Corridor manufacturers receive state incentives for expansions
Highway Equipment and Legacy Manufacturing each awarded incentives Friday
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Two manufacturers in the Cedar Rapids metro will receive state tax incentives to put toward expansions.
The Iowa Economic Development Authority on Friday approved providing incentives to Highway Equipment Co. of Cedar Rapids and Legacy Manufacturing of Marion.
Highway Equipment, which makes agricultural spreaders, will receive $107,189 in tax credits and refunds. The company plans to construct a 32,000-square-foot testing facility near its existing manufacturing space in southwest Cedar Rapids. The testing space, a company spokesman said previously, will allow Highway Equipment to try out new products without being dependent on good weather conditions.
The city of Cedar Rapids is expected to provide $92,467 in the form of a tax increment financing rebate. Highway Equipment has to create 14 jobs that pay at least $24.91 an hour to qualify for the state incentives.
Legacy Manufacturing will receive $360,000 in tax refunds and credits. The Marion company makes maintenance equipment for automotive, agricultural and other industries. It plans to construct a 200,000-square-foot expansion of its warehouse.
Marion is expected to provide a five-year tax rebate valued at $740,000 to Legacy Manufacturing for the project. Legacy has to create 13 jobs, one of which must pay $24.91 an hour.
Last week, a statement from the Marion Economic Development Corp. said Legacy Manufacturing’s expansion was dependent upon the state financing.
The Economic Development Authority also approved giving about a half a million dollars in grants to programs in Eastern Iowa that support entrepreneurship and start-ups.
The Iowa City Area Development Group and Cedar Rapids’s New Bohemian Innovation Collaboration jointly were awarded $120,000. The two groups will use the money to expand an entrepreneurial mentorship program and develop the Corridor Angels Network, an investor group.
The authority awarded $200,000 to the University of Iowa to put toward its MERGE/Protostudios project, a joint effort with ICAD to provide a co-working space and prototyping facility in downtown Iowa City.
Northeast Iowa Community College also received $160,000 for Startup Dubuque, a program to develop entrepreneurs and start-ups in Dubuque.
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