Foreign trade zone development as at the forefront of discussion at the Koochiching Economic Development Authority Board meeting Wednesday.

KEDA Director Paul Nevanen explained that a conditional use permit has been approved and Doug Grindall, county engineer, will seek bids to blast and crush at the FTZ site, with the contract expected to be awarded by the county board Aug. 30.

“The process is in motion,” Nevanen said.

He added that Dave Serrano, Arro of the North, is working on a conceptual site plan that lists some building footprints and parking lots for the site.

Canadian National Railway has expressed interest in property on the east side of the FTZ site, Nevanen reported.

The board agreed to provide a letter of support to Randy Carmody, a property owner with land adjacent to the site, who has also indicated interest in development.

Carmody buys and sells shipping containers used on trains and would like to work with CN to have railroad siding come onto or near his property, according to Nevanen.

“Any interest in activity along the rail is good and will hopefully lead to more,” he said.

In other business, Nevanen told the board about the progress of building an additional cold box at the KEDA’s cold weather testing facility.

Nevanen, who serves as the cold weather testing coordinator, is collaborating with a former cold weather testing customer that is looking to consolidate all its testing in the Falls.

The company, which Nevanen has not disclosed, is interested in establishing a portable or fixed-option cold cell in addition to the 1,900-square-foot cell currently located at the facility.

Nevanen said that his hope was that the cell would be ready in time for the 2011-12 season, however, financing and time issues won’t allow construction to be complete this season.

“They (the company) have received our proposal and we’re waiting on a formal acceptance,” Nevanen said. “We won’t have a cold box for them this season, but my hope is that they will still have test groups come this year.”

In other action Wednesday, the board agreed to a 3-percent salary increase for the KEDA director and 2-percent increase for KEDA staff retroactive to Jan. 1.

KEDA Board member Tim “Chopper” McBride noted that Nevanen has been with the board for 10 years and hasn’t had a salary increase for four years.

KEDA staff members Dixie Kalstad and Jenny Dougherty, were given a 2-percent increase because they receive annual salary increments.

The board agreed to accept an audit report presented by Ryan Jarvi of Walker, Giroux & Hahne via telephone.

Jarvi informed the board its financial statement was “similar to last year” and for members to keep working on policies to maintain good financial health.