The Community Development Authority on July 22 approved a scope of services, not to exceed $150,000, for Rambo America Engineering Solutions, Inc., to perform environmental investigations at the former motor-casting properties at 6500 West Washington Street and adjacent parcels.

The work approved by the CDA will use EPA assessment grant funds to carry out a Phase I and Phase II site investigation, the authority’s staff member, Patrick (staff member), said at the meeting. “We would use our EPA assessment grant funds to do the scope of work,” Patrick said.

The authority said part of the site lies inside Tax Increment Financing (TIF) District No. 7 and part does not, and that any public funding from TIF #7 would be subject to joint review board approval. Patrick said the CDA has reached an agreement in principle — a letter of intent — with the receiver for the motor-casting site but that the CDA would discuss LOI parameters in closed session because of “nuances” in negotiations. “We have reached an, an agreement on an LOI with the the owner of the motor casting site. It's actually in receivership,” Patrick said.

Why it matters: the parcels are large, brownfield-type sites on a corridor where the city has invested TIF dollars; an environmental assessment is a typical precursor to cleanup, redevelopment planning and leveraging private investment.

What the CDA approved and why: the approved contract with Rambo America is capped at $150,000 and is explicitly framed as work to follow the LOI if negotiations proceed. The scope covers Phase I/Phase II work and “another site investigation” to support potential redevelopment and funding decisions. Patrick said Rambo was one of three firms selected through an earlier RFP and that the firm has been used by the CDA on multiple sites.

Discussion versus action: the CDA took formal action to approve the scope of services (roll-call vote recorded); the LOI, including finer commercial terms, was discussed in closed session under the state open-meetings exception and was not disclosed in public detail. The CDA's resolution approving the Rambo scope passed by roll call (yes votes recorded: Jerry Motter; Alderman Weigel; Mike Souter; Wayne Clark). The CDA also convened in closed session under the open-meetings provision to discuss development negotiations related to the same set of agenda items; after the closed session the board returned to open session and approved the related item as amended.

Clarifying details from the meeting: the approved professional-services cap is $150,000; funding for the scope is from the CDA’s EPA assessment grant; part of the property is in TIF District No. 7 and part is not (staff described the situation as two separate parcels, with parking areas not in TIF #7 and other narrow portions outside the district); the LOI involves a receiver; the CDA intends to discuss LOI parameters in closed session and will proceed with the environmental work contingent on negotiations and any required joint-review-board approvals for TIF use.

Next steps: staff will proceed with contracting Rambo for the assessment work and continue negotiations with the receiver; any use of TIF funds will be subject to the joint review board and other required approvals. The CDA did not disclose detailed contractual terms publicly because those were reserved for closed-session discussion.