BOARD ACTION: Board Approves Awards to Support Capital Investment
For more information contact:
Jacque Matsen, Iowa Economic Development Authority
Economic Development Board approves awards to support over $50 million in capital investment in Iowa
March 23, 2018 (DES MOINES) – Today, the Iowa Economic Development Authority (IEDA) board awarded direct financial assistance and tax benefits to six companies for job creation and expansion projects. These awards will assist in the creation of 263 jobs, retention of 16 jobs and will result in over $50 million in new capital investment for the state. The state also approved innovation funding for seven startups.
The board approved assistance for planned or proposed projects located in Akron, Ankeny, Burlington, Cedar Rapids, Davenport, Des Moines, Dubuque, Marion, Sioux City and Waterloo.
AHT receives assistance for Waterloo expansion project
Advanced Heat Treat Corp. (AHT) is a recognized leader in providing heat treating services and metallurgical solutions to companies across the globe. AHT plans to enlarge its existing facility in Waterloo to allow it to grow its nitriding capabilities and other complementary services. The board awarded AHT tax benefits for this project from the High Quality Jobs (HQJ) program. This $4.9 million capital investment is expected to create 12 jobs, of which six are incented at a qualifying wage of $17.29 per hour.
Burlington manufacturer to expand, remodel existing facility
Frank Millard & Co., Inc. (FMC) is a manufacturing, electrical, instrumentation, mechanical, HVAC and construction service company. FMC plans to expand its existing facility in Burlington for manufacturing. The project also includes remodeling former warehouse space into offices and conference space. The board awarded FMC tax benefits from the Targeted Jobs Withholding Tax Credit program for this $2.6 million capital investment. The project is expected to create 49 jobs incented at a qualifying wage of at least $19.53 per hour.
Medline set to create 105 jobs in Dubuque
Medline Industries, Inc., is the nation’s largest privately held manufacturer and distributor of medical products. The company offers patient-centered solutions, services and expertise across the continuum of care in settings like hospitals, surgery centers, physician offices and nursing homes. Medline’s proposed project in Dubuque includes the construction of a new customer service facility. This project represents a $19.6 million capital investment and is expected to create 105 jobs, of which 76 are incented at a qualifying hourly wage of $22.37. The company was awarded tax benefits via HQJ.
Meredith to remodel Des Moines headquarters to accommodate growth
Meredith Corporation uses multiple distribution platforms, including broadcast television, print, digital, mobile and video to provide consumers with content and to deliver the messages of its advertising and marketing partners. The company recently acquired Time, Inc. and plans to relocate positions from Time Inc.’s New York City headquarters to Des Moines and hire new staff to fill these positions. The project will include remodeling the current headquarters facility to accommodate this growth. This $8.6 million capital investment was awarded tax benefits from HQJ. The project is expected to create 41 jobs incented at a qualifying wage of $29.12 per hour.
Sioux City brick manufacturer to construct new corporate office building
Sioux City Brick & Tile Company was formed in 1913 and currently has two brick manufacturing plants located in Adel and Sergeant Bluff. The company plans to construct a new corporate office building in Sioux City. This project represents a $1.7 million capital investment and is expected to retain 16 jobs incented at a qualifying wage of $21.40 per hour. The company was awarded tax benefits from the Targeted Jobs Withholding Tax Credit program.
Timberline receives assistance for $12.7 million capital investment
Timberline Manufacturing, located in Marion, is an employee-owned company that provides electrical contract manufacturing specializing in wire harness assembly, control panels and circuit board assembly. Timberline plans to purchase the facility it is currently leasing along with adjacent land, construct an addition and remodel existing space. This significant expansion will allow Timberline to meet increasing demand from current customers. The board awarded Timberline tax benefits from HQJ for this $12.7 million capital investment. The project is expected to create 56 jobs, of which six are incented at a qualifying hourly wage of $24.91.
Awards made to seven startups
The Demonstration Fund provides financial and technical assistance to encourage high-technology prototype and concept development activities that have a clear potential to lead to commercially viable products or services within a reasonable period of time.
The fund provides financial assistance to encourage commercialization activities by small and medium-sized Iowa companies in the advanced manufacturing, biosciences and information technology industries. The primary purpose of the fund is to help businesses with a high-growth potential reach a position where they are able to attract later-stage, private-sector funding.
The Iowa Innovation Acceleration Fund promotes the formation and growth of businesses that engage in the transfer of technology into competitive, profitable companies that create high-paying jobs. The funds are designed to support commercializing research, launching new startups and accelerating private investment and industrial expansion efforts that result in significant capital investment.
The Proof of Commercial Relevance (POCR) Fund provides financial assistance to innovative businesses that are pursuing proof of commercial relevance and marketability of a technology. The fund is designed to assist businesses with new technologies that have completed the proof of concept stage and are ready to be subjected to the rigors of the proof of commercial relevance stage that includes defining the market for the product and perfecting the product to meet market needs.
Award recommendations for these funds are made by the Technology Commercialization Committee (TCC) to the IEDA Board for approval.
Accelerated Ag Technologies LLC (AAT) is a biotechnology startup based in Ankeny that was formed in March 2015. The company’s mission of increasing agricultural productivity is addressed by increasing the reliability of the world’s seed and grain supply by enabling hybrid production systems. AAT has developed and has patents pending for several biotechnology processes and applications to enhance plant pollination, with a focus on cross-pollination. AAT was awarded a $300,000 loan from the Iowa Innovation Acceleration Fund for product refinement and IP development for a technology called PowerPollenSM .
InfraDrone, LLC DBA InfraLytiks is a data analytics and machine learning company focused on data collected through unmanned aircraft system inspections. The company uses drones and data analytics to visually inspect a variety of points of concern for use in three main industries: infrastructure, energy, and insurance. These inspections are conducted via a variety of sensors and algorithms and the product’s capabilities include crack detection and automated structural valuations. The Des Moines-based company was awarded a $100,000 loan from the Demonstration Fund for product refinement and market planning and market entry activities.
Founded in 2017 in Akron, Insulights.com, Inc. has developed a product that merges insulators and LED lights. This electric fence insulator helps livestock and orchard managers protect property and manage electric fences. Insulights are equipped with a flashing LED light that signals users of electric fence damage and assists in deterring wild animals from damaging electric fences. The board awarded Insulights.com a $100,000 loan from the Demonstration Fund for market planning and market entry activities and key personnel.
Optimum Fleet Health (OFH) was established in late 2012 in Davenport. The company’s product offering utilizes a SaaS model that provides condition-based maintenance reports to diesel-based transportation fleets that include both causes and corrective actions. Using predictive analytics, OFH identifies emerging issues before they become large problems and affect other systems. The company was awarded a $100,000 loan from the Demonstration Fund for hiring key personnel and market planning and market entry activities.
StemBox, Inc., located in Des Moines, offers a monthly subscription box that sends girls, ages 7-12, sophisticated science, authentic lab ware and fun science accessories to empower and encourage them to pursue STEM (science, technology, engineering and math) careers. The company was awarded a $25,000 POCR loan for market planning and market entry activities.
Cedar Rapids-based SwineTech, Inc.’s product, SmartGuard, is a sensor-based technology that was developed to reduce the number of pigs that die from piglet crushing, disease, lameness and starvation. The system uses sound, vibration and slight electrical impulses to keep piglets from these threats. The company was awarded a $100,000 loan from the Demonstration Fund for hiring key personnel and market planning and market entry activities.
STRATAFOLIO, INC. is located in Cedar Rapids and has developed a technology for commercial property owners to sort data. STRATAFOLIO aggregates the data into an easy-to-use interactive dashboard. This technology allows organizations to quickly gain insight into the past, present, and future by visualizing their data holistically, isolating it to a single asset class, or a business. STRATAFOLIO was awarded a $25,000 POCR loan for product refinement, proof of concept work and market analysis.
# # #
Download a spreadsheet of today's awards: