DUBUQUE, Iowa (AP) -- The city of Dubuque is proposing an economic development package that could provide about $4 million in city and state benefits to Hormel Foods as an incentive to expand in Iowa.
Hormel is considering Dubuque for a $31 million expansion that would create 100 jobs in two new production lines at its meat processing plant, economic development officials said.
Competition for the project is global, economic development officials told The Dubuque Telegraph Herald (http://bit.ly/1b2xY9A ).
"(Hormel) is extremely important to the community," said Maurice Jones, Dubuque's economic development director. "Going forward, I think it's really important that we try to help them expand here as opposed to (somewhere) else. I think we have a lot to offer."
The city will offer $1.3 million in tax-increment-financing benefits over five years, which would begin in fiscal year 2022, as a "local match" required by state incentive programs.
If the application is approved, the state would provide investment tax credits, sales tax exemptions, and job training funds.
The local plant has some of best equipment available for a modern meat processing facility, said Rick Dickinson, president and CEO of Greater Dubuque Development Corp. Research activities credits would reward further innovation.
"This is a state-of-the-art plant for Hormel, and already there's some very innovative proprietary equipment in this facility," he said. "It's unique in the industry."
Included in the city's application to the IEDA are some details about the jobs that would be created by the expansion.
The majority of the new positions would be production laborers, with wages starting at $13.58 per hour. The expansion also calls for more than a dozen mechanics/electricians with wages starting at $21.41 per hour, and seven production supervisors at $23.25 per hour, among other positions.
Information from: Telegraph Herald, http://www.thonline.com
- Budget, Tax & Economy
- Dubuque Telegraph Herald
- Hormel Foods
- economic development