MASON CITY, Iowa – The City Council has unanimously approved a new development agreement with Golden Grain Energy.
The ethanol processor has begun a $23,000,000 expansion of its Mason City plant, something that is expected to create 10 new jobs. To help out the project, Mason City has now agreed to provide an annual property tax rebate of up to $2,000,000 on the Golden Grain expansion as long as the company creates 10 new jobs by the end of 2021 and maintains at least five of those new jobs through the length of the 10-year development agreement.
If the company does not meet its job commitment, the development agreement will be suspended and they will have to repay the city the most recent tax rebate.
The deal approved Monday night is similar to a previous 10-year development agreement between Mason City and Golden Grain. That deal ended in June and the city is now collecting 100% of the property taxes on Golden Grain’s Mason City plant, which has an estimated value of almost $19,000,000.