Capitol Notebook: Ernst push to close migrant crime ‘loophole’ gains traction in Senate

Legislation named after an Iowan killed in a drunken driving crash by an immigrant who was not legally authorized to be in the United States gained traction this week as the U.S. Senate moved ahead on a Republican-led immigration bill.

Iowa GOP U.S. Sen. Joni Ernst reintroduced legislation that would require federal authorities to detain anyone unlawfully in the United States who has been charged with a crime that resulted in the death or serious bodily injury of another person.

Named after 21-year-old Sarah Root of Council Bluffs — who was struck and killed in 2016 by a drunken driver in the country illegally, who then posted bond and fled the country — Sarah’s Law was being considered as an amendment to the Laken Riley Act, which is on the Senate floor this week.

That legislation, which passed the House earlier this month, would mandate federal detention of immigrants without legal status who are accused of theft, burglary and assaulting a law enforcement officer, among other related crimes. All four of Iowa’s Republican House members supported the legislation.

Ernst’s amendment would expand the bill to include the detainment of undocumented migrants charged with crimes causing death or serious bodily injury.

Ernst, in a statement, said the bills are meant to work in tandem to close “loopholes” and strengthen enforcement related to criminal activities by immigrants without legal status to be in the country.

Sarah’s Law focuses on severe violent crimes, whereas the Laken Riley Act covers a wider range of offenses and grants state authorities the ability to challenge federal immigration enforcement decisions.

Ernst’s bill mandates the detention of immigrants without legal status charged with serious crimes, requiring U.S. Immigration and Customs Enforcement to detain them and prevent their release pending trial.

Friday, Ernst announced her bill had gained some bipartisan support, with Pennsylvania Democratic Sen. John Fetterman as a co-sponsor.

“For years, I have worked tirelessly to pass Sarah’s Law to honor this young Iowan’s memory, hold illegal immigrants that cause bodily harm to our citizens accountable, and ensure this never happens again,” Ernst said in a statement.

Fellow Iowa Republican U.S. Rep. Randy Feenstra, of Hull, introduced a companion bill in the House last Congress.

Reynolds proposes parental leave bill for state workers

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State employees in Iowa would receive paid parental leave under legislation proposed this week by Gov. Kim Reynolds.

The “Families First Bill” delivered to the Iowa House and Iowa Senate Thursday would provide four weeks of paid maternity leave or one week of paid paternity leave for state employees. It also includes four weeks of paid leave for employees who adopt a child.

Iowa does not currently offer paid parental leave for state employees caring for a new child.

At least six other states including Georgia, Nevada, New Hampshire, South Carolina, Texas and Utah offer paid parental leave for state employees, according to the National Conference of State Legislatures.

Reynolds announced the proposed legislation in her Condition of the State address Tuesday evening.

“Nothing is more important to me than family,” Reynolds said in a statement. “The time after birth is a crucial bonding period for new parents and their babies, and it’s time state employees have a chance to be fully present for them. Under President Donald Trump’s leadership, federal employees were granted up to 12 weeks of paid leave to care for a child, and at least 24 other states have some form of paid leave. Let’s pass this bill and put families first.”

Iowa joins $106M settlement with Vanguard

The Iowa Insurance Division is joining a task force of state securities regulators and the U.S. Securities and Exchange Commission in a $106 million settlement with Vanguard Marketing Corporation.

The company failed to disclose potential tax consequences to investors following a change in investment minimums for certain target-date retirement funds.

An investigation found that in 2020, Vanguard lowered the investment minimums for its Institutional Target Retirement Funds, a news release from the Iowa Insurance Division said. A large number of retirement plan investors redeemed their investor shares to purchase the institutional shares. This caused Vanguard to sell highly appreciated assets in the investor funds, which triggered significant capital gains taxes for hundreds of thousands of retail investors who remained in the investor funds.

“These Iowans were not warned about potential tax consequences that would likely result from changes Vanguard made, and I am pleased they will receive remediation for the capital gains they incurred holding this product,” Iowa Insurance Commissioner Doug Ommen said in a statement. “We will continue to protect Iowa investors and ensure that companies operating in Iowa follow our securities laws.”

The SEC will notify the impacted investors and will compensate them for the capital gains taxes through its Fair Fund program.

Gazette-Lee Des Moines Bureau