Eagle Point Software_Community Economic Betterment Account (CEBA)Masterpiece on the Mississippi
Dubuque
hittil
All- Amedca city
1
2007
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: State of Iowa Financial Assistance Application for Eagle Point Software
DATE: December 2, 2010
Economic Development Director Dave Heiar is recommending City Council approval fto
submit a Community Economic Betterment Account Program Financial Assistance
Application to the Iowa Department of Economic Development on behalf of Eagle Point
Software Corporation.
Eagle Point Software Corporation has been in business since 1983. They are a
software development company that is headquartered in Dubuque, Iowa. In addition to
their software products, they also provide implementation and support services to world-
wide customers.
The CEBA program application on behalf of the company will provide financial
assistance to enable the company's proposed development in Dubuque. As required by
the CEBA program, the application requires a commitment of City funds to the project.
This expansion project involves the Company moving their headquarters to 40 Main
Street to facilitate the retention of 37 employees and the creation 15 new positions. The
total starting annual payroll for the new positions is $750,172, representing an average
wage of $50,011 per year.
To assist this project, Eagle Point Software has requested the City of Dubuque assist
with an application for State of Iowa assistance. The project involves the company
relocating to 40 Main Street. City assistance as public match for the application is
required, and is estimated at $200,000, which is one -third of the TIF grant to the 40
Main redevelopment project, which will be used by the landlord for buildout expenses.
This amount was approved in the 40 Main redevelopment project and is sufficient local
match for the entire application.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
MCVM:jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
David J. Heiar, Economic Development Director
/
Michael C. Van Milligen
Y"1
CJ-10
Masterpiece on the Mississippi
Dubuque
hitill
AII- Ameicaaty
1
2007
TO: Michael Van Milligen, City Manager
FROM: David J. Heiar, Economic Development Director
SUBJECT: State of Iowa Financial Assistance Application for Eagle Point Software.
DATE: December 1, 2010
INTRODUCTION
This memorandum presents for City Council review and approval of a resolution
authorizing the submission of a Community Economic Betterment Account (CEBA)
Program Financial Assistance application to the Iowa Department of Economic
Development on behalf of Eagle Point Software Corporation. The application is
attached.
BACKGROUND
Eagle Point Software Corporation has been in business since 1983. They are a
software development company that is headquartered in Dubuque, Iowa. In addition to
their software products, they also provide implementation and support services to world-
wide customers.
The CEBA program application on behalf of the company will provide financial
assistance to enable the company's proposed development in Dubuque. As required by
the CEBA program, the application requires a commitment of City funds to the project.
DISCUSSION
This expansion project involves the Company moving their headquarters to 40 Main
Street to facilitate the retention of 37 employees and the creation 15 new positions. The
total starting annual payroll for the new positions is $750,172, representing an average
wage of $50,011 per year.
To assist this project, Eagle Point Software has requested the City of Dubuque assist
with an application for State of Iowa assistance. The project involves the company
relocating to 40 Main Street. City assistance as public match for the application is
required, and is estimated at $200,000, which is one -third of the TIF grant to the 40
Main redevelopment project, which will be used by the landlord for buildout expenses.
This amount was approved in the 40 Main redevelopment project and is sufficient local
match for the entire application.
The Company will also be applying for Enterprise Zone Benefits for the project. The
Company is requesting a 10% investment tax credit on their lease payments for three
years, and a sales tax rebate on buildout materials and equipment purchases. The
Enterprise Zone Commission is scheduled to review the application. Should the State
approve the Enterprise Zone Application, a contract will be forthcoming for City Council
approval.
RECOMMENDATION
I recommend that the City Council authorize the submission of an application for state
assistance on behalf of Eagle Point Software with a commitment of local matching
funds, which was already approved through the 40 Main redevelopment project.
This project is consistent with the City's goals to help businesses expand in the area,
increase the number of good paying jobs and further diversify the economic base of the
area.
ACTION STEP
The action step for the City Council is to adopt the attached resolution.
attachments
F:\USERS\Econ Dev \Eagle Point Software\CEBA\20101201 Eagle Point IDED application memo.doc
RESOLUTION NO. 462 -10
A RESOLUTION AUTHORIZING THE FILING OF AN APPLICATION FOR STATE
FINANCIAL ASSISTANCE ON BEHALF OF EAGLE POINT SOFTWARE.
Whereas, Eagle Point Software Corporation has proposed the relocation and
expansion of its operations in Dubuque, Iowa; and
Whereas, the City Council of Dubuque, Iowa has considered said proposal and
has determined that the proposed project will contribute to the local economy through
the creation of 15 total jobs; and
Whereas, the Iowa Department of Economic Development's Community
Economic Betterment Account (CEBA) Program was designed to assist in the economic
development efforts of local jurisdictions; and
Whereas, the City of Dubuque, Iowa is eligible to apply for funding from the CEBA
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 CEBA Program
on behalf of Eagle Point Software is hereby approved.
Section 2. That the local match identified in the application estimated at $200,000
consisting of TIF funding to the Landlord for buildout of the space was approved in the
Development Agreement to redevelop the property at 40 Main Street.
Section 3. That the Mayor is hereby authorized to execute and the City Manager is
hereby directed to submit said application to the Iowa Department of Economic
Development together with such documents as may be required.
Passed, approved, and adopted this 6 day of Decer (ber, 2010.
Jeanne Schneider, City Clerk
F: \USERS \Econ Dev \Eagle Point Software \CEBA\20101206 Resolution Eagle Point Software app approval.doc
Roy D. Buol, Mayor
Business Finance
Business Development Division
Iowa Department of Economic Development
200 East Grand Avenue
Des Moines, Iowa 50309
www.iowalifechanging.com
Telephone: 515.725.3133
Businessfinance @iowa.gov
Bret L. Mills, Director
Iowa Department of Economic Development
Business Financial Assistance Application
Components
Program Complete
Enterprise Zone Program (EZ) Section C
Entrepreneurial Component Section E
Value -Added Agricultural Component Section F
Economic Development Set Zone Program (EDSA) Section G
NOTICE TO APPLICANTS — OPEN RECORDS
1. Disposition of Applications. All applications become the property of the State and shall not be returned to the applicant.
Once the Iowa Economic Development Board (IDED) acts on the application, the contents of all applications will be in the
public domain and be available for inspection by interested parties, except for information for which the applicant properly
requests confidential treatment or according to exceptions provided in Iowa Code sections 22.7(2009) and 15.118(2009), or
other applicable law.
2. Public Records and Requests for Confidential Treatment. Prior to the Iowa Economic Development Board (Board) acting
an any application received, the IDED will afford all information contained in the application as confidential, pursuant to its
authority in Iowa Code section 15.118(2009). After the Board acts on an application, the IDED will treat all information
submitted by an applicant as a public record, viewable by the public unless the applicant properly requests at submission
that specific parts of the application be treated as confidential and the IDED grants that request. The IDED's release of
public records is governed by Iowa Code chapter 22(2009), Iowa Code section 15.118(2009) and 261 Iowa Administrative
Code chapter 195. Applicants are encouraged to familiarize themselves with these laws before submitting an application.
The IDED will copy and produce public records as required to comply with Iowa Code Chapter 22 or other applicable law
and according to the limitation imposed therein.
Any request for confidential treatment of specific information submitted in the application must be included with the
application. In addition, the applicant must enumerate the specific grounds in Iowa Code sections 22.7 (2009) or
15.118(2009) or other applicable law which support treatment of the material as confidential and explain why disclosure is
not in the best interest of the public. The request for confidential treatment of information must also include the name,
address, and telephone number of the person authorized by the applicant to respond to any inquiries by the IDED
concerning the confidential status of the materials.
Any application submitted which contains information for which applicant is requesting confidential treatment must be
conspicuously marked by the applicant on the application as containing confidential information, and each page upon which
confidential information appears must be conspicuously marked as containing confidential information. Failure to properly
identify specific information as confidential shall relieve IDED or State personnel from any responsibility if confidential
information is viewed by the public or a competitor, or is in any way released. An applicant may not identify its entire
application as confidential, even though the entire application will be afforded confidential treatment prior to Board action.
Marking a portion of the application as confidential does not automatically confer confidential treatment of the document.
In considering requests for confidential treatment, the IDED will narrowly construe the provisions of the law to balance the
applicant's need for confidentiality against the public's interest in the information and the IDED's activities related thereto.
Factors to be used in this balancing test are described in Iowa Code section 15.118(2009). If the IDED does not grant a
request for confidential treatment, the applicant may withdraw the application and any supporting materials; in such an
event, the IDED shall not retain any copies of the application or supporting information and such records shall not be
subject to public inspection pursuant to Iowa Code chapter 22.
If the applicant designates any portion of its application as confidential, the applicant must submit a copy labeled as "Public
Copy" from which the confidential information has been excised. The confidential material must be excised in such a way
as to allow the public to determine the general nature of the material removed and to allow as much of the application to
remain intact as possible. The applicant's failure to request confidential treatment of material submitted as part of the
application will be deemed a waiver of any right to confidentiality the applicant may have had.
If IDED receives a request for information that specifically includes information the IDED has agreed is subject to
confidential treatment under the law, the IDED shall not release the confidential information but shall release, instead, an
explanation of why the information was deemed confidential, a summary of the nature of the information withheld, and the
reason for withholding it. Notwithstanding anything to the contrary in this section, the IDED will release applications and
supporting documents within its possession pursuant to the order of a court of competent jurisdiction at any time in the
application process.
3. Copyright Permission. By submitting an application, the applicant agrees that the IDED may copy the application for
purposes of facilitating the evaluation of the application or to respond to requests for public records. By submitting an
application, the applicant consents to such copying and warrants that such copying will not violate the rights of any third
party.
4. Release of Claims. By submitting an application, the applicant agrees that it will not bring any claim or cause of action
against the IDED based on any misunderstanding concerning the information provided in the application or concerning the
IDED's failure, negligent or otherwise, to provide the applicant with pertinent information in this application.
X I have reviewed the Notice to Applicants — Open Records section above, including the list of records already
considered confidential.
I understand that upon filing this application becomes an open record available for public inspection.
Applicant's request to treat information as confidential
X No request. The Business has not identified any additional information that it believes meets the legal
requirements for confidentiality
Yes, there is information in this application for which the business is requesting confidential treatment
Company Information
1. Name: Eagle Point Software Corporation
Address: 4131 Westmark Drive
Address 2:
City: Dubuque
State /Province /Territory: Iowa Mail Code: 52002
Country: United States
Contact Person:
Name: Lori Kilburg
Title: Vice President
Address: 4131 Westmark Drive
Address 2:
City: Dubuque State /Province /Territory: Iowa
Mail Code: 52002
Country: United States
Phone: (563) 556 -8392
Fax: Email: 2.
Code
Title
Type
Name
Industry Cluster
511210
Information
Publishing Industries
(except Internet)
Software Publishers
Information Solutions
Federal ID Number
Please enter a 9 -digit Federal ID with no dashes:
Does the Business file a consolidated tax return under a different tax ID
number?
US DOT Number:
Is the contact person listed above authorized to obligate the Business?
Was it prepared by the contact person listed above?
Please provide a brief description of the company's primary product:
Business Structure: Corporation
State of Incorporation: Delaware
7. Business Ownership
Identify the Business owners and the percentage of their ownership.
See attachment
421204819
8. Identify the Business's Competitors
No
Does a woman, minority, or person with a disability own the business?
Yes
3.
4.
5.
6. Company Information
Please provide a brief company overview:
Eagle Point Software Corporation has been in business since 1983. We are a software development company that is
headquartered in Dubuque, Iowa. In addition to our software products, we also provide implementation and support
services to our world -wide customers.
Our software products and services are developed for and sold to the Architecture/Engineering /Construction (AEC)
market. We sell direct throughout the United States and Canada from our Iowa -based headquarters, whereas our
competitors have office locations within their selling territories.
If the legal name for the contracting party is different than the Applicant Company please attach documents showing the
business's structure and the relationship between its legal entities (e.g., wholly owned subsidiaries, divisions, holding
companies, affiliates.)
Documents Uploaded
Company Ownership.pdf
No
If any of these competitors have Iowa locations, please explain the nature of the competition (e.g. competitive
business segment, estimated market share, etc.) and explain what impact the propose project may have on the
Iowa competitor
Our main competitors are located throughout North America (outside of Iowa) with people located in close proximity to
their customers.
9. Briefly describe the proposed project for which assistance is being sought
Include project timeline with dates, facility size, infrastructure improvements, proposed products /services, any
new markets, etc
Business Release
We need to relocate our corporate headquarters in order to take advantage of growth opportunities within our market.
Highly specialized employees with experience in our market are key to our ability to create new products, grow sales and
deliver the high - quality service demanded by our customers. It is difficult to attract these types of individuals to Iowa
when competing for employees with companies in places like Manchester, NH or San Rafael, CA. These locations are
hotbeds for technology companies who are able to provide creative work environments because of the renovated historic
buildings in which they work. The historic nature, architectural character, and visible location of the building at 40 Main
Street in Dubuque will help level the playing field when recruiting employees. Additionally, our credibility will be
improved by exhibiting forward- looking practices (renovation, sustainability, green, etc.) when hundreds of customers
from around the country visit each year.
With funding assistance, we will begin hiring in early 2011 in anticipation of moving to the new headquarters in June.
No Documents Uploaded
1. Sponsor Information
Name
Title
Type
Organization
Address
Phone
Email
Certification & Authorization to Release Information - Business
On behalf of the Business identified below and in connection with this application for financial assistance, I hereby represent that I
have the authority to act on behalf of the Business and represent that all necessary actions of its governing body in connection with
this application have been taken. I do hereby authorize the Iowa Department of Economic Development (IDED) to research the
Business' history conduct credit checks that include information regarding credit worthiness, credit standing, character, general
reputation, credit capacity, contact the Business' financial institutions, insurance carriers, procure a consumer report and/or
investigative consumer report and perform other related activities necessary for reasonable evaluation of this application. These
activities may include, but are not limited to, securing reports such as credit reports, criminal records checks, civil records, any court
records, insurance records and any other records necessary in connection with this application. I authorize all persons, public or
private companies, law enforcement agencies, government entities to release such information without restriction or qualification to
IDED, and I release them from any liability as a result of such inquiries and disclosures. I also hereby authorize the Iowa Department
of Revenue to provide to IDED state tax information pertinent to the Business' state income tax, sales and use tax, and state tax
credits claimed.
I understand that all information submitted to IDED related to this application is subject to Iowa's Open Record Law (Iowa Code,
Chapter 22 I have read the Notice to Applicants — Public Records section of this application and understand that the contents of this
application (other than those confidential sections specifically identified in the Notice to Applicants — Public Records section or other
confidential information approved in writing by IDED) is a public record and subject to public inspection and copying.
I understand this application is subject to final approval by IDED and the Project may not be initiated until final approval is secured.
(High Quality Job Creation Program applications may be submitted up to 12 months following the completion of the project.)
The Iowa Code requires applicants to include in this application a statement regarding the intended return on investment, and
recipients will be required to submit annually a statement on progress achieved. I understand that our required initial statement
consists of the following items which we are supplying in the application: number of jobs to be created or retained, average wage of
the created or retained jobs, industry code, capital investment to be made, projection of business taxes to be paid as a result of this
project, plus any narrative responses in this application regarding the expected benefits or other effects on the state and local
governments. I further understand that our annual progress statements will consist of reporting number of jobs actually created or
retained, average wage of the created or retained jobs, capital investment made to date, and any related narrative explanations.
I understand that IDED reserves the right to negotiate the financial assistance. Furthermore, I am aware that financial assistance is not
available until an agreement is executed within a reasonable time period following approval.
I hereby certify, under penalty of perjury, that all representations, warranties, or statements made or furnished to IDED in connection
with this application are true and correct in all material respect.
I understand that it is a criminal violation under Iowa law (see Iowa Code § 15A.3) 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 subdivision. I understand that IDED 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 any
material respect. If assistance has already been provided prior to discovery of the incorrect, false, or misleading representation, IDED
may initiate legal action to recover incentives and assistance awarded to the Business.
I HAVE READ AND AGREE TO THE ABOVE: X
I CERTIFY THAT I HAVE TYPED MY NAME IN THE BOX BELOW, WHICH WILL ACT AS MY ELECTRONIC
SIGNATURE, AND BY DOING SO I CERTIFY UNDER PENALTY OF PERJURY THAT I HAVE THE AUTHORITY TO
SUBMIT THIS INFORMATION AND THAT ALL OF THE ABOVE AND PRECEEDING STATEMENTS AND
ATTACHMENTS ARE TRUE, CORRECT AND ACCURATE.
Submitted By: John F. Biver
Submission Date: 11/30/2010
Signature:
Sponsor Release
Certification & Authorization to Release Information — Sponsor (City / County / EZ Commission)
On behalf of the Sponsor identified below and in connection with this application for financial assistance, I hereby represent that I
have the authority to act on behalf of the Sponsor, and represent that all necessary actions of its governing body in connection with
this application have been taken in support of Business's Project. I understand that all information submitted to IDED related to this
application is subject to Iowa's Open Record Law (Iowa Code, Chapter 22 I have read the Notice to Applicants — Public Records
section of this application and understand that the contents of this application (other than those confidential sections specifically
identified in the Notice to Applicants — Public Records section or other confidential information approved in writing by IDED) is a
public record and subject to public inspection and copying.
I understand this application is subject to final approval by IDED and the Project may not be initiated until final approval is secured.
(High Quality Job Creation Program applications may be submitted up to 12 months following the completion of the project.)
I understand that IDED reserves the right to negotiate the financial assistance. Furthermore, I am aware that financial assistance is not
available until an agreement is executed within a reasonable time period following approval.
I hereby certify, under penalty of perjury, that all representations, warranties, or statements made or furnished to IDED in connection
with this application are true and correct in all material respect. I understand that it is a criminal violation under Iowa law (see Iowa
Code § 15A.3) 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 subdivision.
I understand that IDED 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 any material respect. If assistance has already
been provided prior to discovery of the incorrect, false, or misleading representation, IDED may initiate legal action to recover
incentives and assistance awarded to the Business.
I HAVE READ AND AGREE TO THE ABOVE: Not selected
Individual Release
Certification & Authorization to Release Information — Individual with Significant (15% or more) Ownership Interest
In connection with this application for financial assistance, I do hereby authorize the Iowa Department of Economic Development
(IDED) to conduct credit checks which may include information regarding my credit worthiness, credit standing, character, general
reputation, credit capacity, contact my financial institutions, insurance carriers, procure a consumer report and /or investigative
consumer report and perform other related activities necessary for reasonable evaluation of this application. These activities may
include, but are not limited to, securing reports such as credit reports, criminal records checks, civil records, any court records,
insurance records and any other records necessary in connection with this application.
I authorize all persons, public or private companies, law enforcement agencies, government entities to release such information
without restriction or qualification to IDED, and I release them from any liability as a result of such inquiries and disclosures. I also
hereby authorize the Iowa Department of Revenue to provide to IDED state tax information pertinent to my tax information.
I hereby certify, under penalty of perjury, that all representations, warranties, or statements I have made or furnished to IDED in
connection with this application are true and correct in all material respect. I understand that it is a criminal violation under Iowa law
(see Iowa Code § 15A.3) 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 subdivision.
I HAVE READ AND AGREE TO THE ABOVE: X
For the Individual
I CERTIFY THAT I HAVE TYPED MY NAME IN THE BOX BELOW, WHICH WILL ACT AS MY ELECTRONIC
SIGNATURE, AND BY DOING SO I CERTIFY UNDER PENALTY OF PERJURY THAT I HAVE THE AUTHORITY TO
SUBMIT THIS INFORMATION AND THAT ALL OF THE ABOVE AND PRECEEDING STATEMENTS AND
ATTACHMENTS ARE TRUE, CORRECT AND ACCURATE.
Submitted By: John F. Biver
Submission Date: 11/30/2010
Signature:
1. Project Location
Address: 40 Main Street
Address 2:
City: Dubuque
County: Dubuque
State: Iowa
Mail Code: 52001
2. Type of Business Project
Project Information
State /Province
Country
Description
New Hampshire
United States
We are just beginning our investigation with the State of
New Hampshire now.
Califomia
United States
We are just beginning our investigation with the State of
California now.
Iowa Company - Expansion
3. Please identify the management at the project location and his /her /their experience
No Documents Uploaded
4. Has any part of the project started?
5. Does the Project involve newly constructed buildings and structures?
6. Is the Business actively considering locations outside of Iowa?
- Financing Gap
No
No
Yes
7. There are three general justifiable reasons for assistance. Select the reason why assistance is needed to complete this
project
Financing Gap The Business can only raise a portion of the debt and equity necessary to complete the
project. A gap between sources and uses exists and state and/or funds are needed to fill the
gap.
Rate Of Return Gap The Business can raise sufficient debt and equity to complete the project, but the returns are
inadequate to motivate an "economic person" to proceed with the project. Project risks
outweigh the rewards.
Locational Disadvantage The Business is deciding between a site A in Iowa and a site B in another state for its
(Incentive) project. The Business argues that the project will cost less at site B and will require a
subsidy to equalize costs in order to locate at site A. The objective here is to quantify the
cost differential between site A and site B.
What measures were analyzed to determine the amount and form of assistance needed?
We are not currently in a position to bear the upfront costs of growing our employment base. However, after two years,
when the new employees are ramped to full productivity we will be poised for additional growth. Without assistance we
will be forced to remain stagnant.
As we said above, it is difficult to attract the employees we need to Iowa. The building that we would like to move into
has great potential. Once properly equipped, it will be conducive to attracting the entrepreneurial people that we need.
Again, we need assistance with the upfront costs.
Here's how we arrived at the requested amount:
- $7K each for 15 jobs ($105,000) will help pay for computer hardware, computer software, furniture, fixtures and training
Enterprise Zone Benefits:
- 5% Sales tax rebate ($7,750) helps to cover the costs of those items on which the sales tax is paid (computer hardware,
software, furniture and fixture)
- 10% of $1,780,000 ($178,000) 10 -year rent payments will help pay to properly equip and maintain the building
8. What is the total amount of state assistance that is being requested based on the above - identified need?
$153,300.00
AMOUNT BUDGETED
Use of Funds
Cost
IDED
Other
State(Comm
College, DOT,
etc)
Local
Government
Business
Other Private
Sources
Other
Land
Acquisition
$35,000.00
$35,000.00
Local Optin Sales Tax
Site
Preparation
Building
Acquisition
Building
Construction
Local Business Taxes
Year 1
Year 2
Year 3
Year 4
Year 5
Local Real Estate Property Tax
$35,000.00
$35,000.00
$35,000.00
$35,000.00
$35,000.00
Local Optin Sales Tax
State Business Taxes
Year 1
Year 2
Year 3
Year 4
Year 5
State Corporate Income Tax*
State Business Sales and Use Tax
Business Tax Information
IDED is required to calculate the return on state and local govemment investments in this project. Data from other parts of the
application will be combined with the estimates requested below to calculate the required return on investment information.
Instructions
IDED is asking for a best estimate on the increase in taxes associated with this project.
Estimates should only include the expected increase in tax liability resulting from this project
At minimum, IDED needs estimates for the first three years of the project.
Show data as if no tax abatements or tax credits awarded for this project were taken.
For partnership forms of ownership (e.g. limited partnerships, s- corporations, LLC, etc.), please estimate the partners' increase
in Iowa tax liability due to this project.
Sales and use taxes refer to the taxes paid on materials, etc. that the Business purchases, not taxes you collect from sales to your
customers.
Applicants will not be held to these numbers with respect to any award from or contract with IDED.
The tax information provided in response to this question is treated as confidential and not subject to public disclosure
-- Confidential Tax Information
Increase in Tax Collections Associated with this Project
* Insurance Companies: Provide State Insurance Premium Tax.
Project Budget
Building
Remodeling
Source Of Funds
Amount
Forms of
Funds(Loan,
Grant, In -Kind
Donation, etc)
Rate
Term(Months)
Commitme
nt Status
Conditions / Additional
Information
Mfg.
Machinery &
Equip.
$153,300.00
Grant
0
Other State(Comm
College, DOT, etc)
Other
Machinery &
Equip.
Local Government
$200,000.00
Racking,
Shelving, etc
0
Committed
Tax Increment Financing
offered to the project to
reduce the lease payment of
the company.
Business
$514,700.00
Other
Computer
Hardware
$47,500.00
$22,500.00
We will finance our part
through operational cash
flow.
$25,000.00
Computer
Software
$47,500.00
$22,500.00
$25,000.00
Furniture &
Fixtures
$60,000.00
$45,000.00
$15,000.00
Working
Capital
Research &
Development.
Job Training
$30,000.00
$15,000.00
$15,000.00
Capital lease
$683,000.00
$48,300.00
$200,000.00
$434,700.00
Total
$868,000.00
$153,300.00
$200,000.00
$514,700.00
PROPOSED FINANCING
Source Of Funds
Amount
Forms of
Funds(Loan,
Grant, In -Kind
Donation, etc)
Rate
Term(Months)
Commitme
nt Status
Conditions / Additional
Information
IDED
$153,300.00
Grant
0
Other State(Comm
College, DOT, etc)
Local Government
$200,000.00
Grant
0
Committed
Tax Increment Financing
offered to the project to
reduce the lease payment of
the company.
Business
$514,700.00
Other
0
We will finance our part
through operational cash
flow.
Employee
Benefits Provided
by the Business
Total Annual Cost(show on a per
employee basis)
Portion of Total Annual Cost Paid
by the Business*
Plan Provisions(Include
deductibles, coinsurance %,
office visit co- payments,
annual out -of- pocket
maximums,face amounts, etc.)
Employee
Family
Employee
Family
Medical/Health
Insurance
$3,093.48
$6,695.88
$80.00
$50.00
$15 copay for office visits,
80 %/20% Co- insurance, $2500
single /$7000 family Calendar
year maximums, $15 co -pay
routine eye exams, $100 co -pay
for emergency room,
preventative services are paid in
full
Dental Insurance
Vision Insurance
Life Insurance
rate varies based on age &
election
Short Term
Disablilty (STD)
rate varies based on income
Long Term
Disablility (LTD)
rate varies based on income
Other Private Source
Other
Identify the collateral used to secure IDED funds:
- Any computer equipment, software, furniture and fixtures that we purchase for the new building and additional people
- Personal guarantee from John F. Biver
Does the Business plan to lease the facility?
Annual Base Rent Payment:
Length of the lease agreement:
Employee Benefits
Please identify all employee benefits provided by and paid for (in full or in part) by the Business.
Yes
$161,000.00
60 months
Does the Business...
Offer a pension plan, 401k plan, and /or retirement plan?
Year ending Average Actual Match per Employee ( %)
2010: 0
2009: 1
Yes
Job
Number of Jobs
Retained / Created
Wage
Professionals
3
Created
$24.21
Professionals
1
Created
$30.74
Sales Office or Clerical
11
Created
$23.39
2008: 1
Three -year .67
average:
Offer a profit- sharing plan?
List the jobs that will be retained and/or created as the result of this project
1. Project Jobs Summary
Total Number of Retained Jobs:
Total Number of Created Jobs:
Total Jobs:
Amount:
Corporation (include address):
From (include address):
Project Jobs
0
15
15
No
2. Will any of the current Iowa employees lose their jobs if this project does not proceed in Iowa? No
Irrevocable Letter of Credit
Corporate Guarantee Details
Personal Guarantee Details
Mortgage Information
1st position Estimated value:
2nd position Estimated value:
2nd position lien, subordinate only to senior lender Estimated value:
Description:
Property Description (address):
Other collateral
Other collateral negotiated (certificate of deposit assignment agreement)
Estimated Value:
Debt Subordination
Will IDED's financial assistance award be subordinate to any other lender?
Amount:
Amount:
No
Certification & Authorization to Release Information - Individual Guarantor As a proposed guarantor of this financial
assistance application, I do hereby authorize the Iowa Department of Economic Development (IDED) to conduct credit
checks which may include information regarding my credit worthiness, credit standing, character, general reputation, credit
capacity, contact my financial institutions, insurance carriers, procure a consumer report and/or investigative consumer
report and perform other related activities necessary for reasonable evaluation of this application. These activities may
include, but are not limited to, securing reports such as credit reports, criminal records checks, civil records, any court
records, insurance records and any other records necessary in connection with this application. I authorize all persons, public
or private companies, law enforcement agencies, govemment entities to release such information without restriction or
qualification to IDED, and I release them from any liability as a result of such inquiries and disclosures. I also hereby
authorize the Iowa Department of Revenue to provide to IDED state tax information pertinent to my tax information.
I hereby certify, under penalty of perjury, that all representations, warranties, or statements I have made or furnished to
IDED in connection with this application are true and correct in all material respect. I understand that it is a criminal
violation under Iowa law (see Iowa Code § 15A.3) 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 subdivision.
For Corporation (proposed guarantor): Name and Title 12/1/2010
Enterprise Zone Program (EZ)
Total Amount Requested:
1. Enterprise Zone Name: Dubuque Enterprise Zone 1
2. Enterprise Zone Number: 1
3. Size in Acres: 1,774
4. Date Certified: 11/15/2007
5. Please list any additional requirements adopted by the local Enterprise Zone Commission and how the Business will
meet each requirement.
None as of 11/30/2010
Attachments
Please attach the following documents
Al Business Plan
- marketing study
- feasibility study
- projected profit and loss statements for three years into the future
- project budget
- production operations
- management structure
- marketing study
- personnel needs
- descriptions of product or process
- status of product/process development
- patent status (if applicable)
No Documents upload
o
A2 Copies of the Business' Quarterly Iowa Employer's Contribution and Payroll Report Summary Page (Page 1) for the
past year and a copy of the most recent payroll report for one pay period.
The copy of the most recent payroll report for one pay period must be in Excel format and include the following information:
Company name, date of payroll and source of payroll information
Employee name and/or employee identification number
Current hourly wage - do not include bonuses or other benefit values
Indicate if the employee is full time (40 hours per week, 52 weeks per year)
No Documents Uploaded
A3 Affidavit that states the Business has not, within the last five years, violated state or federal statutes, rules, and
regulations, including environmental and worker safety regulations, or, if such violations have occurred, that there
were mitigating circumstances or such violations did not seriously affect public health or safety or the environment
No Documents Uploaded
A4 Financial Information (Existing Businesses Only)
Profit and loss statements and balance sheets for past three year -ends
- Current YTD profit and loss statement and balance sheet
- Schedule of aged accounts receivable
- Schedule of aged accounts payable
- Schedule of other debts
No Documents Uploaded
A5 Business Structure Chart
A6 Security Worksheet
A7 Confidentiality Request
A8 Confidential Documents, if any
No Documents Uploaded
I CERTIFY THAT I HAVE TYPED MY NAME IN THE BOX BELOW, WHICH WILL ACT AS MY
ELECTRONIC SIGNATURE, AND BY DOING SO I CERTIFY UNDER PENALTY OF PERJURY THAT I
HAVE THE AUTHORITY TO SUBMIT THIS INFORMATION AND THAT ALL OF THE ABOVE AND
PRECEEDING STATEMENTS AND ATTACHMENTS ARE TRUE, CORRECT AND ACCURATE.
Not Submitted