State lawmakers are considering legislation to limit the budgeting power of cities and counties

The Iowa House of Representatives held a debate Monday afternoon on a measure to impose a cap of 2 percent on the amount of increase in spending local governments can impose.  Any increase higher than 2 percent would have to be approved by voters in a referendum.

The Decorah City Council has gone on record as opposing the legislation.  City council member Steve Luse says the bill would have "significant impact" on the city's budget.  Decorah City Administrator Chad Bird agrees, saying such a measure would have real impact on the way the city operates.

The Iowa Senate has a companion bill which also calls for the 2 percent cap, but has a few variations from the House bill.  Those differences would have to be worked out for the legislation to become law.  Iowa Legislature leaders have been talking about adjourning this year's session soon, so there isn't a lot of time for proponents of the measure to get the work done.