Shuttered Iowa POET Plant Settles Tax Incentive Deal
POET will not get $2.5 million in tax credits nor have to repay received benefits
Iowa’s economic development arm and a shuttered ethanol plant at Emmetsburg that had promised to produce millions of gallons from crop waste have reached a settlement that lets the company off the hook for millions of dollars in tax incentives, reports the AP.
The Iowa Economic Development Authority approved a settlement with Poet DSM Advanced Biofuels last week, ending a contract of incentives that helped enable construction of the massive plant, the Des Moines Register reported.
The "ultra-green bio-fuel" plant, which opened in 2014, was idled in July and laid off 52 workers this year.
As part of the settlement, POET will not get $2.5 million in tax credits it had not yet earned, but the Economic Development Authority will not seek to be repaid the benefits that POET already received.