The Iowa Economic Development Authority (IEDA) Board will soon consider changes to the benefit requirements for businesses to be eligible for direct financial assistance and tax benefits through the High Quality Jobs Program. The proposed requirements have been modified to more accurately reflect current market conditions.
Benefits specialist firm, David Lind and Associates, conducted the Iowa Employer Benefits Study. The study is a compilation of benefit plans offered by over 950 Iowa employers and provides a comprehensive marketplace analysis of benefits. The results of this study were utilized to help the IEDA recommend a new policy to the board that both reflects “best practices” and the changes we’ve seen in the benefit trends.
The following is a brief overview of the changes that, if implemented, will take effect January 1, 2013:
• Requires only medical coverage. The requirement for dental coverage has been eliminated.
• Three deductible levels have been established, each based on number of Iowa employees at time of application:
A 250+ Iowa employees
B 50-249 Iowa employees
C 2-49 Iowa employees
To be eligible to receive state financial assistance or tax credit benefits, applicants must offer sufficient benefits to each FTE permanent position. “Sufficient benefits” and “sufficient benefits credit” are defined in rule 261—173.2(15,15G,83GA,SF344). An employer may select one of the following options to meet the sufficient benefits requirement:
80% Single Coverage
50% Family Coverage
|Option 3||Monetary Equivalent |
| Pay 80% of premium costs for a standard medical plan, single coverage.
A - $750 maximum deductible (250+)
B - $1250 maximum deductible (50-249)
C - $1750 maximum deductible (2-49)
|Pay 50% of premium costs for a standard medical and dental plan, family coverage.
A - $1,500 maximum deductible
B - $2500 maximum deductible (50-249)
C- $3500 Maximum deductible (2-49)
|Provide medical and pay the monetary equivalent of Option 1 or Option 2 in supplemental employee benefits.
|| Benefits Counted Toward
- Dental coverage
- Vision insurance
- Life insurance
- 401(k) (company’s average contribution)
- Short-/long-term disability insurance
- Child care services
- Other nonwage
Iowa Project Questionnaire Change
The Iowa Economic Development Authority (IEDA) has revised the Iowa Project Questionnaire (IPQ), streamlining the previous form and addressing lease scenarios. Additionally, questions related to the sufficient benefits requirements have changed. The IEDA asks all statewide development partners to destroy the old printed or electronic versions of the IPQ form and to download and use only the most current version.
260F Program Changes
Legislation is now in effect implementing new criteria eligibility for funding through the 260F Program. These changes only affect executive positions. For more information on the specific changes, please contact Sherry Timmins at email@example.com
. You may also contact the Iowa Community College representative in your area.
2013 Trade Show Partnering Opportunities
The Iowa Economic Development Authority (IEDA) will once again be participating in several trade shows in 2013 to promote Iowa as a business location. IEDA will have a significant presence at and invites our regional economic development and utility partners to join as co-sponsors at these selected shows. The costs of partnering vary with each show. For example, registration is included with some and not in others; travel and hotel accommodations are not included.
Please contact Diana Smith, Trade Show Coordinator, via email at firstname.lastname@example.org
or by phone at 515.725.0446
for a complete listing of partnering opportunities or if you should have any questions.
Indicate your preferences by completing this survey http://www.surveymonkey.com/s/13tradeshows
by October 31. IEDA looks forward to partnering with you at these events and thanks you for your continued support and participation.