HomeMy WebLinkAboutIowa Economic Development-10/28/2013IOWA ECONOMIC DEVELOPMENT AUTHORITY
200 East Grand Avenue 1 Des Moines, Iowa 50309 USA 1 Phone: 515.725.3000
iowaeconomicdevelopmeni.com
September 26, 2013
John Rooff
Black Hawk Contracting and Development, Inc.
1509 Commercial Street
Waterloo, IA 50702
Re: Housing Enterprise Zone Program award: Agreement # 14-HEZ-018
Dear Mr. Rooff:
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1 am pleased to inform you of the approval of your application for Enterprise Zone Program (the "Program")benefits
for the 4 single family units you plan to construct in Black Hawk County, Waterloo EZ -8 enterprise zone.
As an approved housing business, Black Hawk Contracting and Development, Inc., is eligible to receive the following
benefits:
0 A refund of 100% of the sales, service and use taxes (the "Refund") paid for eligible costs during the construction
phase of the project. Please note that the Program only allows for the refund of state sales and use takes; local
option sales taxes are not included. Based on the information contained in your application, the estimated value of
this refund is $18,000.00. The final amount of the refund will be determined upon your actual expenses as
submitted to the Iowa Department of Revenue.
a An investment tax credit equal to 10% of the new investment* directly related to the housing project described in
your application (the "Tax Credit"). This Iowa tax credit may be carried forward for up to seven years or until
depleted. Based on the information contained in your application, the estimated value of this credit is $56,000.00.
The final,amount of the investment tax credit will be determined upon your actual expenses at project completion.
* The new investment used to compute the tax credit cannot exceed the new investment used for the first $140,000
of value for each unit. In addition, financing from federal, state, and local government tax credits, grants, and
forgivable loans cannot be included for purposes of calculating the investment tax credit.
This approval remains subject to the requirements of the Program as set forth in IAC Chapter 261.59.8(15E)
Eligible Housing Business. The receipt of the Refund and the Tax Credit is dependent upon satisfying all
requirements of the Program and may be changed or rescinded based upon subsequent changes to or
discontinuation of the Program.
In a few weeks, this office will send to the community contact a contract for you and the local governmental entity to
finalize the terms and conditions of your company's participation in the Enterprise Zone program. This contract must
be signed by authorized representatives from your company, the community, and IEDA in order for your company to
begin receiving Enterprise Zone benefits. If you should have any questions about the Enterprise Zone program,
please contact Jeremy Babcock at 515.725.3128.
Thank you for choosing the State of Iowa as the site for your company's housing development. We are looking
forward to working with you to help meet Iowa's housing needs.
Sincerely,
Deborah V. Durham
Director
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cc: Noel Anderson, City of WaterlocQ
State Senator William Dotzler
State Representative Deborah Berry
File
Governor Terry E. Branstad 1 Lt. Governor Kim Reynolds 1 Director Debi V. Durham