Nancy Grabko of Community Fundraising Solutions (CFS), who serves as housing coordinator for the Cook County – Grand Marais Economic Development Authority (EDA), gave a report to that board on housing activities on Tuesday, February 8. Grabko told the EDA board that she was hopeful that a grant application for rehabilitation of not only homes, but also commercial buildings, would be successful.
Grabko, who works as housing coordinator for both the EDA and the Lake County Housing Rehabilitation Authority (HRA), said she had received support from both Cook and Lake counties and the City of Grand Marais for the MN Department of Employment and Economic Development (DEED) grant. The grant request is for $548,000.
She said grant funds would be “leveraged” by additional funds of $35,000 from AEOA; $25,000 from Lake County housing; and $46,000 from the Iron Range Resources commercial rehab program.
To apply for the grant, Grabko said a “target area” had to be iden- tified. Steve Grabko, who works for CFS as its commercial rehab specialist said the target area is south of Highway 61, running from Java Moose to SuperAmerica.
Nancy Grabko added, “This is our first application. If we receive the grant and successfully complete some projects, we could expand our target area.”
However, she cautioned that the funds are not guaranteed. Nancy Grabko said DEED received 84 applicants and invited 26 communities to submit full applications. The 26 applications equal $26 million and there is only $18 million available. “So the Cook County/Lake County projects may be denied or downsized,” she said, but reiterated that she is very hopeful that Cook and Lake counties will be accepted, based on their successful past projects.
Nancy Grabko said DEED likes to see in-kind service on proposed projects. She said the inkind service could be things such as the reports she provides to the EDA and/or Cook County. She suggested that the EDA submit a letter to DEED stating that it would provide $2,500 of inkind support from its housing coordinator. The EDA board unanimously agreed to do so.
Nancy Grabko then said that part of the reason the EDA was successful in its past grants was because it was prepared to start projects as soon as funding was received. She suggested that the EDA prepare as if it will be receiving the commercial rehab grant.
She said she could identify clients, begin the income eligibility process, and conduct lead inspections now. However, the EDA would have to assume some financial risk for the lead inspections if the grants did not come through. AEOA has agreed to assume half of the expense, but that still means a potential expense of $800 for the EDA.
EDA Board Chair Mike Littfin said he thought it was a good idea to move ahead with the inspections in anticipation of receiving the DEED grant. “I think it’s a good thing,” said Littfin. “It’s something that could be used next year, if we don’t get grant funds this year. It is good to be ready if and when funds become available.”
Nancy Grabko added that there might be some misconceptions about what the commercial rehab program will do, if implemented. “There are fears out there that we may be tearing down downtown Grand Marais and re-designing it. It’s not that at all,” she reassured the board.
She distributed copies of the application for business owners and provided a list of eligible repairs. She said it should be noted that if the Minnesota Historical Society (MHS) determines that a building is historically significant, MHS must review the projects.
Grabko said, “What I’m proposing is that we not wait until June. I suggest we advertise and have a community meeting with downtown business owners and get this information out there. We need to educate the public on what this program is all about. We need to make it very clear that this is dependent on the grant. But if we have four serious business owners lined up, and the finances lined up, we’ll be ready.”
Littfin encouraged the Grabkos to let the public know about the opportunity. EDA Board Member Mark Sandbo agreed to work with them to set up a public meeting and to get the application and information at city hall.
Littfin added, “We’ll remind people that it’s preliminary. But, if funds do come through, you’ll want to be there!”
The next EDA meeting is Tuesday, March 8 at 3:00 p.m. at Grand Marais City Hall.
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