“The December revenue estimate includes both good and bad news for the state budget – concerning both the national economic recession and revenue projections for FY 2009 and FY 2010,” says House Majority Leader Kevin McCarthy of Des Moines.

“We have over $620 million in the state’s rainy day funds and we have a Governor and state legislature that are committed to fiscal discipline,” McCarthy continued.

“Yet, we need to be prepared for real cuts in budgets for both 2009 and 2010. There will be real cuts and there will be real pain, but I do believe that Iowa is in a better position to weather this budget storm than almost any other state. I am disappointed in statements made by Republican leaders. Now is not the time to play partisan politics…we are all in this together and need to work together in a bipartisan way.”