Iowa House Republicans say they’ve reached an agreement with the Senate on the state budget.
They’ll budget over $9.42 billion for state services in the next fiscal year, which is closer to the Senate’s initial proposal. The deal includes $14 million for paraeducator pay that was a priority for the House GOP. Lawmakers will have to use about $900 million of reserve funds because revenue is expected to decline due to tax cuts.
Republican Rep. Gary Mohr of Bettendorf, chair of the House Appropriations Committee, says that’s not a problem because the state has saved $6 billion.
“I’m not concerned about having to use some of those dollars. Again, we knew that was going to be necessary when we put this plan together.”
Democrats are criticizing the GOP for creating a potential budget crisis by using one-time money to cover ongoing expenses.