Governor Kim Reynolds will deliver the annual “Condition of the State” address tonight and she’s promised to reveal details of what she has described as a “bold, yet practical” plan to cut income taxes.
“Iowa is moving in the right direction and I’m — and we’re — determined to build on the progress and the momentum that we’ve seen over the last couple of years,” Reynolds said at a forum sponsored by the Iowa Capitol Press Association.
Reynolds signed a bill into law last June that eliminates the state inheritance tax and cuts personal income tax rates. This follows income tax reductions she approved in 2018.
“Despite tax cuts and record investments, the storms, the droughts and a worldwide pandemic,” Reynolds said, “we still managed to end Fiscal Year 2021 with $1.24 billion surplus and a billion dollars in cash reserve.”
Democrats say the surplus wouldn’t have been possible without the billions in federal pandemic aid from the Trump and Biden Administrations. Reynolds took over as governor in mid-2017. Since then, Reynolds notes the state has endured unprecedented events like droughts, flooding, two derechos and a pandemic.
“As we all begin 2022, I really couldn’t be more hopeful about Iowa’s future and there are many reasons for my optimism, but at the top of the list is the strength and the resilience of Iowans in the face of adversity,” Reynolds said.
The governor is scheduled to deliver her “Condition of the State” address in the Iowa House shortly after 6 tonight.