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ngdawg · 05-06-2005, 01:46 PM

This was sent to me from a friend in Iowa whose company will be involved in the construction as well as being investors:
Governor signs tax break measure

By
REGISTER STAFF WRITER
May 5, 2005
Newton, Ia. - The governor's signature Wednesday on a 10-year sales
tax break for a $70 million Iowa Speedway project raised the green flag for
developers, who said they will break ground later this month.

The auto-racing track should open next summer for its first race,
investor and Newton lawyer Dennis Chalupa said.

The investor group wants to have the seven-eighths-mile asphalt
track in place before winter.

"We are hoping still this month yet to start construction," Chalupa
said. "We hope to have our first race in July of '06. That's an aggressive
construction schedule."

He said negotiations are under way with sanctioning bodies for
potential races.

Gov. Tom Vilsack joined other lawmakers at Newton City Hall to sign
the legislation that allows U.S. Motorsport Corp., the racetrack's
investors, to capture the first $12.5 million in state sales tax generated
at the facility during the next decade.

The tax break sped through the Statehouse, where many legislators
said they saw it as a risk-free way to help economic development in a city
reeling from layoffs at Maytag Corp., a major local employer.

"It is certainly offering some good news, which there hasn't been a
lot of lately," Chalupa said. "We are hoping it will be a real economic
stimulus to the community, and we think it will be."

The facility will have permanent seating for 25,000 people and
additional temporary seats and a lawn area for a capacity of 81,000. The
track will be located near the city's airport on 232 acres.

NASCAR Nextel Cup star driver Rusty Wallace will have a hand in
track operations.

Construction on the project has been postponed before because of
difficulty in attracting investors.

"It's been a real struggle to get the project financed," Chalupa
said. "Of course, this bill from the state is a lot of assistance in
assuring its success."

Despite the hurdles, Vilsack said the community never lost hope.
"This is about a community that never stopped believing in itself," he
said.

Rep. Danny Carroll, a Repub- lican from Grinnell, helped push the
legislation through the Legislature.

He doesn't expect top NASCAR races at first.

Carroll said investors told him they hope to have races in the next
couple of years from the popular Busch or Craftsman Truck series and ARCA,
which is like a triple-A league of baseball.

"In the beginning in the first year, they are really anticipating
maybe only three races to get started," Carroll said. "Until the track is
built, they won't get any commitments."

> Critics questioned the project's financing and whether the unique
>tax break, a first in Iowa, would set a bad precedent for future economic
>development projects.
>
> Supporters worked to alleviate concerns by offering the tax credit
>as a "pilot project" that will be studied for future consideration and
>including restrictions such as ending the tax break if the track is sold
>and passes from the hands of its Iowa investors.
>
> The Newton community is excited, local officials said.
>
"Newton is going to look at a new future," Newton Mayor Chaz Allen
said. "The stars were aligned."

Investors expect the track to generate about $1 million annually in
state sales tax. City officials expect new businesses springing up near the
track to generate an additional $2.2 million in state sales tax annually.

The city has committed more than $13 million to the project, Allen
said, and is seeking a $5 million road grant from the state. The city had
been seeking $4 million from another state grant program, but agreed to
halt that attempt under the deal for the sales tax break.

In addition to Chalupa, Iowa Speedway investors have been identified
as: ARCA race car owner Larry Clement of Fort Dodge; Brad Manatt of Newton,
president of Manatt's Inc., a construction company that does concrete and
asphalt paving; Manatt's co-owners, Tony Manatt of De Witt and John Manatt
and Mike Manatt, both of Brooklyn; and Stan Clement of Newton.

Copyright © 2004, The Des Moines Register.

05-06-2005, 01:46 PM	#41 (permalink)
ngdawg peekaboo Location: on the back, bitch	New track to break ground in Iowa This was sent to me from a friend in Iowa whose company will be involved in the construction as well as being investors: Governor signs tax break measure By REGISTER STAFF WRITER May 5, 2005 Newton, Ia. - The governor's signature Wednesday on a 10-year sales tax break for a $70 million Iowa Speedway project raised the green flag for developers, who said they will break ground later this month. The auto-racing track should open next summer for its first race, investor and Newton lawyer Dennis Chalupa said. The investor group wants to have the seven-eighths-mile asphalt track in place before winter. "We are hoping still this month yet to start construction," Chalupa said. "We hope to have our first race in July of '06. That's an aggressive construction schedule." He said negotiations are under way with sanctioning bodies for potential races. Gov. Tom Vilsack joined other lawmakers at Newton City Hall to sign the legislation that allows U.S. Motorsport Corp., the racetrack's investors, to capture the first $12.5 million in state sales tax generated at the facility during the next decade. The tax break sped through the Statehouse, where many legislators said they saw it as a risk-free way to help economic development in a city reeling from layoffs at Maytag Corp., a major local employer. "It is certainly offering some good news, which there hasn't been a lot of lately," Chalupa said. "We are hoping it will be a real economic stimulus to the community, and we think it will be." The facility will have permanent seating for 25,000 people and additional temporary seats and a lawn area for a capacity of 81,000. The track will be located near the city's airport on 232 acres. NASCAR Nextel Cup star driver Rusty Wallace will have a hand in track operations. Construction on the project has been postponed before because of difficulty in attracting investors. "It's been a real struggle to get the project financed," Chalupa said. "Of course, this bill from the state is a lot of assistance in assuring its success." Despite the hurdles, Vilsack said the community never lost hope. "This is about a community that never stopped believing in itself," he said. Rep. Danny Carroll, a Repub- lican from Grinnell, helped push the legislation through the Legislature. He doesn't expect top NASCAR races at first. Carroll said investors told him they hope to have races in the next couple of years from the popular Busch or Craftsman Truck series and ARCA, which is like a triple-A league of baseball. "In the beginning in the first year, they are really anticipating maybe only three races to get started," Carroll said. "Until the track is built, they won't get any commitments." > Critics questioned the project's financing and whether the unique >tax break, a first in Iowa, would set a bad precedent for future economic >development projects. > > Supporters worked to alleviate concerns by offering the tax credit >as a "pilot project" that will be studied for future consideration and >including restrictions such as ending the tax break if the track is sold >and passes from the hands of its Iowa investors. > > The Newton community is excited, local officials said. > "Newton is going to look at a new future," Newton Mayor Chaz Allen said. "The stars were aligned." Investors expect the track to generate about $1 million annually in state sales tax. City officials expect new businesses springing up near the track to generate an additional $2.2 million in state sales tax annually. The city has committed more than $13 million to the project, Allen said, and is seeking a $5 million road grant from the state. The city had been seeking $4 million from another state grant program, but agreed to halt that attempt under the deal for the sales tax break. In addition to Chalupa, Iowa Speedway investors have been identified as: ARCA race car owner Larry Clement of Fort Dodge; Brad Manatt of Newton, president of Manatt's Inc., a construction company that does concrete and asphalt paving; Manatt's co-owners, Tony Manatt of De Witt and John Manatt and Mike Manatt, both of Brooklyn; and Stan Clement of Newton. Copyright © 2004, The Des Moines Register. __________________ Don't blame me. I didn't vote for either of'em.