Gov. Reynolds, IEDA announce nearly $400 million in new manufacturing investment through BIG program

Today, the Iowa Economic Development Authority (IEDA) Board approved tax credits through the Business Incentives for Growth (BIG) program for five manufacturing companies, supporting the creation of 521 jobs and generating nearly $400 million in new capital investment for the state. The projects are located in Cedar Rapids, Charles City, Milford, Montezuma and Butler County.

Since the BIG program launched in January, the IEDA Board has approved awards for 16 manufacturing projects expected to support the creation of at least 1,170 jobs and drive nearly $775 million in new capital investment across Iowa.

"The BIG program is delivering exactly what it was designed to do - helping companies invest, expand and create high-quality jobs across the state," said Governor Kim Reynolds. "From pharmaceuticals and food production to aerospace materials and advanced manufacturing, these projects reflect the confidence companies have in Iowa's workforce, business climate and long-term economic momentum. Iowa continues to prove that when government and industry work together, we can compete and win."

Sub-Zero Group to expand Cedar Rapids manufacturing facility
Sub-Zero Group, Inc. manufactures premium refrigeration products and luxury kitchen appliances offered through its Sub-Zero and Wolf brands. The company plans to expand its Cedar Rapids facility with an approximately 225,000-square-foot building addition, enabling on-site refrigerator assembly and the integration of warehousing and injection molding operations. The $196 million capital investment is expected to create 312 jobs, of which 115 are incented at a qualifying wage of $30.41 per hour. The board awarded $9,813,850 in tax credits through the BIG program.

Charles City pharmaceutical company to expand facility
Cambrex Charles City, Inc., a subsidiary of Cambrex Corporation headquartered in New Jersey, manufactures active pharmaceutical ingredients (APIs) and pharmaceutical intermediates for both the generic and branded human pharmaceutical markets. The APIs are used in treatments for attention-deficit/hyperactivity disorder, smoking cessation, oncology, HIV, hepatitis and Crohn's disease, among other indications. The company plans to construct a new 7,700-square-foot facility, which is intended to increase production capacity by 40%. The project will represent a capital investment of $150 million and is expected to create 104 jobs incented at a qualifying wage of $24.76 per hour. The board awarded $10,132,500 in tax credits through the BIG program.

Rosenboom Machine & Tool to expand operations with new facility in Milford
Rosenboom Machine & Tool, Inc. is an Iowa-based advanced manufacturer of engineered hydraulic cylinders and precision-machined components serving original equipment manufacturers across construction, agriculture, military, energy, transportation and industrial markets. The company plans to acquire and build out a new facility in Milford, including building improvements and the relocation and installation of advanced machining equipment, material-handling systems and warehousing infrastructure. The $19.07 million capital investment is expected to create 78 jobs incented at a qualifying wage of $25.54 per hour. The board awarded $1,354,875 in tax credits through the BIG program.

Magna invests in new production lines in Montezuma
Dieomatic Incorporated plays a key role in Magna International Inc.'s footprint, supporting the company's broader structural-component manufacturing capabilities. The division specializes in advanced metal-formed and welded structural components for the automotive industry. The company will reconfigure its Montezuma facility to install new production lines supporting high-volume manufacturing of stamped and welded products. The $10.7 million capital investment is expected to create 27 jobs incented at a qualifying wage of $24.28 per hour. The board awarded $315,888 in tax credits through the BIG program.

Feldmeier Equipment to construct new manufacturing facility in Butler County
Feldmeier Equipment Inc. manufactures ASME Code-stamped pressure vessels serving industries including pharmaceutical, food, dairy, beverage and cosmetics. The company plans to construct a new 70,000-square-foot manufacturing facility in Butler County, expanding production capacity by more than 20,000 square feet and investing in advanced fabrication and assembly equipment. The $20.8 million capital investment will support increased productivity and future growth. The board awarded $688,670 in tax credits through the BIG program.