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HomeMy WebLinkAbout~Master - Agreement with United Suppliers, Inc., for forgivable loan RESOLUTION NO. 12-316 RESOLUTION APPROVING AUTHORIZATION TO NEGOTIATE ECONOMIC DEVELOPMENT AGREEMENT WITH UNITED SUPPLIERS,INC., FOR THE CITY OF AMES,IOWA WHEREAS, United Suppliers, Inc., is an Eldora, Iowa, based agricultural wholesale distribution company owned by 775 agricultural retailers located in 20 states, and the company currently has 30 employees located in the Ames Crop Nutrients business unit; and, WHEREAS,the proposed project will include expansion of the offices in Ames and moving 15 employees from the Eldora offices to Ames and adding 35 new jobs over the next five years with the Ames office becoming the corporate headquarters; and, WHEREAS, the company will add approximately 12,000 square feet to the current office location and purchase land for future expansion; and, WHEREAS,total investment expected for the project is over$1.975 million,including a$1.9 million business contribution; and, WHEREAS,the company will also be applying for Industrial Property Tax Abatement under the existing City program; and, WHEREAS, since the project is a relocation of a company within the State of Iowa,there is no application or assistance expected from the Iowa Economic Development Authority; and, WHEREAS, the application to the City of Ames and the Ames Economic Development Commission (AEDC) for local assistance is in the form of a $75,000 forgivable loan to be funded with $50,000 from the City of Ames and $25,000 from the AEDC. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa, that authorization of the City Manager to negotiate an Economic Development Agreement with United Suppliers, Inc., and the Ames Economic Development Commission providing local assistance in the form of a forgivable loan in the amount of$75,000 is hereby approved. ADOPTED THIS 12th day of June, 2012. A. av C.-AAaj Diane R. Voss, City Clerk Ann H. Campbell, Mayor Introduced by: Davis Seconded by: Larson Voting aye: Davis, Goodman, Larson, Orazem, Szopinski, Wacha Voting nay: None Absent: None Resolution declared adopted and signed by the Mayor this 12th day of June, 2012.