Gov. Whitmer Announces Funding for Infrastructure Projects in Allegan and Saginaw Counties That Will Support More Than 1,700 Jobs

Government and Politics

May 15, 2024

From: Michigan Governor Gretchen Whitmer

LANSING, MI - On May 15, 2024, Governor Gretchen Whitmer announced two infrastructure grants that will support a total of 1,751 new jobs and $3.4 billion of private investment in Allegan and Saginaw counties.

“Today’s infrastructure investments will help projects totaling $3.4 billion that will support 1,751 jobs in Allegan and Saginaw counties,” said Governor Whitmer. “By upgrading roads in the city of Holland and between Thomas and Richland townships, we can ensure the new LG Energy Solution battery facility and the Corning manufacturing facility have the foundation they need to ‘make it’ in Michigan. 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 Michigan Department of Transportation (MDOT) Transportation Economic Development Fund (TEDF) grant program helps finance public highway, road and street projects that are critical to the movement of people and products, and getting workers to their jobs, materials to growers and manufacturers, and finished goods to consumers.

Grant Recipient: City of Holland 

LG Energy Solution Michigan is headquartered in Holland and designs and manufactures large lithium-ion polymer battery cells and packs used in electric vehicles, mobility efforts, information technology, and other energy storage applications. A new 1.8 million-square-foot facility has been proposed to be locatedadjacent to the existing phase one and phase two of LG Energy Solution Michigan. Road improvements are needed on 40th Street and Waverly Road to accommodate the proposed development. LG Energy Solution Michigan has committed to matching funds for the roadwork, as well as $2.2 billion for expansion development, which will create 600 new jobs.   

“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. “We appreciate the partnerships with the State of Michigan, City of Holland and Lakeshore Advantage to improve the surrounding roads and infrastructure.”

The City of Holland will widen 40th Street from two lanes to three, add right-turn lanes and other improvements between Waverly Road and the bridge over the North Branch Macatawa River. Additionally, 40th Street will be resurfaced from Industrial Drive to Waverly Road, and traffic signal timing improvements will be made at the Waverly Road/40th Street and Waverly Road/48th Street intersections.

“This is a huge investment in the community that will make LG Energy Solution Michigan among the largest employers in our region, bringing economic vitality to the city and beyond,” said Mark Meyers, Director, City of Holland Community and Neighborhood Services.

The overall cost of the road project is $3.5 million. The TEDF Category A grant program will provide a grant of $2.8 million toward eligible construction costs. LG Energy Solution Michigan is contributing $714,610 for the project, or 20 percent of the overall project cost. 

Grant Recipient: Saginaw County Road Commission 

Corning Inc. has been operating in Michigan for over 80 years, through Hemlock Semiconductor (HSC), a subsidiary of Corning. HSC is a leader in domestic production of hyper-pure polysilicon, a key material for the semiconductor and solar industries. A new manufacturing facility has been proposed, located near the HSC facility on Geddes Road east of Orr Road. 

Road improvements are needed to Orr Road to accommodate the proposed development. Shipments between the proposed development location and a facility in Midland will require all-season roads. Corning Inc. has committed to matching funds for the roadwork, as well as an investment of up to $900 million for facility development, which will result in more than 1,100 jobs

"Every day, I fight for investments that bring higher wage jobs into our community and grow opportunities in our Great Lakes Bay Region," said state Senator Kristen McDonald Rivet (D-Bay City). "I'm glad MDOT recognizes the immense value of this project, and our continued work with state agency and Saginaw County Road Commission partners will make sure it moves forward successfully and timely."

The Saginaw County Road Commission (SCRC) will resurface Orr Road between Geddes Road and Tittabawassee Road in Thomas and Richland townships in Saginaw County. The proposed work includes resurfacing Orr Road between Geddes Road and Frost Road, which is already built to all-season standards, asphalt overlay on Orr Road between Frost Road and Dice Road, and improving the asphalt surface on Orr Road between Dice Road and Tittabawassee Road. Orr Road will be brought up to all-season standards between Frost Road and Tittabawassee Road. In addition, MDOT will install a traffic signal at the M-46 (Gratiot Road)/Orr Road intersection, which will see an increase in traffic due to the Corning development.  

“The SCRC, in partnership with MDOT and Corning Inc., is pleased to announce the upcoming Orr Road reconstruction project in Hemlock,” said Nick Hornak, SCRC engineering assistant. “This transformative initiative, made possible through a TEDF Category A grant, will support Corning's expansion plans while enhancing community connectivity in rural Saginaw County. With Corning's significant contribution to the local economy in providing more than 1,000 jobs, this project will align with their vision of connecting and energizing communities. The reconstruction will address the critical need for an all-season road, improving its quality and capacity to benefit both Corning's operations and the broader community. Through collaboration, the SCRC, MDOT, and Corning are committed to driving sustainable development, fostering economic growth, and strengthening community ties.” 

The overall cost of this road project is $2.5 million with TEDF Category A grant program providing a grant of $1.9 million toward eligible construction costs. The SCRC, Corning Inc., and the Michigan Economic Development fund are contributing $618,268 to the project, accounting for 24.8 percent of the overall project cost. 

About Transportation Economic Development Fund Grants 

Enacted in 1987 and reauthorized in 1993, TEDF "Category A" or "Targeted Industries Program" grants provide state funding for public roadway improvements that allow road agencies to respond quickly to the transportation needs of expanding companies and eliminate inadequate roadways as an obstacle to private investment and job creation. Eligible road agencies include MDOT, county road commissions, cities, and villages. More information about the program is available online at www.Michigan.gov/TEDF