MidAmerican Wind Property Tax Update

As mentioned previously, last year, I sent quite lot of information compiled on the MEC wind property tax issue, and a list of questions to the Department of Management (DOM), and the Department of Revenue (IDR). I asked them to meet with a few interested parties about this issue, or at least, answer the questions. Instead, I received a non scheduled phone call from from the department of revenue that was hands down the rudest conversation I have ever had with a public employee. I was forced to become pretty assertive to even get my concerns heard. The conversation focused on two main areas.

1-the fact that MidAmerican reported lower wind valuations in Calhoun County than the utility. After quite a bit of discussion, the caller wanted to know who at the IUB had provided the information referenced. The Calhoun assessor has never mentioned the staff persons name.

2- the fact that MidAmerican is declaring wind assets under the Iowa Utility replacement excise tax.
IDR insisted that was not happening. I typed notes of our conversation and sent them to both department contacts, in order to clarify my concerns. I received the following reply- The only on the record statement from IDR on this.

   

              Still disagreement that this was even happening , even though I mentioned I had an email from a MidAmerican employee verifying that it was.

I don't think this is fair for the utility to do this when an independent wind project probably can't. Also, I'm betting that state and local government are losing potential revenue because of this, though state and local government haven't been helpful to date determining what amount. I'm guessing MidAmerican wouldn't report taxes this way unless it was benefiting their bottom line.

In addition, much information included on the IDR website seems to support my opinion.

The states special valuation of wind property also suggests the items reported by MidAmerican in the replacement tax program should be taxed in the wind valuation instead.

and finally, IDR the following memo to me when I contacted them about this issue some time back.

Comments from from IDR are welcome , especially answers to the question list referenced in a previous post.

here