DES MOINES, Iowa (AP) -- Republican lawmakers and Gov. Terry Branstad have very different ideas on how to use state budget surplus dollars.
Branstad has proposed spending much of Iowa's nearly $1 billion surplus on property tax cuts and education reforms over the next five years. But Republican leaders in the Legislature announced Thursday they would back proposals to credit extra money back to taxpayers. The state first would ensure that reserve funds were filled.
Senate Republican leader Bill Dix proposed a credit of $750 per family
The proposal could pass the House, held by Republicans, but might face problems in the Senate, controlled by Democrats.
Asked about the Republicans' proposal, Branstad spokesman Tim Albrecht noted that property tax cuts were the governor's priority. Albrecht says Branstad would review any tax proposal lawmakers approve.
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