Iowa ranks second in the nation in Quality of Life according to Congressional Quarterly Press. This is a widely published comparison of the 50 states issued each year by the Washington-based group. Factors, including a healthy population, safe neighborhoods, and excellence in education, contributed to Iowa's best showing in three years.

“Iowa is a great place to live and raise a family, and Iowa remains in a strong position to create jobs and compete worldwide” said Governor Chet Culver.

The House Ways and Means Committee passed legislation cutting income tax rates by about 20% for all Iowans and cutting taxes for the middle class by $34 million. Although revenue neutral to the state, taxes on 67% of Iowans stay the same or decrease. The bill also eliminates nine lines from the Iowa income tax form, the biggest tax simplification in decades.

House File 807 eliminates the deduction for federal taxes, raising $595 million. Of that, $589 million is used to cut all tax rates, and the remaining $9 million is used to increase a tax exemption for the blind and those age 65 and over from $20 to $40, to increase the Earned Income Tax Credit, increase the Child and Dependent Care Credit, and increase the Early Child Development Credit.

Since last summer, over $2 billion has been authorized for flood relief efforts in Iowa. Much of the money is coming from the federal government. As a result, the state must jump through many hoops before actually distributing the money. State funding has been distributed more quickly, but claims for state funding must also be verified before checks are written to disaster victims.

The difference between federal and state programs is most stark in the assistance to homeowners. Almost 1,600 applications have been approved, $28 million has been obligated and $20 million has been distributed under the state Jumpstart Program. The average grant is $17,300.