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BOARD ACTION: Board Approves Awards to Support the Creation of Up to 263 Jobs

For more information contact:

For more information contact:

 

Kanan Kappelman, IDED, 515.725.3154

communications@iowaeda.com

 

 

Economic Development Board Approves Awards to Support the Creation of up to 263 Jobs

 

June 16, 2011 (DES MOINES) – The Iowa Economic Development Board approved awards today that will create up to 263 jobs in Iowa.

 

The board approved incentives for planned or proposed projects in Eldora, Waukon, Cedar Rapids, Independence, Ames, Hospers, Urbandale, Waverly and Davenport.

 

Several animal health companies, as well as manufacturers and a food processor were included in today’s awards.

 

Iowa’s leadership in animal health research is underscored by the number of companies in the field choosing to locate and expand in the state,” said Governor Terry Branstad. “Manufacturers and food processing companies are recognizing Iowa as a place to grow.”

 

The total capital investment for projects or proposals receiving awards today is more than $111 million.

 

Iowa’s innovation-based economy is attracting companies looking for a concentration of highly educated workers and a beneficial business climate,” said Iowa Department of Economic Development director Debi Durham.

 

Illinois firm to relocate to Davenport

The board approved $176,000 in direct financial assistance through the Grow Iowa Values Financial Assistance Program (GIVFAP) as well as tax incentives for Seaberg Industries. The machining and fabricating company is planning to relocate its Rock Island, Ill., facility to Davenport, bringing 20 jobs supported by state incentives. The company plans on purchasing and remodeling an existing building, for a total capital investment of $2.9 million. Tax incentives are through the High Quality Jobs program.

 

Animal health company bringing jobs to Ames

The board approved $475,000 in direct financial assistance through GIVFAP and tax incentives to animal health company Hipra USA to construct a new facility in Ames. Tax incentives approved for the project are through the High Quality Jobs program.  It is expected that the project will employ around 60 people to start and will be mainly dedicated to the production of vaccines. Construction will be initiated during the spring of 2012 and the first production batches are expected by 2014.

 

Hipra also intends to create a Research and Development (R&D) Unit in the ISU Research Park, aiming to the development of new innovative vaccines, some of which are expected to be in collaboration with different research centers and universities in U.S. This R&D unit will be operative before the end of 2011, and in the first phase it will employ around 20 people. Hipra is a market leader in pharmaceuticals and vaccines for the prevention of diseases in food producing animals.

 

Manufacturer proposes jobs in Eldora

The board awarded $50,000 in direct financial assistance through GIVFAP and Enterprise Zone tax incentives to Agricultural Machinery Exchange to begin operations in Eldora. The proposed project would create 19 new jobs, 10 of which would be supported by state incentives. The proposal includes acquiring a vacant, 55,000-square-foot building in the city of Eldora’s industrial park, remodeling it and purchasing manufacturing equipment. In total, the project represents a $665,000 capital investment. The start-up company will remanufacture agricultural equipment such as planters, tractors and combines mostly for foreign markets. Much of the equipment will be modified for different uses, such as modifying a soybean planter by adjusting the row size and angles so that it can plant other agricultural products.

 

Start-up to establish facility in Waukon

The board approved $400,000 in direct financial assistance for Aveka to establish a facility in Waukon. The company’s primary business will be producing a specialty fiber using corn that serves as a raw material ingredient in other foods. The company would also provide expanded capacity for Cresco Food Technologies, also owned by Aveka Inc. The project includes the purchase of the former Foremost Foods Dairy plant, constructing an addition and making improvements to the building, as well as purchasing and installing equipment. The project represents a $3.7 million capital investment. Direct financial assistance for the project is through the Value-Added Agricultural Component.

 

New headquarters proposed in Cedar Rapids

The board approved $75,000 in direct financial assistance as well as tax incentives for animal nutrition company Diamond V Mills’ proposal to construct a new world headquarters near its manufacturing facility in Cedar Rapids. The project would create 12 jobs supported by state incentives. The proposal would replace an aging facility on the north side of downtown Cedar Rapids and represents a $17 million capital investment. A second phase would include an expansion of production capacity at the new manufacturing plant. Direct financial assistance is through GIVFAP, and tax incentives awarded are through the High Quality Jobs program.

 

Independence company eyes expansion

The board awarded tax incentives through the High Quality Jobs program to Geater Machining & Manufacturing Co. for a proposed expansion of its existing facility in Independence. The proposed project would create 11 jobs supported by state incentives. The project would include an expansion of up to 25,000 square feet and the addition of machinery and equipment, representing a $5.9 million capital investment. The company supplies precision machining, finishing, sheet metal fabrication, assembly and secondary operations for aerospace, electronics and other high-tech companies.

 

GMT eyes expansion in Waverly

The board awarded $250,000 in direct financial assistance and tax incentives for manufacturer GMT Corporation and Affiliates for an expansion in Waverly. The project will create 34 new jobs, 32 of which would be supported by state incentives. The company specializes in machining large iron castings and the fabrication of large steel assemblies with customers that include John Deere, Caterpillar, FMC, Terex and Lockheed Martin. The company’s project includes a new 46,000-square-foot building and the purchase of up to $25 million in new machinery and equipment, for a total capital investment of $29.8 million. Direct financial assistance awarded to the company is through GIVFAP and tax incentives are through the High Quality Jobs program.

 

City of Hospers to expand wastewater treatment facilities

The board approved $750,000 in direct financial assistance, from the GIVFAP infrastructure component, to the city of Hospers to expand its wastewater treatment facilities. As part of the expansion, the City proposes to include installation of two new aerated lagoon cells to provide for current and future increased industrial loading.  A local meat processing plant is currently hauling a portion of its wastewater by truck to a treatment facility in Sioux City, and the city wants to expand its facility to encourage growth in this industry.

 

Urbandale firm proposes production expansion

The board awarded $250,000 in direct financial assistance to ProbioFerm to expand production capabilities at its Urbandale location. The company develops and manufactures animal and human health supplements. The expansion includes investment in fermentation processing equipment, a freeze dryer and new piping, a drain system, new mixing and blending equipment and building modification and construction. The total capital investment for the project is nearly $995,000. Direct assistance is through the Entrepreneurial Component.

 

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Download a spreadsheet of these awards:

http://www.iowalifechanging.com/downloads/june11awards.pdf

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