The Koochiching Economic Development Authority Board Wednesday adopted a proposed 2013 budget for the organization.
KEDA Director Paul Nevanen explained to the board that the budget is a “little tricky” because it is unknown how much money will be generated by cold weather testing efforts during the 2013 season.
“Depending on how the season goes, we could have groups cancel or we could have a lot of activity,” Nevanen explained. “Factoring all of that in, we tried to keep this budget simple.”
He added that contributions from both the city of International Falls and Koochiching County toward construction of the second cold box located at the Falls’ cold weather testing site were added variables to consider when putting the budget together.
Nevanen explained that money would be used from the KEDA reserve fund to offset any cold weather testing costs if necessary.
“I’m pleased with where we are at going into 2013,” Nevanen said.
Also Wednesday, Nevanen discussed with the board updates on the Renewable Energy Clean Air Project, known as RECAP.
In September, the board learned Boise Inc., the anticipated host for the project, was no longer interested in taking part in the effort.
Nevanen said in September that Boise’s decision was made because the project proposes using untested technology, and the company is unwilling to take on potential associated risks.
RECAP has been on the radar for more than six years for Koochiching County, which partners with Coronal LLC, a plasma gasification and consulting company. The two bodies have been working to develop a potential facility that would produce two types of outputs: synthetic gas and slag by gasifying garbage and other waste. The “syngas,” comes from organic waste and would be sold as sources of energy, such as steam. Slag, the byproduct of gasifying inorganic waste, can be sold as road aggregate, tile and bricks, among other products.
Wednesday, Nevanen reported that Coronal has approached International Falls officials about the potential to site the project at the newly-created multi-modal warehouse district, which is planned to be built off County Highway 155.
“Initial discussions have centered around the RECAP project possibly serving as a combined heat and power source for other tenants at the location,” Nevanen explained. “I think there could be some real benefits there.”
International Falls Mayor Tim “Chopper” McBride, who serves on the KEDA board, agreed.
“This has a huge amount of potential,” he said. “This could be a huge, huge success.”
Nevanen said while talks are still preliminary, more detailed discussions on site information and mapping of the site will be had in the near future.
With the multi-modal site in the foreground of discussion, the board questioned Shawn Mason, International Falls director of community and economic development, who was in attendance to the meeting, about the status of the site.
“Closing (on the purchase of the property) with Boise is coming very soon,” she said. “We’re working quickly on this because the developer has indicated he wants to be ready by this spring.”
Mason continued that the interest to include RECAP at the site could potentially create some “win-win situations.”
Nevanen thanked those who attended last week’s ceremony for the new cold box that will be occupied by Jaguar Land Rover.
“It was a nice ceremony and I think it was a good reflection on our community,” he said.
Nevanen acknowledged there are seven unpaid bills for different bodies and companies involved in the construction of the cold box and he hopes to have them paid by the end of the year.
The cold box project received a $250,000 grant from the Minnesota Department of Employment and Economic Development, and Nevanen said he hopes that money will arrive this week to help pay the unpaid bills.
