Last year, Governor Culver hired a $300,000 out-of-state consultant to make suggestions of where the state could save money. At the conclusion of their work in Iowa, these consultants produced a report suggesting that Iowa could save $1.7 billion over 5 years. Governor Culver and legislative Democrats were quick to say they would piece together a bill that would save the state $250 million dollars in this year alone with more savings in future years.
After independent and non-partisan analysts scored the nearly 250 page bill, they came to the conclusion that the savings will only add up to approximately $43 million, a tiny fraction of the advertised savings that the taxpayers were told they could expect to see.
In addition, many portions of the bill do not amount to a reduction in government– but instead amount to more government. Several provisions also include new ways for the government to generate more revenue instead of finding new efficiencies or cost savings. Other parts actually increase the size and scope of the bureaucracy.
I applaud that we have found $43 million in savings but lets be realistic before we promote a grandiose plan of massive savings.