Gov. Reynolds’ budget plan

The governor’s budget plan set an $8.1 billion target for state spending — a 3.7 percent increase that would fund priorities in broadband expansion, K-12 and higher education and mental health programs for adults and children. Reynolds is seeking to boost state general-fund appropriations by $331.4 million. That included the first of three $150 million yearly installments for broadband, a 2.5 percent increase in state aid to K-12 schools and community colleges, a $15 million increase to regent universities, $38.7 million for Medicaid and human services needs and $15 million for mental health.

Senate Republicans propose tax relief

Senate Republicans also are proposing significant tax relief by eliminating the 2018 income tax “triggers” with a first-year cut to state revenue of about $110 million, phasing out the state’s inheritance tax, and revamping the mental-health levy with a state takeover of local costs that backers say will net $100 million in lower property taxes.

House Republicans have indicated plans to commit about $100 million to broadband expansion. But they have not weighed in on various tax-cut proposals other than approving a bill now awaiting Senate action to waive state taxes on federal PPP grants and loans for businesses and jobless insurance benefits for Iowa workers hurt by the impacts of the COVID-19 pandemic.