The City of Becker was recently awarded a grant through the USDA Rural Development’s Rural Business Development Grant program.
Funding will go towards an economic development feasibility study that will evaluate potential opportunities and environmental benefits for the Becker community associated with forming a partnership to build infrastructure and capacity to convert collected organic waste to sustainable, renewable transportation fuel.
Economic development topics to be evaluated include financial augmentation for existing businesses, new employment opportunities, and industry diversification.
“Rural small businesses have a significant influence on the economic success of rural America,” said Minnesota State Director for USDA Rural Development Colleen Landkamer.
“This funding is just one of the many steps USDA has taken to promote economic development, encourage job creation and support infrastructure in rural communities.”
For this project the team includes the City of Becker, Wenck and project partner Vonco USA.
“Vonco is excited to be a part of the feasibility study as we believe the results will help guide the development of landfill alternative technologies that are at the forefront of future development plans for our company to remain a steward of the environment in our community,” said Vonco President Ian Vagle.
The City of Becker is committed to creating a prosperous local and regional economy by encouraging sustainable ventures that would result in job growth, City Administrator Greg Pruszinske says.
“This feasibility study is the first step in building a large scale biofuel plant in Becker,” said Pruszinske. “It’s also our next step to create a sustainable community while capitalizing on the assets we currently have in place.”
The City of Becker is home to the Sherburne County Generating Station (Sherco), the largest coal-fired power plant in the Upper Midwest. Xcel Energy proposed last year that two of the three coal-fired power generating units at the plant be retired in the 2023-2026 timeframe.
A new natural-gas combined cycle unit and solar installation could replace the generating capacity at the site.
As the natural gas unit and solar installation will require only a fraction of the labor to operate, it is anticipated approximately 150 of the 350 (or so) fulltime jobs at the plant may be lost as a result of the unit shut-down. The associated tax base and economic implications for the City of Becker could be significant.
Today, Sherco drives more than 70% of Becker’s tax levy. With two of three units potentially shutting down, more than half of the current tax levy may likely be compromised ($3.3M of a total $6.1M).
“There is a community and regional need for economic growth and diversity,” said Erin L Heitkamp, Global Sustainability Practice Leader for Wenck.
“And this project represents a perfect opportunity to capture the full value of waste organic materials, job creation, economic growth, and environmental benefits in the process.”