Meeting of the Iron Range Resources and Rehabilitation Board 19 2019... · entrepreneurs, restaurants, artists and professionals. Alley A Realty has been operating in Columbia, MO

Meeting of the

Iron Range Resources and

Rehabilitation Board

Iron Range Resources and Rehabilitation Eveleth, Minnesota

Thursday, December 19, 2019 – 11:30 a.m.

IRON RANGE RESOURCES AND REHABILITATION BOARD MEETING DECEMBER 19, 2019

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Meeting of the Iron Range Resources and Rehabilitation Board



TABLE OF CONTENTS

HVAC Project and Facility Improvement Project .......................................................................................... 4

Stern Assembly, Inc. ...................................................................................................................................... 5

John Tanner Ott (Ely State Theatre) .............................................................................................................. 7

TEDF Projects ................................................................................................................................................ 9

ArcelorMittal Minorca ........................................................................................................................ 10

Hibbing Taconite ................................................................................................................................. 12

Northshore Mining Company ............................................................................................................. 13

United Taconite Mining Company ...................................................................................................... 14

USS Keetac .......................................................................................................................................... 15

USS Minntac ........................................................................................................................................ 16

FY20 Development & Community Infrastructure Projects ......................................................................... 18

FY20 Regional Trails Grants......................................................................................................................... 28

Iron Range Higher Education Account ........................................................................................................ 34

Iron Range School Consolidation and Cooperatively Operated School Account ........................................ 42

Addendum A – IRRRB September 9, 2019, Meeting Minutes ...................................................................... a


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MEETING OF THE IRON RANGE RESOURCES AND REHABILITATION BOARD



AGENDA

1) Roll Call

2) Approval of September 9, 2019, Minutes See Addendum A

3) Commissioner’s Comments

4) HVAC Project and Facility Improvement Project

5) Stern Assembly, Inc.

6) John Tanner Ott (Ely State Theatre)

7) Taconite Economic Development Fund (TEDF) Projects

a. ArcelorMittal Minorca b. Hibbing Taconite Company c. Northshore Mining Company d. United Taconite Mining Company e. USS Keetac f. USS Minntac

8) FY20 Development & Community Infrastructure Projects

9) FY20 Regional Trails Grants

10) Iron Range Higher Education Account

11) Iron Range School Consolidation and Cooperatively Operated School Account

12) Other

13) Adjournment


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HVAC Project and Facility Improvement Project

P.O. Box 441 4261 Highway 53 South

Eveleth, Minnesota 55734-0441 (218)735-3000 • 800-765-5043

Date: 12-19-19 To: Iron Range Resources & Rehabilitation Board From: Mark Phillips Commissioner RE: BUDGET INCREASE FOR FACILITY PROJECTS

PURPOSE The agency budgeted to replace failing office heat pumps during FY20. Planning and further analysis has concluded that a more complete renovation is required to meet code. In addition to the HVAC project we will be addressing the need to resize some of our larger offices, creating additional work space.

Project Description

Additional boiler and 4 pipe system installation

Heat pump replacement

Dedicated outside air ventilation system

Shop ventilation system with automatic switching

Updated HVAC controls

Office resizing

Cost

FY20 Budget Amount 450,000

HVAC Increase 650,000

Office Resizing 150,000

Project Total 1,250,000

Total Requested for Budget Increase 800,000


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Stern Assembly, Inc.

7756 College Road

Baxter, Minnesota 56425

Department of Iron Range Resources and Rehabilitation

Participation Loan

Applicant: Stern Assembly, Inc.

Project Location: 5520 Colby Lake Rd, Hoyt Lakes, MN 55750

Principal(s): Shawn Hunstad

Project Description: This loan would be used to purchase equipment for the purpose of expansion to the former Premier Plastics building in Hoyt Lakes. This is part of the original Stern expansion.

Market Opportunity: This project will build on the already established expertise in the rotational and thermoform molding experience of the employees in this region. Due to the tight labor market in Stern’s existing region, it is the intent to bring additional work to the Hoyt Lakes area with growth in the customer base. The expansion from the current production capability will able Stern to better diversify their customer base.

Project Investment: Equipment Loan – Bank Vista – up to 120 month amortization at a negotiated rate.

$125,000

Equipment Loan - IRRR – up to 120 month amortization

$125,000

TOTAL $250,000

Jobs: 10_Retained and 10_ Planned New by end 2020 Wages $_27,000 to $80,000/ year. per year plus benefits

Collateral: First position lien, shared only with bank, on equipment purchased.

Business History: Stern Assembly, Inc. is a supplier of rubber and plastic components to the OEM market. Customers include Polaris, Arctic Cat, Textron, Terex, ASV, Nilfisk, Geringhoff & Toro to name a few. They supply through two entities, Stern Assembly & Rotomolding and Stern Industries. Stern rotational molds and assembles various products for the Agricultural,


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Applicant: Stern Assembly, Inc.

recreational and commercial cleaning industries as well as brokers various rubber & plastic parts. Stern Assembly, Inc. was established in 2008. However, Shawn Hunstad has over 26 years of experience within the rubber and plastic manufacturing industry.

Past Agency History: 8/1/18 - $500,000 loan Balance $488,116 - 11/22/19 - Current

Contingencies: None

Technical Advisory Committee Recommendation:

The TAC recommended approval at its December 10, 2019 meeting.

Funding Authorization: Douglas J. Johnson Economic Protection Trust Fund: This project is authorized under the provision of the Douglas J Johnson Economic Protection Trust Fund Act (Minnesota Statutes sections 298.291 – 298.297) pertaining to expenditures of Douglas J Johnson Economic Protection Trust Fund monies for economic development projects in that these statutes authorize small business development loans to private enterprises for the purpose of job creation and economic development within the Taconite Assistance Area defined in Minnesota Statutes Section 273.1341.


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John Tanner Ott (Ely State Theatre)

234 East Sheridan Street Ely, Minnesota 55731


Direct Loan

Applicant: John Tanner Ott

Project Location: 238 E. Sheridan St.

Principal(s): John Tanner Ott, John Ott, Vicki Ott, Ely State Theater, LLC.

Project Description: This project is to fund a bridge loan to cover expenses while the Ely State Theater, LLC. completes the historic tax process

Market Opportunity: The Ott family has a number of rehabilitation projects within Ely. The rehabilitation of the State Theater is one of them. The opening of the theater will not only give the people of Ely a place to watch a movie, it will also have to capability to host live theatrical performances.

Project Investment: IRRR – Direct loan - negotiated rate of return $300,000.00

Single Payment Due September 1, 2020

TOTAL $300,000.00

Jobs: 21 FTE construction jobs. There is now an operator who will be running the State Theater and they plan to have a full-time manager and several part-time staff to support the theater operations.

Collateral: Personal guarantees from John Ott, Vickie Ott and a guaranty form Ely State Theater, LLC.

Business History: Ott’s Alley A Reality mission is to renovate and develop properties to create vibrant communities. We invest in downtown properties with a buy-and-hold long term investment strategy and lease spaces to entrepreneurs, restaurants, artists and professionals. Alley A Realty has been operating in Columbia, MO since 2004 where they own and manage 35 properties and in Ely, MN where they have completed 8 complete building renovations to date. These 8 properties in downtown Ely now house seventeen unique businesses (10 retail/restaurant


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Applicant: John Tanner Ott

and 7 office). In addition to the commercial uses, there are also 4 apartments that are occupied.

Past Agency History: None

Contingencies: None


The TAC recommended approval at its December 10, 2019 meeting.



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TEDF Projects

a. ArcelorMittal Minorca

b. Hibbing Taconite Company

c. Northshore Mining Company

d. United Taconite Mining Company

e. USS Keetac

f. USS Minntac


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ArcelorMittal Minorca



Date: 12-19-19 To: Iron Range Resources & Rehabilitation Board From: Mark Phillips Commissioner RE: ARCELORMITTAL-MINORCA TACONITE ECONOMIC DEVELOPMENT FUND*PROJECTS - $682,024

ArcelorMittal Minorca is eligible for a rebate of $682,024 subject to the company providing a minimum match of $682,024 for a minimum total project cost of $1,364,048. The ArcelorMittal Minorca Taconite Economic Development Fund Review Committee completed its review on December 10, 2019 and unanimously approved submitting the following five (5) projects for the TEDF rebate. Project 1 – C Filter Cake Bin Replacement - $390,000

Minorca has 6 concentrator bins that feed the balling disc. Failure of one of these bins takes out 1/6th of Minorca’s balling capacity. These bins are inspected regularly to determine a replacement schedule. In 2020 it has been determined that Bin C needs to be replaced. The objective of the project is to eliminate the risk of concentrate bin failure and the associated risk to Minorca’s pellet production.

Project 2 – Flux Plant Structural Steel Replacement - $278,000

Minorca has one flux plant consisting of a crusher and a mill for crushing and grinding Dolomite/Limestone in order to produce a flux pellet that is required by ArcelorMittal’s #7 blast furnace at Indiana Harbor. The structural steel supporting the conveyor feeding the flux crusher needs replacement because it has deteriorated over time due to contact with limestone. This project provides new structural steel to support the flux stone crusher feed conveyor including drip pans.


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Project 3 – Pellet Plant Structural Steel Replacement - $500,000

Minorca has a single pelletizing line. Therefore, it is critical that the line is reliable and that a majority of the maintenance is restricted to a 3-week outage in the spring. The structural steel under the discharge end of this pelletizing line needs replacement. This project provides for replacement steel for the 1618 floor which supports the discharge end of Minorca’s furnace.

Project 4 – Finisher - $300,000

Minorca has 12 finishers that separate the magnetic concentrate from the silica in the concentrator. Previously, the tubs and structural steel have been replaced on eight of these finishers. This project will replace the support structural steel on the remaining four finishers.

Project 5 – Classifier/Cobber Area Structural Steel Replacement - $642,000

The structural steel supporting the access platforms for the line 1, 2 & 3 cobber distribution maintenance platforms is in disrepair and in need of replacement. This project will provide new structural steel and platforms for this area. The project will enhance safety by utilizing a staircase for maintenance instead of the rung ladders that were historically used.


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Hibbing Taconite



Date: 12/19/2019 To: Iron Range Resources and Rehabilitation Board From: Mark Phillips Commissioner RE: HIBBING TACONITE MINING COMPANY TACONITE ECONOMIC DEVELOPMENT FUND*

PROJECTS - $1,913,180

Hibbing Taconite Mining Company is eligible for a rebate of $1,913,180 subject to the company providing a minimum match of $1,913,180 for a minimum total project cost of $3,826,360. The Hibbing Taconite Mining Company Taconite Economic Development Fund Review Committee completed its review on December 9, 2019, and unanimously approved submitting the following project for the TEDF rebate. Project – SD-1 Seepage Cutoff Wall Basin - $4,492,856

A vertical seepage cutoff wall utilizing Deep Soil Mixing techniques was installed in the upstream portion of Starter Dam 1 on Hibbing Taconite’s Tailings Storage Facility. The seepage cutoff wall was found to be the best available alternative to the transition zone needed to lower the water saturation from the upstream pond to the downstream swale. This is a large component in achieving desired dam stabilities.


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Northshore Mining Company



Date: 12/19/2019 To: Iron Range Resources and Rehabilitation Board From: Mark Phillips Commissioner RE: NORTHSHORE MINING COMPANY TACONITE ECONOMIC DEVELOPMENT FUND*

PROJECTS - $1,398,015

Northshore Mining Company is eligible for a rebate of $1,398,015 subject to the company providing a minimum match of $1,398,015 for a minimum total project cost of $2,796,030. The Northshore Mining Company Taconite Economic Development Fund Review Committee completed its review on November 19, 2019, and unanimously approved submitting the following project for the TEDF rebate. Project – Conveyor I – Low Silica Project - $5,114,534

The project calls for a yard conveyor for the Direct Reduction Grade Pellet transportation. The Direct Reduction pellets transfer from the furnace discharge conveyors to Conveyor I which moves the pellets to the north end of the pellet storage yard.


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United Taconite Mining Company



Date: 12/19/2019 To: Iron Range Resources and Rehabilitation Board From: Mark Phillips Commissioner RE: UNITED TACONITE MINING COMPANY TACONITE ECONOMIC DEVELOPMENT FUND*

PROJECTS - $991,169

United Taconite Mining Company is eligible for a rebate of $991,169 subject to the company providing a minimum match of $991,169 for a minimum total project cost of $1,982,338. The United Taconite Mining Company Taconite Economic Development Fund Review Committee completed its review on December 4, 2019, and unanimously approved submitting the following project for the TEDF rebate. Project – Ball Mill #3 Shell Replacement - $2,800,000

In 2018, United Taconite installed a replacement shell on #3 ball mill. The mill is one of five mill lines that reside in United Taconite’s concentrator. Production capacity is evenly balanced throughout the site, and any disruptions throughout the system can result in lost production. The mill’s original shell was installed in 1976, and, in recent years, began to show the effects of many years of operation. Structural fatigue manifests as unplanned outages which results in lost production. While temporary repairs have delayed replacement, a permanent solution was implemented by replacing the existing shell with a new shell featuring an improved design.


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USS Keetac



Date: 12/19/2019 To: Iron Range Resources and Rehabilitation Board From: Mark Phillips Commissioner RE: US STEEL - KEETAC TACONITE ECONOMIC DEVELOPMENT FUND* PROJECTS - $908,797

US Steel - Keetac is eligible for a rebate of $908,797 subject to the company providing a minimum match of $908,797 for a minimum total project cost of $1,817,594. The US Steel – Keetac Taconite Economic Development Fund Review Committee completed its review on November 3, 2019, and unanimously approved submitting the following two (2) projects which will share the TEDF rebate. Project 1 – Keetac Main Transformer Upgrade - $1,300,000

The Keetac main incoming transformers and protective relays are past their economic life. One of these systems catastrophically failed in 2014 causing significant damage, leaving the entire Keetac facility shut down for many hours. The high voltage bushings on the remaining transformers are a known design issue, prone to catastrophic failure. Dissolved gas sampling on one of the transformers is showing preliminary signs of failure. The remaining 5 transformers and protective relays need to be replaced to minimizing production risk. The project will replace the second of the six plant incoming transformers and corresponding protective relay equipment.

Project 2 – Keetac Mine Extension - $900,000

Minnesota Ore Operations, Keetac Annual Operating Plan calls for 19.1 million tons of crude ore to meet forecasted pellet production. The long-range mine plan requires the footprint of the mine to extend south and east to uncover and extract the needed iron ore. The continual extending of the mine footprint requires upgrades and extensions to the electrical infrastructure as well as mine dewatering systems. This purchase and equipment installation to extend/upgrade the mine dewatering systems will allow for continued advancement.


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USS Minntac



Date: 12/19/2019 To: Iron Range Resources and Rehabilitation Board From: Mark Phillips Commissioner RE: US STEEL - MINNTAC TACONITE ECONOMIC DEVELOPMENT FUND* PROJECTS –

$3,331,402

US Steel - Minntac is eligible for a rebate of $3,331,402 subject to the company providing a minimum match of $3,331,402 for a minimum total project cost of $6,662,804. The US Steel – Minntac Taconite Economic Development Fund Review Committee completed its review on November 3, 2019, and unanimously approved submitting the following three (3) projects which will share the TEDF rebate. Project 1 – Minntac Lines 3 & 4 Pre-Classification - $5,000,000

In 2004, Pre-classification equipment was installed on the Minntac Step 3 concentrating lines to optimize the flotation circuit by greatly reducing the amount of fines reporting to flotation. Adding pre-classification equipment to the Step 1 & 2 concentrating lines in the concentrator. Converting lines 3 & 4 will be first. New equipment including cyclone clusters, sumps, pumps, and piping will be added for material processing and handling. The cyclone clusters will reduce the total solids tonnage feeding the flotation circuit by performing a size separation. The modifications are expected to improve recovery in the Step 1 & 2 process by approximately 2% as well as a cost savings from less chemical consumption. (amine & defoamer)

Project 2 – Minntac Mine Extension - $1,500,000

The Minntac business plan calls for the mine footprint to continue extending southward to uncover and extract iron ore. The continual extending of the mine footprint requires upgrades and permanent extensions to the electrical infrastructure as well as the permanent mine dewatering systems.


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This project is for the purchase and installation of equipment to extend the electrical infrastructure and the mine dewatering systems to enable the first phase of mining in permitted areas to the south. The project also allows for exploratory drilling and analysis in the new areas for mine planning efforts.

Project 3 – Minntac Dark River Seeps Collection - $1,500,000

A seep collection and return system was installed in 2010. A requirement of a 2011 SOC (Schedule of Compliance) between U.S. Steel, MPCA and the revised tailings basin NPDES permit is to collect and return surface seeps discharging to the Dark River Watershed eliminating that source of pollutants. This project will install a seep collection and pump back system on the western perimeter of the tailings basin dike similar to a system previously installed on the east perimeter. The entire system will consist off four catchment areas with each area consisting of sheetpile walls, piping and/or ditching, a pump station and associated infrastructure for the pumps including access, power and controls.

*Minnesota Statues 298.227, authorize grants to Minnesota’s taconite producers for workforce development, concurrent reclamation, plant and stationary mining equipment, facilities for the producer, or for research and development in Minnesota on new mining, taconite, iron, or steel production technology, but only if the producer provides a matching expenditure equal to the amount of the distribution to be used for the same purpose. These funds are held in the Taconite Economic Development Fund.


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FY20 Development & Community Infrastructure Projects



Date: December 19, 2019 To: Iron Range Resources & Rehabilitation Board From: Mark Phillips Commissioner RE: FY20 DEVELOPMENT & COMMUNITY INFRASTRUCTURE PROJECTS

PURPOSE The Development Infrastructure grant program provides funds to cities, townships and tribal units of government that may be used for infrastructure, sitework or healthcare capital projects that support economic development. The Community Infrastructure grant program helps cities, townships and tribal units of government fund infrastructure projects located within the agency's service area to support community development. ECONOMIC IMPACT

FY20 infrastructure grants 20

Iron Range Resources & Rehabilitation investment

$3,633,900

Total investment

Leverage public/private

$41,593,279

1:11

DEVELOPMENT INFRASTRUCTURE City of Hibbing Development Infrastructure Grant Amount: $350,000 The project consists of phase I infrastructure and a road for the development of an industrial recycling center on a 26-acre site on the north side of 25th Avenue West. The Scranton Iron Yard Recycling Center will include the construction of a new processing/office building and scale house. The project also involves the acquisition and relocation of the former Hibbing Salvage. Hibbing Salvage is located in


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downtown just off of First Avenue and Howard Street, and its relocation and clean-up is a priority for the city. The project is expected to provide 30 permanent jobs and 16 construction jobs.

USES SOURCES

Infrastructure, road and site work

$1,228,899 Iron Range Resources & Rehabilitation

$350,000

Building construction 961,000 Private 1,004,895

A&E 28,000 HEDA 250,000

Contingency 218,996 City 832,000

TOTAL $2,436,895 TOTAL $2,436,895

City of Grand Rapids Development Infrastructure Grant Amount: $300,000 The project consists of wastewater treatment plant upgrades. The wastewater treatment plant (WWTP) treats both domestic and industrial effluent, with the primary industrial customer served being UPM Blandin Paper Company. The effluent from UPM’s manufacturing process is conveyed to the WWTP through a two-mile-long 30” diameter force main. With the volume of effluent decreasing, a result of the closures of less efficient Paper Machines 3 and 4 (2002) and Paper Machine 5 (2017), it now takes over two hours for the effluent to travel to the WWTP, allowing bacteria to breakdown and causing foul gases to form. Although not completely effective, it takes costly chemical additives of calcium nitrate, hydrogen peroxide and zinc to combat the foul gases. The proposed project would eliminate the use of chemical treatment and replace it with two SuperOxygenation System units. The upgrades will improve the quality of life for the residents of Grand Rapids by eliminating odor issues altogether, and improve water quality by eliminating the discharge of residual chemicals into the Mississippi River.

The infrastructure will also significantly reduce WWTP operations and maintenance costs, passed onto Blandin through wastewater treatment rates. The cost of effluent treatment, including the landfill disposal of the wood fiber byproduct mandated by environmental regulations, is considerably more than the incineration methods permitted in other localities. For this reason, Blandin’s effluent treatment/disposal costs, compared to competitors in the global market, are far higher. This project will reduce Blandin’s significant annual expense for its effluent treatment/disposal from $4.7M to $4.1M. This will increase Blandin’s competitiveness as they provide 230 jobs in Itasca County. The project is expected to create five construction jobs.

USES SOURCES

Oxygenation system units $765,600 Iron Range Resources & Rehabilitation

$300,000

SCADA systems 94,400 GRPUC 490,000

A&E 15,000 City 75,000

Blandin Foundation 10,000

TOTAL $875,000 TOTAL $875,000


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City of Two Harbors Development Infrastructure Grant Amount: $85,000 The project consists of design and installation of a sanitary sewer monitoring station for Castle Danger Brewery. The station will consist of a flow meter manhole and automatic sampler building which will measure sanitary sewer flows from the brewery and take samples of the discharged waste to determine rates for the industry. The station will allow the city of Two Harbors to properly regulate and monitor Castle Danger Brewery as required by the Minnesota Pollution Control Agency to ensure proper treatment and protection of Lake Superior. This project is also one step in insuring Castle Danger continues to operate in Two Harbors. They have created jobs not only within their own facilities but have been an opener for many other opportunities in the historical downtown district. Castle Danger currently has 41 full-time employees. There is potential for more growth and expansion and the city wants Castle Danger to remain a part of the community. The project is expected to create one construction job.

USES SOURCES

Treatment monitoring system $150,000 Iron Range Resources & Rehabilitation

$85,000

A&E 50,000 City 115,000

TOTAL $200,000 TOTAL $200,000

COMMUNITY INFRASTRUCTURE City of Aitkin Community Infrastructure Grant Amount: $85,000 The project is phase III of the 1st Street NW Improvement Project and includes water line infrastructure replacement and road reconstruction between 8th Avenue NW and 12th Avenue NW. The proposed improvement includes the addition of water service connections to currently unserved properties, the replacement of an aged, undersized watermain along 8th Avenue NW to improve water system pressure and supply to the west portion of the city, the full depth reclamation of 1st Street NW, and reconstruction of 8th Avenue NW and 9th Avenue NW. The project is expected to create four construction jobs.

USES SOURCES

Infrastructure and road reconstruction

$350,452 Iron Range Resources & Rehabilitation

$85,000

A&E 64,300 City 364,797

Contingency 35,045

TOTAL $449,797 TOTAL $449,797


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City of Aitkin Community Infrastructure Grant Amount: $65,000 The project consists of the redevelopment of the city park. The first phase focuses on the construction of a new building that is the central gathering space of the city park. As well as updating a dilapidated ice rink. Currently, there is a building in the park that has been used in the past as a warming house during the winter months for the city ice rink. That will be torn down and rebuilt as a new community gathering hall. It will have a multi-use space with a kitchen, a handicap accessible bathroom and a large gathering room as well as a storage space on the opposite end of the building for maintenance supplies and equipment. A new multi-use hockey rink will be built and used in the summer as four pickleball courts. A new parking lot will be paved. The project is expected to create four construction jobs.

USES SOURCES

Site work and building $263,920 Iron Range Resources & Rehabilitation

$65,000

Park amenities 164,285 City 83,705

Parking lot 28,500 MN DNR 218,000

Community 90,000

TOTAL $456,705 TOTAL $456,705

City of Aurora Community Infrastructure Grant Amount: $150,000 The project consists of upgrades and replacement to the anaerobic digestion system at the city’s wastewater treatment facility (WWTF). The system failed in November 2018 when the primary digester experienced over-pressurization and the cover was lifted from the structure causing structural damage to the cover and tank. The improvements will include repairs to the tank cover and walls and modifications to the existing piping and gas handling systems to allow safe operation of the anaerobic digestion system. The project is needed to bring the biosolids handling facilities at the WWTF back into operation. The project is expected to create eight construction jobs.

USES SOURCES

Construction $940,000 Iron Range Resources & Rehabilitation

$150,000

A&E 210,000 City 750,000

CDBG 250,000

TOTAL $1,150,000 TOTAL $1,150,000

City of Biwabik Community Infrastructure Grant Amount: $250,000 The project consists of total road reconstruction and utility replacement of a segment of Highway 135 to include Main Street through Biwabik in coordination with MNDOT. The project will cover two phases and begin in the summer of 2020 and end in the fall of 2021. The phases of road reconstruction are comprised of driving surfaces and sidewalks, curb and gutter and parking lanes. The sanitary sewer, water and storm sewer systems will be repaired or replaced, and the electrical system will be repaired


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and upgraded to ensure adequate street lighting for driver and pedestrian safety. The project is expected to create 20 construction jobs.

USES SOURCES

Road reconstruction and utility replacement


$250,000

A&E 300,000 City 250,000

Contingency 250,000 MNDOT 2,633,958

TOTAL $3,133,958 TOTAL $3,133,958

Chisholm-Hibbing Airport Authority Community Infrastructure Grant Amount: $88,000 The project consists of security and public safety fencing upgrades at the Range Regional Airport. The airport has just under 5 miles of 10-foot-tall chain link fence that surrounds the Airport. The fence provides public and private protection as well as keeps wildlife outside of the aircraft operation areas. The fence was originally installed in 2001 and was repaired in 2010 to lower the fence that was damaged by frost heaving. In 2010 the airport installed five feet of additional chain link fence to skirt the bottom of the main fence so that future frost damage would not leave openings under the main fence. Approximately half of the perimeter fence received the upgrade. The project will complete the remaining half of perimeter fence skirting, adjust frost heaved posts, and remove an unnecessary access gate. The project is expected to create two construction jobs.

USES SOURCES

Fence construction $180,750 Iron Range Resources & Rehabilitation

$88,000

A&E 25,847 MNDOT 108,000

Contingency 18,075 Airport 28,672

TOTAL $224,672 TOTAL $224,672

City of Cook Community Infrastructure Grant Amount: $63,400 The project consists of construction of an ADA compliant ramp, sidewalks, bathrooms and parking lot upgrades. The community of Cook and the surrounding area spent six years building the community center with all building materials donated at cost and 90% of labor donated. This 4,500 square foot community center serves the community in several capacities, but most importantly it is the designated storm and emergency shelter. It is also the community polling place for elections. The city is committed to bringing the facility into ADA compliance after a review by the State Fire Marshall. The project is expected to create two construction jobs.

USES SOURCES

Facility and site ADA upgrades $155,845 Iron Range Resources & Rehabilitation

$63,400

A&E 28,052 City 50,000

15,584 CDBG 86,081


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TOTAL $199,481 TOTAL $199,481

City of Ely Community Infrastructure Grant Amount: $200,000 The project consists of water, sewer and storm sewer upgrades to James Street. The improvements on James Street between Central Avenue and 8th Avenue East are being completed in conjunction with the St. Louis County Public Works Department reconstruction of this county road in 2020. The cooperative project allows the city to complete the utility reconstruction in conjunction with St. Louis County road reconstruction and provide a mutual benefit to residents. The project makes improvements to the city of Ely’s water distribution system, sanitary sewer collection systems and storm drainage systems which are essential services to residents. Without these services, drinking water and wastewater treatment would not be available and could create health and safety problems. The project is expected to create 25 construction jobs.

USES SOURCES



$200,000

A&E 534,507 City 944,500

Contingency 295,868 CDBG 250,000

St. Louis County 2,400,000

TOTAL $3,794,500 TOTAL $3,794,500

Embarrass Township Community Infrastructure Grant Amount: $45,000 The project consists of ADA compliant bathroom house replacement in Embarrass Township. The bathrooms have been heavily used over the years and are in disrepair. The current holding tanks for the bathrooms were leaking and are subsequently shut down. The use of porta-potties has been a very expensive alternative for the township. This wayside rest and information center are used heavily by tourists. The visitor center located on the site is a historic building with brochures for regional amenities and an old sauna for tourist viewing. In the summer months the visitor center is the starting point for the Embarrass historical property tours that the township offers. The project is expected to create one construction job.

USES SOURCES

ADA restrooms & holding tanks


$45,000

Tank removal 2,500 Township 12,500

CDBG 35,000

TOTAL $92,500 TOTAL $92,500


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City of Eveleth Community Infrastructure Grant Amount: $210,000 The project consists of water, sewer, storm sewer upgrades and road reconstruction to Garfield Street. This project makes improvements to the city of Eveleth’s water distribution system, sanitary sewer collection systems and storm drainage systems by replacing old cast iron water lines and clay tile sewer lines which are exposing the city to cost maintenance increases due to line breaks. These upgrades are essential services to the residents. Without these services, drinking water and wastewater treatment would not be available and could create health and safety problems. The project is expected to create nine construction jobs.

USES SOURCES



$210,000

A&E 195,446 City 1,043,413

Contingency 154,300 CDBG 125,000

TOTAL $1,378,413 TOTAL $1,378,413

Eveleth-Virginia Airport Authority Community Infrastructure Grant Amount: $200,000 The project consists of the reconstruction of the south half of the existing aircraft parking apron. The existing apron is over 40 years old and has a PCI ranging from 52 to 55. The last major repair was completed in 2000. The pavement has reached the end of its useful life with raveling, swelling, heaving and depressing, as well as longitudinal, transverse, block and alligator cracking. Full-depth reconstruction is needed now to extend the useful life of the apron to accommodate the loading and unloading of passengers and cargo. The reconstruction will adjust the geometry to meet FAA airport design standards for the safe maneuvering of aircraft. The project is expected to create 11 construction jobs.

USES SOURCES

Apron construction $1,585,670 Iron Range Resources & Rehabilitation

$200,000

A&E 136,928 MNDOT 383,862

FAA 1,113,862

Airport 24,874

TOTAL $1,722,598 TOTAL $1,722,598

City of Gilbert Community Infrastructure Grant Amount: $250,000 The project consists of total road reconstruction and utility replacement of a segment of Highway 37 to include Main Street through Gilbert in coordination with MNDOT. The project will cover two phases and begin in the summer of 2020 and end in the fall of 2021. The phases of road reconstruction are comprised of driving surfaces and sidewalks, curb and gutter, and parking lanes. The sanitary sewer, water and storm sewer systems will be repaired or replaced and the electrical system will be repaired


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and upgraded to ensure adequate street lighting for driver and pedestrian safety. The project is expected to create 41 construction jobs.

USES SOURCES



$250,000

A&E 118,000 City 1,309,000

Contingency 73,000 MNDOT 4,800,000

TOTAL $6,359,000 TOTAL $6,359,000

City of Grand Marais Community Infrastructure Grant Amount: $250,000 The project consists of total road reconstruction and utility replacement of a segment of Highway 61 to include Main Street through Grand Marais in coordination with MNDOT. The project will cover two phases and begin in the summer of 2020 and end in the fall of 2021. The phases of road reconstruction are comprised of driving surfaces and sidewalks, curb and gutter, and parking lanes. The sanitary sewer, water and storm sewer systems will be repaired or replaced and the electrical system will be repaired and upgraded to ensure adequate street lighting for driver and pedestrian safety. The project is expected to create 66 construction jobs.

USES SOURCES



$250,000

A&E 816,000 City 782,980

MNDOT 8,747,500

BWSR 120,000

TAP 300,000

TOTAL $10,200,480 TOTAL $10,200,480

City of Hoyt Lakes Community Infrastructure Grant Amount: $240,000 The project consists of road reconstruction for Suffolk and Andover Streets. The infrastructure improvements include removal and replacement of sanitary sewer lines, water lines, curb, gutter, culverts, storm water drainage improvements, manholes, street reconstruction and bituminous overlays. The sanitary sewer lines, water lines, storm sewer system and streets are very old and extremely deteriorated. The city has had to repair the infrastructure in these areas numerous times over the last several years. The replacement of these lines will help to reduce the amount of Inflow and Infiltration (I/I) into the sanitary sewer system. The reduction of the I/I will result in the city treating less water at the waste treatment plant and reducing their annual operating cost. The project is expected to create 10 construction jobs.


PAGE 26

USES SOURCES



$240,000

A&E 131,655 City 1,208,134

Contingency 219,414

TOTAL $1,448,140 TOTAL $1,448,140

City of LaPrairie Community Infrastructure Grant Amount: $250,000 The project consists of upgrading and expanding infrastructure to the Glenwood Acres area in the city of LaPrairie. The upgrades and extensions will include water, sanitary sewer, water, storm drainage and street improvements and reconstruction on Martin Street, Lorane Drive, Saylor Street and MaryAnn Drive. There is currently no municipal water and sewer service to this section of the city. All residents in Glenwood Acres have private wells and septic systems. The project is expected to create 10 construction jobs.

USES SOURCES



$250,000

A&E 271,639 City 1,266,650

Contingency 113,183

TOTAL $1,516,650 TOTAL $1,516,650

City of Meadowlands Community Infrastructure Grant Amount: $52,500 The project consists of storm water upgrades by replacing collapsed and heaved culverts in driveways or alleys, and ditching improvements. Stormwater drainage on Elm and Cedar Streets has deteriorated. Ditches are non-functional, culverts are collapsed or heaved, creating stormwater backups during rainfall events. In 2019 improvements were completed to Scott and Western Avenues as phase one of the drainage improvements. Scott and Western Avenues are the downstream side where improvements need to be made first before going upstream to the streets. The streets drain to the avenues. Improvements during phase one have been successful. The project is expected to create one construction job.

USES SOURCES



$52,500

A&E 15,000 City 17,500

City 35,000

TOTAL $105,000 TOTAL $105,000


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City of Silver Bay Community Infrastructure Grant Amount: $250,000 The project consists of waste treatment facility upgrades to include the replacement of an existing 25-year-old steel primary clarifier mechanism, and two 50-year-old pumps (primary sludge launder recycle pump and clarifier sludge recirculation pump) that have exceeded their useful life. These are all required for efficient primary clarifier operation. The project will also include the replacement of the manual pretreatment system to an automated system, digester improvements, and dome covers on all clarifiers. The funding for the pretreatment portion has been secured by PFA. Engineering has been completed, and public bids have been received. The project is expected to create 31 construction jobs.

USES SOURCES

Construction $4,410,157 Iron Range Resources & Rehabilitation

$250,000

A&E 395,338 PFA 2,677,296

PSIG/WIF 1,878,199

TOTAL $4,805,495 TOTAL $4,805,495

City of Virginia Virginia Economic Development Authority (VEDA) Grant Amount: $250,000 The project consists of funding the city of Virginia with a grant to be administered by VEDA. The VEDA revolving loan fund currently doesn’t have the funding capacity to assist in an ADA compliant facility upgrade project in Virginia. VEDA will administer the grant funds through their revolving loan fund and provide funding as part of the facility upgrades for Arrowhead Economic Opportunity Agency (AEOA) ADA Compliant construction project. AEOA is rehabilitating its main office building located at 702 3rd Avenue S. in Virginia. The plan is for the replacement of an existing accessible entrance ramp and signage, a new HVAC system, parking lot renovation, board room and bathroom upgrades. This request is to assist with the replacement of the ADA compliant handicapped accessible entrance ramp and to make accessible bathroom upgrades. The total project cost is $1,044,000 and is expected to create seven construction jobs.


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FY20 Regional Trails Grants



Date: 12/19/2019 To: Iron Range Resources and Rehabilitation Board From: Mark Phillips

Commissioner RE: FY20 REGIONAL TRAILS GRANTS

PURPOSE The Regional Trails grant program provides funding to assist with design, engineering and construction of various types of trails. ECONOMIC IMPACT FY20 Regional Trail Grants 10 Iron Range Resources & Rehabilitation investment $1,404,621 Total Investment $5,375,113 Leverage 1:3 Arrowhead Regional Development Commission Grant Amount: $17,621 The Arrowhead Regional Development Commission proposes to assist the North Country Trail Association (NCTA) and its local affiliates in its route planning of the North Country Trail in Northeastern Minnesota. NCTA is attempting to locate a trail route in a predefined corridor to complete a 150-mile gap in Northeast Minnesota, and has requested assistance with public engagement and GIS services for Zone 2: Ely, Zone 4: Grand Rapids to McCarthy Beach State Park and Zone 6: Laurentian Gap (Lake Vermilion area).

USES SOURCES

Public and Partner Engagement


$17,621

GIS Services $12,015 North Country Trail Association

$17,621

TOTAL $35,242 TOTAL $35,242


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City of Chisholm Grant Amount: $30,000 Northern Traxx ATV Club (NTXX) and the City of Chisholm proposes to design and construct a dedicated All Terrain Vehicle (ATV) trail that connects Chisholm to Hibbing. The first stages in this process are 1) the selection of a trail alignment, 2) negotiating acceptable use terms with landowners, and 3) identifying any permits that may be necessary. After this process is complete, the second stage will begin, which consists of detailed trail specifications and construction.

USES SOURCES

Planning, engineering and permitting


$30,000

Northern TRAXX ATV Club $5,000

Quad Cities ATV Club $30,000

TOTAL $65,000 TOTAL $65,000

City of Cuyuna Grant Amount: $82,000 This grant is to complete the construction of the City of Cuyuna Connector trail and the Cuyuna Hills trail. Both trails are purpose-built single-track trails for pedestrian, hiking, cycling, and snowshoeing. The City of Cuyuna Connector trail is 4 miles, and the Cuyuna Hills is 8 miles long. Both trails will be connected to the existing 30 miles of single-track trails within the Cuyuna Country State Recreation Area.

USES SOURCES

Trail Construction $528,000 Iron Range Resources & Rehabilitation

$82,000

Parking Lot Construction $40,000 Hallett Trust $264,000

Parking lot Land Survey $2,000 Cuyuna Fundraising Campaign $264,000

On-Trail Signage $4,000

Construction Project Management

$36,000

TOTAL $610,000 TOTAL $610,000

City of Ely Grant Amount: $190,000 This grant is for phase two of a Mt. bike trail project located at the Hidden Valley Ski Area in Ely. It

consists of approximately 9 miles of purpose-built trails for summer and winter riding. All trails are

single track, directional, low impact, and sustainable. The completed trail system will consist of six loops

ranging from beginner to advanced. The first phase of trail construction was completed in 2019.

USES SOURCES

Trail Construction $376,601 Iron Range Resources & Rehabilitation

$190,000

Signage and Site Improvements

$4,000 Federal Recreational Trail Program

$150,000


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City of Ely $40,601

TOTAL $380, 601 TOTAL $380,601

City of Grand Rapids Grant Amount: $250,000 The project includes the construction of .68 miles of a 10-foot wide multi-use bituminous trail along US Highway 2 West, connecting the City of Grand Rapids trails to the City of Cohasset trails. Completing this final gap in the network will provide safe access from northwestern Grand Rapids to multiple Cohasset recreational facilities such as Portage Park and Tioga Beach.

USES SOURCES

Construction $566,020 Iron Range Resources & Rehabilitation

$250,000

Engineering $122,912 Transportation Alternatives Program

$300,000

City of Grand Rapids $138,932

TOTAL $688,932 TOTAL $688,932

Crane Lake Township Grant Amount: $100,000 Crane Lake Township is making this grant request on behalf of the Voyageur Country ATV club. As part

of their master plan, the project is to improve a 5.6-mile wooded trail from the resort community of

Crane Lake to Vermilion Falls Picnic Area for ATV/Snowmobile-usage. The club considers this a priority

route within their core trail system since it avoids paved and gravel county roads and instead traverses

through the woods, creating a more immersive experience for riders.

USES SOURCES

Engineering $100,000 Iron Range Resources & Rehabilitation

$100,000

Construction $600,000 Federal Recreational Trail Program

$150,000

LCCMR $400,000

Crane Lake Township $50,000

TOTAL $700,000 TOTAL $700,000

Lady Slipper Scenic Byway Grant Amount: $200,000 This project is construction of a pedestrian/bicycle connecting trail and bridge across the Mississippi River adjacent to Beltrami County Highway 39, known as the Lady Slipper Scenic Byway. The pedestrian bridge will allow for safe passage across the river and connect to the paved shoulders of the highway, which were widened in the recent reconstruction to accommodate pedestrian traffic. The trail bridge will serve as a scenic overlook for pedestrians and provide a safer crossing for regional residents, tourists and members of the Leech Lake Band of Ojibwe.


PAGE 31

USES SOURCES

Planning, Design & Enginnering


$200,000

Bridge and Connecting Trail Construction

$610,000 MnDot Transportation Alternatives Program

$227,000

Federal Lands Access Program $183,000

Beltrami County Development Fund

$95,000

Scenic Byways Transportation Alternatives Program

$26,400

NW Minnesota Foundation $6,600

Leech Lake Band of Ojibwe $2,000

TOTAL $740,000 TOTAL $740,000

Over the Hills Gang ATV Club Grant Amount: $25,000 The Over the Hills Gang ATV Club, located in the Emily, MN area, proposes to construct a 16-mile ATV trail called the Emily Blind Lake Trail. This new trail connects Cass, Crow Wing, and Aitkin Counties through an approximately 75-mile loop, while providing access to hundreds of additional miles of ATV trails. This trail is part of the 2012 Crow Wing County Comprehensive Recreational Trail Plan.

USES SOURCES

Construction Permits including Wetland Credits and Storm Water Protection Plan Permit


$25,000

1938 linear Feet of “Puncheon” design boardwalk

$54,264 MN Grant in Aid Trails Assistance Program

$72,363

200 linear feet of elevated boardwalk

$30,000 Yamaha Outdoor Access Initiative Grant in Aid

$15,000

Trail Brushing, Fill, Culvert, Trail Hardening

$22,574 Over The Hills Gang ATV Club $12,975

Trail Signs, Posts, Maps, Liability Insurance, Project Admin.

$10,000

TOTAL $125,338 TOTAL $125,338

St. Louis & Lake Counties Regional Railroad Authority Grant Amount: $450,000 The St. Louis and Lake Counties Regional Railroad Authority is a political subdivision of the State of Minnesota and owns, manages, and constructs the Mesabi Trail. Since 1993, The Mesabi Trail has been built in segments, with roughly 130 miles completed, and is Minnesota’s longest paved bicycle and hiking trail. It connects 28 communities across two counties and through the heart of the Iron Range. This proposal consists of two significant trail segments for early 2020 construction, the Palo Tia


PAGE 32

project in Embarrass Township, and a phase of the Vermilion State Park to Eagles Nest Town Hall project.

USES SOURCES

Engineering $190,000 Iron Range Resources & Rehabilitation

$450,000

Construction $1,710,000 LCCMR $700,000

Legacy $750,000

TOTAL $1,900,000 TOTAL $1,900,000

Superior Hiking Trail Association Grant Amount: $60,000 The Superior Hiking Trail runs 300 miles, from the Minnesota-Wisconsin state line through the city of Duluth to the Canadian border. The trail has been in existence for 33 years and it is estimated to attract 75,000 visitors annually. The proposed “Gooseberry Gap” trail construction project is located between Gooseberry River State Park and Split Rock Lighthouse State Park. It consists of 3.5 miles of new trail needed due to the original trail being displaced upon the request of the private land owner.

USES SOURCES

Clear land, create tread, any necessary wood structures and materials.


$60,000

Environmental and Natural Resources Trust Fund

$60,000

Members and Supporters of SHTA

$10,000

TOTAL $130,000 TOTAL $130,000


PAGE 33



Date: 12/19/2019 To: Iron Range Resources and Rehabilitation Board From: Mark Phillips

Commissioner RE: FY20 REGIONAL TRAILS GRANT

PURPOSE The Regional Trails grant program provides funding to assist with design, engineering and construction of various types of trails. Iron Range Tourism Bureau Grant Amount: $50,000 The Northern St. Louis County Trails Task Force has been meeting regularly since March of 2015. The

members represent land managers from the DNR, US Forest Service, and St. Louis County, as well as

clubs and user groups including ATV, snowmobiling, road cycling, mountain bike, hiking, cross-country

skiing, Jeepers and horseback riding.

This project establishes a fund administered by the Trails Task Force to provide funding for existing heavy trail upgrades.

USES SOURCES

Existing heavy trail upgrades. $100,000 Iron Range Resources & Rehabilitation

$50,000

Cities, Clubs, County $30,000

Industry (Polaris, Yamaha, etc.) $20,000

TOTAL $100,000 TOTAL $100,000


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Iron Range Higher Education Account P.O. Box 441

4261 Highway 53 South Eveleth, Minnesota 55734-0441 (218)735-3000 • 800-765-5043

Date: December 19, 2019 To: Iron Range Resources & Rehabilitation Board From: Mark Phillips Commissioner RE: IRON RANGE HIGHER EDUCATION ACCOUNT

The Iron Range Higher Education Committee (IRHEC) is a legislatively created committee charged to advise the Commissioner of Iron Range Resources and Rehabilitation Board on providing higher education programs in the Taconite Assistance Area (TAA). The IRHEC met on Wednesday, December 4, 2019 in The Terraces on the Virginia Campus of Mesabi Range College, for a working session to hear program updates and consider a program funding request from the Northeast Higher Education District for investment in a Center of Excellence in Transportation to include simulation and training. Hibbing Community College (HCC) transportation program faculty and administration propose to develop a world-class transportation simulation and training center at HCC intended to transform the delivery of transportation-related education for students and incumbent workers across the Iron Range. The creation of a transportation simulation and training center builds on HCC's existing transportation-related programs, which include Professional Truck Driving, Diesel Mechanics & Heavy Equipment Repair, and Automotive Technician. Advanced Minnesota also trains incumbent workers in these areas, and their customized training programs would benefit from the new training center. Hibbing Community College recognizes that the transportation of people and materials is central to the economy of Northeastern Minnesota. Advancing transportation through cutting-edge training and education helps strategically position the Iron Range to be the state's leader in the transportation sector. The IRHEC has approved, and I support an expenditure of up to $900,000 of Iron Range Higher Education Account funds to provide a grant to the Northeast Higher Education District for use by Hibbing Community College for the development of the Transportation Center of Excellence. $518,000 will become available upon Commissioner’s approval with the remaining $382,000 contingent on FY21 program accreditation. Funding Authorization: This expenditure is authorized under the provisions of the Iron Range Higher Education Committee and the Iron Range Higher Education Account as codified under Minnesota Statutes, Section 298.2214 and 298.28, subdivision9d, respectively.


PAGE 35

Transportation Simulation and Training Center Proposal

Hibbing Community College

December 2019

The Vision

Hibbing Community College (HCC) transportation program faculty and administration propose to

develop a world-class transportation simulation and training center at HCC intended to transform the

delivery of transportation-related education for students and incumbent workers across the Iron Range.

The creation of a transportation simulation and training center builds on HCC's existing transportation-

related programs, which include Professional Truck Driving, Diesel Mechanics & Heavy Equipment

Repair, and Automotive Technician. Advanced Minnesota also trains incumbent workers in these areas,

and their customized training programs would benefit from the new training center. Hibbing Community

College recognizes that the transportation of people and materials is central to the economy of

Northeastern Minnesota. Advancing transportation through cutting-edge training and education helps

strategically position the Iron Range to be the state's leader in the transportation sector.

The Need

The growing complexity of the transportation industry on the Iron Range requires a transformative

response from facilities that educate both the future and current transportation workforce.

Sophisticated electronic and computerized modules within vehicle systems, hybrid and electric vehicles,

and advanced navigation equipment have significantly ramped-up the need for highly trained mechanics

and operators/drivers. Simulation and advanced training modules allow students to practice and

replicate their skills with a hands-on approach in a safe and low-cost environment. The proposed

training center will provide immersive learning experiences for students from very simple to highly

complex scenarios that no other type of training can duplicate. Each year, HCC and Advanced Minnesota

educate hundreds of mechanics, truck drivers, and heavy equipment operators. With the addition of

cutting-edge training equipment/facilities and faculty who are allowed to participate in the industry's

best professional development, graduates of HCC will make a significant positive impact on the Iron

Range's transportation-related industries.

The Evidence

Echoing what we hear from our local industry advisory board members, the Minnesota Department of

Employment and Economic Development (DEED) identifies a strong current demand and projects a high

future demand for transportation-related workers both regionally and statewide. This demand is

created through both industry growth and a projected high number of retirements from within the

current workforce.

According to DEED Occupations in Demand (https://mn.gov/deed/data/data-tools/oid/, retrieved

November 2019), heavy tractor-trailer truck drivers have a current occupations-in-demand ranking of

fourth statewide and fifth regionally with 7920 total openings projected over the next 10 years.

Automotive, diesel and heavy equipment mechanics are also in demand with a projected 760 regional

https://mn.gov/deed/data/data-tools/oid/


PAGE 36

openings and 5950 statewide vacancies over the next 10 years. This proposed transportation simulation

and training center targets these exact occupations.

Transportation Industry Research

In July of 2018, Hibbing Community College hosted a Transportation Industry Summit to bring together

regional transportation leaders, HCC and high school faculty, and local government officials. The goal

was to gather industry input on workforce needs specific to northeastern Minnesota, including feedback

on needed technical skills, industry-relevant technology and training, employment skills, etc. As a follow

up to the more generalized discussions that occurred at the summit, in-depth, qualitative interviews

were conducted with a select number of transportation businesses. An independent research firm was

hired to lead these interviews.

The following findings emerged from the summit and the interviews:

● There is a regional, state, and nationwide workforce shortage across the transportation industry.

● Finding and recruiting technically skilled employees is a difficult task.

● Our region is equipped with agencies that can develop solutions to workforce problems.

● Increased marketing about the industry is needed including the level of detail and frequency of

outreach. Increased outreach to women/minorities is especially appealing to the industry.

Accurately conveying the opportunities in transportation yield (living wage jobs, demand for

work, seasonality, etc.) is seen as important.

● Employees need technical skills - mechanical and electrical, maintenance, and modern systems

knowledge.

● Hands-on training is needed in all major vehicle mechanical repair areas.

● Extensive computer diagnostic and electronics equipment training must be provided to students

to keep up with current industry trends of digitization and automation. There is a significant

need for this type of training.

● Professional skills or soft skills are required for most jobs.

● Employers want to be involved or continue/grow involvement with the program by providing

industry tours and access to professionals, be active on advisory committees, offer

equipment/training to students and faculty, help with marketing and messaging, provide

internships and job shadowing, and help develop a pilot program for specialized needs areas.

Collaboration and Alignment

During the 2018-19 academic year, Hibbing Community College’s Transportation Program has

collaborated and worked towards aligning to regional, statewide, and national best practices for

transportation sector education. HCC has engaged the following partners.

Minnesota State Transportation Center of Excellence

The Minnesota State Transportation Center of Excellence is a network of colleges, high schools,

industry, and centers that prepares students for rewarding careers and supplies the transportation


PAGE 37

industry with a qualified workforce through collaboration between industry and education. The

Minnesota Transportation Center of Excellence collectively addresses the issues in transportation career

pathways/talent pipelines and helps connect the industry. Hibbing Community College and the

Minnesota State Transportation Center of Excellence are working together to align HCC’s offerings with

statewide best practices for transportation education. Minnesota State Transportation Center of

Excellence is also coordinating efforts to make HCC’s Diesel program nationally accredited.

Associated Equipment Distributors (AED)

Associated Equipment Distributors (AED) is an international trade association representing over 800

construction equipment distributors, manufacturers, and industry-service firms nationwide. The AED

Foundation addresses professional education and workforce development in the industry. This includes

AED accreditation of diesel-equipment technology college programs. AED Foundation Standards are very

rigorous; schools typically cannot achieve them without industry support. The AED Foundation’s

template for accreditation is a “community-based, school-to-work” plan, where local dealers, colleges,

and industry stakeholders work together as a task force to meet mutual needs. Supporting a local

technical college program involves time, resource, and financial commitments from the equipment

industry. However, the result of having a new well-qualified pool of graduating entry-level technicians

each year more than justifies the commitment.

In February 2019, Hibbing Community College Transportation program faculty, Minnesota State

Transportation Center of Excellence staff, and an AED Evaluation Team Leader met for two days to

gather evidence and complete a gap analysis. The team determined the current standing of the Diesel

Mechanic program and set goals for program growth to reach AED Foundation Technical Standards. The

two-day analysis revealed curriculum gaps and equipment needs that HCC will need to address in

applying for AED accreditation.

In September 2019, the HCC Diesel Mechanics and Heavy Equipment Maintenance program received

provisional accreditation through May 2020 pending remaining accreditation requirements to be

satisfactorily met by that date. Requirements to be met include updating program documents,

expanding advisory board members to reflect industry partners, instilling a stronger sense of work

culture for students, incorporating more technology and computer-based skills into coursework, and

updating the Cat Skid Steer.

Automotive Service Excellence (ASE)

As the nation’s automotive service industry leaders, ASE re-imagined a new way of cultivating an

inspired workforce. They set out to bridge the gap between the employer’s needs and how we teach our

students by looking at the big picture—the entire learning lifecycle—and designed a solution that aligns

schools, students, instructors, training managers, and employers in a universal system. Through ASE

accreditation, schools are recognized for career-preparedness, employers hire confidently, and

graduates succeed in the workplace. AED accreditation is a five-step process engineered to evaluate a

school’s automotive service program—its structure, processes, resources, materials, and mission.


PAGE 38

The Automotive Department at Hibbing Community College has been ASE accredited since 1991. Every

five years, the program undergoes the re-accreditation process with ASE. Faculty have completed the re-

accreditation process in September 2019, also utilizing the Minnesota State Transportation Center of

Excellence as a resource for professional expertise. The official process, including the on-site evaluation

and gap analysis, identified Hibbing Community College’s Automotive Technician program as a very

successful program, with room to grow in excellence. As with AED, increased technological

opportunities and diverse training modules will provide the opportunity for Hibbing Community College

to continue meeting nationally recognized standards for automotive education.

Applied Learning Institute

Hibbing Community College faculty have partnered with six area high schools for a co-teaching

experience where high school faculty bring their students to Hibbing Community College campus for a

lab-based activity with college faculty. This model has proven to be successful not only as a high-quality

learning experience for high school students but has also resulted in an inflow of student enrollment

from the region to Hibbing Community College’s transportation program areas. The Diesel Mechanic

program is building similar relationships with the high schools for the same purpose. In addition, this

model is looked to as a best practice across the rest of the Applied Learning Institute’s program sectors

and is being replicated within the college and the region.

Benchmarking

As a part of this request, Hibbing Community College has identified that ongoing professional

development and training as well as networking with state and national experts is a needed component

of developing a state-of-the-art Transportation Simulation and Training Center. Since receiving the initial

planning funds for the program development, faculty have attended national conferences and visited

programs that have earned a “best practice” standing for transportation education. Benchmarking

activities provide replicable models and in-practice knowledge from other industry professionals and

educators to faculty as they look to plan for program improvements. The following is a list of

benchmarking completed thus far:

FTR Transportation Conference - Indianapolis, IN

This annual conference is recognized for delivering the most complete and comprehensive outlook on

freight transportation in North America. Presentations and training cover in-depth information from

industry leaders on all surface freight transport modes.

Vision Hi-Tech Training and Expo - Overland Park, KS

Vision Hi-Tech Training and Expo provides the opportunity to expand knowledge and gain new skills

while networking with industry leaders and automotive service professionals. This conference includes

technical training, heavy-duty training, and educator specific training. Hibbing Community College

faculty attended a wide selection of training on technical subjects, teaching methods, and regulation

updates.


PAGE 39

Riverland Community College - Austin, MN

RCC is known for a robust professional truck driving program. HCC faculty spent multiple days with RCC

faculty to discuss program growth strategies, equipment acquisition, and industry-relevant curriculum.

Timeline

The following depicts the timeline and flow of process for the Transportation Simulation and Training

Center project.


PAGE 40

The Cost

Below is the proposed budget for the implementation of the Transportation Program Simulation and

Training Center.

Budget Category FY20 FY21 Total

Simulation/Training Center

Reconfiguration

$135,000 $55,000 $190,000

Simulation and Training

Equipment

$350,000 $310,000 $660,000

Personnel - Lab Assistant $33,000 $17,000 $50,000

Total 518,000 $382,000 $900,000

Simulation Clean Lab - Reconfigurations and Technology Infrastructure - $190,000

HCC will update existing facilities to accommodate the new training center. A separate clean lab space

will be created for simulation and training technology a part from the auto and diesel shops. This will

both provide class space for learning discussions, lab capabilities for simulation and application of

classroom concepts in a virtual setting and will install a state-of-the-art focal point for the programming

in innovative education and attracting new students.

Simulation and Training Equipment - $660,000

Transportation program faculty have identified a variety of trainers and simulators for use in the clean

lab simulation space and shop. Identified components are industry relevant and recommended by

partnering businesses in the region, accrediting agencies, and will meet the needs of the updated

program and attract new students with high tech options for education and training. The automotive

technology department requires updated equipment per the NATEF accrediting agency that will ensure

all programming meets the standards of NATEF. Diesel Mechanics and Heavy Machinery program faculty

require updated machinery for maintenance experiences and trainers for simulated training.

Commercial Truck Driving will update their fleet of trucks for customized training and has received

strong encouragement from industry partners for a diversified fleet for training purposes. A variety of

options and experiences for students will result in a more skilled employee that will meet the needs of

regional employers.

Personnel - Diesel Lab Assistant - $50,000

Per AED accreditation, the Diesel Mechanic program is encouraged to staff a full time lab assistant in the

program shops and class spaces. This will allow the program faculty to focus on instruction while

providing a safe work environment for students. Additional staffing will also allow program needs for

labs and course components be prepared efficiently and effectively which will lead to a higher quality


PAGE 41

education experience for students. As a part of this proposal, HCC is requesting one full year’s salary for

a lab assistant and half-salary for the following year. The sustainability plan for staffing includes use of

Perkins funding and institution dollars.

Remaining Planning Phase Funding FY19-20 - $42,800

Hibbing Community College requested $85,000 to conduct the planning phase for the simulation and

training center. Planning Phase dollars were used on benchmarking, professional development,

curriculum development, accreditation processes for both Automotive and Diesel programs, and initial

planning for the proposed Transportation and Training Simulation center. Remaining funds

(approximately $42,800) will be carried over into the implementation of the Transportation Simulation

Center in Curriculum and Professional Development as well as Marketing for the program updates.

Hibbing Community College Funding Contribution

In addition to the proposed request, HCC will provide contributed dollars to transportation

programming from a variety of sources. Leveraged equipment dollars will be accessed, the college will

provide funding in addition to the grant for clean lab space reconfiguration costs above the grant

budget, and annual Applied Learning Institute dollars for continued program support. HCC also recently

applied for an MPCA Clean Diesel grant, which will be used in combination with the IRHEC proposal.


PAGE 42

Iron Range School Consolidation and Cooperatively Operated School

Account



Date: December 19, 2019 To: Iron Range Resources & Rehabilitation Board From: Mark Phillips Commissioner RE: IRON RANGE SCHOOL CONSOLIDATION AND COOPERATIVELY OPERATED SCHOOL ACCOUNT

The Iron Range School Collaboration Grant Program supports regional multi-district collaborative initiatives that result in increased availability and access to high quality education and training for students, teachers and communities within the IRRRB service area. Education Innovation Partners EIP Cooperative Center No. 6091-50. EIP is an education collaborative involving 22 school districts and 5 community colleges in Northeastern Minnesota. EIP is focused on creating a regional integrated learning model that will increase availability and access to high quality education and training for students, teachers and communities in northeastern Minnesota. EIP has applied for and received a Federal Department of Labor Rural Utility Service Grant in the amount of $500,000. In order to leverage this sizable investment of Federal dollars into the region the DIRRR drafted a letter of commitment for matching grant dollars in the amount of up to $250,000 bringing the total amount available for the EIP project to $750,000 when combining to two sources. The main areas of emphasis for this grant will be:

Increased regional connectivity and infrastructure based on approved best practices

Allow greater access to aid in the growing need to address mental health issues

Provide telepresence units and connectivity to North Homes and Range Mental Health to provide resources to districts

Increased ability to provide 1 to 1 mental health service via telepresence for students in crisis. Funding Authorization: This expenditure is authorized under the provisions of the Iron Range school consolidation and cooperatively operated school account as codified under Minnesota Statutes, Section 298.28 subdivision 7a.


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Distance Learning Telemedicine Grant - 2019 B. Executive Summary

1. A description of why the project is needed The rural and isolated communities in Northeast Minnesota have seen economic decline and outmigration, requiring rural public K-12 school districts and community colleges to try to meet growing needs with shrinking resources. 2. An explanation of how the applicant will address the need cited, why the applicant requires the financial assistance, the types of education or medical services to be offered by the projects, and the benefits to rural resident Over the past several years, education and economic development leaders have come together in several highly visible collaborative efforts to leverage outside resources and align innovations and investments to support students and residents throughout the region. This project, which focuses on distance learning delivered via telepresence, is an integral expansion and continuation of that regional partnership. The project’s four primary strategies, which reflect the “students first” philosophy adopted by all 6091-50 Education Innovation Partners Cooperative Center (EIP) members, include:

Expanded high school STEM course offerings for educationally disadvantaged students Access to college courses to allow students to obtain high school and college credits

simultaneously through dual enrollment opportunities, particularly in STEM fields Access to enrichment opportunities, including music lessons, cultural preservation activities and

other learning experiences that are currently unavailable. The provision of professional development and the establishment of professional learning

communities among teachers to ensure the delivery of high quality education that is grounded in best practices.

EIP’s proposed project, which is solely distance learning project, will directly benefit 21,000 students and 1,500 teachers per year in K-12 schools through enhanced educational opportunities, while improving the viability of surrounding rural communities that are home to approximately 62,000 people. The initiative will also include two Hub sites at mental health facilities, enabling professionals to deliver desperately-needed educational sessions via telepresence to educators and parents at all school sites. Workshops will focus on early identification of individuals experiencing mental health challenges, and appropriate steps for immediate intervention and referral. This new learning opportunity will protect the region’s most vulnerable students, fostering whole-child wellness and building internal capacity to best support youth in a safe school setting. School districts in the region are actively cutting programs and laying staff off due to declining enrollments and funding and none of the school districts included in this project has a technology budget. Accordingly, no funds are available to support this project from the district level, making it impossible to implement without USDA funds. 3. A description of the applicant, documenting eligibility; An explanation of the total project cost including a breakdown of the grant required and the source of matching contribution and other financial assistance for the remainder of the project


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6091-50 Education Innovation Partners Cooperative Center (EIP) is a formal partnership between the public schools and community colleges in Northeast Minnesota. The goal of EIP is to build an integrated learning system for northeastern Minnesota that will provide twenty-first century learning opportunities for students regardless of their geographical location within the region. This integrated learning system will include individualized learning plans, teaching and learning academies and a regional technology plan. EIP’s eligibility is has been demonstrated through its Active registration in the System for Award Management (SAM). The total project budget equals $747,824.39, of which $500,000 is requested from USDA and $247,824.39 will be provided by the Iron Range Resources and Rehabilitation Board (IRRRB) as cash match. 4. A statement specifying whether the project is either a distance learning or telemedicine facility as defined in § 1734.3. If the project provides both distance learning and telemedicine services, the applicant must identify the predominant use of the system The proposed project is solely a Distance Learning project. 5. A statement specifying whether the project is requesting special consideration points for STEM education or Opioid treatment 6091-50 Education Innovation Partners Cooperative Center is requesting special consideration points for STEM education. 6. A general overview of the telecommunications system to be developed, including the types of equipment, technologies, and facilities used Major equipment purchases include the Cisco Touch 10 control unit, Cisco Webex DX80; and the Cisco Webex Room 70 G2, enabling seamless communication among remote classrooms throughout rural Minnesota. All EIP districts are directly connected to Northeast Service Cooperative (NESC) via the Magnificent Mile ensuring adequate bandwidth and quality of service. 7. A description of the participating Hubs and End User sites and the number of rural residents that will be served by the project at each End User site The EIP has a central role in this project, as it brings K-12 districts and community colleges together for the betterment of students, families and communities. EIP member project participants include:

Site Number Site Name

Site Designation

Number of Rural Residents Served

At Site

1 Nashwauk-Keewatin School District End User 636

2 Greenway School District End User 1100

3 Mesabi East School District End User 959

4 Hibbing School District End User 2415

5 Two Harbors HS - Lake Superior School District End User 865

6 Silver Bay - Lake Superior School District End User 609

7 Northland Community Schools End User 389


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8 Deer River School District End User 966

9 Eveleth-Gilbert Schools End User 1099

10 Floodwood School District End User 268

11 Mountain Iron-Buhl School District End User 612

12 Cherry-St Louis County School District End User 469

13 North Woods - St. Louis County District End User 475

14 Northeast Range - St. Louis County District End User 475

15 South Ridge- St. Louis County District End User 468

16 Ely School District End User 599

17 International Falls School District End User 1139

18 Big Fork - Grand Rapids School District End User 4101

19 Virginia School District End User 1809

20 Chisholm School District End User 789

21 Hill City School District End User 325

22 Northland Learning Center End User 95

23 Aitkin School District End User 1229

24 Nett Lake School District End User 110

25 Cook County School District End User 499

26 Vermillon Community College End User 250

27 Mesabi Range Community College End User 250

28 Iron Range Resources & Rehabilitation Board End User 1050

29 Northeast Service Cooperative Hub 0

30 North Homes Children & Family Services Deer River Office Hub 0

31 Range Mental Health Center Hub 0

8. A certification by the applicant that facilities constructed with grants do not duplicate adequate established telemedicine or distance learning services Facilities constructed with grants will not duplicate adequate established distance learning services but will instead bring entirely NEW or ENHANCED services to the targeted rural, isolated, and impoverished region of Northeast Minnesota.


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9. A listing of the location of each End User site (city, town, village, borough, or rural areas) plus the State.


Site Designation Street Address Town County

1

Nashwauk-Keewatin School District End User

400 2nd Street, Nashwauk, MN 55769 Nashwauk Itasca

2

Greenway School District End User

Cole St., Coleraine, MN 55722 Coleraine Itasca

3

Mesabi East School District End User

601 North First Street W., Aurora, MN 55705 Aurora St. Louis

4 Hibbing School District End User 800 East 21st Street, Hibbing, MN 55746 Hibbing St. Louis

5 Two Harbors HS - Lake Superior School District End User

1640 Highway 2, Two Harbors, MN 55616 Two Harbors Lake

6 Silver Bay - Lake Superior School District End User

137 Banks Blvd, Silver Bay, MN 55614 Silver Bay Lake

7 Northland Community Schools End User

316 Main Street East, Remer, MN 56672 Remer Itasca

8 Deer River School District End User

101 1st Avenue NE, Deer River, MN 56636 Deer River Itasca

9 Eveleth-Gilbert Schools End User 801 Jones Street, Eveleth, MN 55734 Eveleth St. Louis


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10 Floodwood School District End User

PO Box 287, Floodwood, MN 55736 Floodwood St. Louis

11 Mountain Iron-Buhl School District End User

5720 Marble Avenue, Mountain Iron, MN 55768

Mountain Iron St. Louis

12 Cherry-St Louis County School District End User

3943 Tamminen Road, Iron, MN 55768 Iron St. Louis

13 North Woods - St. Louis County District End User

10248 Olson Road East, Cook, MN 55723 Cook St. Louis

14 Northeast Range - St. Louis County District End User 30 South Drive, Babbitt, MN 55706 Babbitt St. Louis

15 South Ridge- St. Louis County District End User

8162 Swan Lake Road, Culver, MN 55779 Culver St. Louis

16 Ely School District End User 600 East Harvey Street, Ely, MN 55731 Ely St. Louis

17 International Falls School District End User

1515 Eleventh Street, International Falls, MN 56649

International Falls Koochiching

18 Big Fork - Grand Rapids School District End User

100 Huskie Blvd, Bigfork, MN 56628 Bigfork Itasca

19 Virginia School District End User 411 South 5th Avenue, Virginia, MN 55792 Virginia St. Louis

20 Chisholm School District End User 300 SW Third Avenue, Chisholm, MN 55719 Chisholm St. Louis


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21 Hill City School District End User 500 Lone Avenue, Hill City, MN 55748 Hill City Aitkin

22 Northland Learning Center End User

1201 13th Avenue S., Virginia, MN 55792 Virginia St. Louis

23 Aitkin School District End User 306 2nd St. NW, Aitkin, MN 56431 Aitkin Aitkin

24 Nett Lake School District End User

13090 Westley Drive, Orr, MN 55771 Orr Koochiching

25 Cook County School District End User

101 W. 5th Street, Grand Marais, MN 55604

Grand Marais Cook

26 Vermillon Community College End User

1900 East Camp Street, Ely MN 55731 Ely St. Louis

27 Mesabi Range Community College End User

1001 West Chestnut Street, Virginia, MN 55792 Virginia St. Louis

28 Iron Range Resources & Rehabilitation Board End User 4261 US-53, Eveleth, MN 55734 Eveleth St. Louis

29 Northeast Service Cooperative Hub

5525 Emerald Avenue, Mountain Iron, MN 55768

Mountain Iron St. Louis

30

North Homes Children & Family Services: Deer River Office Hub

313 Main Ave East, Deer River, MN 56636 Deer River Itasca

31 Range Mental Health Center Hub

3203 West 3rd Ave, Hibbing, MN 55746 Hibbing St. Louis

Publicly Releasable Project Description

1. Title of the Project: 6091-50 Education Innovation Partners Cooperative Center Distance Learning Project 2. Description of the proposed end-user sites: 6091-50 Education Innovation Partners Cooperative Center Distance Learning Project will bring NEW and ENHANCED STEM distance learning services to 28 end-user sites, including schools and community colleges throughout Minnesota’s 8th Congressional District, a rural and isolated region in the Northeastern portion of the state that faces high poverty and a shrinking population. 3. A brief description of project: Over the past several years, education and economic development leaders throughout Northeastern Minnesota have come together in several highly visible collaborative efforts to leverage outside resources and align innovations and investments to support students and residents throughout the region. The 6091-50 Education Innovation Partners Cooperative Center Distance Learning Project, which focuses on distance learning delivered via telepresence, is an integral expansion and continuation of that regional partnership. The project’s four primary strategies, which reflect the “students first” philosophy adopted by all EIP members, include:

Expanded high school STEM course offerings for educationally disadvantaged students Access to college courses to allow students to obtain high school and college credits simultaneously through

dual enrollment opportunities, particularly in STEM fields Access to enrichment opportunities, including music lessons, cultural preservation activities and other learning

experiences that are currently unavailable. The provision of professional development and the establishment of professional learning communities among

teachers to ensure the delivery of high quality education that is grounded in best practices. New training opportunities for educators and families expanding local capacity to identify and address mental

health challenges in youth. EIP’s proposed project, which is solely distance learning project, will directly benefit 21,000 students and 1,500 teachers per year in K-12 schools through enhanced educational opportunities, while improving the viability of surrounding rural communities that are home to approximately 62,000 people. End of Publicly Releasable Project Description

Iron Range Resources and Rehabilitation Board Meeting December 19, 2019

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C-1 Rural Area

Rurality Worksheet


Site Designation

Town or Place Name

Census Populatio

n Rurality Score

1

Nashwauk-Keewatin School District End User Nashwauk 983 40

2 Greenway School District

End User Coleraine 1,970 40

3 Mesabi East School District End User Aurora 1,682 40

4 Hibbing School District End User Hibbing 16,361 20

5 Two Harbors HS - Lake Superior School District End User Two Harbors 1,138 40

6 Silver Bay - Lake Superior School District End User Silver Bay 1,887 40

7 Northland Community Schools End User Remer 370 40

8 Deer River School District End User Deer River 930 40

9 Eveleth-Gilbert Schools End User Eveleth 3,718 40

10 Floodwood School District End User Floodwood 528 40

11 Mountain Iron-Buhl School District End User Mountain Iron 2,869 40

12 Cherry-St Louis County School District End User Iron 860 40

13 North Woods - St. Louis County District End User Cook 391 40

14 Northeast Range - St. Louis County District End User Babbitt 1,475 40

15 South Ridge- St. Louis County District End User Culver 299 40

16 Ely School District End User Ely 3,460 40

17 International Falls School District End User

International Falls 6,424 30


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18 Big Fork - Grand Rapids School District End User Bigfork 446 40

19 Virginia School District End User Virginia 8,712 30

20 Chisholm School District End User Chisholm 4,976 40

21 Hill City School District End User Hill City 633 40

22 Northland Learning Center End User Virginia 8,712 30

23 Aitkin School District End User Aitkin 2,165 40

24 Nett Lake School District End User Orr 284 40

25 Cook County School District End User Grand Marais 1,351 40

26 Vermillon Community College End User Ely 3,460 40

27 Mesabi Range CTC End User Virginia 8,712 30

28 Iron Range Resources & Rehabilitation Board End User Eveleth 1,809 40

29 Northeast Service Cooperative

Hub (Not Included in Calculations) Mountain Iron 2,869 40

30

North Homes Children & Family Services Deer River Office

Hub (Not Included in Calculations Deer River 930 40

31 Range Mental Health Center Hub (Not Included in Calculations Hibbing 16,361 20

Applicant's Estimated Rurality

Score

37.86

Rurality Score

(Sum of Rurality Points ÷ # of End-

User Sites)

(For Agency

Use)


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C-2 Economic Need

Economic Need Worksheet


Site Designation

(Hub; Hub/End-

User; End-User) County

SAIPE Percent Poverty,

All Ages

1 Nashwauk-Keewatin School District End User Itasca 13.3%

2 Greenway School District End User Itasca 13.3%

3 Mesabi East School District End User St. Louis 14.7%

4 Hibbing School District End User St. Louis 14.7%

5 Two Harbors HS - Lake Superior School District End User Lake 9.1%

6 Silver Bay - Lake Superior School District End User Lake 9.1%

7 Northland Community Schools End User Itasca 13.3%

8 Deer River School District End User Itasca 13.3%

9 Eveleth-Gilbert Schools End User St. Louis 14.7%

10 Floodwood School District End User St. Louis 14.7%

11 Mountain Iron-Buhl School District End User St. Louis 14.7%

12 Cherry-St Louis County School District End User St. Louis 14.7%

13 North Woods - St. Louis County District End User St. Louis 14.7%

14 Northeast Range - St. Louis County District End User St. Louis 14.7%

15 South Ridge- St. Louis County District End User St. Louis 14.7%

16 Ely School District End User St. Louis 14.7%

17 International Falls School District End User Koochiching 14.3%

18 Big Fork - Grand Rapids School District End User Itasca 13.3%

19 Virginia School District End User St. Louis 14.7%


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20 Chisholm School District End User St. Louis 14.7%

21 Hill City School District End User Aitkin 13.1%

22 Northland Learning Center End User St. Louis 14.7%

23 Aitkin School District End User Aitkin 13.1%

24 Nett Lake School District End User Koochiching 14.3%

25 Cook County School District End User Cook 10.1%

26 Vermillon Community College End User St. Louis 14.7%

27 Mesabi Range CTC End User St. Louis 14.7%

28 Iron Range Resources & Rehabilitation Board End User St. Louis 14.7%

29 Northeast Service Cooperative

Hub (Not Included in Calculations St. Louis 14.7%

30 North Homes Children & Family Services Deer River Office

Hub (Not Included in Calculations Itasca 13.3%

31 Range Mental Health Center

Hub (Not Included in Calculations St. Louis 14.7%

Average SAIPE (Sum

of % Poverty ÷ Number of

Sites) 13.74286%

Applicant's Estimated Economic Need

Score

10

Economic Need Score

(Enter Points from Scoring Table) (For Agency

Use)


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C-3 Special Consideration

The 6091-50 Education Innovation Partners Cooperative Center Collaborative is applying

for Special Consideration points related to offering STEM instruction through innovative and

coordinated Distance Learning opportunities.

Please find STEM discussion included in the Executive Summary and Needs and Benefits sections of the

application as required. The Special Consideration Worksheet follows.


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C-4 Needs and Benefits

The 6091-50 Education Innovation Partners Cooperative Center Collaborative believes all

students should have an exceptional educational opportunity no matter where they live.

6091-50 Education Innovation Partners Cooperative Center (EIP) is a formal partnership between the public schools and community colleges in Northeast Minnesota. The goal of EIP is to build an integrated learning system for northeastern Minnesota that will provide twenty-first century learning opportunities for students regardless of their geographical location within the region. This integrated learning system includes individualized learning plans, teaching and learning academies and a regional technology plan. Distance learning offers the only cost-effective means of achieving these goals. Accordingly, this is a distance learning project serving fixed sites in seven counties in Northeast Minnesota. The rural communities in our region share a number of challenges and are working together through several collaborative efforts to improve the quality of life and economic viability of our region. The distance learning project outlined in this application is part of a much broader economic development vision supported by the state and implemented through several regional collaborations. The EIP has a central role in this project, as it brings K-12 districts and community colleges together for the betterment of students, families and communities. EIP members, all of which are participating in the project, include:

Site Number Site Name Site Designation County

1 Nashwauk-Keewatin School Dist. End User Itasca

2 Greenway School District End User Itasca

3 Mesabi East School District End User St. Louis

4 Hibbing School District End User St. Louis

5 Two Harbors HS - Lake Superior School District End User Lake

6 Silver Bay - Lake Superior School Dist. End User Lake

7 Northland Community Schools End User Itasca

8 Deer River School District End User Itasca

9 Eveleth-Gilbert Schools End User St. Louis

10 Floodwood School District End User St. Louis

11 Mountain Iron-Buhl School District End User St. Louis

12 Cherry-St Louis County School Dist. End User St. Louis


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13 North Woods - St. Louis County Dist. End User St. Louis

14 Northeast Range - St. Louis County Dist. End User St. Louis

15 South Ridge- St. Louis County Dist. End User St. Louis

16 Ely School District End User St. Louis

17 International Falls School District End User Koochiching

18 Big Fork - Grand Rapids School Dist. End User Itasca

19 Virginia School District End User St. Louis

20 Chisholm School District End User St. Louis

21 Hill City School District End User Aitkin

22 Northland Learning Center End User St. Louis

23 Aitkin School District End User Aitkin

24 Nett Lake School District End User Koochiching

25 Cook County School District End User Cook

26 Vermillon Community College End User St. Louis

27 Mesabi Range CTC End User St. Louis

28 Iron Range Resources & Rehabilitation Board End User St. Louis

29 Northeast Service Cooperative Hub St. Louis

30 North Homes Children & Family Services Deer River Office Hub Itasca

31 Range Mental Health Center Hub St. Louis

Distance Learning Project Overview The rural and isolated communities in Northeast Minnesota have seen economic decline and outmigration, requiring rural public K-12 school districts and community colleges to try to meet growing needs with shrinking resources. Over the past several years, education and economic development leaders have come together in several highly visible collaborative efforts to leverage outside resources and align innovations and investments to support students and residents throughout the region. This project, which focuses on distance learning delivered via telepresence, is an integral expansion and continuation of that regional partnership. The project’s four primary strategies, which reflect the “students first” philosophy adopted by all EIP members, include:

Expanded high school STEM course offerings for educationally disadvantaged students Access to college courses to allow students to obtain high school and college credits simultaneously through

dual enrollment opportunities, particularly in STEM fields Access to enrichment opportunities, including music lessons, cultural preservation activities and other learning

experiences that are currently unavailable. The provision of professional development and the establishment of professional learning communities among

teachers to ensure the delivery of high-quality education that is grounded in best practices and supports whole-child wellness through mental health awareness.

The initiative will also include two Hub sites at mental health facilities, enabling professionals to deliver desperately-needed educational sessions via telepresence to educators and parents at all school sites. Workshops will focus on early identification of individuals experiencing mental health challenges, and appropriate steps for immediate


Page - 57 -

intervention and referral. This new learning opportunity will protect the region’s most vulnerable students, fostering whole-child wellness and building internal capacity to best support youth in a safe school setting.

Summary of Project Benefits EIP’s proposed project, which is solely distance learning project, will directly benefit 21,000 students and 1,500 teachers per year in K-12 schools through enhanced educational opportunities, while improving the viability of surrounding rural communities that are home to approximately 62,000 people. In addition, several ancillary project benefits will be realized as a result of the project, including:

Better coordination across school districts to ensure that resources and best practices are aligned in a way that optimally meet student needs.

Tangible funds and staff time savings to school districts through reductions in travel. Community education, adult basic education, GED courses, support groups and other resources will also be

readily available. Remediation and acceleration classes will be available throughout the region. Student academic clubs and programs can be shared across districts. Expert staff will be able to teach regionally via telepresence increasing retention. Establishment of regional training centers for students, staff and community. Reduce isolation for students, staff & community. Increased capacity to support whole-child wellness necessary for academic success.

Need for Services School districts in the Northern Minnesota region served by EIP are actively cutting programs and laying staff off due to declining enrollments and funding and none of the school districts included in this project has a technology budget. Accordingly, no funds are available to support this project from the district level, making it impossible to implement without USDA funds. Without the support of this USDA RUS-DLT this distance learning project in Northern Minnesota will not be possible. Students will be limited by class options, acceleration and remediation classes will be restricted, recruiting and maintaining caliber staff will continue to be an ongoing concern, staff development will remain costly and often unobtainable and the seamless sharing of best practices across the region will be halted by traveling distance. Distance learning will offer the EIP the ability to give their students a quality education regardless of their zip code. Region Overview: EIP encompasses six counties, covering more than 17,300 rural square miles.

Aitkin Itasca St. Louis Lake Koochiching Cook

Area (Square Miles) 1,822 2,668 6,247 2,109 3,104 1,452

Persons Per Square Mile 8.9 16.9 32 5.2 4.3 3.6


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US Census Bureau shows that EIP counties are sparsely populated, with densities as low as 4.3 people per square mile (Koochiching County), and reaching only 32 people per square mile in the most populated region, St. Louis County. Youth living in this isolated region have limited access to services typically found in American communities. There are no public transportation systems, limited Internet access, and few opportunities for positive youth development programs. Youth must travel long distances to and from school each day, and low enrollment rates prevent local schools from providing high-interest courses and electives. These barriers are particularly challenging for low-income students. In the last few decades, the region has attempted to diversify its economic base to minimize the disruptions occurring in primary industries. For a while, this was a great success story bringing in Fingerhut (a national telemarketing company), Hibbing Electronics (an electronics contract manufacturer), Ecolab (industrial supplier) and others. These businesses created viable employment to complement mining and paper manufacturing. However, the emergence of China as a manufacturing juggernaut has led to the closure, sale or both of many companies in the primary industries, leading to wholesale loss of good paying jobs and reduced pay for rehired workers. Hibbing Electronics, which has since become Kimball Electronics, Minnesota Twist Drill, Ainsworth Engineered, and Advanstar Communications have also been swept away, leaving northeast Minnesota with one of the highest unemployment rates in the state. When the mines in the Arrowhead region are running full capacity they employee about 4,000 workers and produce nearly 40

million tons of iron pellets. Many miners are now unemployed and which directly impacts the larger ecosystem of contractors, suppliers and local business that depend on the mines. In 2012 the price of iron ore was over $130.00 per ton. In 2018 taconite iron ore is below $70.00 per ton, idling the market.


Unemployment 9.1% 7.2% 4.7% 4.6% 7.2% 6.6%

Minnesota Unemployment 3.1%

National Unemployment 3.8%

As shown above, targeted counties such as Aitkin, Itasca, and Koochiching have unemployment rates twice the state average, and twice the national average. In addition to facing high rates of unemployment, state and regional workforce assessments stress that the skill sets of regional workers are out of date. In contrast to the state as a whole, the adult population in all but one county (Cook County) in the project’s service region falls far below state and national averages for educational attainment. Low educational attainment rates place northeast Minnesota in an even more perilous station, given the fact that the Recovery: Job Growth and Education Requirements through 2020 study (Georgetown Center on Education and the Workforce) projects that 73% of all jobs in Minnesota in 2020 will require a postsecondary education. Indeed, global businesses that reportedly poised to invest in new industrial operations in the Iron Range will not likely do so if the local workforce is not radically reshaped to fill the required jobs. Those jobs will simply go elsewhere.


Page - 59 -


Bachelor’s Degree or Higher Among Adults 25 and Older

14.8% 21.7% 26.4% 23.2% 18.4% 40.6%

Minnesota 33.2%

National 29.3%

K-12 Educational Challenges and Opportunities: Schools in our region strive to provide an education that is contemporary, relevant, and practical with the hope that students of all ages will develop skills based on rigorous academic standards, evolving workforce expectations, and the demands of an international marketplace. However, the region has experienced economic decline due to a shrinking population and respectively diminishing public coffers. Small rural schools, always pressed to provide the range and rigor of instruction comparable to their urban peers, are struggling now more than ever and need support to ensure their students can compete, survive, and thrive in the job market and an ever-changing world. Further complicating educational access issues, Minnesota was the first state in the union to mandate “open enrollment” options for students. Today, more than 5% of Minnesota students transfer to a district other than the one they live in. This exacerbates the low enrollment declines in rural schools. Providing students with expanded educational opportunities where they live will encourage local economic development as students opt to stay in the area and contribute their education, skills, and talents to regional employers or launch their own businesses and help diversify the local economy. Unfortunately, these expanded opportunities are simply not possible without the proposed project. EIP conducted an extensive community visioning process to assess the challenges facing K-12 education in the region. Through interviews, online surveys, and focus groups, over 1,400 stakeholders contributed their thoughts. According to the report from this process, schools in the region face four systemic challenges:

Enrollment Decline: In the past 25 years, enrollment in regional school districts has plummeted from about 34,100 students to just 16,700 students – a drop of more than 50% that has reduced state aid approximately $140 million. Currently, EIP’s K-12 public school districts range in size from 55 students to 3,000 students. EIP K-12 campuses range in size from one building to fourteen. Schools in the EIP region strive to provide an education that is contemporary, relevant, and practical with the hope that students of all ages will develop skills based on rigorous academic standards, evolving workforce expectations and the demands of an international marketplace. However, the region has experienced economic decline due to a shrinking population and respectively diminishing public coffers. Small rural schools, always pressed to provide the range and rigor of instruction comparable to their urban peers, are struggling now more than ever and need support to ensure their students can compete, survive, and thrive in the job market and an ever-changing world.

Unequal Access: Not every student in the region has equal access to educational opportunities. Some are in classes too large for teachers to provide the kind of individual attention to each student they would like to provide. Others cannot access critical electives because their school district can’t afford to offer classes like calculus and other advanced college-prep courses. Still others find their schools cannot provide access to even basic technology in what is fast becoming a digital world. Finally, opportunities exist for dual enrollment courses through partnerships with community colleges in the region, but few students have the ability to travel to and from these colleges to capitalize upon them. While some of the school districts impacted by this project do have limited distance learning capabilities, the capacity of such equipment far outpaces need and demand.

Limited Educational Enhancement Opportunities: Unfortunately, many students simply do not have the opportunity to learn how to play a unique instrument, such as the cello and others do not have access to as local music teachers. Local music teachers do not always have access to staff development to keep their skills honed. EIPs partnership with MacPhail Center for Music has produced opportunities for music lessons and training that were not previously available. If an EIP district has telepresence capabilities, MacPhail can offer students and staff lessons and/or training for just $10.00 for a 30-minute session! Examples of this successful


Page - 60 -

partnership have been overwhelming to isolated communities, but many districts remain unable to participate due to lack of telepresence units needed for connectivity. Currently, the isolated community of Big Fork has two students taking Cello lessons, Deer River students participated in a Christmas concert with students from Chicago, and staff from Grand Rapids received support for Jazz Band sectionals – these are opportunities that could be expanded with the support of this USDA RUS grant.

Changing Culture: Educators find they are teaching more students and more children with a variety of special needs. More children are growing up in single-parent homes. Income disparities between the haves and have-nots are growing, and the impact is felt in the classroom

In the midst of these challenges, society expects more and more of the education system. Parents expect children to have access to a broad curriculum that incorporates technology. Students expect to transition smoothly from high school to postsecondary school, without taking remedial classes. Employers expect workers to have core knowledge and 21st Century skills. Increasing Need for Staff Development and Professional Learning Communities: Minnesota law requires teachers to have 125 hours of professional development every five years – an average of 25 hours per year. Research indicates educators need a minimum of twice that—50 hours of professional development each year plus time to reflect on how to incorporate what they’ve learned to increase their skills and their students’ learning. A 2009 report indicated that teachers who receive at least 50 hours of high-quality professional development increased students’ test scores by an average 21 percentage points.1 Unfortunately, teachers must currently access professional development in Duluth, or in many cases Minneapolis-St. Paul. Limited time and travel budgets make accessing staff development opportunities burdensome at best, and in many cases, impossible. For example, for teachers in International Falls, the drive to Minneapolis-St. Paul is six hours ONE WAY, making an overnight stay required for training attendance – often such stays are not possible given budget constraints. Additionally, school districts in the EIP region have recognized a desperate need to create professional learning communities – something that cannot be done without telepresence. Given remote locations and the fact that many students have just one teacher for subjects such as music, upper level Spanish classes, physics and the like, many teachers are a “community of one” within their schools and have no access to peer sharing and learning. Superintendents of the participating districts have their own concerns related to a current lack of professional development opportunities and peer interaction. One of their top issues is staffing. It is very difficult to attract highly qualified teachers to the region. New hires are almost assured of having to teach outside their areas of expertise, while job security is minimal, as are opportunities for teachers’ career advancement. Superintendents of the participating school districts describe their challenges in their own words:

Chisholm is in a slow downward spiral. As our school population declines we are forced to reduce our class offerings at the high school and increase class sizes at the elementary. Because of these changes, concerned parents look at other option, such as home schooling, charter schools, or open-enrollment. So what once were full time positions have become part-time or completely eliminated. Trying to retain or fill part time positions has really become a problem. I currently have two half-time positions, and I haven't gotten one applicant with the proper licensure to apply. We are forced to try to fill these positions with teachers on a variance, with little or no experience in the subject. Then at the end of year, they must be terminated and we go through the same process the following year. This is not good for the students or the program. Distance learning would allow us to retain staff and students. — Jim Varichak, Superintendent, Chisholm School District

St. Louis County Schools is a unique school district, made up of 5 schools each 30-45 miles apart. This geographic fact makes it difficult to share classes and train teachers. Budget cuts and declining enrollment add to the challenges of filling courses with licensed staff. A lot of local students exercise open enrollment to transfer to larger districts or even out of state. — Teresa Knife Chief, St. Louis County Schools


Page - 61 -

Issues facing Mountain Iron-Buhl School District include 56% free and reduced lunch rate, a 20% special education rate at Merritt and MIB High School, a small enrollment that reduces learning opportunities for our students and eliminates electives, and trouble finding properly licensed teaching staff. Training meetings require 20 vehicles driving 100 miles on average. IEP meetings are difficult to schedule and costly. — John Klarich, Superintendent, Mountain Iron-Buhl School District

We have two communities in our school district that are 28 miles apart. This situation does not allow sharing staff. We have to cancel courses due to the low enrollment in one end of the district. We have had very small classes due to not being able to balance the classes. We have had to go to every other or third year to offer some electives and even core high school classes. — Bill Crandall, Lake Superior School District

There has been no change in school district boundaries or attendance areas on the Iron Range. Private and home schooling dynamics continue to follow current patterns. The steady, moderate growth of year-round population in K-12 districts is threatened to decline with the recent closure of iron mines throughout the region. Job security has plummeted and family stability is threatened. Distance Learning Progress to-Date and Current Needs: Vermillion Community College and Mesabi Range Community

College each installed an immersive telepresence classroom seven years ago. All NHED Community Colleges are

planning to upgrade their immersive telepresence classroom this summer, but, even with the upgrades, there is still a

shortage of telepresence systems available to support distance learning in our rural communities.

With the support of RUS DLT grants in 2014 and again in 2016 EIP was able to outfit all of their 22 school districts with

some level of distance learning (SX20s, DX80, MX700), but not all of their buildings. The majority of the equipment

was paced in high schools for expanded classes. There remains a huge need to outfit all buildings, allow for concurrent

classes by addition additional telepresence sites in high schools and increase staff development while reducing out-of-

class time (travel). Additionally, while schools were equipped with smaller DX80s, this equipment is only effective for

one or two participants. They cannot accommodate larger groups, virtual field trips, sharing of screen and content

simultaneously or interactive participation. Many students remain unable to participate in virtual classes due to lack

of hardware available in their rural school.

In addition, telepresence regional centers that can support students and staff through expanded opportunities and staff development are non-existent in the EIP region. Through this project, all district high schools and many elementary buildings in the EIP region will have video-endpoint capability, with the future option of best practice storage and the ability to reach our homebound students (not included in this project). Connectivity for the video-endpoints in the EIP region happens at a centralized hub located at NESC (Northeast Service Cooperative). NESC, via an existing EIP contract, also offers technical support to districts if needed. EIP already owns and supports the Cisco TelePresence Management Suite (TMS), which provides scheduling, control, and management of videoconferencing and media services infrastructure and endpoints. The TMS simplifies operations through scheduling, configuration, and provisioning capabilities. It allows you to schedule meetings quickly and easily, while providing scalable, multivendor infrastructure support across the network. It also delivers a comprehensive set of usage and activity reports for informed business decisions. The TMS software was purchased with a 2013 USDA RUS grant resides at NESC. This project will allow EIP to leverage existing equipment and expertise, and to install:

Cisco Webex DX80 at Hub and End-User sites, bringing all-in-one desktop collaboration with HD video, unified communications features, high-quality audio systems, and a multitouch capacitive touchscreen.


Page - 62 -

Touch 10 interface pads to upgrade the existing 2014 touch pads offering unified or standardized equipment throughout the collaborative.

Cisco Webex Room 70 G2, bringing and all-in-one solution for medium to large-sized rooms capable of building more complex and specialized video scenarios and transforming meeting spaces into a video collaboration hub. (Hosted at nine sites.)

Iron Range Resources and Rehabilitation Board Meeting Minutes September 9, 2019

Page 1

Addendum A

IRRRB Meeting Minutes Monday, September 9, 2019 – 9:00 a.m. Iron Range Resources & Rehabilitation

Eveleth, Minnesota

1) Roll Call Representative Rob Ecklund, chair, called the meeting to order at approximately 9:01 a.m. Present: Representative Sandy Layman, Representative Dave Lislegard, Representative Dale Lueck, Representative Julie Sandstede, Senator Tom Bakk, Senator Carrie Ruud, Senator David Tomassoni; Senator Justin Eichorn (arrived at 9:15 a.m.). Excused: None. Minute Taker: Laureen Hall, Executive Aide. Also present: Mark Phillips, Commissioner; Jason Metsa, Deputy Commissioner; Matt Sjoberg, Executive Director of Development; Al Becicka, Legal Counsel; Roy Smith, Director of Talent Development; Janelle Greschner, Director of Business Recruitment; Bob Scuffy, Accounting Director; Chris Ismil, Community Development Representative; Whitney Ridlon, Community Development Representative; Scott Sundvall, Loan Officer; Sheryl Kochevar, Director of Communications; Seth Dostal, Executive Assistant; Martin Pochtaruk, Heliene USA, Inc.; Jeff Halter, Northern Opportunities, LLC; Luke Francisco and Jim Christmas, North Homes Children and Family Services; Steve Howard, Paul Bunyan; Reggie Engebritson, St. Louis County Schools/Mt. Iron Buhl; Rick Aldrich, Hibbing Public Schools. 2) Approval of the June 7, 2019, Minutes Representative Sandy Layman moved approval of the June 7, 2019, meeting minutes. Seconded by Representative Julie Sandstede. Motion carried. Voting in Favor of the Motion: Representative Rob Ecklund, Representative Sandy Layman, Representative Dave Lislegard, Representative Dale Lueck, Representative Julie Sandstede, Senator Tom Bakk, Senator Carrie Ruud, Senator David Tomassoni Voting Against the Motion: None Abstain: None Excused: Senator Justin Eichorn 3) Heliene USA, Inc – Resolution #20-001 Senator David Tomassoni moved that the Board recommend an expenditure of up to $600,000 of DJJ Funds to provide a direct loan to Heliene USA, Inc. for the acquisition of production equipment, as presented in Board packet materials and Resolution #20-001. Seconded by Representative Dave Lislegard. Motion carried. Voting in Favor of the Motion: Representative Rob Ecklund, Representative Sandy Layman, Representative Dave Lislegard, Representative Dale Lueck; Representative Julie Sandstede, Senator Tom Bakk, Senator Justin Eichorn, Senator Carrie Ruud, Senator David Tomassoni Voting Against the Motion: None Abstain: None Excused: None


Page 2

IRON RANGE RESOURCES AND REHABILITATION ADVISORY BOARD

OF THE STATE OF MINNESOTA

DOUGLAS J. JOHNSON ECONOMIC PROTECTION TRUST FUND

HELIENE USA, INC. PROJECT

Resolution No.: 20-001

WHEREAS, the Commissioner is authorized to expend, after consultation with the Iron Range

Resources and Rehabilitation Advisory Board (“Board”), the Douglas J. Johnson Economic Protection

Trust Fund monies made available under Minnesota Statutes Sections 298.291 – 298.294 and

Minnesota Statutes Section 298.28, subdivision 11 (“DJJ Funds”) to provide loans and participate

with private sources in providing financing for various projects located within the Taconite Assistance

Area (“TAA”) as that term is defined in Minnesota Statutes Section 273.1341, which will serve the

purposes detailed in Minnesota Statutes Section 298.292, subdivision 1; and

WHEREAS, Heliene USA, Inc. (“Heliene”) is an established manufacturer of photovoltaic

solar panels and is currently operating in the building owned by the Mountain Iron Economic

Development Authority (“MIEDA”) in the Renewable Energy Park in Mountain Iron; and

WHEREAS, in January 2018, the agency, in participation with the Minnesota Department of

Employment and Economic Development, provided Heliene with a $3.5 million equipment loan that

allowed Heliene to expand its manufacturing capacity and has led to the creation and retention of 67

jobs at its facility in Mountain Iron; and

WHEREAS, Heliene has applied to the agency for financing to purchase an additional

production equipment line for manufacturing use in the MIEDA building (the “Project”) that will

facilitate Heliene’s growth and will lead to the creation of approximately 15 new permanent, full-time

jobs; and

WHEREAS, pursuant to an application submitted by Heliene in support of the Project, the

Commissioner has requested the Board to recommend the expenditure of up to $600,000 of DJJ Funds

to provide a direct loan to Heliene as more fully set forth in the Board packet materials and as

otherwise discussed at the meeting; and

WHEREAS, the technical advisory committee appointed by the Commissioner under the

provisions of Minnesota Statutes Section 298.297 to review the terms and conditions of the proposed

Project met on August 29, 2019, and recommended approval of the Project and the proposed agency

funding for it; and

WHEREAS, the Board met in open session at 9:00 a.m. on September 9, 2019, at the agency’s

Administration Building near Eveleth, Minnesota, to consider, among other matters, Heliene’s request

for financial assistance for the Project; and

WHEREAS, the Board has determined that it would be in the public interest to recommend the

expenditure of DJJ Funds for the Project, and that granting of the requested financial assistance would

promote economic development in the TAA.


Page 3

NOW, THEREFORE, IT IS RESOLVED that the Board hereby recommends the

expenditure of up to $600,000 of DJJ Funds for the Project, on the terms and subject to the conditions

set forth in the materials submitted to the Board for its consideration at this meeting.

BE IT FURTHER RESOLVED that the approval of funding for this Project is subject to the

condition that, to the extent any part of the funds for the Project are for construction, Heliene must pay

or require to be paid to all laborers, workers and mechanics performing construction work wages at a

rate not less than the prevailing wage rates as defined in Minnesota Statutes Section 177.42,

subdivision 6, consistent with Board Resolution number 96-005.

PASSED AND ADOPTED BY VOTE OF THE IRON RANGE RESOURCES AND

REHABILITATION ADVISORY BOARD THIS 9th DAY OF SEPTEMBER 2019.

Member Aye Nay Abstain Excused

Senator Tom Bakk X

Senator Justin Eichorn X

Senator Carrie Ruud X

Senator David Tomassoni X

Representative Rob Ecklund X

Representative Sandy Layman X

Representative Dave Lislegard X

Representative Dale Lueck X

Representative Julie Sandstede X

TOTAL 9 0 0 0

Signed:____________________________

Representative Rob Ecklund, Chair

Heliene USA, Inc.

8787 Silicon Way

Mountain Iron, MN 55768


Direct Loan

Applicant: Heliene USA, Inc.

Project Location: 8787 Silicon Way Mountain Iron, MN 55768

Principal(s): Heliene USA, Inc. – Martin Pochtaruk, CEO

Project Description: Acquisition of additional production equipment to eliminate a bottleneck and increase the capacity of the company’s solar panel manufacturing plant in Mountain Iron.


Page 4


Market Opportunity: The US solar market has grown from 1,500 MW in 2010 to 13,000 MW in 2019. Domestic production capacity, currently at 2,000 MW, continues to satisfy only a small portion of demand. In addition, significant growth is forecast in the US market, in part as a result of market forces combined with continued mandates, such as that recently passed in California requiring solar installations on any new homes built in the state.

Project Investment:

DIRRR Direct loan to Heliene USA, Inc. (7 year term, 3%)

$600,000

Credit line – Working capital $11,000,000

TOTAL $11,600,000

Jobs: 15 Planned New 87 Retained Wages $31,000 - $75,000 per year plus benefits

Collateral: The loan will be secured with the equipment to be purchased with the proceeds of the loan.

Business History: Heliene Inc. was established as a manufacturer of photovoltaic solar panels in Saulte St. Marie, Ontario Canada in 2010. In 2016, Heliene established an operation in the Renewable Energy Park in Mountain Iron, in the building owned by the Mountain Iron EDA that was formerly leased to Silicon Energy. In 2017, Heliene USA, Inc. was formed to accommodate further expansion into the US market. The DIRRR and the MN Department of Employment and Economic Development (“DEED”) participated in an expansion of Heliene USA, Inc. in 2018 with a $3.5 million equipment loan. This proposed expansion will provide Heliene USA, Inc. with the capacity to grow and will eliminate a bottleneck in their production process.

Past Agency History: DIRRR loan of $3.5 million (of which a participation of $1.75 million was sold to DEED) that was approved in January 2018 and funded in August 2018. Loan is currently in its initial forbearance period with first payment due in November 2019.

Contingencies: Heliene Inc. provide a corporate guaranty of the loan.


Page 5


Alternative financing structures may be considered, as long as the position of the IRRRB is not materially compromised.


Approval at its August 29, 2019 meeting.


4) Northern Opportunities, LLC – Resolution #20-002 Representative Julie Sandstede moved that the Board recommend an expenditure of up to $760,000 of FY20 DJJ Business Development Funds to purchase a participation interest in a bank loan to Northern Opportunities, LLC, as presented in Board packet materials and Resolution #20-002. Seconded by Senator Carrie Ruud. Motion carried. Voting in Favor of the Motion: Representative Rob Ecklund, Representative Sandy Layman, Representative Dave Lislegard, Representative Dale Lueck; Representative Julie Sandstede, Senator Tom Bakk, Senator Justin Eichorn, Senator Carrie Ruud, Senator David Tomassoni Voting Against the Motion: None Abstain: None Excused: None



DOUGLAS J JOHNSON ECONOMIC PROTECTION TRUST FUND

PURCHASE OF A PARTICIPATION INTEREST IN A LOAN

FOR THE NORTHERN OPPORTUNITIES LLC PROJECT





Page 6

Trust Fund monies made available under Minnesota Statutes Sections 298.291-298.294 and Minnesota

Statute Section 298.28, subdivision 11 (“DJJ Funds”), to provide loans and participate with private

sources in providing financing for various projects located within the Taconite Assistance Area

(“TAA”) as that term is defined in Minnesota Statutes Section 273.1341, which will serve the purposes

detailed in Minnesota Statutes Section 298.292, subdivision 1; and

WHEREAS, the agency’s FY20 Budget includes provision for the use of certain DJJ Funds for

economic development projects under a budget line item category for DJJ Business Development

Projects (“FY20 DJJ Business Development Funds”); and

WHEREAS, the Commissioner has received a proposal for financial assistance from Northern

Opportunities LLC that, in combination with funds provided from other sources, will finance a

business expansion project consisting of an addition to the company’s manufacturing facility and the

acquisition of a new burn table (the “Project”), which is more specifically described in the Board

packet materials which are attached hereto and incorporated by reference as Exhibit A; and

WHEREAS, the Commissioner has requested the Board to recommend the expenditure of up to

$760,000 of FY20 DJJ Business Development Funds to purchase a participation interest in a bank loan

to

Northern Opportunities LLC, which is being made as part of a $1,925,000 total investment to finance

the cost of the Project, with the participation interest to be acquired on the terms and subject to the

conditions set forth in Exhibit A and as otherwise discussed at the meeting; and

WHEREAS, the technical advisory committee, appointed by the Commissioner under the provisions

of Minnesota Statutes Section 298.297 to review the terms and conditions of the proposed Project, met

on August 29, 2019, and recommended approval of the requested financial assistance for the Project;

and


Administration Building located near Eveleth, Minnesota, to consider, among other matters, Northern

Opportunities LLC’s request for financial assistance for the Project and has determined that it would

be in the public interest to recommend the expenditure of DJJ Business Development Funds for the

Project and that the granting of the requested financial assistance would promote economic

development in the TAA.

NOW, THEREFORE, IT IS RESOLVED, that the Board hereby recommends the expenditure of up

to $760,000 of FY20 DJJ Business Development Funds to purchase a participation interest in a bank

loan to Northern Opportunities LLC to finance a portion of the cost of the Project, with such

participation interest to be purchased on the terms and subject to the conditions set forth in Exhibit A

and in the agency’s standard participation loan forms, including the provisions customarily contained

therein that require borrowers to pay at least prevailing wages to workers performing work on

construction projects.


Page 7


REHABILITATION ADVISORY BOARD THIS 9TH DAY OF SEPTEMBER 2019.


Senator Tom Bakk X









TOTAL 9 0 0 0

Signed:_____________________________


Northern Opportunities, LLC dba RSF Industries, Inc.

2212 5th Avenue West

Hibbing, Minnesota 55746


Participation Loan

Applicant: Northern Opportunities, LLC. / RSF Industries. Inc.

Project Location: 2212 5th Avenue West, Hibbing, Minnesota 55746

Principal(s): Gina and Jeff Halter

Project Description: The project consists of a building expansion and a burn table purchase.

Market Opportunity: The building expansion and new burn table are needed to keep up with demand. These new amenities will help with efficiencies and reduce outsourcing. This will also allow RSF Industries, Inc. to continue to diversify and grow their working relationship with JADCO.

Project Investment: Real Estate – Security State Bank – 20-year amortization negotiated rate.

$760,000.00

Real Estate – IRRR 20-year amortization formula.

$760,000.00

Equipment Loan – Northland Foundation – 7-year amortization negotiated rate.

$230,000.00


Page 8


Equipment Loan – Hibbing EDA – 7-year amortization negotiated rate.

$75,000.00

Equity $100,000.00

TOTAL $1,925,000.00

Jobs: 10 to 13 Planned New _21_Retained Wages $14 - $33/hr_- $30,000 to $69,000 per year plus benefits

Collateral: Shared 1st position commercial real estate mortgage. Guaranteed by Gina Halter, Jeff Halter and RSF Industries, Inc.

Business History: RSF originally started in Hibbing over 100 years ago as an automotive shop owned and operated by the Lee family. Over the years the family expanded the business to include roofing and fabrication services. Eventually the company split into three entities: Range Cornice and Roofing, Range Heating and Sheet Metal, and Range Steel Fabricators. One of the first projects RSF completed was fabricating the steel that is supporting the iconic Iron Man statue in Chisholm. RFS was recently purchased by Gina and Jeff Halter in 2016. “Over the past several years we’ve spent countless hours researching potential business acquisitions and believe strongly that the flexible capabilities and products offered by RSF provide ideal ability for client and segment diversification and virtually unlimited expansion opportunities. The ability to pivot across industrial segments e.g. mining, machinery, medical components, consumer goods, forestry products, aviation and utilities was a key component in our decision to focus on the acquisition of this type of business.” Said Jeff Halter. Since acquiring RSF, the Halter’s have over doubled their workforce to over twenty fulltime employees.

Past Agency History: 1/11/18 – Participation Loan (Equipment) $37,000 - Current

Contingencies: None


Recommended for approval by the TAC at its August 29, 2019 meeting.


Page 9



5) North Homes Children and Family Services – Resolution #20-003 Representative Sandy Layman moved that the Board recommend an expenditure of up to $1,000,000 of FY20 DJJ Business Development Funds to purchase a participation interest in a bank loan to North Homes, as presented in Board packet materials and Resolution #20-003. Seconded by Senator Justin Eichorn. Motion carried. Voting in Favor of the Motion: Representative Rob Ecklund, Representative Sandy Layman, Representative Dave Lislegard, Representative Dale Lueck; Representative Julie Sandstede, Senator Tom Bakk, Senator Justin Eichorn, Senator Carrie Ruud, Senator David Tomassoni Voting Against the Motion: None Abstain: None Excused: None



DOUGLAS J JOHNSON ECONOMIC PROTECTION TRUST FUND

PURCHASE OF A PARTICIPATION INTEREST IN A LOAN

FOR THE NORTH HOMES CHILDREN AND FAMILY SERVICES PROJECT




Trust Fund monies made available under Minnesota Statutes Sections 298.291-298.294 and Minnesota

Statute Section 298.28, subdivision 11 (“DJJ Funds”), to provide loans and participate with private

sources in providing financing for various projects located within the Taconite Assistance Area

(“TAA”) as that term is defined in Minnesota Statutes Section 273.1341, which will serve the purposes

detailed in Minnesota Statutes Section 298.292, subdivision 1; and

WHEREAS, the agency’s FY20 Budget includes provision for the use of certain DJJ Funds for

economic development projects under a budget line item category for DJJ Business Development

Projects (“FY20 DJJ Business Development Funds”); and


Page 10

WHEREAS, the Commissioner has received a proposal for financial assistance from North Homes,

Inc., a Minnesota nonprofit corporation doing business as North Homes Children and Family Services

(“North Homes”), that, in combination with funds provided from other sources, will finance a

children’s psychiatric residential treatment facility (the “Project”), which is more specifically

described in the Board packet materials which are attached hereto and incorporated by reference as

Exhibit A; and

WHEREAS, the Commissioner has requested the Board to recommend the expenditure of up to

$1,000,000 of FY20 DJJ Business Development Funds to purchase a participation interest in a bank

loan to North Homes, which is being made as part of a $7,034,044 total investment to finance the cost

of the Project, with the participation interest to be acquired on the terms and subject to the conditions

set forth in Exhibit A and as otherwise discussed at the board meeting; and

WHEREAS, the technical advisory committee, appointed by the Commissioner under the provisions

of Minnesota Statutes Section 298.297 to review the terms and conditions of the proposed Project, met

on August 29, 2019, and recommended approval of the requested financial assistance for the Project;

and


Administration Building located near Eveleth, Minnesota, to consider, among other matters, North

Homes’ request for financial assistance for the Project and has determined that it would be in the

public interest to recommend the expenditure of DJJ Business Development Funds for the Project and

that the granting of the requested financial assistance would promote economic development in the

TAA.

NOW, THEREFORE, IT IS RESOLVED, that the Board hereby recommends the expenditure of up

to $1,000,000 of FY20 DJJ Business Development Funds to purchase a participation interest in a bank

loan to North Homes to finance a portion of the cost of the Project, with such participation interest to

be purchased on the terms and subject to the conditions set forth in Exhibit A and in the agency’s

standard participation loan forms, including the provisions customarily contained therein that require

borrowers to pay at least prevailing wages to workers performing work on construction projects.




Senator Tom Bakk X









TOTAL 9 0 0 0

Signed:_____________________________



Page 11

North Homes Children and Family Services

303 SE 1st St. Suite 1

Grand Rapids, MN 55744


Participation Loan

Applicant: North Homes Children and Family Services

Project Location: 413 13th St SE, Grand Rapids, MN 55744

Principal(s): Luke Francisco and Jim Christmas

Project Description: The State of Minnesota has approved North Homes for 52 children’s psychiatric beds. 20 Beds will be located at the Community Mental Health Center, and the additional 32 will be located in a new facility located between Community Mental Health Center and the ITASKIN Center. This new $6.5 million psychiatric treatment facility will service children from 11 to 18 and education will be provided by the Grand Rapids school district.

Market Opportunity: This psychiatric residential treatment facility treatment model is fairly new to Minnesota with only a few facilities currently in operation. This medical model of care is for Serious & Emotionally Disturbed children who need this intensive serviced based care model. Services for clients in care require psychiatric care, 24/7 nursing support, and traditional intensive mental health therapy in a residential setting.

Project Investment: Woodland Bank (lead Bank) - 20 year amortization

$4,768,144

IRRR Loan - 20 year amortization $1,000,000

IRRR Demolition Grant $15,900

IRRR Infrastructure Grant $350,000

DHS Grant $200,000

Blandin Foundation Grant $700,000

TOTAL $7,034,044

Jobs: 65-80 Planned New 25 Retained Wages $32,240 to $75,000 per year plus benefits

Collateral: Shared 1st position commercial real estate mortgage.

Business History: North Homes Children and Family Services is a private, non-profit agency that provides comprehensive mental health services to


Page 12

Applicant: North Homes Children and Family Services

children and families across Northern Minnesota. North Homes was first imagined in the 1980’s when Jim Christmas, Founder and CEO, noticed a gap in services for youth in the northland. He saw that most children at this time were being sent out of the area for needed services, adding costs to and stress on families. It was his vision to start an organization that would support keeping families together and youth connected to their community. Since our founding in 1990, North Homes has grown from one residential group home in Grand Rapids to offering numerous programs throughout Northern Minnesota to best meet and support the mental health needs of clients.

Past Agency History: None

Contingencies: Alternative financing structures may be considered, as long as the position of the IRRR is not materially compromised.


The TAC recommended for approval at its August 29th, 2019 meeting.


6) FY20 Development and Community Infrastructure Projects – Resolution #20-004 Senator Justin Eichorn moved that the Board recommend an expenditure of up to $1,100,000 of FY20 TEPF Public Works Funds to provide grants for development and community infrastructure projects, a presented in Resolution #20-004. Seconded by Senator Tom Bakk. Motion carried. Voting in Favor of the Motion: Representative Rob Ecklund, Representative Sandy Layman, Representative Dave Lislegard, Representative Dale Lueck; Representative Julie Sandstede, Senator Tom Bakk, Senator Justin Eichorn, Senator Carrie Ruud, Senator David Tomassoni Voting Against the Motion: None Abstain: None Excused: None


Page 13



TACONITE ENVIRONMENTAL PROTECTION FUND

FY20 PUBLIC WORKS PROJECT RECOMMENDATIONS


WHEREAS, pursuant to the agency’s approved fiscal year 2020 ("FY20") Budget, the

Commissioner is authorized to expend up to $6,500,000 for development and community infrastructure

projects from Taconite Environmental Protection Fund monies as authorized by Minnesota Statutes

Section 298.223 (“TEPF Public Works Funds”); and

WHEREAS, the Commissioner has received proposals for the expenditure of up to $1,100,000

for four public works projects, which are more fully described in Exhibit A, which is attached hereto

and incorporated by reference (collectively the “Proposed Projects”); and


Administration Building located near Eveleth, Minnesota, to consider, among other matters, the

Proposed Projects and has determined that the expenditure of TEPF Public Works Funds for the

purposes and in the amounts specified below would be in the public interest and promote economic

development within the TAA.

NOW, THEREFORE, IT IS RESOLVED, that the Board hereby recommends the

expenditure of up to $1,100,000 of FY20 TEPF Public Works Funds to provide grants for the Proposed

Projects in the amounts and for the purposes set forth in Exhibit A.

BE IT FURTHER RESOLVED that the Board’s recommendation for the expenditure of all

funds for the Proposed Projects, including those Proposed Projects which have associated private

development work, is contingent upon the agency, in its grant contracts, requiring each such grantee

entity to commit to the payment of prevailing wages for the funded project as required by law, or to the

extent required in the Board’s Resolution 96-005.


funds for the Proposed Projects is further contingent upon all such project financing being in place

before the agency’s funds are released.




Senator Tom Bakk X









Page 14


TOTAL 9 0 0 0

Signed: _____________________________


DEVELOPMENT INFRASTRUCTURE City of Grand Rapids Grant Amount: $350,000 The project consists of new infrastructure and site work for the construction of two facilities in Grand Rapids. The new facilities would be owned and operated by North Homes Incorporated of Grand Rapids. North Homes provides a variety of mental health services to youth and families. The project includes the construction of a new 12,000-square-foot 32 bed facility providing long-term care for children with mental health conditions. The second facility would be 10,000 square feet and would serve as a wellness center for the residents. The project is expected to create 65 permanent jobs and 45 construction jobs.

USES SOURCES

Infrastructure and site work

$364,000 Iron Range Resources & Rehabilitation $350,000

Building construction 4,952,544 Private 4,768,144

FF&E 275,000 DHS 200,000

A&E 275,500 Blandin FDN 700,000

Contingency 467,000 IRRR loan 1,000,000

Working capital 700,000 IRRR demo 15,900

TOTAL $7,034,044 TOTAL $7,034,044

City of Grand Rapids Grant Amount: $250,000 The project consists of the installation of water, sanitary sewer, sanitary sewer lift station, storm sewer and roadways to a new development site owned by the Grand Rapids Economic Development Authority (GREDA) on the west side of Grand Rapids. The development will create 15 single-family housing sites and one 15-acre site designed for multi-family housing. The project is expected to create 15 construction jobs.

USES SOURCES

Infrastructure and site work $1,016,400 Iron Range Resources & Rehabilitation

$250,000

A&E 281,300 Private 1,149,300

Contingency 101,600

TOTAL $1,399,300 TOTAL $1,399,300


Page 15

COMMUNITY INFRASTRUCTURE Bois Forte Band of Chippewa Grant Amount: $250,000

The project consists of infrastructure, roads and sitework for a 6,000-square-foot facility. The Bois Forte Band of Chippewa is proposing the construction of a new public works maintenance facility at its Vermilion Community location of the Bois Forte Reservation. The current Vermilion public works facility is a 2,400-square-foot metal building, which serves as storage and work space for the public works crew in Vermilion. The facility is undersized and needs extensive upgrades which exceed the building’s value. The Vermillion Public Works department hasn’t been able to store equipment and vehicles indoors due to the lack of available space. The new facility will accommodate the current needs for the Vermillion community. The project is expected to create 10 construction jobs.

USES SOURCES

Infrastructure upgrades $188,500 Iron Range Resources & Rehabilitation

$250,000

Facility construction 1,042,500 Bois Forte Band of Chippewa 1,108,000

A&E 77,000

Contingency 50,000

TOTAL $1,358,000 TOTAL $1,358,000 City of Cohasset

Grant Amount: $250,000 The project consists of phase II infrastructure, site work and the construction of a new 3,000-square foot senior/community center. This phase is part of a $3,643,249 project which includes the construction of a new child care facility addition to the new elementary school in Cohasset. The city of Cohasset will own and operate the new senior/community center and child care facility. The city has also invested in an expanded school gymnasium which will be utilized by the school, community and the child care center. The project is expected to create 10 construction jobs.

USES SOURCES

Facility construction $1,052,050 Iron Range Resources & Rehabilitation

$250,000

A&E 92,424 City 1,045,595

Contingency 24,110

Infrastructure and site work 127,011

TOTAL $1,295,595 TOTAL $1,295,595 7) FY20 Broadband Infrastructure Projects – Resolution #20-005 Representative Dale Lueck moved that that Board recommend an expenditure of up to $1,381,972 of FY20 DJJ Public Works Funds to provide grants for the proposed projects, as presented in Resolution #20-005. Seconded by Representative Dave Lislegard. Motion carried.


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Voting in Favor of the Motion: Representative Rob Ecklund, Representative Sandy Layman, Representative Dave Lislegard, Representative Dale Lueck; Representative Julie Sandstede, Senator Tom Bakk, Senator Justin Eichorn, Senator Carrie Ruud, Senator David Tomassoni Voting Against the Motion: None Abstain: None Excused: None



DOUGLAS J. JOHNSON ECONOMIC PROTECTION TRUST FUND

FY20 PUBLIC WORKS PROJECT RECOMMENDATIONS


WHEREAS, pursuant to the agency’s approved fiscal year 2020 (“FY20”) Budget, the

Commissioner is authorized to expend up to $2,000,000 for development and community infrastructure

projects from the corpus of the Douglas J. Johnson Economic Protection Trust Fund as authorized by

Minnesota Statutes Sections 298.292, subdivision 1, and 298.296, subdivision 2(c) (“DJJ Public

Works Funds”); and

WHEREAS, the Commissioner has received proposals for the expenditure of up to $1,381,972

for five broadband infrastructure projects, which are more fully described in Exhibit A, which is

attached hereto and incorporated by reference (collectively the “Proposed Projects”); and


Administration Building located near Eveleth, Minnesota, to consider, among other matters, the

Proposed Projects and has determined that the expenditure of DJJ Public Works Funds for the purposes

and in the amounts specified below would be in the public interest and promote economic development

within the TAA.

NOW, THEREFORE, IT IS RESOLVED, that the Board hereby recommends the

expenditure of up to $1,381,972 of FY20 DJJ Public Works Funds to provide grants for the Proposed

Projects in the amounts and for the purposes set forth in Exhibit A.


funds for the Proposed Projects, including those Proposed Projects which have associated private

development work, is contingent upon the agency, in its grant contracts, requiring each such grantee

entity to commit to the payment of prevailing wages for the funded project as required by law, or to the

extent required in the Board’s Resolution 96-005.


funds for the Proposed Projects is further contingent upon all such project financing being in place

before the agency’s funds are released.


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Senator Tom Bakk X









TOTAL 9 0 0 0

Signed: ____________________________


BROADBAND INFRASTRUCTURE Bois Forte Band of Chippewa Grant Amount: $579,272

The project consists of construction of a fiber to the premise broadband network serving 442 unserved and underserved households within Bois Forte Reservation. Bois Forte will construct the infrastructure and Consolidated Telephone Company (CTC), a Minnesota Cooperative offering full service technology solutions over fiber to the home networks across the state, will operate and provide broadband service once the network is constructed. The project is capable of speeds that will far exceed the state of Minnesota’s 2026 speed goal of 100 megabits per second download and 20 megabits per second upload. Construction is anticipated to begin in the summer of 2020, contingent upon securing all funding for the project. The project is expected to create 15 construction jobs.

USES SOURCES

Fiber electronics $269,380 Iron Range Resources & Rehabilitation

$579,272

Fiber construction 1,663,100 DEED Border to Border Grant (Pending)

1,158,545

Fees, permits and engineering

384,610 Shakopee 579,273

TOTAL $2,317,090 TOTAL $2,317,090

Paul Bunyan Communications – Ash River (Northwest St. Louis Unorganized) Grant Amount: $105,450

The project consists of construction of a fiber to the premise broadband network serving 121 unserved and underserved households in the Ash River Area. Paul Bunyan Communications, a Minnesota Cooperative offering one of the largest all-fiber optic rural gigabit networks in the United States, will construct, operate, and provide broadband service once the network is constructed. The project is


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capable of speeds that will far exceed the state of Minnesota’s 2026 speed goal of 100 megabits per second download and 20 megabits per second upload. Construction is anticipated to begin in 2020, contingent upon securing all funding for the project and the weather cooperating. The project is expected to create three construction jobs.

USES SOURCES


$105,450

Fiber construction 392,760 DEED Border to Border Grant (Pending)

156,066

Paul Bunyan Communications 160,284

TOTAL $421,800 TOTAL $421,800

Paul Bunyan Communications – Kabetogama Area (Kabetogama & Northwest St. Louis Unorganized) Grant Amount: $236,400 The project consists of construction of a fiber to the premise broadband network serving 207 unserved and underserved households in Kabetogama Area. Paul Bunyan Communications, a Minnesota Cooperative offering one of the largest all-fiber optic rural gigabit networks in the United States, will construct, operate and provide broadband service once the network is constructed. The project is capable of speeds that will far exceed the state of Minnesota’s 2026 speed goal of 100 megabits per second download and 20 megabits per second upload. Construction is anticipated to begin in 2020, contingent upon securing all funding for the project and the weather cooperating. The project is expected to create six construction jobs.

USES SOURCES


$236,400


349,872


TOTAL $945,600 TOTAL $945,600

Paul Bunyan Communications – Morcom Township Grant Amount: $224,800 The project consists of construction of a fiber to the premise broadband network serving 126 unserved and underserved households in the Morcom Township area. Paul Bunyan Communications, a Minnesota Cooperative offering one of the largest all-fiber optic rural gigabit networks in the United States, will construct, operate and provide broadband service once the network is constructed. The project is capable of speeds that will far exceed the state of Minnesota’s 2026 speed goal of 100 megabits per second download and 20 megabits per second upload. Construction is anticipated to


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begin in 2020, contingent upon securing all funding for the project and the weather cooperating. The project is expected to create six construction jobs.

USES SOURCES


$224,800


331,704


Morcom Township 10,000

TOTAL $899,200 TOTAL $899,200 Paul Bunyan Communications – Elephant & Black Duck Lake Area (Camp 5 Unorganized Township)

Grant Amount: $236,050 The project consists of construction of a fiber to the premise broadband network serving 124 unserved and underserved households near Elephant Lake. Paul Bunyan Communications, a Minnesota Cooperative offering one of the largest all-fiber optic rural gigabit networks in the United States, will construct, operate and provide broadband service once the network is constructed. The project is capable of speeds that will far exceed the state of Minnesota’s 2026 speed goal of 100 megabits per second download and 20 megabits per second upload. Construction is anticipated to begin in 2020, contingent upon securing all funding for the project and the weather cooperating. The project is expected to create six construction jobs.

USES SOURCES


$236,050


349,354


TOTAL $944,200 TOTAL $944,200

8) Other

Iron Range Summer Institutes Update – Superintendent Reggie Engebritson, St. Louis County/Mt. Iron/Buhl Schools and Superintendent Rick Aldrich, Hibbing Schools provided an update.

Representative Sandstede requested a future update on IRE 2.0 (Bell Program), including a site visit.

9) Adjournment

The meeting adjourned at 10:47 a.m.

Documents

Meeting of the Iron Range Resources and Rehabilitation Board 19 2019... · entrepreneurs, restaurants, artists and professionals. Alley A Realty has been operating in Columbia, MO