The tax bill Governor Reynolds signed earlier this month also created a new state grant program for area manufacturers. Jill Lippincott of the Iowa Economic Development Authority says manufacturers with fewer than 75 employees will be able to apply for the Technology Investment grants.
Lippincott says the agency released a report in 2020 that found many of Iowa’s larger manufacturers have already begun using new technology to transform how work is performed and products are fabricated on the factory floor.
A few other states have started similar grant programs. Iowa’s initiative will award two levels of Technology Investment grants. One, for 25-thousand dollars, will help manufacturers cover the costs of purchasing software and other digital products. The other, for 50-thousand dollars, will help cover the costs of buy high-tech equipment and machinery. Companies can start applying for the grants in September, but they’ll have to undergo an assessment with the Center for Industrial Research and Service first.
These will be reimbursement grants, so the company must show the state invoices providing they’ve purchased the technology after getting the grant.