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HomeMy WebLinkAbout~Master - Endorsing the Iowa Economic Development Authority Application for Finanical Assistance for Berdex, USA RESOLUTION NO. 22-051 RESOLUTION ENDORSING THE IOWA ECONOMIC DEVELOPMENT AUTHORITY APPLICATION FOR FINANCIAL ASSISTANCE FOR BERDEX, USA,WITH LOCAL MATCH IN THE FORM OF A GRANT FOR THE CITY OF AMES,IOWA WHEREAS,Berdex,USA,is the North American branch of a Netherlands-based company that designs and manufactures trailers for livestock transport; and, WHEREAS, the company has been in business since 1947 and is a leader as a biosecure transport of livestock; and, WHEREAS, this project would bring the manufacturing of Berdex trailers to the former Caremoli site in Ames; and, WHEREAS, the project will include leasing 18,000 square feet of space at the former Caremoli facility to setup and begin manufacturing three types of livestock trailers; and, WHEREAS, Ames will also be the Berdex, USA, headquarters; and, WHEREAS, Investment for the project is expected to be $1.895 million, and local funding in the form of a $11,420 grant funded half by the City of Ames and half by the Ames Economic Development Commission (AEDC) will provide a local match for $57,100 in tax incentives from the State of Iowa; and, WHEREAS, the project is expected to add 16 manufacturing and four administrative jobs with benefits and pay rates starting at just over 100%of the Story County median laborshed rate and expected to exceed 130% after 36 months; and, WHEREAS,the IEDA will review the Berdex application for assistance at its February 18, 2022, meeting, and the local match from the City will be contingent upon approval of the final agreement by the City Council; and, WHEREAS,for the IEDA to continue the consideration ofthis project,the City Council must adopt a resolution supporting the submittal of the Berdex, USA, application for IEDA assistance, and the terms of the Grant Agreement will be determined after the IEDA award; and, WHEREAS,if Council supports the application for assistance,the local match for the project would be a$11,420 grant loan to be funded with $5,710 from the City of Ames(from the available balance in the Economic Development Fund) and$5,710 from the AEDC; and, WHEREAS,the AEDC Executive Board approved their funding of the required local match at a meeting on Friday, February 4, 2022. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa, that the endorsement of the Iowa Economic Development Authority application for Financial Assistance for Berdex, USA, with a local match to be provided in the form of a grant is hereby approved. ADOPTED THIS 8th day of February, 2022. Diane R. Voss, City Clerk John A. Haila, Mayor Introduced by: Junck Seconded by: Betcher Voting aye: Beatty-Hansen, Betcher, Corrieri, Gartin, Junck, Rollins Voting nay: None Absent: None Resolution declared adopted and signed by the Mayor this 8th day of February, 2022.