I am writing in regard to two important measures, the Debt Prevention Amend…

By H. Kay Hedge

Dear Editor,

I am writing in regard to two important measures, the Debt Prevention Amendment and the 60% Amendment to the Iowa Constitution, which you and all voters in Iowa will have the opportunity to support on June 29 at the voting booth. The Debt Prevention Amendment would stop the state from spending itself into a debt situation by spending only 99 percent of their estimated general fund revenue. It also requires the state to maintain a rainy day fund that can be spent only by a 60% vote of the Legislature to pass any new state tax or any increase in the state income or sales tax.

These measures will not prevent all tax increases buy they make raising taxes a last resort by forcing lawmakers to cut wasteful spending and make government more accountable. Cutting wasteful spending would be necessary before going back to the taxpayers to make up their deficits. I believe these amendments are also good for Iowa’s economy encouraging business expansion and creating more jobs. More Iowans would have an incentive to remain in the state.

State debt causes higher property taxes. When Iowa was $408 million in debt in 1992, the state did not pay the full cost of the homestead credit and other tax credits against property taxes and also caused higher property taxes. If the Debt Prevention Amendment and 60% Amendment are adopted, this cannot happen again. Thirteen other states have similar amendments and they show a slower rate of growth in property than states without this protection.

Some opponents claim the amendment is anti-education. When the state was in debt in 1992, school aid payments were delayed and teacher were laid off. School district had to operate without their aid payments, or borrow money in order to make up the difference. Education dollars were wasted on interest payments. State having these amendments had slightly higher growth in education funding.

Laws may be repealed or changed at any time and amending the Constitution requires the approval of the Iowa Legislature in two different General Assemblies and then goes to a vote of the people.

Kalona’s Chamber of Commerce represents the citizens in your community. Your endorsement will positively influence many voters in your area. I ask you to formally endorse the Debt Prevention Amendment and the 60% Amendment.

Thank you.

Respectfully,

H. Kay Hedge

State Senator

Senate District #48