During its meeting today, the Iowa Economic Development Authority (IEDA) Board unanimously approved a financial incentive package for Convergen Energy to operate a new manufacturing facility in Fairfax. The State’s action follows support earlier this week from the Fairfax City Council to ensure the proposed $18.4 million capital investment is located there.
“It’s an exciting day in Fairfax and a big win for our community,” said Mayor of Fairfax Pro Tempore Marianne Wainwright. “We are looking forward to have a cutting-edge energy company that supplies an alternative power source to coal looking to expand here.”
Convergen Energy, headquartered in Green Bay, Wis., produces a renewable fuel used in a multitude of solid fuel power and steam generation facilities. Convergen Energy takes pre-consumer industrial by-products, which would otherwise be sent to the landfill, and converts them into a fuel which is often used as a substitute for fossil fuels. They plan to add their second facility south of the Travero Logistics Park on Lefebure Road, in the Big Cedar Industrial Center. Its proposal commits to at least 23 new full-time jobs, of which 11 are at or above wage levels the State deems high-quality jobs.
“We are excited to expand our operations into Fairfax that will help us better serve our current and future customers,” said Steven Brooks, chief financial officer of Convergen Energy. “This region provides many assets to our organization, and we are happy to call Fairfax our second home.”
Mike Lukan, project manager at the Cedar Rapids Metro Economic Alliance, said the Economic Alliance received this lead from Alliant Energy and joined them in Green Bay for the initial meeting and tour of the Convergen Energy facility earlier this year. The Economic Alliance, and several other city and local organizations, assisted Convergen Energy with site locations and programs to assist at landing the project in Fairfax.
“Attracting new businesses to the region takes tremendous effort from many people and organizations,” said Doug Neumann, executive director of the Economic Alliance. “It demonstrates again the importance of constantly pursuing business attraction and business expansion projects to keep our economy marching forward.”
Convergen Energy is the second new business to come to the region this year. Earlier this summer, Sub-Zero announced their plans to build their second location near the Eastern Iowa Airport. Convergen Energy said it expects to start construction next spring and have the project completed by the end of 2024.