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HomeMy WebLinkAboutPR 20715: EDC APPLICATION WITH LAMAR STATE COLLEGE PA TO CREATE AN INDUSTRIAL SKILLS TRAINING CENTER Interoffice MEMORANDUM To: Mayor, City Council, City Manager From: Floyd Batiste, CEO Date: March 5, 2019 Subject: P.R. No. 20715; Council Meeting of March 12, 2019 ATTACHED IS PROPOSED RESOLUTION NO. 20715 A RESOLUTION AUTHORIZING THE CITY OF PORT ARTHUR SECTION 4A ECONOMIC DEVELOPMENT CORPORATION TO SUBMIT AN APPLICATION JOINTLY WITH LAMAR STATE COLLEGE - PORT ARTHUR TO THE ECONOMIC DEVELOPMENT ADMINISTRATION FOR A GRANT TO REHABILITATE THE ARMORY BUILDING LOCATED ON THE LAMAR STATE COLLEGE - PORT ARTHUR CAMPUS TO CREATE AN INDUSTRIAL SKILLS TRAINING CENTER, IN A MATCH AMOUNT NOT TO EXCEED$1,000,000.00 P. R. No. 20715 2/12/2019 RESOLUTION NO. A RESOLUTION AUTHORIZING THE CITY OF PORT ARTHUR SECTION 4A ECONOMIC DEVELOPMENT CORPORATION TO SUBMIT AN APPLICATION JOINTLY WITH LAMAR STATE COLLEGE - PORT ARTHUR TO THE ECONOMIC DEVELOPMENT ADMINISTRATION FOR A GRANT TO REHABILITATE THE ARMORY BUILDING LOCATED ON THE LAMAR STATE COLLEGE - PORT ARTHUR CAMPUS TO CREATE AN INDUSTRIAL SKILLS TRAINING CENTER IN A MATCH AMOUNT NOT TO EXCEED $1,000,000.00 WHEREAS, the City of Port Arthur Section 4A Economic Development Corporation ("PAEDC") is a non-profit organization whose mission is to foster community revitalization and job creation; and WHEREAS, to help facilitate its goals, PAEDC requests to be co-applicant with Lamar State College — Port Arthur for grant funding in the amount of $5,000,000 to the Economic Development Administration("EDA"), with a required match of$1,000,000 by PAEDC; and WHEREAS, the grant match funds are contingent upon City Council approval and the award by the Economic Development Administration. Once contingencies are met, a budget amendment will be made by the PAEDC to satisfy the $1,000,000 project match; and WHEREAS, Lamar State College — Port Arthur and PAEDC will use the grant funds to retrofit the Armory facility located on Lamar State College — Port Arthur campus to provide a skills training center to enhance local skills needed for the many industrial expansions in the region; and WHEREAS, the PAEDC Board of Directors, at their special Board meeting of February 18, 2019, deemed it in the best interest of the citizens of Port Arthur to join Lamar State College —Port Arthur and submit a grant application to EDA. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR, TEXAS: Section 1. That the facts and opinions in the preamble are true and correct. Section 2. That PAEDC is herein authorized to submit jointly with Lamar State College — Port Arthur an application for grant funding to the Economic Development Administration to retrofit the Armory building on Lamar State College — Port Arthur campus with PAEDC providing the $1,000,000 match for the grant. Section 3. That a copy of the caption of this Resolution shall be spread upon the Minutes of the City Council. READ, ADOPTED AND APPROVED on this day of A.D., 2019, at a Meeting of the City Council of the City of Port Arthur, Texas, by the following vote: AYES: Mayor Councilmembers NOES: • Derrick Freeman, Mayor ATTEST: Sherri Bellard, City Secretary #1622274 Page 2 APPROVED: Floyd Batiste, PAEDC CEO APPROVED AS TO FORM: Guy N. Goodson, PAEDC Attorney APPROVED AS TO FORM: Valecia R. Tizeno, City Attorney TR'OVED AS TO AVAILABILITY OF FUNDS: Rebecca Underhill, Acting Finance Director AVAILABILITY OF FUNDS PENDING BUDGET AMENDMENT a 1622274 Page 3 EXHIBIT TO P. R. NO. 20715 kb- 1-800-518-4726 GRANTS.GOV- WORKSPACE FORM SUPPORT@GRANTSGOV This Workspace form is one of the forms you need to complete prior to submitting your Application Package.This form can be completed in its entirety offline using Adobe Reader.You can save your form by clicking the"Save"button and see any errors by clicking the"Check For Errors"button.In-progress and completed forms can be uploaded at any time to Grants.gov using the Workspace feature. When you open a form,required fields are highlighted in yellow with a red border.Optional fields and completed fields are displayed in white.If you enter invalid or incomplete information in a field,you will receive an error message.Additional instructions and FAQs about the Application Package can be found in the Grants.gov Applicants tab. OPPORTUNITY&PACKAGE DETAILS: Opportunity Number: EDA-2018-DISASTER Opportunity Title: FY 2018 EDA Disaster Supplemental Opportunity Package ID: PKG00240459 CFDA Number: 11.307 --- ---_----- _ _ —.--.------_--- -- CFDA Description: Economic Adjustment Assistance Competition ID: CONSTRUCTION Competition Title: EDA Construction Full Application Opening Date: 04/10/2018 Closing Date: 04/10/2022 _— — — — Agency: Economic Development Administration Contact Information: This Notice of Funding Opportunity (NOFO) is for regions that have received a major disaster designation as a result of Hurricanes Harvey, Irma, and Maria, and of wildfires and other natural disasters occurring in calendar year 2017 only. If you have a project that will be located in one of these disaster-impacted regions declared under the Stafford Act, please contact the appropriate Disaster POC/ Regional Environmental Officer listed at www.eda.gov/contact. APPLICANT&WORKSPACE DETAILS: Workspace ID: WS00255056 Application Filing Name: Industrial Training Center DUNS: 9669337640000 Organization: LAMAR STATE COLLEGE-PORT ARTHUR Form Name: ED-900 General Application for EDA Programs Form Version: 1.0 Requirement: Mandatory Download Date/Time: Mar 11, 2019 03:54:09 PM EDT Form State: No Errors FORM ACTIONS: CHECK FOR ERRORS SAVE PRINT OMB Number: 0610-0094 * * : Expiration Date: 09/30/2018 == ` ED-900 — General Application for EDA Programs A. Applicant Information A.1. EDA Application Identifier (if available): A.2. Please identify all applicants for this project: SAM.gov Fiscal Year SAM.gov Registration End Date Name CAGE Code Expiration Date (mm/dd) Lead Applicant Lamar State College Port 3Z0W3 05/30/2019 09/30 Arthur X Co-Applicant 1 Port Arthur Economic 4AFN4 04/02/2019 09/30 Development Corporation Add Co-Applicant B. Project Information B.1. Define and describe the region in which the investment (project) is located The new Industrial Training Center (ITC) will be located on the campus of Lamar State College Port Arthur (LSCPA) located in Port Arthur, Texas. LSCPA serves the region by offering technical and academic educational programs. Technical programs provide students with the knowledge and skills to enter the workforce while the academic programs prepare students to transfer to a 4-year institution (fifteen minutes from Port Arthur) to complete a bachelor' s degree. LSCPA has been identified as one of the best 150 colleges in the United States by the Aspen Institute for two consecutive award periods (2017, 2019) . The campus is a Hispanic Serving Institution (HIS) and, as such, is a diverse campus of Hispanic, black, white, and Asian students (32%, 28%, 31%, and 7% respectively) . The city of Port Arthur is located in southern Jefferson County. Jefferson County has a population of 254, 679 (2016) with 55, 427 (2016) of the population within the boundary of the city of Port Arthur. Port Arthur is 143 . 75 square miles (372 .30 km2 ) and borders on Sabine Lake and the Intercostal Waterway in Southeast Texas. The largest industry clusters are 1) construction, 2) educational services, and health care and social assistance, 3) manufacturing, and 4) retail trade . Most of the construction is related to the local petrochemical industry. The city of Port Arthur and the region is home to the largest petrochemical complex in the world. Companies such as BASF, Chevron Phillips, Chenier Liquid Natural Gas (LNG) , Flint Hills Resources, Huntsman, Golden Pass LNG, Motiva, Sunoco, Total, and Valero are some of the national and global companies that are located in or very near Port Arthur. An additional company, Sempra Midstream LNG, will begin construction of a new facility less than 5 miles from the campus. The workforce needs in Port Arthur will increase significantly in the upcoming years as a result of the unprecedented expansions of the local refineries . Port Arthur carried the brunt of the damages caused in this area by Hurricane Harvey in 2017 . Immediately following the storm the City of Port Arthur released data indicating that 85% of housing units in the City limits had received storm related damage. This initial data was ultimately determined to be underestimated. The Episcopal Health Foundation analyzed over 880, 000 FEMA assistance applications from over 41 Texas Counties. The Foundation categorized claims as "Total Applications for Individual Assistance" , "Total Applications for Homeowner Housing Assistance" and "Total Applications for Renter Housing Assistance" . It is startling to see that Port Arthur ranked first in two of these categories and ranked fourth in the remaining category. Port Arthur residents filed 13, 654 Total Individual Applications with the nearest zip code being 12, 770 Total Individual Applications filed in the 77084 zip code of Houston. Port Arthur Renters filed 7, 041 Applications for Housing Assistance with the nearest zip code being 6, 964 applications from the 77084 zip code of Houston. Port Arthur homeowners filed 6425 claims following Rockport, Vidor and Dickenson. The devastation to the Port Arthur area is made even more stark when you compare the leading zip codes in terms of population. 2016 projections from the 2010 Census show a total population in 77642 of only 39, 815 inhabitants while the population in zip code 77084 was 105, 121 for the same period. Thus, 34% of Port Arthur residents were in need of Federal Assistance compared with only 12% of resident in zip Code 77084 . 1000* of 77642 renters filed for assistance compared with 53% of renters in zip code 77084 . • 2016 rental projections are being compared to 2017 application filing numbers. B.2. Describe and outline the scope of work for the proposed EDA investment The Port Arthur area is in a state of massive industrial expansion. Total began a $1. 7 Billion expansion project in 2017. Motiva Enterprises announced in December that it was considering $6 Billion in improvements to its Port Arthur Refinery. In February 2019 Sempra Energy announced that they had received final environmental impact statement from the Federal Energy Regulatory Commission to construct their $11 Billion Port Arthur Gas Liquefaction-export facility and Golden Pass LNG is poised to begin a similar $10 Billion expansion. Feeding this industrial complex Port Arthur is home to a thriving commercial driving industry involving trucks used in construction, trucks used in commercial and industrial delivery, bussing for workforce transportation and big rigs designed to handle making local, regional and national deliveries. The ITC creation project will address the workforce training needs of the area by renovating the Armory building on the campus of Lamar State College Port Arthur to create College/Community/Industry joint training space used for the creation of "industry-designed sequenced-course" training in a state of the art facility involving "realistic- environment" training. Lamar State College Port Arthur (College) works in close partnership with the Associated Builders & Contractors of Southeast Texas (ABC) , local Industrial partners (Total, Motiva, Golden Pass, etc...) and local contractors and sub-contractors to provide a variety of craft training. The College contracts directory with industry partners, contractors and sub-contractors to provide a wide variety of specialized training as needed. The College leases training space to each of these partners to provide internal trainings as needed. The College leases additional training space from the ABC to provide several programs, utilizes ABC to provide supervision for any NCCER training it offers, and the College and ABC frequently apply for grant funding as partner entities . Unfortunately, even working in close collaboration, current classes fill all local College and ABC training space. Only the creation of new training space will meet increasing industrial demands for training. The college will create a training center where students/workers can enhance their employability by learning craft skills in very specific "industry-designed sequenced-courses" . For example, the College worked with Total and Golden Pass to design a training path for worker needed in the foundation element of their building projects. The collaboration produced a "Construction Site Carpentry" Course where students earn NCCER CORE, NCCER Carpentry Level 1, NCCER Construction Laborer Level 1 and NCCER Scaffolding Level 1 . This sequenced-course training provides students four different NCCER certifications and all the skills they need to work in multiple craft areas, all crucial to project startups . This type of training produces students with exactly the skills required by industry and who are suited to fill a wide variety of needed positions . The College is currently working in collaboration with Bechtel and with McDermott to create additional sequenced-course trainings that will provide students with skills needed as these industrial projects mature . The Center will become the focal point for collaboration between education, industry and contractors to create more and more sequenced pathways to employment . In addition, the college will house a portion of its commercial driving academy in the new Industrial Training Center. The College is soon to become the first area training facility to become certified as a third- party examiner with the Texas Department of Public Safety. In this capacity the College will provide the commercial driver' s examination for all of the students trained in its academy as well as entering into contracts to provide examinations for local trucking companies. This will be a major breakthrough for our area because the local DPS examiner run a backlog in examinations of up to 3 months. The new Industrial Training Center will provide needed classroom space and needed parking area to expand the College' s current commitment to this program. The Center will provide state of the art craft training space utilizing classroom, laboratory, and "realistic-environment" training. Industrial craftsmen work in industrial areas that involve dangerous elements of height, depth, confined space, close proximity to corrosive and/or flammable materials, working machinery and many other such environmental elements. Because of this realistic Industrial craft training is inherently difficult to conduct. In addition to working closely with local industrial partners, the College houses the largest commercial driving academy in our area. The academy trained more than 60 commercial drivers in 2018 . In spite of this, the college has difficulty training as many new drivers as the area needs. Every industrial project generates a need for drivers who work on the project, drivers who transport workers, drivers providing delivery from warehouses, and drivers providing delivery from outside firms. The new Industrial Training Center will provide much needed classroom space to add to our commercial driving academy. Its interior space will allow for realistic training involving loading and unloading a variety of trailer types and its parking area will be designed for practice with big rigs and a variety of Class B vehicles . The Armory has the unique ability to house realistic industrial training because it incorporates more than 23, 000 square feet of space and allows for laboratories with internal heights of more than 30 feet. Thus, it offers a unique opportunity to create realistic environments that simulate actual industry. For example, industrial cranes are comprised of 20-foot sections with operators taught to climb each section as a single element . Crane operators who can tolerate the height of one section can typically go to great heights by taking the sections one at a time. Potential operators who cannot tolerate 20 feet of height will not be able to work in these positions. This building would allow for climbing scenarios up to 33 feet in height. As another example, industrial insulators frequently insulate pipes in a pipe rack many feet off the ground. Workers may be poised beneath, beside, above or actually on the pipes they are insulating. Insulation training conducted in most laboratories lacks verisimilitude to training conducted in an industry environment. The facility in question would allow for the creation of elevated pipe racks thus allowing for insulation training conducted on scaffolding erected near the racks, as it would be in an industrial situation. This project would fully renovate the 23 , 000 building and the parking lot surrounding it . Interior space would consist of classrooms and multi-use laboratory space.Laboratory space, utilizing large open areas divided by movable walls, will provide a wide variety of training configurations. All space will include both ground and air access to power, water and compressed air. The laboratories will house multiple storage areas for a wide variety of training equipment . Each laboratory will be suited to use for multiple crafts depending on how the teacher arranges the space and what training equipment is utilized. B.3. Economic development needs B.3.a. Does the region in which the project will be located have a Comprehensive Economic Development Strategy (CEDS)? X Yes If Yes, what is the source? Southeast Texas Economic Development District ' s 2015 CEDS ❑ No If No, then please check one: B.3.a.i. An alternate strategic planning document that governs this investment is attached. Add Attachment Delete Attachment I View Attachment ❑ B.3.a.ii. This investment is to develop a "strategy grant"to develop, update or refine a CEDS. B.3.b. Describe the economic conditions of your region and the needs that this project will address. The unemployment rate for the city is well above the national unemployment rate, at 7 .4%. Additionally, the per capita income for Port Arthur is $17, 086 below the nation ($31, 128) . The long-term effect of high unemployment has slowed the local and regional economy severely, resulting in extremely distressed areas within the region. This is evidenced by the recent request by the City of Port Arthur and designation of six census tracts within the City as Opportunity Zones. The Center will be located in one of the designated Opportunity Zone. Major current and potential expansions in refining, petrochemicals, LNG and other areas bode well for the region. It is projected 25, 000 jobs will be added in the Beaumont-Port Arthur MSA over the next five years . Facing the continuing economic expansion and retirement of baby boomers, Southeast Texas manufacturing industry is looking at a potential shortage of thousands of workers in the next decade. Job gains will be concentrated is services toward a more services oriented industries base. The proposed project will address several of the proprieties for the Region as listed in the 2015 the Southeast Texas Economic District CEDS . The top priority of the CEDS development is to establish a process that will help create jobs, foster more stable and diverse economy and improve living condition. Based on the principle that distressed areas must be empowered to develop and implement their own economic development and revitalization strategies . The proposed project will meet EDA' s investment priorities by implementing a skills-training center that address the training and hiring needs of the business community, particularly in the industrial and commercial driving sectors. The project will also encourage job creation and business expansion. The ITC complex project will create and utilize hands-on training utilizing "sequenced pathways" designed in partnership with local industry for industry specific projects . Students will learn using the same tools, components, and systems they will encounter in the industrial facility and will be able to train in a realistic industrial environment . Lamar State College Port Arthur will provide the needed theory training, then directly applying the theory using training aids that replicate real-world conditions in industry. This training for industry is driven by two primary objectives; 1) deliver highly effective training that will improve performance/profitability both immediately and long-term, and 2) deliver the training efficiently in order to get manpower back into production as soon as possible. B.4. Applicant's capability Briefly describe the applicant's capability to administer, implement, and maintain the project. LSCPA has significant experience in administering, implementing, and maintaining large projects. On an annual basis, the campus manages a multimillion-dollar budget dedicated to educating students . In the past three years, the college built a $12 . 8 million, 31, 000 sq. ft . industrial technology building. The complexity of the industrial technology building far exceeds the scope of renovation proposed for the Armory building for the ITC Complex project . The College currently maintains roughly 40-acres of property and a physical plant in excess of 350, 000 square feet of interior space. The maintenance department and its budget are adequate to provide for the care and maintenance of this newly renovated space. The College already provides a variety of craft and safety training to the refineries that surround it including training in welding, carpentry, scaffolding, rigger/signal person, mechanical lift training and many others. The College is home to the area' s largest Class A & B Commercial Driving Academy. The College trains directly for the City of Port Arthur for dump truck and transit drivers. The College trains directly for all of the local school districts for school bus drivers. Many of the area' s commercial transportation companies turn to the College' s graduates for their drivers. B.S. List and describe the strategic partners and organizations to be engaged in this project Port Arthur Economic Development Corporation. Co-applicant . The Port Arthur EDC will provide matching funds for the project and will recruit and refer Port Arthur residents for training. Associated Builders and Contractors of Southeast Texas. ABC will be a training partner and will also supervise all NCCER training hours and enter training data in the NCCER database . Bechtel . Bechtel is the primary contractor for the Sempra expansion project. Bechtel is working with the College to create sequenced-course pathways for workers they will need in the first, second and third through fifth years of this project . Bechtel has completed a beneficiary form and estimates training 300 workers over the next several years. McDermott . McDermott is the primary contractor for the Total side cracker project. McDermott worked with the College to create the sequenced-course Construction Site Carpentry to fill their needs for workers in the beginning phases of their project. McDermott is working with the college to create additional sequenced-course training needed for their next phases of construction. At project peak McDermott anticipates 1200 workers on the job. KLV Ventures. KLV relies on the College to train commercial drivers for their company in Port Arthur and Jasper. KLV has also asked for a contract with the College to provide driving examination for new employees seeking a license. They will create several jobs per year for drivers due to the expansion in the College' s Commercial Driving Academy. Port Arthur ISD. The College trains bus drivers for PAISD and the ISD has also asked the College to become the primary driving examiner for its drivers. PAISD has completed a beneficiary form for the driving positions they will open and retain due to this training. The Golden Triangle Business Roundtable. The GTBR is a Texas Trade Association made up of representative of local refineries, industrial primary contractors and industrial sub-contractors. The membership of the GTBR are in constant need of knowledge of where to access trained workers and where to acquire advanced training for existing members of their workforce. GTBR has asked that monthly lists of graduates be provided to their Board of Directors for disbursal to all member companies. B.6. Describe the investment(project) impact and fit with EDA funding priorities The LSCPA ITC Complex project will support two of the EDA' s investment priorities . The project will support priority number 3 Workforce Development and priority number 4 Exports & FDI. The ITC Complex project addresses priority 3 by directly increasing the area' s Workforce Training capacity at the same time the area reals from the effects of Hurricane Harvey. While many Port Arthur residents have yet to return to their homes, the area faces workforce development needs with exceed the capacity of its current workforce training space. This project will 1) add more than 30, 000 square feet of new Industrial Construction training space to meet this need, 2) create industry designed sequenced- course training programs that lead to employment, and 3) provide a level of realistic training environment never before achieved for craft training in this area, and 4) increase the College' s capacity to train commercial drivers to address our Nation' s severe Commercial Driver shortage. The ITC Complex project will also address funding priority 4 by increasing the Nation' s capacity for LNG export. Port Arthur is rapidly becoming our Nation' s LNG export capital . Projects in this area include: 1) Cheniere already in construction, 2) Golden Pass and Sempra Energy projects having received favorable environmental impact statements, and 3) a host of smaller projects in the application phase. The ITC Complex project will provide trained labor for each of these building projects shortening their time to production. B.7. Identify the proposed time schedule for the project We are estimating approximately 18 months. The project schedule outlined in the ED-900 . It will require environmental clearance process which is expected to be completed 90 days from start . Per the preliminary engineering report, the following is an anticipated schedule for completion of the construction activity. a. Design period - 3 months b. Period of time to obtain required permits - 1 month, if needed. c Solicitation of bids and awarding of contracts - 2 months d. Construction period - 12 months TOTAL TIME 18 MONTHS B.B. Economic impacts of the project B.8.a. Please describe the economic impacts of the project: The ability to provide increased craft training as needed for the many construction projects planned in the area will greatly enhance each project' s ability to come to completion on schedule. The ability to increase the College' s capacity to train Commercial Drivers and to provide third party administration of the Commercial Driving Examination will help local companies address the severe shortage of driver' s that our nation is experiencing. Our industrial partners, those who have signed as beneficiaries and those who have not, estimate that more than 500 new jobs will be created as a direct result of the ability to increase training in this area at this crucial time. An additional 125 jobs are anticipated to be retained through the ability to retrain and garner new skills as each construction project matures . This allows workers who had been employed as general labor in foundation work to study and learn the skills needed to become a pipefitter' s helper as the project matures . Private investment, in the form of salaries paid to workers whose job was either created or retained through this project, is estimated at $11, 106, 000 . 00 . Unfortunately, we feel these estimates of jobs created & retained and of capital invested are severely underestimated. Many local companies declined to sign the Beneficiary form for fear of the 9-year reporting requirement . Smaller contractors pointed out that they did not maintain sufficient staff to collect and report such data. McDermott is the general contractor for the $1 . 7 Billion Total Ethane Cracker project currently in construction. McDermott alone plans a workforce in excess of 1000 personnel and training need in excess of 300 employees.McDermott' s attorney determined they could not sign the form as it violated their policy to release no employee related data. This project alone would significantly increase the projections provided with this application. B.8.b. Please identify the total estimated jobs and private investment that is expected to be generated by this project: Estimated Jobs Created Estimated Jobs Retained Estimated Private Investment 500 125 $11,106, 000 .00 6.8.c. Please identify the source of Estimates above (check as many as apply): �I Letters from Beneficiaries of the Project fl Input/Output Model (e.g. IMPLAN, REMI) Comparison to Similar Projects X Other Method (specify below) Additional jobs created and retained were provided by contractors who refused to complete the Beneficiary Information Form due to the obligation to provide data for nine years. No increase was made to the private capital investment even though the McDermott investment could increase the amount significantly B.9. Beneficiaries of the project NAICS Estimated Jobs Estimated Jobs Estimated Beneficiary Name Code Created Retained Private Investment X KLV Ventures 484230 18 0 $540, 000 .00 • X Port Arthur ISD 611110 45 0 $810, 000. 00 X Bechtel 237120 300 0 $9, 000,000.00 X City of Port Arthur 921110 27 0 $756, 000. 00 Total 390 0 $11,106,000.00 Add Beneficiary B.10. Non-EDA funding for the project B.10.a. Are all non-EDA funds committed to the project, available as needed, and not conditioned or encumbered in any way that would preclude their use consistent with the purpose of the project? Yes No (explain below) B.10.b. Identify the source, nature and amount of all non-EDA funds. Source Amount Date Available Type Restriction/Comments X Port Arthur $1, 000, 000 .00 06/03/2019 Cash N/A Economic Development Corporation Add Source I J B.10.c. Does the applicant plan to seek other federal financial assistance as part of or in connection with this project? If so, please describe the source, amount and any terms and conditions of the funding, and when the funding will be available for use by the applicant. I I Yes (explain below) 1] No B.10.d. Please attach documentation confirming non-EDA (matching or cost share) funding: Add Attachment Delete Attachment View Attachment B.11. Justification for sole source procurement Will you contract work to complete part or all of this project? ^ B.11.a. No X B.11.b. Yes If yes, will contracts be awarded by competitive bid? Ixl B.11.b.i. Yes B.11.b.ii. No If contracts will not be awarded by competitive bid, please provide a justification. A cost analysis will be necessary when adequate price competition is lacking, and for sole source procurements. B.12. Equipment Will any funds be used to purchase equipment? n B.12.a. No B.12.b. Yes If yes, will project funding be used to install the equipment? Ixl Yes fI No Please attach a list, including cost, description, purpose, and estimated useful life of any equipment that will be purchased as a part of this project. Add Attachment Delete Attachment View Attachment C. Regional Eligibility C.1. Region Define the area/region that is the basis for the applicant's claim of eligibility. EDA will review and evaluate documentation submitted by the applicant to verify and determine eligibility. The project will take place in the City of Port Arthur within Jefferson County Texas. Both City and County are mentioned in numerous declarations of disaster surrounding Hurricane Harvey. As attachements we provide: 1) copy of FEMA Designated Areas : Disaster 4332 , 2) Governor Abbott ' s proclamation of disaster dated 17 January 2018, 3) copy of FEMA Amendment No. 1, 4) copy of FEMA Amendment No. 2, and 5) copy of FEMA Initial Notice C.2. Source of data provided for regional eligibility determination Check the box denoting what data source you used to establish eligibility: Li C.2.a. The most recent ACS data published by the U.S. Census Bureau. C.2.b. The most recent other federal data for the region in which the project is located (e.g., U.S. Census Bureau or the Bureaus of Economic Analysis, Labor Statistics, Indian Affairs, etc.). ❑ C.2.c. If no federal data are available, the most recent data available through the state government for the region in which the project is located. C.2.d. Other data to substantiate regional eligibility based on a "Special Need" as defined in 13 C.F.R. § 300.3. Please attach a copy of the documentation used to support your claim of eligibility: Add Attachment Delete Attachment View Attachment C.3. Economic Distress Check all that apply in establishing regional eligibility (see FFO for more details): n C.3.A. Unemployment rate x C.3.B. Per capita income n C.3.C. Special need, including: I I Substantial out-migration or population loss; ❑ Underemployment; that is, employment of workers at less than full-time or at less skilled tasks than their training or abilities permit; I I Military base closure or realignment, defense contractor reductions-in-force, or U.S. Department of Energy defense-related funding reductions; ❑x Natural or other major disasters or emergencies; ❑ Extraordinary depletion of natural resources; ❑ Closing or restructuring of an industrial firm or loss of other major employer; ❑ Negative effects of changing trade patterns; or ❑ Other circumstances set forth in the applicable FFO (please explain below). C.4. Substantial direct benefit If the project does not meet any of the criteria above, is it located in an Economic Development District (EDD), and will it provide substantial direct benefit to residents of an area within that EDD that does meet the distress criteria? I Yes ❑ No Which Economic Development District? Please explain how the proposed project will provide a substantial direct benefit to this geographic area within the EDD. D. Budget and Staffing To be completed by applicants for non-construction assistance only D.1. Budget justification Not applicable D.2. Indirect costs Not applicable D.3. Key applicant staff Not applicable E. Administrative Requirements E.1. Civil rights E.1.a. Does the applicant understand and agree to comply with all applicable civil rights requirements (see 13 C.F.R. § 302.20)? IJ Yes ❑ No (explain below) E.1.b. Do identified "Other Parties," businesses that will create and/or save fifteen or more jobs as a result of the EDA project, understand and agree to comply with all applicable civil rights requirements, including the requirement to provide signed assurances of compliance (ED-900B)? Not Applicable (No Other Parties Identified) IXI Yes ❑ No (explain below) E.2. Lobbying certifications Will you be able to comply with federal requirements regarding lobbying? x Yes ❑ No (explain below) E.3. Compliance with Executive Order 12372, State Single Point of Contact (SPOC) Does the state in which the project will be located have a project review process that requires submission to a Single Point of Contact (SPDC)? (xl E.3.a. No. Go to Question E.4 n E.3.b. Yes If Yes, does this request for EDA investment assistance meet the SPDC process established by the state? E.3.b.i. No 7 E.3.b.ii. Yes Please explain why not If Yes, were SPOC comments/clearance received? U E.3.b.ii.a. Yes Please attach the comments/clearance: Add Attachment Delete Attachment I View Attachment I E.3.b.ii.b. No. The review period has expired and no comments were received. ❑ E.3.b.ii.c. No. Comments have been requested but the review period has not yet expired. Please attach evidence of your request for comments: Add Attachment Delete Attachment View Attachment I E.4. Single Audit Act Requirement E.4.a. Does the applicant understand and agree to the requirements of subpart F of 2 C.F.R. part 200 regarding federal audits? Yes [ No E.4.b. Is the applicant currently audited under the Single Audit Act? E.4.b.i. No U E.4.b.ii. Yes, If yes: E.4.b.ii.a. What is the date of the most recent audit? 02/28/2018 E.4.b.ii.b. Was this audit submitted to the Federal Audit Clearinghouse? T< Yes [ No F. Requirements for Non-Governmental Applicants (Excluding Public Universities and Certain District Organizations) As indicated below, non-governmental applicants (excluding public universities and district organizations) must also provide a copy of the following items, either using the Attachments form that is part of the application package downloaded from www.Grants.gov or providing a hard copy. F.1. Non-profit organizations must provide a current Certificate of Good Standing from the State in which they are incorporated. Add Attachment Delete Attachment View Attachment F.2. New non-profit organization applicants must provide their Articles of Incorporation and By-Laws. Non- profits with an active EDA grant must either provide a) a revised copy of their Articles of Incorporation or By-Laws if these have been amended or b) a statement certifying that there has been no change in the organization's Articles of Incorporation or By-Laws. Add Attachment Delete Attachment View Attachment F.3. Non-profit organizations must provide a resolution passed by a general purpose political subdivision of a State (e.g., local government entity) or a letter signed by an authorized representative of a local government acknowledging that the applicant is acting in cooperation with officials of the political subdivision. EDA may waive this requirement for certain projects of significant regional or national scope (see 13 CFR § 301.2(b)). Add Attachment Delete Attachment View Attachment F.4. If applying for a construction or RLF investment, an applicant must afford the appropriate general purpose governmental authority a minimum of 15 days to review and comment on the proposed project (13 CFR § 302.9(a)). Will the applicant be able to provide these comments? fl Yes T-1 Not applicable, because the applicant is not applying for a construction or RLF grant ❑ Not applicable, because this requirement has been satisfied under an existing RLF plan ❑ No, for another reason (explain below) Instructions for Form ED-900 A. Applicant Information A.1. EDA Application Identifier— If EDA has previously provided an identifier for your proposal/application, please enter that identifier here. Otherwise, leave blank. A.2. Please identify all applicants for this project: The Lead Applicant should be the party who is responsible for handling disbursement of funds and reporting to EDA. Note that Sam.gov registration is required of all EDA applicants and awardees. Please list the relevant CAGE Code and SAM.gov expiration data for all applicants and co-applicants (if any). B. Project Information B.1. Define and describe the region in which the investment (project) is located Clearly and concisely describe the region where the project will be located, including the specific geographic location of the project within the region, as well as background on the assets of the area, which may include clusters, and workforce, physical, educational and financial infrastructure. B.2. Describe and outline the scope of work for the proposed EDA investment List specific activities that will be undertaken and the specific deliverables that will be produced as a result of this investment. The description of the proposed project must include a clear statement of the overall purpose of the project, and key milestones and an associated schedule for when the project could start, when key milestones could be achieved, and when the project is anticipated to be completed. Applicants for construction assistance (including design and engineering assistance) should also include a statement of project components. Indicate if the proposed project involves the construction of a new facility or facilities or the enlargement, expansion, renovation, or replacement of an existing facility or facilities. Describe the existing facility and proposed project components in terms of dimensions, capacities, quantities, etc. Applicants for Partnership Planning Assistance should provide a narrative on the economic development activities that will be undertaken including managing and maintaining the CEDS process. Applicants for Short Term Planning Assistance should provide a narrative explaining how the proposed scope of work will enhance economic development planning capacity of the identified region. Include any relationship or collaboration with other public and private entities. Please explain how the strategy will expand the capacity of public officials and economic development organizations to work effectively with employers and enable the region to plan and coordinate the use of available resources to support economic recovery and the development of a regional economy and/or develop innovative approaches to economic revitalization in the region. Applicants for State Planning Assistance should provide a narrative outlining the proposed scope of work for the project. Include the relationship to any existing CEDS or similar planning processes in the region and the goals and objectives of the proposed project. B.3. Economic development needs Except for grants to fund developing, updating or refining a CEDS as described in 13 C.F.R. § 303.7, the region in which Public Works or Economic Adjustment projects will be located must have a CEDS with which the project is consistent. B.3.a. Does the region in which the project will be located have a Comprehensive Economic Development Strategy (CEDS)? If Yes, what is the source? Note: If you are unsure if your region has a CEDS, please contact your local District Organization. In areas without a District Organization, CEDS may also be obtained at the City, County, or State level. If No, then please check one of the indicated options: B.3.a.i. There is an alternate strategic planning document that will govern this investment. Please identify the strategy and provide a copy of this planning document, either by attaching the document to this application or submitting a hard copy. B.3.a.ii. This investment is to create a strategy plan to develop, update or refine a CEDS. Please explain how the strategy will expand the capacity of public officials and economic development organizations to work effectively with employers and enable the region to plan and coordinate the use of available resources to support economic recovery and the development of a regional economy and/or develop innovative approaches to economic revitalization in the region. B.3.b. Briefly describe the economic conditions of the region described in B.1, as well as the economic adjustment problems or economic dislocations the region has experienced (or is about to experience) and the regional impact of these conditions. How does the project address the economic development needs of the region and the goals and objectives of the CEDS for the region or the alternate strategic planning document described in section b below? See 13 C.F.R. part 303. B.4. Applicant's capability Briefly describe the applicant's capability to administer, implement, and maintain the project. B.5. List and describe strategic partners and organizations to be engaged in this project Describe existing regional partnerships (if any) that are directly engaged in supporting the proposed project, including a discussion of the extent of participation of government agencies, private sector interests, education providers, non-profits, community and labor groups, workforce boards, utilities, etc. B.6. Describe the investment (project) impact and fit with EDA funding priorities Concisely document how the proposed project aligns with one or more of EDA's investment priorities. Applicants that propose projects that do not align with EDA's investment priorities will not be as competitive as those that do. Applicants are strongly encouraged to review EDA's investment priorities, as outlined in the applicable Federal Funding Opportunity (FFO) announcement on www.Grants.gov. B.7. Proposed time schedule for the project Provide a proposed time schedule for completion of the project, including when (month/year) the project will begin and end. Explain any potential issues that could affect project implementation. B.8. Economic impacts of the project Provide a clear and compelling justification for the long-term potential economic impact of the proposed project, through anticipated job creation or retention, private investment leveraging, number of businesses or collaborations supported, or other appropriate measures. All job and private investment estimates should reflect the anticipated impact within nine years of the potential EDA investment. Applicants must attach letters of commitment from any identified beneficiaries. For all other measures, applicants should clearly identify the expected time frame. In all cases, applicants must document the benefit and provide third-party data or information available to support these claims. B.9. Beneficiaries of the project If applicants have identified specific private sector employers that are expected to create and/or save jobs as a result of the project, applicants should list those beneficiaries in the table provided. All job and private investment estimates should reflect the anticipated impact within nine years of the potential EDA investment. NAICS Code: The NAICS code for the major industry category of the beneficiary company (see www.naics.com for a searchable list). Jobs Created: The number of jobs that the company expects to create as a result of the project. Jobs Retained: The number of jobs that the company expects to retain as a result of the project. Private Investment: The amount of private investment that the company expects to make in its business/ community as a result of the project. Form ED-900B must be completed by each beneficiary that expects to create and/or save fifteen or more jobs as a result of the project. B.10. Non-EDA funding for the project Select the appropriate response to each question. Applicants should identify the source, nature and amount of all non-EDA funds, including in-kind contributions (non-cash contributions of space, equipment, services, or assumptions of debt). Explain the status of all funding commitments, including the date the funds will be available from each source, and describe any conditions or restrictions on the use of such funds. If in-kind contributions are included, explain the basis on which they are valued. If so, please describe the source, amount and any terms and conditions of the funding, and when the funding will be available for use by the applicant. Please attach evidence of commitment from all funding sources. For example, if bonds are contemplated as match, counsel opinion of the applicant's bonding authority and eligibility of the bonds for use as match, along with full disclosure of the type of bonds and the schedule of the applicant's intended bond issue, are required. B.11. Justification for sole source procurement Select the appropriate response to each question. B.12. Equipment Select the appropriate response to each question. C. Regional Eligibility Public Works and Economic Adjustment Assistance projects must satisfy regional eligibility requirements (see FFO for more details). This section will assist EDA in determining if the proposed project satisfies these eligibility requirements. Planning and Technical Assistance applications: although meeting specific distress criteria is not a prerequisite for funding under these programs, the economic distress level of the region impacted by a project serves as the basis for establishing the EDA share of the total cost of the project and can inform competitiveness. Please answer all questions completely and accurately and attach explanations and supporting documentation where applicable. C.1. Region Clearly define the area/region that is the basis for your claim of eligibility. C.2. Source of data provided for regional eligibility determination Check the appropriate box denoting what data source you used to establish eligibility. Please attach data used to establish eligibility. C.3. Economic Distress Check all that apply in establishing regional eligibility (see FFO for more details): C.3.A. Unemployment rate: The project is located in a region that has an unemployment rate that is, for the most recent 24-month period for which data are available, at least one percentage point above the national unemployment rate. C.3.B. Per capita income: The project is located in a region that has a per capita income that is, for the most recent period for which data are available, 80 percent or less of the national average per capita income. C.3.C. Special need: The project is located in a region that has experienced or is about to experience a "Special Need" (as defined in 13 C.F.R. § 300.3) arising from actual or threatened severe unemployment or economic adjustment problems resulting from severe short-term or long-term changes in economic conditions, including: Substantial out-migration or population loss; Underemployment, that is, employment of workers at less than full-time or at less skilled tasks than their training or abilities permit; Military base closure or realignment, defense contractor reductions-in- force, or U.S. Department of Energy defense-related funding reductions; Natural or other major disasters or emergencies; Extraordinary depletion of natural resources; Closing or restructuring of an industrial firm or loss of other major employer; Negative effects of changing trade patterns; or other circumstances set forth in the applicable FFO. C.4. Substantial Direct Benefit A project located within an Economic Development District (EDD) that is located in a region that does not meet the economic distress criteria set forth in section C.3 above, is also eligible for EDA investment assistance if EDA determines that the project will be of "substantial direct benefit" to a geographic area within the EDD that meets the distress criteria set forth in question C.3 above by providing significant employment opportunities for unemployed, underemployed, or low-income residents of the distressed geographic area within the EDD. If applicable, identify the EDD in which the proposed project will be located, as well as the geographic area within the EDD that meets the economic distress criteria detailed in section C.3., and explain how the proposed project will provide a substantial direct benefit to this geographic area within the EDD. (See FFO for more details.) D. Budget and Staffing To be completed by applicants for non-construction assistance only D.1. Budget justification Provide a clear budget justification that identifies how funds in each line item of the budget will be utilized to support the proposed project. Explain the proposed use of any amounts budgeted for"Equipment," "Contractual," or "Other," if any, on Form SF-424A, Budget Information - Non-Construction Programs. D.2. Indirect costs Explain the types of indirect costs, if any, on Form SF-424A. If there are any indirect costs, please submit a copy of the current Indirect Cost Rate Agreement that your organization has with its cognizant Federal agency. D.3. Key applicant staff Identify key applicant staff who will undertake and complete project activities. Include a description of the knowledge, organizational experience, and expertise of individual staff members. In addition, explain how organizational resources will be used to complete project activities. For National Technical Assistance, Training and Research and Evaluation projects, specify which positions will be charged to the federal and non-federal portion of the project budget. E. Administrative Requirements E.1. Civil rights Select the appropriate response, providing an explanation if "no." E.2. Lobbying certifications All applicants for federal financial assistance must certify that federal funds have not been used and will not be used for lobbying in connection with this request for federal financial assistance (Form CD-511). If non- federal funds have been or are planned to be used for lobbying in connection with this request for federal financial assistance, Form SF-LLL also must be completed. Applicants must comply with 13 C.F.R. § 302.10 regarding attorneys' and consultants' fees and the employment of expediters. This regulation requires that applicants identify and disclose the amount of fees paid to anyone engaged to assist the applicant in obtaining assistance under the Public Works and Economic Development Act of 1965 (PWEDA), as amended. E.3. Compliance with Executive Order 12372, State Single Point of Contact(SPOC) Select the appropriate response to each question, please attach any comments that have been received. If the comment period has not yet expired or comments were not received, attach evidence of your request for comments. E.4. Single Audit Act Requirement Select the appropriate response to each question. F. Requirements for Non-Governmental Applicants (Excluding Public Universities and Certain District Organizations) As indicated, non-governmental applicants must also provide a copy of the requested items, either using the Attachments form that is part of the application package downloaded from www.Grants.gov or submitting a hard copy. Public Universities and Certain District Organizations may be exempt from this requirement, please contact your Regional Office to determine the requirements applicable to your organization.