Kamas council backs pre-application for Rural Community Opportunity Grant to aid Blizard Lumber

KAMAS — The Kamas City Council agreed to move forward with a pre-application for a state Rural Community Opportunity Grant to support rebuilding work at Blizard Lumber Company, a local sawmill that employs about 15 people.

City leaders said the state grant can provide up to $600,000 for eligible business infrastructure projects, with a required 20% match paid by the business. Spencer, a project manager with Mountainland Association of Governments (MAG) assisting the application, told the council he will coordinate the application process and noted the program is competitive.

“This RCOG grant ... empowers rural communities to take responsibility for economic development planning projects and activities to manage unique opportunities,” Spencer said, reading the grant’s purpose. He later added, “I’m basically the project manager for doing the grant application.”

Why it matters: Council members said supporting an application could help preserve local jobs and future tax revenue. Council discussion cited a countywide estimate that sawmills generate about $8 million in economic impact in Summit County, and that Blizard accounts for roughly $2 million of that figure.

Key facts and next steps: Council members approved proceeding with an intent-to-apply pre-application that the mayor said he will submit this Thursday. The pre-application will allow state grant staff to review the proposal and advise on strengthening a final application, which opens Sept. 15 and closes Oct. 31, according to Spencer. The state program’s total funding pool this round was described in the meeting as $2,500,000 (down from $5,000,000 in a prior cycle).

The draft funding agreement shown to the council would make Blizard Lumber responsible for the 20% match; Kamas would administer the award and pass funds through to the company if the grant is awarded. Council members and staff clarified that administrative work by city personnel would be required for reporting and billing if the city serves as grant administrator. Spencer said the MAG local administrative adviser program covers his time and that he will continue supporting the project at no direct charge to Kamas.

Council members asked how the grant award would interact with land-use and building permits. City staff said building changes would still need to follow applicable zoning and building-permit procedures; because the site is in a manufacturing zone, typical permitted improvements would proceed through the building-permit process rather than a discretionary rezoning.

Council members also discussed practical project details the pre-application will not yet define: the company must obtain contractor bids to document costs, and the council may later review and edit the draft matching-fund agreement before signing. The mayor said he will not sign a final agreement until the council’s requested changes and the city attorney’s review are resolved.

Outcome: The council signaled unanimous support to pursue the pre-application and to present a draft matching-fund agreement in the pre-application materials. Spencer said he will update the council at the next meeting on progress and state feedback.

Ending: If awarded, the city would administer the grant and pass funds to Blizard; if Blizard failed to meet grant conditions, city staff warned the city could be required to return funds to the state and would bear administrative burden for tracking and reporting. Council members asked staff to refine the draft agreement’s language and to supply the final version for review before any signatures.