At the Feb. 13 Dallas County Board of Supervisors Meeting, the board considered a resolution, approving Tyson’s application to the Iowa Economic Development Authority’s High Quality Jobs Program. The item was tabled at that meeting and brought back before them at the most recent meeting on March 13, where it was unanimously approved.
The application was originally supposed to be on the agenda for the March Iowa Economic Development Authority Board Meeting, but Linda Wunsch from Greater Dallas County Development Alliance said that Tyson has pulled the item from the agenda and will likely be pushed back to next month.
Wunsch said she believes they are just trying to get things in order and collect additional data.
According to the resolution, Tyson will make a capital investment of more than $40 million for an expansion of their plant just outside of the Perry city limits, which is projected to result in a substantial increase in property tax valuation in rural Dallas County.
“Because there is new property tax going to be added, because it would be an expansion, if the project is located in Iowa, it does also require that municipality to authorize the utilization of either tax increment or tax abatement as a part of the local contribution,” Wunsch said.
According to the agreement, Dallas County would a local match in an approximate amount of $573,368.85 in tax increment financing rebates over a 5-year period based on the approximate new taxable value of $9,961,340. The actual amount is subject to change, depending on the actual amount of the increased taxable valuation.
The rebate would offset the Iowa income taxes owed, according to the IEDA.
Additionally, the resolution states that Tyson will create four full-time positions and provide comprehensive health benefits to employees.
At the Feb. 12 meeting, Wunsch explained that the proposed project is a “modernization program,” which would add a chiller to the facility and make the freezing process faster.
To be eligible for the investment tax credit, the IEDA states that to be eligible for the program, they must apply prior to the beginning of the project and the created jobs must pay “100% of the qualifying wage threshold at the start and 120% of the qualifying wage threshold by project completion and through the maintenance period unless in a distressed area.”
The plant near Perry is just one of the few locations under consideration for this modernization project.
With the resolution in place, Rob Tietz, Director of Finance and Operations for Dallas County to proceed “in a timely manner to develop the proposal for the implementation of the Urban Renewal area and TIF district,” which would allow for the reimbursement of TIF funds.