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File #: 25-0442R    Name:
Type: Resolution Status: Agenda Ready
File created: 5/19/2025 In control: Planning and Economic Development
On agenda: 5/27/2025 Final action:
Enactment date: Enactment #:
Title: RESOLUTION APPROVING A REQUEST FOR A ONE-YEAR EXTENSION OF A MINNESOTA INVESTMENT FUND GRANT CONTRACT AGREEMENT WITH THE MINNESOTA DEPARTMENT OF EMPLOYMENT AND ECONOMIC DEVELOPMENT
Attachments: 1. Council Memo_Sofidel America-MIF Extension Request, 2. Attachment_City of Duluth - Sofidel MIF Compliance Date Extension
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Title
RESOLUTION APPROVING A REQUEST FOR A ONE-YEAR EXTENSION OF A MINNESOTA INVESTMENT FUND GRANT CONTRACT AGREEMENT WITH THE MINNESOTA DEPARTMENT OF EMPLOYMENT AND ECONOMIC DEVELOPMENT

Body
CITY PROPOSAL:
WHEREAS, pursuant to Resolution 22-0562R, the city of Duluth entered into a Minnesota Investment Fund Grant Contract Agreement (the "grant contract agreement") with the Minnesota Department of Employment and Economic Development ("DEED") to support economic development efforts and assist ST Paper 1, LLC's project at the Duluth Paper Mill; and
WHEREAS, the city and DEED amended the grant contract agreement authorizing the transfer of ST Paper 1 LLC's interest in the project to Sofidel America Corp.; and
WHEREAS, Sofidel America Corp. has requested an extension to the compliance date of the job creation goals of the grant contract agreement; and
WHEREAS, the city has determined that an extension of the compliance date is necessary to fulfill the job creation goals and remain in good standing with DEED; and
WHEREAS, DEED has indicated its willingness to approve a one-year extension of the compliance date, subject to a formal request by the city council and the execution of any required amendment documents; and
WHEREAS, the city council gave due notice of a public hearing and did consider the request for an extension in a public hearing.
THEREFORE, BE IT RESOLVED, that the proper city officials are hereby authorized to request a one-year extension and to execute such agreements as are necessary to implement the extension to the grant contract agreement subject to the forgoing.

Statement of Purpose
STATEMENT OF PURPOSE: The purpose of this resolution is to formally seek approval for a one-year extension of the Minnesota Investment Fund ("MIF") grant contract agreement between the City of Duluth and the Minnesota Department of Employment and Economic Development ("DEED") related to the Duluth Paper Mill. The extension is nec...

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