City officials cautious on reported $3 million PREP grant
Oct. 7—City officials are taking a cautious approach to reports McAlester is slated to receive $3 million in state funding for the Steven W. Taylor Industrial Park.
The money is expected to come from a total $250 million previously earmarked for rural development through the Progressing Rural Economic Prosperity funding. McAlester's expected allocation for the Steven Taylor Industrial Park is among 22 sites approved for PREP funding by both houses of the state legislature.
As of earlier this week, the PREP funding bill had passed through the state House and Senate during the special legislative session and had gone to the desk of Oklahoma Gov. Kevin Stitt, awaiting his signature.
McAlester City Manager David Andren said around 3 p.m. Friday afternoon he's not heard any updates regarding the PREP funding and few specifics have been presented to the city.
"I have not heard the details," said Andren. "I've heard we've got about $3 million coming in, but I haven't seen the award letter."
If the $3 million is forthcoming as expected, Andren said that would be fantastic for the city of McAlester. "it's an amazing opportunity for us," he said.
Still, he will feel better when he sees an official notification.
If McAlester gets the expected $3 million in PREP, the city will have to examine any requirements coming with it, Andren noted.
"Some of it depends on what they let us use it for," said Andren. The hope is to use at least part of the funding to level some of the land on the back end of the city's Taylor Industrial Park.
"We would love to do some leveling to make the sites more attractive" to industrial prospects, Andren said. But the city will have to wait and see if there are any restrictions or requirements on how the PREP funding can be used. For example, there may be requirements stating a portion of the PREP funding has to be used for water of sewer upgrades, said Andren.
As of midFriday afternoon, those details had not been forthcoming to Andren.
"We're not going to jump the gun," he said. "To this point of time, I haven't seen anything."
McAlester Mayor John Browne also took a measured response to reports the city of McAlester is slated to get $3 million in PREP funding for the industrial park, saying he has not seen any official verification that the city will receive that amount at this point.
City of McAlester Economic Development Director Adam White took a cautious approach as well, adding that he too is awaiting further details from the state.
"We didn't want to announce it yet," White said of reports McAlester is slated to get the $3 million in PREP funding.
If the city does get it, he knows how he would like to see some of it spent.
"It's likely going toward clearing and utility updates," White said.
Even if the city does get the $3 million in state funding for the industrial park, the money will not simply be handed over for the city to pursue any upgrades on its own terms.
"We're working with the Department of Commerce," said White. He said the city will work with Insite Consulting, identified as a consulting firm that provides economic development services and comprehensive site selection to its clients. White said the consulting firm is to be paid for by the Department of Commerce.
White said as he understands the process, if the PREP funding is approved by Gov. Stitt, the money will first go to the state agency.
"Once he approves it, it goes through the state Department of Commerce," White said of the procedure outlined to him. Eventually the city will work with a program analyst, he said. White too thinks the best use of the money is using a portion of it to level the industrial park grounds, where the land slopes at an angle. That makes it a tough-sell for those considering constructing a new business at the site.
"The slope is our biggest problem," said White. "It's a 15-degree slope on the back end."
Contact James Beaty at jbeaty@mcalesternews.com.
