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Updated "Tax Increment Financing in Dubuque" BookletCity of Dubuque City Council ITEM TITLE: SUMMARY: SUGGUESTED DISPOSITION: ATTACHMENTS: Copyrighted February 2, 2026 CONSENT ITEMS # 14. Updated "Tax Increment Financing in Dubuque" Booklet City Manager providing a copy of the updated "Tax Increment Financing in Dubuque' booklet. Receive and File 1. TIF booklet - Jan 29 2026 Page 337 of 865 TAX INCREMENT FINANCING Creating and retaining jobs and facilitating growth in Dubuque, Iowa Greater Dubuque DEVELOPMENT CORP. THE CITY OF DUB E Masterpiece on the Mississippi TV r � m Page 338 of 865 "Would the last person to leave Dubuque please turn off the lights?" Commonly repeated, residents used this dark humor to help deal with Dubuque's dire unemployment rate which hit 23% in January 1982. High school and college graduates left for more prosperous cities and states, taking their talent with them. Enter Tax Increment Financing. In 1985, the Iowa State Legislature amended urban renewal law to allow cities to use Tax Increment Financing (TIF) for economic development purposes. This tool simply directs the increase in property tax generated from property improvements to the city, which can use this increment as a financial incentive to companies that invest and create jobs in the urban renewal area. This is how the City of Dubuque built over 1,400 acres of industrial parks, now home to 56 businessses, including 47 local businesses that needed a place to expand. TIF is the only meaningful local economic incentive available to Iowa cities and Dubuque's responsible use of TIF has created a nationally -recognized transformation. Dubuque has been ranked by Forbes, Kiplinger, the U.S. Conference of Mayors, the National Civic League, and the Milken Institute as one of the best cities in the United States to live, work, and play. TIF Incentives 2010 - 2026: $95,138,429 Leveraged Private Investment: $863,296,204 Employment Impact 2010 - 2026: 4,204 jobs retained 866 jobs created Housing Creation 2010 - 2026: 1,461 units created (Totals as of jonuary 2026) From small, local companies to global brands, over 70 projects in our community have benefitted from tax increment financing since 2001, including • Advanced Data -Comm • Andersen Window & Door • Art's Way Manufacturing • AY McDonald Manufacturing • Cottingham & Butler • Dubuque Screw Products • Dupaco Community Credit Union • E91 (formerly Entegee) • FEH Design • Geisler Brothers Company • Giese Manufacturing • Green Industrial Supply • Hartig Drug • Heartland Financial Services • Hodge Companies • Hormel/Progressive Processing • ITC Midwest • Kendall -Hunt Publishing • Klauer Manufacturing • Kunkel Ex Associates • McCoy Group • McGraw-Hill • Medline Industries • Nordstrom • Prairie Farms • Rite -Hite 7/no PROJECTS • Rockfarm Holdings • Rousselot, Inc. • Sedgwick CMS • Simmons Pet Food Inc. • Spahn & Rose Lumber Co. • Theisen's Supply • Tri-State Industries • Tri-State Quality Metals • Unison Solutions • Universal Tank • Vanguard Industries • Verena Street Coffee • Woodward Communications image 339 of 865 D U PACO COMMUNITY CREDIT UNION _1 TIF Investment: 15 years of TIF rebates Project Investment: �Ir` �- 1, � $38,000,000� a Employment Impact: 40 new jobs More QualityJobs Where Employees Can Live, Work, and Play Dupaco Community Credit Union is a not -for -profit financial cooperative owned and controlled by more than 112,000 members, most of whom live in Dubuque and the Tri-State area. The credit union was founded in 1948 by 10 employees of the Dubuque Packing Company Dupaco redeveloped 82,800 square feet of office space in a five -story building on Jackson St. in Dubuque's Historic Millwork District. The project was completed in 2022. As part of the project's development agreement, Dupaco agreed to expand its operation in Dubuque from 150 operations employees by at least 40 new full-time employees prior to October 1, 2023. An additional component of the agreement is the required collaboration between the City, Dupaco, and other stakeholders in the area regarding the uses of existing infrastructure and transportation needs. Ongoing communication in the form of monthly meetings and annual reports highlight the ability for these types of agreements to bring the community together. SIMMONS PET FOOD National company chooses Dubuque and expands within 2 years Simmons Pet Food, Inc., a family -owned business based in Arkansas, is the leading North American private -label and contract manufacturer of wet pet food with three locations in the US and one in Canada. Simmons purchased a vacant existing manufacturing facility in Dubuque in summer 2021. By summer 2022, they already expanded, introduced a second pet food line at the location, and hired additional employees. In spring 2023, they partnered with a local developer on a new $25.5 million warehouse project, also supported by 10 years of TIF rebates. The original and subsequent development agreements with Simmons required them to provide a total of 281 jobs but, as of February 2025, they had provided over400 new jobs in Dubuque! TIF Investment: 10 years of TIF rebates Project Investment: $71,000,000 Employment Impact: 441 new jobs XMy'a'� ,� - Expansion Afterjust Four Years in Dubuque Progressive Processing, LLC, a subsidiary of Hormel Foods Corporation, has a processing plant located in the Dubuque Industrial Center West. In 2014, the company expanded operations at its Dubuque location, moving the production of its bacon topping products and Spam line to the facility. The original project, completed in 2014, created 91 new jobs and had a capital investment of $34.4 million in new HORMEL /PROGRESSIVE PROCESSING TIF Investment: 5 years of TIF rebates Project Investment: $123,400,000 Employment Impact: 381 new jobs equipment and building improvements. This expansion followed Progressive Processing's 2010 investment of $89 million to construct the new facility at the site and create 196 jobs. An additional $13 million investment in machinery and building improvements in 2019 allowed Hormel to increase production capacity and add two additional product lines to this facility, as well as another 58 new jobs. Today, Progressive Processing reports 381 jobs at its Dubuque facility. TRI-STATE QUALITY METALS TIF Investment: 10 years of TIF rebates Project Investment: $5,150,000 Employment Impact: 10 new employees Fabricator Finds New Home for Growth Tri-State Quality Metals, LLC is a locally owned sheet metal fabrication manufacturer formed in 2010 in Peosta, Iowa. The company performs laser cutting of sheet metal, as well as plasma cutting, bending, drilling, tapping, sawing, and welding to create customized parts. Tri-State Quality Metals also provides services including plating, machining, sheering, and painting that are outsourced to other area manufacturers. The company has grown from a local customer base to one that is regional, serving manufacturers in eastern Iowa, northwestern Illinois, and southwestern Wisconsin. The largest customer, Rite -Hite, sells products to worldwide markets. In addition, Tri-State Quality Metals produces parts for companies that ultimately sell to international manufacturers such as John Deere, Caterpillar, and Volvo. In 2014, the Tri-State Quality Metals constructed a new $3.4 million, 44,000 square -foot production facility in the Dubuque Industrial Center South. The expansion allowed the company to add 10 new employees, bringing its total number of employees to 23. In 2023, the Tri-State Quality Metals constructed a $1.75 million, 31,500 square -foot expansion to their facility. This expansion did not require additional TIF but was made possible by the original TIF support. Page 341 of 865 ROASTING SOLUTIONS /VERENA STREET COFFEE TIF Investment: 10 years of TIF rebates Project Investment: $10,200,000 Employment Impact: 20 new jobs New Facility Meets Needs of Coffee Roaster's Growing Market Roasting Solutions/Verena Street Coffee opened their new state -of -the art production facility and national headquarters in the Dubuque Industrial Center South in 2016. The locally owned 34,000 square -foot facility is nearly five times larger than its previous facility. Roasting Solutions invested over $10.2 million on the project which created 10 new jobs. RITE H ITE ALWAYS LOOKING AHEAD Roasting Solutions is a privately -held, family -owned organization founded in 2010. The company roasts and packages its coffees at its Dubuque facility. Verena Street coffee can currently be found in over 750 grocery stores, club stores, warehouse stores, and mass merchandisers in Iowa, Illinois, Wisconsin, Minnesota, Nebraska, surrounding areas, and online. RITE-H ITE TIF Investment: 10 years of TIF rebates Project Investment: $8,900,000 Employment Impact: 138 new jobs Project Creates Operational Efficiencies for Manufacturer Rite -Hite manufactures doors, seals and shelters, barrier systems, and other aftermarket products at its Dubuque production facility at 4343 Chavenelle Drive in the Dubuque Industrial Center. The company is a longtime Dubuque corporate citizen of and employs 270 at its Dubuque location where it completed an $8.9 million expansion project in 2017 to add 138,000 square feet of manufacturing space and 24 new employees. In addition to the new production space, the project included a partial remodel of offices, and approximately $420,000 for new machinery and equipment. The project improved productivity and operational efficiencies and expanded research and development capabilities. Today, Rite Hite employs 407 employees at its expanded facility. Page" THEISEN SUPPLY INC. Family -Owned Company Invests in Distribution Center A local company whose owner is very generous with non-profit agencies across the state was looking to expand for the second time in a five-year period. A consultant advised Theisen Supply to relocate its proposed distribution center outside of Dubuque, closer to a major US interstate highway. Jim Theisen, then president and CEO, credited programs like TIF with helping make the decision to stay in Dubuque. The $2.8 million investment is located in Dubuque's Industrial Center West —helping the company maintain 48 full-time positions and create 32 additional positions to date. The 160,000 square -foot distribution center supplies Theisen's 22 stores in Iowa and two in Wisconsin —up from 15 stores in 2007. The extra space allows the company to maximize its buying potential and offer the lowest prices and best selection of products to their loyal customers ... a definite win for Iowans! TIF Investment: 5 years of TIF rebates Project Investment: $4,800,000 Employment Impact: 117 jobs GREEN INDUSTRIAL SUPPLY Dubuque -Based Supplier Expands Local Footprint In 2022, Green Industrial Supply, Inc. announced plans to expand its operations including the construction of a 97,000 sq. ft. building addition. Originally founded in 1971, Green Industrial Supply, Inc. is locally owned and headquartered in Dubuque and offers services such as competitive parts sourcing, quality inspection, knitting, assembly, and packaging. The company's use of innovative technology allows customers the opportunity to lower overhead costs and make better use of human and capital resources. Green Industrial Supply's expansion projects included a capital investment of approximately $7.8 million dollars, the retention of 61 full time positions, and the creation of 10 new full-time positions. TIF Investment: 10 years of TIF rebates Project Investment: $7,800,000 Employment Impact: 10 new jobs Page 343 of 865 zzk ROSHEK BUILDING History Meets High Tech From a posh department store built in the 1930s, to a tired office building that had suffered from "urban ' renewal" in the 1970s, the Roshek Building was given new life in 2009 in the form of a $40 million historic rehabilitation. The 250,000 square -foot, LEED Platinum rehab project now houses offices for Cottingham & Butler, UMB Bank, RSM, Community Foundation of Greater Dubuque, and other local firms —with retail on the first floor catering to the needs of the building's employees. The rehabilitation of this downtown icon has enabled local businesses to expand their downtown employment base while maintaining 1,144 jobs. TIF Investment: 10 years of TIF rebates Project Investment: $40,000,000 Employment Impact: 32 new jobs KU N KEL &t ASSOCIATES Making Iowa Competitive a TIN L3 TA El I li ii@D TA TA :A aaq «:. hiAlMmi � 711 A Project Accolades • Excellence in Economic Development in Historic Preservation -Led Strategies Award - Iowa Economic Development Authority • Excellence in Economic Development Award in the Category of Public -Private Partnerships - International Economic Development Council • J. Timothy Anderson Award - National Housing & Rehabilitation Association • National Preservation Honor Award - National Trust for Historic Preservation • Platinum LEED Certification - Leadership in Energy and Environmental Design Core and Shell Platinum - U.S. Green Building Council • Best Development Award - 1000 Friends of Iowa • Outstanding Total Building Rehabilitation Award - Dubuque Main Street • Best Total Building Rehabilitation Award - Main Street Iowa • Preservation Award - Dubuque County Historical Society Locally owned Kunkel a Associates announced plans to relocate from Wisconsin to Dubuque in 2006. The company provides insurance consulting, commercial and personal insurance, employee benefits, claim consulting, and patient advocate services. The company invested $1.8 million and built a 10,000 square -foot office complex in the Dubuque Technology Park, initially bringing 24 newjobs to Iowa. The facility also serves as the company's corporate headquarters. In 2015, Kunkel & Associates expanded its operation and invested over $2.5 million to double their office space to 20,000 square feet. Along with the expansion, the company hired 16 new employees. The most recentjob reporting showed Kunkel & Associates bringing their total employment to 76. TIF Investment: 10 years of TIF rebates Project Investment: $1,800,000 Employment Impact: 76 new job: HOW IT WORKS When a TIF district is created, a "base" valuation of the property value is established. The base valuation accounts for assessed values prior to the TIF designation. The tax revenue from this base value remains with all taxing authorities. Increases in the assessed value over time over and above the base are called the "increment." The TIF authority (in this case, the City of Dubuque) may access the tax revenue generated by the increment, to fulfill the designated purpose of the district. TIF is typically used by cities to fund public improvement projects or private project - based financial assistance, in conjunction with developing or redeveloping different parts of a city. This may include upgrading areas of the city suffering from slum and blight, helping residential development efforts, and enhancing economic development activities. Depending on the size of the project, cities may use the annual increment to provide project funding or may need to incur debt to finance an improvement, such as installing infrastructure. $1,000 1 7/ i $100 TODAY TIME END OFTIF TIF FOR DUBUQUE HOUSING CREATION: 2010-2025 $34.5 million in TIF spread across 60 projects leveraged $326 million in private investments to create nearly 1,500 housing units within the city. Projects are located throughout the community and range in size from 2 units to 201 units, with individual TIF grants ranging from $15,000 to nearly $7 million. Multiple housing studies have shown Dubuque needs thousands of additional housing units to address the need. Housing TIF has been a critical tool to support private housing creation of all types to address the housing gap. By state law, when TIF is used for housing development, approximately 38 percent of the future tax increment revenues from the project must be used to provide housing assistance to low- and moderate -income families whose incomes are no greater than 80 percent of the median income anywhere in the city. This is starter housing for Dubuque's current and future workforce, and our most vulnerable residents, the elderly and disabled. V 1 i n.. CONTACT US City of Dubuque Economic Development www.cityofdubuque.org/econdev ED009-01262026 563-589-4393 Page 345 of 865