June 17, 2009 -- Gov. Jennifer M. Granholm today announced that 1,839 jobs will be retained or created through an investment of more than $3.1 million in state Transportation Economic Development Fund (TEDF) grants in eight Michigan counties. The transportation investments will leverage nearly $213 million in private investment at a private/public ratio of 67-to-1.
"These projects will create jobs and spur economic development from New Buffalo to Manistique," Granholm said. "They are part of our strategy to attract and retain job-creating companies to spur Michigan's economy."
"Category A grants make solid transportation improvements while they help create or retain jobs. The TEDF is clearly one of our most effective tools for economic development," said State Transportation Director Kirk T. Steudle.
The TEDF "Category A" or "Target Industries Program" is aimed specifically at providing transportation improvements that encourage private investments in Michigan that will create or retain jobs. The projects are located in Barry, Berrien, Clinton, Ingham, Lenawee, Schoolcraft, Van Buren and Wayne counties.
These road improvements will help accommodate increased traffic and provide commercial routes that are safe and more efficient for new and expanding companies. Private developers, cities, villages, counties and MDOT will provide more than $7.5 million in local matching funds (70 percent) for these projects.
Approved Category A projects by county
Barry County
The Bradford White Corp., a leading manufacturer of water heaters, plans to manufacture two new product lines at its Middleville plant. One product line will use alternative energy sources such as solar, wind and/or heat recovery in place of gas, electric or oil. The second product line is an Ultra Low Nitrous Oxide water heater, designed to reduce nitrous oxide emissions from natural gas combustion by 75 percent. Contingent on the receipt of other state and local incentives, Bradford White will be investing $4,253,000 and create 80 jobs by 2011.
Currently, there is no east-west all-season route from within Barry County to any freeway. This affects the ability of Bradford White to receive raw materials and ship finished product from its Middleville plant. In part, to address this issue, the Barry County Road Commission is in the process of building an all-season route from Whitneyville Road to US-131. As part of this route, the proposed improvements will include constructing a new bridge spanning the Thornapple River on Finkbeiner-Crane Road. In addition, Finkbeiner-Crane Road will be reconstructed from Whitneyville Road to M-37. These improvements will increase trucking efficiency for both Bradford White and other Barry County industries.
The cost of the proposed improvements is $6,001,017, with $420,000 in TEDF Category A funds and $5,581,017 in local match, including $4,481,017 from the Barry County Road Commission, $600,000 from the village of Middleville and $500,000 in MDOT Jobs Today funds.
Berrien County
R Development Group, LLC, an investment and development company, plans to build a water park, conference center and hotel as the first phase of a multi-phase development. Contingent on the receipt of other state and local incentives, the development will be located on US-12 in New Buffalo Township. The development will attract out-of-state tourist traffic, specifically targeting travelers from Chicago and Indianapolis. R Development Group will invest $120,000,000 in the facility, resulting in the creation of 333 jobs by 2011.
The development will result in additional traffic and turning movements, potentially causing delays on US-12. The proposed road improvements include adding a 900-foot center left-turn lane and a dedicated right-turn lane to maintain traffic flow and minimize the impact of additional traffic.
The cost of the proposed improvements is $236,000, with $188,800 in TEDF Category A funds and $47,200 in match provided by R Development Group.
Clinton County
The Michigan Milk Producers Association (MMPA) plant in Ovid processes raw whole milk into butter and non-fat dry milk. MMPA has been committed to Michigan's dairy industry for over 91 years and is proceeding with plans to install a $26,600,000 dryer plant, to increase processing capacity, in addition to an initial $35 million investment to expand and optimize the current plant. The expansion and other recent investments will result in the creation of five new jobs.
Williams Street provides the only all-season access to the facility, but a county drain intersects the roadway in the middle of a sharp curve just west of the facility. Milk tankers with long wheelbases cannot easily navigate the curve without leaving their lanes, resulting in multiple impacts with the guardrails protecting the drain. The proposed project will extend the drain culvert, increase the radius of the curve, and add new guardrail. The cost of these proposed improvements is $88,000, with $68,000 in TEDF Category A funds, and $20,000 in local match from the MMPA.
Ingham County
GreenStone Farm Credit Services is Michigan's largest agricultural lender and the country's fourth largest association in the Farm Credit System. It is a $5 billion organization of 17,500 members with 37 branches in Michigan and Wisconsin. The company is investing $19 million in order to build a new corporate headquarters in East Lansing. The company plans to transfer five employees to Michigan and hire 65 new employees by 2013.
West and Abbey roads do not currently provide the necessary infrastructure for development. The proposed project will remove and replace the existing road, and install a storm sewer, improvements that will provide an enhanced roadway cross section to better accommodate the increased demands of the company and future development in the surrounding area.
The cost of the proposed improvements is $484,934, with $290,970 in TEDF Category A funds and $193,964 in local match from Greenstone Farm Credit Services.
Lenawee County
Tecumseh-Clinton Highway provides the only truck access for numerous businesses in the village of Clinton. Among the companies using this roadway are: Hardwoods of Michigan, Inc., a lumber processor; Eden Foods, Inc., a manufacturer of organic food products; Pallox, Inc. and Michigan Pallet, Inc., wood pallet manufacturers; CTE Sand & Gravel, a mining operation; and Pilkington North America, Inc., a maker of glass products for the automotive industry. The roadway has deteriorated to the point that the village considered putting weight restrictions on the road, which would negatively impact these six companies and might force them to relocate or close, which would jeopardize the jobs of 425 employees.
Tecumseh-Clinton Highway is in poor condition, and will continue to deteriorate. The proposed improvements, which will include the total reconstruction of the roadway and drainage improvements, will allow the highway to remain open to truck traffic year-round.
The cost of the proposed improvements is $1.6 million, including $600,000 in TEDF Category A funds, and more than $1 million in local match.
Schoolcraft County
Emerald Green Recovery, LLC, in Manistique plans to start a used textbook recycling operation. Emerald Green's output will be sold to Manistique Papers as raw materials that will be converted into recycled paper products. Contingent on other state and local incentives, Emerald Green will invest $672,000 in new equipment and the refurbishment of a vacant facility. This investment will result in the creation of 22 jobs by 2012, with a focus on workers with special needs.
The proposed development will result in increased commercial traffic between Emerald Green Recovery and Manistique Papers. The most direct route between the two facilities follows Elk Street, South Houghton Avenue and North Houghton Avenue, none of which meet all-season standards. The project involves improving Elk Street and reconstructing South Houghton and North Houghton avenues, including new curb and gutter and storm sewer. The proposed improvements will create an all-season route for commercial traffic hauling recycled materials to and from Emerald Green Recovery.
The cost of the proposed improvements is $683,500, including $400,000 in Category A TEDF funds, with $70,000 from Emerald Green Recovery and $213,500 from the city of Manistique.
Van Buren County
Honee Bear Canning (HBC) cans Michigan-grown produce including asparagus, cherries, and other fruits and vegetables. HBC is currently in the process of constructing a 92,000-square foot expansion to its current facility located west of M-40 in Porter Township. This $3,000,000 expansion will result in the creation of 15 new jobs.
Lawton Processing, LLC (LP), a joint venture between HBC and Pasco Processing, will be constructing new frozen repacking and frozen processing lines at a nearby closed former Birdseye facility. LP will rehabilitate the existing facility and construct a new building to house a large freezer to support the new product lines. This $21,300,000 investment by the company will result in the creation of 200 new jobs.
The expansions at both facilities will increase commercial and employee traffic in the area. In addition, HBC will relocate its driveway in order to alleviate sight distance concerns on M-40. To accommodate the increased traffic and the new driveway location, new right-turn lanes will be constructed on M-40 at both facilities. The turn lanes will facilitate turning movements for the commercial traffic and allow through-traffic to flow more efficiently and safely. The cost of the proposed improvements is $580,839, including $463,987 in TEDF Category A funds, $25,000 from Honee Bear and $91,852 from MDOT's Southwest Region.
Wayne County
Sysco is the global leader in selling, marketing and distributing food products, equipment and supplies to restaurants, healthcare and educational facilities, lodging establishments and other customers. Their operation at this location also includes the processing of raw fish into fillets for use at restaurants. Sysco needed to expand to accommodate the growth of its operation and considered sites in Michigan, Ohio and Indiana. Sysco will add a second driveway off Van Born Road, approximately 1,000 feet west of the existing driveway in order to facilitate the additional commercial traffic.
Trucks entering Sysco from westbound Van Born Road currently impede through-traffic as they line up to enter the facility. A commitment by Wayne County, Canton Township and the state to extend the right-turn lane on Van Born Road to the new driveway was critical in the company's decision to remain in Michigan and expand its current facility. Sysco will invest $18,000,000 to expand its facility, which will result in the retention of 559 jobs and the creation of 130 new jobs. The cost of the proposed improvements is $916,500, including $733,000 in TEDF Category A funds, $30,000 from Canton Township, and $153,500 from the Wayne County Department of Public Services.
MDOT: Working to improve our state roads and bridges.
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