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Dec. 17 - DEED Awards Cleanup Grants


For Immediate Release
December 17, 2010

Contact:   Monte Hanson, 651-259-7149
monte.hanson@state.mn.us

DEED Awards Cleanup Grants
~Ten projects in Minnesota receive funding~


ST. PAUL – The Minnesota Department of Employment and Economic Development (DEED) has awarded more than $4.3 million to investigate or clean up 10 contaminated sites in six cities in the state.

The grants were awarded under DEED’s Contamination Cleanup Grant Program for projects in Cloquet, Duluth (two), Elko New Market, Hibbing, Minneapolis and St. Paul (four).

“Cleaning up these properties will revitalize our communities and help create and preserve jobs,” said DEED Commissioner Dan McElroy. “There will also be $71 million in private redevelopment investment in this round of grants.”

The funding will result in 12 market-rate housing units, 161 affordable units, 279 new jobs and 404 retained jobs. Local property tax revenues will increase by about $1 million as a result of reclaiming 46 acres of formerly polluted land.

DEED cleanup grants, which are awarded twice a year, account for about 75 percent of the statewide public funding used for reclaiming polluted sites and brownfields. The remaining 25 percent comes from the Metropolitan Council, cities, counties, other local units of government, private landowners and developers.

Since its inception in 1995, DEED’s Contamination Cleanup Grant Program has awarded more than $118 million in cleanup and investigation grants statewide. Local authorities have used those funds to reclaim 2,938 acres of contaminated or polluted property for residential, commercial and industrial development. The combined projects have resulted in 11,406 new housing units, including 2,672 that are classified as affordable housing. Projects funded by the program have created an estimated 20,678 jobs, retained an estimated 12,331 existing jobs, increased the tax base by more than $73 million and attracted more than $3 billion in private redevelopment investment.

DEED is the state’s principal economic development agency, promoting business recruitment, expansion and retention, workforce development, international trade and community development. For more details about the agency and its services, visit us at www.PositivelyMinnesota.com. Follow us on Twitter at www.twitter.com/PositivelyMN.

Contaminated Site Cleanup and Investigation Grant Awards

City of Cloquet - Woodward/Vork Property, $787,904
The city of Cloquet was awarded $787,904 in cleanup funds for this 1.14-acre site.  The site was formerly used for wood storage for paper mills and for an auto dealership. The land will be redeveloped into a 40,000-square-foot county community services center that allows for the retention of 142 jobs. Remaining costs will be paid by the city of Cloquet and Carlton County.
Local Contact: City of Cloquet, Brian Fritsinger, 218-879-3347

City of Duluth  -  Duluth Spring, $418,158
The city of Duluth was awarded $418,158 in cleanup funds for this 0.52-acre site, previously used for industrial purposes. Site redevelopment will include demolition of the existing building and construction of a 14,500-square-foot building with a restaurant, brewery and retail space. The redevelopment is expected to create 30 jobs and increase the tax base by $62,875. The developer will pay remaining cleanup costs.
Local Contact: City of Duluth, Heidi Timm-Bijold, 218-730-5324

Duluth Economic Development Authority (EDA) - Atlas Industrial Park, $482,281
The Duluth Economic Development Authority (EDA) was awarded $482,281 in cleanup funds for this 16.1-acre site, formerly the Universal Atlas Cement Plant. Site redevelopment will include construction of 65,000 square feet of industrial space in two new buildings and installation of utilities and a public road. The project is expected to create 77 jobs, retain 20 jobs and increase the tax base by $292,900. The Duluth EDA will pay for remaining cleanup activities.
Local Contact: Duluth EDA, Heidi Timm-Bijold, 218-730-5324

City of Hibbing - Habitat for Humanity, $234,900
The city of Hibbing was awarded $234,900 in cleanup funding for this 1.6-acre site, formerly the location of a school. The site will be redeveloped into eight affordable homes to be built by Habitat for Humanity. Redevelopment will increase the tax base by $2,952. A redevelopment grant from Iron Range Resources will provide matching funds for the project.  
Local Contact: City of Hibbing, Duane Northagen, 218-362-5931

City of Minneapolis - American Swedish Institute, $99,810
The city of Minneapolis was awarded $99,810 in cleanup funds for this 3.3-acre site. Redevelopment will include renovation of the existing American Swedish Institute building and construction of a 34,000-square-foot addition for the Nelson Cultural Center. The property previously contained residential space. The redevelopment is expected to create 11 jobs and retain 29 jobs. Remaining cleanup costs will be covered by Hennepin County, the Metropolitan Council and the American Swedish Institute.
Local Contact: City of Minneapolis, Kevin Carroll, 612-673-5181

Scott County Community Development Agency - Senior Housing, $295,004
The Scott County Community Development Agency was awarded $295,004 in cleanup funds for this 6.25-acre site. The former dump will be redeveloped into a 90,918-square-foot, four-story building, which will include 49 housing units for seniors and a community library. The new development is expected to create two jobs, retain two jobs and increase the tax base by $22,031. Remaining costs will be paid by the Metropolitan Council, Scott County and the city of Elko New Market.
Local Contact: Scott County Community Development Agency, William Jaffa, 952-402-9022 

City of St. Paul - Hazelden Campus Expansion, $534,562
The city of St. Paul was awarded $534,562 in cleanup funds for this 3.99-acre site, formerly used for industrial purposes and most recently as a roofing business. Site redevelopment will include demolition of the existing buildings and construction of a 25,000-square-foot addition on the Hazelden St. Paul campus. The redevelopment is expected to create 27 jobs. Remaining cleanup costs will be covered by Ramsey County, the Metropolitan Council and Hazelden.
Local Contact: City of St. Paul, Craig O’Brien, 651-266-6695

City of St. Paul - Schmidt Brewery Site, $770,064
The city of St. Paul was awarded $770,064 in cleanup funds for this 6.02-acre site, formerly a brewery and ethanol plant. The site will be redeveloped into 116 units of affordable housing and 20,000 square feet of office and restaurant space. The new development is expected to create 68 jobs and increase the tax base by $475,055. Matching funds will come from the Metropolitan Council and the developers.
Local Contact: City of St. Paul, Diane Nordquest, 651-266-6640

St. Paul Port Authority - Total Tool Supply Inc., $699,575
The St. Paul Port Authority was awarded $699,575 in cleanup funds for this 2.79-acre site. The former site of a battery manufacturer will be redeveloped into a 10,350-square-foot warehouse and a 7,200-square-foot storage building for Total Tool Supply Inc. The project is expected to create 22 jobs, retain 47 jobs and increase the tax base by $43,253. The Metropolitan Council, Ramsey County and Total Tool Supply Inc. will cover remaining costs.
Local Contact: St. Paul Port Authority, Monte Hilleman, 651-204-6237

St. Paul Port Authority - Viking Drill and Tool, $50,000
The St. Paul Port Authority was awarded $50,000 in investigation funds for this 5.23-acre site, which was once part of a dump. The site will be redeveloped into a 35,500-square-foot facility that will enable Viking Drill and Tool to expand. The redevelopment is expected to increase the tax base by $41,772, create 42 jobs and retain 164 jobs. Remaining costs will be paid by Viking Drill and Tool.
Local Contact: St. Paul Port Authority, Kelly Jameson, 651-204-6240
 


Upon request, the information in this news release can be made available in alternative formats by contacting the DEED Communications Office at 651-259-7149.


Minnesota Department of Employment and Economic Development
Communications Office
Phone 651/259-7149 or 1-800-657-3858 ∙ TTY 1-800-657-3973
www.PositivelyMinnesota.com
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