The Iowa Economic Development Authority has approved more than $12 million in assistance for a company that wants to build a facility to make sausage in Perry, creating more than 300 jobs.

The IEDA board voted today to approve $9.45 million in investment tax credits and $2.60 million in sales and use tax credits to JBS USA Food Co., which announced last month plans to invest $135 million to build a 150,000-square-foot facility in Perry, roughly a year after the Tyson plant shut down, laying off 1,300 people.

According to IEDA documents, JBS USA processes, prepares and packages fresh sausage under a variety of brands. The company operates in 15 countries, employing more than 150,000 people and provides products for more than 100 countries, the IEDA documents show.

Documents show that the company plans to create 250 jobs in Perry within the first three years of operation, with another 70 jobs to be added in subsequent years.

Of those jobs that are created, 57 will pay $31.10 per hour.

The project also will receive a local match in the form of a 10-year tax increment finance rebate from the city of Perry valued at $10 million, documents show.

Construction on the Perry facility is expected to begin before the end of this year and be complete by November 2026, documents show.

JBS USA operates several other facilities in Iowa, including in Council Bluffs, Marshalltown, Oakville and Ottumwa.

Perry’s City Administrator Sven Peterson spoke at the meeting, saying the JBS announcement has been a welcome highlight for the community of about 8,000 people northwest of Des Moines.

“If you would have asked me a year ago if I thought that something like this would be possible within a year of the Tyson closure, I would have told you that you were absolutely insane,” he said.

Debi Durham, director of IEDA, said Perry leadership has “shone through this.”

“You have a really good partner with JBS and we also made it very clear that we expect them to be very good corporate citizens, and we’ve seen that in other places,” she said. “They’re very excited to be in your community.”

Gov. Kim Reynolds issued a statement following the IEDA board’s decision, calling JBS’ announcement “tremendous news for Perry and the entire state of Iowa.”

“This investment by JBS reflects confidence in Iowa’s workforce, our strong agricultural economy, and our commitment to growing vibrant communities. At a time when Perry has faced real challenges, this investment brings renewed hope and opportunity for the hardworking families who call this community home,” she said in the news release.

In the release, JBS USA CEO Wesley Batista Filho said the state’s investment aligns with the company’s commitment to Iowa, its producer partners, team members and the U.S. market “as we look to build a best-in class sausage production facility.”

“We are grateful to the state of Iowa for their continued support, and we look forward to being part of the Perry community – creating quality jobs and economic opportunity in the region,” he said in the release.

In other action, the IEDA board:

• Approved investment tax credits and a sales and use tax refund totaling $119,750 to ITA Group, which has proposed a 15,000-square-foot expansion in the Arcadia building where it also leases space at 7000 Vista Drive, West Des Moines. According to board documents, the expansion is needed to support the company’s continued growth. The company, which manages and operates incentive, employee recognition and customer experience programs for Fortune 1,000 companies, plans to create 33 jobs, 25 of which will pay $36.80 per hour.  Board documents indicate that construction is expected to begin in July and be completed in November. The expansion represents an investment of more than $2.4 million.
  
• Approved more than $878,000 in insurance premium tax credits and a sales and use tax refund to Merchants Bonding Co., which announced plans last month for a 34,000-square-foot expansion at its headquarters at 6700 Westown Parkway in West Des Moines. As part of the expansion, the company plans to create 34 jobs, 18 of which would pay $36.80 per hour. According to board documents, the city of West Des Moines plans to provide a five-year tax increment finance package valued at $800,000. Design work is expected to be completed in August with site work being completed in October. Construction is expected to be finished by February 2027.