We are now 30 days beyond the scheduled 100th day of session. The legislature had been on a bit of a hiatus for the last two and a half weeks, gaveling in and out as required by Constitution/rule…until this week. Progress this week signaled that the chambers have reached a final deal: Education Savings Accounts (ESA) will not receive a vote in the House and House budget targets were reduced by $72 million.
Legislative leaders and appropriators were back under the golden dome working out a path to adjournment. Significant progress was made on Wednesday, as the Senate Appropriations Committee passed eight budget bills through subcommittee and out of full Appropriations Committee, as well as the Standings Appropriation bill.
The Senate had reached agreements with the House on six of the budgets; the Senate introduced their own Admin and Regulations budget bill SF2385, but it is not expected there will be a further amendment to the bill. The Education budget was still being negotiated as of Wednesday, but Amendment S-5154 was filed Friday morning. Similarly, the House and Senate agree on the HHS budget, but Amendment S-5155 was not filed until Friday afternoon. See the full Appropriations Bill Chart below.
All of these budget bills are eligible for debate on Monday and based on the Senate Debate Calendar that was released this afternoon–that is what the Senate intends to do. Once the Senate approves the budget bills, they will move to the House and will only require amendments on the floor to finalize the budget (except for the Standing Appropriations bill SF2384 and the Admin and Regulations budget SF2565, which will need to receive House committee approval before going to the floor).
Fiscal Year 2023 Appropriations:
Executive Branch Update
Renewable Fuels
This week, Governor Reynolds signed HF2128 the Governor’s Renewable Fuel (E-15) bill on a farm outside Prairie City. Creating a renewable fuels program remained a priority for Governor Reynolds in 2022. Iowa is now the first state in the nation to adopt an E-15 standard. The Governor made the following statement after the bill signing:
“I’ve never been prouder than I am today to be the Governor of the number one ethanol and biodiesel-producing state in the country. Iowa’s biofuel production powers our economy and fuels the world, and this historic bill sets the stage for the single largest expansion of biofuels in our state’s history. We’re sending a message that can’t be ignored: America’s energy is growing right here in Iowa’s fields.”
Child Care
On Wednesday, Governor Reynolds announced that the state will offer Child Care Business Incentive grants, with $20 million for investments in local infrastructure to expand capacity and $5 million to help employers reserve childcare slots. The Governor convened a Child Care Task Force in March 2021 to address the childcare shortage in Iowa. Childcare shortages are estimated to cost the state $935 million annually in lost tax revenue, worker absences, and employee turnover.
Bills Signed by Governor
On Tuesday, May 17, Governor Reynolds signed five bills into law. The Governor has now signed 70 bills into law and has 45 bills awaiting her signature after formal enrollment by legislative leadership. Find an updated list of bills that have been signed/enrolled attached.
What’s next?
Both chambers are set to return on Monday, May 23. It is likely the legislature will work long days and late nights next week to finalize the FY 2023 budget and approve any lingering priority policy bills until they close out the session. Barring any significant breakdowns, it appears the legislature will adjourn sine die 2022 session by Memorial Day weekend.
Resources:
Updated Appropriations Chart
Bills signed by Governor Chart
