- Associated Press - Thursday, May 12, 2016

ALTOONA, Iowa (AP) - Federal officials say they are revoking a central Iowa casino’s nonprofit status.

The Des Moines Register (http://dmreg.co/1Wt8G1h ) reports the Internal Revenue Service announced Thursday that Prairie Meadows, in Altoona, should lose its tax-exempt status, following an 18-month audit.

The casino has faced questions about its nonprofit status partly due to the amount of money it spends on salaries for top executives compared to the amount spent on charitable activities. Records show the company spent nearly $58 million on employee salaries and benefits in 2013, while spending roughly $21 million on grants.

The casino plans to appeal the decision.

Nearby Des Moines could lose roughly $6 million a year for street and bridge repairs if an appeal fails. Polk County receives nearly $16 million annually in rent from the casino.

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