The development agreement calls for the city government to give the company $1.6 million over 10 years.

That money will come from tax increment financing, which occurs when increased property tax revenue from a designated area is set aside to be reinvested in that area.

The city’s assistance is part of a broader aid package to support a project that will invest a minimum of $175 million in the plant at 2400 Fifth Ave. S. The project will create 50 net new jobs with starting wages ranging from $27 to $30 per hour.

In February, the Iowa Economic Development Authority Board awarded the company tax benefits through the High Quality Jobs program.

Iowa Central Community College has agreed to provide job training to plant employees.

The Webster County Board of Supervisors agreed to give the city $400,000 to be used as matching funds for a state grant local leaders hope to get to pay for building a turning lane on Fifth Avenue South in front of the plant.

On Monday, the City Council hired Snyder & Associates, of Ankeny, to design that turning lane at a cost of $99,850.