MVM Letter to Vilsack re: fundsJune 6, 2003
VIA E-mail and
1st Class Mail
Tom Vilsack (mse.mary. pratt@igov.state.ia.us)
Governor Tom Vilsack
GovernoFs Office
State Capitol
Des Moines, IA 50319
Dear Governor Vilsack:
I am writing to you to respectfully request that you veto HF692 and HF 683 which
exclude using funds from the recently passed Federal Stimulus Package to provide
relief to Iowa cities impacted by SF 453. While I know that HF 692 and HF 683 include
a provision to fund the Grow Iowa Fund, it should not be done on the backs of cities. As
you know SF 453 has had a devastating impact on cities and Dubuque is no exception.
Because of this bill, we will have to cut nearly $1.2 million dollars from our general fund.
Other increased costs such as health insurance costs will bring our total cuts up to
approximately $2 million and result in the elimination of up to 42 city positions. Despite
our efforts locally to hold down property taxes, reduce our workforce by over 11% and
recover from the economic problems of the 1980's, SF 453 will turn back the clock on
growth for Dubuque.
In your role with the National Governor's Association and as Governor of the State of
Iowa, you advocated a federal stimulus bill that included money to help states and
cities. You spoke to me twice, once on your visit to Dubuque and once at the SMART
Conference in Des Moines, telling me of the potential of $20 billion in federal money,
which would partially be used to help cities weather the state budget cuts.
The Federal Stimulus Package, championed by Senator Chuck Grassley and approved
by Congress, provides the State of Iowa the unique opportunity to stop the financial
blow placed on Iowa cities. The language in this bill clearly states the intent of these
funds to "provide essential government services". In a press conference on May 29 you
indicated that you would not support a proposal to use all federal stimulus funding for
Governor Tom Vilsack
June 6, 2003
Page 2
economic development without an alternate for restoring funding to local government. I
urge you to veto this bill and challenge the legislature to develop a bill that will provide
interim relief to cities devastated from funding cuts and provide economic stimulus with
the iowa Values Fund.
Sincerely,
Michael C. Van Milligen
City Manager
MCVM:cs
cc: Mayor Terry Duggan
Dubuque City Council
Susan Judkins, Director of Governmental Affairs, Iowa League of Cities
Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Pauline Joyce, Administrative Services Manager
Bill Baum, Economic Development Director
Randy Peck, Personnel Manager
Ken TeKippe, Finance Director