Topinka Helps two Decatur Businesses

(Decatur, IL) - - Targeting the Decatur areas strong business and labor base, State Treasurer Judy Baar Topinka today announced that her office will be awarding $2.7 million in low interest loans to two local manufacturing and distribution companies -- Union Iron, Inc. and McLeod Express, LLC/McLeod Farms. The deposit was completed through Topinka’s State Treasurer’s Economic Program (STEP).

“I am delighted to assist Union Iron, McLeod Express and the entire Decatur community in the creation of new, long-lasting jobs,” Topinka said. “As State Treasurer, I am in charge of investing billions of dollars of public funds. I can think of no better investment than in enterprises that put money in the pockets of Illinois workers.” Union Iron located in Decatur was given approval for a $575,000 low interest loan. The project includes the purchase of land and facilities known as the Burks property on 27th Street in Decatur. Also included will be the renovation of the building(s) to include offices, manufacturing and storage facilities. Union Iron Works is Decatur’s oldest manufacturing company, dating back to 1852. Union Iron is a manufacturer of top of the line Bucket Elevators, Screw Conveyors, Belt Conveyors, Chain “Drag” Conveyors and Distributors along with allied equipment, connectors and fittings. Union Iron is one of the few companies in the United States specializing in grain handling equipment and systems.

McLeod Express has been given approval for a $2,175,000 low interest loan. The project involves constructing facilities in Decatur to house a 50,000 square foot warehouse facility as well as a separate terminal, shop, and office facility for a trucking operation.

This project will position McLeod Express to capitalize on operating efficiencies to continue to grow their business and expand their employee base from 200 employees to 300 employees over the next four years.
Both the Union Iron and the McLeod Express STEP loans were provided through the First National Bank of Decatur.
Economic incentives from Treasurer Topinka played a large part in both companies decision to move forward with the project and keep these companies here in Decatur. With the completion and opening of the expansion of both Union Iron and McLeod Express, more than 125 jobs will be created.

“Since taking office, I made a commitment to the people and businesses of Illinois to bring good paying jobs to our state,” Topinka said. “The STEP program has helped to create 9,000 thousand jobs in Illinois and we've successfully loaned almost $200 million earmarked for the program to Illinois companies and not-for-profit organizations to promote growth and job creation.”

Craig Coil, President of the EDC of Decatur and Macon County, stressed the importance of working in conjunction with other partners to bring both of these expansions to the Decatur area, "Both of these projects are the result of a strong working relationship between the staff in State Treasurer's Judy Baar Topinka's office, the Economic Development Corporation of Decatur & Macon County, and the First National Bank of Decatur. Working with our partners, the EDC has demonstrated that the Decatur area is a profitable place for manufacturing and distribution operations.”

STEP Facts:
STEP provides short-term low-interest loans through Illinois financial institutions to help firms create and retain jobs.

STEP will deposit money at below market rates into the borrower's financial institution, which will then lend it at below prevailing interest rates to create or retain jobs. For each permanent full-time job that is created or retained, the Treasurer can deposit $25,000 into the borrower's financial institution Eligible projects must meet the following general guidelines:

STEP was created to encourage and promote economic development and expansion of businesses in Illinois. Loans are not made directly to the borrower. The financial institution that receives the discounted deposit will decide on the creditworthiness of the borrower.