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State officials monitoring impact of federal shutdown

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January 10th, 2019 by Ric Hanson

(Radio Iowa) — State officials say if there is a prolonged shutdown of federal agencies like the U-S-D-A, they may shore up state programs run in conjunction with the federal government. Governor Kim Reynolds spoke today (Thursday) at a statehouse forum organized by The Associated Press. “I’m proud of the fact we do things differently here in Iowa. I think Iowans don’t like what they see happening out in Washington, D.C.,” Reynolds said. “…They like the fact that, for the most part, two parties are able to work together to put Iowans first.”

Reynolds told reporters her budget director checks every day with state agencies that may be impacted by a federal government shutdown to ensure “essential services” are provided to Iowans. “Right now, we’re in pretty good shape. We’re hoping that they can get something done,” Reynolds said. “Who knows, right now, what that looks like, but we’ll continue to monitor it.” Legislative leaders say there’s no need for action now, but they’ll re-evaluate if the the federal government shutdown lasts for months.

House Speaker Linda Upmeyer, a Republican from Clear Lake, says the election’s over, it’s time to get to work.  “I don’t want to speculate too far into the future,” Upmeyer told reporters at today’s AP forum, “but we need people to get busy and solve their problems, find solutions, compromise and get this job done.” House Democratic Leader Todd Prichard of Charles City says if the state eventually has to “fill voids” in federal spending, that may create budget headaches.  “I think the situation in DC shows the importance of Iowa having sound budgeting principles and practices and being in a position where we can deal with the unexpected,” Prichard told reporters at the AP forum,” whether it’s a federal shutdown (or) whether it’s a sudden downturn in the economy.”

The food stamp program is a joint state-federal program, run through the U-S-D-A, which is shuttered. The U-S Ag Secretary has said there’s enough money to provide benefits in February if the shutdown continues. Janet Petersen of Des Moines, the Democratic leader in the Iowa Senate, says if the shutdown lasts longer, state officials need to act. “I can’t imagine that we wouldn’t assure Iowans that we will make sure they can put food on the table if things in DC are still going horribly wrong,” Petersen says. “Iowans deserve to know that they’ll be able to feed their families.”

The State of Iowa ended the last budgeting year with a surplus. Estimates indicate there’s a 200-million dollar cushion in the current year’s state budget. That’s in addition to the state’s economic emergency funds.