Iowa state government will begin to use Dwolla - a Des Moines
company's cash-based online payment system, Gov. Terry Branstad
announced Tuesday.  The first use will be through the Iowa
Department of Revenue, which will allow businesses, which pay
more than $100 million in cigarette stamp taxes, the option of
paying via Dwolla. Dwolla is cheaper and safer than mailing and
processing a paper check, state officials said, and the speed
and efficiency of the system also allows participating
businesses to receive their tax stamps sooner.    Branstad and
Lt. Gov Kim Reynolds said the state eventually could use Dwolla
for collecting property taxes and issuing state refunds, to
accepting vehicle registration renewals or for paying government
contractors.  "The number of state and federal payments are in
the billions with transactions totaling in the trillions,
meaning even a fraction of savings could have a profound effect
on the economy," said Ben Milne, founder and CEO of Dwolla Inc.