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:
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.
City of Waverly 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:
- Creation and retention of high quality jobs. The City of Waverly uses the State's eligibility criteria for the High Quality Jobs Program in considering local incentives.
- Property development, new and expansions, including commercial, industrial, residential and retail, to grow the City's property tax base.
- Projects achieving public purposes as detailed in the comprehensive plan, Urban Renewal Area planning documents, and/or the City Council Strategic Plan.
- The redevelopment of underutilized and/or blighted properties.
- Residential projects that address housing needs as identified by current housing studies.
- Developer equity (not including debt) to be equal to or greater than the public financing requested (including local, state and federal).
- Achieve high quality architectural and site design consistent with a community vision for such development.
- 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
The State of Iowa offers a number of financial assistance programs to assist in starting or growing a business in Iowa. The Waverly Economic Development team can assist you with the steps required to apply for state programs, including assistance with completing the Pre-Application Project Questionnaire and Financial Assistance Application.
High Quality Jobs Program
The High Quality Jobs (HQJ) Program provides qualifying businesses assistance to offset some of the costs incurred to locate, expand or modernize an Iowa facility. This flexible program includes loans, forgivable loans, tax credits, exemptions and/or refunds. The Iowa Economic Development Authority (IEDA) offers this program to promote growth in businesses which employ Iowans in jobs defined as high-quality by state statute.
Workforce Training Programs
Industrial New Jobs Training Program - 260E - Assists businesses creating new positions with training for new employees. Eligible businesses may be new to Iowa, expanding the Iowa workforce or relocating to the state.
Iowa Jobs Training Program - 260F - Provides job training services to current employees of eligible businesses.
New Jobs Tax Credit
The New Jobs Tax Credit is a one-time corporate income tax credit available to qualifying businesses that participate in the New Jobs Training (260E) Program and increase their workforce by at least 10%.
Apprenticeships & Internships
Registered Apprenticeship Program - There are more than 1,000 occupations eligible for apprenticeship training grants.
Student Internship Program - Grants to small and medium-sized companies in targeted industries to support internship programs.
STEM Internship Program - Grants to Iowa companies for internship programs in STEM fields.
Revolving Loan Funds
Waverly Area Development Fund & IRP Revolving Loan Fund
These revolving loan funds are 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 these funds 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 Application
For additional information on these revolving loan funds please contact:
Waverly Economic Development
Connie Tolan, Planning & Development Specialist
Phone: 319-352-9210, fax: 319-352-5772
Email: ctolan@waverlyia.com
INREDC General Revolving Loan Fund
The Iowa Northland Regional Economic Development Commission has funding available through their General Revolving Loan Fund (RLF). The loan fund is intended to serve as gap financing for projects that may not qualify for funding through regular channels and is designed to assist eligible businesses and organizations with fixed asset acquisition, inventory and working capital needs.
INREDC General RLF Brochure
INREDC General RLF Application
For additional information please contact:
Isaiah Corbin
or
Brian Schoon
CARES Act Revolving Loan Fund
The Iowa Northland Regional Economic Development Commission has funding available through the CARES Act Revolving Loan Fund (RLF) which was established through a grant from the U.S. Department of Commerce, Economic Development Administration (EDA). Loans are designed to assist eligible businesses with fixed asset acquisition (including land acquisition and building renovation and construction), inventory, and working capital needs. RLF loans are intended to serve as gap financing for projects that cannot qualify for funding through regular channels.
CARES Act RLF Brochure
CARES Act RLF Application
For additional information please contact:
Isaiah Corbin
or
Brian Schoon
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