There’s been a breakthrough at the Iowa statehouse that resolves a dispute over tax policy and it appears the stand-off over school funding will be over soon. Senate Democratic Leader Mike Gronstal says legislators chose compromise over partisan stalemate…
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Legislators have agreed to a one-year extension of a tax break, so small business owners and farmers will save about 95-million dollars in state income taxes. House Speaker Linda Upmeyer, a Republican from Clear Lake, has been publicly advocating for that tax break for weeks…
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The other part of the deal will scale back a tax break to manufacturers. Governor Terry Branstad’s administration acted on its own last year to erase state sales taxes on consumable supplies, like drill bits and hydraulic fluid that are used in the manufacturing process. Legislators have agreed to scale that back by about a third. The other part of this deal is not yet done according to leaders like Upmeyer — but it appears legislators will vote within the next 10 days to set the level of general state aid for schools, for the budgeting year that starts July 1st.