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Design Mill - IEDA Contract AmendmentEXHIBIT D — JOB OBLIGATIONS Revised 10/21/2016 Recipient: Design Mill, Inc. Community: City of Dubuque Contract Number: 13-DF/TC-056 This Project has been awarded benefits from the High Quality Jobs Program (HQJP) — Financial Assistance Component. The chart below outline the contractual job obligations related to this Project. Data in the "Employment Base" column has been verified by the Authority and reflects the employment characteristics of the facility receiving funding before this award was made. Jobs to be retained as a part of this Project must be included in these calculations. Data in the "Jobs To Be Created" column outlines the new full-time jobs (including their wage characteristics) that must be added to the employment base and, if applicable, statewide employment base as a result of this award. At the Project Completion Date and through the Maintenance Period Completion Date, the Business must achieve (at a minimum) the numbers found in the "Total Job Obligations" column. HQJP JOB OBLIGATIONS Project Completion Date: June 30, 2016 June 30, 2017 Employment Base Jobs To Be Created Total Job Obligations Maintenance Period Completion Date: Junc 30, 2018 June 30, 2019 Total employment at project location 0 16 16 Average wage of total employment at project location N/A Qualifying Laborshed Wage threshold requirement (per hr) $19.31 Number of jobs at or above qualifying wage 0 16 16 Average Wage of jobs at or above qualifying wage N/A Notes re: Qualifying_Wages I. Bonus or commission payments are not included when calculating the Qualifying Wage rate. 2. If the Recipient uses or proposes to use a non-standard work week (8 hours a day, 5 days a week, 52 weeks a year including holidays, vacation and other paid leave), check the box below and describe that alternative schedule. The alternative schedule must meet the requirements of 261 IAC 173.2.) By not checking the box and not providing the alternative schedule, IEDA will consider "Full-time Equivalent (FTE) Job" to mean the employment of one person for 8 hours per day for a 5-day, 40-hour workweek for 52 weeks per year, including paid holidays, vacations and other paid leave. 111 The Recipient shall use an alternative work week for purposes of its employees described in the Contract. The alternative work week is as follows: [description]. Copyright 2014 City of Dubuque Consent Items # 11. ITEM TITLE: Design Mill - IEDA Contract Amendment SUMMARY: City Manager recommending approval of a resolution authorizing an amendment to a contract with the Iowa Economic Development Authority (I EDA)for Iowa Values Fund Financial Assistance benefits on behalf of Design Mill, Inc. RESOLUTION Approving an Amendment to the Economic Development Financial Assistant Contract by and among Design Mill, Inc., the City of Dubuque, and the Iowa Department of Economic Development SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Adopt Resolution(s) ATTACHMENTS: Description Type Design Mill IEDA Contract Amendment-MVM Memo City Manager Memo Staff Memo Staff Memo 1st Amendment to Contract Supporting Documentation Resolution of Approval Resolutions THE CITY OF Dubuque DUB E i" Masterpiece on the Mississippi 2007.2012.2013 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Amendment to State of Iowa Direct Financial Assistance Contract for Design Mill, Inc. DATE: November 28, 2016 Economic Development Director Maurice Jones recommends City Council approval of a resolution authorizing an amendment to a contract with the Iowa Economic Development Authority for Iowa Values Fund Financial Assistance benefits on behalf of Design Mill, Inc. At the request of Design Mill, Inc., the State has agreed to extend the time period for job creation, which consequently also extends the maintenance period of those jobs. The project completion date has been extended from June 30, 2016 to June 30, 2017. The Maintenance Period Completion Date has been extended from June 30, 2018 to June 30, 2019. All other terms, provisions, and conditions of the contract remain unchanged. I concur with the recommendation and respectfully request Mayor and City Council approval. ZyL^1 Mic ael C. Van Milligen MCVM:jh Attachment cc: Crenna Brumwell, City Attorney Cindy Steinhauser, Assistant City Manager Teri Goodmann, Assistant City Manager Maurice Jones, Economic Development Director Dubuque Economic Development Department THE CITY OF 50 West 13th Street AII-AwftlitY Dubuque,Iowa 52001-4864 DUB3 &kE1 I Office(563)589-4393 TTY(563)690-6678 ® http://www.cityofdubuque.org Masterpiece on the Mississippi 200.2012.2013 TO: Michael Van Milligen, City Manager FROM: Maurice Jones, Economic Development Director SUBJECT: Amendment to State of Iowa Direct Financial Assistance Contract for Design Mill, Inc. DATE: November 23, 2016 INTRODUCTION This memorandum presents for City Council review and approval a resolution authorizing an amendment to a contract with the Iowa Economic Development Authority (IEDA) for Iowa Values Funds (IVF) Financial Assistance benefits on behalf of Design Mill, Inc. The original contract is attached. BACKGROUND Design Mill, Inc. (DMI) specializes in the development of software for use in the education industry, manufacturing industry as well as the Department of Defense. Design Mill is primarily a service organization developing custom apps for other organizations as well as software products for the retail market. Design Mill also delivers engineering services and quality inspection services to the Department of Defense and manufacturing companies. DMI's customers range from technical colleges (training development), education companies (app development), and manufacturers (CAD/Inspection). Regional customers include McGraw Hill, John Deere, Highland Community College, Dura Automotive and the Rock Island Arsenal. Design Mill focuses on developing content for mobile devices. DMI is currently located the Historic Millwork District and has committed to creating sixteen (16) new positions in Dubuque as part of its contract with IEDA. These jobs will meet the State's wage threshold of$19.31 per hour. DISCUSSION At the request of DMI, the State has agreed to extend the time period for job creation, which consequently also extends the maintenance period of those jobs. The project completion date has been extended from June 30, 2016 to June 30, 2017. The maintenance Period Completion Date has been extended from June 30, 2018 to June 30, 2019. All other terms, provision, and conditions of the contract remain unchanged. RECOMMENDATION/ ACTION STEP I recommend the City Council adopt the attached resolution, approving the financial assistance contract amendment between IEDA and Design Mill, Inc.. RESOLUTION NO. 407-16 APPROVING AN AMENDMENT TO THE ECONOMIC DEVELOPMENT FINANCIAL ASSISTANCE CONTRACT BY AND AMONG DESIGN MILL, INC., THE CITY OF DUBUQUE, AND THE IOWA DEPARTMENT OF ECONOMIC DEVELOPMENT Whereas, Design Mill, Inc. (Design Mill) and the City of Dubuque (City) entered into an Economic Development Financial Assistance Contract (the Contract) with the Iowa Economic Development Authority (IEDA) for the expansion of Design Mill, Inc.'s (DMI) operations in Dubuque, Iowa; and Whereas, DMI has requested an extension of the Project Completion Date in the Contract from June 30, 2016 to June 30, 2017; and Whereas, the IEDA Board approved an extension of the Project Completion Date to June 30, 2017; and Whereas, the parties now desire to amend the Contract as set forth in the attached Contract Amendment. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. The Contract Amendment is hereby approved. Section 2. The Mayor is hereby authorized and directed to execute and the City Manager is hereby directed to submit the Contract Amendment to the Iowa Economic Development Authority together with such other documents as may be required. Passed, approved, and adopted this 5th day of December, f 016. Attest: Kevi S.Firnstafil,ity Clerk Roy D. Buol, Mayor CONTRACT AMENDMENT RECIPIENT: Design Mill Inc. MASTER CONTRACT #: 13-DF/TC-056 AMENDMENT #: 1 EFFECTIVE DATE: October 21, 2016 THIS CONTRACT AMENDMENT is made by and among the IOWA ECONOMIC DEVELOPMENT AUTHORITY, (hereafter "IEDA"), 200 East Grand Avenue, Des Moines, Iowa 50309, an agency of the State of Iowa, Design Mill Inc. ("Recipient"), 115 N. Main Street, Elizabeth, IL 61028, and City of Dubuque ("Community"), 50 West 131h Street, Dubuque, IA 52001. WHEREAS, Recipient, has requested that the Project Completion Date be extended. WHEREAS, the IEDA BOARD approved an extension, effective as of the Effective Date stated above, and NOW, THEREFORE, the Contract referenced above is amended as follows: 1. REVISION OF EXHIBIT D; "JOB OBLIGATIONS." Exhibit D is amended to revise the Project Completion Date. Details of this change are reflected in the attached Revised Exhibit D which is hereby incorporated by this reference and made a part of this Contract Amendment. FOR RECIPIENT: fi4/4 7114, FOR 6A-1 SIGNATURE Debor h V. Durh Director A-T-4 A A) L. (Pa .es , .&:41 ;— PRINT/TYPE NAME, TITLE L.., Roy D. Buol, Mayor PRINT/TYPE NAME, TITLE