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<br />L: S0601236.doc\M060123\Agendas Council \CMO\ <br /> <br />ECC <br />UGENE ITY OUNCIL <br />AIS <br />GENDA TEM UMMARY <br /> <br /> <br /> <br /> <br />Action: ConnectOregon Grant Application for Air Cargo Project <br /> <br /> <br />Meeting Date: January 23, 2006 Agenda Item Number: 6 <br />Department: Public Works Staff Contact: Kurt Corey <br />www.eugene-or.gov Contact Telephone Number: 682-5241 <br /> <br /> <br /> <br /> <br />ISSUE STATEMENT <br /> <br />At its January 20, 2006, meeting the Intergovernmental Relations Committee passed a motion to forward <br />the ConnectOregon grant application for the air cargo project to the City Council for review and <br />approval. Therefore, the City Council is requested to review and approve the submittal of a <br />ConnectOregon grant application for the air cargo project at the Eugene Airport. <br /> <br /> <br />BACKGROUND <br />The ConnectOregon program was created through Senate Bill 71 by the 2005 Oregon Legislature. It is <br />an economic stimulus program of $100 million, funded through lottery bond proceeds. The program <br />focuses on strategic investments that improve the efficiency of regional or the statewide transportation <br />system through connecting modes. Air, marine, rail and public transit are eligible for funding. <br /> <br />Criteria to be used to evaluate projects ConnectOregon funds are broadly identified in SB71 as follows: <br /> <br />? <br /> <br />whether the project reduces transportation costs for Oregon businesses; <br />? <br /> <br />whether it benefits or connects two or more modes; <br />? <br /> <br />whether it is a critical link in statewide or regional transportation system; <br />? <br /> <br />how much of the cost can be borne by the applicant; <br />? <br /> <br />whether the project creates construction and permanent jobs in the state; and <br />? <br /> <br />whether the project is ready for construction. <br /> <br />The Eugene Airport’s proposed air cargo project appears to meet all the stated criteria of the program. <br /> <br /> <br />The ConnectOregon program requires a minimum local match of 20% of total project costs.The <br />estimated total project cost of the air cargo project is $5,471,281. The ConnectOregon grant request is <br />estimated at $4,377,025, with the 20% matching source derived from $1,039,543 Federal Aviation <br />Administration (FAA) Airport Improvement Program grant funds and $54,713 from City of Eugene <br />Airport Capital Reserves (Fund 512). <br /> <br /> <br /> <br /> <br /> L:\CMO\2006 Council Agendas\M060123\S0601236.doc <br /> <br />