MASON CITY – The CEO of a Mason City business that recently completed its move out of the cultural crescent and moved to the west side of town is ready for the City to disperse a forgivable loan to his company, totaling tens of thousands of taxpayer dollars.
In an email to City staff in early August, Steve Doerfler, CEO of Metalcraft, told City officials that his company has completed its move from the downtown area of Mason City to 3360 9th Street SW. The completion of the move triggers a forgivable loan payment of $154,000 to Metalcraft. “Issue the $154,000 loan to us,” Mr. Doerfler told City staff, in August.
Weeks later, City staff seem to have completed the required inspection of the property at 3360 9th Street SW and the Mason City Council will vote Tuesday evening at its regular meeting to issue a Certificate of Completion to Metalcraft.
Once the Certificate of Completion is approved by the council, Metalcraft will receive $154,000 in City funds that will be forgiven at a rate of $19,250 per year for 8 years.
The forgivable loan is only a part of a package from City taxpayers to Metalcraft that will likely total nearly $825,000, simply for maintaining their workforce of 81 persons. Metalcraft will receive a 100% property tax rebate for seven years – thus paying no taxes at all – worth $577,500. Metalcraft will also receive up to $2,500.00 for each new employee it hires. According to a City Hall memo, “Job creation incentive cost will not be known until the 5-year anniversary date.”
In 2008, Metalcraft also received a “revolving loan” of $250,000 from the North Iowa Corridor which is supported by taxpayer dollars. An email to Corridor Director Brent Willett from NIT asking if the loan was ever repaid was ignored.
Metalcraft tried approuching NIACC’s EMST program last year hoping to land one of our 2nd year students. Their offer was 30K a year compaired to the 50K everybody else was paying for the same type of work. Guess what none of us took the 12 dollar an our job and this is on their upper pay scale.
Ok, which one of you shot Jr? You seem to shoot down everything in this town so why not step up and tell us that you shot Jr too.
@Hacker-you just keep on defending this bunch of elitist They do nothing but play favorites. If you happen to live next door to them or drink with them at the country club you can count of free money from the taxpayers. It is absolute bull that we subsidize company’s so they can make more profit. If they want to expand their business they should pay for it themselves. It is nothing but blackmail.
It’s pathetic Mason City has to pay companies to stay within the city or move to the city. I’m fairly certain if Metalcraft wanted to truly expand-they would have regardless if the city of Mason City gave them the funds to do so. And again-to another very low paying company.
Metalcraft’s old location was never in the cultural crescent.
True. Cultural Crescent is bounded West by S Pennsylvania, North by 1st St NE and Willow Creek, South-East by Willow Creek and E State and East By S Virginia/East Park.
The truth is, no one in Mason City outside of bookee even knows what the cultural crescent is. I have a feeling Matt puts Cultural Crescent in his stories as a joke and snickers about it every time he types the words, but what do I know. Cultural Crescent is another make-believe realm dreamed up after eric had one too many at the Candy Bar or the OP or Sporty’s or Mulligan’s or the Country Club, I’m guessing.
Wrong. Bookie has nothing to do with the concept of the CC. It was first conceived long ago by many prominent Mason City visionaries and most recently completed another phase of development with the restoration of the HPI.
“Prominent Mason City visionaries.” That’s a rich one. Same group of people who kicked NIACC two miles east into a cornfield? That was pure vision there; rob the downtown of a vibrant college atmosphere. Same group who tore down nearly every historic building and school in this town? Same group of visionaries who keep killing downtown with payoffs to big box stores who want to locate out west? Real stellar group there.
The Park Inn is technically not within the boundaries of the Cultural Crescent.
Matt, you ask Brent Willett questions from time to time, always on topic, pertaining to how he is blowing through his $400,000 yearly budget, and he almost always ignores you. I have to guess this must be frustrating for you as you look out for us and how our hard-earned tax dollars are spent. It must be even more annoying as you uncover all the waste, graft and just downright dumb moves this guy makes. Hang in there, Matt, keep fighting the good fight. After you are elected, Brent Willett and his cronies will have nowhere to hide. I, for one, am just tickled at the prospect of you becomeing a council Member. I’ll tune in every Tuesday to watch you make these bandits squirm. You have my support!!
Take a look at industrial park ,back in 80s and 90s so many jobs were there and look now I would guess it is only 30% of what it used to be. Just look at the old Alexander bldg. brought in new company with real low wages or temp. employees and work them like dogs.Mn Rubber shell of what it was once.IMI parking lot used to be full of cars now just a few,I know there is business in there but building has to be very under used for size of building.1000’s of jobs gone out at Industrial park and I quess by now to never return.Working class in this town just keeps taking a beating.And peoplewonder where our population is it maxed in 70’s just look at census.What a fine job our LEADERS have done,would of been fired in private sector.
The free market is only for the little folks.
Considering that Metalcraft committed to stay in Mason City while other manufacturers are moving out of town, and that they plan on expanding their business almost 3 fold in the next decade. I would say the city made a good decision.
Look businesses don’t move to a city or move from a city for any reason other than money. Money is the bottom line in every business, and if you want to attract business you need to sell them on the idea that your city will make them more money. So Mason City sold Metalcraft the idea that it was worth their money to build a new building in Mason City.
I’m almost certain that the folks over at Metalcraft looked at alternative cities to put their building, and Clear Lake is mighty close and loves new business!
Good job Mason City!
You take care of your town and we will take care of what happens in ours. But OUT.
Shame on you ELVIS, what a catty remark. Since when were you appointed blog cop, in charge of who gets to comment on what?
@Anonymous-Shame on you Anonymous. Since when are you the thought police on here. He doesn’t live here and does nothing but promote his liberal policy’s and union’s. let him do it in his own town and you can but out too.
If Metalcraft is such a viable business then why are they asking for a free handout from the city. The bankers in this town should be really upset that they are not getting a any loan payments on that $154,000 forgivable loan. That was spearheaded by Mr Tornquist who voted for even though he proclaimed that he knew the loan recipient personally and they were good friends. His actions speaks volumes about the current administration’s interpretation of conflict of interest.
Got my magnifying glass out – still can’t figure out the condemned route of that new 350,000 volt taransmission line thru cerrrro gorrrdo county- what asham to print a map like this -or do they use it to confuse the sheeple?
Wow! Maybe a new keyboard or a handicapped grade school kid to type for youuuuuuu!!!
Well you know doerfler is scotty tornquist next door neighbor, literally right next door, and he worked on scotty’s last campaign for council, and scotty used to be on the corridor board of directors. Guess mr doerfler knows how to wring cash outta the people, doesnt he? what’s a million$+ to this big shot when most of the kids in this town are on free reduced lunches and the charities have to stuff food in kids’packpacks after school just so they get some food at night. what a mess.
Is anyone looking at what is going on here. There is a a shakedown in progress Scott’s payoff is due so the owner of metalcraft is putting presser on the City’s Finance department to come across with the free loan so that he can give Mr. Thornquest heis cut in the form of a campaign contribution. This is how it is done ladies and gentlemen get the city to give money to your buddy and then he gives you a cut. This is the operating procedures for the current Elected Mason City Government.
WHEW! I messed up – Stopped in at CHEERS (Cozy Corner) the property is from 10th street south mason city to 27th Street south 200 ft each side of hiway 65 – Man I guess a beer in the morning can clear your head – Oh well all that counts is that the cozy is saved again.!
The DOT is not acquiring the property. They want to be involved early on in projects so that they can make sure they can reserve right of way ahead of when they need it. They have been doing this for the past 8 years.
Drop in the bucket – How about the IOWA DOT aquireing 200 ft. right away on both sides of hiway 65 north from 10th street to 27 street – there goes the cozy corner – Whew just missed taking caseys on 9th street. Now that the mall is dead its time to give millions to other developers for a north end strip mall. Say you won’t sell? Easy answer the developers got the DOT involed and will offer you a price or condemn your property and take it at a set price. MERCY MERCY MERCY !
It’s “right of way” not “right away” you simpleton.
What kind of B.S. is this. If the company can’t stand on it’s own with out the taxpayers bailing it out it should fail. If you want to give out forgivable loans give it back to all of the taxpayers. This is why we need to vote these giveaway bums out and get someone in there who will represent all of the people instead of just the Chamber and Country Club set of elitist.
You mean like the democrats giving hundreds of millions of working peoples dollars to deadbeats simply for their votes. At least Metalcraft is providing jobs to those willing to get off their dead ass– and go to work.
Giving $ money away like it’s nothing.It easy to be profitable company when you get free $ money given to you.Maybe Mercy should use this building and have a location in the downtown.If can’t be sold city will buy it and make more green space.Maybe Metalcraft should just give building to city for all the free $ money they want.It kind of funny how rich people think it is fine to get $ from goverment then look down on other people that may need help.Sounds like another backroom deal, where does it end for these companies and their looking for handouts.
Look at a map. You live in clear lake not mason city.
Mercy does not need another handout form the City. They are a non tax paying entity that is using up taxpayer money and throwing their weight around like they are paying taxes. THEY DON’T Pay taxes. Anyone ever ask why we need to have a Helicopter land in a residential community when there is so much developable available? Or are we going to ask that question when we are picking the shards of a Helicopter rotor blade out of one of your children when it goes down on your home.