The Iowa Economic Development Authority (IEDA) board today approved state incentives for a food plant, an insurance firm and a railcar maintenance facility. IEDA spokesperson, Tina Hoffman, says the railcar facility will be built in western Iowa.
“Trinity Industries is going to be building a new facility in Sioux City and creating 250 jobs as part of that. This project has a capital investment $29.5 million,” Hoffman says. “They will have an operating facility to do railcar maintenance, to do railcar remanufacturing there have been some new regulations that have gone into effect that really are demanding a reworking of railcars. So, that’s and industry need and this is a great project for Sioux City.”
The company won an award that is specific to cities on Iowa’s borders. “We actually have 5 around the state that are able to use this program, and over the course of the next 8 years as these jobs are created by Trinity Rail, they could receive $1.9 million, based on the jobs that are created,” Hoffman explains.
The program involves the taxes paid by the new workers, as Hoffman says the withholding taxes of the new employees at the company are diverted back to the company as the new jobs are created. The company says 160 of the new jobs will pay around $17 an hour.
Another award went to an eastern Iowa company for insurance services. “Kunkel and Associates is an insurance consulting firm that is going to do a project in Dubuque. It will be an expansion for them and will have a capital investment of $2.4 million, and will create 18 new jobs,” Hoffman says.
The board awarded them a $128,000 half-loan, half-forgiveable loan under what’s called the “High Quality Jobs Program,” along with some tax credits. The company promises to create at least 16 jobs of the 18 which will pay more than $20 an-hour.
Mrs. Clark’s Foods in Ankeny also won state incentives today. “This is a $7.3 million project that would add an additional 69,000 square feet for warehousing and refrigeration. The board awarded them tax benefits through the high-quality jobs program and that will help them create 13 new jobs,” Hoffman says.
The jobs will pay $25.52 an hour. Mrs. Clark’s Foods makes fruit and vegetable juices, salad dressings and other sauces.