(The Center Square) – The Michigan Department of Transportation awarded two grant packages to help in road repairs necessary for semiconductor factory expansion and increased traffic in both Holland and Midland.
The MDOT Economic Development Fund grant program will be used for road expansions and resurfacing for the city of Holland and the Saginaw Valley Road Commission. Road improvements are expected to help with the new LG Energy Solution and Corning, Inc. manufacturing factories.
“Today’s infrastructure investments will help projects totaling $3.4 billion that will support 1,751 jobs in Allegan and Saginaw counties,” Gov. Gretchen Whitmer said. “Together, we are taking action to power our economic development, build new factories, and keep creating strong economic opportunities for our workers. Let’s keep getting it done.”
The overall cost of the Holland project is $3.5 million, and a TEDF Category A grant will fund $2.8 million of the construction. The remaining 20% will be paid for by LG Energy Solution Michigan.
“We believe this collaborative project will benefit drivers in the area, key stakeholders, and employees, while our company prioritizes a greener future and transforms the automotive industry as a leading global manufacturer of lithium-ion batteries for electric vehicles,” said Roger Traboulay, senior manager of energy engineering at LG Energy Solution.
Improvements include widening 40th Street, resurfacing 40th from Industrial Drive to Waverly Road, and traffic signal timing updates at the intersections of Waverly and 40th, and Waverly and 48th Street.
Using these roads, LG will build the second phase of a 1.8 million-square-feet lithium-ion polymer battery cell factory. The new facility, along with its construction, is expected to produce 600 new jobs.
The Saginaw County Road Commission’s plans will cost an estimated $2.5 million, with a TEDF Category A grant funding $1.9 million toward construction. The SCRC, Corning, Inc., and the Michigan Economic Development fund will supply the remaining $618,268 needed.
The SCRC will resurface Orr Road between Geddes and Tittabawassee Roads, as well as between Geddes and Frost Roads. Additionally, MDOT will install a new traffic signal at the intersection of M-46 and Orr Road.
According to a study by the Michigan Economic Development Corp. conducted in 2021, the semiconductor industry produces an estimated $4.6 billion in GRP for the state, which ranks fifth in national employment relating to electric vehicle battery manufacturing.
