August 22, 2006 - - Governor Jennifer M. Granholm today announced that strategic road improvement projects in four Michigan counties, Eaton, Kent, Sanilac and St. Clair, will help drive nearly a quarter billion dollars in private-sector development and create or retain 695 Michigan jobs. The Michigan Department of Transportation (MDOT) is funding nearly $2 million of the local road work with Transportation Economic Development Fund (TEDF) dollars.
"Here is a ringing endorsement of Michigan’s business health: for every state dollar spent on these public road improvements, the private sector is investing $164," said Gov. Granholm. "These targeted road projects are essential to keeping our state an attractive place to expand business operations. They will help pave the way for $234 million in private-sector investments needed to provide good-paying jobs for Michigan residents."
"The TEDF is more than a fund that invests in specific road projects, it's a significant jobs program that spurs economic development and supports the creation or retention of good-paying jobs for Michigan residents," Gov. Granholm said.
The announced improvements include resurfacing, reconstruction, widening, and other upgrades considered crucial to job creation plans. The TEDF will fund $1.4 million of the $1.8 million in work, with local matches totaling $400,000. The improvements will help accommodate increased traffic and provide more efficient commercial routes for four expanding private firms, including Marysville Ethanol, which is investing $95 million in a new production facility to keep Michigan in the forefront of alternative fuel production.
"Businesses large and small need a solid transportation network to succeed," said State Transportation Director Kirk Steudle. "MDOT is proud to partner with private industry and state and local agencies to invest in strategic road improvements that will pay off for years to come."
The TEDF Category A or “Target Industries Program” is specifically aimed at making transportation improvements to encourage private investments in Michigan that create or retain jobs.
APPROVED TEDF PROJECTS BY COUNTY
Eaton County
The city of Charlotte will reconstruct Reynolds Road to industrial street standards from Shepard Street, one-half mile south to the south terminus. The project will improve the drainage and widen Reynolds Road to help facilitate the traffic generated by Spartan Chassis, a manufacturer of custom chassis for motor homes, firetrucks, military vehicles and other specialty vehicles. The company needs to expand its production facilities and considered moving this operation to other locations it owns in South Carolina, South Dakota or Alabama. The commitment to improve the roadway conditions encouraged Spartan Chassis' decision to retain this operation in Michigan. The $14,500,000 expansion will result in the retention of 250 jobs and the creation of 70 new jobs by 2007. The project cost is $487,000, including $389,600 in Category A funds, and $97,400 from the city of Charlotte.
Kent County
MDOT will construct left- and right turn-lanes on US-131 BR (Division Avenue), north of Michigan Street, in the city of Grand Rapids. The lanes will provide access to the new parking ramp adjacent to the Van Andel Institute. The ramp will be used by the Van Andel Institute, which is located in the developing Life Sciences Corridor, for employee, visitor and delivery vehicle parking.
The Van Andel Research Institute is an independent research organization dedicated to improving human health by focusing on cancer research. It will invest $120 million in its new facility and create 300 high-tech research jobs by 2008.
The $543,900 project will be funded with $415,900 in Category A funds, $71,000 from the city of Grand Rapids and the Chrisman Group, and $57,000 from MDOT's Grand Region. The project will be coordinated with the construction of the $4 million Jobs Today Michigan Street bridge improvement project scheduled for 2007. When completed, these two projects will operate together and improve traffic safety and access to this development and support more than 2,000 that will be created in the Grand Rapids Life Sciences Corridor.
Sanilac County
The state will invest $300,840 in Category A funds as part of a $401,050 project to reconstruct Argyle Street between Dawson and North Elk streets, in the city of Sandusky. The project will support a $5 million expansion by Trelleborg Automotive–Sandusky, resulting in the creation of 50 new jobs by the end of 2007. Trelleborg is a global company comprised of five separate business units. The Trelleborg Automotive–Sandusky unit, which has operated in Sandusky for more than 60 years under Trelleborg and other owners, is a Tier 1 and Tier 2 supplier of molded rubber anti-vibration parts for the automotive industry.
Argyle Street, which is used by Trelleborg Automotive for outbound shipments of completed parts, had deteriorated to the point where two-way traffic was difficult. Trelleborg Automotive had considered investing in other existing operations in other states or Mexico in order to meet additional requirements of Daimler-Chrysler, Ford and General Motors. Trelleborg chose this site because of its proximity to a local supplier and a commitment by the city to make improvements to Argyle Street. The city of Sandusky will provide $80,210 and the Sanilac County Economic Development Corporation will provide $20,000 in match money.
St. Clair County
MDOT will add turn lanes on Busha Highway (M-29) in the city of Marysville and St. Clair Township, in support of a new ethanol production facility. Marysville Ethanol, LLC, a subsidiary of Marysville Hydrocarbons, LLC, is constructing an ethanol fuel facility on the site that will use 18 million bushels of corn to produce 50 million gallons of ethanol per year. The new facility will take advantage of its location on existing rail, pipeline, and truck routes and its proximity to petrochemical and refinery operations in Sarnia, Ontario. The additional lanes will be constructed to allow the trucks to smoothly enter the traffic flow on Busha Highway. The $406,000 project includes $324,800 in TEDF Category A funding and $81,200 from Marysville Ethanol, which anticipates hiring 25 new employees by the end of 2007.
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