Iowa Library Association
Legislative Update | Issue #4 | February 26, 2022
Welcome to the midway point of the 2022 Regular session of the Iowa General Assembly. Monday, February 28th will be Day 50 of the 100-day scheduled session. We are officially halfway between the session’s January 10th start and the April 19th target adjournment date.
 
Between funnels
We are currently past the first funnel and gearing up for the second funnel. Policy bills that survived the first funnel (by being approved by committee) must, by March 18th, be approved by a committee in the opposite chamber from where they were introduced in order to stay alive. That is, UNLESS the bill has an identical companion in the other chamber and BOTH of them are through committee. Remember that bills dealing with taxes or spending are exempt from funnel deadlines.
 
The practical side of being between the funnels is that a lot of bills need to be debated in the full House or Senate right now in order to get to the other chamber. As March 18th gets closer, floor debate will give way to dozens of subcommittee and committee meetings, just like the week of and week before the first funnel. 
 
Historic Tax Reform Passes
In previous updates, we addressed that the House, Senate and Governor all had tax reform packages with similar provisions. All three bills contained steep cuts to personal income taxes and the elimination of income taxes on retirement income. The Governor’s bill and the Senate’s bill added corporate tax cuts, and the Senate’s bill included a number of additional provisions, including replacing the Local Option Sales Tax with a statewide one cent increase in the sales tax that would trigger funding for the Natural Resources and Outdoor Recreation Trust Fund. 
 
We anticipated the House, Senate and Governor would negotiate the packages and arrive at a consensus sometime next month as they completed the budget for Fiscal Year 2023. Then, Governor Reynolds was selected to deliver this Tuesday’s Republican response to President Biden’s State of the Union Address. The Legislature and Governor made a decision to rally around the common pieces in the bills and get a consensus package passed and to the Governor before she delivers her speech.  
 
On Thursday, February 24th, the Senate and House debated and passed the largest tax reduction package in Iowa history, one that will move Iowa’s income tax rate from the 8th highest in the country to the 4th lowest. The compromise bill, when signed by the Governor in the next few days, includes the following provisions:
 
  • Cuts personal income taxes in Iowa to a 3.9% flat tax over three years. Currently, the top tax rate is 6.5%. Reduces the number of tax brackets to one.
  • Eliminates taxes on all retirement income, as well as lease income for retired farmers.
  • Ratchets down corporate income tax rates over a period of years, based on available funding, until it hits 5.5%. Currently, the top rate is 9.8%.
  • Phases in a reduction to 75% refundability to some tax credit programs, including the Historic Preservation Tax Credit and the Redevelopment Tax Credit. Phases in a 50% reduction in refundability to the Research Activities Tax Credit.
 
HF 2317 was passed largely on a party-line vote with all House and Senate Republicans supporting the bill. They were joined by two Democrat Senators (Bisignano and Kinney) and two Democrat Representatives (Judge and Hansen). 
 
Senator Dan Dawson of Council Bluffs, one of the chief architects of the bill and chair of the Senate Ways & Means Committee, said this is the first step toward eliminating the income tax completely. He also said they would keep working on a plan to fund the Natural Resources & Outdoor Recreation Trust Fund. As Sen. Dawson said, "As long as we're here, we're not going to be done cutting taxes."
 
Budget Targets Out Early This Year
Legislators have about $9 billion in state funds to spend in the upcoming budget year (fiscal year 2023), well over the $8.1 billion in spending budgeted for the current year. Usually, budget work doesn’t begin until the middle of March, when the Revenue Estimating Conference takes another look at the amount of money the state is collecting. This year, legislators are confident the revenue estimates on March 10 will come in higher than those in December. Since they are required to draft a budget based on the lower of the December and March estimates, it is full steam ahead with budgeting. A few things to consider:
 
  • The state is collecting $1 billion more than it is spending.
  • Iowa ended its last fiscal year with $1.2 billion in unspent funds (“surplus”).
  • Iowa’s reserves are full ($800 million).
  • There was $1 billion in the Taxpayer Relief Fund, which will grow to nearly $2 billion by the end of June.
 
Because the state is collecting much more than it is spending - $1 billion more - legislative leaders have made the decision to hold the line on spending and reduce the revenues the state is taking in by cutting income taxes. The impact of tax cuts on the budget could be significant – just under half of the money collected last year ($4.25 billion) came from income taxes. Now that the tax cut agreement has been struck, legislators can focus on policy bills and how to spend the remaining funds. Both chambers released their initial budget recommendations, but these will need to be revised based on the $1.9 billion tax cut plan adopted on Thursday.
 
Senate Budget Targets ($8.2017 billion)
  • Total New Spending of $283 million (3.5%), which includes a $159 million increase to schools. After other reductions in the budget, this is a Net Increase of $76.8 million (0.9%)
  • Includes $71.2 million for Mental Health funding (eliminating the county property tax levy) 
  • No breakouts by spending area available.
 
House Budget Targets ($8.2738 billion)
  • Total New Net Spending of $148.9 million (1.83%), which includes a $159 million increase to schools. (There are reductions in some other areas.)
  • Includes $71.2 million for Mental Health funding (eliminating the county property tax levy)
  • The chart below shows the breakdown by spending area.
Most of the budget subcommittees have completed their work for the year and will not meet again until they are ready to adopt their budget plan, but there is a lot of work going on behind the scenes now. Budget decisions are being made, and by the time you see a meeting announcement, the agreement will have been made. 
 
For the most part, the budgets will be status quo with a few increases for things that line up with the Governor’s and leadership priorities (workforce, mental health, educational choice).
Advocating for Libraries
Thank you to those who have made your voices heard with lawmakers and the Governor's Office during this first half of the session. Though is can sometimes be frustrating to voice your concerns, LOOK at the list of Dead Bills at the end of this newsletter! You all had a hand in turning back a number of bills that would have been detrimental to libraries. Always remember there are a number of library proponents from both parties in both chambers of the Statehouse. Don't be afraid to tell them your story!

While many bad bills for libraries died in the first funnel, the two biggest challenges remaining deal with the Governor's proposed addition of language to the Iowa Code specifying that a teacher librarian license shall not require a Master's Degree and legislation adding a definition for "hard core pornography" to the Iowa Code along with penalties for teachers and librarians that provides those materials to students.

Teacher Librarian Masters degree language
On the Teacher Librarian Master's degree issue, we had a second subcommittee this past week due to the bill (SF 2349) being sent through a second full committee. Like the Senate subcommittee on the earlier version, this meeting was packed with people speaking for and against other sections of the bill. The photo below doesn't fully capture the crowd since the line to speak is off to the right of the photo.
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While the first subcommittee ran short of time and did not allow Zoom participants to testify, Senators Rozenboom, Cournoyer and Celsi took steps in this meeting to extend the meeting time in order to ensure ILA and IASL members had a chance to speak. Thank you to Joan Taylor and Dianna Geers for filling that role and testifying to the committee via Zoom.

Since the bill is a priority for the Governor, the subcommittee passed the bill to keep it moving. However, the TL Masters' comments seemed well received by all three committee members. Senator Cournoyer, one of many in the Legislature that has served either on their public library board or their library's friends group, indicated in her closing comments that she wants to see the language fixed for librarians. (Note that legislators can't easily amend a bill in subcommittee. Typically, they'll discuss potential amendments in subcommittee, but not address those amendments until the bill is at the full committee or on the chamber floor.)

We will continue working legislators to see if there is any way to make this section more palatable for teacher librarians. Your continued positive, constructive input with legislators on can help us keep this effort moving forward. IASL has some talking points on this issue HERE.

Hard Core Pornography bill
Legislation (was SF 2198, now SF 2364) that would create a new definition of "hard core pornography" in the Iowa Code and establish penalties for teachers that provide such materials to students is still on the Senate calendar awaiting debate by the full Senate.

ILA and IASL are opposed to this bill because safeguards already exist in the Iowa Code and we believe the existing system of local control works. If you need ideas for your advocacy, you can view comments that were submitted on the bill HERE and a helpful opinion editorial by Chelsea Sims can be viewed HERE.
The Capitol Dome on a foggy Wednesday morning

Capitol Day is Right Around the Corner!



Mark your calendar and watch your email for more details about ILA’s Capitol Day on Tuesday, March 8th.

 
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It doesn't happen often, but every once in a while, an amendment on the House floor will get defeated by a large margin making the voting board almost completely red. We saw it happen this week when an amendment went down on a 3-90 vote.
ILA Bills of Interest - Bill List
The list below includes first the bills that survived the first funnel, followed by the bill that died in the first funnel.

LIVE BILLS

Broadband & Technology
Prohibits the state or political subdivisions from entering into contracts with, or providing tax incentives or other benefits to, certain companies that censor online content.

Education
Allows school districts to prohibit connecting to social media sites using school servers.

Allows a private school student needing special education courses to be placed in those courses without prior approval by the AEA and removes requirement that the holder of a teacher librarian endorsement have a master's degree.

Requires school district to publish course syllabi and requires high school government classes to test students using the US citizenship test.

Makes provision for rights of parents and guardians of students.

Makes several provisions related to education.

Requires schools to designate an administrator to ensure that no obscene material or hard-core pornography is available in school libraries.

First Amendment/Free Speech
Requires schools to designate an administrator to ensure that no obscene material or hard-core pornography is available in school libraries.

Local Government
Defines protecting information from cyber-attacks as an essential county/corporate purpose.

Other
Places requirements for local government lobbying and contracts.

Tax
The House's tax reform bill.

DEAD BILLS

Broadband & Technology
Prohibits a company from preventing an elected official from using its online marketplace, video sharing network, or social media network.

Requires the smart phone and tablet manufacturers sold in Iowa to have automatic filters to prevent downloading material harmful to minors.

Budgets
Appropriates $250,000 for the Iowa reading research center.

Civil Rights
Removes gender identity as a protected class under the Iowa civil rights act.

Excludes refusing access to a bathroom, locker room, or other public accommodation designated for a biological sex to a person of the other biological sex from protections under the Iowa Civil Rights Act.

Prohibits a person from entering a single and multiple occupancy bathroom in a school that does not correspond with the person's biological sex.

Prohibits gender identify instruction for grades 1-6.

Prohibits someone of a different biological sex from using a school bathroom designated for the other biological sex.

Crime & Courts
Creates penalties for a person affiliated with a public school or library who knowingly provides obscene materials to minors.

Education
Creates a teach recruitment and retention task force.

Prohibits public libraries and elementary and secondary schools from knowingly allowing a minor to be exposed to or participate in "inappropriate" programming.

Allows school districts to share school resource officers.

Allows students to be excused from sexual orientation or gender identity instruction.

Requires schools to install cameras in classrooms to livestream footage for parents/guardians to watch their children's classrooms.

Makes operational functioning of information technology eligible for supplemental weighting funding for shared school operations.

Allows school districts to raise additional amounts of property tax or income surtax for certain school resource officer expenses.

First Amendment/Free Speech
Prohibits a social media platform from censoring the expression of a user based on the viewpoint represented or the viewpoint of another user or the location of the user.

Proposes a state constitutional amendment that prohibits the legislature from making any law restricting the books or other written instructional materials in educational institutions.

Local Government
Provides for electronic publication of public notices by certain governmental bodies and officers.

Other
Prohibits any group that receives tax funds from providing training that teaches, advocates, encourages, promotes, or act upon stereotyping, scapegoating, or prejudice toward others on the basis of demographic membership or identity.

Makes it an aggravated misdemeanor or Class D felony for a school employee or public librarian to knowingly give obscene material to a minor.

Requires internet sites and applications containing obscene content to prohibit access by minors.

Allows city councils to overturn a library's decision to place materials in a particular location within the library when residents express concerns.

Prohibits certain libraries from prohibiting the use of the library or denying services offered by the library to any person where the minimum tax is levied and paid or an area from where the minimum monetary equivalent is provided.

Moves the date to not allowing public funds to be spent on lodging if the lodging provider has not certified compliance with human trafficking training to June 30, 2022.

Allows a governmental body to conduct a meeting electronically even when it is possible or practical to conduct the meeting in person.

Provides that a court shall apply the compelling interest test when reviewing a law that burdens a person's exercise of religion.

Professional Licensing/Scope of Practice
Prohibits a licensing board from limiting the number of continuing education hours that a person can get remotely.

Public Health
Prohibits employers from requiring employees or applicants from having to receive a vaccine that has not been approved by the FDA.

Makes several provisions related to vaccinations and immunizations.

Sex Offenses
Prohibits access to obscene internet material by minors. Makes changes to minor sexual abuse and sexually motivated and exploitation offenses.

Makes provision for digital content-blocking and creates a human trafficking and child exploitation prevention fund.

Tax
Repeals individual income tax and increases the state sales and use tax.

The Senate's tax reform bill. Parts of this bill were incorporated into the tax reform compromise, HF 2317, that was sent to the Governor.

Governor's Tax Plan. Parts of this bill were incorporated into the tax reform compromise, HF 2317, that was sent to the Governor.
Your Bill Tracker
Click above to see status of important bills, or create your own report with our custom download.
Town Halls & Public Forums
Find a local event with your state or federal elected officials here. Three weeks are shown at a time on this website.
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