Approval Sheet

CITY OF GILLETTE
201 E. 5th Street
Phone (307)686-5200
CITY OF GILLETTE


www.gillettewy.gov

 
DATE: 9/16/2013 7:00:00 PM
SUBJECT:
Council Consideration of a Professional Services Agreement for the Energy Park Rail Spur Utilization Study, with KLJ Engineering, in the Amount of $40,000.00.
BACKGROUND:
The City's rail spur in Energy Park is currently under-utilized as demonstrated by the low number of use agreements/leases in operation.  The ability to create a higher utilization of the spur will provide the City additional revenues, enhance economic development, create new jobs, and could provide more operational efficiencies for BNSF.
 
The City applied for, and received, a Business Ready Community Planning Grant from the Wyoming Business Council for this Study. The Campbell County Economic Development Corporation's (CCEDC) Strategic Plan identifies better utilization of the Energy Park Rail Spur as a way to expand and diversify the local economy.

The Study would include the following:
1. Evaluate the existing facility and identify the existing uses from current, adjacent landowners.
2. Collaborate with BNSF to define the usage and serviceability from their perspective and how potential expansions will impact their operations.
3. Conduct site assessments of properties and define opportunities for expanded spur service, including new potential customer users.
4. Identify conceptual physical improvements and prepare conceptual cost estimates for expanding the rail spur to increase its utilization.

It is anticipated the Study will be complete in early 2014.
ACTUAL COST VS. BUDGET:
The BRC Planning Grant is in the amount of $25,000, the CCEDC is contributing the local match in the amount of $15,000, for a total project cost of $40,000.
SUGGESTED MOTION:
I move for Approval of a Professional Services Agreement with KLJ Engineering, for the Energy Park Rail Spur Utilization Study, in the Amount of $40,000.
STAFF REFERENCE:
Dustin Hamilton, P.E., Development Services Director
ATTACHMENTS:
Click to download
Agreement