Republicans on a House subcommittee have endorsed a moratorium on state economic development awards to businesses in Iowa’s four most populous counties. Over a million Iowans live in Polk, Linn, Scott and Johnson Counties. Republican Representative Derek Wulf of Hudson says it’s time for a shift.
Representative John Wills, a Republican from Spirit Lake who represents western Kossuth County, says the state’s four most populous counties already have the infrastructure to keep growing.
Business and tourism groups are opposed the bill. Dustin Miller is executive director of the Iowa Chamber Alliance which represents the 16 largest chambers of commerce in Iowa.
Sara Allen, a lobbyist for the Iowa Travel Industry Partners, says regional partnerships are key.
Craig Patterson, a lobbyist for the Professional Developers of Iowa, says there are other ways to direct state incentives to boost development in rural areas.
The chairman of the House Ways and Means Committee says the bill is likely to be considered — and may be changed — by his committee before the end of the month. According to the Iowa Chamber Alliance, the highest number of state economic development awards go to businesses in cities with populations between five-thousand and 30-thousand residents — but state incentive packages tend to be larger in the state’s largest urban areas.
