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Approval of Termination Agreement of Iowa Economic Development Authority Master Contract P0806M01734 / Funding Agreement 08-EZ-036 with Morrison Brothers CompanyCity of Dubuque City Council Meeting Consent Items # 07. Copyrighted January 3, 2024 ITEM TITLE: Approval of Termination Agreement of Iowa Economic Development Authority Master Contract P0806M0l734 / Funding Agreement 08-EZ- 036 with Morrison Brothers Company SUMMARY: City Manager recommending City Council approval of a Contract Termination Agreement for Contract 08-EZ-036 among Morrison Brothers Company and the Iowa Economic Development Authority, and the City of Dubuque and approve the Mayor's signature on the Termination Agreement. SUGGESTED Suggested Disposition: Receive and File; Approve DISPOSITION: ATTACHMENTS: Description Type MVM Memo City Manager Memo Staff Memo Staff Memo Termination Agreement Supporting Documentation THE C Dubuque DUjIBQTE WAWca 914 Masterpiece on the Mississippi YP pp aoo�•o 13 z0i7*20*�oi9 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Approval of Termination Agreement of Iowa Economic Development Authority Master Contract P0806MO1734 / Funding Agreement 08-EZ-036 with Morrison Brothers Company DATE: December 27, 2023 Economic Development Director Jill Connors is recommending City Council approval of a Contract Termination Agreement for Contract 08-EZ-036 among Morrison Brothers Company and the Iowa Economic Development Authority, and the City of Dubuque and approve the Mayor's signature on the Termination Agreement. I concur with the recommendation and respectfully request Mayor and City Council approval. v Mic ael C. Van Milligen MCVM:sv Attachment CC' Crenna Brumwell, City Attorney Cori Burbach, Assistant City Manager Jill Connors, Economic Development Director Dubuque Economic Development Department THE CITY OF b:&d 1300 Main street All-Me1*109ft Dubuque, Iowa 52001-4763 kxv,�. awccrvar Office (563) 589-4393 DUB-1i&E 1 htt (563) w.city fd ® http://www.cityofdubuque.org 2007-2012.2013 Masterpiece on the Mississippi 2017*2019 TO: Michael C. Van Milligen, City Manager FROM: Jill M. Connors, Economic Development Director SUBJECT: Approval of Termination Agreement of Iowa Economic Development Authority Master Contract P0806M01734 / Funding Agreement 08-EZ-036 with Morrison Brothers Company DATE: December 22, 2023 I'kI:Wmillet Ilei Ll This memorandum presents for review and approval a Contract Termination Agreement for Contract 08-EZ-036 among Morrison Brothers Company and the Iowa Economic Development Authority, and the City of Dubuque. BACKGROUND Established in Dubuque in 1855 as a boiler manufacturer. Morrison Brothers Company moved into oil equipment in the early 1900s, including tanks and accessories. Morrison sold the tank fabrication business in 1970s and today has over 1,200 products used in the petroleum marketing sector (downstream from the refinery) including motor fueling, aviation, agriculture, bulk handling and transportation, backup power generation, and numerous industrial applications. Morrison has a research and development focus on biofuels and related equipment for alternative energy. Morrison also makes products for fuel and water military applications, and ground water testing. DISCUSSION In 2008, Morrison applied to the Iowa Economic Development Authority (IEDA) for business assistance under the IEDA's Enterprise Zone program. The IEDA awarded Morrison Master Contract P0806MO1734 / Funding Agreement 08-EZ-036, executed June 19, 2008. As a requirement of the Enterprise Zone contract with the IEDA, Morrison invested approximately $2,575,000 to consolidate and expand Dubuque operations and create and maintain 10 new jobs. As part of the agreement, the IEDA provided 260E job training credits, an investment tax credit, an R&D credit, and a refund of sales, service, and use taxes paid to contractors or subcontractors of the construction project. Morrison has successfully completed the obligations under the contract to date and has requested termination of the contract. Although one year early from the originally stated compliance period, the IEDA is satisfied with Morrison Brothers' compliance to date and has agreed to this termination agreement; and the City of Dubuque is requested to also agree to the termination. RECOMMENDATION/ ACTION STEP I respectfully request City Council approval and Mayor's signature on the attached Termination Agreement. 2 CONTRACT TERMINATION AGREEMENT BUSINESS: CONTRACT NUMBER: FUNDING AGREEMENT NUMBER APPROVAL DATE: Morrison Brothers Company P0806MO1734 08-EZ-036 December 15, 2023 THIS AGREEMENT is made by and between the IOWA ECONOMIC DEVELOPMENT AUTHORITY (IEDA or Authority), 1963 Bell Avenue, Suite 200, Des Moines, Iowa 50315, an agency of the State of Iowa, Morrison Brothers Company (Business), 570 East 71h Street, P.Q. Box 238, Dubuque, lA 52007, and the City of Dubuque (Community), 50 W 1 V St., Dubuque, IA 52001. WHEREAS, the Business has successfully documented meeting the obligations of the above - referenced contract through December 1, 2023 and requests mutual termination of the contract as allowed by Article 10.14 of Master Contract Number P0806M01734; WHEREAS, the IEDA Board approved the request as of above the Approval Date. Pursuant to the Recipient's request, Master Contract Number P0806M01734 and Funding Agreement 08-EZ-036 are hereby terminated as of latest date signed below. FOR BU5 NESS: SI NATURE FOR IEDA: Deborah Durham, Director �— ' ` �+ ca•t a�� ! l vtQ�,tc rc�.t CJ� Y�,��l O �S PRINT/TYPE NAME, TITLE Date Date FOR COMMUNITY: ATU covooc j'1 mry op PRINT/TYPE NAM , TITLE Date