DUBUQUE, Iowa–Two credit unions have been approved by local government authorities for tax incentives to expand their operations.
In Dubuque, members of the Iowa Economic Development Authority Development Authority have approved up to $750,000 in tax incentives to support a building project aimed at revitalizing a portion of the city’s downtown.
As CUToday.info reported here, Dupaco plans to undertake a $37.5 million renovation to the former Voices building located at the corner of East 10th and Jackson streets. The structure will serve as the credit union’s new operations center and provide space for additional tenants and community amenities.
Dupaco Chief Marketing Officer David Klavitter told the Dubuque Telegraph Herald the state approval means the credit union now can forge ahead with the project in which the credit union is aiming to occupy the top three floors of the structure by late 2020, although work on the building’s first two floors might not be complete at that time.
Dupaco has 150 operations employees and funding at both the city and state levels is contingent on the retention of these workers and the addition of 40 more by the end of February 2022. The new jobs must be retained through at least February 2024.
Half of these jobs are “incented,” meaning they must start at a wage of $19.04 per hour and increase to more than $22 per hour within the next three years, according to officials.
The building in the city’s Historic Millwork District is a 174,670 square-foot, five-story structure, which also has a basement, and was built in 1924.
PenFed Gets Additional Incentives
Separately, commissioners in Bexar County, Texas, have approved an incentive package worth up to $380,000 to Virginia-based Pentagon Federal Credit Union for a proposed $48-million regional finance center here.
The incentive package includes an economic development grant of more than $130,000 and a skills development grant of up to $250,000 based on PenFed creating 250 jobs that will pay at least $50,000 annually. Overall, as CUToday.info reported here, the facility is to host 570 new workers.
Bexar County Commissioners will vote on the final incentive package at a later date, after negotiations between county economic development officials and Pentagon FCU on the incentive package are completed.
Earlier, Pentagon FCU received a $2.5-million grant for the regional finance center from the State of Texas.