Angie and I have met some great people and made many friends. With the adoption of the new maps, my district will change, as will those of a number of colleagues. In 2013, my new district, Senate District 3, will include parts of Plymouth and Woodbury Counties, and I will no longer represent Cherokee County.
We spent a fair amount of time in Cherokee County during the campaign of 2010 knocking on doors, meeting voters, and walking in parades. I will always appreciate the support of the good people of Cherokee County who delivered a decisive victory to me on election night, winning with 67% of the vote. Thank you, Cherokee County, for your friendship and support.
I will work hard over the next 18 months to continue representing the great people of this district. I look forward to meeting many of my new constituents in the weeks and months ahead so we can begin building the type of relationship I have with my current constituents. To my constituents in Cherokee County, Senator Randy Feenstra is likely your new senator. Senator Feenstra is a capable man who has been very helpful to me in my first term. If you have any questions about the adopted maps, or who your new senator or representative may be, please feel free to contact me.
During last year's campaign, Governor Branstad pledged to pass a two year budget, an idea he believes will restore predictability and stability to Iowa. The House has passed various budget bills in two year form. Senate Democrats do not agree with Governor Branstad's two year budget proposal, and have passed single year budgets for both Economic Development and Transportation Appropriations. The Governor vetoed the Transportation Appropriation budget, and theping pong match continues.
The Branstad/Reynolds budget would include $770 million in cuts to programs financed with one-time federal money, $160 million in direct property tax relief to Iowans. It also fully funds the state's share of our school funding commitments, the small business income tax rate will be cut in half and made a flat 6%. Commercial property taxes will be reduced by 40% over the next five years with new investment being immediately taxed at 60% of its valuation, and existing commercial property will be rolled back by 8% a year over five years.
The Senate majority party ran a bill that would reduce commercial property taxes, but it does not go far enough to facilitate growth or entice new businesses to Iowa. The Senate Democrat proposal calls for a $50 million growth-based tax credit, which provides a $600 property tax credit. Senate Republicans had a proposal which created a new property tax credit that cuts property taxes by 24% over four years. A total $200 million state appropriation provided over four years will help defer the cost of the property tax reduction credit. Finally, the Republican plan included a property tax levy limitation for cities and counties. Also important to note that this is not a one-size-fits-all approach and there are flexibility measures built in to the total package. Our proposal was rejected so we have to ask ourselves if $600 is really enough.
I want to thank you all again for giving me the honor and opportunity to serve as your state senator. Please feel free to contact me with questions, comments and ideas. You may reach me at 712-898-2505 or send an email to firstname.lastname@example.org.
Please forward my newsletter on to your family and friends. If you would like to be added to my email list send me your contact information. Until next time, have a great week.