A key lawmaker says a long-simmering argument in the financial sector may be debated as the legislature considers changes in Iowa’s tax code. Senator Randy Feenstra, a Republican from Hull, is chairman of the senate committee that drafts tax policy. “We all need to look at what is fair,” Feenstra says. “What is a bank and what is a credit union and are they different or are they the same? So these are all things that need to be fleshed out before we go into changing something dramatically.”

The state’s banking industry argues credit unions should lose their NON-profit status and should have profits taxed like banks. Iowa Bankers Association C-E-O John Sorenson. “A typical family of four in Iowa pays more taxes than one of the state’s largest financial institutions that happens to be a credit union that earns $60 million in profits. I mean, if you apply a five percent tax to that, that’s $3 million,” Sorenson says. “I think they can probably survive. Most of us do who run a business in this state. We pay our taxes. The banks pay $300 million in taxes when you include state and federal.”

Justin Hupfer is vice president of government affairs for the Iowa Credit Union League. “We pay property tax. We pay sales tax. We pay payroll taxes just like any other business. The difference between us and banks is that we pay what’s called a moneys and credits tax on our legal reserves and banks pay a franchise tax on net income,” Hupfer says. “The banks like to talk about our largest credit unions. If you look at our five largest, they pay over $13 million in taxes, just those five alone.”

Sorenson, the president of the Iowa Bankers Association, accuses Iowa credit unions of veering from their original mission by doing “a good deal of commercial lending” and placing branches in wealthy neighborhoods. “A subsidy is being provided to an industry that looks nothing like they started out back in the 1930s when they were given a tax exemption to serve people of modest means,” Sorenson says. “Well, I don’t know how many people of modest means are out by Jordan Creek Town Center, but that’s where the University of Iowa has put their newest branch.”

The Jordan Creek mall is in West Des Moines, one of the state’s fast growing suburbs where yearly household incomes are about 16-thousand dollars higher than the statewide average. Hupfer from the Iowa Credit Union League counters that three-quarters of the loans approved by the state’s credit unions go to low-and-moderate income Iowans. “Eighty-five percent of Iowa credit union loans are consumer loans, meaning they’re mortgage loans, car loans, small-dollar consumer loans,” Hupfer says. “If you compare that to Iowa bank loan portfolios, only 28 percent of their loan portfolio is consumer. You know, frankly it’s hard to find an Iowa bank that’s interesting in making the $8000 car loan.”

There was a debate in CONGRESS about federal taxation of banks and credits, but the FEDERAL tax bill did not alter the tax status for credit unions. There was a brief debate in the Iowa legislature 15 years ago about increasing state taxes on credit unions after the University of Iowa Credit Union made a bid to buy a bank. However, the bill never made it past the committee level and the credit union didn’t wind up acquiring the bank.

(Radio Iowa)

The American Lung Association is handing Iowa mostly failing grades for its efforts to curb smoking. In three of the five areas graded by the advocacy group, the state receives an F. It earned one failing grade for the amount of funding that goes to tobacco prevention programs. A critical care doctor from Des Moines, Michael Witte, says people need support to kick the smoking habit. “We do have to look at it as an addiction,” Witte said. “Gram for gram, tobacco or nicotine is ten times more addictive than heroin.” Iowa drew another F for the level of state tobacco taxes. Pat McKone, the senior regional director for the American Lung Association, would like to see the tax on a pack of cigarettes go up by at least a dollar fifty.

“This is, by far, the most effective strategy to reduce the harm from tobacco, period,” McKone said. “It is the most effective strategy.” Iowa received a third F for the minimum age for the purchase of tobacco products. The only area in which the state receives an A from the Lung Association is in providing smoke-free air in many public places. Just under 17-percent of Iowa adults smoke. More than 5,000 Iowans die each year from tobacco-related illnesses.

(Radio Iowa, w/Thanks Rob Dillard, Iowa Public Radio)

The Atlantic Area Chamber of Commerce today (Monday) announced the hiring of a new Marketing Coordinator. Miranda Redalen, of Atlantic, recently accepted the position. Miranda interned with the Chamber this past summer. Redalen joins Chamber Executive Director Bailey Smith, and Program Director Ashley Hayes, at the Chamber Office. She starts her position this week.

Bailey Smith said in a press release that she’s “Really excited to have Miranda join the team full-time.” Smith said also, that “She (Redalen) has a great grasp of what the Chamber does and has already built relationships with our membership due to her internship this past summer. I think her ideas and knowledge will be a great asset to the organization.”

(8-a.m. News)

The Creston Police Department reports five arrests took place from Friday through the weekend. On Sunday, 50-year old Michael Spare, of Afton, was arrested at around 5:15-p.m., for Driving While Suspended. He was later released from the Union County Jail on a $300 bond. At around 2-a.m., Sunday, 50-year old David Goodson, of Creston, was arrested at the Union County Law Enforcement Center (LEC), for OWI/2nd offense. He was later released on a $3,000 bond.

At around 2:15-a.m. Saturday , 61-year old Gregory Lee Kaufman, of Creston, was arrested for OWI/1st Offense. He was later released from the jail on a $1,000 bond. And, at approximately 2-a.m. Saturday, Creston Police arrested 36-year old Kristina Johnson, of Greenfield, for Possession of a Controlled Substance and Possession of Drug Paraphernalia. Johnson was being held in the Ringgold County Jail on a $1,300 bond.

Friday night, Creston Police arrested 31-year old James Lyman, of Greenfield, for Driving While Barred. He was subsequently released on a $3,000 bond.

Authorities said also, a resident of Peru reported Sunday afternoon, that sometime between 3-a.m. and 2-p.m. Sunday, someone took miscellaneous tools and a battery power pack out of his vehicle, while it was parked at 800 W. Taylor, in Creston. The loss was estimated at $600.

Authorities in Montgomery County say a woman from Nebraska was arrested Sunday evening on drug & other charges. Red Oak Police stopped a vehicle driven by 22-year old Allison Aufenberg, of Omaha. Following an investigation. Aufenberg was arrested for possession of Marijuana and cited for Driving with a Suspended License, Failure to Provide Insurance, and expired registration. She was being held in the Montgomery County Jail on $1,000 bond.

MUSCATINE, Iowa (AP) — Authorities say one person has been injured in a fire at a residence in Muscatine. The Muscatine Fire Department said in a news release Sunday that firefighters found flames coming from the building Sunday evening after being dispatched around 6:40 p.m. Sunday. The department says the flames were knocked down within minutes.

The injured person was taken to a hospital with non-life-threatening injuries. His or her name hasn’t been released. The blaze has displaced three people. Its cause is being investigated.