From: John Utter

Sent: Thu Apr 08 16:54:43 2021

To: Mac Corthell

Subject: RE: Potential Infrastructure Funding Assistance

Importance: Normal

Attachments: Dansons-Only_55d8b104-dde6-4adb-a57f-23015e0080f9.jpg;

Mac,

This is good positive news, I needed a little of that today. I received the engineering estimate form All Counties today, approximately 350k. That did not include the entrance off of South Molalla. AC has begun working on the Annexation Paperwork, hope to have that to you shortly. Answers to your questions are below.

From: Mac Corthell <mcorthell@cityofmolalla.com>

Sent: Thursday, April 8, 2021 8:42 AM

To: John Utter <john.utter@dansons.com>

Subject: Potential Infrastructure Funding Assistance

Hi John,

I had a meeting with Colin Sears at Business Oregon yesterday (the government finance agency in Oregon) and spoke to him about your project. I’ve scheduled a follow-up with him and the program manager for a fund known as the “Immediate Opportunity Fund” (IOF), to further discuss financial assistance of your project. In short, the IOF is a fund that provides grants from the Oregon Department of Transportation of up to about $1 million (that was last years, it changes by year so I won’t know until Tues) for infrastructure improvements related to job creation.

We think your project will likely be a great candidate for this. The short story is that if awarded Business Oregon would provide somewhere near 50% of the funding for needed infrastructure improvements. With that said, I need a bit more info about Dansons to be able to pitch it. If any of this is proprietary or something you’d rather not share, just let me know and I’ll see if we can work around it. Also, I’ll we’ll all connect on this if the pitch goes well Tuesday.

The following info would be very helpful to my pitch:

• * Estimated job creation of the project… how many jobs will Dansons provide at this location give or take.

Approximately 40

• * Estimated average wages of the new jobs

Approximately $21 per hour

• * Global employee headcount estimate

Approximately 400

There are also some really advantageous Industrial Revenue Bonds that can assist with Capital financing (buildings and equipment). These are low interest loans guaranteed by Business Oregon, granted by partnering financial institutions. You’re probably familiar with these at the federal level, but they are much more accessible at the state level. We would need additional Capital investment projections on the site if you are interested in these, just let me know.

Thanks John, I’m really crossing my fingers on the IOF, I think it would make this a much more tenable project for you guys. We can discuss further any time you’d like, or after I make the pitch on Tuesday next.

-Mac

Macahan “Mac” Corthell, J.D. | Planning Director

City of Molalla

117 N Molalla Ave. | PO Box 248 |Molalla, OR 97038

Phone - 503.829.6855

Fax – 503.829.3676

Email – mcorthell@cityofmolalla.com

Website – http://www.cityofmolalla.com

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