Reynold's raids Iowans' savings account. She's going to take $50 million.
How much will Iowa Republicans take from savings during this special session?
Statement from the desk of Senator Matt McCoy:
Today, State Treasurer Fitzgerald released a letter to Governor Reynolds addressing the dwindling surplus in cash reserves. He advised the governor that because of this reduction of cash reserves, in order to pay it’s bill in a timely manner, it is necessary to issue cash flow bonds.
Since Republicans took total control of the Iowa Legislature the State of Iowa has seen cash reserves shrink. In 2017 Democratic Senators left a cash balance of $44 million unspent surplus with $729 million in cash reserve funds. Republicans now have reduced the reserve balance to 610 million with another 50 million expected to be raided after a special session.
Republicans now face a fiscal shortfall of more than 300 million dollars in FY18. So much for the party of fiscal management. It is time for Governor Reynolds and Republicans to take responsibility for spending our State into the red.
Republicans continue to issue massive incentives to attract out of state corporations to Iowa. It is as if there is no budget crisis in our state.