ACT Breaks Ground On New Office Complex

September 28, 2001

IOWA CITY, Iowa — ACT, Inc., broke ground this morning on its new office complex at the company's national headquarters in Iowa City. The 171,000-square-foot facility will be located east of the Lindquist and Tyler buildings.

The general contractor is Iowa City-based McComas-Lacina Construction, and the architect is Flad & Associates of Madison, Wis. Work will begin immediately and is slated to finish by May 2003.

The new building complex is the result of steady growth in ACT programs and services over the past decade and anticipated significant growth during the next decade. While best known for its work in college admissions testing—the ACT Assessment was administered more than 1.8 million times last year—ACT is among the nation's leaders in developing and administering assessments used by educators, professional organizations, business and government to help individuals achieve their educational and career goals.

Recently, ACT announced the creation of a national network of ACT Centers that are already beginning to deliver electronic training and testing in recognition of the large and growing need across the country for effective and affordable approaches to workforce development.

"ACT's growing role in the nation's education and training agenda is good news for Iowa City and the surrounding area," said ACT President Richard L. Ferguson. "ACT took root in Iowa City in 1959 because two nationally prominent individuals—E.F. Lindquist and Ted McCarrel—both affiliated with the University of Iowa at the time, saw the need for an organization dedicated to helping individuals of all ages successfully pursue their educational and career goals. ACT has grown and prospered over the years due to the efforts of the hundreds of talented and dedicated staff committed to that same objective."

The overall site concept, designed by Flad & Associates, is to have multiple buildings organized around and linked to common spaces by pedestrian routes. The plan clusters new office buildings, a conference center, and a corporate cafeteria around a central courtyard, which helps define a formal outdoor space.

Ferguson acknowledged the support that ACT has received from the city over the years, and thanked Iowa City Mayor Ernie Lehman and the city councilors for their unanimous approval of a resolution permitting ACT to issue tax-free bonds for the financing of the new building complex.

"In addition to showing its commitment to, and support for, development of a local business, the city will benefit for years to come through the increased property taxes paid by ACT," Ferguson said.

While ACT is a not-for-profit company, it does pay property taxes. Already the third-largest property taxpayer in the city, once the new building complex joins the tax rolls, ACT likely will move even higher on that list. Iowa City Mayor Ernie Lehman said the city is committed to accommodating continuing growth.

"With economic development, you need to look to the future," Lehman said. "Helping local businesses like ACT with their expansion plans accomplishes that task. ACT is exactly the kind of company we want in Iowa City. It's a prominent national company that provides great benefits and high-profile jobs for local citizens. Helping a company like this with its growth is a terrific investment in the community."

Pat Guard, president of the Iowa City Area Chamber of Commerce, said the new ACT building is a promising move for one of the city's largest employers.

"It's wonderful to see the growth and vitality of ACT, a true asset to our community," he said.

ACT currently employs about 1,150 full- and part-time employees, the majority based in Iowa City. The company also has offices in New York, Maryland, Washington, D.C., Florida, Georgia, Ohio, Illinois, Texas, Colorado and California.

The new facility will be ACT's sixth building in Iowa City. At its founding, ACT operated out of shared offices at the University of Iowa. Throughout most of the 1960s, ACT rented office space in Iowa City and Coralville, with its headquarters at 330 E. Washington Street. The organization moved into its first permanent facility—the Lindquist Building—on North Dodge Street in 1968. Twelve years later, ACT added the Tyler Building to its headquarters complex and also built a distribution and warehouse facility close to the campus across Dodge Street and to the west of its headquarters.

In 1992, ACT purchased an additional office building in the Towncrest section of Iowa City. The McCarrel Center, a state-of-the-art customer service and distribution facility on Scott Boulevard in southeast Iowa City followed in 1995. ACT owns about 250 acres of land in and around the North Dodge site.

The company began preparations for expansion on the North Dodge Street grounds in 1993, when it let two contracts for each phase of an infrastructure project. The first phase entailed the development of a new road and walkway system connecting the Lindquist and Tyler buildings, as well as the construction of new parking lots to meet current needs and anticipated growth. The phase also included the installation of exterior lighting, and the laying of water, sewer, electric and fiber-optic lines for future buildings. This phase was completed in 1994.

The second phase was landscaping, which was completed in 1995. The landscaping included the creation of a five-acre commons around which future buildings could be situated.