House Issues – 2002
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2002 DEAPPROPRIATIONS
(SF 2304) Instead of using $120 million from the Rainy Day Fund, the 2002 budget was readjusted by using only $45 million from the Rainy Day Fund, transferring $51 million from other funds, and forcing a 1% cut in some departments and furloughs for state employees.
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RAINY DAY AMENDMENT (H-8104 to SF 2304) This amendment would have enacted Governor Vilsack’s proposal to use $120 million in Rainy Day money so that no cuts or lay-offs would have to occur.
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PUBLIC PROTECTION AMENDMENT
(H-8112 to SF 2304) Provides $12.8 million from Economic Emergency Fund to prevent furloughs or layoffs of workers providing public protection services, including members of the national guard, nurses, hospital workers, corrections officers, child protection workers and others who provide important services to Iowans.
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2003 OMNIBUS BUDGET
(SF 2326) Appropriates $2.7 billion from the General Fund for Administration and Regulation, Agriculture and Natural Resources, Economic Development, Education, Health and Human Rights, Human Services, Justice Systems and Judicial Branch and Standing Appropriations. This represents a cut of $88.1 million and over 285 employee positions.
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USE TAX DIVERSION
H-8519 to HF 2614) Diverts $60 million from the sales tax on cars, which usually goes into the road fund, to pay for education.
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S CORPORATION TAX DEDUCTION
(H-8013 to HF 2078) Eliminates a provision that allows shareholders of a Subchapter S Corporation that allocates income to other states to deduct 100% of their federal tax liability from their Iowa income tax, costing the state $950,000 in lost revenue per year.
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INSURANCE PREMIUM TAX CUT
(SF 2318) Provides a 50% tax cut for insurance companies that will cost Iowa $50 million to $78 million in lost revenue per year.
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WORKERS’ COMPENSATION
(SF 2190) Reduces Workers’ Compensation benefits for workers who sustain a permanent injury by crediting the employer for any previous permanent injury and subtracting the percentage from the worker’s current benefit.
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CHOICE OF DOCTOR
(H-8349 to SF 2190) Allows injured workers to choose their own medical care in a Workers’ Compensation case.
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PROJECT LABOR AGREEMENTS
(SF 2048) Prohibits Vision Iowa funds from being disbursed to public entities if the project is being constructed under a Project Labor Agreement, thus denying government the same tool that private industry uses to assure quality work, timely completion of a project and fair wages and benefits for employees.
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FAIR LABOR STANDARDS ACT
(HF 2217) Destroys state workers’ right to sue for overtime under the Fair Labor Standards Act by reversing a Supreme Court decision that allows salaried management and professional employees to receive overtime pay if they are subject to disciplinary layoffs.
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CHILD LABOR
(SF 2121) Lifts restrictions to allow workers under 18 who are employed to wash cars to work with chemicals and detergents that might be corrosive, toxic or even potentially fatal.
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