WATERLOO -- Iowa Democratic leaders met in Waterloo on Tuesday to unveil a plan to secure the state's economic future.

Their mission for the 2009-2010 legislative session is not about government handouts. It centers on helping middle-class families and businesses succeed in today's challenging global economy.

"Middle-class families and small businesses are being hit financially by high gasoline and high energy prices, increasing health care costs, potential job loss and natural disasters," said House Speaker Pat Murphy, D-Dubuque.

One local Republican supports many of the plan's nonpartisan issues, but is concerned it doesn't cover the state's increased level of spending.

"The level of state spending over the past two years has gone up hundreds of millions of dollars," said Rep. Tami Wiencek, R-Waterloo. "It's not a partisan issue, this is just common sense. I don't think it's going to help our taxes. It's not sustainable. I had one constituent who said, 'We have to reign in our budgets, Tami, what is state government doing about reigning in its budget?' "

The plan includes making Iowa an energy independent "green" state to relieve the nation's dependence on price-gouging international oil companies. Incentives are in store to expand renewable energy.

In the past two years, the development of biofuels, wind energy and energy efficiency has created 2,000 green collar jobs, Murphy noted.

Other major components of the plan propose rewarding hard work and playing by the rules, and equipping children for the future. The plan addresses more job training opportunities, support for veterans, jail time for corporate executives who exploit children and immigrants, and initiatives for raising graduation rates and keeping higher education affordable.

"Our plan is all-inclusive," said Rep. Deborah Berry, D-Waterloo. "Businesses, our children, our seniors -- everyone is a part of the Democrats' plan for prosperity."

Wiencek is pleased this plan aims to help middle-class Iowans and businesses.

"Actually many of the things that Republicans supported in the House line up in this plan," Wiencek said.

Democrats awarded more than $75 million in tax relief this year, and an additional $200 million in property tax relief will be allocated over the next six years, Murphy said. Even though Iowa has more two-income families than any other state, many are barely making ends meet, Murphy said.

But with financial institutions' strict underwriting policies, Iowa has largely escaped the trend of rising residential foreclosures and devaluing market prices, legislators said.

"I have a small business myself, and what I'm finding is we here in the state of Iowa have people who have above-average educations, and they do take the time to take a look at what's going on," said Kerry Burt, Democratic candidate for House District 21. "I think long term, we'll be OK."

In terms of disaster relief, Gov. Chet Culver's Jumpstart Iowa program passed last week is a step in the right direction. The initiative will pump more than $2.5 million to flood victims in Waterloo and Cedar Falls. Federal officials have been far too slow to respond, Murphy added, but the state has to be careful not to lose those dollars.

"It's not just the large communities (that need help)," Murphy said. "Elkader, Iowa, is a small town of 1,400. On a percentage basis more people have been affected per capita by flooding in the town of Elkader with the Turkey River than any of the other communities that we've talked about."

Two years ago, House Democrats outlined a plan for prosperity that served as their road map in the 2007 and 2008 legislative sessions. They completed 15 of the 16 items on their agenda, including raising the minimum wage, helping small businesses with health insurance costs, and raising teacher pay and academic standards.

An interim committee is expected to make final recommendations on the 16th item -- commercial industrial property taxes -- following the November elections, Murphy said.

Democratic leaders also made stops Tuesday in Independence, Cedar Falls and Mason City. They will travel to Cedar Rapids, Council Bluffs, Davenport, Des Moines, Iowa City, Ottumwa and Sioux City today and Thursday.

Contact Tina Hinz at (319) 291-1484 or tina.hinz@wcfcourier.com.