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HomeMy WebLinkAbout890206.tiff RESOLUTION RE: APPROVE APPLICATION FOR AGRICULTURAL PROCESSING FEASIBILITY GRANT PROGRAM AND AUTHORIZE CHAIRMAN TO SIGN WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to Colorado statute and the Weld County Home Rule Charter, is vested with the authority of administering the affairs of Weld County, Colorado, and WHEREAS , the Board has been presented with an Application for the Agricultural Processing Feasibility Grant Program, and WHEREAS, said Application is to be submitted on behalf of the Ft. Lupton Canning Company Fish Growing and Processing Project, and WHEREAS, after review, the Board deems it advisable to approve said Application, a copy being attached hereto and incorporated herein by reference . NOW, THEREFORE , BE IT RESOLVED by the Board of County Commissioners of Weld County, Colorado, that the Application for the Agricultural Processing Feasibility Grant Program be , and hereby is, approved . BE IT FURTHER RESOLVED by the Board that the Chairman be, and hereby is, authorized to sign said Application . The above and foregoing Resolution was , on motion duly made and seconded, adopted by the following vote on the 27th day of February, A.D. , 1989 . t1 BOARD OF COUNTY COMMISSIONERS ATTEST: ! 72�-i tvn.v yL� vhd ) WELD COUNTY, COLORADO Weld County Clerk and Recorder 71/ ccl and Clerk to the Board C.W. Kirby, iyhairman BY: '/ /%t_'E2Lc.1 .- f ,, . (,c a .c it . c , e ' \ J�\ son, Pro-Tem eputy County Clerk/ APPROVED AS TO FORM: ene R. Bran ner .)-�� George Ker edyCi County Attorney EXCUSED Gordon E. Lacy 890206 • APPLICATION For The Agricultural Processing Feasibility Grant Program 1. Applicant Local Government Weld County Name of contact person Don Warden Mailing address P_0. Box 758 Greeley. CO 80612 Telephone number (S03)196-4000 2. Name/Title of proposed project Ft. Lupton Canning Company Fish Growing & Processing Project 3. Location of project Fort Lupton, C0 4. Amount of grant funds requested $ 15,000.00 5. Describe the processing facility which will be studied. Include information you may have on the type, amount, and source of raw material which will be processed and potential markets. Indicate whether the project will compete with similar processing facilities in the region. (Enclose additional information which is available on the project) . SEE ATTACHED 6. Describe how the grant will be used. The grant money will be used to determine the feasibility of the project from every aspect including: Structural engineering analysis of buildings Electrical and mechanical design Marketing studies Financial analysis Business plan Travel to similar operations out of state In house personnel and direct costs. 7. Describe the impact the project will have on the community (i.e. , jobs, payroll, spinoff industries, etc. ) . The project will be a boost to the local community in a number of ways. The proximity of the site to the downtown area should have some economic impact on the retail and other businesses located in that area. Also, this industrial sector of town will undergo a rejuvenation in terms of activity and appearance. While we have yet to determine the number of new jobs created by the new plant, we estimate that approximately four to six people will be involved on a full time basis with the growing operation and that twenty people or more will be employed in the processing operation. We will be assessing the ability to expand the facility as demand for our products dictate which will increase the importance of the aquaculture facility to the city. (Continued on attached sheet) Es 4' • APPLICATION Agricultural Processing Feasibility Grant Program Page 2 8. To what degree has feasibility of this project already been investigated? (Include previous studies, financial backing, etc. ) We have engaged an independent consultant to provide future services to us including study of the industry, obtain information and help us develop our business plan. We have been in personal contact with over thirty people who are involved in or knowledgeable about the industry and have met with certain of those individuals. 9. Describe who would operate the facility. Indicate their experience in developing other processing or manufacturing facilities and/or experience with the agricultural commodity being processed. We are holding discussions with several different companies which are experienced in providing management services in the aquaculture industry. It is important that we associate ourselves with people who have had hands on experence in the industry with regard to the biological and chemical aspects of the operation. 10. BUDGET INFORMATION. Indicate the amount of grant money and in-kind contribution to be spent on each function or activity. Activity Grant In-Kind or Cash* Total a. Personnel $ 1 ,600 $ 1,600 $ 3,200.00 b. Travel 1. 500 3.500 5.000.00 c. Equipment 350 750 1 . 100.00 d. Supplies ,printing 50 950 1 ,000.00 e. Contractual** 11,500 21,000 32,500.00 f. Other g. h. i. Total $ 15.000 $ 27.800 $ 42.800.00 *Contributions must be documented. ** What is included in contractual (services, consultant, etc. ) Preliminary & Electrical Design Structural Design Mechanical Design Estimating Systims Design Business Consultant Indicate below amount of funds contributed by other public sources. None 11. Please enclose a draft letter of agreement between the local government and private enterprise, stipulating each party's responsibilities in fulfilling the contract. 12. Please enclose letters of support from groups such as farm organizations, commodity groups, financial instutitions, and/or local government advisory groups. 13. Mail application to be received by March 1, 1989 to: Colorado Department of Agriculture c/o Rosemary Biggins 406 State Services Building 1525 Sherman Street Denver, Colorado 80203 B1,6-1O.4: 6e. /X>ee. Date: a2--.?Z-89 Applicant NA/RniKm, d tf a . n thlss,1/4l Title 8902,1'6 5 . The proposed processing facility is a group of existing buildings owned by the Fort Lupton Canning Company (FLCC) , a Colorado corporation incorporated in 1917 with headquarters in Fort Lupton , Colorado . FLCC owns four square blocks of land with improvements just two blocks west of downtown Fort Lupton . The existing facilities were used for many years for the canning of various vegetables grown by local farmers but for economic reasons the vegetable canning business was terminated in the late 1970s . Since that time the facilities have been used for warehousing . We are proposing to evaluate the use of some of the buildings for a fish growing and processing operation . The existing facilities consist of a detached building of 5000 sq . ft . of main floor space and an additional 1000 sq . ft . of overhead walkway . We will he analyzing the use of this building for a fish processing operation , the processing of fish into fillets , nuggets , etc . Another building , which is the proposed growing facility , has 13 , 000 square feet of drained concrete area on the first floor and 10 , 500 square feet of drained concrete area on the second floor . The first floor is being considered as the grow—out operation which would hold the fish tanks allowing the fish to grow to maturity . The second floor would hold the fingerling and fry tanks and certain equipment needed to control the environment in the tanks . An attached area comprises 2640 sq . ft . which would also be utilized in some manner . There are also covered porch areas of the building which may be utilized . A seperate building contains three boilers which would be utilized in maintaining the required water temperature inside the tanks . The piping into the above described buildings is already in place . These boilers were used in previous food processing operations of FLCC . There is ample water available to serve the facility from a water well and from the city water system . We have done some preliminary analysis of the aquaculture industry but need to do extensive further analysis of the economics of growing different varieties of fish . Some of the species which we are considering are the following : catfish , striped bass , redfish , talipia . Supply of fingerlings for these species are available from a number of sources but we have not made a determination of the quantity which we will require or who our supplier( s) may be . 8902C6 Potential markets for all of these fish exist and are well developed . We will be evaluating acting as supplier to the Denver market but also will analyze markets in Los Angeles , Chicago and other areas of the country . We will undoubtedly develope a private label for our processed fish product . We may sell whole fish as well as processed fish . Preliminary estimates indicate that we may be able to grow in excess of 2 million pounds live weight annually . There is evidently a dearth of fish processing facilities in the Rocky Mountain region based on our conversations with local people in the industry . Consequently , our facility could well serve as a processor for other producers of fish in the area . To our knowledge , there are no other intensive culture fish growers in Colorado utilizing the technology which we propose to implement . 8902,2,.6 7. (Continued) Because of the technology employed in our intensive culture (tank) aquaculture project, we would anticipate that a number of people involved in the industry will travel to Ft. Lupton to view our operation. This will raise the visibility of the community as well. 8902�'6 Hello