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IA Governor Seeks $700 Million For State Projects

January 13, 2009, 1:13 PM

Iowa Governor Chet Culver wants the Legislature to use the state's bonding authority to pay for flood recovery and repair the state's aging infrastructure, including roads and bridges, trails and rails and public buildings.

Culver, in his annual speech, asked lawmakers to borrow $700 million. The tax-exempt bonds would be repaid over 20 years with spending from the fund governed by a new Rebuild Iowa Infrastructure Board. Iowa would repay the bonds by using $56 million a year in gambling profits.

Culver also asked lawmakers to spend $43 million immediately on flood relief. That money would come from the state's cash reserves.  

Culver says his plan would deal with the natural disasters of last summer and the growing economic recession. He says it's time for Iowa to begin "investing in itself, investment that's been delayed for decades."

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