Software firm seeks city application for half-million-dollar grant

Friday, March 12, 2010

The McCook City Council will be asked at its regular meeting Monday night to approve an application for a half-million-dollar grant on behalf of 21st Century Systems Inc., that the business will use to expand at the Keystone.

The meeting will be 7:30 p.m., at the City Council Chambers in Memorial Auditorium.

The Keystone Hotel is being renovated by the McCook Economic Development Corp. into a business center at $4.2 million. 21st Century Systems Inc., that develops software applications for military and corporate purposes, will be the anchor tenant on the fourth floor.

The grant the council will be asked to approve will expand 21st Century Systems operations into the basement of the Keystone for a data center.

The meeting Monday night will begin with an open hearing on the city's application to the Department of Economic Development, for a $505,000 Community Development Block Grant. $300,000 will be used to build a data center, $200,000 for equipment and furnishings for the data center and $5,000 for general administration.

21st Century Systems and lenders will provide $700,000 in matching funds, with the total cost of the project at $1.2 million.

In October, the council approved Miller and Associates as the administrator of the grant in October.

The council will also be asked to approve a Memorandum of Understanding regarding the CDBG grant, that establishes the scope of the project and job requirements the business must satisfy for the grant.

According to the application, the expansion will create 21 new jobs of which at least 51 percent, or 11 jobs, will benefit low to moderate income persons.

The 21 jobs include 13 as production (customer service), at 30-40K, high school diploma or two year degree preferred; two quality assurance representatives, at $35-55K, high school diploma or two year degree preferred; four geospatial radar/image analysts, $60-75K, four year degree; one data center manager, $70-90K, four year degree and one administrative assistant, at $23-35K, high school diploma or two year degree preferred.

After the application and memorandum are approved, the council will then be asked to adopt a resolution that authorizes the mayor to sign all grant-related documents for the CDBG grant.

Consent agenda items the council can approve in one motion, or remove for discussion by a councilmember or a member of the public, include:

* offer contracts to the lowest responsible bidders for demolition of residential or commercial structures in the city, using funds from the grant the city received from the Neighborhood Stabilization Program. The city will be asked to award the contracts to three bidders for eight properties. These include six properties to P &G Excavating of McCook, for a total bid of $57,400, that includes $19,400 for 310 E. Second, $7,600 for 206 W. Seventh, $8,500 for 1303 East B, $8,500 for 203 E. Sixth, $7,400 for 410 South Street and $6,000 for 102 W. Third.

Other contracts include Jerry Hill Construction of Kearney, $7,940 for 1003 East C and Weaver Tree Service of Wellfleet, $5,000 for 508 E. Second.

* a "Request for Proposals" to remove asbestos from the commercial building at 204 Norris Avenue, previously owned by the Romanoffs. Funds will be furnished by a grant the city received from the Neighborhood Stabilization Program.

* approve the letter to the Nebraska department of Economic Development, that requests amending the contract concerning the city's grant from NSP, to change the number of properties to be demolished. The letter asks to remove the West Ward school building and to replace this with seven other properties to be demolished. West Ward was removed as it had potential to be placed on the historic register by the State Historic Preservation office.

* receive and file information on changing the date the water meters are read, from the first of the month to the 15th of each month. This will allow meters to be read closer to the date that bills are sent out to customers.

* approve the application from Mo Dough LLC for a special designated liquor license to cater a wedding in May at the Red Willow County Fairgrounds.

On the regular agenda, the council will be asked to consider changing city code to allow alcohol at the city auditorium and to direct city staff with specific amendments. These amendments may include recommendations from city staff, that include increasing the fees in general to use the auditorium, from $75 to $150 and to boost cleaning and damage deposits.

Council will also be asked as a regular agenda item to approve on first reading an amended city ordinance regarding lawn sprinkler systems. Current city code requires all backflow devices with test ports to be tested by a certified inspector once a year; the revised ordinance, if approved by council, will exempt lawn sprinklers that do not apply chemicals.

After the regular meeting, the council will convene in closed executive session concerning potential litigation on the Barnett Park Quiet Title action.

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  • If this software company is wanting to move into the Keystone and start their business, why do we have to pay them to get started?? They should have enough capital to start themselves. I really hope the council takes a good look at it and don't end up like the county is, trying to recover their losses with the so called helicopter company.

    If they have their pay set for individuals to work at these certain jobs, what is the problem? This might get the city into this farther than they realize. How long now will it take to make a profit to repay all the loans??

    -- Posted by edbru on Mon, Mar 15, 2010, at 5:23 PM
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