Economic Development Set-Aside (EDSA) (Iowa)

Last modified on February 12, 2015.

EZFeed Policy

Place	Iowa
Applies to States or Provinces	Iowa
Name	Economic Development Set-Aside (EDSA) (Iowa)
Policy Category	Financial Incentive
Policy Type	Industry Recruitment/Support
Affected Technologies	Biomass/Biogas, Coal with CCS, Concentrating Solar Power, Energy Storage, Fuel Cells, Geothermal Electric, Hydroelectric, Hydroelectric (Small), Natural Gas, Nuclear, Solar Photovoltaics, Wind energy
Active Policy	Yes
Implementing Sector	State/Province
Funding Source	Job Creation, Retention and Enhancement Fund
Program Administrator	Iowa Economic Development Authority
Primary Website	http://www.iowaeconomicdevelopment.com/CDBG/CDBGJob
Last Review	2014-07-11
Last Substantive Modification to Summary	2014-07-11
Information Source	https://www.legis.iowa.gov/law/administrativeRules/rules?agency=261&chapter=23&pubDate=03-06-2013

Summary

The Economic Development Set-Aside (EDSA) program provides financial assistance to those businesses and industries requiring such assistance in order to create new job opportunities. Assistance is provided to encourage new business start-ups, expansion of existing businesses, new capital investment, and/or the relocation of out-of-state businesses into Iowa. Assistance may be provided in the form of direct loans or forgivable loans.

Priority is given to projects that will create manufacturing jobs, add value to Iowa resources and/or increase exports out of state. Preference will be given to those businesses which will create or retain the greatest number of jobs with the least amount of program dollars. Refinancing or restructuring of existing loans and projects involving a single retail establishment will be considered low priorities. In order to receive funding, programs must be “necessary and appropriate” and only the minimum amount of EDSA funds necessary to meet this may be provided. The only three valid criteria to determine this need are: a financing gap, insufficient return on investment or location disadvantages.

The EDSA is funded by the Job Creation, Retention and Enhancement Fund, which assists businesses that are creating new jobs by providing a direct or forgivable loan or through infrastructure projects. It also provides industry driven training assistance designed to help the underemployed and working poor obtain the training and skills they need to move into available higher-skill, better-paying jobs. Assistance is provided to leverage private financing in business activities resulting in the creation or retention of jobs principally for low- and moderate-income persons. Although the program provides financial assistance to businesses, the application must come from a public “sponsor”. Iowa cities under 50,000 population (with the exception of Cedar Falls) and all counties are eligible to apply on behalf of business within their jurisdiction.

Policy Contact

Department	Iowa Economic Development Authority
Division	Job Creation, Retention and Enhancement Fund
Phone	515-725-3081
Email	cdbg@iowa.gov
Website	http://www.iowaeconomicdevelopment.com/CDBG/CDBGJob

Authorities (Please contact the if there are any file problems.)

Authority 1:	Economic Development Authority [261, Ch 23]
Date Effective	2013