LEGISLATUREENDS WITH BALANCED BUDGET; HELP FOR SMALL BUSINESSES & THE MIDDLE CLASS

DES MOINES – After the 2010 legislative session adjourned onTuesday, State Representative Mark Smith, D-Marshalltown said the IowaLegislature responsibly balanced the state budget without raising taxes while layingthe groundwork for Iowa’seconomic recovery.  

“During these tough economic times, we focused on the prioritiesof middle class families – balancing the budget, good-paying jobs and aquality education,” said Smith.  “We made tough choices and reorganizedstate government to find over $265 million in savings instead of raising taxes,which has put Iowain a much better position than many other states.”

For Fiscal Year 2011, which starts July 1, the budget plan approvedspends less than last year and even spends less than the state budget approvedfour years ago.  The ending balance next year will be over $180 million and anadditional $200 million will still be in the state’s savings account. 

“Since small businesses are the backbone of our economy, wefocused our efforts this year on initiatives to make it easier for smallbusinesses to get support and expand,” said Smith.  “We alsorefocused state tax credits and other programs to ensure small businesses haveaccess to and qualify for more state assistance.” 

The Legislature approved a new $5 million small business loan fund andexpanded technical assistance for businesses and entrepreneurs.  An additional$100,000 was given to Iowa Small Business Development Centers, which provideone on one counseling and support for business owners at 15 locations across Iowa, and the state also expanded on-line support for Iowa small businesses atMyEntre.Net.

“In tight budget times, it’s more important than ever to keepour commitment to education and our future.  We will continue to provide youngIowans with a quality education and keep good teachers in the classroom,”added Smith.

Legislators increased funding for k-12 schools $147 million next year,expanded preschool to all four year olds, and continued plans to make sure everystudent graduates with the skills necessary to land a good-paying job intoday’s global economy.