City: Infrastructure Improvements Needed at Proposed Duluth Costco Site to Continue Project
DULUTH, Minn. – The City of Duluth says public infrastructure improvements are needed at the proposed site for the Costco Wholesale development project for the project to move forward.
According to recent documents submitted to the St. Louis County Board, the City of Duluth has “requested to establish a public hearing for input on proposed tax abatement financing for the City of Duluth – public infrastructure improvements and associated site development costs.”
The site, located at the intersection of West Arrowhead Road and Haines Road, requires improvements such as upgrades to the public roadways, water and sewer mains, and subsurface stormwater management in addition to other infrastructure improvements, according to the city.
According to the document, the estimated cost for these improvements is roughly $2 million.
The City of Duluth is requested to consider providing $1.35 million of tax abatement financing and St. Louis County is requested to provide up to $650,000 in tax abatement financing.
The document states, construction for the Costco project is expected to begin this fall and should be completed by fall 2021.
Mayor Larson issued a statement Tuesday saying that although there were previous reports that the Costco project had been halted, the city never stopped working with Costco to find ways to bring the project to the region.
“Detailed projects like this take time,” Mayor Emily Larson said. “Together with Costco, the City of Duluth never stopped working every angle to bring this project to our region. While there are public processes yet to come at both the City and the County, we are ready to move forward, and thank Costco and our dedicated staff for continuing to work together.”
A public hearing will be held on Tuesday, July 28 at 9:45 a.m. in the St. Louis County Government Service Center in Virginia for the proposed tax abatement financing request.