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City of Missoula, Montana Item to be Referred to City Council Committee Committee: Administration and Finance Item: Authorization of application to Big Sky Trust Fund Date: October 15, 2010 Prepared by: Cindy Wulfekuhle Initiated by: Missoula Area Economic Development Corporation Action Required: City Council is requested to adopt a motion authorizing the Mayor to submit an application to the Big Sky Trust Fund for $195,000 on behalf of Rivertop Renewables . Recommended Motion: I move the City Council authorize the Mayor to submit an application in the amount of $195,000 to the Montana Department of Commerce Big Sky Economic Development Trust Fund for the purpose of supporting business location and expansion in the City of Missoula. Timeline: Referral to committee: October 15, 2010 Committee discussion: October 21, 2010 Deadline: October 25, 2010 Background and Alternatives Explored: MAEDC is working with Rivertop Renewables, a company which creates green chemicals and bioproducts that are biodegradable and built from renewable plant sugars. From the company’s website: “Rivertop, whose scientific platform resides at the “headwaters” of the renewable chemical industry, is developing a series of building block chemicals derived from a variety of natural sugar feedstock, including glucaric acid, upon which many other products can be developed. Glucaric acid will first be applied as corrosion inhibitors and concrete admixtures. Rivertop is also developing a detergent builder to replace phosphates and a polymer to control the release of fertilizers, both of which would protect water quality.” MAEDC is preparing an application to the Big Sky Trust fund to defray some of the costs (equipment purchase) associated with the company locating its operation at the MonTech site. The investment will result in 26 new jobs with an average salary of $48.42 per hour. The Administration proposes to have MAEDC administer the grant if the application is successful. Any grant agreement resulting from the application will be subject to City Council approval. Financial Implications: There are no direct budgetary implications for the City. Attachments: Draft application material