City of Dayton
The Goal
The City of Dayton needed to fill a funding gap of $7.2 million for infrastructure that would create a connection to the new I-94 interchange and unlock over 2.5 million square feet of business park development.
The Solution
Ehlers worked with the City’s team to evaluate funding options for the project from several sources including creating a TIF district around a proposed 1 million sq. ft. project to capture TIF for the infrastructure project and issuing G.O. Tax Increment bonds supported by TIF from the project to fund a majority of the costs. The City applied for and received a $1 million MN Department of Employment and Economic Development Transportation Economic Development Infrastructure (TEDI) grant. They also used pavement management funds based on conservative TIF projections.
The Outcome
The completed work spurred the development of over 2.9 million square feet of business park and garnered over $12 million in additional infrastructure investment form private development. The project also created approximately 730 new jobs.