Quebecor World Dev Agree TIFMEMORANDUM
May 12, 2003
TO:The Honorable Mayor and City Council Members
FROM:Michael C. Van Milligen, City Manager
SUBJECT:Development Agreement by and between the City and Quebecor World
Dubuque, Inc. for Tax Increment Financing
Economic Development Director Bill Baum recommends City Council approval of a
Development Agreement with Quebecor World Dubuque, Inc., which is consistent with
the Memorandum of Understanding the City Council adopted on March 4, 2002 to
support Quebecor's expansion and job creation project.
The new taxes are estimated to be $14,200 per year. Quebecor would receive a
10-year rebate on these taxes. Should the job creation goals not be met in any given
year, the TIF tax rebate would be reduced on a per job basis.
The financial incentive has been offered in support of Quebecor's $24 million
investment and commitment to create 106 new jobs averaging $14.63 per hour.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
William Baum, Economic Development Director
CITY OF DUBUQUE, IOWA
MEMORANDUM
May 9, 2003
TO:Michael Van Milligen, City Manager
FROM:William Baum, Economic Development Director
SUBJECT: Development Agreement by and between the City and Quebecor
World Dubuque, Inc. for Tax Increment Financing
INTRODUCTION
This memorandum presents for City Council consideration a Resolution approving a
Development Agreement by and between the City and Quebecor World Dubuque, Inc.
A public hearing on the Development Agreement has been set for May 19, 2003.
BACKGROUND
On May 5, 2003, the City Council was presented with the attached memorandum
recommending that a public hearing be set for May 19 on the proposed Development
Agreement that would allow for the reimbursement of TIF revenues to the company.
The financial incentive has been offered in support of Quebecor's $24 million
investment and commitment to create 106 new jobs averaging $14.63 per hour.
DISCUSSION
The attached Development Agreement establishes the terms for reimbursement of the
new increment of property taxes generated by the recent expansion of the company in
their facility on Kerper Boulevard. At this time, the new taxes are estimated to be
$14,200 per year; however, that amount could increase based on the actual amount of
property taxes paid each year by the company due to assessment increases and/or tax
rate adjustments. It is also not yet clear what impacts legislation being considered by
the Iowa Legislature may have on these resources.
The total reimbursement from tax increment revenues over the 10-year period is
expected to be approximately $142,000. Should the job creation goals not be met in
any given year, the TIF tax rebate would be reduced on a per/job basis.
RECOMMENDATION
I recommend that the City Council approve the Development Agreement with Quebecor
World Dubuque, Inc. This action is consistent with the Memorandum of Understanding
the City Council adopted on March 4, 2002 to support Quebecor's expansion and job
creation project.
ACTION STEP
The action step for the City Council is to adopt the attached Resolution.
F:\USERS~Pmyhre\WPDOCS\LOAN DOC\Quebecor~naLmemo.df
CITY OF DUBUQUE, IOWA
MEMORANDUM
April 25, 2003
TO:Michael Van Milligen, City Manager
FROM:William Baum, Economic Development Director
SUBJECT:Tax Increment Financing for Quebecor World Dubuque, Inc.
INTRODUCTION
This memorandum presents for City Council review and approval a Resolution setting
for public hearing the proposed issuance of tax increment revenue obligations for
Quebecor World Dubuque, Inc. The public hearing would be held on May 19, 2003.
BACKGROUND
On March 4, 2002, the City Council approved a Memorandum of Understanding (MOU)
with Quebecor World Dubuque, Inc. regarding certain public financial incentives that
would be available to the company in consideration of their $24 million investment in
property and equipment at their facility on Kerper Boulevard. The company has
committed to creating 106 new jobs averaging $14.63 per hour by March 31, 2005.
The City has previously approved creating the Quebecor Economic Development
District, an urban renewal designation that allows the use of tax increment funds for
special financing activities, including loans and grants to businesses. The City has also
supported the project with CEBA funding and Enterprise Zone project approval.
DISCUSSION
The MOU provided that the City would support the project by approving the use of tax
increment proceeds to make reimbursement to the company of the actual new
increment of property taxes that Quebecor will pay over a ten (10) year period. At this
time, the new taxes are estimated to be $14,200 per year; however, that amount could
increase based on the actual amount of property taxes paid each year by the company
due to assessment increases and/or tax rate adjustments. It is also not clear yet what
impacts legislation being considered by the Iowa Legislature may have on these
resources. The total reimbursement from tax increment revenues over the ten (10) year
period is expected to be approximately $142,000.
It is proposed that following the public hearing, the City Council would enter into a
Development Agreement (attached for your review) with the company that sets forth the
terms for reimbursement of the TIF revenues generated from the Quebecor Economic
Development District. Should the job creation goals not be met in any given year, the
TIF tax rebate would be reduced on a per/job basis.
RECOMMENDATION
I recommend that the City Council adopt the attached Resolution setting a date for
public hearing on the proposed use of tax increment proceeds to support the expansion
of Quebecor World Dubuque, Inc,
ACTION STEP
The action step for the City Council is to adopt the attached Resolution.
attachments
F:\USERS\Pm~hre\WPDOCS\LOAN DOC\Quebecor\TIF.MEM,doc
RESOLUTION NO. 174-03
AUTHORIZING THE EXECUTION OF A DEVELOPMENT AGREEMENT WITH QUEBECOR
WORLD DUBUQUE, INC.
Whereas, the City Council of the City of Dubuque, Iowa, after public hearing, duly adopted
an Urban Renewal Plan (the Plan) for the Quebecor Economic Development District (the District);
and
' Whereas, the Plan provides that the City may undertake special financing activities,
including loans or grants to private developers, to meet the objectivas of the Plan and to encourage
the development of the District; and
Whereas, the City Council has determined, in accordance ~ith Section 15A. 1 of the Iowa
Code, that QUEBECOR WORLD DUBUQUE, INC. is quali~ed to receive such loan or grant
assistance to assist with the expansion of its facility in the District; and
Whereas, pursuant to published notice, the CityCouncil has held a public hearing on the
proposition of obligating Tax Increment Revenue to assist QUEBECOR WORLD DUBUQUE, INC.,
and has considered and overruled any and all objections thereto; and
Whereas, it is expected that the aggregate amount ofthe Tax Increment Revenue
obl~ations will be $142,000, more or less, due to assessment increases and/or taxrate
adjustments; and
Whereas, a Development Agreement, attached hereto and bythis reference made a par[
hereof, sets forth the terms and conditions ofthe disbursement of Tax Increment Revenue
proceeds to QUEBECOR WORLD DUBUQUE, INC.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE,
IOWA:
'Section 1. That the form of Development Agreement by and between the City of Dubuque and
Quebecor World Dubuque, Inc., attached hereto, is herebyapproved.
Section 2. That the Mayor and City Clerk are hereby authorized and directed to execute, on
behalf of the City of Dubuque, Iowa, said Development Agreement.
Passed, approved and adopted this 19th day of May 2003.
Terrance M. Duggan, Mayor
Attest:
Jeanne F. Schneider City Clerk
F:\USERS\Pm~hre\WPDOCS\LOANDOC\Quebecor~TIFquebecor. doc
DEVELOPMENT AGREEMENT
BETWEEN THE CITY OF DUBUQUE, IOWA
AND
QUEBECOR WORLD DUBUQUE, INC.
THIS DEVELOPMENT AGREEMENT dated this __ day of ,2003 by
and between the City of Dubuque, Iowa (the "City"), and QUEBECOR WORLD
DUBUQUE, INC. (the "Developer").
WITNESSETH:
WHEREAS, the Developer and the City have entered into a Memorandum of
Understanding, approved by the City Council of Dubuque, Iowa on March 4, 2002,
which Memorandum of Understanding provides that the Developer will make a capital
investment of not less than $24 Million in building improvements, equipment, furniture
and fixtures, ("the Minimum Improvements"), and employ 106 additional persons at
Developer's facility in Dubuque, Iowa; and
WHEREAS, the Developer's facility is located on the real property, the legal description
of which is
Lot 1 of Lot 1 of Lot 1 of Block 5 and Lot 1 of Lot 2 of Lot 1 of Block 5 of River Front
Subdivision No. 3, and Lot 1 of Lot 2 of Lot 4 and Lot 2 of Lot 2 of Lot 4 of Block 1 of
River Front Subdivision No. 5 and Lot 1 of Lot 2 of Block 1 of River Front Subdivision
No. 5 and Lot 2 of Lot 1 of Lot 1 of Lot 1 of Lot 1 of Block 1 in River Front Subdivision
No. 5 in the City of Dubuque, Iowa, Dubuque County, Iowa
(the "Property"), which is located in the Quebecor Economic Development District (the
"District") which has been so designated by City Council Resolution 594-02 as an
economic development area (the "Project Area") defined by Chapter 403 of the Iowa
Code (the "Urban Renewal Law"); and
WHEREAS, the Developer has undertaken the redevelopment of an industrial building
located on the Property and is operating the same during the term of this Agreement;
and
WHEREAS, pursuant to Section 403.6(1) of the Iowa Code, and in conformance with
the Urban Renewal Plan for the Project Area adopted on November 4, 2002, the City
has the authority to enter into contracts and agreements to implement the Urban
Renewal Plan.
NOW, THEREFORE, the parties to this Development Agreement, in consideration of
the promises, covenants and agreements made by each other, do hereby agree as
follows:
1. The substantial completion of the Minimum Improvements by the Developer has
occurred on or before December 31, 2002.
2. The Developer agrees to operate the Minimum Improvements until at least the
termination of this Agreement.
3. The Developer agrees to maintain its existing (March 1, 2002) employment of
two hundred thirty (230) full time equivalent positions in Dubuque, Iowa, at all times until
the termination of this Agreement, and to create or cause to be created not less than
one hundred six (106) new full time equivalent (1820 hours per year) jobs by no later
than March 31, 2005. It is agreed by the parties that the new jobs created shall be
calculated by subtracting the existing employment (230) from the Developer's actual
total employment in Dubuque, Iowa on March 31, 2005, and annually on March 31 of
each year thereafter until termination of this Agreement. The Developer agrees to
maintain not less than a total of 336 full time equivalent positions from March 31, 2005
until the termination of this Agreement.
4. To assist the City in monitoring the requirements of Section 3, Developer, on
May 1, 2005, and annually on May 1 of each year thereafter until the termination of this
Agreement, a duly authorized officer of the Developer shall certify to the City (a) the
number of full time equivalent jobs employed at the Property on such date, and (b) that
as of the date of such certificate, the Developer is not in default (or is in default) in the
fulfillment of the terms and conditions of this Agreement. The Developer shall attach to
the certification a copy of the Developer's March 31 Quarterly State of Iowa "Employer's
Contribution and Payroll Report.
5. In the event that any certificate provided to the City discloses that the Developer
has not created at least one hundred six (106) new FTE employees as provided in
Section 3, the Developer shall pay to the City, promptly upon written demand therefore,
an amount equal to $134 for each job less than one hundred six (106), or the City, at its
sole discretion, may deduct said amount from the annual Economic Development Grant
paid to the Developer according to Section 6.
6. For and in consideration of the obligations being assumed by the Developer
hereunder, and in furtherance of the goals and objectives of the Urban Renewal Plan
for the Project Area and the Urban Renewal Law, the City agrees, subject to the
Developer being and remaining in compliance with the terms of this Agreement, to
make up to ten (10) consecutive annual payments (such payments being referred to
collectively as the "Economic Development Grants") to the Developer, pursuant to
Section 403.9 of the Urban Renewal Law, in amounts equal to the actual amount of tax
increment revenues collected by the City (without regard to any averaging that may
otherwise be utilized under Section 403.19 and excluding any interest that may accrue
thereon prior to payment to the Developer) during the preceding twelve-month period in
respect of the Minimum Improvements constructed by the Developer (the "Developer
Tax Increments").
7. To fund the Economic Development Grants, the City shall certify to the Dubuque
County prior to December 1 of each year, commencing December 1, 2003, its request
for the available Developer Tax Increments resulting from the assessments imposed by
the County on the Minimum Improvements as of January 1 of that year, to be collected
by the City as taxes are paid during the following fiscal year and which shall thereafter
be disbursed to the Developer on June 1 of that fiscal year. (Example: If the City so
certifies in December, 2003, the Economic Development Grant in respect thereof would
be paid to the Developer on June 1, 2005).
8. The Economic Development Grants shall be payable from and secured solely
and only by the Developer Tax Increments, which, upon receipt, shall be deposited and
held in a special account created for such purpose and designated as the "Quebecor
TIF Tax Increment Financing Account" of the City. The City hereby covenants and
agrees to maintain its TIF ordinance in force during the term hereof and to apply the
incremental taxes collected in respect of the Minimum Improvements and allocated to
the Quebecor TIF Account to pay the Economic Development Grants, as and to the
extent set forth in Section 6 hereof. The Economic Development Grants shall not be
payable in any manner by other tax increment revenues or by general taxation or from
any other City funds. The City makes no representation with respect to the amounts
that may be paid to the Developer as the Economic Development Grants in any one
year, and under no circumstances shall the City in any manner be liable to the
Developer so long as the City timely applies the Developer Tax Increments actually
collected and held in the Quebecor TIF Account (regardless of the amounts thereof) to
the payment of the Economic Development Grants to the Developer as and to the
extent described in this Section.
9. The City shall be free to use any and all tax increment revenues collected in
respect of other properties within the Project Area, or any available Developer Tax
Increments resulting from the termination of the annual Economic Development Grants
under Section 6 hereof, for any purpose for which such tax increment revenues may
lawfully be used pursuant to the provisions of the Urban Renewal Law, and the City
shall have no obligations to the Developer with respect to the use thereof.
10. Neither the preambles nor provisions of this Agreement are intended to modify,
nor shall they be construed as modifying, the terms of any other contract between the
City and the Developer.
11. This Agreement shall inure to the benefit of and be binding upon the successors
and assigns of the parties.
CITY OF DUBUQUE, IOWA
BY~
Terran e M. Duggan
Mayor
A2 . ~ / /J ). .' .
~7a~
æ.anne F. Schneider
City Clerk
QUEBECOR WORLD DUBUQUE, INC.
By
It's President
(City Seal)
)
) ss:
COUNTY OF DUBUQUE)
Jv \A
On this2D day of!! 2003, before me the undersigned, a Notary
Public in and for the said ounty and State, personally appeared Terrance M. Duggan
and Jeanne F. Sc;hneider, to me personally known, who, being by me duly sworn, did
say that they are the Mayor and City Clerk, respectively, of the City of Dubuque, Iowa, a
municipal corporation executing the instrument to which this is attached; that the seal
affixed hereto is the seal of said municipal corporation; that said instrument was signed
and sealed on behalf of the City of Dubuque, Iowa, by authority of its City Council; and
that id Mayor and City Clerk acknowledged the execution of said instrument to be the
volu tary act an ee ~f said C~, by it and by them voluntarily executed.
STATE OF IOWA
STATE OF IOWA )
) ss:
COUNTY OF DUBUQUE)
On this - day of 2003, before me the undersigned, a Notary
Public in and for the State of Iowa, personally appeared
to me personally known, who, being by me duly sworn, did say that he is the President
of QUEBECOR WORLD DUBUQUE, INC., the corporation executing the instrument to
which this is attached and that as said President of QUEBECOR WORLD DUBUQUE,
INC. acknowledges the execution of said instrument to be the voluntary act and deed of
said company, by it and by him, an individual, voluntarily executed.
Notary Public
F : IUS E RSIP m}l1 re I WP DOCSIL OA N DOC IOu ebe co rlDev Agree. d 00
Ou:t ~ d ~&.J 5~,)
MEMORANDUM
February 27, 2002
TO:The Honorable Mayor and City Council Members
FROM:Michael C. Van Milligen, City Manager
SUBJECT:Quebecor World Dubuque, Inc.
Community Economic Betterment Account (CEBA) Application
Quebecor World Dubuque, Inc. is a wholly owned subsidiary of Quebecor World (USA),
Inc., which is the largest commercial printer in the world. Quebecor has outgrown
existing facilities on Kerper Boulevard, and has been exploring options for expansion.
McGraw-Hill Company recently announced their intention to expand their Dubuque
operations, and is currently constructing a 330,000 square foot distribution center at the
Dubuque Industrial Center West. Quebecor would like to expand and occupy the
building to be vacated by McGraw-Hill. Quebecor will increase employment by 109
positions, while retaining their existing 227 employees, invest $4 million in the existing
building, and purchase $20 million in new equipment. The average starting wage of the
new positions is $14.46 per hour.
The Memorandum of Understanding between the City and Quebecor concerning their
expansion in Dubuque outlines Quebecor's plans and details the incentive package
proposed by the City. The incentives include Enterprise Zone benefits, a CEBA
forgivable and repayable loan, job training reimbursements, and rebate of property
taxes on new value added for a period of ten years through tax increment financing.
Economic Development Director Bill Baum is recommending approval of the
Memorandum of Understanding, and is requesting authorization to submit a Community
Economic Betterment Account (CEBA) program application to the Iowa Department of
Economic Development for a $345,000 partially forgivable loan on behalf of Quebecor.
with a commitment of local matching funds subject to State approval
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen
MCVM/jh
Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Bill Baum, Economic Development Director
CITY OF DUBUQUE, IOWA
MEMORANDUM
February 27, 2002
TO:Michael Van Milligen, City Manager
FROM:William J. Baum, Economic Development Director
SUBJECT:Proposed Memorandum of Understanding with Quebecor World Dubuque.
Inc.
INTRODUCTION
The attached resolution provides for the approval of a Memorandum of Understanding
between the City and Quebecor World Dubuque, Inc. concerning an expansion in
Dubuque.
DISCUSSION
Quebecor World Dubuque, lnc. (the Company) is a wholly owned subsidiary of
Quebecor World (USA), Inc. Quebecor World is the largest commercial printer in the
world. The Company specializes in serving the professional and college textbook
markets. The major customers of the Company include McGraw-Hill, Pearson, Sunset
Books, the State of Iowa, and Thomson Learning. Current employment in Dubuque is
227.
The Company has been exploring options nation-wide for an expansion to support new
business. The expansion of McGraw-Hill, with the construction of a 330,000 square foot
distribution center at Dubuque Industrial Center West, has offered the Company an
opportunity to occupy the Kerper Boulevard facility to be vacated by McGraw-Hill this
summer. Therefore, Dubuque has been chosen as the site for the new expansion,
contingent upon approval of State of Iowa and City of Dubuque incentives. The
company plans to employ 109 additional persons, invest $4 million in the existing
building, and purchase $20 million in new equipment. The average starting wage of the
new positions is $14.46 per hour.
The attached Memorandum of Understanding outlines the Company's plans, and details
the incentive package proposed by the City. The incentives include Enterprise Zone
benefits, a CEBA forgivable and repayable loan, job training reimbursements, and a
rebate of property taxes on new value added for a period of ten years.
The implementation of the Memorandum of Understanding will include the following
steps:
1. The preparation and approval of resolutions, plans, and an ordinance designating
the property to be leased by the Company on Kerper Boulevard an Urban
Renewal District. This designation allows the City to provide a rebate of property
taxes on new value added to the building.
2. The review and approval of a $345,000 forgivable/repayable loan to the
Company by the State of Iowa through the CEBA program. A proposed
resolution approving the CEBA application is also on the agenda for March 4,
2002.
3. The preparation and approval of an application for Enterprise Zone Benefits, and
the approval of a contract between the Iowa Department of Economic
Development, the Company, and the City Council.
RECOMMENDATION
I recommend the City Council review, discuss, and approve the Memorandum of
Understanding.
ACTION STEP
The requested action is for the City Council to adopt the attached resolution approving
the Memorandum of Understanding, and instructing the City Manager to prepare the
appropriate documents for City Council approval of the incentive package.
F:\USERS\WBaum\QUEBECOR',Memo to mike on MOU.doc
to
RESOLUTION NO. _-02
A RESOLUTION APPROVING A MEMORANDUM OF UNDERSTANDING
WITH QUEBECOR WORLD DUBUQUE, INC FOR AN EXPANSION IN
DUBUQUE
Whereas, Quebecor World Dubuque, Inc is proposing to expand employment in
the City of Dubuque, and
Whereas, the City is encouraging the Company to expand its operations in
Dubuque, and
Whereas, a Memorandum of Understanding has been prepared for said
expansion,
NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF DUBUQUE,
IOWA, AS FOLLOWS:
Section 1. The attached Memorandum of Understanding is hereby approved.
Section 2. The City Manager is hereby directed to prepare documents necessary
implement the Memorandum of Understanding
Passed, approved and adopted this 4th day of March 2002.
ATTEST:
Terrance M. Duggan, Mayor
Jeanne F. Schneider, City Clerk
F:\USERS\WBaum\QUEBECOR~Resolufion on MOU.doc
February 25, 2002
MEMORANDUM OF UNDERSTANDING
Whereas, Quebecor World Dubuaue, Inc., (the Company), a printing company currently
located in Dubuque, has determined that an expansion in Dubuque is in the best
interests of the Company; and
Whereas, the Company has made the above determination subject to certain financial
~ncentives from the State of Iowa and the City of Dubuque (the City); and
Whereas, the City is encouraging the Company to expand in the City, and is willing to
offer incentives for a Dubuque location; and
Whereas, the City and the Company desire to enter into further discussions, and as a
first step in the Company's efforts to initiate the expansion, the parties propose the
following:
The Company will lease existing property owned by the McGraw-Hill Company
on Kerper Boulevard, and will make improvements to such property and equip
the existing buildings. The Company will make a capital investment in building
improvements, equipment, fumiture and fixtures of not less than $24,000,000.
The Company will maintain its existing 227 employees in Dubuque, Iowa, and will
create or cause to be created not less than one hundred (100) new full time
equivalent (1820 hours per year) jobs within two (2) years and not less than one
hundred nine (109) jobs within three (3) years.
In consideration for the Company's intentions as described in Paragraphs 1. and
2, and as an incentive for expanding in Dubuque, the City will provide the
following incentive package to the Company:
Enterprise Zone Benefits: Subject to the Company meeting-the
requirements of the program, approval by the Dubuque Enterprise Zone
Commission, and State of Iowa approval of the Company's application,
the City will execute a three-party Enterprise Zone Agreement with the
State and the Company, pursuant to which the Company would be eligible
for benefits under the program. These benefits include a refund of sales
and use taxes charged for materials in the renovation of the building, and
an Iowa State tax credit equal to 10% of the Company's investment in the
project.
Tax Increment Financing Rebates. The City Council will initiate a process
for the establishment of an Urban Renewal District and Urban Renewal
Plan for the expansion property. If the Urban Renewal District and Urban
Renewal Plan are approved in accordance with the requirements of the
Urban Renewal Act (Chapter 403 of the Code of Iowa), and subject to a
written agreement executed between the Company and the City, the City
will provide a ten-year rebate of property taxes paid by the Company on
the incremental value added to the real estate as a result of the project.
CEBA Loans. The City Council will review, approve, and process an
application for the Community Economic Betterment Account (CEBA) for
approval by the Iowa Department of Economic Development. The City will
propose that the Company be provided a forgivable loan of $172,500 and
a 0% five-year repayable loan of $172,500.
Iowa New Job Traininq Program. The City will encourage the Northeast
Iowa Community College to provide reimbursement for new employee
training as a result of the expansion. The estimate of the amount of
reimbursement is $554,000.
4. The Company acknowledges that in order for the City to secure such incentives.
certain requirements are imposed upon the Company as specified in the
respective program regulations. The Company agrees to cooperate with the
City, the State of Iowa, and the Northeast Iowa Community College by providing
the information and documents necessary for the approval of the loans and
applications for financial assistance described above.
5. Notwithstanding any other provisions of this Memorandum of Understanding, the
City shall have no obligation to the Company under this Memorandum of
Understanding until and unless definitive agreements are entered into between
the Company and the City, and approved by the City Council and the Company's
appropriate officers.
6. Notwithstanding any other provision of this Memorandum of Understanding, the
Company shall have no obligation to fulfill the intentions in Paragraph 1. and 2.
until and unless definitive agreements are entered into between the Company
and the City, and approved by the City Council and the Company's appropriate
officers.
2
Approved this 4th day of March 2002 by and between Quebecor World Dubuclue, Inc.,
and the City of Dubuque, Iowa.
Quebecor World Dubuque, Inc.
City of Dubuque
Title:
Terrance Duggan, Mayor
Jeanne F. Schneider, City Clerk
F:\USERS\WBaum\QUEBECOR'WIemo of Understanding.doc
3
CITY OF DUBUQUE, IOWA
MEMORANDUM
February 25, 2002
TO:Michael Van Milligen, City Manager
FROM:Bill Baum, Economic Development Director
SUBJECT:Quebecor World Dubuque, Inc
Community Economic Betterment Account (CEBA) Application
INTRODUCTION
This memorandum presents for City Council review and approval a resolution authorizing
the submission of a Community Economic Betterment Account (CEBA) program application
to the Iowa Department of Economic Development on behalf of Quebecor World Dubuque,
Inc., a world-wide printing company with a local facility.
BACKGROUND
McGraw-Hill Company recently announced their intention to expand their Dubuque
operations and is under construction of a 330,000 square foot distribution center at the
Dubuque Industrial Center West. Quebecor World Dubuque, Inc. has outgrown existing
facilities on Kerper Boulevard, and plans to expand and occupy the building to be vacated
by McGraw Hill. Quebecor World Dubuque, Inc. will increase employment by 109
positions, and retaining their existing 227 employees.
A Memorandum of Understanding has been prepared, subject to final City Council approval
to assist the company on this project. The City has been asked to submit the CEBA
application on behalf of the company. As required by the CEBA program, application
requires a commitment of City funds to the project.
DISCUSSION
Over the next three years, Quebecor World Dubuque will employ 109 new employees
averaging $14.46/hour. To help fund this expansion, the Company has requested a
partially forgivable CEBA loan of $345,000, which represents $3,165 per new job created.
The project is currently estimated to include $4 million in building improvements and $24
million in equipment. The company has requested assistance to the overall project. The
assistance to the company, which will serve as the public match for the CEBA application,
is proposed to be as follows:
· Tax Increment Financing: a TIF rebate of property taxes on the new value
added to the building for a ten-year period.
· A grant from the Northeast iowa Community College of $554,000 to assist in
the training of new employees.
· Enterprise Zone benefits, including a refund of sales and use tax paid for
materials used in the expansion, and a tax credit on Iowa Corporate income
taxes equal to 10% of the investment.
RECOMMENDATION
I recommend that the City Council authorize the submission of a CEBA application for a
$345,000 partially forgivable loan on behalf of Quebecor Wodd Dubuque, lnc with a
commitment of local matching funds subject to State approval.
From recent discussions with the company, we believe that Quebecor World Dubuque lnc
will achieve its expansion plans and employment goals with the requested public financial
assistance. This project will have a substantial impact on employment in the city. This
project is consistent with the City's goals to expand local business, increase the number of
higher wage jobs and further diversify our economic base.
ACTION STEP
The action step for the City Council is to adopt the attached resolution
attachment
F:\USERS\WBaum\QUEBECOR~vlEMO ON CEBA APP.doc
RESOLUTION NO. - 02
A RESOLUTION AUTHORIZING THE FILING OF A COMMUNITY
ECONOMIC BETTERMENT ACCOUNT (CEBA) APPLICATION ON
BEHALF OF QUEBECOR WORLD DUBUQUE, INC
Whereas, Quebecor World Dubuque, Inc. has proposed the expansion of its
existing operations; and
Whereas, the City Council of Dubuque, Iowa has considered said proposal and
has determined that the proposed project will'contdbute to the local economy through
the creation of over 100 new jobs for area residents; and
Whereas, the Iowa Department of Economic Development's Community
Economic Betterment Account (CEBA) was designed to assist in the economic
development efforts of local jurisdictions; and
Whereas, the City of Dubuque, Iowa ~s eligible to apply for funding from the
Community Economic Betterment Account program;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
DUBUQUE, IOWA:
Section 1. That the filing of an application for participation in the Iowa
Community Economic Betterment Account program on behalf of Quebecor World
Dubuque, Inc. ~s approved.
Section 2. That the local match as identified in the application will be considered for
approval in the Urban Renewal/Tax Increment Financing approval process.
Section 3. That the Mayor is hereby authorized to execute, and the City Manager is
hereby directed to submit said application to the State of Iowa Economic Development
Commission together with such documents as may be required.
Passed, approved, and adopted this 4th day of March 2002.
Attest:
Terrance M. Duggan, Mayor
Jeanne Schneider, City Clerk
~EBA APPLICATION FOR BUSINESS FINANCIAL ASSISTANCE ~.? January,
1998
APPLICATION FOR FINANCIAL ASSISTANCE
APPLICANT INFORMATION:
1. APPLICATION TYPE (Please Check One):
/ / SMALL BUSINESS GAP FINANCING
! ! VENTURE PROJECT
/x /NEWBUSINESS OPPORTUNITY / /NEW PRODUCT
DEVELOPMENT
2
THE COMMUNITY, CITY OR COUNTY SPONSORING THE APPLICATION
CITY OR COUNTY City of Dubuque, Iowa
NAME OF MAYOR OR BOARD CHAIR: Terrance Du,q.qan
ADDRESS 50 W13th Street
CITY/COUNTY CONTACT PERSON Bill Baum
TELEPHONE ( 563} 589-4393 FAX {563_}
ZIP CODE 52001-4864
589-1733
TITLE Economic Dev. Director
BUSINESS RECEIVING BENEFIT OF FUNDING
BUSINESS QuebecorWorld Dubuque Inc.
NAME OF AUTHORIZED PERSON TO OBLIGATE THE BUSINESS Rich Dunn
BUSINESS ADDRESS 2470 Kerper Boulevard, Dubuque, Iowa ZIP CODE 52001
BUSINESS CONTACT PERSON Rich Dunn TITLE Vice President
TELEPHONE (56_.~.~_) 589-1380 FAX (563) 589-2991 www site: quebecorworld.com
BUSINESS FEDERAL ID # 36-4067254 e-mail: rich.dunn~,quebcorworld.com
CEBA APPLICATION FOR BUSINESS FINANCIAL ASSISTANCE G~,8 January,
998
RELEASE OF INFORMATION AND CERTIFICATION
NOTE: Please read carefully before signing
I hereby give permission to the Iowa Department of Economic Development (DED) to research the
company's history, make credit checks, contact the company's financial institution, and perform
other related activities necessary for reasonable evaluation of this proposal. I understand that all
information submitted to DED relating to this application is subject to the Open Records Law (1989
Iowa Code, Chapter 22) and that confidentiality may not be guaranteed. I hereby certify that all
representations, warranties or statements made or furnished to the DePartment in connection
with this application are true and correct in all material respects. I understand that it is a criminal
violation under Iowa law to engage in deception and knowingly make, or cause to be made,
directly or indirectly, a false statement in writing for the purpose of procuring economic
development assistance from a state agency or political subdivision.
SIGNATURE OF COMPANY OFFICER AUTHORIZED TO OBLIGATE BUSINESS:
SIGNATURE OF MAYOR/BOARD CHAIR AUTHORIZED TO OBLIGATE COMMUNITY:
NOTE DED WILL NOT PROVIDE ASSISTANCE IN SITUATIONS WHERE IT IS DETERMINED THAT ANY
REPRESENTATION, WARRANTY OR STATEMENT MADE IN CONNECTION WITH THIS
APPLICATION IS INCORRECT, FALSE, MISLEADING OR ERRONEOUS IN/~IY MATERIAL
RESPECT. IF ASSISTANCE HAS ALREADY BEEN PROVIDED BY DED PRIOR TO DISCOVERY OF
THE INCORRECT, FALSE OR MISLEADING REPRESENTATION, DED MAY INITIATE LEGAL
ACTION TO RECOVER STATE FUNDS.
CEBA APPLICATION FOR BUSINESS FINANCIAL ASSISTANCE ~9 January,
'1998
DESCRIBE THE ORGANIZATIONAL STRUCTURE OF THE BUSINESS, INCLUDING ANY
PARENT COMPANIES, SUBSIDIARIES, SISTER COMPANIES, ETC.
Quebecor World Dubuque Inc. is a wholly owned subsidiary of Quebecor World (USA) Inc. and an indirect wholly
owned subsidiary of Quebecor World Inc. There are over 100 entities in the affiliated group.
LIST THE NAMES OF THE BUSINESS OWNERS AND THE PERCENT OF OWNERSHIP HELD BY
EACH.
Quebecor World (USA) Inc. owns 100% of Quebecor World Dubuque Inc.
Quebecor World Inc. is a publicly traded company.
6. LIST THE BUSINESS' PRIMARY AND SECONDARY STANDARD INDUSTRIAL CODES (SIC) CODES.
#2752
DESCRIPTION AND HISTORY OF BUSINESS: (If complete description is attached, please
summarize here.)
Quebecor World Inc. is the largest commercial pdnter in the world. It is a market leader in most of its major product
categories which include magazines, inserts and circulars, books, catalogs, specialty printing and direct mail.
directories, digital pre-media, logistics, mail list technologies and other ~alue added services.
Operation currently known as Quebecor Wodd Dubuque was founded in 1949 and has been a part of the
QWI group since 1996. It has been located at its current site since 1972. The book printing facility specializes in
serving the professional and college textbook markets. Its top customers include McGraw
Hill, Pearson, Sunset Books, the State oflowa and Thomson Learning.
CEBA APPLICATION FOR BUSINESS FINANCIAL ASSISTANCE ~,10 January,
1998
DESCRIBE IN DETAIL THE PROPOSED "PROJECT": (e.g. company relocation, plant expansion,
remodeling, new product line, refinancing, etc.) (If complete description is attached, please
summarize here.)
The company proposes to expand by leasing an additional 142,381 sq.ft, of space now occupied by McGraw Hill,
Inc. McGraw Hill is in the process of constructing a new facility and moving its distribution center to the Dubuque
Industrial CenterWest. Quebecor Wodd of Dubuque will be leasing the existing space, and making improvements
of at least $4 million ane making equipment additions ofat least $20 million.
This proposed project is planned to address the increasing demand for books of a specific size, color, and binding
style with the objective of creating a state of the art, hard cover facility focused on the education market with an
asset base that supports elementarystate adoption cycles.
WILL THE PROJECT INVOLVE A TRANSFER OF OPERATIONS OR JOBS FROM ANY OTHER IOWA
FACILITY OR REPLACE OPERATIONS OR JOBS CURRENTLY BEING PROVIDED BY ANOTHER
IOWA COMPANY? IF YES, PLEASE INDICATE THE FACILITY(S) AND/OR COMPANY(S) AFFECTED.
NO
10. WHAT PERCENTAGE OF THE COMPANY'S SALES WILL BE OUTSIDE THE STATE OF IOWA?
Approximately 95%.
1 t. DESCRIBE THE BUSINESS' ANTICIPATED IN-STATE CUSTOMERS AND THE PRODUCT/SERVICE
THAT WILL BE PROVIDED TO EACH.
McGraw Hill: PRD and Osborne books
State of Iowa: Iowa Conservationist, Iowa Codes and Iowa Codes Supplement
t2.
WHAT PERCENTAGE OF THE COMPANY'S TOTAL OPERATING EXPENDITURES (INCLUDING
WAGES AND SALARIES) WILL BE SPENT WITHIN THE STATE OF IOWA?
Quebecor Wodd of Dubuque: 53%
13. WHAT DATE WI LL THE PROJECT BEGIN?
.By_June of 2002
BE COMPLETED? July of 2004
(NOTE: Funds are not normally distributed to the business until approximately two months after DED's
CEBA APPLICATION FOR BUSINESS FINANCIAL ASSISTANCE G~B,i! January,
998
14. HAS ANY PART OF THE PROJECT BEEN STARTED? YES x NO (If ~es, please
describe:)
15.
HOW MANY EMPLOYEES ARE CURRENTLY EMPLOYED BY THE COMPANY? (Total employment
including all locations, subsidia~es, divisions, etc., worldwide) 40,000+
IF THIS COMPANY CURRENTLY HAS AN IOWA FACILITY, HOW MANY FULL-TIME EMPLOYEES ARE
THERE AT THE FACILITY AFFECTED BY THIS PROPOSAL 227
OTHER IOWA FACILITIES? Location(s) Carroll, and Waukee, iowa
No. of Employees at each __Carroll--59, Waukee--158
HOW MANY TOTAL INDIVIDUALS HAVE BEEN EMPLOYED BY THE COMPANY AT THESE FACILITIE~
DURING THE PAST YEAR? 516
16. IF AWARDED FUNDS, HOW MANY NEW, FULL-TIME EMPLOYEES WILL YOU ADD TO THE PAYROLL
WITHIN 12 to 36 MONTHS OF THE AWARD DATE? The business acknowledges if it fails to crate
the jobs pledged below by the end of the project period (usually 36 months from the date of the CERA
award), it will reimburse CEBA funds for the employment shortfall. The preparer of this application
should ensure that the business is aware of this provision before asking the business to sign
the application form.
FULL-TIME:
PART-TIME:
12 MONTHS 75 12
Cumulative
MONTHS
Cumulative
FULL-TIME:
PART-TIME:
24 MONTHS 100 24 MONTHS
Cumulative Cumulative
FULL-TIME:
36 MONTHS
PART-TIME:
109 36 MONTHS
Cumulative Cumulative
17.
WHAT IS THE ESTIMATED ANNUAL PAYROLL FOR THE NEW EMPLOYEES RESULTING FROM THIS
PROJECT?
Approximately $3.6 Million
CEBAAPPLICATION FOR BUSINESS FINANCIAL ASSISTANCE ~B, 12 January,
'1998
t8.
WHAT IS THE STARTING HOURLY WAGE RATE (NOT INCLUDING FRINGE BENEFITS)
PROJECTED TO BE FOR THE NEW EMPLOYEES? $14.46
AVERAGE WAGE FOR EXISTING EMPLOYEES?__$13.68
195
LIST OF POSITIONS AND STARTING HOURLY RATES FOR EACH JOB CLASSIFICATION TO BE
CREATED AND RETAINED.
See next page. An example is typed in the fimt line.
See Attachment
HOW MANY OF THE BUSINESS' CURRENT EMPLOYEES ARE EARNING AN HOURLY WAGE,
EXCLUDING BENEFITS, OF AT LEAST THE COUNTY THRESHOLD WAGE?
(CONTACT A CEBA PROJECT MANAGER AT IDED FOR CURRENT FIGURES.)
, or _85.9%__
of the current employees are earning at least $t0.01 per hour.
FOR PROJECTS REQUESTING GREATER THAN $500,000:
WHAT IS THE MEDIAN WAGE FOR ALL PROJECT POSITIONS? _$14.46
(REQUESTS OF GREATER THAN $500,000 REQUIRE A MEDIAN WAGE OF AT LEAST 130%
OF THE AVERAGE COUNTY WAGE.)
CEBA APPLICATION FOR BUSINESS FINANCIAL ASSISTANCE ~13 January,
1998
· 18.
POSITIONS
Cont.
LIST OF POSITIONS AND STARTING HOURLY RATE FOR CREATED AND RETAINED
Use Additional Sheets if Needed
Number Number
of of
Created Retained
4
9
9
3
2
12.
6
6
3
6
3
3
3
3
6
2
3
2
2
4
Position Title
Preflighters
Press Operators
Press Operators
Bundlers
Roll Tender/Press Utility
Supervisors
Signature Feeders
Collator Operators
Binder Operators
Sewer Operatom
Casing-In Operators
Boxing/Palletizers
Casemaking Operators
Casemaking Palletizers
End-Sheet Operators
Matedal Movers
Supervision
Shipping/VVarehouse
'Accounting
Customer Service
Maintenance
No. Hours Sta~ing Hourly
Per Week Rate of Pay
40 $16.17
40 $17.95
40 $16.17'
40 $15.13
40 $15.13
40 $8.50
40 $19.23
40 $10.93
40 $12.70
40 $15.13
40 $15.13
40 $15.13
40 $11.98
40 $15,13
40 $11.98
40 $15.13
40 $11.98
40 $19.23
40 $12.70
40 $12.00
40 $16.82
40 $16.17
CEBA APPLICATION FOR BUSINESS FINANCIAL ASSISTANCE ~B. 14 January,
1998
19.
WILL ANY OF THE CURRENT EMPLOYEES LOSE THEIR JOBS IF THE PROJECT DOES NOT
PROCEED?
YES x NO
20. IF YES, HOW MANY? N/A
EXPLAIN WHY:
21.
WHAT IOWA COMPANIES DO YOU EXPECT TO SELL TO WHICH CURRENTLY BUY FROM NON-IOWA
COMPANIES? WHAT PERCENTAGE OF YOUR SALES WILL FALL INTO THIS CATEGORY?
None
22. WHAT OTHER IOWA COMPANIES COULD BE CONSIDERED TO BE YOUR COMPETITORS?
To the Company's knowledge none of its major competitors have production facilities in Iowa,
23. HOW WILL THIS PROJECT BENEFIT THE CITY/COUNTY, ETC.
This project will result in the creation of 109 good paying jobs for the Dubuque area. These jobs,
and the benefits that come with the employment will have an immediate positive impact on the
entire community. Last year, a major employer closed its doors resulting in layoffs of 1300 persons.
Many of these dislocated workers continue to remain unemployed. These new jobs will assist in improving the
oppor[unities for employment of those and other unemployed and underemployed
persons.
CEBA APPLICATION FOR BUSINESS FINANCIAL ASSISTAN CE PAGE 15 January,
1998
24.
IN WHAT FORM IS THE BUSINESS CONTRIBUTION TO THE PROJECT'?.
PLEASE EXPLAIN CLEARLY. (i.e. SALE OF STOCK, EQUITY INVESTMENTS,
SUBORDINATED DEBT, ETC.)
Financing through cash contributions from parent company or arranged financing
(i.e equipment leasing).
25. IDENTIFY ALL AGENCIES OR INSTITUTIONS INVOLVED IN THE PROJECT, AND WHAT
THEIR INVOLVEMENT IS:
Greater Dubuque Development Corporation: Project Coordinator
City of Dubuque: Will provide property tax rebates through Tax Increment Financing,
Enterprise Zone approval, and CEBA application processing.
Northeast Iowa Community College will provide job-training reimbursements through
the Iowa New Jobs Training Program.
CEBA APPLICATION FOR BUSINESS FINANCIAL ASSISTANCE ~,17 January,
1998
SUMMARY OF PRO3ECT COSTS AND PROPOSED
FZNANCING SOURCES
26.
USE OF FUNDS SOURCES
(Summarize All Sources from questions 27)
A~TY COST SOURCE A SOURCE B SOURCE C SOURCE D SOURCE E SOURCE F
[, Land
Acquisition I $
2. Site
Preparation
3. Building
Acquisition
4. Building
Construction
5. Building I 4,000,000
Remodeling
6.~ Machinery & J 345,000 19,655,000
Equipment
7. Furniture &
Fixtures
8. Permanent I I $554,000
Worldn Ca ital $554 000
(Detail:)
TOTAL: I~z4,554toou ]$345,000 $554f000 $ $
TERMS OF PROPOSED FZNANCZNG
27.
Source A: STATE ASSZSTANCE (CEBA) $345,000 FL + DL FI and 0% 5 years
Source B: * City of Dubuque: Ten year property tax rebate
Source C: Quebec. or World $23,655,00 Equity
Source D: Northeast Iowa Community College $ 554,000 Grant
Source E:
Source F: $
I TOTAL: $24,554,00.
*The City of Dubuque is proposing to provide a rebate of annual proper~y taxes on the new value added to the building for a ten year period.
CEB'A APPLICATION FOR BUSINESS FINANCIAL ASSISTANCE
998
January,
- 28.
EXPLAIN WHY ASSISTANCE IS NEEDED FROM THE STATE, AND WHY IT CANNOT BE OBTAINED
ELSEWHERE. SPECIFIC SUPPORTING DOCUMENTATION EVIDENCED BY CASH FLOW STATEMENTS,
INCOME STATEMENTS, ETC. IS REQUESTED.
The incentive package is necessary to entice the companyto expand in Iowa, and specifically in Dubuque.
The company has had options and opportunities in other states, specifcally the company's book
group operates facilities in a number of states including Kentucky,
Pennsylvania, Tennessee and Massachusetts. As a result the companyhas
vadous options for accommodating the workload necessitating this expansion.
Comparable incentives are available from the various states.
29.
EXPLAIN THE NEED FOR SPECIFIC TYPE OF ASSISTANCE (LOCATIONAL OR FINANCIAL OR RATE OF
RETURN). CAN CONVENTIONAL FINANCING BE OBTAINED FOR ALL PROJECT COSTS? IF CEBA
PROVIDED A MARKET RATE LOAN COULD THE PROJECT PROCEED? LOWOR NO INTEREST
LOAN? IF NOT, WHY NOT?
As stated above, the combination of forgivable and repayable 0% loan is a necessary part of the
incentive package offered to the company. The company would prefer a total forgivable loan, if possible.
30. ANY RECIPIENT OF CEBA FUNDS IS EXPECTED TO PROVIDE SECURITY TO THE STATE. THE
SECURITY WILL BE EXERCISED, WHEN NECESSARY, DUE TO NON-PERFORMANCE AND/OR NON-
PAYMENT ON THE PART OF THE BUSINESS. IN ADDITION TO A LIEN AND/OR MORTGAGE, PERSONAL
GUARANTEES ARE EXPECTED FOR BUSINESSES NOT PUBLICLY TRADED, AND CORPORATE
GUARANTEES ARE EXPECTED WHEN THE BUSINESS RECIPIENT HAS A PARENT (OR HOLDING)
COMPANY. PLEASE CHECK BELOWTHE SECURITY OFFERED IN THIS PROJECT.
MORTGAGE .$.
LIEN ON .$.
PERSONAL GUARANTEE .$
CORPORATE GUARANTEE_x
OTHER $.
$ 345,000
WHAT SENIORITY OR POSITION?
WHAT SENIORITY OR POSITION?
(IF ADEQUATE SECURITY IS NOT OFFERED, THE STATE MAY REQUIRE THE BUSINESS TO
DEMONSTRATE PERFORMANCE (E.G. JOB CREATION, INVESTMENTS, ETC.) PRIOR TO RELEASE OF
CEBA FUNDS.)
31.
GENERALLY A DECISION BY THE IOWA DEPARTMENT OF ECONOMIC DEVELOPMENT ON THIS
APPLICATION CAN BE EXPECTED WITHIN 30 DAYS OF RECEIPT OF THE APPLICATION. IS THERE AN
URGENT NEED FOR A MORE IMMEDIATE DECISION (I.E. 1 - 2 WEEKS) ON THIS APPLICATION?
X YES NO
IF SO, WHY? The training of new employees is anticipated to take up to six months and in order
to meet project timelines the Company will need to start recruiting new employees as soon as
possible once the a decision is made to proceed.
CEBA APPLICATION FOR BUSINESS FINANCIAL ASSISTANCE ~i$ January;
t998
32.
DOES THE BUSINESS CERTIFY THAT HIRING PREFERENCE WILL BE MADE TO IOWA RESIDENTS?
x YES NO.
33.
DOES THE BUSINESS CERTIFY THAT HIRING PREFERENCE WILL BE MADE TO FORMER
EMPLOYEES OF ANY BUSINESS MERGED OR ACQUIRED BY THE COMPANY WITHIN THE
LAST THREE YEARS? x YES NO
34,
DOES THE BUSINESS CERTIFY THAT AT LEAST TEN (10%) PERCENT OF THE POSITIONS TO BE
CREATED WILL BE MADE AVAILABLE TO QUALIFIED PROMISE JOB PARTICIPANTS?
x YES NO.
35.
HAS THE BUSINESS BEEN CITED OR CONVICTED FOR VIOLATIONS OF ANY FEDERAL OR STATE
LAWS OR REGULATIONS WITHIN THE LAST FIVE YEARS (INCLUDING ENVIRONMENTAL OR SAFETY
REGULATIONS)? YES x NO. IF YES, PLEASE EXPLAIN THE CIRCUMSTANCES OF THE
VIOLATION(S).
36.
WILL YOUR BUSINESS BE UTILIZING, OR BE LOCATED ON PROPERTY ON WHICH IS LOCATED,
UNDERGROUND TANKS (WHETHER OR NOT IN CURRENT USE) FOR THE STORAGE OF PETROLEUM
PRODUCTS, AGRICULTURAL OR OTHER CHEMICALS, WASTE OIL OR OTHER LIQUID WASTE, OR
ANY OTHER INFLAMMABLE, CORROSIVE, REACTIVE OR EXPLOSIVE LIQUID OR GAS?
YES x__NO IF YES, PLEASE SPECIFY.
37.
38.
WILL YOU BE STORING ABOVE-GROUND ON OR ABOUT YOUR BUSINESS PREMISES, IN TANKS
OR OTHERWISE, FOR ANY LENGTH OF TIME OR FOR ANY PURPOSE, ANY LIQUID OR GAS
INCLUDED IN QUESTION 36 ABOVE, OR ANY INFLAMMABLE, CORROSIVE, REACTIVE OR
EXPLOSIVE SOLID, EXCLUDING ORDINARY REFUSE?
YES x__NO IF YES, PLEASE SPECIFY.
WILL YOU BE YOU TREATING, TRANSPORTING OR DISPOSING OF ANY LIQUID, GAS OR SOLID
INCLUDED IN QUESTIONS 36 OR 37 ABOVE, EITHER ON OR ABOUT YOUR BUSINESS PREMISES
OR AT A LANDFILL OR OTHER TREATMENT FACILITY, OR UPON ANY PUBLIC STREET OR
HIGHWAY, OR ON ANY WATERWAY OR BODY OF WATER, OR IN ANY AIRCRAFT?
YES x NO
IF YES, PLEASE SPECIFY THE SUBSTANCE AND WHAT YOU WILL BE DOING WITH IT.
39.
IF THE BUSINESS GENERATES SOLID OR HAZARDOUS WASTE, IT IS REQUIRED TO SUBMIT AN
AUDIT AND MANAGEMENT PLAN TO REDUCE THE AMOUNT OF THE WASTE AND TO SAFELY
DISPOSE OF THE WASTE. FOR THE PURPOSES OF MEETING THIS REQUIREMENT, THE BUSINESS IN
LIEU OF PROVIDING IN-HOUSE AUDITS, MAY SUBMIT AUDITS COMPLETED BY EITHER THE WASTE
MANAGEMENT AUTHORITY OF THE DEPARTMENT OF NATURAL RESOURCES OR THE IOWA WASTE
REDUCTION CENTER AT THE UNIVERSITY OF NORTHERN IOWA. IF AN AUDIT AND MANAGEMENT
PLAN IS NOT SUBMITTED, THE DEPARTMENT SHALL NOT PROVIDE ASSISTANCE UNTIL IT IS
SUBMITTED.
CEBAAPPLICATION FORBUSINE$S FINANCIAL ASSISTANCE ~,19 January,
998
40.
4t.
42.
43.
X
X
X
X
WILL ANY PART OF THE PROJECT TAKE PLACE IN A 100 YEAR FLOOD PLAIN? YES x NO
DOES THE BUSINESS PROVIDE AT LEAST 80% OF STANDARD MEDICAL AND DENTAL INSURANCE
FOR FULL-TIME EMPLOYEES? X YES NO.
DO YOU HAVE A COMMUNITY PLAN IN PLACE? x YES NO
REQUIRED ATTACHMENTS. CHECK OFF EACH ONE SUBMITTED. IF NOT SUBMITTED, EXPLAIN
WHY IT IS NOT SUBMITTED.
x COMMUNITY RESOLUTION AUTHORIZING THE APPLICATION (ATTACHMENT A)
BUSINESS PLAN (IF NEW BUSINESS) (ATTACHMENT B)~Not new business
x PROFIT AND LOSS STATEMENTS (3 YEAR HISTORICAL AND 2 YEAR PROJECTIONS)
(ATTACHMENT C) Financial Statements will be provided directly to the state.
x BALANCE SHEETS (3 YEAR HISTORICAL AND 2 YEAR PROJECTIONS INCLUDING AGED
ACCOUNT RECEIVABLE SCHEDULE, AGED ACCOUNTS PAYABLE SCHEDULE AND A
SCHEDULE OF OTHER DEBT) (ATTACHMENT D)
A/R, A/P and third partydebt not material
Financial statements will be provided directly to the state
x LETTERS OF COMMITMENT OF PROJECT FUNDS, {FROM BANKS, APPLICANT, ETC,)
(~'TACHMENT E)
x DESCRIPTION OF FRINGE BENEFITS PROVIDED TO EMPLOYEES (ATTACHMENT F)
__ COPIES OF THE COMPANY'S QUARTERLY IOWA "EMPLOYER'S CONTRIBUTION AND PAYROLL
REPORT" FOR THE PAST YEAR AND A COPY OF THE MOST RECENT MONTHLY PAYROLL
REGISTER. (ATTACMENT G) 4m Qtr. 2001 payroll register included.
MAP INDICATING THE LOCATION OF THE PROJECT. (ATTACHMENT H)
ATTACH COST ESTIMATES FOR CONSTRUCTION, MACHINERY/EQUIPMENT, PERMANENT
WORKING CAPITAL AND PURCHASES. (ATTACHMENT I)
CERTIFICATE OF GOOD STANDING FROM THE IOWA SECRETARY OF STATE OR AN
AUTHORIZATION TO CONDUCT BUSINESS IN IOWA. (ATTACHMENT J)
CERTIFICATE OF INCUMBENCY LISTING THE CURRENT BOARD OF DIRECTORS AND CURRENT
OFFICERS IF A CORPORATION OR A LISTING OF THE GENERAL PARTNERS IF A PARTNERSHIP.
(ATTACHMENT K)
X
__ _ CORPORATE RESOLUTION AUTHORIZING THE APPLICATION FOR CEBA FUNDS. (ATTACHMENT
L)
__ _ CORPORATE SIGNATORY AUTHORIZATION NAMING AN OFFICER TO EXECUTE THE CEBA
APPLICATION AND CEBA LOAN DOCUMENTS, IF APPROVED. (ATTACHMENT M)
OTHER
CEBA APPLICATION FOR BUSINESS FINANCIAL ASSISTANCE ~,20 January,
1998
44. EXPLANATION/OTHER'COMMENTS:
~,,aoI 'iluno3 onbnqn(I ~oj pu~ ut. a!iqnd/a~elON
'~k'-~ OE' -/'~ jo ~p -~]~:~ ~- s!q1
'e~aoI %nno3 ~nbnqnQ ioj puc u! o.qqnd AJu~oN e buz ~ioj~q ol p~q.~Jasqn$
'69'IZ$ s.~ oSa~sqo oq~ qo!q~ .tog puc 'g00Z '6 X~IN :sm~p
:!~OliOJ oq~ uo aodeds,,aou pies ut. poqst.[qnd s~ ooDou poqoe~e oq~ ~eq~ a~;.~oo
oaoq '.eatoI jo me~S pus onbnqncI,~O alunoD 'onbnqnQ,~O &!2 o~ u.z poqs!iqnd
lelno~!a le~Ouo~ ~o aod~ds~ou ~'ple~OH qdeJ~OlO£ oq~,~o ~oqs.qqnd 'uo.qe~ochoo
oI ue "ouI 'suopea!untmuoD p.m~apooAk aoj :,[~alD Su.qI.t{t e 'Az~nA 'V !Jaaqs 'I
NOIJ, VDIqS~hI zlO NOI,LVDIAI&It~D
:ss}
VA OI Ao