DISCLAIMER

PLANNING AND ECONOMIC DEVELOPMENT COMMITTEE


08-0432R


RESOLUTION ACCEPTING A DEED GRANT IN THE TOTAL AMOUNT OF $579,153 FOR THE IKONICS EXPANSION PROJECT AND COMMITTING LOCAL MATCH.

CITY PROPOSAL:

     RESOLVED, that the proper city officials are hereby authorized to accept a contamination cleanup grant from the Minnesota department of employment and economic development (DEED) in the amount of $579,153 and to execute Grant Agreement No. _____________ on file with the clerk as Public Document No. __________ in connection therewith. Such funds shall be deposited into City Fund 255.

     FURTHER RESOLVED, that the required local match to the granted funds, having a value of no less than 25 percent of cleanup costs and estimated at a total value of $193,051, shall be provided by the Duluth economic development authority (DEDA) from its operating Fund 860.

     BE IT FURTHER RESOLVED, that the city certifies that it will comply with all applicable laws and regulations as stated in all contract agreements it accepts.


BD


STATEMENT OF PURPOSE:   Approval of this resolution allows for the acceptance of a grant award from DEED in the amount of $579,153 for contamination cleanup for the 11.1 acre IKONICS expansion site within the former Atlas Cement Plant. Estimated cleanup costs on this site are $772,205; DEED awarded 75 percent of that amount. DEDA’s share of the local match would come from the proceeds of its sale of this property to IKONICS Corporation.