Kunkel & Associates - Urban Revitalization ApplicationCopyright 2014
City of Dubuque ITEM# 5.
ITEM TITLE: Kunkel & Associates - Urban Revitalization Application
SUMMARY: City Manager recommending approval of a resolution authorizing the
submission of a Business Financial Assistance Application by Kunkel &
Associates, Inc., to the Iowa Economic Development Authority.
SUGGESTED DISPOSITION:
RESOLUTION Authorizing the filing of an application for state business
financial assistance on behalf of Kunkel & Associates, Inc.
Suggested Disposition: Receive and File; Adopt Resolution(s)
ATTACHMENTS:
Description Type
❑ Kunkel & Asociates IEDA Application -MVM Memo City Manager Memo
❑ Staff Memo Staff Merro
❑ Kunkel Resolution Resolutions
❑ Kunkel IEDA Application Supporting Duca en
Masterpiece on the Mississippi
Dubuque
2007 • 2012 • 2013
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: State of Iowa Business Financial Assistance Application for Kunkel &
Associates, Inc.
DATE: October 1, 2014
Economic Development Director Maurice Jones recommends City Council approval of a
resolution authorizing the submission of a Business Financial Assistance Application by
Kunkel & Associates, Inc. to the Iowa Economic Development Authority.
The City of Dubuque local match for the project is proposed to be a 10 year partial tax
abatement program valued at approximately $209,000. Final approval of this
abatement will not occur until the City Council has reviewed and approved an Urban
Revitalization Plan for the property, and an application by the company for the
abatement.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Mic ae
IT
l C. Van Milligen
MCVM:jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Teri Goodmann, Assistant City Manager
Maurice Jones, Economic Development Director
Masterpiece on the Mississ
PPi
2007 • 2 12 • 2013
Economic Development Department
50 West 13th Street
Dubuque, Iowa 52001-4864
Office (563) 589-4393
TTY (563) 690-6678
http://www.cityofdubuque.org
TO: Michael Van Milligen, City Manager
FROM: Maurice Jones Economic Development Director
SUBJECT: State of Iowa Business Financial Assistance Application for
Kunkel & Associates, Inc.
DATE: September 29, 2014
Introduction
This memorandum presents for City Council review and approval a resolution
authorizing the submission of a Business Financial Assistance application by Kunkel &
Associates, Inc. (commercial insurance brokerage and consulting firm), to the Iowa
Economic Development Authority (IEDA).
Background
Kunkel & Associates, Inc. (commercial insurance brokerage and consulting firm), is
located in the Dubuque Technology Park. In March 2006, Kunkel & Associates, Inc.
relocated from Mineral Point Wisconsin to Dubuque. The company built a new facility in
the Dubuque Technology Park and in three (3) years created and retained twenty- four
(24) full-time jobs. Current employment is forty-six (46).
The company is proposing a ten thousand square foot (10,000) expansion to its current
building. The Company plans to create eighteen (18) full time jobs within three years.
Discussion
The company is eligible for an investment tax credit up to $128,000, and a sales and
use tax rebate of up to $63,000 for the construction of the new facility. The company is
also requesting direct financial assistance of $128,000 from the IEDA. The incentives
are offered through the State's High Quality Jobs Program. The local match for the
project is proposed to be a 10 -year partial tax abatement program valued at
approximately $209,000. Final approval of this abatement will not occur until the City
Council has reviewed and approved an Urban Revitalization Plan for the property, and
an application by the company for the abatement.
Service People Integrity Responsibility Innovation Teamwork
RECOMMENDATION/ACTION STEP
I recommend that the City Council approve the resolution authorizing the submission of
Iowa Business Financial Assistance Application on behalf of Kunkel & Associates, Inc.
Service People Integrity Responsibility Innovation Teamwork
RESOLUTION NO. 320-14
AUTHORIZING THE FILING OF AN APPLICATION FOR STATE BUSINESS FINANCIAL
ASSISTANCE ON BEHALF OF KUNKEL & ASSOCIATES, INC.
Whereas, Kunkel & Associates, Inc. is the owner of Lot 6 Block 2 in Dubuque
Technology Park where Kunkel Bounds & Associates, Inc. constructed its facility and
operates its business; and
Whereas, Kunkel & Associates, Inc. has proposed making an additional $2,245,000
investment in its property in Dubuque Technology Park (the Project); and
Whereas, the City Council of Dubuque, Iowa has considered the Project and has
determined that the Project will contribute to the local economy in Dubuque County through
the creation and retention of eighteen jobs; and
Whereas, financial assistance from the Iowa Economic Development Authority is
designed to assist in the economic development efforts of local jurisdictions; and
Whereas, the City of Dubuque, Iowa must provide local sponsorship on behalf of
Kunkel & Associates, Inc. for its Business Financial Assistance Application with the Iowa
Economic Development Authority.
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 Economic
Development Authority's Financial Assistance Program on behalf of Kunkel & Associates,
Inc., a copy of which is attached hereto, is hereby approved.
Section 2. That a ten year partial tax abatement financing local match identified in
the Application may be provided to Kunkel & Associates, Inc., subject to further action by
the City Council.
Section 3. That the Mayor is hereby authorized to execute and the City Manager is
hereby directed to submit the Application to the Iowa Economic Development Authority
together with such other documents as may be required.
Passed, approved, and adopted this 6th day of October, 014.
Roy D uol, Mayor
Debi V. Durham, Director
Iowa Economic Development Authority
Business Financial Assis ance Application
Business Finance - Business Development Division
Iowa Economic Development Authority
200 East Grand Avenue
Des Moines, Iowa 50309-1819
www, iowaeconomicdevelopment.com
Telephone: 515.725.3134 Email: businessfinance •iowa.+ov
Application Instructions
To Complete Electronic form; Click on TEXT BOX to add text. Double click on YES/NO boxes and select "Checked",
1. All applicants must complete the Business Financial Assistance Application and attach only those
additional sections for the components to which the applicant is applying.
STATE of IOWA — Financial Assistance Program
High Quality Jobs Program (HQJP)
Tax Credits
® Direct Financial Assistance
2. Before filling out this application form, please read all applicable sections of the Iowa Code and Iowa
Administrative Code (rules). www.legis.state.ia.usllowaLaw.html
3. Only typed or computer-generated applications will be accepted and reviewed. Any material change to
the format, questions, or wording of questions presented in this application will render the application
invalid and it will not be accepted.
4. Complete the applicable sections of the application fully. If questions are left unanswered or required
attachments are not submitted, an explanation must be included.
5. Use clear and concise language. Attachments should only be used when requested or as supporting
documentation.
6. Any inaccurate information of a significant nature may disqualify the application from consideration.
7. The following must be submitted to Business Finance at IEDA in order to initiate the review process:
• One original, signed application form and all required attachments
• One electronic copy of the application form and all required attachments
Facsimile copies will not be accepted.
Applications must be submitted to IEDA Business Finance before 4:OOpm on the fourth Monday of the month.
Applications will be reviewed by the IEDA Board on the third Friday of the following month.
v.08.06.2014
Public Records Policies
During the application process, the information submitted by you to IEDA is exempt from disclosure under
the "industrial prospects" exemption found in Section 22.7(8). However, once you receive an award, the
industrial prospects exemption no longer applies and all documents submitted and generated during the
application and negotiation process become public records under Iowa's Open Records Law (Iowa Code,
Chapter 22), unless
1) The information belongs to one of the classes of records automatically treated as confidential; or
2) You have applied for and received written notice that your information will be treated as confidential.
Automatically Confidential Records
IEDA automatically treats the following records as confidential and will withhold them from public inspection
even without a request for confidential treatment:
• Tax Records and Tax Liability Information
• Quarterly Iowa Employer's Contribution and Payroll Report prepared for the Iowa Workforce
Development Department
• Payroll Registers
• Business Financial Statements and Projections (unless those statements are already publicly
available elsewhere, e.g., 10-K filings)
• Personal Financial Statements
Exemptions to the Open Records Law
If you wish to have additional information treated as confidential, you must fill out the confidential treatment
request form. Under the Open Records Law, IEDA may lawfully treat certain information as confidential if
that information falls within an exemption to the Open Records Law. The following exemptions represent
records which may lawfully be treated as confidential under the Open Records law and which are most often
applicable to the information submitted to IEDA:
• Release of information would give an unfair advantage to competitors — Iowa Code Sec. 15.118
• Trade secrets — See Iowa Code section 22.7(3), see also Iowa Code Ch. 550
• Information on an industrial prospect with which the IEDA is currently negotiating — See Iowa Code
section 22.7(8)
• Communications not required by law, rule or regulation made to IEDA by persons outside the
government to the extent that IEDA could reasonably believe that those persons would be
discouraged from making them to IEDA if they were made available for general public
examination — Iowa Code section 22.7(18)
Non -Confidential Information
Information that is submitted to IEDA as part of the application process or that is contained in a contract for
program benefits is generally considered material to the eligibility requirements of the program or to the
amount of incentives or assistance to be provided. Such information is generally not given confidential
treatment. Such information includes but is not limited to, the number and type of jobs incented, the wage
levels for the incented jobs, your company's employee benefit information, and your project budget.
Additional Information Available. Copies of Iowa's Open Record law and IEDA's administrative rules
relating to public records are available from the IEDA upon request.
IEDA— Business Financial Assistance Application
2 v.08.06.2014
SECTION A
Applicant Information Date Application Submitted: 9/22/14
1. Name of Business: Kunkel & Associates, Inc,
2. Entity Name (for contracting purposes): Kunkel & Associates, Inc.
3. Address: 401 Data Court
4. City, State & Zip Code: Dubuque, IA 52003
Contact Person: Jason Knockel Title: CEO
Phone: 563-585-2314 Fax: 563-557-7316 Email: jason.knockel@kunkel-inc.com
5. FEIN: 68-0558586
6. NAICS Code for primary business operations: 524210
7. US DOT Number: N/A
8, Does the Business file a consolidated tax return under a different tax ID number?
❑ Yes (If yes, please also provide that tax ID number) IZI No
a. Is the contact person listed above authorized to obligate the Business?
® Yes ❑No If no, please provide the name and title of a company officer authorized to
obligate the Business:
9. If the application was prepared by someone other than the contact person listed above, please
complete the following:
Name of Business: N/A
Address:
City, State & Zip Code:
Contact Person: Title:
Phone: Fax: Email:
Sponsor Information (A sponsor organization is a city or county)
10. Sponsor Organization: City of Dubuque
Official Contact: Roy Buol Title: Mayor
11. Address: 50 West 13th Street
12. City, State & Zip Code: Dubuque, IA 52001
Phone: 563-564-5455 Fax: 563-589-0890
Email: rdbuol@cityofdubuque,org
13. If IEDA needs to contact the sponsor organization with questions, should we contact the person
listed above?
Yes ❑ No, please contact the following person:
Name: Maurice Jones Title: Economic Development Director
Address: 50 West 13th Street
City, State & Zip Code: Dubuque, IA 52001
Phone: 563-589-4393 Fax: 563-589-0890 Email: mjones@cityofdubuque.org
If necessary, please list information on additional sponsors in an attachment.
IEDA — Business Financial Assistance Application 3 v.08.06.2014
SECTION B
Business Information
1. Provide a brief description and history of the Business. Include information about the Business'
products or services and its markets and/or customers.
See attached.
2. Business Structure:
O Cooperative 0 Corporation ❑ Limited Liability Company
O Partnership // S -Corporation 0 Sole Proprietorship
3. State of Incorporation: Wisconsin
4. Identify the Business' owners and percent ownership: Kim Kunkel and 100% ownership
5. Does a woman, minority, or person with a disability own the Business? ® Yes 0 No
6. List the Business' Iowa locations and the most current number of employees at each location. 401 Data Court,
Dubuque, IA 52003 with 46 employees (45 full time and 1 part time). 3220 Syene Road, Suite 102, Madison, WI
53713 with 3 full time employees.
7. What is the Business' worldwide employment? (Please include employees of parent company, subsidiaries, and
other affiliated entities in this figure.) 49 employees.
Project Information
8. Project Street Address: 401 Data Court
Project City & Zip Code: Dubuque, IA 52003 Project County: Dubuque
9. Type of Business Project:
O Startup
ED Expansion of Iowa Company 0 New Location in Iowa
10. Does the project site qualify as a "Brownfield" or "Grayfield" site? ❑ Yes ® No
If yes, please explain and document as Attachment A6.
11. 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.)
Kunkel & Associates is considering a building expansion at 401 Data Court, Dubuque, IA 52003. We would like to
add an additional 10,000 square feet to our building with construction starting in the spring of 2015. We would be
adding sixteen high paying jobs in the first three years. Company is seeking direct financial assistance, tax credits
and sales tax refunds from the State of Iowa; tax abatement from the City of Dubuque and job training assistance
from NICC.
12.
Project Timeline (add additional rows as needed)
Beginning Activity Date
Activity Completion Date
10,000 Sq. foot expansion of current building
3/1/15
5/1/16
Employment of 16 persons
10/17/14
10/31/17
13. Has any part of the project started*?
If yes, please explain.
❑Yes ®No
* For IEDA's purposes, starting the project includes: the start of construction or rehabilitation, the purchase of a building, the execution of a lease, or
the installation of equipment to be used in the project.
14. Identify the Business' competitors. If any of these competitors have lowa locations, please explain the nature of
the competition (e.g. competitive business segment, estimated market share, etc.) and explain what impact the
proposed project may have on the Iowa competitor. Other Commercial Insurance Brokers in Dubuque, IA- Tricor
Insurance, Friedman Group, Cottingham & Butler and Ludovissy Insurance. We feel that there would be very
minimal impact on these competitors.
IEDA — Business Financial Assistance Application
4 v.08.06.2014
1
15. Will any of the current Iowa employees lose their jobs if this project does not proceed?
El Yes ® No
If yes, please explain why and identify those jobs as "retained jobs" in the Project Jobs Section E.
16. Is the Business actively considering locations outside of Iowa? ❑ Yes El No
If yes, where and what assistance is being offered?
17. Please identify the company project management for the project location and experience.
Kim Kunkel- President
Kim is the current President of Kunkel & Associates. Kim's vision for the company emphasizes continued growth
through a combination of relationship development with clients and partners while promoting employee growth. As
company President, Kim contributes an extensive background in business administration from operating her own
business within the toy industry for over seven years.
Kim's involvement in the community is largely based on volunteer work with different groups including St. Joseph
the Worker and St. Patrick's Parishes, Wahlert High School, and the Visiting Nurses Association.
Kim acquired a Licensed Instructor degree, with top honors across the state of Iowa, and assumed the position of
Admissions Director for a local business. She also taught continuing education courses for several years within the
same organization.
Jason Knockel- CEO
Jason joined Kunkel & Associates in 2006 and was appointed company CEO in 2013. As CEO, Jason's vision is
characterized by strong emphasis in continuity of Kunkel & Associates areas of excellence such as personalized
client service and relationship management. Jason's focus entails incorporating innovative services that allow
clients and insurance companies to come together and work within a realm of fields including property & casualty,
employee benefits, claims management, and safety & loss control.
Jason obtained a Bachelor of Arts degree in Business Administration and a minor in Economics. He also acquired
designations as a Certified Insurance Counselor (CIC), Accredited Advisor in Insurance (AAI), and Certified Risk
Manager (CRM).
Currently, Jason serves on the Advisory Council for Integrity Insurance Company,
SECTION C
Applicant's Project Budget
1. Does the Business plan to lease the facility? ❑ Yes [Si No
If yes, please provide the Annual Base Rent Payment (lease payment minus property taxes, insurance, and
operating/maintenance expenses) for three years in the budget below, and only major renovation costs your
company expects to incur. Administrative rules require that the lease be in place for a minimum of five years.
Use of Funds
Source A
Source B
Source C
Source D
Source E
Source F
Base Rent (3 years)
Tenant improvements
Land Acquisition
Site Preparation
Building Acquisition
Building Construction
$128,000
$1,872,000
Building Remodeling
$100,000
Mfg. Machinery & Equip.
Other Machinery & Equip.
Racking, Shelving, etc.'
Computer Hardware
$=;
$100,000
Computer Software
$50,000
Furniture & Fixtures
$200,000
1EDA — Business Financial Assistance Application
v.08.06.2014
Working Capital
;',0::::,7,,,
Amount
Form of Funds
Rate and
Term
Commitment
Status
Conditions/Additional
Information
Add additional lines as needed
Research & Development
D
Source A: IEDA (see #4 below)
$128,000
1/2 forgivable/1/2
repayable
0%
0
Five year level term
Other
$0
Personal guarantee
■
NICC Estimate
Source C: Business
$2,322,000
.> .. , _ ... . ..
45O,O,K.O
$jZ8,M ? .
..; .,s
732ZOO
$0
2. Please complete the budget below. Include only costs the company plans to incur directly
1 Racking, shelving and conveyor equipment used in distribution center projects only
3. Please complete the chart below with proposed financing for the project (tax benefits should be reflected as indirect
financing under #5 below):
PROPOSED FINANCING
Source of Funds
Amount
Form of Funds
Rate and
Term
Commitment
Status
Conditions/Additional
Information
Add additional lines as needed
(Loan, Grant, In-
Kind, Donation, etc.)
Include when funds will be
disbursed; If loan, whether
payments are a level term,
balloon, etc
Source A: IEDA (see #4 below)
$128,000
1/2 forgivable/1/2
repayable
0%
0
Five year level term
Source B: Local Government
$0
Personal guarantee
■
NICC Estimate
Source C: Business
$2,322,000
Loan
TBD
Loan under
negotiation
Loan under negotiation
Source D: Other Source
$0
Source E: Other Source
$0
Source F: Other Source
$0
TOTAL
$2,460,000
{ Fr
4. Direct financial assistance (loans/forgivable loans) must be secured with acceptable collateral. Please
select the type of collateral your company will pledge to secure the IEDA financing, and document its value
in Attachment A5. *
No collateral, funding disbursed at the end of the 5 -year contract
0
Explain:
Description
Irrevocable letter of credit
®
Company will secure from lender
Dedicated certificate of deposit (CD)
■
Surety bond
■
Mortgage on real estate
0
Ten year partial tax exemption
Corporate guaranty
N/A
Personal guarantee
■
NICC Estimate
* The IEDA Board has the final discretion on what collateral will be accepted.
5, Please complete the chart below with tax credits and other indirect financing expected for the project:
TAX CREDITS AND INDIRECT FINANCING
Source of Funds
Amount
Description
Investment Tax Credit
$110,000
Sales, Service & Use Tax Refund
$63,000
Research Activities Credit (3%110%)
N/A
Local Property Tax Exemption
$209,000
Ten year partial tax exemption
Tax Increment Financing
N/A
260E Job Training Funds
$81,000
NICC Estimate
In-kind Contribution
N/A
Other (Forgivable Loan)
N/A
TOTAL
$463,000
6. There are three justifiable reasons for providing assistance. Check the box next to the reason why
assistance is needed to complete this project.
0 Financing Gap - A gap exists between the financing required and the financing on -hand and the provision of
tax incentives or assistance is necessary to fill the gap.
IEDA — Business Financial Assistance Application
6 v.08.06.2014
El Rate of Return Gap —The likely returns of the project are inadequate to motivate a company decision maker to
proceed with the project even if sufficient debt or equity can be raised to finance the project, and the project's risks
outweigh its rewards, making the provision of tax incentives or assistance necessary to reduce the project's risks.
Ej Location Disadvantage (Incentive) —The business is deciding between a site in Iowa ("Iowa site") and a site
in another state ("out-of-state site") for its project and the cost of completing the project at the out-of-state site is
demonstrably lower, making tax incentives or assistance necessary to equalize the cost differential between the
two sites. Note: The authority will attempt to quantify the cost differential between the sites.
7. Please provide a brief explanation of the need for assistance.
Kunkel & Associates is considering a 10,000 square foot expansion to their current building at 401 Data Court,
Dubuque, IA. We would like to begin construction in the spring of 2015 and add 15 high paying jobs over the
course of 3 years.
SECTION D
Employee Benefits
There are three options to meeting the sufficient benefit requirement. These options are detailed in the chart
below. Please complete questions 1-3. If your company meets Option 1 or 2 no additional information is
requi
1. How many full-time, permanent employees does your company currently employ within the State of Iowa? 45
2. What is the total premium cost for a standard medical plan for single employee coverage? $22.16 per pay period
a. What portion of this cost is paid by the business? 80%
b. What is the deductible associated with this plan? $800
3. What is the total premium cost for a standard medical plan for family coverage? $68 per pay period
a. What portion of this cost is paid by the business? 80%
b. What is the deductible associated with this plan? $2,400
No additional information required, in this section, if your company meets the requirement for Option 1 or Option 2
4. Does your company provide additional benefits to full time employees? ®Yes ❑No
If yes, please provide the annual amount offered by the business, per employee in the chart below:
Benefit
Option 1
Option 2
Option 3
80% single Coverage
50% Family coverage
Monetary Equivalent
Total Number of
Employees in
Iowa
Pay 80% of premium costs
for a standard medical plan,
single coverage.
Pay 50% of premium costs for
a standard medical plan,
family coverage.
Provide medical and pay the
monetary equivalent of Option
1 or Option 2 in supplemental
employee benefits.
Benefits Counted Toward
250+
$750 maximum deductible
$1,500 maximum deductible
50-249
$1250 maximum deductible
$2500 maximum deductible
Monetary Equivalent: Medical
0-50
$1750 maximum deductible
$3500 Maximum deductible
coverage, Dental coverage,
Vision insurance, Life
insurance, Pension, 401(k)
(company's Average
contribution, Short/long-term
disability insurance, Child care
services, Other nonwage
compensation
1. How many full-time, permanent employees does your company currently employ within the State of Iowa? 45
2. What is the total premium cost for a standard medical plan for single employee coverage? $22.16 per pay period
a. What portion of this cost is paid by the business? 80%
b. What is the deductible associated with this plan? $800
3. What is the total premium cost for a standard medical plan for family coverage? $68 per pay period
a. What portion of this cost is paid by the business? 80%
b. What is the deductible associated with this plan? $2,400
No additional information required, in this section, if your company meets the requirement for Option 1 or Option 2
4. Does your company provide additional benefits to full time employees? ®Yes ❑No
If yes, please provide the annual amount offered by the business, per employee in the chart below:
Benefit
Annual amount paid by the
business (per employee):
Dental Insurance — Single plan
$240
Dental Insurance- Employee Spouse
$492
Dental Insurance- Employee Child
$521
Dental Insurance — Family plan
$856
Pension (Use 3 -year average calculated below)
$0
IEDA — Business Financial Assistance Application
7 v.08.06.2014
Retirement Plan - i.e. 401(k) (Use 3 -year average calculated below)
$1,104
Profit Sharing Plan (Use 3 -year average calculated below)
$2,167
Childcare Services
$0
Life Insurance coverage
$12
Disability Insurance coverage
$250
Health Savings Account (HSA) contribution
$0
TOTAL
$5,642
5. Does the Business offer a pension plan, 401(k) plan, and/or retirement -plan? ® Yes 0 No
If yes, please indicate the amount contributed on a per employee basis by the Business to the plan for the last three
years. For 401(k) plans, please provide information on the company match and indicate the average annual match per
employ
Year Ending
Average Actual Match per
Employee ($)
2011
$1,036
2012
$1,054
2013
$1,221
Three-year Average:
$1,104
6. Does the Business offer a profit-sharing plan? 2 Yes 0 No
If yes, please indicate total amount paid out each year for the past three years and then, determine the average annual
bonus or contribution per employee for that three year period.
Year Ending
Average Actual Share per
Employee ($)
2011
$2,500
2012
$1,600
2013
$2,400
Three-year Average:
$2,167
Notes:
1. A qualified plan must be offered to all full-time permanent employees.
2. if you have multiple health insurance plans, please provide information on each plan.
IEDA — Business Financial Assistance Application 8 v.08.06.2014
SECTION E
Project Jobs
1. List the jobs that will be created and/or retained as the result of this project. (A retained job is an existing job that
would be eliminated or moved to another state if the project does not proceed in Iowa.) For jobs to be created,
include the starting and final hourly wage rate. For retained jobs, include the current hourly wage rate.
Full -Time CREATED Jobs
(Add additional rows as needed)
Job Title
Number of
CREATED Jobs
Starting
Hourly Wage
Wage at 36 months
following the award
Sales
6
$23.89
$27.71
Marketing
2
$23.89
$27.71
P&C Account Manager
6
$16.72
$20.06
Nursing
1
$23.89
$27.71
IT Specialist
1
$16,72
$20.06
Administrative Assistant
2
$14.50
$16.78
Total Full -Time CREATED Jobs
18
Full -Time RETAINED Jobs
(Add additional rows as needed)
Job Title (AT -RISK jobs only)
Number of
RETAINED
Jobs
Current Hourly
Wage
N/A
Total Full -Time RETAINED Jobs
2. Is the hourly wage rate based on a 40 hour work week, 52 weeks per year? r Yes 0 No
If no please explain:
IEDA — Business Financial Assistance Application 9 v.0806.2014
SECTION F
Business Taxes
IEDA is required to calculate the return on state and local government 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. Please read the following directions carefully:
• IEDA 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, IEDA 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 IEDA.
• This page of the application will automatically be treated as confidential.
Increase in Tax Collections Associated with this Project
State Business Taxes
Year 1
Year 2
Year 3
Year 4
Year 5
State Corporate Income Tax*
$25,000
$28,750
$33,063
$38,022
$43,725
State Business Sales and Use Tax
$90,000
$9,000
$0
$0
$0
* Insurance Companies: Provide State Insurance Premium Tax
Local Business Taxes
Year 1
Year 2
Year 3
Year 4
Year 5
Local Real Estate Property Tax
$50,000
$50,000
$50,000
$50,000
$50,000
Local Option Sales Tax
$10,000
$1,000
$0
$0
$0
CONFIDENTIAL
IEDA — Business Financial Assistance Application
10 v,08.06.2014
SECTION G
Attachments
Please attach the following documents:
Al Project Plan (See attached)
Please provide an executive summary for your project. This information should include, at a minimum,
expanded information about the company's products and services and any other project related information
that has not already been described in the application for financial assistance.
Please note, a traditional business plan, including an executive summary, market analysis, organization and
management structure, marketing and sales management, service and product line narrative, financial
projections, feasibility study and patent status, as well as any other relevant information, may be requested by
the Iowa Economic Development Authority to evaluate the feasibility of this project.
A2 Payroll Information (Confidential)
• Copies of the Business' Quarterly Iowa Employer's Contribution and Payroll Report for the past
year. This report should include the monthly employment totals.
• 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:
o Company name, date of payroll and source of payroll information
o Employee name and/or employee identification number
o Current hourly wage - do not include bonuses or other benefit values
o Indicate if the employee is full time (40 hours per week, 52 weeks per year) or part time.
o A sample Excel spreadsheet can be found at
htto://iowaeconomicdevelopment.com/BusinessDev/aoplication
A3 Affidavit that states the Business has not, within the last five years, violated state or federal statutes, rules,
and regulations, including environmental, worker safety regulations and antitrust laws, 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. A sample affidavit can be found at
http:✓/iowaeconomicdevelopment.com/Basi nessDevlapplication
A4 Financial Information (Confidential, unless already publicly available) (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; and
• Schedule of other debts.
A5 Collateral documentation (If requesting direct financial assistance only)
A6 Brownfield or Grayfield site documentation (if applicable)
!EDA -- Business Financial Assi
n
Application
11 v.08.06.2014
SECTION H
Certification & Release of Information
1. Are there any judgments or court actions completed or pending against the applicant entity, or any current or
prospective officer, principal, director, or owner? El Yes El No
2. Has any current or prospective officer, principal, director, or owner been accused or convicted of any wrongdoing or
crime, other than a simple misdemeanor'? ❑ Yes ® No
3. Have there been any current or past bankruptcies on the part of the applicant entity (or predecessor entities), or on
the part of any current (or prospective) officer, principal, owner or in any business dealings of current (or
prospective) officers, principals, or owners of the applicant entity? 0 Yes No
4. In the last five years have there been, or are there currently any investigations of potential violations of public
health, safety (including workplace safety) or environmental laws by the applicant entity, or any current or
prospective officer, principal, director, or owner? 0 Yes ® No
5. In the last five years have there been, or are there currently any violations of antitrust laws by the applicant entity,
or any current or prospective officer, principal, director, or owner? 0 Yes I:1 No
6. If yes to any of the above, please provide additional explanation:
I hereby give permission to the Iowa Economic Development Authority (IEDA) to research the Business' history, make credit checks,
contact the Business' financial institutions, insurance carriers, and perform other related activities necessary for reasonable
evaluation of this application. I also hereby authorize the Iowa Department of Revenue to provide to IEDA 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 IEDA related to this application is subject to Iowa's Open Record Law (Iowa Code,
Chapter 22), unless specifically marked as confidential section.
I understand that IEDA reserves the right to negotiate the financial assistance.
I understand this application is subject to final approval by IEDA and the Project may not be initiated until final approval is secured.
Furthermore, I am aware that funds will not be disbursed until a contract has been executed and the appropriate terms have been
met.
hereby certify that all representations, warranties, or statements made or furnished to IEDA in connection with this application are
true and correct in all material respect. 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 subdivision.
For the Business:
For the Sponsor(s):
Signature Date Signatur
_Jason Knockel, CEO Roy D. B u o l, M a yn r
Name and Title (typed or printed)
Name and Title (typed or printed)
IEDA 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, IEDA may initiate legal action
to recover incentives and assistance awarded to the Business.
IEDA — Business Financial Assistance Application
11 v.08.06,2014
Attachment A3
Affidavit
State of Iowa
County of Dubuque
I, Jason Knockel, depose and say that I have examined the following statement and have found it
to the best of my knowledge to be accurate and true.
Kunkel & Associates, Inc. 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.
I have submitted a report detailing the circumstances of all such violations to the Economic
Development Authority and such report represents a full and complete description of such
circumstances.
I hereby certify that the information presented to the Iowa Economic Development Authority on
October 2, 2014 is fully complete, true, and correct. 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 subdivision, as provided in Iowa Code section 15A.3 and other applicable law.
Furthermore, I understand that providing false, misleading, or fraudulent information to the Board
may result in civil and/or criminal liabilities and penalties against the Recipient and its
representatives.
I further depose that the signature below a own proper signature.
Dated: October 2, 2014
Subscribed and sworn to before me on
this day of Odd/kr-201V
` `k-3 t .1A4 L e-kNotary Public)
D 01 ci_U-AL County
My commission expires on ` /
c.;1";_,
7/18/12
DIANE EIDDICK
Cctnmisslan Number 754971)
Ni Y Comm, q-