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compiled by CBI Endorsed Member QwickRate
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May Survey Results at a Glance:
OMAHA, Neb. (May 20, 2021) – For the sixth straight month, the Creighton University Rural Mainstreet Index (RMI) climbed above growth neutral. According to the monthly survey of bank CEOs in rural areas of a 10-state region dependent on agriculture and/or energy. Overall: The overall index for May jumped to a record high of 78.8 from April’s very healthy 69.0. The index ranges between 0 and 100 with a reading of 50.0 representing growth neutral. Approximately, 60.6% of bank CEOs reported that their local economy expanded between April and May.  View the Iowa Legislative Bill Tracker
Iowa lawmakers inch toward adjournment Legislative leaders worked mostly behind the scenes this week crafting a massive tax relief package, setting the stage for adjourning the 2021 session potentially as early as next week. House and Senate GOP leaders have been at odds over their must-do items on tax policy. The latest Senate bill, SF619, is a sweeping proposal that includes many of the priorities leaders from both chambers have wanted to include in tax reform this year. Among the bill’s chief provisions:
View the Iowa Legislative Bill Tracker
Census results show Iowa keeping all four congressional seats Iowa will retain all four of its seats in the U.S. House after preliminary data from the 2020 Census show Iowa with modest population growth of 3.6 %. As more detailed Census data is released, Iowa lawmakers will be required to vote on new congressional and legislative districts that become effective for the 2022 election. Iowa has an often-praised, nonpartisan process for drawing new political maps. Most of the work is left to computers, which will draw new district lines to create 50 Iowa Senate and 100 Iowa House seats, along with four districts for U.S. Congress. The Des Moines and Iowa City metro areas had the fastest growth in population and are expected to gain new legislative seats, while most rural parts of the state continue to lose residents. April Survey Results at a Glance:
OMAHA, Neb. (April 15, 2021) – For the fifth straight month, the Creighton University Rural Mainstreet Index (RMI) climbed above growth neutral. According to the monthly survey of bank CEOs in rural areas of a 10-state region dependent on agriculture and/or energy. Overall: The overall index for April slipped to a still healthy 69.0 from a record high 71.9 in March. The index ranges between 0 and 100 with a reading of 50.0 representing growth neutral. Approximately, 37.9% of bank CEOs reported that their local economy expanded between March and April.  View the Iowa Legislative Bill Tracker
Iowa House, Senate tax debate heats up With just weeks to go in the legislative session, the Iowa House and Senate are advancing competing tax relief proposals, a difference that could complicate plans for adjournment this year. SF576, which passed the Senate 46-0, phases in the elimination of the inheritance tax. The state’s nonpartisan Legislative Services Agency predicts the repeal would reduce revenue by nearly $18 million in FY2022. The legislation would apply to deaths occurring on or after Jan. 1, 2021. The bill also would remove “triggers” put in place in order for broad state income tax cuts passed in 2018 to go into effect. Those triggers ensure the state’s tax collections rise enough to offset tax cuts. If the triggers are removed, the LSA predicts the tax cuts would reduce income tax liability by roughly $297 million in FY2023. The House also has a bill eliminating the inheritance tax, HF841. It’s unclear at this point what a final tax package will look like before lawmakers adjourn for the year in the coming weeks. House Speaker Pat Grassley has made public statements that the House will take a cautious approach to removing the triggers. March Survey Results at a Glance:
For the fifth time in the past six months, the Creighton University Rural Mainstreet Index (RMI) climbed above growth neutral. According to the monthly survey of bank CEOs in rural areas of a 10-state region dependent on agriculture and/or energy, the index increased to its highest level since launching the survey in January 2006.
Overall: The overall index for March soared to a record high 71.9 from February’s solid 53.8. The index ranges between 0 and 100 with a reading of 50.0 representing growth neutral. Approximately, 68.8% of bank CEOs reported that their local economy was expanding, while the remaining 31.2% indicated little or no growth. “Sharp gains in grain prices, federal farm support, and the Federal Reserve’s record-low interest rates have underpinned the Rural Mainstreet Economy. Only 3.1% of bank CEOs indicated economic conditions worsened from the previous month. Even so, current rural economic activity remains below pre-pandemic levels,” said Ernie Goss, PhD, Jack A. MacAllister Chair in Regional Economics at Creighton University’s Heider College of Business. View the Iowa Legislative Bill Tracker
Iowa Senate passes bill eliminating inheritance tax, phasing income tax cuts in sooner The Iowa Senate has unanimously passed legislation to scrap the state's inheritance tax and to phase in planned income tax cuts more quickly, advancing one of Republican Gov. Kim Reynolds' key legislative priorities. The bill, Senate File 576, passed the chamber Wednesday on a 46-0 vote, with four senators absent. It now goes to the Iowa House for consideration. Read more: Des Moines Register Call for Support of Central Filing System Legislation The Senate version of legislation to create a central filing system relating to security interests in farm products was previously approved in Senate State Government Committee and is now SF 486. This bill has now been referred to the Senate Ways and Means Committee since it contains a fee for filings, which makes it eligible for action until the end of the session. CBI supports this legislation, and urges members to contact their Senator and ask them to support SF 486. Rural Mainstreet Economy Expands Again: Economic Outlook Soars to Highest Level since 20112/22/2021 February Survey Results at a Glance:
OMAHA, Neb. (Feb. 18, 2021) – For the fourth time in the past five months, the Creighton University Rural Mainstreet Index (RMI) climbed above growth neutral. According to the monthly survey of bank CEOs in rural areas of a 10-state region dependent on agriculture and/or energy, the index increased to its highest level since January 2020. Overall: The overall index for February rose to 53.8 from January’s 52.0. The index ranges between 0 and 100 with a reading of 50.0 representing growth neutral. “Sharp gains in grain prices, federal farm support, and the Federal Reserve’s record-low interest rates have underpinned the Rural Mainstreet Economy. Only 8% of bank CEOs indicated economic conditions worsened from the previous month. Even so, current rural economic activity remains below pre-pandemic levels,” said Ernie Goss, PhD, Jack A. MacAllister Chair in Regional Economics at Creighton University’s Heider College of Business. Rural Mainstreet Economy Stabilizes in Growth Range: Concerns Over Loan Defaults Drops Significantly2/1/2021 January Survey Results at a Glance:
OMAHA, Neb. (Jan. 21, 2021) – For the third time in the past four months, the Creighton University Rural Mainstreet Index (RMI) climbed above growth neutral. According to the monthly survey of bank CEOs in rural areas of a 10-state region dependent on agriculture and/or energy, the index increased to its second highest level since January 2020.
Overall: The overall index for January rose to 52.0 from December’s 51.6. The index ranges between 0 and 100 with a reading of 50.0 representing growth neutral. “Recent sharp improvements in agriculture commodity prices, federal farm support payments, and Federal Reserve’s record low short-term interest rates have underpinned the Rural Mainstreet Economy in a solid and positive growth range. However, the rural economy remains well below pre-pandemic levels,” said Ernie Goss, PhD, Jack A. MacAllister Chair in Regional Economics at Creighton University’s Heider College of Business. |
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