Branstad to Receive Update on State’s Financial Situation
DES MOINES, Iowa — Governor Branstad will get another update on Tuesday regarding the state’s financial situation, but he does not expect it to be good news.
The governor will not say what he’s willing to do if those numbers are bad, but he also is not ruling anything out.
“We’re going to wait to see what the REC number is before we do, but I hope we would move quickly with the collaboration of the legislature to deal with the situation,” he said.
When asked if that could mean potential cuts or layoffs, the governor said, “I wouldn’t speculate about any of those things, but once we get the numbers we do intend to move quickly.”
The legislature had to begin the 2017 session by slashing more than $100 million from the current year’s budget due to declining tax revenue. The governor blamed that on a downturn in the agriculture economy.
Democrats have said the governor’s tax cuts to corporations–which they say totals more than $500 million annually–is the reason the state is bringing in less money.