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Letter: The future is uncertain

Letter: The future is uncertain

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On March 26 the Quad-City Times carried an op-ed from two Iowa anti-tax organizations that expressed a narrow view of President Biden's American Rescue Plan Act.

Taxes are also revenue allowing the state to provide services. When cutting taxes, services must also be cut. The American Rescue Plan Act prohibits cutting state taxes because the act’s funds are a one-time bump in state revenues, and if taxes are cut due to this, the state’s future income may be inadequate to pay the bills without serious cuts in services.

Rosy as the fiscal outlook may be just now, the future is uncertain. The pandemic exposed major gaps in our ability to equip our hospitals with supplies, equipment, personnel, the ability to test, vaccinate, and even communicate with everyone. Businesses failed, while ex-employees, at least for the short term, will require state assistance. With many people working from home, companies are thinking about restructuring, which may decrease the tax base.

School systems need structural/equipment changes and enhanced computers. Working from home and distance learning disclosed large voids in statewide internet service that must be corrected, even at a high price, for businesses to come to Iowa and be ready for the next pandemic.

Today’s businesses and farms need high-speed internet. Our schools were dropping in national standings even before the pandemic. The list of things that contribute to an uncertain future for state revenues is long. It is too early to be advocating for revenue (tax) cuts.

Glenn Leach



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