Governor's plan is a start

Gov. Chet Culver rolled out 90 ideas this week for making state government cheaper. The recommendations were crafted by Public Works, a consulting firm hired by Culver in August to help trim expenses amid budget woes.

Culver contends the list would slice state spending by $341 million during the next budget year, fiscal year 2011, and save $1.7 billion over the next five years. Some of the ideas will be instituted through an executive order issued by the governor, likely next week. Others will need legislative approval next year.

There is a lot to like among the consultant's proposals.

Many of the concepts that will be included in the executive order are good ideas. Consolidating information technology, purchasing and e-mail systems makes sense, as does reducing the state's vehicle fleet and auditing state employee health coverage to find ineligible dependents on the roles.

The plan also says the state can rake in more than $60 million by going after unpaid debt and unclaimed financial property held by banks. We're skeptical of the estimated windfall, but we support efforts to collect more.

It also makes sense to legislators to approve a package of early retirement incentives for state workers that could save $59.8 million annually in personnel costs. The $282 million, five-year savings makes retirement the largest single chunk on Culver's list.

Legislative initiatives allowing the state to audit its property holdings and lease agreements and consolidating some prison operations make sense, among several others.

But we're not thrilled with every idea. The biggest red flag in the report calls on the Legislature to transfer the Iowa State Patrol's $50 million budget into the Road Use Tax Fund. The fund is filled mainly by gas tax dollars and covers the state's share of highway construction and road repair.

Shifting the cost of a state agency into a road fund that's already growing too slowly to meet the state's transportation needs is shortsighted and a bad precedent. Lawmakers smartly removed the patrol's budget from the fund in 1996 and resisted efforts by Gov. Tom Vilsack to raid the road fund amid budget problems in 2002.

Culver argues that his administration has accelerated road-building work. But that's largely due to a shot of federal stimulus dollars. Once that money is spent, Iowa will once again rely on the Road Use Tax Fund that Culver would deplete. The governor has resisted a gas tax increase to augment the fund, which makes adding another burden to the fund even more misguided.

We're also concerned that Culver's plans won't be enough to fill a widening budget gap topping $1 billion, according to nonpartisan estimates.

These proposals should be only the beginning of a serious conversation about restructuring and reforming state government in Iowa.