File #: 16-0670R    Name:
Type: Resolution Status: Passed
File created: 9/7/2016 In control: Planning and Economic Development
On agenda: 9/12/2016 Final action: 9/12/2016
Title: RESOLUTION AUTHORIZING A PROFESSIONAL SERVICES AGREEMENT WITH BARR ENGINEERING CO. RELATED TO THE FORMER FRANKLIN FOODS PRODUCTION FACILITY
Attachments: 1. Exhibit A Franklin Foods Production Facility BARR Prof Svcs Agmnt

Title

RESOLUTION AUTHORIZING A PROFESSIONAL SERVICES AGREEMENT WITH BARR ENGINEERING CO. RELATED TO THE FORMER FRANKLIN FOODS PRODUCTION FACILITY

 

Body

Resolved, that the proper city officials are hereby authorized to enter into a professional services agreement, substantially in the form of that attached as Exhibit A, with Barr Engineering Co., in an amount not to exceed $50,000, payable from Fund 255-020-5319 (Economic Development Fund, Planning, Other Professional Services), related to a Phase II environmental investigation of the former Franklin Foods Production Facility.

 

Statement of Purpose

STATEMENT OF PURPOSE:   The purpose of this resolution is to approve an environmental consultancy contract to provide the scope of services related to a Phase II environmental investigation on the former Franklin Foods site at 1928 West 1st St. in the Lincoln Park neighborhood. This property once held a Kemps Dairy milk production operation and more recently served as a food production and distribution facility; it has been vacant since operations ceased in 2013.

In 2014 DEDA secured an EPA Assessment grant enabling the City to provide assistance to businesses for Phase I and Phase II assessments. Barr Engineering is one of three environmental consulting firms procured through the City of Duluth’s RFP process for EPA-funded work. The prospective owner of the property, Kevin Evans, CEO of Duluth Whiskey Project, LLC., individually secured a Phase I investigation. Due to the industrial and manufacturing nature of the site and neighborhood, the Phase I report recommended that additional on-site investigation work be conducted to better understand the state of the site and potential environmental concerns.

The Franklin Foods facility encompasses nearly one half of a city block and has been for sale since its 2013 closure. Duluth Whiskey Project (DWP) is currently in the due diligence period of their purchase agreement and has engaged the City of Duluth for assistance with the Phase II environmental work. DWP intends to host a whiskey/spirits distilling operation and tap room within the facility following its redevelopment. Redevelopment is currently planned to include the phased build-out of the approximately 21,000 square feet of space to provide much needed leasable space for local small businesses. DWP strongly supports Lincoln Park’s designation as Duluth’s craft/maker district and has received interest from multiple parties regarding the future leasing of space. The redevelopment of this facility would provide additional investment and much needed opportunities in the Lincoln Park neighborhood. This agreement offers an opportunity to gain much needed insight into the environmental condition of a vacant property that is in need of improvement.