Two Koochiching County cities Friday were awarded more than $1 million by the Minnesota Department of Employment and Economic Development to help pay for improving water infrastructure and to rehabilitate housing.
Big Falls was awarded $600,000 to build a new water treatment facility and water tower and Northome was awarded $479,520 for owner-occupied housing rehabilitation and water distribution line and tower construction. The two communities were among 31 communities in greater Minnesota to receive grants totaling $16.85 million.
“These grants will make it possible for communities to complete projects that they could not otherwise afford,” said DEED Commissioner Mark Phillips. “The projects will create local jobs and help improve the quality of life in many of our small towns.”
The Small Cities Development Program makes grants available to cities and townships with populations under 50,000 and counties with populations under 200,000.
Koochiching County Commissioner Mike Hanson, who represents both communities, said the need of the two communities guided DEED to award the grants to Northome and Big Falls.
“This was absolutely critical,” he said of the grants to the communities. “It is good news and it will allow the infrastructure to move forward.”
Hanson credited the efforts of the state officials “to ensure that small communities remain viable,” he said.
The need for infrastructure improvements in the two communities is not unique, he said. However, Big Falls and Northome both struggle with a loss of population and a shrinking tax base, he added.
“The need for these upgrades is critical for the people that live there,” he said. “They can’t afford it on their own behalf.”
Big Falls city leaders have been working for several years on what will be a multi-agency funding project, said Joan Nelson, city clerk.
The DEED grant allows for other funding sources to be tapped, she said.
“We don’t know the total package of all sources,” she said. “This is such a large project for a small town that it will take more than one agency to get us through this.”
The need for the new water treatment facility became apparent several years ago when the existing facility was found out of compliance with arsenic levels. A preliminary engineering report has been completed and a long, environmental process has been cleared, said Nelson, adding that some new distribution lines and a new water tower are also part of the project.
And while Nelson said the DEED grant and other sources of grants will be used to fund the project, some sort of loan will also be needed.
“This is good news for us,” said Nelson Monday. “We’ve cleared this hurdle and look forward to moving forward.”
Hanson credited Big Falls leaders for their efforts. “What they’ve accomplished is very credible,” he said.
Meanwhile, Northome will use its grant to rehabilitate owner-occupied housing, and construct water distribution lines and a water tower.
Hanson said he’s viewed the city’s infrastructure and said improvements are needed. “It was laid by hand,” he said. “It’s all brick.”
Northome city officials could not be reached for comment in time for this story.
Funding by DEED’s Small Cities Development Program is awarded to eligible communities for rehabilitating existing housing stock for low- to moderate-income residents; public infrastructure projects including sewer and wastewater treatment improvements, storm sewers and streets; and comprehensive projects that address a community need such as commercial revitalization, housing rehabilitation and improved public infrastructure.
DEED is the state’s principal economic development agency, promoting business recruitment, expansion and retention, work force development, international trade and community development. For more details about the agency and services, visit www.PositivelyMinnesota.com. Follow on Twitter at www.twitter.com/PositivelyMN.
