Reynolds hints at plans for tax cuts, school choice

Iowa governor-in-waiting Kim Reynolds has been carefully biding her time and biting her tongue when anyone asks what she’ll do when she takes over as governor.

“There’s going to be plenty of time for me to lay out what my objectives are, but right now we’re focused on the work that’s at hand,” she told reporters on Monday.

On Wednesday, however, she offered a few hints of how she might handle tax cuts and some other issues after ambassador-to-be Terry Branstad has ridden off into the East. There was no discernible shift from the administration’s current positions and outlook. But Reynolds laid down at least one marker for the future.

“You will see something done” on income taxes, she promised, even as she explained that lagging revenues are making it difficult to do this year. She was speaking early Wednesday to the Westside Conservative breakfast club in Urbandale.

“Our corporate tax is way too high; even with federal deductibility it brings it down, but people don’t see that, the first glance is what it is and we lose them,” she said. “We’re a right-to-work state, but we know we need to be very competitive."

OBRADOVICH: Branstad slow-jams his transition from Iowa to China

OBRADOVICH: Can Kim Reynolds escape Terry Branstad's shadow?

It’s possible to enact legislation this year that would be phased in over a couple of years, she said. “If we don’t get it done this year, it’s going to continue to be a focus. We have to do it because that’s what’s going to continue to make us competitive, not only in the nation but in the world.”

What that tax cut might entail is still in the works. The administration has looked into variables such as eliminating the federal tax deduction, lowering corporate rates, reducing the nine income-tax brackets to four and making the process simpler and flatter, Reynolds said.

“There’s a lot of different scenarios that we’re looking at, how to get the biggest bang for our buck and have it impact all Iowans in a positive way,” she said.

She also pledged, however, to stand up to fellow Republicans who are impatient for action. “I mean, they want it all, but we’re not going to do what some of the other states have done. If we do comprehensive tax reform, I want to make sure that it’s sustainable and I want to make sure that we can, you know, honor the commitments that have been made.”

Reynolds also indicated that school choice initiatives that spend taxpayer money on private schools would need to wait for healthier state revenues.

“We think parents need to have the opportunity to choose where their child should get educated,” she said, even as she argued that the administration has improved public schools through education reforms passed over the past three years.

On abortion, she encouraged advocates of stalled legislation declaring that life begins at conception to work on their legislators. “I will tell you from the administration’s perspective, this is the most pro-life administration in the history of the state,” she said.

She touted the Senate passing a bill eliminating state women’s health dollars from providers who offer abortion and noted the 20-week abortion ban is still pending. She did not specifically argue for the provisions of the personhood bill, which GOP leaders have said would almost certainly face a court challenge.

While offering no details, she also said she would keep working on ways to protect victims of domestic abuse and provide greater access to mental health services.

REGISTER EDITORIAL: Reynolds should leave lieutenant governor spot vacant

There were some differences in tone and style that have emerged between the governor-to-be and her boss and mentor. On two different occasions, she offered to meet with audience members who raised questions about issues related to understaffing of state prisons and a proposal to eliminate licensing for some professions.

She laughed at the way a Republican in the crowd was trying to lead her into claiming that some state employees love the new collective bargaining law. The bill, which eliminated most public workers’ right to negotiate over benefits and working conditions, faced angry opposition from many state employees and their unions. Reynolds didn’t waver in support of the legislation but also didn’t take the bait when asked about employee morale.

OBRADOVICH: Union busting? Iowa GOP is coming close

REGISTER EDITORIAL: GOP tells Iowans to shut up while we bust unions

“It’s mixed, it’s mixed. I mean, we want to be honest,” she said. “You know, we are grateful for our state workers. Day in and day out, they serve Iowans, too. But we need to be fair in what the expectations are.”

As for her own work, Reynolds raised expectations that she would maintain Branstad’s busy pace and 99-county travel schedule. She seemed mystified when asked whether she considered taking the day off on Wednesday. Organizers of the progressive Women’s March had called on women to stay home from their jobs to raise awareness of the importance of women in the workforce.

“I’m on the job every single day, even when I’m at a ballgame with (granddaughter) Avrie in Earlham. I’m a lot of times on my phone and working,” she said. “And the reality is, this is just what we do.  And I love it, it’s OK and it just goes with the territory, but we’re working every single day.”