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Senate Journal: Page 45: Tuesday, January 12, 1999

  Treasurer of State, Michael Fitzgerald; Secretary of Agriculture,
  Patty Judge; and Auditor of State, Richard Johnson.

  Mrs. Chris Branstad, wife of the Governor, and their sons, Eric
  and Marcus.

  Lieutenant Governor Joy Corning.

  Governor-elect Tom Vilsack and Lieutenant Governor-elect Sally
  Pederson.

  The committee waited upon Governor Branstad and escorted him
  to the Speaker's station.

  President Kramer presented Governor Branstad, who delivered
  the following Condition of the State and Budget Address:

  President Kramer, Speaker Corbett, Lieutenant Governor Corning,
  Governor-Elect
  Vilsack, Lieutenant Governor-Elect Pederson, Chief Justice McGiverin,
  Justices and
  Judges, State Officials, Senators and Representatives, Distinguished Guests,
  and
  Friends.

  On this, my last State of the State Address, pardon me if I get just a
  little bit
  nostalgic.  I vividly recall, back in 1982, when then Governor Ray was being
  touted for
  his 14 years of outstanding service.  My friend, Senator Chuck Grassley, in
  his own
  unique style, rose before the assembled throng and pronounced that Governor
  Ray was
  "the longest Governor in the history of Iowa."  Well, I've never been
  accused of being
  the "longest" Governor in Iowa; the shortest, maybe; but never the longest.

  These past 16 years have been the best years of my life.  Challenging, yes;
  stressful,
  at times; demanding, always.  But I was and remain invigorated each and
  every day by
  my love for this state and its people.  To all of you who have put up with
  my mustache,
  my less than silver tongue, and my Iowa earnestness over all these years, I
  say thank
  you.

  Thank you for giving this farm boy from Winnebago County a chance to be your
  Governor.  I will never forget the honor you gave me when I led you well,
  nor the
  tender mercies you showed when I struggled with you to find a better way.

  To the members of the General Assembly past and present, to Lieutenant
  Governor
  Corning, my partner of the last eight years, and our State officials, and
  all those
  Iowans who dared to dream with me of better things to come, I say thank you.
  You've
  built a better Iowa for all of us.

  It's been a great run.

  ?
  ? (np)
  ? In January 1983, the unemployment rate was 8.9 percent and 126,000 Iowans
  were out of work.  Today, our unemployment rate is 2.5 percent and more
  Iowans
  are working than ever before.
  ? Sixteen years ago, our budget was not balanced and taxes had to be raised.
  In
  1999, we have a record budget surplus, and taxes have been cut four years in
  a
  row, and should be cut again this year.
  ? In 1983, we were in the midst of a farm crisis where we literally lost a
  generation
  of Iowans.  As we approach the 21st century, we can be proud that Iowa is
  growing again, and a majority of our counties are gaining population.

  I can go on:
  ? The unemployment trust fund -- from a $63 million deficit to a surplus of
  over
  $750 million;
  ? Manufacturing jobs, up almost 24 percent, despite a decline nationally,
  with
  payroll jobs up 40 percent;
  ? Per capita income, up 115 percent;
  ? Housing values, 147 percent higher in the last ten years;
  ? Factory exports, up 234 percent and business failures, down 80 percent in
  the last
  decade.

  We now manage under generally accepted accounting principles, with adequate
  reserve accounts, and with spending under control.  State government now
  operates as
  a single enterprise with a common goal, not as a multitude of independent
  agencies.

  I could go on and on.  Indeed, 1998 proved that our economic diversification
  strategy worked.  Despite record low pork prices and other farm commodity
  prices in
  the pits, our economy continued to grow.

  How did we do this?  We focused on the fundamentals.  We made the state more
  competitive by cutting taxes and regulations.  We put training and incentive
  packages
  together for quality jobs.  We invested in education at all levels to build
  a strong work
  force.  We trained and energized a new generation of community leaders
  committed to
  economic development.  We built commercial highway and telecommunications
  networks to link and to provide better access to all parts of our state.
  And we
  marketed and promoted Iowa like never before.

  As we close the books on 1998, I am pleased to report that the state of our
  state is
  strong and sound.  Iowa was recently recognized as the best state in America
  to raise a
  child.  Iowa is, indeed, in good shape.

  But enough of the past.  What about the future?  What's in store for Iowa as
  we
  embark on a new century and a new millenium?

  Someone once said that the definition of a statesman is a former politician.
  Well,
  as a soon to be statesman, let me visit with you for a minute with some
  straight talk
  about change and the future of Iowa.

  You see, Iowa needs to change -- in three major ways -- if we are to reach
  our
  potential as a people.  Now, I know that we Iowans don't like change.  I'm
  living
  testimony to that.  If things work, we generally don't tinker with them.
  Lord knows,
  with all the change in the weather, we don't need more change to deal with
  in our lives.

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