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IEDA awards tax incentives to General Mills, two other Iowa companies


Mid-States Materials Handling and Fabrication in Nevada was one of three companies to receive financial assistance for expansion projects. Photo by Michael Crumb.

The Iowa Economic Development Authority Board on Friday awarded tax credits and other assistance to three companies that have plans to expand and add jobs.

The board awarded General Mills $555,000 in investment tax credits and $210,000 in a Sales, Service, Use Tax Refund, for total assistance of $765,000, to modernize its production line in Cedar Rapids, where the company makes cereal, fruit snacks and frosting. According to board documents, the $37 million project will include upgrades to existing equipment, and the addition of new, more efficient machinery.

As part of the project, General Mills will create 50 jobs, three of which will pay a qualifying wage of $23.20, according to IEDA documents.

The board also awarded almost $108,000 in assistance — $63,390 in investment tax credits and $44,535 in a Sales, Service, Use Tax Refund — to Mid-States Material Handling and Fabrication in Nevada.

The metal fabrication company primarily makes grain handling equipment and is planning a more than $3.16 million project to expand its current facility by 40,000 square feet. As part of the expansion, Mid-States plans to add state-of-the-art fabrication equipment. The company also plans to create nine jobs, with one paying a qualifying wage of $27.07 per hour.

Mid-States will also receive a five-year tax abatement totaling $225,000 from the city of Nevada, board documents show.

The company, which opened in 2011, makes conveyors, structural I-beams and four-legged metal towers that support catwalks and bucket elevators. It serves grain elevators, co-ops, ethanol plants and feed processing facilities.

Sabre Industries Inc., in Sioux City, was awarded more than $861,000 in investment tax credits, and $321,000 in Sales, Service, Use Tax Refund, for total assistance of nearly $1.2 million.

The company builds engineered telecom structures, such as self-supporting and guyed towers, monopoles, and highly engineered support structures for electric transmission and distribution. It plans a $25 million project to add a new galvanizing site to its Southbridge Facility in Sioux City.

According to board documents, the company plans to add 76 jobs, 13 of which will pay a qualifying wage of $23.47.

Sabre Industries will also receive a $4.97 million tax increment financing rebate at 100% for 15 years from the city of Sioux City, board documents show.

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