HomeMy WebLinkAbout~Master - Endorsement for financial assistance for Advanced Analytical Technologies, Inc. RESOLUTION NO. 13-436
RESOLUTION APPROVING ENDORSEMENT OF IOWA ECONOMIC
DEVELOPMENT AUTHORITY APPLICATION FOR FINANCIAL ASSISTANCE FOR
ADVANCED ANALYTICAL TECHNOLOGIES, INC.,
FOR THE CITY OF AMES, IOWA
WHEREAS, Advanced Analytical Technologies, Inc. (AATI) is an Ames based company
that develops and manufactures systems to support pharmaceutical and life sciences research;and,
WHEREAS, founded in Ames in 1998 and located in the ISU Research Park, AATI has
fully developed products and multiple sales of systems to both public and private research facilities
in an international market, and the company has plans to expand operations, including
manufacturing,with the construction of a new 49,000 square foot facility at the ISU Research Park;
and,
WHEREAS,AATI will lease the majority of the building and plans to expand employment
by 62 full-time jobs while retaining the 36 existing jobs,and in preparing for this expansion,AATI
has applied for economic development assistance from the Iowa Economic Development Authority
(IEDA); and,
WHEREAS, this project will include building expansion and associated tenant
improvements,equipment,furniture,and fixtures,and the total investment expected for the project
is over$7 million,including a$625,000 forgivable loan from IEDA and research and development
tax credits estimated at $375,000; and,
WHEREAS, the staff at IEDA is currently reviewing the application to determine the
amount of the local match, but under the current IEDA local match policies, we can expect a 20
percent match requirement for the forgivable loan($125,000)plus a match for the IEDA tax credits
in the form of the five-year Industrial Property Tax abatement program; and,
WHEREAS, the ISU Research Park is also contributing to this project, and the City and
Ames Economic Development Commission (AEDC) staff will be working with IEDA to include
the ISU Research Park contribution as the local match, leaving the City with only the Industrial
Property Tax abatement; and,
WHEREAS, the City does not yet have an estimate on the value of the new building, but
the AATI application estimates total value at$9.2 million,and this includes tenant improvements,
some of which may be movable equipment and will not be subject to property tax; and,
WHEREAS,IEDA will review the AATI application for assistance later this month,but in
order for the IEDA to continue consideration of the project, the City Council must adopt a
resolution supporting the submittal of the AATI application for IEDA assistance; and,
WHEREAS, after the IEDA determines the local match and the terms of local and state
assistance, this will be brought back to the City Council for approval.
NOW,THEREFORE, BE IT RESOLVED,by the City Council of the City of Ames,Iowa,
that support of the submittal of an application from Advanced Analytical Technologies, Inc., and
requesting economic development assistance from the Iowa Economic Development Authority with
a local match to be determined and approved by the Council at a later date is hereby approved.
ADOPTED THIS 10"`day of September, 2013.
At-W av
Diane R. Voss, City Clerk Ann H. Campbell, Mayor
Introduced by: Davis
Seconded by: Orazem
Voting aye: Davis, Goodman, Orazem, Szopinski
Voting nay: None Absent: Larson, Wacha
Resolution declared adopted and signed by the Mayor this 10t1i day of September, 2013.