DES MOINES, Iowa (AP) -- Gov. Terry Branstad concedes his proposal to overhaul the state's property tax system isn't moving smoothly through the Legislature, but he expresses optimism his effort will prevail.

Branstad says Monday that he knew from the beginning that revamping property taxes would be a tough sell. He says if the solutions were simple they would have been done 35 years ago when officials began debating the issue.

The Republican governor says he's in the midst of intense negotiations with both Republicans running the House and Democrats running the Senate and is willing to make concessions to win approval.

He's told Democrats he'll expand an income tax cut for the working poor and assured Republicans he'll increase the state's share of school budgets.