Industrial New Jobs Training (260E) program

Topics:

Business Engagement

Helping Iowa Businesses Provide Training Opportunities for New Jobs

The Iowa Industrial New Jobs Training (260E) program assists businesses creating new positions by helping with new employee training. Eligible businesses may be new to Iowa, expanding the Iowa workforce or relocating to the state.

The program is administered by Iowa's 15 community colleges and financed through bonds sold by the colleges.
Award amounts and the scope of your company's training plan will depend on the number of new jobs pledged and the starting wages for those jobs.
The award amount is paid back and bonds retired through the business diverting part of state withholding taxes (1.5 percent or 3 percent, depending on wage thresholds) generated by the newly created jobs.
Training is available at essentially no cost to your business, since bonds are retired with dollars that otherwise would have been paid to the state as withholding taxes.
Participants may be eligible for reimbursement up to 50 percent of the approved award amount for on-the-job training.
You may also be eligible for a corporate new jobs tax credit if your company’s existing Iowa employee base is increased by at least 10 percent.

New Job Tax Credit

260E participants can learn more information about the New Jobs Tax Credit, which is open to your business if you enter into an agreement and also expand your company's Iowa employment base by 10 percent or more.

Who Qualifies

You must be located in or relocating to Iowa.
You must be engaged in interstate or intrastate commerce for the purpose of manufacturing, processing, assembling products, warehousing, wholesaling, or conducting research and development.
If your company is a service-providing business, it must have customers outside of Iowa.
Your business cannot have closed or substantially reduced its employment base at any of your other business sites in Iowa in order to relocate substantially the same operation to another area of the state.
To qualify for training services, your employees:
- Must be employed in newly created positions.
- Must pay Iowa withholding tax.
- Must occupy positions that did not exist six months prior to the date that you and the community college agreed to pursue a training project.