18 June 2010Solar panel manufacturing facility to locate in Mountain Iron
A $6.8 million photovoltaic solar manufacturing plant will be constructed in Mountain Iron with financial support from Iron Range Resources approved at the June 17, 2010, Iron Range Resources Board meeting.
Silicon Energy MN, LCC will build a 25,000 square-foot facility in Mountain Iron that will employ 15 full-time workers initially. Five to seven new production line jobs will be added as production increases. Silicon Energy will in October or November begin hiring employees for the facility. Production is projected to begin in March 2011. It will become the second solar panel manufacturing facility in Minnesota. Silicon Energy already operates a solar manufacturing facility near Seattle, Washington.
Iron Range Resources is supporting the project with a $1.5 million loan to the company and a $3.6 million building loan to the Mountain Iron Economic Development Authority. Funding for the $1.5 million loan comes from the Minnesota 21st Century Minerals Fund and the $3.6 million from production tax distributions legislatively directed for cooperative renewable energy agreements between Iron Range Resources and local governmental units.
Also approved at the meeting was:
A $800,000 Iron Range Higher Education Account expenditure to provide a grant to the Northeast Higher Education District to fund second-year costs of the Iron Range Engineering Program. The program allows students enrolled in the Northeast Higher Education District Iron Range Engineering Program to earn a Bachelor’s of Science degree in engineering from Minnesota State University Mankato.
A $400,000 Iron Range Higher Education Account expenditure to provide a grant to the Northeast Higher Education District to fund second-year costs of the Masters of Engineering degree program from the University of Minnesota Duluth.
A $486,250 loan to Disability Specialist, Inc. to support construction of an expandable 11,500 square-foot facility in Cook. The $2.5 million project creates 20 new full-time jobs and retains 30 existing full-time employees.
A request by Magnetation, Inc., for Iron Range Resources and the Minnesota Department of Employment and Economic Development to subordinate their collateral position on the company’s assets. Magnetation has a proposed $5 million line of credit financing arrangement with JP Morgan Chase Bank, which would hold a first position of collateral on the company assets.
An expansion of the Fiscal Year 2010 Iron Range Resources Wage Subsidy Program to $1.5 million from $1 million and a $1.5 million allocation for a Fiscal Year 2011 Wage Subsidy program. Also authorized was an expansion of wage subsidy benefits to individual eligible workers for up to 52 weeks from 26 weeks. Employees currently under the current 26 week program will also become eligible for 52 weeks. 210 employees have been hired under the program at businesses within the Taconite Assistance Area thus far in 2010.
A $175,000 grant to the City of Two Harbors for water, sewer and site preparation for a new commercial building. The project will create two to three new jobs and retain five jobs.
A $100,000 grant to the Hibbing Economic Development Authority to help fund infrastructure supporting a potential expansion of Detroit Diesel Remanufacturing. A minimum of 10 new jobs could be created.
A Fiscal Year 2011 Iron Range Resources budget of $33.4 million was approved, including a $4 million allocation for public works projects.