Grain mill starts $14.8M project
Heavy on rail development, Iowa Corn Processors expansion scheduled for May completion
July 31, 2013
State and local economic-development leaders gathered Tuesday for a ground-breaking ceremony for Iowa Corn Processors’ expansion at the facility west of Glidden. Pictured are (from left) Rick Hunsaker, executive director of Region 12 Council of Governments; Carroll County Supervisor Mark Beardmore; Debi Durham, director of the Iowa Economic Development Authority; Bob Giguere, president of Iowa Corn Processors; Ron Brandt, vice president of Farm Credit Services of America; and Michael Regier, project manager for ICP.
Iowa Corn Processors, a Glidden-area dry-grain miller with an aspirations to attract more major players in the food and beverage industry as clients, Tuesday held a ground-breaking ceremony for a $14.8 million expansion that is well under way.
"Iowa Corn Processors really is an important part of Iowa's landscape," said Debi Durham, director of the Iowa Economic Development Authority.
The project will include increased storage capacity of prime goods and co-products, an expansion of the rail spur from one line to three, a new rail loading facility, and research and development for new products, company president and co-owner Bob Giguere said.
ICP mills grain for, among other customers, the brewing, snack foods, frozen potato and cereal industries.
One of its larger customers is Anheuser-Busch Inbev, the world's biggest beer company. ICP ships 20 rail cars a month of corn grits into St. Louis, Mo., for use in Busch beers.
ICP purchases grain directly from farmers who are as local as possible, Giguere said.
The Glidden expansion will create two new jobs over the next three years and retain 28 high-quality jobs. The company's current annual payroll is more than $1.5 million.
"This is a great project for us, this company, and I believe the area," Giguere told a crowd of about 30 people gathered for the ground-breaking. ICP later hosted a lunch and program at the Lincoln Club in Glidden attended by local development leaders and state officials, including Durham.
With the expansion, ICP, established in 1997, will double its daily output with a capacity for more production. This will allow ICP to compete for more clients and maintain existing accounts in a dynamic marketplace, Giguere said.
The company will provide the lion's share of the financing through private arrangements.
State economic-development officials awarded $407,550 in income and state sales-tax benefits through the High Quality Jobs Program. Region 12 Development Corporation will provide $300,000 in low-interest loans.
The Carroll County Board of Supervisors approved $707,000 in local assistance, which is expected to come through a tax-increment-financing project, meaning the company will be able to use the additional tax revenues from the project for a period of time. Eventually, supervisors noted, the increase to the tax base will benefit all taxpayers in the county.
Carroll County Board of Supervisors Chairman Mark Beardmore said the project further positions the county as a leader in ag-business and manufacturing.
"This expansion will benefit all of us in Carroll County," Beardmore said.
Carroll Area Development Corporation and Region 12 Council of Governments aided the company in obtaining local and state financial assistance. An application is pending with the Iowa Department of Transportation that would provide direct financial assistance for expansion of rail access to the site.
Carroll Area Development Corporation executive director Jim Gossett described the project as a "significant expansion" for the county's business community.
"Iowa Corn Processors is a fantastic partner in economic development," Gossett said.
Project completion is scheduled for May 2014.
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