MEGA Legislation Good for Economic Development in Iowa

An economic development program that will affect sites around the state has been signed into law by Governor Kim Reynolds after being approved by the Iowa House of Representatives and the Iowa Senate. Senate File 574, also known as the Major Economic Growth Attraction (MEGA) program, passed with overwhelming majorities (89-4 in the House, 47-0 in the Senate) and was signed by the Governor in a bill-signing ceremony on May 1.

This legislation includes a $93 million tax incentive program designed to help attract projects that span at least 250 acres with investments of at least $1 billion in capital investment, create high paying jobs, are geared toward advanced manufacturing, biosciences or research, and are located at a certified site. 

Supporting Economic Development Success in Iowa

MEGA was one of the Greater Des Moines Partnership’s featured priorities in our 2024 State Policy Agenda, which is compiled by The Partnership’s Government Policy Council made up of Partnership Investors and Members. Given the nature of projects expected to be supported by this program, it is unlikely to be a match for any current sites in our 11-county region, but we see the importance of supporting economic development success across the state. The Partnership works closely with the Iowa Economic Development Authority as well as local and regional economic development partners to create a favorable environment and elevate our state’s recognition as a top place for economic development projects. Economic development success anywhere in Iowa is positive for Greater Des Moines (DSM).

This will provide another tool in the state’s toolbox to attract new business to the state, allowing us to further compete on a national scale. We know that our state has been passed over for projects in the past due to not having a program like this, and through this legislation we will now be better positioned for future projects looking for this footprint.

We commend the Governor and leaders in the Iowa Legislature for supporting this bill. This is an example of a bipartisan approach to make the state stronger.