1. Iowa is Working Tim Whipple General Counsel
Iowa Economic Development Authority

2. Governor’s Growth Agenda

3. New Economic Development Model
The Iowa Partnership for Economic Progress will include two entities, the Iowa Economic Development Authority which will act very much the same as the current Department of Economic Development, and the non-profit arm, the Iowa Innovation Corporation.  The new model also allows the state to incorporate the best aspects of the public and private sectors, with a results-driven, dynamic and accountable organization with programs and incentives that will meet the needs for business growth.
A key part of this legislation includes creating on overarching strategic board for the Authority and the Iowa Innovation Corporation. The Iowa Innovation Corporation will connect new and existing businesses in Iowa with research and development expertise and financing they need to successfully develop their company. The Innovation Corporation will also perform as the state’s innovation intermediary that can truly drive the state’s innovation strategy. Just a few of those functions include offering expertise through economic transitions, building entrepreneurial cultures, helping existing industries modernize and grow exports, and diversifying rural and urban economies. This shift will be a key part in growing the state’s wealth and economy.

4. The High Quality Jobs Program
Business Development Tax Credits

5. Program Description
The Program provides tax incentives to businesses that make capital investments and create jobs in the state.
Brief Legislative History
New Jobs and Income Program (NJIP) created in 1995
In 2005, NJIP changed and renamed High Quality Job Creation Program (HQJC)
In 2009, HQJC amended again and renamed High Quality Jobs Program

6. Core Eligibility Requirements
An engaged local partner (for projects larger than $10 million)
Cannot be a relocation from one Iowa community to another
Must meet job creation/retention requirements and wage threshold requirements
Must provide sufficient benefits package
The fiscal return for the state must justify the amount of incentives
Cannot be a retail business or a business with a history of violations of the law
IEDA must consider the overall quality of the project before making the award

7. $9,026,505,425 Results Total Capital Investment:
Iowa Economic Development Authority – Business Assistance Awards, January 2011 through June 2014

8. Project Industry Sectors and Breakdown

9. Projects Awarded by

10. National Recognition
U.S. Chamber of Commerce Foundation’s Enterprising States 2014 study
Top 10 States for Economic Performance -- #8 Iowa
ICAIncentives’ “Measuring the Quality of Incentive Programs” study
“Best Practice” States identified that perform well, combining effective tax incentive program evaluations with openness – Iowa among the six

11. Brownfield/Grayfield Tax Credits
New Additions for 2014

12. Program Description
The Program provides tax incentives to for the redevelopment of brownfields and grayfields.
New features:
Abandoned public buildings eligible
Refundability for nonprofits
Award amounts negotiated by board
Transferrable credits
$10M available

13. Workforce Housing Tax Credits
New Program for 2014

14. Program Description
The Program provides tax incentives to housing developers – NOT TIED TO ZONES.
EZ Program REPEALED.
Eligibility:
A grayfield or brownfield site.
The repair or rehab of dilapidated existing housing stock.
An upper story project.
New construction IF in a community with demonstrated workforce housing needs.
Cost per unit doesn’t exceed $200K, or $250K for historic rehab.
Transferrable credits
$20M available

16. Iowa’s Public Entrepreneurial Funding Continuum

17. Innovation Funding
Since January 2011, IEDA has supported start-up projects with innovation funding equaling:
Program Sources
$9.215 million (Innovation Fund – SSBCI)
$ 575,000 (i6 Challenge Grant Fund)
$5.194 million (Demo Fund)
$14,984,000
Wade Arnold, now managing director for the new entity, Banno at ProfitStars, on winning Prometheus CEO of the year Award:
“It’s pretty incredible when there’s 800 people in the room that represent every major company in the state of Iowa and then having (Iowa Economic Development Authority Director) Debi Durham there giving shout-outs to me when she’s giving her talks. I think it’s a great way to celebrate a growing part of Iowa’s economy.”

18. Iowa Fertilizer Company Rail.One
CJ Bio America
Fort Dodge
Valent Biosciences
Osage
Iowa Fertilizer Company
Lee County
Rail.One
Clinton

20. Small Business IASourceLink.com What is it?
A statewide resource and economic development tool for entrepreneurs and small businesses across Iowa and for those considering Iowa for a business location
Partnership between IEDA and University of Northern Iowa’s MyEntre.Net
What is it?
Resource Navigator – connects entrepreneurs and small businesses with resource providers across Iowa
Statewide Events Calendar – comprehensive listing of networking, educational and training opportunities taking place across Iowa
Business Concierge – personalized assistance with marketing demographics, trends and resources
Business Licensing – customized help with identifying necessary business registrations and licenses
Information Source – webinars, e-newsletter, blogs and resources offered on timely topics

22. Workforce Challenges According to Synchronist:
Skilled Labor and unclassified labor issues remain persistent problems
Access to workers remains a critical issue. 638 employers or 52% of the executives interviewed now report difficulty recruiting workers.  (Up %45 % from 2011 Iowa report)

23. Education & Workforce Training Initiatives
Certification & credentialing of workforce – NCRC
Skilled Iowa
Expand Apprenticeship Programs
STEM
Immigration Reform
Home Base Iowa Military
Recruitment Effort

24. Home Base Iowa
A new non-profit, private-public partnership that will recruit veterans and active duty service members for private-sector job opportunities in Iowa
Dedicated Staff – Kathy Anderson, Project Manager
Website –
Comprehensive source for job services available to veterans in Iowa
Marketing outreach:
National advertising
In-person outreach
Social media campaign
Military publications
Legislative Changes:
Military Pension Income Tax Exemption
Increases Military Homeowner Assistance
Permissive Veteran Preference in Employment
Streamlines Occupational Licensure
Automatic in-state tuition for veterans, spouses and dependents
“Since the launch of Home Base Iowa, we have had numerous veterans, businesses, communities, and veterans organizations contact our office about the initiative,” said Branstad. “We are excited to launch this site to ensure veterans looking to establish themselves in Iowa have the most up-to-date information regarding the state’s job opportunities, welcoming communities, and ways to stay engaged with the military community.”

25. 2014 Legislative Workforce Initiatives
STEM Internships
Funding to support internships in science, technology, engineering and mathematics
The program will fund 400 interns at up to $5,000 each, allowing employers to claim $1 for every $2 it pays interns
Apprenticeships
Expansion of the 260F job training program would triple the amount of state funding allocated for apprenticeships
Support is increased from $1 million annually to $3 million by providing additional funds and reforming and streamlining administration of the program

27. Development Ready Communities
Freight Network Optimization Strategy
Certified building sites
Quality of life initiatives
Arts and Culture
Sustainability
Connect Iowa
Main Street Iowa
Workforce Housing

28. Certified Site Program
Announced the first-round certifications
Dexter, Fort Dodge, Iowa Falls and Van Meter
Benefits for certification include:
Effective pro-active marketing
Better reactive marketing
Quicker development schedule
Increased familiarization with site’s strengths and weaknesses
Recently launched General Industrial Site Program
Single site: 50 – 249 contiguous acres
Industrial Park: 100+ acres with one site ≥ 50 acres
Limit one site per county in each application round
New application round will open in January 2014

29. Community Development
Program Overview

30. Community Development Block Grant (CDBG)
Iowa receives approximately $21 million per year from HUD to:
Assist low and moderate income communities to preserve and develop basic infrastructure and community systems
Promote owner occupied housing rehabilitation to low and moderate income homeowners
Support economic development activities that benefit low and moderate income persons through job creation/job training

31. Community Development Block Grant (CDBG)

32. Community Development Block Grant (CDBG)
Most of Iowa’s CDBG programs accept applications on an annual basis.
Applications are submitted online through Iowagrants.gov
Applicants must be units of local government (cities less than 50,000 & counties)
More information on Iowa’s CDBG programs can be found here:

33. Main Street Iowa
New Director – Jim Engle
Net business gain in MSI districts occurred in all 26 years of the state Main Street program  
3,800 business starts, expansions and re-locations
Sales tax collections from net new businesses in MSI districts is 48 times the state appropriation to fund program  
Added three new Main Street Communities in 2014
Newton, Avoca, Guthrie Center
$1 million Challenge Grant funding available to MSI communities

34. Iowa is Working Tim Whipple General Counsel
Iowa Economic Development Authority