01-0690R

RESOLUTION AUTHORIZING THE ACCEPTANCE OF A GRANT IN AN AMOUNT NOT TO EXCEED $3,450,600 AND ENTERING INTO AN AGREEMENT WITH THE US ECONOMIC DEVELOPMENT ADMINISTRATION (EDA) RELATING TO CONSTRUCTION OF AN AVIATION INCUBATOR AND RELATED PARKING FACILITY AT THE DULUTH INTERNATIONAL AIRPORT (THE PROJECT).

BY COUNCILOR STENBERG:

        RESOLVED, that the city of Duluth hereby accepts a grant in an amount not to exceed $3,450,600 from the EDA for the project, said funds to be deposited into Fund 0430.

        FURTHER RESOLVED, that the proper city officials are hereby authorized to enter into a grant agreement substantially in the form of that on file in the office of the city clerk as Public Document No. ___, with EDA for the project.



STATEMENT OF PURPOSE:  The purpose of this resolution is to authorize acceptance of a grant from the EDA for the purpose of construction of an aviation incubator and related parking at the Duluth International Airport. The city intends to issue general obligation revenue bonds in the amount of $2,300,400 as a match for the grant. This resolution also authorizes entering into a grant agreement with the EDA for said project. The approximately 63,000 square foot aviation incubator will initially be leased to Cirrus Industries, Inc., for airplane production space.