Thursday, March 11, 2004
Projects Also to Spur More Than $7.4 Million in Private Investment
Governor Jennifer M. Granholm today announced more than $658,000 in Community Development Block Grant funding to support projects in three communities that are expected to create 78 new jobs and spur more than $7.4 million in private investment. The grants, made available through the Michigan Economic Development Corporation (MEDC), will fund public infrastructure improvements necessary for the expansion of three companies in the village of Baldwin, Bagley Township and Garfield Township.
"All of these projects are great examples of what the CDBG program was designed to achieve," Granholm said. "A lack of sufficient public infrastructure to nurture growth is often a barrier for development in communities whose resources are already stretched thin.  These grants will help provide the improvements necessary for further investment and job creation."
The following three community projects were offered funding:
The village of Baldwin plans to utilize a $220,000 grant for public road, water and electrical improvements necessary for construction of a new downtown hotel and retail center.  The project is expected to create 22 jobs and $2 million in private investment.
Bagley Township has been offered $255,000 for construction of a new rail spur necessary for the expansion of A & L Iron & Metal located in Gaylord. The company collects and processes scrap metal for foundries in northern Michigan, Detroit and Chicago.  The project is expected to spur $4.5 million in private investment  and create 25 jobs.
Garfield Township will use $183,427 to improve the public road, water and sewer facilities to accommodate the expansion of Britten Media Group in Traverse City. The company plans to invest $975,000 to expand its sign and banner fabrication business, creating 30 jobs.
CDBG grants continue to be a great tool for addressing community infrastructure issues leading to job creation and investment in our core communities," said Don Jakeway, president and CEO of the MEDC.  "These projects will have a positive impact on these communities for many years to come."
The Michigan Economic Development Corporation administers the state's block grant program with funds received from the U.S. Department of Housing and Urban Development. These funds are used to provide grants to eligible counties, cities, villages and townships-typically those with populations less than 50,000-for economic development, community development and housing projects.
Each year, Michigan receives approximately $50 million in federal block grant funds. There are 1,655 local governments within the state eligible to apply for these funds.
The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life.