BY COUNCILOR REINERT:
RESOLVED, that the proper city officials are hereby authorized to accept a redevelopment program grant from the Minnesota state department of employment and economic development in the amount of $1,810,150 and to execute grant agreement no. RGDP-05-0027-O-FY06 in connection therewith.
FURTHER RESOLVED, that said officials are hereby authorized to accept a contamination cleanup program grant from the Minnesota state department of employment and economic development in the amount of $1,047,288 and to execute grant agreement No. CCGP-06-0016-Z-FY06 in connection therewith.
FURTHER RESOLVED, that the required local match to the granted funds, having a total value of not to exceed $2,401,116, shall be from turn-back funds from the state of Minnesota and the value of construction costs incurred by the developer on behalf of the project and then from the heritage replacement account.
STATEMENT OF PURPOSE: The purpose of this resolution is to authorize the city to accept two grants from DEED for the Duluth Heritage Sports Center project, to authorize signature of the grant agreements for each of the grants and to authorize the local matching funds needed to secure the grant money.
The first of these grants is a redevelopment program grant in the amount of $1,812,325. It is the result of two separate grant applications in two different funding rounds authorized by two separate city resolutions, Resolution No. 05-0862 approved in December of 2005, and Resolution No. 06-0586 approved in August of 2006. Between the two grant applications the city applied for $1,812,325 and was authorized to receive $1,810,150. This money requires a dollar-for-dollar match and will be used primarily for street and utility work necessary to the project.
The other grant is a contamination clean-up grant in the total amount of $1,047,288. $835,214 will come from the so-called Petro Fund which is specifically intended for dealing with contamination from underground petroleum storage, and the remainder of which will come from the programs general fund for other clean-up work. The local share for these funds will total $590,966.
The sources of matching funds are those set forth in the resolution.