Governor Culver Announces New Investments In Iowa’s Economy

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Iowa tests unique technology education

May 21, 2009 -- DES MOINES – Iowa Governor Chet Culver announced today the Iowa Department of Economic Development has approved new funding to support statewide efforts to interest students in pursuing education for better paying jobs founded on science, technology, engineering and math. Other actions of the Economic Development Board provide new investments in companies for flood recovery, biofuels diversification, and software development.

“Not only is it my goal to bring new companies to Iowa, I believe we must support businesses that are already here, as they create and retain jobs,” said Governor Culver. “We can do this by making sure our workforce and business climate is ready for the future. That starts with education in cutting edge fields like biofuels and technology, and by strengthening businesses that were affected by the historic floods of 2008.”

Director Mike Tramontina of the Iowa Department of Economic Development said, “An essential part of our mission to make Iowa more competitive for higher paying jobs is helping our students become more aware the choices they have for careers.”

Iowa’s unique technology education project
A career awareness award of $240,000 was approved by the Economic Development Board for the Iowa Business Council to head a unique project to put donated Virtual Reality (VR) systems into up to seven high schools. Known as the Iowa Virtual Reality Education Pathfinder (I-VREP), the project builds on success at East Marshall high school (Le Grand) where a VR system donated by the Mayo clinic is being successfully used by students to create computer visualizations that explain science concepts and is getting students more interested in science and math. VR equipment has also been installed at Perry high school. Additional high school installations are planned for Boone, College Community (Cedar Rapids), Sigourney, Van Meter, and Waukee. The Iowa Business Council heads a partnership formed by private industry, Iowa Department of Education, Iowa Department of Economic Development, and the Virtual Reality Applications Center, Iowa State University to expand the concept and provide support and training.

Rebuilding Cedar Rapids industry
Acting on a request from the city of Cedar Rapids, the Economic Development Board awarded $435,000 (forgivable loan/loan) from the Community Economic Betterment Account (CEBA) for flood recovery costs at Diamond V Mills. The award retains 87 jobs at Diamond V, which suffered more than $6 million in facilities damage and production costs from the floods last June. Only $2 million of the flood damage was covered by insurance. Diamond V is the world’s leading supplier of fermented yeast products used to optimize animal nutrition and health

Diversifying in Mitchell County
Absolute Energy, LLC is considering a $2.4 million diversification at its Mitchell County ethanol plant. The Economic Development Board awarded the company $200,000 from the Value-Added Agricultural Products & Processes Financial Assistance Program (VAAPFAP) to add new equipment and storage to extract corn oil from the ethanol process. The corn oil would be sold to a regional biodiesel facility or as animal feed. Absolute Energy was also awarded tax credits from the High Quality Job Creation program for the plant modernization.

Ames technology nears market
WebFilings LLC, a software developer, was formed in August 2008 and opened offices in the Iowa State University Research Park. WebFilings expects to test a new product this year, followed by its release into the market. Continued development, launch and support activities are expected to create 20 jobs and retain 2 jobs. The Economic Development board awarded $250,000 from the Entrepreneurial Ventures Assistance (EVA) program to continue WebFilings’ progress in Ames.

Moving manufacturing to Iowa
A supply chain development award of $50,000 was approved by the Economic Development board that moves manufacturing to Iowa. Pure Fishing (PF) will move the source of plastic jars from China to Iowa for the Trout Dough products manufactured at the PF’s Spirit Lake plant. Plasticology Inc. in Hawarden will manufacture the jars, becoming the new domestic supplier, adding 3 jobs and increasing its production. The award recommended by a review committee of IDED’s Innovation & Commercialization Division will allow Pure Fishing to reallocate resources now involved in logistics support for overseas sourcing.

Wide reaching initiatives for workforce development
Additional awards for targeted industry career awareness, IT training, student internships and networking announced today include:

* $50,000 to the Technology Association of Iowa to expand the Hyperstream career awareness program to reach 5th to 7th grade students and parents.
* $28,000 to Iowa Central Community College to improve instruction about pharmaceutical and animal health industry careers in high schools and community colleges.
* IT Training Program awards totaling $20,086 to upgrade the skills of 46 Information Technology employees at companies in Cedar Falls, Clear Lake, Clive, Des Moines, Fairfield, Grinnell, and Urbandale.
* Internship Program awards totaling $93,200 to companies in 16 cities--Allerton, Ames, Boone, Cedar Rapids (2), Chariton, Des Moines, Dubuque, Iowa City, Monticello, Roland, Pella, Sioux Center, Waukee, Waverly, and West Des Moines--supporting internships for 32 college students pursuing careers in targeted industries.
* Networking awards of $3,936 to Iowa State University for a Research and Development reception in Davenport and $555 to the Entrepreneurial Development Center for a networking event in Hiawatha.

Small Business & Movie Production
Other pending applications at IDED to grow Iowa’s economy include:

Targeted Small Business (TSB) awards recommended by the Loan Review Committee from among women, minority or persons with disabilities owned businesses in Cedar Rapids, Des Moines (3), and West Des Moines.

Twenty-one applications for the Iowa Film, Television and Video Project Promotion Program covering feature length movies and commercial shoots at various Iowa locations.

Source: Iowa Governor