on Monday, October 19, 2015
Iowa Area Development Group is proud to have supported the application of four business expansion projects that have been awarded funds through the USDA Rural Economic Development Loan & Grant (REDL&G) program.
Central Iowa Power Cooperative (CIPCO) secured a $2 million loan to assist Co-Line Welding, Inc. with an expansion in rural Mahaska County, south of Sully. Co-Line Welding is a metal fabrication and manufacturing business supporting a wide variety of industries. Examples of their work include manufacturing ammunition magazines for the military; producing Goalsetter Systems, (basketball goal system); as well as stamping a variety of parts for the automotive and agricultural markets. Co-Line will be adding 120,000 sq. ft. to their facility and reconfiguring the manufacturing operations throughout the entire 300,000 sq. ft. production space. The multifaceted expansion project will maximize productivity and set the stage for future growth. New investment will also include a new paint booth shot blast system, multi-stage paint preparation and recycling system, new training center, facility upgrades, and technology improvements. This expansion will also allow for the addition of at least 15 new employees over the next three years. Pella Cooperative Electric Association provides power to Co-Line Welding.
Western Iowa Power Cooperative (WIPCO) is providing a $300,000 loan to assist Burgess Health Center (BHC) in opening a Medically Oriented Gym (MOG) in Onawa . The new facility will address chronic health issues that are prominent in the area, such as heart disease, stroke, diabetes, and arthritis. A MOG is different from a typical fitness center in that a member’s exercise plan is developed and supervised by physical therapy professionals, based on an initial fitness screen by a physical therapist. Every 90 days the member is re-evaluated and the exercise program is adjusted as needed. Nutritional consultations are also available. Coordination between the MOG and the member’s primary care provider regarding the member’s progress is ongoing. The Onawa MOG will be a 4,300 sq. ft. remodeled area within the main building of Burgess Health Center that is currently occupied by other groups. This space will be reconfigured to house the MOG, physical therapy, and cardiac rehabilitation. WIPCO received a $250,000 grant from the USDA REDL&G program to support the project. This, plus a $50,000 match from WIPCO will be loaned to BHC. Repayment of the $300,000 loan will go into a revolving loan fund and be available to support future projects. Onawa Municipal Utilities provides power to the Burgess Heath Center.
The City of Perry will construct a new sallyport (secure entrance) on the public safety building, and Minburn Communications will create a revolving loan fund resulting from a $300,000 grant secured through the REDL&G program. Minburn Communications applied to USDA with the help of IADG and Iowa Network Services (INS), which awarded a $30,000 Ripple Effect grant to the company. The proceeds of both grants and an additional $30,000 match from Minburn Communications make up the loan funding the project in Perry. Upon repayment of this loan, the telco will continue to operate the revolving loan fund to assist future projects.
North West Rural Electric Cooperative successfully secured a $300,000 grant from the USDA REDL&G program to support an extensive renovation and expansion project for Hawarden Regional Healthcare (HRH), located in Hawarden, IA. This project consists of approximately 20,000 sq. ft. of new construction, which includes centralized waiting, a new operating room, expanded emergency department, radiology, laboratory, clinic space, dining, and support areas. The renovation portion of the project consists of 12,900 sq. ft. of the existing facility and includes the renovation of medical surgical support, patient rooms, support offices, maintenance and circulation spaces. This will allow HRH to provide high-quality healthcare services in a modern facility with state-of-the-art equipment. The project is expected to create five new jobs and retain the hospital’s 66 full-time staff.
In addition to the $300,000 REDL&G funds, North West REC provided a $60,000 match to assist the project. Repayment of these funds will go into a revolving loan fund to support future community and business development projects in the area.