BOARD ACTION: Board Approves Awards to Support Small Businesses
For more information contact:
Jacque Matsen, Iowa Economic Development Authority
Economic Development Board approves awards to support two established and fourteen small businesses in Iowa
November 16, 2018 (DES MOINES, IA) – Today, the Iowa Economic Development Authority (IEDA) Board awarded tax benefits to two companies for job creation and expansion projects. These awards will assist in the creation of 144 jobs and will result in $36 million in new capital investment for the communities of Atlantic and Nevada. The board also recommended grant funding for 14 innovative small businesses in Iowa and approved a Strategic Infrastructure Grant Iowa State University (ISU)/Center for Industrial Research and Service (CIRAS).
Elkhart Plastics proposes expansion of its Atlantic facility
Elkhart Plastics of Iowa, Inc., a subsidiary of Elkhart Plastics, Inc., provides rotational molding capabilities for customers across the United States in the RV/marine equipment, custom coolers and water tank liners businesses. The company plans to expand existing operations in Atlantic. The board awarded tax benefits via the High Quality Jobs program (HQJ) for this proposed $1 million capital investment. The project is expected to create 100 jobs, all of which are incented at a qualifying hourly wage of $15.95.
VERBIO to establish RNG production facility in Nevada
VERBIO North America (VNA) is the U.S. subsidiary of VERBIO Vereinigte BioEnergie AG, a German producer of ethanol, biodiesel and renewable natural gas (RNG) serving the European renewable vehicle fuels market since 2000. The proposed project establishes an RNG plant at the former site of the DuPont cellulosic ethanol facility in Nevada. This would be the company’s first production facility in North America. The board awarded VERBIO tax benefits via HQJ for the proposed $35 million project. This investment is in addition to, and separate from, the facility acquisition cost and will go toward converting the plant to utilize the VERBIO RNG technology. The project is expected to create 44 jobs, of which 28 are incented at a qualifying wage of $24.95.
14 small businesses recommended for grants
The Small Business Innovation Research/Small Business Technology Transfer (SBIR/STTR) program is designed to support successful Iowa-based grant applications through the Small Business Administration. One component of the program provides up to $50,000 in financial assistance to companies – $25,000 upon receipt of an SBIR or STTR award and $25,000 upon submission of a phase II proposal. IEDA financial assistance is released if the recipient receives an SBIR/STTR award and, as a result, every $1 in State of Iowa funding leverages $14 in federal funding. Today, 14 businesses were recommended for SBIR/STTR awards.
View the complete list here: iowaeconomicdevelopment.com/UserDocs/news/SmBizInnovTechTrans.pdf.
Iowa State University/CIRAS approved for Strategic Infrastructure Program grant
The board approved a $250,000 grant for a Digital Manufacturing Deployment Facility project at ISU. The funding will help ISU/CIRAS address the current gap in small- and medium-sized manufacturing companies adopting new automation technology. The flexible facility ISU plans to build and staff will offer Iowa manufacturing companies the opportunity to experience new digital manufacturing technologies, bring in their own equipment for trial product runs and experiment with advanced data analysis tools.
The Strategic Infrastructure Program supports projects that develop foundational assets with a goal of providing a competitive advantage to the private sector or creating needed physical infrastructure in Iowa. Award recommendations for these funds are made by the Iowa Innovation Council to the IEDA board for approval.
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Download a spreadsheet of today's awards: