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Governor announces transportation economic development road projects that will support 3,650 jobs in three counties

Contact:  Bill Shreck, MDOT Director of Communications, 517-335-3084
Agency: Transportation


January 12, 2010 -- Gov. Jennifer M. Granholm today announced the awarding of state transportation economic development grants that will support 3,650 jobs in Clare, Oakland and Ottawa counties. Transportation Economic Development Fund (TEDF) Category A grants totaling $2,455,449 will leverage more than $177,300,000 in private investment at a private/public ratio of 72-to-1.

"These developments are further evidence that our ongoing efforts to diversify Michigan's economy are working," Granholm said. "Michigan is seeing growth in different economic sectors, creating thousands of new jobs."

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. These road improvements will help accommodate increased traffic and provide commercial routes that are safe and more efficient for new and expanding companies. Cities and the Michigan Department of Transportation (MDOT) are providing more than $7 million in local matching funds (75 percent) for this current round of Category A projects.

APPROVED CATEGORY A PROJECTS BY COUNTY

Clare County

Woodsman, LLC, is a wood chipper manufacturer located in Farwell. Woodsman has formed a partnership with Caterpillar, Inc., in which 10 Caterpillar dealers around the United States will sell Woodsman products. To satisfy the increased demand for its products, Woodman plans to expand the Farwell facility and add 80 new employees to the 25 employees currently working at the plant.

Expanding the plant will result in an increase in employee and commercial vehicle traffic on M-115 (Ludington Drive), the primary route used by Woodsman to receive raw material shipments from Clare to manufacture finished products that can weigh up to 40 tons. The current deteriorated condition of this road requires upgrading to maintain all-season access. MDOT will reconstruct M-115 from Cunningham Street in the city of Clare to southeast of Harding Road in the village of Farwell. In order to increase safety, a passing flare will be added at Harrison Avenue and a center left-turn lane will be added at Maple Grove Street and from Cunningham Street to Grant Avenue. MDOT also will add a center left-turn lane from Merrill Street to Webber Street to tie into the existing center left-turn lane at the east end of the village.

The estimated cost of these transportation improvements is $7,358,000, including $1,270,499 in state TEDF funds and a local match of $6,087,501 from MDOT.

Oakland County

Michigan Motion Picture Studios (MMPS), LLC, will be developing and operating movie studios, a movie equipment rental company, and production services in Pontiac. Its operating partner, Raleigh Studios, has a long-term outstanding track record with its numerous studio operations in California, Louisiana, and an operation under development in Budapest. MMPS is investing $75,800,000 to establish operations in Michigan. As the studio expands, it is projected to employ 3,500 people by 2012.

MMPS plans to locate the new studio on Centerpoint Parkway, which is currently in very poor condition. The condition of the roadway impacts MMPS in several ways. As part of the film production process, the studio uses sensitive electronic equipment that can be damaged while being transported over rough roads. Additionally, poor roadway condition could inhibit the ability of the studio to market itself to directors and producers as a suitable location for future projects.

Centerpoint Parkway is currently in poor condition from Opdyke Road to South Boulevard. The existing pavement has massive joint failures and some deterioration of the curb and gutter. This project will remove and replace the defective pavement joints, as well as the sections of deteriorated curb and gutter. Once the joints and curb and gutter have been rehabilitated, the pavement will be treated with diamond grinding to enhance ride quality and safety.

The estimated cost of these transportation improvements is $1,998,350, including $863,350 in state TEDF funds, a local match of $271,000 from the city of Pontiac, and $864,000 from American Recovery and Reinvestment Act (ARRA) funds.

Ottawa County

Continental Dairy Products, Inc., a milk cooperative with 28 member dairy farms located in the Midwest, selected the site of the former Delphi plant on Randall Street in Coopersville over Indiana for a new milk processing plant. Six million pounds of milk per day are expected to be processed into dry powder, cream, condensed milk, non-fat dry milk, and liquid concentrate for domestic wholesale markets. The company will renovate and construct an addition to the former Delphi plant to house operations. The company will create 70 new jobs and make a total private investment of $100,000,000.

Each day the plant will receive about 100 milk trucks and ship out finished products through a freight entrance on Randall Street. Randall Street is in poor condition and will be reconstructed from 68th Avenue to the plant's freight entrance in order to accommodate the truck traffic. The project will include new concrete pavement, along with curb and gutter. Construction is planned for this year and will be completed prior to the opening of the plant in 2011.

The estimated cost of these transportation improvements is $402,000, including $321,600 in state TEDF funds, and $80,400 in local match from the city of Coopersville.

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