Fiscal year heralds new laws

By Paul Bell

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With the beginning of the state’s 2010 fiscal year on July 1, Iowans should be aware of several new laws approved during the 2009 legislative session that could impact their lives. Some of the highlights include:

Consumer Protection — In an effort to reduce home foreclosures, Iowans will benefit from expanded services when facing foreclosure and more accurate information from mortgage brokers or bankers. Active duty reservists and National Guard members will have new protections from foreclosure while serving our country. Iowa consumers who are defrauded when buying a used car, hiring contractors for home repairs, or starting a home mortgage will also have new rights to sue the business that defrauded them.

Renewable Energy and Jobs — In a move to create jobs and help Iowans rebuild from the storms of 2008, the Legislature approved another $30 million in historic tax credits for communities across Iowa to preserve and restore historic buildings. Schools, hospitals, universities, private colleges and community colleges also will be eligible to apply for state tax credits that will spur more small wind energy projects and reduce our dependence on foreign oil.

Public Safety — Sex offenders will be prohibited from being within 300 feet of schools, parks, or other places kids gather and the state will enhance tracking of the most dangerous sex offenders. In an effort to reduce meth production, pharmacies will now use electronic logbooks to track pseudoephedrine sales and stop meth makers from “pharmacy shopping.”

Health Care — Next year, health care will be expanded to an additional 30,000 uninsured kids, more low-income women will be eligible for health care during pregnancy, and it will be easier for parents to keep their adult children under 25 on their insurance plan. Insurance policies issued or renewed after July 1 must include coverage for prosthetics, can’t discriminate among cancer treatments, and cover diabetes management training. Seniors will also benefit from improved safety in nursing homes with higher fines leveled against homes when incidents resulting in death or severe injury occur.

The state’s 2009 fiscal year ended on June 30. With the national economy in recession, it’s been a tough year for Iowa families and the state budget. When the session ended in April, we approved a budget that spent $365 million less than the budget we approved in 2008 and had a $44.6 million projected ending balance for the current fiscal year (FY ‘09) that ends June 30. With state revenues in decline, no part of the budget has been exempt from state cuts. We reduced the Legislature’s budget by 10 percent next year by freezing pay for employees, reducing travel budgets, and cutting back next year’s legislative session by 10 days. The Supreme Court announced their plan to reduce costs by $5.4 million this week and Gov. Chet Culver’s office will reduce spending by 12 percent next year as well.

Since adjournment, state revenue collections in May and June have taken another steep decline below what our non-partisan budget experts projected. Despite the over-heated rhetoric you’ll probably hear in the weeks ahead, our state remains in a solid financial position to deal with the decline. The Governor has a fair amount of flexibility to manage funds to maintain a positive balance, including the authority to transfer up to $50 million from the state’s $440 million reserve accounts. As the final numbers come in, we will continue to monitor the situation closely with Governor Culver and keep the state’s fiscal house in order.

The Federal Railroad Administration produced rules concerning the apportionment of $8 billion of federal stimulus money for high-speed rail nationally. A deputy administrator with the Federal Railroad Administration (FRA) applauded the cooperative work by the Midwestern states, and the $10 billion in bonding approved by California voters. These are examples of states being proactive.

Iowa is one of those Midwestern states that have come together to create and promote a high-speed rail plan that would connect 12 metropolitan areas, with Chicago being the hub. Last session, Iowa appropriated $3 million to the Department of Transportation for capital improvements and related studies for expanding passenger rail service.

Last November, voters in California approved issuing bonds totaling close to $10 billion to build 800 miles of high-speed tracks. It was always the intent to include any and all available federal funding.

The rules by the FRA state that preference will be given to plans that reduce regional highway and airport congestion, as well as creating jobs. Many states across the nation are hoping for more and long-term federal funding for high-speed rail. Everyone recognizes that in order to make high-speed rail a viable transportation option, it will take billions in funding and many years to accomplish.

Iowa was one of seven states recently honored for programs to help prepare students for the 21st century workplace. The award is sponsored by the Partnership for 21st Century Skills to honor the country’s top state-led education reform initiatives. The award recognizes states that are incorporating knowledge and 21st century skills into classrooms.

“These states have performed an invaluable service by creating national models to guide other states in establishing 21st century learning policies and practices,” stated Paige Johnson, worldwide manager, K-12 education, Intel Corporation and chair. “These awards highlight best practices for states as they build world-class education systems to ensure their students graduate with the knowledge and skills required of effective citizens, workers, and leaders.”

Iowa received the award for the Iowa Core Curriculum and Authentic Intellectual Work. The Iowa Core Curriculum provides a tool to educators to bring challenging courses to students that will prepare them for success in life. In 2008, the Legislature passed Senate File 2216 requiring all school districts and accredited nonpublic schools to implement the Iowa Core Curriculum by July 1, 2010, for grades 9 through 12 and by 2014-15 for kindergarten through eighth grade.

The Authentic Intellectual Work creates a framework that sets standards for teaching academic subjects that will increase student engagement, and support in-depth coverage of material while preparing students with the necessary skills to be successful in a global economy.

The other states receiving this award include Kansas, Maine, New Jersey, North Carolina, West Virginia and Wisconsin.

To learn more about the Iowa Core Curriculum, go to www.corecurriculum.iowa.gov. For more information on Authentic Intellectual Work, go to www.iowa.gov/educate.

Please feel free to contact me at the Statehouse by mail, phone, or e-mail with your comments on these or any other issues before the legislature. The capitol’s phone number is (515) 281-3221, my home phone is (641) 792-9514, and my e-mail address is paul.bell@legis.state.ia.us. I look forward to hearing from you and serving your needs.