May 21, 2012

Retiring Iowa Guard leader promoted to three-star general

Governor Culver pins a third star on General Ron Dardis. The leader of the Iowa National Guard has been promoted to the rank of lieutenant general.  Ron Dardis announced last fall that he planned to retire this year. 

Today, the governor pinned a third star on the formal Iowa Air Guard uniform Dardis wore for the private ceremony. 

Dardis spoke with statehouse reporters shortly afterwards. "I told the governor earlier I view this as a family promotion and one of an Iowa Guard promotion because without the love and support and sacrifices of my family over 40-some years and the dedication and commitment and hard work of the men and women of the Iowa Guard, this would not be possible," Dardis said. 

"So I thank my family and the men and women of the Iowa Guard for their strong support." 

Dardis joined the Iowa Air National Guard in Sioux City in 1966.  He was named the Iowa National Guard’s leader, a position that holds the title of adjutant general, in 1999.  He was named a major general nine years ago. The number of lieutenant generals in the active military is limited by law. 

Governor Culver has nominated Colonel Timothy Orr to replace the retiring Dardis, who is 65 years old.  Dardis, though, will continue to work in state government, serving as the executive director of the Rebuild Iowa Office.

 

New state loans for business leases in disaster zones

The State of Iowa soon will be offering businesses forgivable loans to cover the cost of renting office space or other facilities in a flood zone. The program will start on April 16th.

Governor Chet Culver says it will help businesses which suffered severe flooding. "In some cases businesses that were in families for generations faced either temporary or permanent closures," Culver says.

Businesses renting space in an area of the state which was declared a disaster zone due to last spring’s tornadoes or flooding would be eligible for the rental assistance. "This program is innovative in that we are now assisting not only businesses currently located in disaster areas, but creating an incentive for new businesses to grow and expand in these communities which have suffered so much," Culver says.

Businesses will be eligible for this rental assistance from the state for up to six months. If the business stays open during that six month period, the state loan will be forgiven.

State officials are also asking for a waiver of federal requirements about the removal of lead-based paint from flooded-out homes. Lieutenant General Ron Dardis, the head of the state’s Rebuild Iowa Office, uses flood-ravaged Oakville as an example.

"They have many volunteers down there, ready to put people back in their homes. They have the homes all stripped and ready to go to work and because of this requirement on lead-based paint abatement, they can’t do anything," Dardis says. "The request that we’re making on the waiver is to allow us a timeframe — like 24 months or 36 months — to complete this requirement. But let the work begin and get these people get back in their homes as quick as they can and before these volunteers all go home."

Lead-based paint has been banned since 1978, but it’s still present in some older homes. Federal rules, for example, require contractors to use safeguards to ensure the lead doesn’t spread as dust if painted woodwork is sanded. But the irony in Oakville is many of the homes have no woodwork or interior paint of any kind inside since they’ve been stripped down to the studs in the walls to get rid of flood-contaminated wall board and woodwork. 

Winnebago CEO positive despite big losses

Despite posting second-quarter losses of more than ten-million dollars, officials with Forest City-based Winnebago Industries are maintaining a positive outlook. C.E.O. Bob Olson says one advantage the recreational vehicle manufacturer will have, once the economy recovers, is that there will be less competition.

Olson says nine R-V manufacturers have gone out of business in the last year and four other "major players" have filed for bankruptcy protection in the last few weeks. He says once the recession is done, Winnebago should have a bigger piece of the pie in the marketplace. Olson says the difference between Winnebago and those manufacturers that went out of business is that Winnebago’s management prepared the company for this fast-moving recession.

He says, "If you didn’t notice that this recession was coming, you didn’t prepare for it and you didn’t start making cuts into your overhead expenses, it caught up with you so fast that by the time you started doing that, it was too late." Olson says the Winnebago team noticed the coming storm early on and started making "corrections" a year ago.

Winnebago lost $10.4 million, or 36-cents per share, in the quarter that ended February 28th. That’s compared to a profit of 2.5 million, or nine-cents per share, in the second quarter of 2008.  

Two arrested in Council Bluffs drug bust

Officials with the Southwest Iowa Narcotics Enforcement task force (SWINE) recovered several thousand dollars worth of stolen property, drugs and cash from a home in Council Bluffs Wednesday.

Council Bluffs Police Sergeant Robert Christensen says an on-going investigation into activities at the Council Bluffs home led to the arrest of 40-year old Rufus Jones and 38-year old Lora Hohertz. A third person in the home was not charged. He says they got enough information to get a search warrant. Christensen says the information said there was a large amount of cash and weapons, but they never found weapons.

Christensen said they had received several complaints about the amount of traffic going in and out of the home. Christensen says it was people traffic and the people inside had to actually know who you were before they let you in. He says there were camera’s mounted outside the home to alert the occupants of any visitors and/or police presence.

During their entry into the home, police killed a pit bull that tried to attack them. Once the scene was secure, a search of the home was conducted. Authorities recovered about 56-grams of methamphetamine, $8,500 in cash, between 6 and $8,000 worth of electronics, a new Polaris ATV worth approximately $9,000, and an enclosed trailer.

Both the ATV and trailer were confirmed stolen out of Central City, Nebraska. Officials also recovered numerous vehicle parts from inside the building. Jones and Hohertz each faces charges of intent to deliver over 5-grams of meth, first-degree theft, gathering where illegal substances are used, possession of drug paraphernalia, along with a drug tax stamp violation.

 

Cedar Rapids company gets $2 million from state

State officials are advancing $2 million from the state’s "Community Economic Betterment Account" to a Cedar Rapids company that was swamped by flood waters last June.

Penford Products suffered $47 million in damage, but Tim Kortemeyer, the company’s president and general manager, says their insurance carriers have only paid a little more than half of the company’s claims.

"We employ over 200 people in the state of Iowa, a little bit more throughout th country, so this is a very important grant and forgiveable loan for Cedar Rapids and Penford Products," Kortemeyer says.

The company’s getting a $1 million grant from the state and a $1 millionforgiveable loan. "We have insurance. Unfortunately right now we are in dispute with our insurance companies with coverage and we have over $47 million worth of damage and only have insurance…receiveables to date of $25 million ," Kortemeyer says. "It’s a difficult time due to the flood for a small company like Penford Products."

Kortemeyer describes the state’s $2 million grant/loan combination as "significant" despite those kind of numbers. "It goes in the near term, you know, quite a long ways," Kortemeyer says. "…Not to underestimate what we can do with $2 million. It is a significant portion."

Penford makes carbohydrate-based specialty starches that’re used by companies that make paper, packaging and textiles. The starches make things like paper, cardboard and yarn stiffer. Penford’s starches are also used in foods to make them crisper; some Penford starches are added to french fries, for example.

Penford’s Cedar Rapids facility was off-line for more than three months and resumed production this past fall.

Audit finds fire department volunteer took money

A state audit released today says a former treasurer for a Poweshiek County volunteer fire department was responsible for more than $11,000 in missing money. State Auditor David Vaudt says Brenda Ruchti was fired from the job when the misappropriated funds were discovered in September of last year.

The state audit was requested when the bank noticed that Ruchti had made internet transfers from the Searsboro Fire Department’s bank account to her own personal account. Ruchti served as treasurer of the Searsboro Volunteer Fire Department for three-and-a-half years. deposits

"We found a little over $11,000 worth of improper disbursements, unsupported disbursements and uncollected deposits," Vaudt said. Ruchti is accused of transferring more than $4,300 from a fire department bank account directly to her personal bank account.

Vaudt says Ruchti was also making Internet transfers to pay personal bills and rent. The state audit states there were no adequate records to determine if proceeds from donations and fundraisers were properly deposited into the fire department’s bank account.

The report has been turned over to the Poweshiek County Attorney’s office for possible charges. 

NIACC making cuts to deal with budget deficit

Facing a cut of $800,000 in state money, North Iowa Area Community College is announcing a series of moves to tighten its budgetary belt. NIACC President Debra Derr says her staff has worked for weeks to find solutions that would have the least impact on the Mason City-based college.

"We met with the staff and talked with them about what they thought we should do and they were wonderful," Derr says. "The reality for us was, to meet that $800,000 mark, we could not do that without some very drastic and significant changes."

For starters, the college is eliminating its football program, laying off seven full-time employees and will leave six open positions unfilled. A tuition increase may also be an option, she says, while they’re also assessing employee wage and benefit options. Derr says even though the college had record enrollment last semester, it doesn’t mean there’s extra money in the bank.

"Revenue generated through tuition is immediate," she says. "A student registers for the class and within a prescribed time, they pay their tuition. The state monies that come in to us come into us a delayed way…it’s one to two years out." While an increase in enrollment means an increase in tuition dollars, it also means an increase in costs.

Derr says even with the cuts, Iowa’s community colleges are in much better shape when compared to similar colleges in neighboring states. Wisconsin has a $5.4 billion deficit while Minnesota is considering closing colleges.

"We’re in good shape," Derr says, "but when you’re talking about people and their families, it doesn’t make it any easier, even though it could be worse." Other cost-saving moves at NIACC include travel and equipment purchases being reduced, and the school’s general catalog of offerings will no longer be printed — it’ll only be available online.

The cuts come after Governor Culver’s Fiscal Year 2010 budget called for a 6.5%cut in funding for the state’s community colleges.