The Southeast Arkansas Regional Intermodal Authority met on July17, 2013 in the Bradley County Economic Development Board Room in Warren, AR with 24 people present.
After the meeting was called to order at 10:30 a.m. by John Lipton, Chair, the minutes of the June 2013 meeting were approved.
Robert Milton presented the June financial report and two unpaid invoices; Robert Milton for $125.00 and Donna Lawhon $18.10 for postage. Motion was made by Sandra Brown and seconded by Sonny Jones to approve the Financial Report and pay all invoices. Motion Carried.
Todd Mueller from Garver Engineers explained that Arkansas Midland RR has signed the rail siding contract and SEARIFA has submitted the required 1% administration fee. Both have been sent to AHTD for approval. Mr. Mueller also explained that Reece Construction has almost completed their contract. Peck Construction has completed the seeding and has some small electrical punch list items to complete before closing out their contract. Mr. Mueller provided a map of the Intermodal facility and
suggested 3 options for utilizing the remaining funding after the side rail is complete. One option is an additional bulk handling area with an approximate cost of $269,000. The second option is to extend the Lipton Industrial Parkway, which would allow access to properties across the railroad tracks with an approximate cost of $200.000. The third option is the construction of siding #2 with an approximate cost of $1,050,000. Mr. Mueller stated that he hopes this information will start discussions to determine what the Authority wants to move toward for the next project. Mr. McKinney stated that as the Authority starts a new project a new engineering service contract with Garver will be necessary. Mr. Lipton stated that after the railroad siding project is complete the remaining state and federal highway funds will dictate the next project. The Board discussed the necessity to extend the road across the railroad. Sonny Jones stated the need to extend utilities under the track. Mr. Mueller advised the Board that he believes the funding will be available to extend the road across the tracks but the amount of funds will determine the length of the road. Mr. McKinney suggested the possibility of constructing a sleeve (for utilities) under the track when constructing the road extension. Mr. Warner asked Stephanie Johnson if U.P. Railroad will have to approve the water under the track. Ms. Johnson advised that Arkansas Midland RR has the authority to authorize any activity on the site.
Cliff McKinney explained to the Board that he has been informed that before the AR Midland RR contract can be approve at AHTD it may need an approval from the Federal Highway Administration due to the sole source contract with AR Midland RR. Mr. McKinney advised that he is working on this issue. He advised that in past projects he has never had this come up as an issue. Mr. McKinney stated that Daniel Courtney is the new Resident Engineer on the SEARIFA project and will be looking over the project.
John Lipton and the group discussed the work on I-69. Mr. Mueller discussed Garvers ongoing design work on I-69. Also discussed was the necessity of frontage roads to the Intermodal site.
Bill Frizzell advised the Board that C & L has access to any electrical needs the site may require. Mr. Frizzell advised that the information they need is the desired load and the time frame. Kevin Sexton stated a potential project will dictate the load requirement. Mr. Sexton asked if a chart or scale could be available. Nita McDaniel stated that this same information is also need for gas. Mr. Frizzell stated that they could meet any requirements within an 18 month time frame. Ms. McDaniel asked about the cost to obtain the required load. Mr. Fizzell advised that this would also depend on the load required and the equipment necessary to provide the load. Mr. Ronnie Frizzell stated that if the project requires a transformer it would take about 1year to build. If a substation is required it was discussed that if possible it would best to have it built on the Intermodal site. Mr. Frizzell stated that most any electrical needs could be furnished within 18months. Mr. Frizzell stated that C&L has a contract with Entergy which gives them access to the transmission grids and there will no problems. Mr. Frizzell stated that he knows timing is critical in industrial development and what they need to provide adequate electrical service is the require load, the types of load or the processes the industry will be using and the industry’s time frame.
Stephanie Johnson from Arkansas Midland RR advised the board that she has shown the Intermodal Facility a few times and the key questions every prospect wants answered is when will rail service and utilities be available to the site. Ms. Johnson stated that a new industry building from the ground up could have an 18 – 24 month construction window. If the Intermodal Facility could assure a prospect that their utilities could be met within this time frame it would put SEARIF in the running.
Kevin Sexton asked if some pricing samples could be provided based on different loads. Mr. Sexton stated that it would be advantageous to have representatives from the electric coop present during a prospect visit.
It was discussed that the transmission will be coming from the south side of the property and RR easements will need to be granted from AKMRR to access the northern properties. Ms. Johnson advised this would not be a problem. Mr. Frizzell stated that they prefer overhead transmission lines. Mr. Mueller stated that there is an existing sleeve under the highway.
Nita McDaniel advised that she will contact Center Point Gas to schedule a meeting with the Board. Cliff McKinney and Ms. Johnson stated that the Intermodal property has an enterprise pipeline located on the property.
Patrecia Hargrove gave an update on the EDA & DRA funds. Ms. Hargrove stated that from Delta Regional Authority ( DRA) SEARIFA received a grant for $300,000 and has $212,000 remaining. DRA reimburses 11% of qualifying invoices. Ms. Hargrove stated that from Economic Development Administration (EDA) SEARIFA received a grant for $1.9 million and has $1.3 million remaining. EDA reimburses 67.86% of qualifying invoices. These funds can only be utilized for water and sewer projects on the Intermodal site. Ms. Hargrove also stated the AR Economic Development Commission provided a grant (GIF $) for $115,000 which was used to pay the completed Triple E Construction project. Ms. Hargrove stated that the paid invoices are for Triple E Construction, Peck Construction, Reece Construction and some engineering cost. Ms. Hargrove stated that she is reporting to EDA and DRA that the Intermodal project is moving forward and the remaining funds are not in danger of being recaptured.
Reginald Glover and John Lipton discussed the efforts and contributions of the AR Heavy Equipment Operator Training Academy in the clearing and grubbing of the Intermodal facility.
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