City may provide gap money for industrial campus
The Estacada City Council voted to temporarily finance an expansion of Campus Drive that would facilitate the arrival of a new business to the Estacada Industrial Campus, if the money is needed before the city receives funds from a grant it was previously awarded.
During a meeting on Monday, Sept. 9, city staff shared that Sauter Timber, a Tennessee-based cross-laminated timber manufacturer, is interested in purchasing 5 acres in the city's industrial campus.
The sale between Sauter Timber and industrial campus owner Park Development is expected to be finalized in the next few weeks.
However, there is a gap in funding for a necessary expansion of Campus Drive and several other improvements. Approximately $450,000 of the work will be funded by Sauter's purchase of the land. While the city has been awarded an Immediate Opportunity Fund grant from Business Oregon for the remaining $456,500 needed, the money may not be available for six months.
During the Sept. 9 meeting, city councilors voted to temporarily fund the $456,500 necessary to bridge the funding gap and begin the construction of the expanded roadway.
"The hope is that the IOF money is available before any additional funds are required for the construction of the roadway," City Manager Denise Carey wrote in a staff report. "We are cautiously optimistic that the IOF award will come through before the additional funding is required, making the city's direct financial involvement unnecessary, but we would like to have this backstop solution and agreement in place in the event construction moves along faster than the availability of the IOF funding."
If funding from the city is required, Park Development will provide a $456,500 lien on the five acre parcel. When the IOF funds are received, the city will be reimbursed for any funds it may have contributed.
What is cross-laminated timber?
Sauter Timber may open a manufacturing facility in the Estacada Industrial Campus. The company produces cross-laminated timber, which consists of layers of wood, each one perpendicular to the previous one. CLT has a smaller carbon footprint than steel and concrete and can reduce construction periods.
"The State of Oregon, Clackamas County, and the city of Estacada all have an interest in growing this industry. While there are a few CLT manufacturers and processors in the State, attracting such an employer to Estacada would be a huge win for our local and County economies, bringing jobs, capital investment, and visibility to our community," Estacada City Manager Denise Carey wrote in a staff report for the Monday, Sept. 9, City Council meeting.
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