Gov. Chet Culver described the condition of the state as “resilient” during his Condition of the State Speech this morning, and said his fiscal year 2011 budget would fully fund the 2 percent allowable growth for schools and commit at least $100 million from the state’s reserves to aid Iowa schools that are reeling from a 10 percent across-the-board budget cut.

“This will be a real shot in the arm for some of our schools, especially in rural districts, which are already cash-strapped with depleted reserves,” Culver said.

Culver asked the legislature to pass legislation that would require schools spend down a portion of their cash reserves instead of shifting the burden to local property taxpayers.

Culver outlined his top 10 legislative and budget priorities, four of which were education-related, for 2010. He fingered job creation as his main priority, and asked the legislature to fully fund community college job training, adequately fund the Department of Workforce Development and fully fund the Iowa Power Fund to create more green-collar jobs.

Other priorities include:

• Enacting the remaining recommendations contained in his Government Efficiency Report, which could save Iowa $1 billion during the next five years.
  
  
• Fully funding the Rebuild Iowa Office to help deal with floods and other weather events.
  
  
• Following the recommendations made last week by the Tax Credit Review Panel.
  
  
• Encouraging the legislature to pass legislation that would allow Iowa to compete for federal Race to The Top funds, that could allow Iowa to receive $175 million to help children compete in the new global economy.
  
  

Culver also tried to set the record straight on the state’s budget situation, disagreeing with those who say there is a $1 billion shortfall.

“Speaking of the budget, some politicians and armchair quarterbacks appear to be confused about our current budget situation,” he said. “Let’s end their confusion. Here are the facts. Today, the budget is balanced. And it has been balanced every single day I’ve been governor. Additionally, because of our cost savings initiatives, the budget today is smaller than it was on the day I took office.”