CHICAGO — Iowa’s new governor, Terry Branstad, unveiled a nearly $6.2 billion budget for fiscal 2012 that trims more than $700 million in spending while maintaining healthy reserve levels and providing tax relief for businesses.

The budget does not include funding for previously negotiated union pay raises, which likely means hundreds of people will lose their jobs as departments are forced to cut budgets to accommodate the increases. Branstad did not address the likelihood of job cuts in his presentation but he did call for collective bargaining rules to be revised.

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