.”


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