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Commission Memorandum
REPORT TO: Honorable Mayor and City Commission
FROM: Tracey Jette, Gallatin Dev. Corporation & Chris Kukulski
SUBJECT: Big Sky Economic Development Fund Job Training Grant Application for
CDI Corporation
MEETING DATE: June 26, 2006
BACKGROUND: The Big Sky Economic Development Fund (BSEDF) was
established by the 2005 Montana Legislature. Among other things, part of the purpose of the
fund includes creating good-paying jobs for Montana residents; promoting long-term, stable
economic growth in Montana; and providing a better lift for future generations through greater
economic growth and prosperity in Montana. 75% of the trust fund earning are awarded to local
governments in the form of grants and loans for economic development projects. A trust fund
grant to a local government may be used by the local government to provide a grant or loan to an
eligible business associated with an economic development project including workforce training
grants for the training of new employees. The trust funds must be matched by the government
entity or the recipient business.
CDI-Aerospace, a division of CDI Corporation, has been selected by Sikorsky Aircraft
Corporation, United Technologies Corporation as the contractor for their Bozeman Engineering
Design Center. The center will employ 40 full-time engineers by the end of 2006 and will be
located in the EDS Building on Evergreen Drive. CDI has estimated that it will cost $10,000 per
employee to train the engineers on the specialized software needed to perform their jobs. CDI
has requested that the City of Bozeman apply for a BSEDF training grant on their behalf. The
grant request would be for $210,000 and CDI would provide the requisite $210,000 in matching
funds. Gallatin Development Corporation would serve as the grant administrator via a sub-
recipient agreement with the City.
RECOMMENDATION: We recommend that the City Commission authorize the City
Manager to sign the application for a training grant through the Montana Department of
Commerce’s Big Sky Economic Development Fund for training of newly hired employees at
CDI-Aeronautical.
FISCAL EFFECTS: None
ALTERNATIVES: As suggested by the City Commission.
Respectfully submitted,
___________________________________ ____________________________
Tracey Jette, Gallatin Development Corporation Chris A. Kukulski, City Manager
Attachments: list the attachments
Report compiled on June 21, 2006