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Iowa took a decisive step toward the largest private investment in our state’s history.
This special session was called for one purpose: to make limited, targeted updates to the Major Economic Growth Attraction program so Iowa can land a $15 billion steel manufacturing plant in rural Lee County. Mesabi Metallics’ project is expected to produce about 10 million tons of steel a year by 2030, create 5,000 to 6,000 construction jobs, and support roughly 1,750 permanent, family-sustaining positions. It is the largest steel investment ever announced in the United States, and it is coming here.
HF 2801 allows the Iowa Economic Development Authority to authorize an investment tax credit of up to 10% of a qualifying investment for a single eligible business located in a rural county, paid evenly over 10 years. The credit is not a blank check. Incentives are tied to performance: facilities must be placed in service, and at least half of the qualifying jobs associated with the project — or a designated portion of it — must be on the payroll before credits are issued. The state’s ability to claw back credits if the company later sells, disposes of, or renders the project unusable has been extended to 10 years. Taxpayers are protected; results come first.
As a senator who represents rural Northwest Iowa, I know what sustained private investment means for communities that have too often watched opportunity leave. Higher wages attract workers, strengthen local businesses and give young families a reason to stay. What begins in Lee County will ripple across the state — through supply chains, construction trades, energy demand and the long-term tax base that funds our schools and local services.
Pro-growth policy is how we compete. We did not create a new program. We refined an existing one so Iowa could win the most consequential economic development opportunity we have ever seen.
This is the right decision for rural Iowa, for American manufacturing, and for the generations who will build their lives here.
Contact Senator Lynn Evans by email: lynn.evans@legis.iowa.gov
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