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City of Knoxville Providing Support for 3M Expansion

Posted: Thursday, February 8th, 2018 at 5:00 am
Author: KNIA/KRLS News - Nathan Sage

The Knoxville City Council voted to approve support the the 3M expansion project Tuesday evening.

The support comes following the Iowa Economic Division Authority Board awarding $220,000 in direct financial assistance, as well as tax benefits from the High Quality Jobs program for the project. As part of the IEDA’s award a local match of 20% is required. Knoxville City Manager Aaron Adams tells KNIA/KRLS News the city will need to offer a tax abatement of up to 5 years as well as pay $44,000 which is the 20 percent match in funds. He says Tuesday’s approval from the city council was essentially a promise to pay the $44,000 as well as a promise to provide the tax abatement. 3M’s Knoxville location is planning to install additional manufacturing capacity to produce and convert tapes and adhesives. The scope includes a building addition, equipment procurement and installation.The $32 million expansion is expected to create 30 jobs and retain 21 jobs at a wage of approximately $20.76 per hour.