Governor Terry Branstad and Iowa lawmakers will have $6.25 billion in state revenue to work with for the Fiscal Year 2013 budget, and state law allows them to spend up to 99 percent of that amount.

That's $251.3 million, or 4.2 percent, more than what's available in the current fiscal year, but only a slight uptick from previous projections.

"Very little has changed in the national or the Iowa economy" since October, said Holly Lyons, director of the fiscal services division of the Legislative Services Agency - the nonpartisan support arm of the legislature.

Iowa business groups, undeterred by the lack of success this year in getting state lawmakers to lower property taxes, will make the issue a top priority once again in the 2012 legislative session.

The Iowa Chamber Alliance, a nonpartisan coalition representing 16 chambers of commerce and economic-development groups statewide, on November 30 released its 2012 legislative priorities. Property-tax relief topped the list.

"The table is set for a substantive dialogue," said John Stineman, executive director of the Iowa Chamber Alliance. "All the right people are talking, and they're talking about the right things. We just have to make sure that at the end of the day, they can reach an agreement."

In the nation, Iowa has the second-highest urban commercial property taxes and rural commercial property taxes, according to the National Taxpayers Conference. Its 50-state property-tax study is often cited by Governor Terry Branstad.

Former U.S. House Speaker Newt Gingrich was the only presidential candidate to receive straight "A"s in a report card on agricultural issues released November 30 by the Iowa Corn Growers Association.

While other GOP presidential candidates have called for phasing out federal energy tax credits, including those for ethanol, Gingrich has voiced his support for the corn-based fuel additive.

A law aimed at slashing the number of supervisors overseeing the work of Iowa state employees has never been fully implemented.

Lawmakers learned November 16 that Senate File 2088, the government reorganization bill signed into law in 2010, has languished because of a lack of feedback.

The law was designed to save the state money by finding efficiencies in government. It called for a "span of control," with a goal of one supervisor for every 15 workers.

But Jeff Panknen, chief operating officer for the Iowa Department of Administrative Services' Human Resources Enterprise, on November 16 told a panel of lawmakers that the Iowa Department of Management never gave feedback on a draft policy to implement the law in April 2010, so nothing was formalized.

Four Republican presidential candidates called Tuesday for phasing out federal energy tax credits, including those for wind energy and ethanol, the corn-based fuel additive.

The calls came despite Iowa being the nation's top producer of corn and (according to the American Wind Energy Association) ranking second in the nation for wind-energy capacity.

"I believe we have to get rid of all tax incentives for all energy," said former Pennsylvania U.S. Senator Rick Santorum. "I think we have to have a level playing field. ... I don't think we should create a heart attack for any industry, but we should phase them out over a period of time."

Five candidates spoke at the manufacturing forum attended by roughly 550 people, televised nationally by PBS, and hosted by the National Association of Manufacturers - the nation's largest industrial trade association, representing 12,000 manufacturing companies in all 50 states.

Iowa Attorney General Tom Miller ranks second in the nation for receiving campaign money from lawyers in the past five years and is among the friendliest to trial lawyers' agenda, according to a report released October 25 by a conservative think tank.

But Miller denounced the report as inaccurate and called it a "cheap shot" from a corporate interest group. He said that campaign-finance data citing $338,223 in contributions in three weeks came from a discredited report, that claims about him keeping a low profile are "ridiculous," and that more-favorable data about Iowa's business climate are "conveniently omitted."

"If the Center for Legal Policy were subject to Iowa's Consumer Fraud Act, we'd probably bust them because of their outright misrepresentations," Miller told IowaPolitics.com. "This report is riddled with misrepresentations and omissions of important facts."

Texas Governor Rick Perry touts his immigration record as a strength, but his opponents for the GOP presidential nomination accuse him of creating a magnet to draw illegal immigrants across the border.

His state's decision to offer in-state tuition rates to undocumented students through the Texas DREAM Act has drawn a barrage of questions from Iowans on recent visits, and a stream of attacks from fellow conservatives.

Former Massachusetts Governor Mitt Romney threw the most recent elbow during a Sioux City stop on October 20, saying he had nixed a similar proposal in the Bay State.

Widespread economic uncertainty and the possibility of another recession led a state panel on October 14 to adjust Iowa's projected state revenue downward slightly for the current fiscal year.

The panel, however, still is predicting slight growth over last year.

The Revenue Estimating Conference (REC), a three-member panel that makes the state's official prediction of state revenue, lowered the Fiscal Year 2012 estimate to $5.97 billion, which is $17.5 million less than the panel's projection in March. The new estimate paces growth at 1.3 percent, or $75.9 million, from last fiscal year.

Governor Terry Branstad on October 3 unveiled a 10-year plan to transform Iowa's education system that would end promoting third-graders who read poorly, change the pay system for teachers, and require students to pass end-of-course exams to graduate.

"Instead of spending all of our time fighting over the issues of the past, we really want to focus on the things that will ... systemically reform and improve Iowa's education system," said Branstad, who added that earlier debates over ending state-funded preschool and zero-percent allowable growth in school funding will not be revisited.

"This is a plan for the next decade," said Iowa Department of Education Director Jason Glass, who noted that the plan is intended to be a comprehensive package and should not be viewed as a list of options to be cherry-picked. "This plan ... should be the blueprint for where our resources now and in the future go into education."

But Democrats were skeptical, especially because Branstad and Glass declined to set a price tag for the proposal and don't plan to do so until shortly before the legislature reconvenes in January.

Republicans on September 22 chose Linn County GOP Co-Chair Cindy Golding as their candidate for the Iowa Senate District 18 special election, which could alter control of the Iowa Senate.

Golding, of rural Cedar Rapids, won with 51.6 percent of the weighted vote cast by the 50 delegates who gathered in the Longbranch Hotel & Convention Center in Cedar Rapids.

She defeated former U.S. Attorney Matt Dummermuth of Robins, who placed second with 28.1 percent of the vote, and Marion businesswoman Mary Rathje, who received 20.2 percent of the vote. Governor Terry Branstad encouraged Rathje to run, gubernatorial spokesperson Tim Albrecht confirmed September 23.

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