Staff has assisted Snyder & Associates with preparing an application on behalf of property owners to the Iowa Department of Transportation's Revitalizing Iowa's Sound Economy (R.I.S.E.) grant program. The application is for the extension of SE 77th Street and SE Crosswinds Drive (final street name TBD) in the Crosswinds Business Park.  These extensions combined consist of 4,650 LF of new roadway.  These road extensions are necessary to provide access to the proposed Northern Tool & Equipment Company and Kreg Enterprises facilities.  The proposed road network will also open up for development an additional 69 acres along the east side of Interstate 35, spurring additional development in the area.

A funding decision for this award will be made in January, 2019, with design and construction beginning in 2019 and project completion expected in 2020.

The engineer's estimate for the total scope of this project is $4,745,500.  If the application is funded, the maximum grant award from the DOT would be $3,235,520; however, because this would be a hybrid Immediate Opportunity and Local Development Grant, the anticipated grant funding is lower than this amount.  The gap between the project costs and final RISE award would be considered local match. The local match requirement will be met through the TIF rebates provided to Northern Tool and Kreg Enterprises.

If awarded RISE funding, the City would be required to bid the project and manage the project through completion.  Separate agreements with Northern Tool/Ryan Companies and Kreg Enterprises/Property Owner will be drafted and brought to the Council prior to bidding the infrastructure projects.  These agreements will include the reimbursement to the City of all project costs as the construction expenses are incurred.  These agreements will be presented to the City Council for approval in February 2019.

Action: Consider motion to adopt RESOLUTION endorsing a grant application for funding through the Iowa Department of Transportation's "Revitalize Iowa's Sound Economy" (R.I.S.E.) program for the Crosswinds Business Park, Northern Tool & Equipment Company, and Kreg Enterprises, Inc.