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City OKs funds for projects

By Nick Smith
Staff Writer
Published/Last Modified on Wednesday, June 24, 2009 11:01 AM CDT


The Williston City Commission acted on a series of proposed grants for Star Fund money and opened bids on stimulus projects during its regular meeting Tuesday evening.

A total of four proposed grants using Star Fund money were discussed. Three of the proposals passed and one was tabled.

One of the approved grants was for $75,525 to continue pursuit of a potato processing plant and market development. Economic Development director Tom Rolfstad said Williston was considered as a site for a plant in the late 1990s and funds for two phases of a feasibility study were supported in 2006 and 2007.

He said with increased visibility, the possibility of a plant being built in Williston is slowly becoming closer to a reality and it could diversify the local economy.

"This could bring around 200 jobs and this could easily result in about a $100 million investment," said Rolfstad. Rolfstad was asked how the funds would be used. He said they would mainly be used to get exposure to the area and deal with tours and conferences involving potato industry contacts.

Mayor Ward Koeser thinks diversifying the local economy is an important effort that has been going on for years. Working toward a potential project such as this could be just what the area needs to meet that goal.

"If $75,000 plus is what it could take to get it to move forward, I'm all for it. It would be the biggest step forward in diversifying our economy in what, 30 years?" said Koeser.

A motion for the proposed grant carried unanimously.

The second grant approved was for $25,000 for the Small Business Development Center. The SBDC assists clients in business start up, expansion and retention. SBDC Regional Director Keith Olson said over 80 percent of their clients is not related to area oil fields.

He also said between 2005 and 2008, the Williston office has been the most successful SBDC office in the state. The commission unanimously approved the grant.

The third grant approved was for a Flex PACE buydown request for $65,000 submitted by Joe LaFave of LaFave Properties, LLC. He was requesting the money with the stipulation that within 12 months of the note being paid off, the Star Fund is to be paid back its capital outlay portion of the buydown in full. This would go toward a 56-room motel he's planning to build on property near the courthouse that is to be completed in 2010.

Rolfstad said LaFave's request is similar to a proposal passed by the commission in April to Brutger Equities for an 80-room Candlelight Suites project. The commission unanimously approved this grant as well.

A fourth proposal was tabled until at least the next meeting to gather more information. The proposal was for $85,950 to Dakota Oil Processing LLC to further process their business plan to develop a crude oil topping facility in the region. President Mike Wavra said this funding would complete its work to get to the next step of the process, that being an equity drive for the project.

Meanwhile, t commission approved bids on stimulus projects with all three awarded to Bechtold Paving Inc. of Minot.

The first project is for milling, paving and incidentals from 26th Street West from 16th Avenue West to Sixth Avenue West and the Second Avenue Frontage Road from Sixth Avenue West to 42nd Street.

The second project is from 22nd Street East from Second Avenue West to University Avenue. The third project is from 22nd Street East from University Avenue to East Dakota Parkway. The total for the three projects is $1,024,978.25.

In other business the commission:

*Approved a engineering contract with Kadrmas Lee and Jackson Inc. for the Amtrak Depot building. The total cost is $69,600.

*A memorandum of understanding was approved between the city of Williston and Community Development Inc. for grant funds to go toward the Williston Waters Edge Housing Project. Community Development Block Grant program funds and Governor's Set Aside program funds would amount to $300,000.

*A final estimation was approved for work on the Williston Fire Department's roof. Thiel Brothers Roofing Inc. of Sidney estimates the cost at $56,073.

*Appointed Pam Aafedt to a term on the Williston Community Library Board beginning July 1, 2009, and ending June 30, 2012. She replaces Barb Underhill, who is prohibited by term limits from serving another term.
 

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