Our Agency

Call to order 1:00 p.m.

Board Members Present 
Joel Schmidt, Board Chairperson*
Dan Nickey, Board Vice Chair
Stuart Anderson*
Jennifer Johnson
Gul Kremer*
Jenae Jenison
Debi Durham
Geri Huser**
Troy DeJoode**
Timothy Whipple
Valerie Newhouse*
Rick Olesen

Board Member Absent
Nathan Young

Iowa Economic Development Authority Staff Present
Brian Selinger
Amber Buckingham*
Stephanie Weisenbach*
Ryan Young*
MK Anderson*
Terry Roberson*
Lisa Connell*
Rob Christensen
Betty Hessing
Emily Hockins*
Derek Folden*
Vicky Clinkscales*
Deanna Triplett*
Megan Andrew*

Others Present
Chaz Allen, Executive Director, Iowa Utility Association
Maison Bleam, Legislative Liaison, Iowa Utilities Board
Troy Van Beek, Founder/CEO, Ideal Energy Solar
Amy Van Beek, Co-Founder CMO, Ideal Energy Solar*
Dr. Gregory M. Wilson, Ideal Energy Solar*
Steve Guyer, Iowa Environmental Council*
Erin Jordan, The Cedar Rapids Gazette*
Karl Theis, Happy Pork, Inc.*
Representative Charles Isenhart*
*Participated via teleconference
**Arrived after roll call was taken.

Welcome & Introductions by Board Chairperson Joel Schmidt
Joel Schmidt welcomed everyone to the May 13 IEC Board meeting.

Roll Call by Betty Hessing, Administrative Assistant
A quorum was established.

Consideration of February 11, 2021 Meeting Minutes
Motion by Dan Nickey
Motion - I move approval of the February 11, 2021, minutes.
Second - Timothy Whipple
Voice Vote - All ayes in favor. Motion approved.

Public Comment Period – No comments.

Fiscal Update – Attachment A
Presentation provided by Terry Roberson. Terry Roberson stated the Financial Report for this meeting reflects cash expenditures paid through April 30th for State fiscal year 2021. On the administrative side you have just over $200,000 in expenses, with $195,000 of that in salaries. You currently have at April 30th on the main account for the grants, just under $9M available and on the loan account, just over $15.5M available. Terry Roberson answered questions from Board members.

Grant Program
Grant Program Status Report – Attachment B - Amber Buckingham reviewed the Iowa Energy Center’s Grant Status Report. Amber Buckingham stated that at the February meeting, she would be doing some desktop monitoring visits with all of our Grantees that received awards in the first round of grants in 2019. As a recap, most of those did not get underway until Spring to Summer of 2020 so we wanted to give them around a year before we met with them to see how things were going. Overall, the grants are doing very well, and they are on-budget. We have a couple of requests for time extensions and budget modifications that came out of those meetings. The PI’s are very excited about the work that they are doing and most of them are very interested in presenting to the Board the progress that they have made. So, we are trying to schedule those for future
Board meetings so they can tell you in-person about all of the great work and success they have had.

Amber Buckingham asked if there were any questions regarding the Status Report and no questions were asked. Debi Durham thanked the Grant Committee for all the work they do, and she thinks we are getting much better projects because of the review process.

Amber Buckingham commended the Grant Committee for the great amount of work they did for this last round of pre-applications. Amber Buckingham stated we received 75 pre-applications this round, which is about 20% more than what we typically see. Those 75 pre-applications did represent over $21M in funding requests. Fifty percent of them were from academic institutions and it took the Grant Committee three days to review the pre-applications. Forty pre applications were selected for the full application round and that’s about $11M in funding requests. We had to whittle that down to four because that’s how much we have to award this round. The Grant Committee will be meeting in late July to review those. Forty percent of those applications are from private or non-profit sector. All three regent institutions are represented in this round and we have
several private colleges that are named as partners on the grants. Amber asked if there were any questions regarding those pre-applications and there were none.

Joel Schmidt stated that Brian Selinger had given him a briefing on all the hours and efforts that were put in by staff and Board members on the Grant Committee so thank you.

Grant Modification – Attachment C
20-IEC-001 – Utility Workforce Assessment & Strategy Planning
Amber Buckingham stated this is a second no-cost extension request from The University of Northern Iowa for their Utility Workforce Assessment & Strategy Planning project. They are looking for an additional 6-month no cost extension for a new project end date of 12/31/2021. They are still having some issues with COVID, scheduling interviews, and the polar vortex also impacted their ability to meet with some of the utilities. They believe they will be finished before the end of the year but wanted to make sure they had ample time to finish. The extension does not impact the scope of the project or the budget. It is our recommendation that the Board approve the second no cost extension with a new project end date of 12/31/2021.

Motion by Debi Durham
Motion - I move to approve the second no cost extension with a new project end date of 12/31/2021.
Second - Rick Olesen
Roll Call  - Yes: 12 Abstain: 0
Motion approved.

20-IEC-010 – Development of Low Cost, Safe and High-Performance
Sodium Batteries for Wind Energy Storage – Attachment D
Amber Buckingham explained this request is from Iowa State University. It’s for the development of low cost, safe and high-performance sodium batteries for wind energy storage. They have asked to create a new budget line item within the budget—moving some funds from salaries and wages, fringe benefits and indirect costs to a newly created equipment category, which was not there previously. Staff felt that this modification would warrant Board approval since we would be creating a new budget line item. It does not impact the overall budget; they will stay with what they originally applied for. They just need the additional funding to buy additional channels to test the batteries because they are having more success than they thought they would. Staff recommendation is to approve the amendments and move the requested funds from salaries and wages, fringe benefits and indirect costs to the newly created equipment category.

Motion by Rick Olesen
Motion - I move to approve the amendment to 20-IEC-010.
Second - Dan Nickey
Roll Call - Yes: 12 Abstain: 0
Motion approved.

20-IEC-009 – Shared PMUs for Data-driven Real-time Distribution
Monitoring, Modeling and Analysis – Attachment E
Amber Buckingham explained this grant modification is from Iowa State University. This is for Grant #20-IEC-009, which is the shared PMUs for data-driven, real-time distribution monitoring, modeling and analysis. When Amber Buckingham was meeting with this particular PI and their project team, they let her know that the research team had originally felt that they could purchase a single microPMU unit for $3,600 and they intended to purchase twenty of these to complete their project. During the procurement phase of the project, they found they had to actually purchase a package rather than a single unit in order to maximize the benefits to the utilities. This unit has a package price of $12,950 per unit. The PI also found that the manufacturer did not provide a database to receive and store the data that is transmitted from the microPMU, so they have had to establish a communication channel and develop the database to do that and that has a system cost of $2,000 per unit per year. The increased costs means that the project team can only buy four fully packaged units instead of 20 single μPMUs. That’s just in order to stay within the originally applied for budget of $72,000 for this particular line item. 

ISU is also seeking to extend some individual deliverable dates, but not seeking an overall extension to the project. They are also seeking to add additional utility partners to the project. 

IEDA staff felt that this change was substantial and any substantive changes within the grant application need approval by the Board. Our recommendation is to approve the amendment to 20-IEC-009, updating the scope of work, deliverable dates and utility partners.

Motion by Rick Olesen
Motion - I move to approve the amendment to 20-IEC-009.
Second - Jennifer Johnson
Roll Call - Yes: 10 Abstain: 2 (Timothy Whipple & Troy DeJoode)
Motion approved.

Alternate Energy Revolving Loan Program (AERLP)
Loan Program Update – Stephanie Weisenbach stated we received three applications and had about a month to review those. We are also eagerly waiting the results of the legislative session this year to see if the program changes are being made and we will plan to convene the Loan Committee in addition to the special subcommittee appointed by the Board for this particular program change, to bring everybody together to talk about our next steps. We will wait to hear more, but we are not actively promoting any other loan cycles under the AERLP until we have resolution and clarity and presumably some next steps for a new program which will be on the near-term horizon. 

Stephanie Weisenbach noted for each of these loan projects, we may have members abstaining.

Ryan Wangsness – 36 kW Solar Project - Attachment F
Stephanie Weisenbach explained for the Ryan Wangsness project, this is an individual requesting a loan of $38,887.50. Ryan Wangsness farms 279 acres in Winneshiek County and the solar project would run a cooler for the eggs, fans to
cool chickens, motors to run the feed chain and egg belt and power the well and lights for the barn.

The funding sources for this are typical; they are requesting a loan for 50% of the project cost and a bank loan is the other 50% which has been secured with verification from that lender. For the incentives of the project, that will be the Federal Investment Tax Credit and the State Solar Energy System Tax Credit. 

The applicant requested a loan term of nine years. Our staff team analyzed the cash flow factors with the various data points for savings and other figures and the Loan Committee is looking at recommending a five-year loan term and the collateral being provided by the applicant is an irrevocable letter of credit, which is the preference of the program and assures that the bank will pay the loan if the borrower fails to pay. We have been working with Farm Credit Services on some of these and they are working on this project as well.

Stephanie Weisenbach stated the Loan Committee’s recommendation is to approve this for a five-year loan term.

Motion by Timothy Whipple
Motion - I move to accept the Loan Committee’s recommendation for the Ryan Wangsness project and approve this for a five-year loan term.
Second - Debi Durham
Roll Call - Yes: 11 Abstain: 1 (Rick Olesen)
Motion approved.

Dan Nickey was the Chairperson until item V.E. as Joel Schmidt abstained from Sievers Family Farms, LLC and the Todd Eggert loan projects.

Sievers Family Farms, LLC – 155 kW Solar Project – Attachment G
Stephanie Weisenbach explained for the Sievers Family Farms LLC, the loan request was for $149,200. They intend to install a solar array at their farm which raises agricultural beef cattle and grain. 

Similar typical financing sources here is the Iowa Energy Center loan request for 50% of the project and the applicant is pledging the other half as cash towards their half of the project. The incentives are the State and Federal Tax Credits.

The applicant requested a loan term of twenty years and after further analysis of the cash flow factors and discussing with the Loan Committee, it was decided to recommend a four-year loan term for this particular loan. The applicant also has an irrevocable letter of credit as collateral pledged with the application, which eliminates the risk to the Iowa Energy Center. 

Stephanie Weisenbach stated the Loan Committee’s recommendation is to approve this for a four-year loan term.

Motion by Debi Durham
Motion - I move to accept the Loan Committee’s recommendation for the Sievers Family Farms, LLC and approve this for a four-year loan term.
Second - Timothy Whipple
Roll Call - Yes: 11 Abstain: 1 (Joel Schmidt)
Motion approved.

Todd Eggert – 24 kW Solar Project – Attachment H
Stephanie Weisenbach explained this loan request was from Todd Eggert, an individual requesting a loan for $25,750. This is for a rural residence on five acres in Wilton, Iowa.

The financing sources are typical to what we have seen for the bank loan and the loan request; same federal and state tax credits for the applicable percentages. 

The applicant requested a loan term of seven years and they are pledging a mortgage on their property as collateral. The applicant wasn’t able to get the irrevocable letter of credit. The mortgage itself would not be in the first position on the property, as there are two other mortgages on it and the Loan Committee would only want to consider for those that are in the first position, which would mean the property owner would need to own the property and so the recommendation from the Loan Committee is to deny this loan request.

Motion by Rick Olesen
Motion - I move to accept the recommendation of the Loan Committee and deny this loan request.
Second - Timothy Whipple
Roll Call - Yes: 11 Abstain: 1 (Joel Schmidt)
Motion approved.

Joel Schmidt returned as Chairperson.

AERLP Legislative Update
Deanna Triplett stated that the legislature is in overtime. Leadership is currently working on a deal to wrap-up this session. The Energy Infrastructure Revolving Loan Fund is in numerous Bills that are part of the final discussions. It is in both versions of the Compromised Tax Bill (SF 619 & HF 893). It is also in the House Economic Development Budget Bill (HF 871). It is well situated to be part of the final deal.

Deanna Triplett asked if anyone had any questions, but no questions were asked. Joel Schmidt thanked everyone for their efforts in preparing that Bill. 

Appointments to Committees and Election of Board Chair/Vice Chair –
Attachment I
Lisa Connell stated she would talk about these collectively and then the Board could act on each individually. First up, would be to reappoint the Grant Committee. As it is now, it’s a five-person Grant Committee with members being Jenae Jenison, Jennifer Johnson, Gul Kremer, Dan Nickey and Rick Olesen. That would be for a term that starts July 1, 2021, and would go through June 30, 2022.

Next up would be to reappoint the Loan Committee. As it stands, this is a four-person committee with members being Stuart Anderson, Troy DeJoode, Valerie Newhouse and Timothy Whipple. 

Last up would be to elect Troy DeJoode as Board Chair and Dan Nickey as Vice Chair of the Iowa Energy Center Board.

All of those are proposed and if you have any comments or suggestions, now is the time to make them. No comments or suggestions were made.

Appointments to the Grant Committee.
Motion by Debi Durham
Motion - I move to approve the reappoint of Jenae Jenison, Jennifer Johnson, Gul Kremer, Dan Nickey, and Rick Olesen to a five-person Grant Committee for a term from July 1, 2021 to June 30, 2022.
Second - Rick Olesen
Roll Call - Yes: 12 Abstain: 0
Motion approved.

Appointments to the Loan Committee
Motion by Geri Huser
Motion - I move to approve the reappoint of Stuart Anderson, Troy DeJoode, Valerie Newhouse, and Timothy Whipple to a four-person Loan Committee for a term from July 1, 2021 to June 30, 2022.
Second - Dan Nickey
Roll Call - Yes: 12 Abstain: 0
Motion approved.

Election of Chair & Vice Chair
Motion by Rick Olesen
Motion - I move to elect Troy DeJoode as Board Chair and Dan Nickey as Vice Chair of the Iowa Energy Center Board for a term from July 1, 2021 to June 30, 2022.
Second - Geri Huser
Roll Call - Yes: 12 Abstain: 0
Motion approved.

Brian Selinger introduced our guests from Ideal Energy, Troy Van Beek and Greg Wilson. Troy has been with us in the past to talk about battery energy storage projects. As Mr. Schmidt said, we thought this would be well timed for a couple different reasons. The IEC provided grant funds to Ideal Energy to investigate the potential of renewable hydrogen in Iowa—what that looks like—what type of sector opportunities and at IEDA, we are always encouraging pilot projects. We want to get to actual development of projects, so they are working at a feverish pace to get to that point. We thought it would be good for the Board to get a better sense of what they are working on and what the next steps are, but also how it relates to our revolving loan fund and our hopeful legislative changes. Innovative projects/innovative infrastructure projects, like renewable hydrogen,
could be something that the Board could consider so we thought it would be good to educate you more on what that is and what that holds.

Renewable Hydrogen Potential for Iowa – Attachment J
Troy Van Beek and Greg Wilson with Ideal Energy gave their presentation.

Other Business
Joel Schmidt thanked everyone for all their efforts and stated how different the energy landscape is in the ten plus years that he has been involved here. Lots of good stuff and I appreciate this group’s collaboration, hard work on the grants and other things.

Energy Office Updates
Brian Selinger thanked Joel Schmidt for his time and effort serving on the Iowa Energy Center Board and as Board Chair. Brian Selinger thanked Troy DeJoode and Dan Nickey for continuing on. It’s nice to see faces in-person and see faces on the screen. We have a couple folks whose terms are expiring the end of June, but we are pleased that they are applying again to continue on this Board. They are Debi Durham and Timothy Whipple. Brian thanked them both for being on the Board and wanting to continue being on the Board. Thank you also to Troy DeJoode for being the upcoming Chair of this Board. Brian also stated he wished Nate Young, with the University of Iowa, could have been here to thank in-person, as he will be stepping-off the Board. Brian has talked to the University of Iowa and he thinks they have a couple people they are putting forward through the IGOV process. 

Brian Selinger stated that we will be in touch this summer. There is Grant Committee work to be done and legislative updates. We will also be working on doing some tweaks to the Loan Program and other things Brian will keep you apprised of.

Thank you to Board members and to our team for all the work they do.

Next Quarterly Board Meeting August 5, 2021 at 1:00 p.m.

Chairperson Schmidt asked for a motion to adjourn.
Motion by Timothy Whipple
Motion - I move to adjourn.
Second - Rick Olesen
Adjournment 2:11 p.m.

Respectfully Submitted,
Betty Hessing, Administrative Assistant

(Refer to PDF for attachments.)