State incentives OK'd for Cedar Rapids business

CEDAR RAPIDS - State financial assistance was approved Thursday for an expansion project at a southwest Cedar Rapids company, as well as other projects across Iowa.

The Iowa Department of Economic Development Board agreed to provide enterprise zone tax incentives for Divine Engineering to construct a 5,500-square-foot addition to its heavy-duty drag conveyor manufacturing plant at 5440 Sixth St. SW. The bulk handling equipment is primarily used by grain processors, such as Archer Daniels Midland, which purchased 54 conveyors for a new ethanol plant in Cedar Rapids.

The addition will create operating efficiencies, allowing Divine Engineering to increase market share and remain competitive in the industry. The Iowa Department of Economic Development said the expansion will create six jobs and retain about 10.

The IDED Board also approved awards for projects or proposals that have the potential to create 230 new jobs and retain another 240 positions.

Among the projects was an award for $700,000 in direct financial assistance and tax incentives through Iowa's High Quality Jobs program to Bridgestone Bandag in Muscatine for a proposed expansion of capacity at the company's data center. The project represents a $1.6 million capital investment and is expected to retain 138 jobs.

DuPont and its subsidiary, Pioneer Hi-Bred International in Johnston, were approved for tax incentives through the High Quality Jobs program for a physical expansion of the plant genetics company's operations. The 147 million capital investment will create 138 jobs as well as add offices and expand research and development areas.