Culver: Flood recovery won't force other cutbacks

Culver said the state's emergency reserve funds are at historic levels. Although he didn't commit to spending the reserve, he said the state was financially prepared to deal with flood damages without retreating from previous commitments.

"We will be able to both protect and fund our priorities and honor our commitments to Iowa teachers and to Iowa kids," Culver said. "Our fiscal house is in order."

Culver, speaking during a taping of Iowa Public Television's "Iowa Press" program, also joined top legislative leaders in ruling out an increase in the state's gasoline tax.

The federal government will likely pay for the bulk of Iowa's flood cleanup, but the state will face a hefty bill as well. Culver has said he likely will call lawmakers into special session in September to begin the flood recovery.

After he was elected in 2006, Culver pushed the Legislature to approve hundreds of millions of dollars in new spending to increase teacher pay and expand preschool programs over four years. Culver also succeeded in creating an Iowa Power Fund, with $100 million to spend over four years on alternative energy production.

"We need to honor the commitments we've already made to the people of Iowa," said Culver.

Despite the huge cost of flood damage, Culver ticked off several options for flood recovery money.

"We have $620 million in our reserve fund, our emergency fund today," said Culver. "By comparison, after the floods of '93 they had $48 million in the reserve funds. The good news is there are emergency funds that we can tap if we need to."

In addition, Culver said he would consider bonding, essentially allowing the state to borrow some of the money that's needed. He said talks with legislative leaders in both parties will bring agreement on financing details.