Incentives & Assistance

Business Climate

The city of Waverly offers a favorable business climate. The State of Iowa has a tax structure that is business-friendly, and the community colleges in the area provide a number of employee training opportunities through the State of Iowa employee training programs. Local incentives can include tax increment financing, tax rebatement, and revolving loan funds. Iowa is a "right to work" state.

Iowa Corporate Tax Structure

Iowa's corporate tax structure provides several advantages to businesses that locate in the state, including:

  • Single-factor, non-unitary tax is based only on the percentage of net sales income within the state of Iowa. There is no Iowa corporate income tax on profit from out of state sales.
  • 50% deductibility of federal taxes from Iowa corporate income.
  • Iowa corporate income tax may be reduced or eliminated by state tax credit programs.

Other tax advantages include:

  • No personal property tax for corporate inventories of goods-in-process, raw materials or salable goods.
  • No property tax on industrial machinery, equipment or computers.
  • No sales or use tax on purchases of industrial machinery, equipment and computers used for manufacturing or to process data by insurance companies, financial institutions or certain commercial enterprises.
  • No sales tax on materials used in the manufacturing process or purchases of electricity or natural gas used directly in the manufacturing process.

Financial Incentive Programs

The City of Waverly will consider the use of financial incentive programs including City, State and Federal economic development funds, tax increment financing, public/private partnerships and other tools in order to increase economic activity, help create high quality jobs, lower unemployment, increase the property tax base, increase tax revenues, provide entrepreneurial opportunities, encourage the development of workforce housing and revitalize underutilized or blighted areas.

The City of Waverly shall work to attract, recruit, retain, foster and develop businesses that are new to our region through the use of incentives.  Projects requesting City financial assistance will be subject to a financial analysis to determine if financial assistance from the City is appropriate and necessary. The analysis will include an examination of other financing sources for project costs, with evaluation of the developer's ability to complete the project without incentives. 

The use of TIF rebates shall be considered highly preferable to the alternative "cash up-front" TIF.  The City shall use various evaluative tools including established benefit spreadsheets, and other performance tools to evaluate the use of economic incentives, and each project shall be evaluated according to its unique factors.   When incentive programs are used, they will be used to maximize the benefits to the City of Waverly. The dollar amount and time duration of the incentive shall be the smallest amount necessary to achieve the maximum amount of city benefit as determined by the City.

The City will not actively recruit businesses from other cities and counties within our region unless a business is seeking to expand or a business is considering relocation outside the region. Should businesses from within our region wish to locate in Waverly, we will notify our neighboring jurisdiction of the interest.  It will be our general practice to not provide economic incentives to businesses wishing to relocate from another jurisdiction within our region.

Important Considerations for Financial Assistance

In return for public financial assistance, developers will be expected to meet some or all of the following standards:

  1. Creation and retention of high quality jobs.
  2. Property development, new and expansions, including commercial, industrial, residential and retail, to grow the City's property tax base.
  3. Projects achieving public purposes as detailed in the comprehensive plan, Urban Renewal Area planning documents, and/or the City Council Strategic Plan.
  4. The redevelopment of underutilized and/or blighted properties.
  5. Residential projects that address housing needs as identified by current housing studies.
  6. Developer equity (not including debt) to be equal to or greater than the public financing requested (including local, state and federal).
  7. Achieve high quality architectural and site design consistent with a community vision for such development.
  8. Offer energy efficiency and sustainability features beyond what is required through relevant building codes.

Eligibility for TIF Financing

To be eligible for Tax Increment Financing (TIF) a developer must show a public benefit from the project and a financial gap to fill. The City may provide gap financing to projects in designated areas meeting public policy goals. Projects must be structured so that private debt is maximized and developer equity yields a fair return while not providing undue enrichment to the developer. City financial participation in development projects should not exceed developer equity.

Once a project appears to show a reasonable financial gap which could be funded with City assistance, City staff must 1) amend the appropriate urban renewal plan to include the project (if necessary) and 2) negotiate a development agreement that among other things, stipulates the type of funding-- rebate or cash up front and a minimum assessment of the property to ensure that the City is repaid.

Developers who receive incentives will be expected to enter into development agreements which delineate the terms, conditions, understandings, expected results and the performance measures required for receiving incentives.  For those situations where cash is transferred up-front, security may be required.  Performance measures such as minimum property tax assessments; job retention and job creation shall be monitored and enforced, including provisions for repayment of up-front incentives and the refusal to pay rebates if performance requirements are not met.

City's Application for Financial Assistance

Assistance from Iowa Economic Development Authority

Financial Assistance Application

The City of Waverly Community and Economic Development staff will help you with the steps required to seek assistance from the State of Iowa.  We can help with the Questionnaire and the Application and submission to the State.  Click here for more information. 

High Quality Jobs Program

The City of Waverly uses the State’s eligibility criteria for the High Quality Jobs Program in considering local incentives.  Click here for more information. 

Workforce Training Programs

We understand that in many ways the success of a company depends on the strength of its workforce. Iowa has all of the key elements to provide a smart, productive workforce necessary to foster business growth. To help Iowa companies maintain their competitive edge, the Iowa Economic Development Authority will help you develop a workforce and access training programs to meet the specific needs of your company. Click here for more information. 

New Markets Tax Credit

A geographical area in west Bremer County, including portions of Waverly, has been designated for New Markets Tax Credits. Projects could cover a wide variety of sectors with job creation being one of the prime attributes.

New Markets Tax Credit

Revolving Loan Funds

There are two revolving loan funds available for gap financing in Waverly, Bremer County and Shell Rock. 

Waverly Area Development Fund

This revolving loan fund is primarily intended to be used for the purpose of filling financial gaps for financing commercial, industrial, or retail establishments in the Waverly, Shell Rock, and Bremer County areas. The stated purpose of this fund is to retain and create employment opportunities, leverage other public and private investments, facilitate economic growth, and encourage industrial, commercial, and retail development in designated areas.

Waverly Area Development Brochure
Waverly Area Development Application

IRP Revolving Loan Fund

This revolving loan fund is primarily intended for the purpose of filling gaps in financing for the establishment or expansion of retail establishments and commercial projects within the city limits of Waverly. The stated purpose of this fund is to retain and create employment opportunities, leverage other public and private investments to facilitate growth, and to encourage commercial and retail development, expansion, and community development projects within the city limits of Waverly.

IRP Revolving Loan Fund Application

For additional information on the revolving loan funds please contact:

Waverly Economic Development
Connie Tolan, Economic Development Specialist
Phone: 319-352-9210, fax: 319-352-5772
Email: conniet@ci.waverly.ia.us

Other Resources for Business Assistance

Small Business Development Center

Iowa Small Business Development Center at the University of Northern Iowa

Amy Dutton, Regional Director
P: 319-273-4328; F:319-273-4343
amy.dutton@uni.edu
8120 Jennings Drive, Suite 13
Cedar Falls, IA 50613

The SBDC has served business clients in Black Hawk, Bremer, Buchanan, Butler, Chickasaw, Fayette, Grundy, Howard and Tama counties since 1982 and is continuing to add to existing programs and services. The SBDC involves undergraduate and graduate students as well as faculty and staff in providing service to its business clients.

The SBDC can unlock the potential of any business by providing business expertise normally reserved for large, established companies. Our one-on-one, customized counseling is free and our workshops are extremely affordable and practical. If you have the drive to succeed, we can help make your business successful. Our business counseling and training focuses on specific business needs including, but not limited to:

New Business Guidance Business Planning and Modeling
Loan Proposal Assistance Financing Opportunities
Market Research Services Export Assistance
Cash Flow Projections Business Succession Strategies
Human Resource Management Business Growth Strategies
Strategic Planning Disaster Recovery
Business Continuity Planning Market Planning and Strategy
Accounting and QuickBooks SmartStart: Basic Business Start-up
Writing a Business Plan Pricing

State of Iowa Departments

  • Iowa Department of Agriculture
    Wallace State Office Building
    502 E 9th Street
    Des Moines, IA 50319
    PH: (515)281-5321
    www.iowaagriculture.gov
    • Regulatory information for food-related and animal-related businesses
    • Information concerning weights and measures
    • Information for commercial grain storage and grain sales businesses
       
  • Iowa Department of Commerce
    1918 SE Hulsizer Avenue
    Ankeny, IA 50021
    commerce.iowa.gov
    • Licensing for retails and wholesale sales of alcoholic liquor, wine and beer (515)281-7430
    • Information concerning rates and services of certain electric, gas, phone and water utilities (515)281-5979
    • Problem resolution and information concerning insurance for small businesses (515)281-5705
    • Assistance to small businesses concerning the sale of stock (515)281-4441
    • Licensing for the following professions: Certified Public Accountants, Accounting Practitioners, Architects, Real Estate Brokers, Real Estate Salespersons, Real Estate Appraisers (515)281-3183
    • Regulation of state chartered banks, finance companies, mortgage brokers and others in the business of delivering financial products and services (515)281-4014
       
  • Iowa Economic Development Authority
    ​Business Development
    200 East Grand Avenue
    Des Moines, IA 50309
    PH: (515)725-3133
    www.iowaeconomicdevelopment.com
    • The Iowa Economic Development Authority (IEDA) offers a variety of programs and services to individuals, communities and businesses to attract and grow business, employment and workforce in Iowa. Ground-breaking economic growth strategies focusing on cultivating start-up companies and helping existing companies become more innovative complement the activities underway to retain and attract companies that are creating jobs for Iowans. Developing sustainable, adaptable communities ready for this growth is also an essential part of our work at IEDA - providing programs and resources that help communities reinvest, recover and revitalize to make each community's vision a reality. Much of what you know about Iowa is true. It's what you don't know that sets us apart.
       
  • Iowa Department of Inspections and Appeals
    Lucas State Office Building
    Des Moines, IA 50319
    PH: (515)281-3642
    www.state.ia.us/government/dia/index.html
    • Restaurant and food sales licensing
    • Gambling license information
    • Targeted small business certification
    • Licensing of residential care facilities and intermediate care facilities
    • Certification of home health agencies
       
  • Iowa Department of Revenue and Finance
    Taxpayer Services
    Hoover State Office Building
    PO Box 10457
    Des Moines, IA 50306-1457
    PH: (800)367-3388
    ​PH: (515)281-3114
    • Sales and use taxes
    • Hotel/Motel tax
       
  • Iowa Department of Transportation
    Motor Vehicle Division
    Park Fair Mall
    100 Euclid Avenue
    Des Moines, IA 50306
    PH: (800)532-1121
    www.iowadot.gov
    • OSHA consultations and information on labor laws
    • Information for trucking businesses (515)237-3264
    • Information concerning vehicles subjecct to registration (515)237-3110
  • Iowa Secretary of State
    Hoover State Office Building
    Des Moines, IA 50319
    PH: (515)281-5204
    www.sos.iowa.gov
    • Information for corporations, non-profit organizations, limited partnerships, limited liability companies and state trademarks
  • Iowa Workforce Development
    1000 East Grand Avenue
    Des Moines, IA 50319
    PH: (800)562-4692
    www.iowaworkforce.org
    • OSHA consultations and information on labor laws
    • Unemployment insurance information
    • Worker's compensation information
    • Information concerning child labor laws, minimum wage, wage enforcement and hazardous chemicals

A high quality of life, friendly and progressive merchants, and a college town atmosphere; this is Waverly, Iowa.