(Radio Iowa) – A new report suggests up to 10 percent of Iowa construction workers have been underpaid because they’ve been incorrectly identified as independent contractors rather than employees. Sean Finn, who authored the report for Common Good Iowa, says that “misclassification” is against the law. “The practice that is going on is saying: ‘These employees that I have, I’m going to get away with calling them independent contractors and not paying taxes on them,” Finn says, “‘not paying any of my employer fees and responsibilities like workers’ comp, unemployment, etc.'”

About five percent of employed Iowans work in the construction industry. While the majority of them earn good wages and benefits, Finn says the report shows there’s an underground economy emerging.  “Obviously a lot of public money goes to infrastructure work. A lot of this money goes to the lowest bidder in the vast majority of cases,” Finn says. “These low bidders are increasingly lawbreaking, non-local construction contractors that are using these really bad employment practices — illegal practices, going along with very little enforcement.” Finn says BILLIONS of dollars will be flooding into the state in the next decade due to federal programs, but the very complicated web of general contractors and sub-contractors will make it difficult to hold bad actors accountable.

Finn says illegally classifying someone as an independent contractor saves a business about six-thousand dollars annually in fringe benefits and another six-thousand dollars in Social Security and Medicare taxes. They’re also ineligible for unemployment benefits if they’re laid off. “Folks who face extreme medical debt because of injuries on the job site while misclassified as an independent contractor,” Finn says, “meaning they weren’t covered by workers’ comp.” Common Good Iowa is recommending that Iowa legislators update the state’s wage payment collection law and hire more people to enforce the law.

“The state employs four investigators to oversee wage payment collection for a workforce of 1.6 million,” Finn says. “That’s not nearly enough.” Finn says more staff could not only investigate businesses trying to evade labor laws and taxes, but they could educate Iowa employers who want to do business the right way, but are unaware of the law. A 2022 report from Common Good Iowa indicated Iowa workers lost 900 MILLION dollars in wages in 2022 due to fraud.

(Radio Iowa) – A report presented to the state Transportation Commission today (Tuesday) shows an uptick in November in some types of rail traffic. The D-O-T’s Stuart Anderson says the numbers shows a lot of activity in consumer goods. “Very strong consumer spending and consumer demand has been reflected in a lot of activity at our ports, bringing in a lot of containers, and of course, that then corresponds to a lot of car loads following those intermodal containers on the rail system,” Anderson says. Anderson says the rail cargo increased dramatically. “Three of the top five weeks of all time were in November in hauling intermodal containers ,” he says, “so strong consumer demand and consumer spending. Year to date, that’s up just about eleven percent over last year.” While the amount of consumer goods increased, the rail numbers for manufacturing products didn’t match them.

“The hauling of industrial products on the rail system is flat, reflecting the continuing weak manufacturing sector,” Anderson says. Anderson says there is some better news for farmers in the rail numbers. “Grain shipments are up compared to 2023 of course, 2023 was a was a challenging year for grain exports and shipment on the rail system,” Anderson says. Anderson says there has been a lot of talk among the railroads about the potential impact on traffic from potential tariffs from the incoming Trump administration, and the D-O-T will monitor any changes.

(Radio Iowa) – The task force lawmakers created to suggest improvements in Iowa’s Area Education Agencies has decided it needs more information before issuing a report. The legislature made changes this year to the funding and structure of A-E-As, which provide special education and other services to Iowa schools. Adam Magliari, the superintendent of the Mediapolis school district, is on the task force that met for five hours yesterday (Monday).

“Great conversation, but it’s all qualitative,” he said. “We need some quantitative measures in here as well.”

The task force is requesting information about special ed funding, A-E-A staffing, and the impact of the new law. The panel plans to reconvene early next year.

(Radio Iowa) – Voting is underway today (Tuesday) in three special elections in Iowa.  In northeast Iowa, three candidates are vying for a vacancy on the Decorah City Council. In north central Iowa, a member of the Jewell City Council resigned several months ago and there is one candidate on today’s ballot seeking to replace him.

In Guthrie County, voters are choosing the trustees for Rural Improvement Zones around Diamondhead Lake near Dexter and Lake Panorama, which is on the north edge of Panora. Both are private lakes.

(Radio Iowa) – Iowa Senator Chuck Grassley sent an 11-page letter to F-B-I Director Christopher Wray on Monday, expressing a vote of “no confidence” in Wray’s ability to continue leading the bureau.  “I specifically left out the word resign,” Grassley says. “I think you can read that I’m very dissatisfied with him, and I think the writing’s on the wall of what he should do, and if he doesn’t do it, I think he’ll be fired by the new president.” Grassley also met Monday with Kash Patel, who President-elect Trump plans to nominate to become the new F-B-I director. Grassley says, “If the position becomes open — and it will — and Kash is formally nominated, you can expect I’ll hold a fair hearing for him in the Senate Judiciary Committee.”

Seven years ago, Wray was nominated for the post by then-President Trump and Grassley presided over the confirmation hearing, which resulted in Wray securing a ten-year term as the F-B-I’s director.  “In those seven years, Director Wray has broken the promises that he made during his nomination hearing and the pledges he made since he was nominated,” Grassley says. “The FBI needs transparency and everybody knows real reform so they can properly serve the American people.” Grassley says Wray has failed in the fundamental duties as director, singling out what he calls “an invasive and unwarranted FBI raid on Trump’s Mar-a-Lago residence.” In the letter, Grassley tells Wray that his failures “are serious enough and their pattern widespread enough to have shattered my confidence in your leadership.”

Sen. Grassley with FBI Director nominee Kash Patel on Monday (Photo by Grassley’s office)

“We always ask the question, will you appear before Congress if we call you? Two weeks ago, he didn’t go to a House committee meeting, he refused to go,” Grassley says. “Not protecting whistle blowers, not responding to documents that we have requested.” After his meeting with Patel, Grassley released a statement saying, “As a former congressional investigator himself, Kash understands that cooperation with Congress is not optional and whistleblower protection is essential.”

(Glenwood, Iowa) – The Glenwood Police Department reports a woman from Tabor was arrested Monday. 46-year-old Barbara Hall was arrested for OWI/1st offense. She was later released after posting a $1,000 bond.

(Anita, Iowa) – The CAM School Board held their regular monthly meeting Monday night, in Anita. Superintendent Paul Croghan says the Board elected Cara Murphy as President for the 2024-25 School Year. Former long-time Board President Todd Mckee had decided to step-down. And the board elected to retain Chuck Kinze as Vice-President.

No other administrative changes were made, with regard to the meeting time and dates (6:30-p.m. On the second Monday of the month in the High School Media Center) and other such matters.

Paul Croghan said the CAM School Board held discussions with regard to sharing agreements with the Nodaway Valley Community School District.

He said the Board approved a School Budget Review Committee (SBRC) request for a Modified Supplemental Amount of $33,450 for Open Enrollment Out.

The CAM School Board approved an Architectural Engineering Proposal from Alley Poyner Macchietto, but there was no proposal from Boyd Jones, so that matter was tabled.

Mr. Croghan wishes everyone a very Merry Christmas.