Inside this issue:

Appropriations 2
Agriculture 3
Education 5
Environmental
Protection
6
Human Resources 6
Natural Resources 7
Public Safety 7
State Government 8
Transportation 8
Veterans Affairs 8
Ways and Means 9
Wednesday, March 13, 2013 www.iowahouserepublicans.com
Purpose
The purpose of the Healthy Iowa Plan is
to help Iowans become healthier for the
long term through increased increase
access to quality health care. The
Healthy Iowa Plan focuses on quality
outcomes, consumer education and per-
sonal responsibility. Iowans below 100%
of the federal poverty level are encour-
aged to be cost-conscious consumers of
health care and to participate in healthy
behaviors. People above 100% of the
federal poverty level will utilize the insur-
ance exchange and their health insur-
ance will be subsidized with tax credits.
This model achieves both cost savings
and healthier behavior.

Eligibility
People eligible for Medicaid or Medicare
(Continued on page 2)
House Republican Talking Points
The Healthy Iowa Plan
The Healthy Iowa Plan:
An Iowa Solution to an Iowa
Problem
Expanding the current
fractured Medicaid System
Helps Iowans become healthier Pays the hospitals bills
Covers all needy Iowans Covers all needy Iowans
Rewards quality health care out-
comes in year one
Studies how to reward quality
health outcomes
Brings down the cost of state-
funded health care
Forces insurance premiums high-
er
Helps eliminate fraud Perpetuates existing problems in
the Medicaid
Fully utilizes the health insurance
exchange
Expands old Medicaid practices
Exasperates the $11-$23 income
trap adding to the unemployment
problem
Increases federal debt and de-
pendence on the federal govern-
ment
Members contribute small pay-
ments
Cost is only to taxpayers
Fosters personal responsibility in
health care
Fee-for-service model which en-
courages wasteful and unneces-
sary hospitalization
Fiscally responsible and sustain-
able
Devours the state budget over
time as funding decreases from
100% to 90% federal funding
Better local access all primary
health care providers must be
within 30 minutes or 30 miles
Access to health care for Medi-
caid patients is diminished be-
cause of the influx of $150,000
people into the current system
The Healthy Iowa Plan is a prom-
ise Iowa can keep. It is a modern
plan that helps Iowans get health-
ier
Medicaid expansion is unsustain-
able and unaffordable because it
simply adds more Iowans to a
costly and outdated system
Page 2 House Republican Newsletter
and people who are pregnant and eligible
for Medicaid are not eligible for the Healthy
Iowa Plan. People ages 19-64 will be eligi-
ble for the Healthy Iowa plan benefits if
they meet the following criteria:
1. The person is a U.S. citizen
2. The person is a resident of Iowa
3. The person has a social security num-
ber
4. The person has a household income at
or below 100% of the federal poverty
level.
5. The person fulfills all other conditions
of participation in the plan, including
financial participation

Covered Benefits
1. When a member is enrolled, they get
to choose a primary medical provider
within the Accountable Care Provider
Network. Benefits under the plan in-
clude but are not limited to:
2. Preventative care services
3. Health home services
4. Physician services
5. Inpatient and outpatient hospital ser-
vices
6. Emergency transportation services
7. Prescription drugs
8. Diagnostic services
9. Durable medical equipment and medi-
cal supplies
10. Rehabilitative services (including ther-
apy)
11. Home health services
12. Mental health and substance use dis-
order services administered through
the Iowa Plan
13. Podiatry services
(Continued from page 1)
Appropriations (Contact Brad Trow at 1-3471.)
Budget Process Picking Up Steam
As the calendar moves towards the end of
the 2013 legislative session, the work on
the FY 2014 and FY 2015 state budget is
moving into high gear this week as both
chambers spend significant time working on
spending bills.

In the House, the Economic Development
appropriations bill (SF 430) was passed by
the chamber on Tuesday. The House
amendment provides the largest percent-
age growth of all the various budgets, with a
19% increase in funding to attract and
maintain businesses to the state. This does
not include funding for the High Quality
Jobs program, which is addressed in the
infrastructure bill.

In the House Appropriations Committee, the
budgets for Agriculture and Natural Re-
sources, Judicial Branch, and the Rebuild
Iowas Infrastructure Fund were advanced
to the floor. The Agriculture bill, Senate File
435, includes a$1 million General Fund
increase. The new funds are being used to
maintain on-going services provided by the
Department of Agriculture, Department of
Natural Resources, and the ISU Veterinary
Diagnostic Lab. The Environment First
Fund is also fully funded at $42 million.

In the RIIF bill, the House is continuing its
efforts to return the focus of this fund to
infrastructure projects. Major projects com-
pleted in the bill are the prison construction
work at Fort Madison and Mitchellville, the
Dental building at the University of Iowa, the
Ag/Biosystems Engineering complex at
Iowa State, and the renovation of Bartlett
Hall at UNI. The bill also increases funding
for lake restoration and water quality as
long as increasing the emphasis on mainte-
nance work on state facilities.

Funding for the High Quality Jobs program
is continued in the RIIF bill, by using re-
turned or unused funds from the Grow Iowa
Values Program which no longer is in oper-
ation. Among the new projects included in
the bill are beginning work on renovating
the Wallace building, looking into the future
of the state historical building and three new
projects at the Regents institutions.

On the other side of the Capitol, the Iowa
Senate has a number of budgets ready for
consideration this week. It is expected that
by the end of the week, action will have
been taken on the Justice Systems (SF
447) and Health & Human Services (SF
446) budget which they are responsible for
starting. Also, they are expected to consid-
er the Administration & Regulation (HF 603)
and Education (HF 604) budgets.

At the end of the week, the only budget bill
that has yet to be released is the Standing
Appropriations bill. The Senate is responsi-
ble for starting action on this bill.
Page 3
House Republican Newsletter
Budget Bill Status As of April 17, 2013
Agriculture (Contact Lew Olson at 1-3096.)
House Ways & Means Committee Okays freedom to Downstream Blend
Biofuels Measure
On Wednesday, April 17, 2013, the House
Ways & Means Committee passed HF 597
by a 16-aye to 9-nay vote. The bill relates
to the blending of fuel in the state of Iowa
and preserves the opportunity to blend
renewable biofuels that historically has
been performed largely by downstream
jobbers and distributors. These jobbers
and distributors take ownership of the fuel
(gasoline or diesel) and then physically
blend it with ethanol or biodiesel (splash
blending) to create a renewable
fuel. Sometimes this blending occurs at
the terminal facility, but often it occurs
away from the terminals. This practice has
occurred in the Midwest for the past 30
years, where renewable fuels are popu-
lar. As a result, jobbers and distributors
have made significant investments to blend
these fuels.

HF 597 preserves this practice of permit-
ting jobbers and distributors to continue the
practice of blending renewable fuels on
their own. As obligations of refiners in-
crease under the federal renewable fuels
mandate, oil companies are looking for
more ways to comply and some options
could potentially cause economic harm to
domestic and Iowa biofuels producers.
The protection provided by HF 597 pre-
serves a jobbers' right to blend that could
be virtually eliminated by oil companies
who may require pre-blended products to
be purchased at the terminal or rack.

HF 597, as amended by the House Ways &
Means Committee, requires terminals and
suppliers of motorfuel (conventional
stockblend for oxygenate blending with
gasoline, gasoline, and diesel) to make an
unblended product available to jobbers and
distributors so that jobbers and distributors
can continue the practice of blending on
their own, using Iowa produced ethanol
and biodiesel. Iowa is not alone in this
effort. North Carolina, Georgia and other
states have considered and passed similar
laws. The committee amendment eliminat-
ed language in the bill that dealt with
validity of agreement and aspects of sec-
tion 4 (subsection 1a) dealing with
notwithstanding any contrary agreement
language that would have usurped exist-
ing contract in effect that some petroleum
marketer had agreed to sell only name-
brand fuel at their pumps at franchised or
oil company labeled motor fuel retail loca-
tions. The amendment also struck defacto
and redundant language in the underlying
bill that passed the House Agriculture Com-
mittee that explicitly prohibited a terminal
operator, terminal owners or supplier from
preventing or inhibiting a distributor or deal-
ing from qualifying for any state or federal
tax credit, since under the bill, distributors
or dealing can chose to blend fuel, they
hence could qualify for such tax credits.

The amendment also included new lan-
(Continued on page 4)
Budget Bill Bill Number Status
Administration &
Regulation
HF 603 Passed by House on March 20, on Senate Floor
Agriculture & Natural
Resources
SF 435 Passed by Senate on April 10, on House Floor
Economic
Development
SF 430 Passed by Senate on April 3, Amended by House
on April 16 ON SENATE FLOOR
Education HF 604 Passed by House on March 20, on Senate Floor
Federal Block Grants HF 614 Passed by House on April 2, on Senate Floor
Health & Human
Services
SF 446 On Senate Floor
Justice Systems SF 447 On Senate Floor
Judicial Branch SF 442 Passed by Senate on April 15, on House Floor
RIIF (Infrastructure) HF 638 Voted out of House Appropriations Committee on
April 17
Standing
Appropriations
Senate Appropriations Committee
Transportation HF 602 Passed by House on March 20, Amended by the
Senate on April 9 ON HOUSE FLOOR
Page 4 House Republican Newsletter
On Monday, April 15, 2013, United States
Department of Agriculture USDA) issued a
press release in which it announced that it
has proposed a series of changes to make
it easier for agricultural producers and rural
small businesses to apply for renewable
energy and energy efficiency funding. The
proposed changes affect applications for
loans and grants through USDA Rural De-
velopment's Rural Energy for America Pro-
gram (REAP). They would:
- Reduce paperwork, especially for pro-
jects under $80,000;
- Implement a more objective and uni-
form system to score applications;
- Authorize funding for refurbished and
retrofitted renewable energy systems;
- Reduce certain reporting require-
ments;
- Establish a quarterly application period
for applicants seeking only guaranteed
loans. This change is intended to
make the program more appealing to
lenders and to ensure that funds are
available year-round.

REAP is one of USDA's most popular re-
newable energy and energy efficiency pro-
grams. From the passage of the 2008
Farm Bill through the end of Fiscal Year
2012, REAP funded more than 6,800 re-
newable energy and energy efficiency pro-
jects, feasibility studies, energy audits and
renewable energy development assistance
projects. USDA is accepting comments on
the proposed rule through June 11, 2013.
For details on how to submit comments, or
for additional information, see Page 22044
of the April 12 Federal Register.
USDA Proposes Simplified Application Process for Renewable Energy Funding
guage to address the registration and in-
spection requirements of aboveground
storage tanks (AST) larger than 1,000 that
are located on farms and used by farmers
to store flammable or combustible liquids.
This language exempts various farm
owned AST's located outside the corporate
limits of cities with less than 2,000 gallons
for flammable and less than 5,000 gallons
for combustible liquids from registration
requirements that now apply to AST larger
than 1,000 gallons. Additionally, to offset
the lost registration revenue from the farm
exempted ASTS, other entities regulated
by this registration have agreed to an in-
crease the registration fees ($10 to $20) for
their larger capacity tanks.
(Continued from page 3)
On Monday, April 15, 2013, the Iowa De-
partment of Agriculture and Land Steward-
ship (IDALS) issued a press release in
which Iowa Secretary of Agriculture Bill
Northey commented on the Iowa Crops
and Weather report released by the USDA
National Agricultural Statistical Ser-
vice. The report is released weekly from
April through October.

The report summary follows here:

CROP REPORT--

Precipitation was received across Iowa
during the week ending April 14, 2013,
ranging from rain in southern Iowa to rain,
snow and ice in northern Iowa. The much
needed precipitation helped replenish top
soil moisture. The wet conditions limited
fieldwork across the state. Statewide there
was an average of 0.8 days suitable for
fieldwork during the week. Topsoil mois-
ture levels rated 7 percent very short, 19
percent short, 65 percent adequate and 9
percent surplus. Subsoil moisture levels
rated 27 percent very short, 42 percent
short and 29 percent adequate and 2 per-
cent surplus. Oat planting was 20 percent
complete, far behind last years 84 percent
and the five-year average of 51 percent.
Pasture and range condition rated 24 per-
cent very poor, 29 percent poor, 35 percent
fair and 11 percent good and 1 percent
excellent. The wet and cool weather has
made calving more difficult.

IOWA PRELIMINARY WEATHER
SUMMARY
By Harry Hillaker, State Climatologist, Iowa
Department of Agriculture & Land Steward-
ship

Iowa experienced its wettest week since
July 2010 with a statewide average of 2.90
inches of rain compared to a weekly normal
of 0.78 inches. The heaviest rains fell from
Monday (8th) evening through Thursday
(11th) morning when two to three inch rains
were widespread over northern Iowa. Sig-
nificant rain also fell Sunday night (7th) and
Saturday (13th) night into the next Sunday
(14th). Weekly rain totals varied from 0.80
inches at Glenwood to 5.31 inches near
Badger in Webster County. Besides the
rain there was a wide variety of weather
during the week. Thunderstorms brought
scattered reports of large hail over the
southeast one-half of the state on Monday
night. Another round of storms brought
large hail and high winds to parts of the
northwest one-third of Iowa on Tuesday
afternoon and evening. Wednesday and
Wednesday night brought a very damaging
ice storm to far northwestern Iowa. Finally,
colder air turned the rain to snow over
about the northwest one-third of the state
later Wednesday and into Thursday with
six inches reported in Lyon and Osceola
counties. The reporting week began with
mild weather on Monday (8th) with daytime
highs from the mid 50s northeast to mid
70s southeast. Sharply colder air moved
into the state for Tuesday (9th) but not be-
fore temperatures reached as high as the
upper 70s in the southeast. Otherwise
daytime highs were only in the mid 30s
northwest to the 40s over the south
through Friday (12th). Warmer weather
returned for the weekend with highs reach-
ing into the mid 50s southwest on Satur-
day (13th) to the upper 70s southeast on
Sunday (14th). Temperatures for the week
as a whole averaged from near normal
over the extreme southeast to 12 degrees
below normal over the far northwest. The
statewide average temperature was 3.9
degrees below normal for the week. Ex-
tremes varied from a low of 17 degrees at
Sibley on Saturday (13th) morning to highs
of 79 degrees at Keosauqua, Oskaloosa
and Ottumwa on Tuesday. Finally, soil tem-
peratures as of Sunday (14th) varied from
the low 40s north to upper 40s south.
IDALS Secretary Northey Comments on Iowa Crops and Weather Report
Page 5
House Republican Newsletter
Education Contact Jason Chapman at 1-3015.)
Education Reform Conference Committee Update
The Conference Committee has stalled a
bit in negotiations this week due to a reluc-
tance to compromise on the part of Senate
Democrats. Last week House Republicans
met Senate demands for 4% allowable
growth for the next two school years, a cost
of $250 million over the two years. The
proposal was for 2% this year and 4% next
year, with 2% one-time payment this year
to get close to 4% without violating House
budgeting principles and understanding
that education is not the only area looking
for additional state funding. In return, the
House asked that the Senate consider the
Houses policy language. House File 215
received the support of over 40 groups in
the lobby, and the proposal received the
support from the Iowa Association of
School Boards, School Administrators of
Iowa, and the Urban Education Network.

After making false claims, such as claiming
the House is refusing to fund the Early In-
tervention Block Grant to schools, the Sen-
ate Democrats turned the offer down and
made no counter offers. House Republi-
cans are unsure where or even if the Sen-
ate Democrats are willing to compromise
after rejecting last weeks offer. The Early
Intervention Block Grant funding is ac-
counted for in the House budget for the
next two years. What the House was re-
fusing to do was eliminate the Block
Grants sunset date altogether, funding this
program into perpetuity.

The Committee met again Monday and
Wednesday and had trouble finding com-
mon ground on the major elements of the
bill. The House is not interested in continu-
ing to put hundreds of millions of dollars on
an education system that is being passed
by other states every year. House File 215
provides a path towards meaningful reform
that will complement increased funding for
schools and provide teachers and districts
with the tools they need to give Iowas chil-
dren the education they deserve.

House Republicans have not removed its
offer at this point and is still waiting for the
Senate Democrats to begin negotiating and
put an offer on the table for consideration.
The committee will continue meeting to see
where it can find footing to move forward.
Last week President Obama presented his
fiscal year 2014 budget request, which
shows how the administration would allo-
cate funding for the fiscal year beginning
October 1. By law, President Obama was
required to submit his budget by the first
Monday of February, and the arrival of the
Presidents budget is part of the beginning
of the federal budget debate on federal
spending for the upcoming fiscal year. At
this stage, both the Senate and the House
have already adopted FY 2014 budget res-
olutions (S Con Res 8; H Con Res 25), so
its unclear how much effect the release of
the Presidents request will have on the
process.

Overall, the administration is requesting
$71.2 billion in discretionary appropriations
for the Department of Education in FY
2014, an increase of 4.5 percent over the
fiscal year 2012 level. This does not reflect
sequestration.

Below are highlights from the Department of
Educations FY 2014 budget request with a
focus on new initiatives (some of which the
Administration has proposed previously) or
significant new funding.

Early Education
- $1.3 billion in FY 2014 and $75 billion
over ten years in mandatory funding for
Preschool for All, a new state-federal
partnership to support implementation
of high-quality preschool programs
aligned with elementary and secondary
education systems. The federal gov-
ernment would provide funding to the
states to provide high-quality preschool
for all four-year-olds from low-and mod-
erate income families. States that al-
ready provide universal high-quality
preschool for four-year-olds from fami-
lies up to 200 percent of the poverty
level would be about able to use funds
to provide high quality, full-day kinder-
garten for children from families at or
below 200 percent of the poverty level,
or if this is already provided, provide
high quality preschool for three-year-
olds.

- $75 million for competitively awarded
Preschool Development Grants to help
build state capacity to implement high
quality preschool programs.
-
- Increases in funding for the Grants to
Infants and Families program under the
Individuals with Disabilities Education
Act (IDEA) and IDEA preschool grants.

College Affordability and Completion
- $1 billion for a new Race to the Top
College Affordability and Completion
competition. Awards would go to help
states improve student outcomes such
as graduation rates without raising
tuition. This is in addition to a $260
million proposal for a program to fund a
First in the World Fund program fo-
cused on College Completion, creating
validation systems aimed at identifying
competencies needed for high-need
fields, and pay-for-success programs
aimed at providers of free degree pro-
grams for students.

- Linking student loan interest rates to 10
year Treasury note rate and expanding
the availability of the Pay as You Learn
income based repayment plan to all
borrowers, not just new loans.

- Funding a maximum Pell Grants award
of $5,785 in FY 2014, and providing
campus-based aid programs at a level
the administration projects would put
those programs on track to double the
number of participants over the next
few years.

Initiatives in Other Areas
- $300 million for a competitive High
School Redesign Program to help high
schools better prepare students for
post-secondary education and the
workplace and focus on science, math,
engineering, and technology. Under
this initiative, high schools would be
redesigned to create partnerships with
community colleges and employer so
that students graduate with college
credit and career skills.
(Continued on page 6)
Education Highlights of the Presidents 2014 Budget Proposal
Page 6 House Republican Newsletter
Environmental Protection (Contact Lew Olson at 1-3096.)
DNR Announces Water Quality Monitoring Buoys Placed on Storm Lake
On Tuesday, April 16, 2013, the Iowa De-
partment of Natural Resources issued a
press release in which it announced that
Iowa State University will place monitoring
equipment in Storm Lake to collect infor-
mation on how wind and lake depth impact
resuspension of lake bottom sediment as
part of an ongoing water quality study. The
equipment will be below the water surface
and marked by hazard buoys at three loca-
tions. Officials are asking the public to not
disturb the buoys. The Storm Lake Dredg-
ing Program continues to increase depth of
the lake in areas prone to resuspend sedi-
ment, which is a primary water quality im-
pairment at Storm Lake. The ISU study
suggests that dredging has reduced sedi-
ment disturbance by 25 percent from pre-
dredging conditions.

The research will last through 2013 to en-
sure that the dredge operations are as effi-
cient and effective as possible. Information
gathered will be used to increase the suc-
cess of the restoration efforts and help im-
prove the water clarity of the lake. The
study is being conducted in cooperation
with the Iowa Department of Natural Re-
sources (DNR). In addition, the dredge will
be placed in operation May 1. Boaters
need to ensure that they remain at least
100 feet away from pipe, buoys, and the
dredge itself. The partnership efforts of the
DNR, Lake Preservation Association, Lake
Improvement Committee, Buena Vista
County, and cities of Storm Lake and
Lakeside continue to improve Storm Lakes
water quality.
Human Resources (Contact Carrie Kobrinetz at 5-2063.)
Healthcare Reform Proposals Advance in the Legislative Process
There are multiple moving parts in the
health care reform discussion. The Senate
has passed Senate File 296, which would
implement Medicaid expansion. SF 296
was sent to the House after it passed out of
the Senate floor with a partisan vote of 26-
23. SF 296 is currently in a House Appro-
priations subcommittee. There have been
over three hours in subcommittee discus-
sions about the Senate bill and there was a
public hearing on April 16th discussing the
pros and cons of Medicaid expansion and
the Governors health plan, called the
Healthy Iowa Plan.

The purpose of the Healthy Iowa Plan is to
establish and administer a plan to promote
increased access to health care, quality
health outcomes, and the use of personal
responsibility measures that encourage
people with incomes below 100% of the
federal poverty level to be cost-conscious
consumers of health care and to participate
in healthy behaviors.

A person age 19-64 will be eligible for the
Healthy Iowa plan benefits if they are a
U.S. citizen, a resident of Iowa, has a so-
cial security number, has a household in-
come at or below 100% of FPL, and the
person fulfills all other conditions of partici-
pation in the plan. The bill directs DHS to
develop a provider network by splitting the
state into regions. The accountable care
provider network includes all providers en-
rolled in Medicaid.

Finally, the Healthy Iowa Plan will be fund-
ed using county mental health levy funds,
county levy hospital funds, and UIHC
funds. The Governors plan is funded simi-
larly to the old IowaCare system that is set
to expire without renewal on December
31st of this year:

- $265 million in new funding for a com-
prehensive Science, Technology, Engi-
neering, and Math (STEM) innovation
proposal that includes STEM innova-
tion networks, STEM teacher path-
ways, and a new STEM Master Teach-
er Corps.

- $5 billion in one-time funding for the
RESPECT program (legislation pro-
posed) to provide grants to states and
consortia of districts to conduct reform
of teacher preparation, strengthen
teacher and principal evaluation and
improve conditions in schools that im-
prove testing.

- $215 million for an Investing in Innova-
tion grant program to help schools dis-
tricts expand promising technology
practices. That amount represents a
$66 million increase in program funding
from FY 2012. Much of the increase
would be used to finance ARPA, the
Advanced Research Projects Agency
for Education, a program modeled after
a similarly named program at the De-
fense Department.

- $300 million for Promise Neighbor-
hoods, a significant increase from the
current level of $60 million.

- Includes several proposals related to
school safety and positive learning
environments that will be coordinated
by several federal departments.

- Eliminates Impact Aid Federal Property
Funding for Section 8002 of the Ele-
mentary and Secondary Education Act
(ESEA), potentially impacting approxi-
mately 240 school districts in 29 states.
These funds have been used to offset
the tax revenue lost by school districts
when the federal government owns
property in a school district.

The Department has posted fact sheets and
budget overview that provide additional
details about the Presidents budget pro-
posal.
(Continued from page 5)
Page 7
House Republican Newsletter
Public Safety (Contact Amanda Freel at 1-5230.)
State Patrol works to Deter Vehicle Theft Across Iowa
Partnership Helps to Feed Iowans in Need
It has been 10 years since the Iowa De-
partment of Natural Resources and the
Food Bank of Iowa joined to promote a new
program to help reduce the size of Iowas
deer herd, and help Iowans in need receive
a healthy meal. The Help Us Stop Hunger
(HUSH) program allows hunters to donate
any legally harvested deer to a participating
locker as a way to encourage hunters to
harvest more deer. Lockers process the
donated deer into ground venison in spe-
cially labeled two pound packages that are
picked up by the local food bank and dis-
tributed in the community. HUSH lockers
have processed 56,000 donated deer
providing more than 11 million meals since
the program began.

Since its inception, the program served an
important role to help reduce the deer herd,
but that role will be changing. As the deer
population approaches the management
goal, the program will not be used as much
for population control as it will be for hunt-
ers wanting to support their local food
bank. The Iowa program is viewed nation-
ally as one to emulate and states from Ha-
waii to Nebraska want to replicate Iowas
success. The DNR attributes its success to
the backing of the state legislature. Every
deer license sold includes a $1 fee that
supports the HUSH program. The Food
Bank of Iowa received $5 per deer to pick
up and distribute the venison.

More information on the DNRs HUSH pro-
gram is available online at: http://
www.iowadnr.gov/Hunting/DeerHunting/
HelpUsStopHungerHUSH.aspx
Natural Resources (Contact Carrie Kobrinetz at 5-2063.)
Car thieves beware, the Iowa State Patrol
and Nationwide Insurance Company are
teaming up to launch a state wide initiative
to catch car thieves. From 2006 to 2010,
there were a reported 22,442 incidents of
motor vehicle theft in Iowa. That averages
out to one theft per every 97 licensed driv-
ers. The Department of Public Safety and
the Iowa State Patrol recognize the seri-
ousness of this issue and hope by placing
bait cars around the state criminals will be
caught and even more people will be de-
terred from stealing a vehicle knowing the
chances of an arrest are high.

In the coming months, Nationwide Insur-
ance Company will be providing the Iowa
State Patrol with vehicles equipped with
GPS tracking, in-car video surveillance and
other equipment designed to catch a vehi-
cle thief. Colonel Dave Garrison of the Iowa
State Patrol said, Our top priority is ensur-
ing safety and protecting the quality of life
we enjoy here in Iowa. So, weve been
taking a close look at statistics and plan to
place these bait cars in areas known for
vehicle theft. The unsuspecting thief will be
in for a surprise once he or she gets in be-
hind the wheel.

Not only is vehicle theft a major public safe-
ty issue, it also has a substantial impact on
insurance rates for all Iowans. According to
the Regional Vice president of Allied Insur-
ance, Bob OHolleran, approximately one
fourth of the comprehensive coverage of an
auto policy is driven by the cost of automo-
bile thefts.

Bait cars, provided by Nationwide, will be
placed in different communities in the
months ahead. The State Patrol hopes the
threat of these bait cars will help stop vehi-
cle theft and help keep communities in Io-
wa safer.
substantial impact on
insurance rates
cost savings and
healthier behavior
Though funding between IowaCare and the
Healthy Iowa Plan is similar, it is important
to note that the Healthy Iowa Plan is a vast
improvement over IowaCare. People will
be able to have a primary health care pro-
vider within 30 minutes of their residence
under the Governors plan. House Republi-
cans favor the Governors Healthy Iowa
Plan because this model achieves both
cost savings and healthier behavior, where-
as Medicaid expansion is simply adding
more people to a broken health care sys-
tem. SF 296 will likely have another sub-
committee discussion before advancing to
the full Appropriations committee.
IowaCare Funding Healthy Iowa Plan Funding
Broadlawns $42 million $42 million (same)
County Mental Health
Property Tax Levy
$0 $43.5 million (new money)
UIHC $12.6 million $12.6 million (same)
General Fund $16 million in 2012 $23 million (slight increase)
Page 8 House Republican Newsletter
Transportation (Contact Kristi Kielhorn at 2-5290.)
Rededication Ceremony Scheduled for Washington National Guard Armory
Veterans Affairs (Contact Colin Tadlock at 1-3440.)
The Iowa National Guard will host a rededi-
cation ceremony at 1 p.m. on Sunday, April
21, commemorating the completed renova-
tion of the Washington Readiness Center,
501 Highway 1, Washington, Iowa. Iowa
National Guard leadership and representa-
tives from federal, state, and local govern-
ments will participate in the ceremony. The
public and media are welcome and encour-
aged to attend the rededication ceremony.

Originally constructed in 1984, the Wash-
ington project includes a complete renova-
tion of the existing facility (approximately
16,681 square feet), including upgraded
electrical, mechanical and building finishes,
a new fire detection system, and upgrades
to comply with federal, state and local
codes.

This $2 million project also includes 700
linear feet of new fencing, an upgraded
kitchen, repairs to the parking lot, a new
roof-top boiler and furnace, sound attenua-
tion, and more.

The project was designed by Sires Archi-
tects of Johnston, Iowa and the general
contractor was Bi-State Contracting, Inc. of
West Burlington, Iowa. The Washington
Readiness Center is home to the 294th
Medical Company. Approximately 100 Sol-
diers are based at the Washington Readi-
ness Center.
State Government (Contact Kristi Kielhorn at 2-5290.)
New Lottery Game Prepays Withholding Tax
The Hot Lotto game, which offers Power-
ball-style play with better odds and smaller
prizes, will be redesigned beginning May
12. The redesigned game will offer a cash-
only jackpot with withholding taxes paid,
meaning that if the advertised jackpot is $2
million, the winner will receive a one-time,
lump-sum payment for that full amount.
The Hot Lotto jackpot will be at least $1
million cash with state and federal withhold-
ing taxes paid for the winner, and will grow
until someone wins it. Winners can current-
ly choose to receive the prize in annuitized
payments over 25 years or as a one-time
cash payment. In either case, the winner
must currently pay state and federal with-
holding taxes.

Hot Lotto plays will still cost $1 per play.
Players can choose their own numbers or
let the computer randomly select them. Hot
Lotto drawings will continue to be held at
9:40 p.m. on Wednesdays and Saturdays.
Hot Lotto is played in Iowa, 13 other states
and the District of Columbia. The odds of
winning in the redesigned game will be
about 1 in 17 (currently about 1:16), while
the odds of winning the jackpot will be
about 1 in 29.1 million (currently about 1 in
10.9 million).
at least $1 million cash
Transportation Commission Approves Four Local Projects
Last week the Iowa Transportation Com-
mission approved projects for the city of
Woodbine, Warren County, the city of Ne-
vada, and the city of Dubuque.

In Woodbine, the commission approved a
Revitalize Iowa's Sound Economy (RISE)
Immediate Opportunity grant application
and up to $294,000 will be made available
to assist the reconstruction of a bridge on
Bus Brown Drive, and the intersection of
Lincoln Way and Bus Brown Drive on the
northeast side of town. This project is antic-
ipated to be completed by September
2014. These improvements are necessary
to provide improved access to Woodbine
Manufacturing and will support the reten-
tion of 16 jobs and creation of 26 new jobs,
along with $2 million in associated capital
investment. The plant manufactures hy-
draulic lift-gates. Funding for the grant
comes from the city share of the RISE
Fund.

Warren County was approved for a RISE
Local Development grant and up to
$391,125 will be made available to assist in
reconstruction of approximately 4,300 feet
of Nixon Street located southwest of Indi-
anola. This project is anticipated to be
completed by August 2014 and is neces-
sary to provide improved access to more
than 6 acres for industrial, manufacturing
and warehouse distribution purposes.
Funding for the grant comes from the coun-
ty share of the RISE Fund.

A RISE Local Development grant was ap-
proved for the city of Nevada and up to
$507,938 will be made available to assist in
construction of approximately 720 feet of
new roadway located on the southwest
side of town. This project is anticipated to
be completed by December 2014 and is
necessary to provide access to three lots
totaling more than 60 acres for industrial
purposes. Funding for the grant comes
from the city share of the RISE Fund.

Finally, the commission approved a RISE
Local Development grant application sub-
mitted by the city of Dubuque. Up to
$229,247 will be made available to assist in
construction of approximately 900 feet of
new roadway located on the southwest
side of town. This project is anticipated to
be completed by December 2013 and is
necessary to provide access to three lots
totaling more than 57 acres for industrial
and manufacturing purposes. Funding for
the grant comes from the city share of the
RISE Fund.
Page 9
House Republican Newsletter
Ways & Means (Contact Dustin Blythe at 1-3452.)
The Senate this week passed their version
of property tax reform with a vote of 29-21.
If you have been following the property tax
discussions the last three years, their plan
isnt anything new, same concept as last
year a business property tax credit mod-
eled after the homestead tax credit.

The House on Wednesday amended the
Senate File with their proposal, along with
a few new items. The goal being, to try to
get the property tax bill into a conference
committee, something that eluded both
chambers the last two years. Below are the
major pieces that will be considered if the
bill goes to conference committee.


Rollback
20% rollback of taxable value on com-
mercial and industrial property. 5% per
year over 4 years
Approximately $339 million in property
tax relief when fully implemented

Backfill
A standing unlimited appropriation is
created to backfill lost revenue to local
governments.
Backfill appropriation is exempt from
future across the board cuts
TIF properties held harmless
FY 15 $77 million
FY 16 $159 million
FY 17 $248 million
FY 18 $339 million (then capped at
this level moving forward)

Assessment limitation
Assessment growth limitation moves
from 4% to 2% on Ag and residential
immediately
After the 20% forced rollback, three
classes of property are tied together
with a 2% assessment growth limita-
tion (Commercial, AG and Residential)
Industrial will not be tied with the other
three classes, but will mirror commer-
cial. Meaning, whatever commercial is
assessed at, industrial will receive the
same treatment.

School District Funding
Raises the school foundation formula
from 87.5% to 95% over 4 years
FY 15 $75 million
FY 16 $154 million
FY 17 $236 million
FY 18 $322 million

Multi-residential Property Classification
Adds a new property tax classification
for nursing homes, assisted living facil-
ities, residential care facilities, mobile
home parks, manufactured home com-
munities.
Assessed as commercial the first year,
then rolled back to 60% over four
years. At that point, taxed the same as
residential

Telecommunications Property Taxation
Central office equipment is exempted
from taxation
Land, buildings and outside plant is
then rolled back to 80% the first year,
60% the second.

Senate Democrats Plan
Senate File 295
Business property tax credit beginning
July 1, 2014. Similar to Homestead tax
credit
Available to Commercial, Industrial
and Railway properties that have per-
manent construction (no vacant lots).
Requires legislature to annually appro-
priate $50 million from General Fund
Growth Trigger- Revenue Estimating
Conference must certify total amount
of general fund revenue growth by 4%
compared to previous year before ad-
ditional $50 million
$250 million per year is the maximum
amount that could be appropriated
Properties valued at $324,000 or less
will receive a tax credit equivalent to
the residential rate. Properties valued
at more than $324,000 will receive a
tax credit on the first $324,000 of their
property.
Counties will also receive backfill to
cover lost revenue.
Small businesses are treated different-
ly than larger businesses. No incentive
to expand footprint in state.
Property Tax Passes the Senate House Amends