Iowa lawmakers are considering legislation which would require a two-thirds majority vote to increase taxes in the state. Supporters call it a show of accountability, but critics say it is irresponsible and will limit lawmakers' ability to raise revenue in times of critical need.

Senate Study Bill 1207 would require a supermajority of both the 100-member House and 50-member Senate to approve a tax increase in Iowa. Supporters of the measure say it would shield Iowans from increased taxes while still giving lawmakers a way to boost taxes when they need to, but having to clear a higher bar to do so.

Michael Owen, deputy director of Common Good Iowa, and other critics of the bill countered the state's democratic system is supposed to ensure one person, one vote.

"And this would turn that on its head," Owen argued. "This would make it possible, for example, for 17 state senators to block the will of the vast majority of state senators and a unanimous House and the governor if they thought it was important to raise taxes."

It is not likely to happen any time soon since both chambers and the governor's office in Iowa are all currently led by the GOP, but Owen stressed creating a law like this could have far-reaching consequences, taking the power out of the hands of future legislators who may need to raise taxes during a financial crisis.

Even if the bill is passed this year, it would have to be approved by Iowans in two consecutive elections to amend the state constitution.

What's more, Owen said, COVID relief programs will expire this year, and also pointed to Iowa's new flat tax, both of which will result in a revenue shortfall in the state, and which he contended makes a mandatory supermajority to raise taxes dangerous and fiscally irresponsible.

"If we're talking about taxes in a vacuum, we're really not telling the story," Owen stated. "We have to be talking about the services that are connected to them. So, if you're talking about a tax cut, your very next sentence should be, 'This is what services I'm proposing to cut, as well.' Well, you never get that."

The bill is on its way to the Senate Ways and Means committee.


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The Indiana Chamber of Commerce outlined six key priorities for lawmakers ahead of the legislative session in January.

Rather than releasing detailed policy positions, the Chamber emphasized broad focus areas, including workforce, education, economic growth, infrastructure, quality of place and community health.

Phil GiaQuinta, D-Fort Wayne, House Minority Leader, responded to the Chamber's priorities, highlighting the need to address child care as a factor in economic development.

"We talk about economic development with things that impact economic development here in the state. Child care is really one of those," GiaQuinta contended.

The organization stressed the critical role of affordable child care in workforce development, citing a report estimating Indiana loses $4.2 billion annually, including $1.7 billion in tax revenue due to child care challenges. High costs force some parents out of the workforce, straining the state's economy.

Statehouse leaders acknowledged the issue but differ on solutions. Democrats argued child care deserves more state investment, while Republican leaders believe the private sector should play a larger role.

Todd Huston, R-Fishers, Speaker of the House, said businesses should not expect the state to solve their child care problems entirely.

"They've done a lot of different things to try to support families and young families. We will continue to do that," Huston stated. "But I think we also have to set a level of expectations that we're not going to; the state's not going to be funding all universal pre-K."

The Chamber plans to release detailed policy proposals in January, aiming to guide lawmakers toward strategies to strengthen Indiana's economy and workforce.


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North Dakota is no stranger to public pension debates. States face pressure to keep retirement systems well-funded and new data show most Americans place great value on such benefits for both government and private-sector workers.

According to the National Institute on Retirement Security, 86% of Americans believe all workers, not just those employed by state and local governments, should have a pension. There are similar approval levels when asked how important public pensions are in recruiting teachers and public safety workers.

Dan Doonan, executive director of the institute, suggested it is not too surprising to see the results.

"Pensions, along with other benefits, are part of creating that culture of careers and not jobs," Doonan explained.

Starting in January, North Dakota will close its main public pension plan for new hires, who will instead be offered a 401(k)-style benefit. The move followed debate over whether it was the right way to address a $1.9 billion unfunded liability. Backers argued it protects benefits for existing workers and taxpayers but skeptics contended it makes it harder to attract workers to the public sector.

Doonan noted the survey results overlap with the idea maintaining an experienced public-sector workforce is a good thing for community members and not just the employee and employer.

"In general, when public services are done well, they're often invisible, right?" Doonan emphasized. "We want good roads, we want safe communities, and I think Americans understand the role of having career public servants in terms of delivering those outcomes."

The Bureau of Labor Statistics said state and local governments employ about 20 million workers, which represents about 13% of the U.S. workforce.

As Nebraskans anticipate the upcoming holiday season, some might also be looking ahead to the 2025 tax season, which will include a new tax credit for family caregivers, including those looking after military veterans.

Starting in 2025, a new state law provides eligible family caregivers up to $2,000 in tax credits for out-of-pocket expenses. The cap increases to $3,000 if the family member receiving care has dementia or is a veteran.

Jina Ragland, associate state director of advocacy and outreach for AARP Nebraska, said those who served have access to care benefits through the Department of Veterans Affairs but added it sometimes is not enough.

"Because some of their service-related illnesses or injuries, they extend beyond what they're able to afford, or maybe what the coverage is through the VA," Ragland explained.

She pointed out it puts more pressure on loved ones assisting them on a daily basis. During National Veterans and Military Families Month, supporters of the new law hope more families will see if they are eligible. Ragland noted while it helps reduce the financial strain, greater awareness of resources is also needed, to help all family caregivers avoid burnout.

Ragland emphasized one example is providing caregivers information about where to turn for guidance when a loved one is first discharged from a hospital. She argued entities at all levels need to maintain progress, because their outreach shows a demand for solutions.

"Over 90% of Nebraskans say that they want to age in place with the lowest level of care," Ragland reported. "In order to do that, oftentimes we have to rely on family caregivers."

There are no age restrictions to qualify for the tax credit. As for eligibility factors, the law includes an income limit of $50,000 dollars for individuals and $100,000 for married couples.