Scott Syroka

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Will Koch avoid paying millions in fertilizer plant taxes?

Scott Syroka is a former Johnston city council member.

It’s unclear whether Koch Industries would avoid paying utility replacement taxes worth millions of dollars every year if it acquires OCI Global’s Iowa Fertilizer Company plant in Wever (Lee County).

According to Chuck Vandenberg’s February reporting for the Pen City Current, the Iowa Fertilizer Company plant’s current owner, OCI Global, paid between $2 to 3 million in utility replacement taxes in 2023 alone.

To understand why it’s unknown whether Koch Industries would be required to pay these taxes if it acquires the plant, we must look back in the history books.

After deregulation spread across the country in the 1980s, including in the electric and natural gas industries, the Iowa legislature responded in 1998 by passing Senate File 2146, the Property Tax Replacement and Statewide Property Tax Act.

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Opponents of Iowa rail consolidation must act fast to register concerns

Scott Syroka is a former Johnston city council member.

The U.S. Surface Transportation Board announced on February 29 it accepted Canadian National’s request to classify its proposed acquisition of Iowa Northern Railway as a “Minor” transaction. The federal regulator also established a procedural schedule going forward for interested parties to weigh in as the proposed acquisition undergoes review.

Canadian National had been facing opposition to its classification request from entities like Canadian Pacific Kansas City and the National Grain and Feed Association. Both had called for the Surface Transportation Board to classify the deal as a “Significant” transaction when being reviewed for consideration.

While on its face the classification decision may appear as a setback for those who oppose the deal due to increased consolidation of the rail industry and its potential for further abuses of monopoly power, the 9-page decision by the Surface Transportation Board makes clear that no final determination has been made.

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Iowa Northern Railway deal warrants heightened scrutiny

Quaker Oats plant in Cedar Rapids, photographed by David Harmantas (Shutterstock).

Scott Syroka is a former Johnston city council member.

Attorneys for Canadian Pacific Kansas City submitted a 59-page filing to the U.S. Surface Transportation Board on February 26 regarding the proposed acquisition of Iowa Northern Railway by Canadian National.

The Canadian Pacific Kansas City filing highlights the proposed deal’s “national importance” and cites “competitive concerns of significant magnitude” in calling for the Surface Transportation Board to classify Canadian National’s takeover attempt of Iowa Northern as a “Significant” transaction rather than the “Minor” transaction status that Canadian National has sought.

The distinction matters because “Minor” transactions aren’t subject to the same regulatory requirements as “Significant” transactions—meaning the public would have less access to information and less time to review the deal.

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A bad deal gets worse: Koch trying to buy Iowa fertilizer plant

Governor Kim Reynolds with her predecessor Terry Branstad in photo originally published on Reynolds’ official Facebook page in September 2020

Scott Syroka is a former Johnston city council member.

Antitrust regulators should block the proposed sale of OCI Global’s Iowa Fertilizer Co. plant in Wever (Lee County) to Koch Industries. The deal would be outrageous, but we must look back to fully understand why.

HOW IOWA TAXPAYERS HELPED FUND OCI’S FERTILIZER PLANT IN WEVER

Then-governor Terry Branstad and Lieutenant Governor Kim Reynolds offered nearly $550 million in tax giveaways to OCI’s predecessor, Orascom, to build the plant prior to its 2017 ribbon cutting.

That included $133 million in local giveaways such as Lee County property tax abatement over twenty years. Another $112 million in state giveaways like corporate tax credits and forgivable loans. And an estimated $300 million in federal tax giveaways from the get-go thanks to the Iowa Finance Authority approving Orascom for $1.2 billion in Midwestern Disaster Area bonds created by Congress after the 2008 floods.

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Regulators should derail Canadian bid for Iowa Northern Railway

Large wheels for agricultural equipment on a freight train; photo by Maksim Safaniuk, available via Shutterstock.

Scott Syroka is a former Johnston city council member.

North American rail giant Canadian National announced on December 6 it would attempt to acquire the Waterloo-based short line railroad Iowa Northern Railway. Before that can happen though, the deal must undergo review by the U.S. Surface Transportation Board. The board should block this acquisition, and it’s not even a close call.

Short line railroads are the small and medium businesses of rail. Short lines like Iowa Northern Railway operate nearly half of all freight rail track in Iowa, according to the railroad interest group GoRail. These short lines run shorter distances and connect rural areas with larger, national rail networks.

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How Democrats can use Bidenomics to win in rural America again

Scott Syroka is a former Johnston city council member.

Democrats have a major opportunity to increase their appeal in rural America, thanks to the policy framework crafted by President Biden, which he laid out in his June 28 address on Bidenomics in Chicago, Illinois.

While Democrats have successfully embraced Bidenomics to pass legislation like the American Rescue Plan, Bipartisan Infrastructure Law, CHIPS Act, Inflation Reduction Act, and beyond, they haven’t done enough to champion Bidenomics through a rural-specific lens.

By using this framework to present a vision for an inclusive rural economy, rather than the trickle-down status quo of exploitation, Democrats can draw a clear contrast with their Republican opponents.

If they choose to seize this opportunity, Democrats can begin to stop the electoral bloodbath in rural areas, shrink the margins, and maybe even start to win again.

The forgotten history of America’s family farm movement and its fight for parity shows us how.

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Why Walgreens may decide whether you can access reproductive care

Scott Syroka is a former Johnston city council member.

Does anyone remember voting for Rosalind Brewer? That’s the Walgreens CEO with the power to decide what kind of health care millions of Americans, including countless Iowans, get to access. The latest battle over reproductive rights shows us how.

Last Friday, the U.S. Supreme Court announced it was hitting pause on an early April decision by Trump-appointed federal judge Matthew J. Kacsmaryk to suspend approval of mifepristone previously granted by the Food and Drug Administration more than two decades ago.

If you’re not familiar yet, mifepristone is a safe and commonly used pill in abortion care. It can also be used to treat medical conditions like uterine fibroids (noncancerous growths in the uterus) as well as Cushing syndrome, a condition caused by prolonged exposure to high cortisol levels.

In the wake of the Supreme Court’s decision, pundits argued this meant that access to mifepristone would continue to be available to all Americans. Steve Vladeck, CNN Supreme Court analyst and professor at the University of Texas School of Law, went as far as to say, “…nothing is going to change with respect to mifepristone access until and unless the court both takes the case on the merits and sides with the challengers.”

But that statement is not true. Access to mifepristone was already restricted for millions of Americans prior to Judge Kacsmaryk’s decision, so the Supreme Court’s stay on his ruling only prolongs a status quo of continued restrictions for too many. Corporate monopolies like Walgreens are the reason why.

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What's missing from Iowa's carbon pipeline debate

Scott Syroka is a former Johnston city council member.

There’s something missing in the debate over Iowa’s proposed carbon capture pipelines. Too often the discussion breaks down along familiar frames of the pipeline companies against landowners, or labor unions against environmentalists. When we stop the analysis here, we lose sight of what the fight is really about: the role of monopoly power in Iowans’ lives.

To date, no politician of either party is making this connection. Some have gotten close in their critiques of the pipeline companies, but none have highlighted the role of corporate monopolies in enabling these proposed schemes to exist in the first place. It’s strange because, as prominent politicians like U.S. Senator Amy Klobuchar note, history is sitting right there in front of them.

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To protect LGBTQ rights in Iowa, we need to address monopoly power

Scott Syroka is a former Johnston city council member. This essay first appeared in the Sunday Des Moines Register.

Chuck Magro. John May. Donnie King. Cory Harris. Charles Scharf.

These are the CEOs of five of the most powerful corporations operating in Iowa: Corteva. John Deere. Tyson. Wellmark. Wells Fargo.

Where are they? Should we request a wellness check to make sure they’re OK?

These CEOs lead corporate monopolies making billions every year off the bodies and brains of Iowans, including LGBTQ Iowans, yet they’ve been missing in action as Iowa Republicans advance the largest number of anti-LGBTQ bills ever in a single legislative session.

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