(DES MOINES) - Gov. Terry E. Branstad today took action on all remaining legislation following the conclusion of the 2014 legislative session.
Branstad signed the following bills into law:
House Files
House File 2444: an Act relating to the administration of the tax and related laws of the Department of Revenue, including powers and duties of the director of administration of the inheritance tax, motor fuel and special fuel taxes, and including effective date and retroactive applicability provisions.
House File 2448: an Act relating to the administration of programs by the Economic Development Authority by modifying the high quality jobs program, creating a workforce housing tax incentives program and making penalties applicable, and repealing the enterprise zone program, and including effective date and retroactive and other applicability provisions.
House File 2446: an Act exempting from the sales tax the sales price of diesel fuel trailer or seed tender used primarily in agricultural production.
House File 2466: an Act relating to the assessment of certain housing rented or leased to low-income individuals and families and including applicability provisions.
House File 2449: an Act relating to appropriations to the Judicial Branch.
Senate Files:
Senate File 2355: an Act relating to matters under the purview of the Department of Transportation, establishing a fee, and including effective date provisions.
Senate File 2359: an Act relating to the administration of certain economic development programs by the Economic Development Authority and including effective date and retroactive applicability provisions.
Senate File 2360: an Act creating the Medical Cannabidiol Act and providing penalties.
Senate File 2362: an Act relating to pari-mutuel racetracks, including by providing for live dog racing at pari-mutuel dog racetracks, providing for alternative licensure for dog racetracks, and establishing fees, and including effective date provisions.
Senate File 2364: an Act relating to state regulatory matters by exempting from sales tax the furnishing of certain environmental testing services, modifying the registration and regulation of motorsports recreational vehicles, recreational vehicle operators, and recreational vehicle cargo, and including fees, penalties, and effective date provisions.
Senate File 2347: an Act relating to the funding of, the operation of, and appropriation of moneys to the College Student Aid Commission, the Department for the Blind, the Department of Education, and the State Board of Regents, and providing for related matters.
Senate File 2130: an Act relating to and making transportation and other infrastructure-related appropriations to the Department of Transportation, including allocation and use of moneys from the road use tax fund and the primary road fund, and including effective date provisions.
Senate File 2297: an Act relating to the criminal transmission of a contagious or infectious disease, providing penalties, and including effective date provision.
Senate File 2337: an Act relating to the child and dependent care credit available against the individual income tax, and including effective date and applicability provisions.
Senate File 2340: an Act modifying provisions applicable to the solar energy system tax credit, and including date and retroactive applicability provisions.
Senate File 2343: an Act relating to qualification requirements for the renewable energy tax credit.
Senate File 2342: an Act relating to and making appropriations to certain state departments, agencies, funds, and certain other entities providing for regulatory authority, and other properly related matters, including penalties, and including effective date provisions.
The governor exercised his item-veto authority on the following bills:
House File 2463: an Act relating to appropriations for health and human services and veterans and including other related provisions and appropriations, extending the duration of county mental health and disabilities services fund per capita levy provisions, and including effective date and retroactive and other applicability date provisions. Read item-veto message.
House File 2473: an Act relating to state and local finances by making appropriations, providing for fees, providing for legal responsibilities, and providing for regulatory requirements, taxation, and other properly related matters, and including penalties and effective date and retroactive applicability provisions. Read item-veto message.
House File 2450: an Act relating to appropriations to the justice system and including effective date provisions. Read item-veto message.
House File 2458: an Act relating to and making appropriations involving state government entities involved with agriculture, natural resources, and environmental protection, providing for taxable property, making related statutory changes, and including effective date and retroactive applicability provisions. Read item-veto message.
Senate File 2349: an Act relating to and making appropriations to state departments and agencies from the Rebuild Iowa Infrastructure Fund, the Technology Reinvestment Fund, and the Revenue Bonds Capitals II Fund, and providing for relating matters, and including effective date provisions. Read item-veto message.
The governor exercised his veto authority on the following two bills:
House File 2456: an Act relating to the approval and imposition of the facilities property tax levy and the equipment and program sharing property tax levy for a merged area and including effective date and applicability provisions. Read the veto message here or below:
May 30, 2014
The Honorable Matt Schultz
Secretary of State of Iowa
State Capitol
Des Moines, Iowa 50319
Dear Mr. Secretary:
House File 2456, an Act relating to the approval and imposition of the facilities property tax levy and the equipment replacement and program sharing property tax levy for a merged area and including effective date and applicability provisions is hereby disapproved and transmitted to you in accordance with Amendment IV of the Amendments of 1968 to the Constitution of the State of Iowa.
House File 2456 is hereby disapproved on this date.
HF 2456 gives community college boards authority to continue the Property Tax Facility Levy and the Property Tax Equipment Sharing Levy for up to ten years without voter approval, provided voters have passed the levies in the two previous 10-year cycles. The two levies combined cost a maximum of approximately 27 cents per $1,000 of valuation.
I am unable to approve House File 2456 for the following reasons:
House File 2456 takes away decision-making power from the voters for property tax increases. Estimates reveal that the amount of property tax dollars at issue are $9,200,000 in FY 2015, $11,600,000 in FY 2016, $12,900,000 in FY 2017, $15,100,000 in FY 2018 and $17,800,000 in FY 2019. If this bill was allowed to become law, the voters would not be allowed to vote on these property taxes; instead they would be taxed by resolution of a community college board.
Voters should have the power to approve or disapprove property tax increases or continuing additional levies. When voters get to decide, it helps to hold everyone accountable. Typically, when these measures are on the ballot, they receive voter approval. Voters should have the opportunity to decide this important property tax issue. Decision-making power in the hands of the taxpayers helps voters, communities and community colleges to work together to best serve the needs of the community.
For the above reasons, I respectfully disapprove of House File 2456, in its entirety, in accordance with Amendment IV of the Amendments of 1968 to the Constitution of the State of Iowa.
Sincerely,
TERRY E. BRANSTAD, Governor
Senate File 2363: an Act relating to state and local finances by making transfers and appropriations, providing for properly related matters, and including effective date and applicability provisions. Read the veto message here or below:
May 30, 2014
The Honorable Matt Schultz
Secretary of State of Iowa
State Capitol
Des Moines, Iowa 50319
Dear Mr. Secretary:
Senate File 2363, relating to state and local finances by making transfers and appropriations, providing for properly related matters, and including effective date and applicability provisions, is hereby disapproved and transmitted to you in accordance with Amendment IV of the Amendments of 1968 to the Constitution of the State of Iowa.
Senate File 2363 is hereby disapproved on this date.
I am unable to approve Senate File 2363 for the following reasons:
Senate File 2363 attempts to use one-time dollars to pay for special projects and pay down bonds. In total, it contains nearly $140 million dollars in one-time spending.
Currently, the State of Iowa has a healthy ending balance. However, the most recent state revenue projection, which occurred since the legislature adjourned, shows significant decline in projected revenues. This information was not available to the legislature during the time this legislation was approved. With this new information, it is very important we continue to be prudent with taxpayer dollars.
When I took office in 2011, I proposed a two year budget with a five year projection. My budget is fiscally sound, predictable and sustainable for the long term. Long term budgeting isn't easy and requires very difficult decisions to align projected spending with revenue.
In 2013, the legislature and I made multi-year commitments with the $4.4 billion property tax cut and education reform that included investing in our teachers and students. These were historic commitments to the people of Iowa and commitments we must keep to Iowa taxpayers, schools and local governments. Signing this spending bill could jeopardize our ability to fund those commitments in the future.
While there are items in this bill that I support, and in some instances recommended, I cannot sign them into law at this time. As the Chief Executive of this state, it is my responsibility to have a long term vision that maintains stability and predictability in our state's budget. Maintaining the fiscal health of Iowa over the long term is my top budgeting priority.
Iowa is working - we are growing. The growth of jobs and opportunities in our state is due, in part, to a government Iowans can rely on. Our commitments to teachers, students and local communities must be honored and our focus must be on the long term stability so Iowa can continue to flourish. In order to continue growing good paying jobs, we need to make tough choices that ensure a balanced budget to0day and for the long term.
For the above reasons, I respectfully disapprove of Senate File 2363, in its entirety, in accordance with Amendment IV of the Amendments of 1968 to the Constitution of the State of Iowa.
Sincerely,
TERRY E. BRANSTAD, Governor
