>La Grande Observer | Union and Wallowa Counties' News Leader

An application to upgrade the Pendleton Grain Growers storage and shipping facility at Alicel did not make the final cut in round one of ConnectOregon. The application will be resubmitted for round two. (The Observer/BILL RAUTENSTRAUCH).

Call it Son of ConnectOregon.

The Oregon Department of Transportation announced last week applications are now available for a second round of funding under the ConnectOregon Program.

Tom Strandberg of ODOT said the department has held some preliminary discussions with Area Commissions on Transportation, and that interest in the program seems to be running high.

"We had a real good quantity of applications last year, and I'm sure we'll get more this time,"' Strandberg said.

Officially dubbed ConnectOregon II, the new program was approved by the 2007 Legislature and signed by Gov. Ted Kulongoski Aug. 1. Like its predecessor, it will fund projects involving air, rail, marine and transit infrastructure.

The department has scheduled five regional meetings for potential applicants and other interested parties to discuss application procedures and and answer technical questions.

One of those meetings takes place in La Grande, 1:30 p.m. Sept. 25 at ODOT Region 5 headquarters, 3012 Island Ave.

Other meetings take place in September in Portland, White City, Eugene and Bend.

A lottery bond-based initiative, ConnectOregon is designed to improve connections between the state highway system and the other modes of transportation.

The program includes both grants and loans for private sector applicants, municipalities, cities, counties, and other transportation-related entities.

In the first, $100 million ConnectOregon, 41 projects were funded, ranging from airport enhancements to railroad upgrades.

Currently, three of those projects are complete and seven others are in construction. The remainder are in a design of other initial phase.

Successful local applicants last year included the Wallowa Union Railroad Authority, which sought a $533,000 grant for replacement of excursion cars; Community Connection of Northeast Oregon, which applied for $893,000 to help build an intermodal transportation facility in La Grande; and Sky Highway Inc., which asked for $85,000 to help establish an air charter service at the Union County Airport.

Sky Highway didn't take the money because the owners changed their plans and moved out of the area.

An application for $2.6 million to upgrade the Pendleton Grain Growers storage and shipping facility at Alicel failed to make the final cut.

The Union County Economic Development Corp. and PGG were co-applicants. Craig Thompson, UCEDC executive director, said there are plans to re-apply this year.

"The project will essentially remain the same, though we'll revise the costs because they've obviously gone up," he said.

Thompson and others including Union County Commissioner Steve McClure expressed disappointment last year when the application was turned down. Thompson said he still sees good reason for approval.

"This will benefit a lot of farmers and producers out there," he said.

The 2007 legislation requires that each of ODOT's five regions receive at least $10 million for various projects.

Projects will be reviewed using considerations outlined in current legislation. Some deciding factors will be:

• Whether a proposed transportation project reduces transportation costs for Oregon businesses or improves access to jobs and sources of labor.

• Whether a proposed transportation project results in an economic benefit to the state.

• Whether a proposed transportation project is a critical link connecting elements of Oregon's transportation system that will measurably improve utilization and efficiency of the system.

• How much of the cost of a proposed transportation project can be borne by the applicant for the grant or loan from any source other than the Multimodal Transportation Fund.

• Whether a proposed transportation project is ready for construction.