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Winter Haven secures $1.5M state grant for rail spur; private partners to front costs and RW Summers bids lowest at $3.33M
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Summary
City staff described a $1.5 million Job Growth Grant Fund award to build a rail spur to a new cold‑storage facility; the total estimated cost is about $3.3 million, private parties (TRAT/Trap Properties and Chick‑fil‑A) will deposit funds into escrow and seek reimbursement, and staff recommended awarding the construction contract to RW Summers for $3,330,202.
City staff outlined a rail‑spur project to serve a cold‑storage facility at the Intermodal Logistics Center, describing a $1.5 million grant award from the Florida Department of Commerce Job Growth Grant Fund and a cooperation agreement that would have private developers front most construction costs.
Eric Labbe said the city applied for and was awarded a $1.5 million grant to support construction of a rail spur; the estimated total project cost is approximately $3.3 million and the city would be responsible for $100,000 (primarily in‑kind staff and project management). Under the agreement, the city will bid and construct the rail spur and then convey ownership and the rights and easements to a commercial property‑owners association that will assume ongoing operations and maintenance.
John Murphy (referenced) and city legal staff explained a cooperation agreement among the city, TRAT/Trap Properties and Chick‑fil‑A would set escrow mechanics and budget estimates. Because the grant is a reimbursement program, private parties are expected to deposit agreed amounts into escrow and request reimbursement after work completion; staff said it is unclear whether the Department of Commerce will reimburse by percentage or in specific pay requests, and that an extension from the state may be requested if timing becomes tight.
Staff reported they received three bids and recommended awarding the contract to the lowest responsible bidder, RW Summers Railroad Contractors (Polk County), whose bid totaled $3,330,202. Staff said change orders and additional funds, if required, would be managed through the cooperation agreement escrow and that the city would have contractual protections in place.
What happens next: staff will finalize the cooperation agreement, present formal grant acceptance and the cooperation agreement for commission action, and present the bid award for formal approval.
