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Governor Walz Announces Over $23 Million For Economic Development in Greater Minnesota

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[ST. PAUL, MN] – Governor Tim Walz today announced 36 cities, townships, and counties across Greater Minnesota will receive nearly $24 million in Small Cities Development Program (SCDP) grants. The grants will be used for residential and commercial property rehabilitation, upgrading public facilities, and other economic development projects.

"We are dedicated to making Minnesota the best state to live, work, and raise a family – no matter where in the state you call home," said Governor Walz. "These grants will boost our economy and help Greater Minnesota communities throughout the state grow and thrive."

"These grants not only help individual communities address their unique goals and needs, but also help bolster the state's overall economic position and its reputation as a great place for business and quality of life," said Lieutenant Governor Flanagan. "This is how we build strong communities and support Minnesotans across the state."

SCDP grants are awarded to Minnesota cities with fewer than 50,000 residents and townships and counties with populations under 200,000. The Minnesota Department of Employment and Economic Development (DEED) administers the grants, which are part of the Community Development Block Grant Program.

"SCDP grants provide Greater Minnesota communities with financing to address their need for safe and affordable housing and suitable living environments for persons of low to moderate incomes," said DEED Commissioner Matt Varilek. "This funding supports projects that support community vitality and enhance conditions for additional economic growth."

To be eligible for SCDP grants, projects must meet at least one of three federal objectives:

  • Benefit people of low and moderate incomes based on individual and area income standards;
  • Eliminate slum and blight conditions; or
  • Address an urgent community need to eliminate a public health or safety threat.

Communities can apply for funds for one or more of the following types of projects:

  • Residential owner-occupied or rental property improvement projects to increase the quality of dwellings suited for individual or family occupancy. Examples include exterior repairs and replacement projects, insulation, HVAC, electrical, plumbing, lead paint remediation or accessibility modifications.
  • Commercial property improvement projects for buildings occupied by retail and independent businesses. This can include façade improvements (e.g. awnings, exterior signs), building code issues and energy efficiency.
  • Public facility improvement projects that serve neighborhood or communities, such as community centers, streetscapes, or wastewater treatment projects.

This year's grant recipients are:

City of Bagley, $345,000
Owner-occupied housing rehab

City of Baudette, $1,200,000
Rental housing rehab and public facility improvements

City of Big Falls, $170,430
Rental housing rehab

City of Brainerd, $575,000
Owner-occupied housing rehab and rental housing rehab

City of Brooten, $600,000
Public facility improvements

City of Clarkfield, $600,000
Public facility improvements

City of Darwin, $600,000
Public facility improvements

City of Deer Creek, $581,430
Public facility improvements

City of Delhi, $600,000
Public facility improvements

City of Dodge Center, $431,250
Owner-occupied housing rehab

City of Edgerton, $1,049,375
Owner-occupied housing rehab, rental housing rehab and commercial rehab

City of Erskine, $704,375
Rental housing rehab and commercial rehab

City of Fosston, $597,713
Owner-occupied housing rehab

City of Granite Falls, $943,000
Rental housing rehab and commercial rehab

City of Hallock, $414,000
Owner Occupied Housing Rehab

City of Holland, $600,000
Public facility improvements

City of Kasota, $554,000
Public facility improvements

City of Kelliher, $417,300
Public Facility Improvements

City of Lake Lillian, $600,000
Public facility improvements

City of Lonsdale, $431,250
Owner-occupied housing rehab

City of Mabel, $600,000
Public facility improvements

City of Madison, $599,610
Owner-occupied housing rehab and rental housing rehab

City of Minneota, $599,265
Owner-occupied housing rehab and rental housing rehab

City of Nielsville, $600,000
Public facility improvements

City of Okabena, $600,000
Public facility improvements

City of Pequot Lakes, $600,000
Public facility improvements

City of Randall, $600,000
Public facility improvements

City of Red Lake Falls, $929,200
Owner-occupied housing rehab, rental housing rehab and commercial rehab

City of Sacred Heart, $1,175,000
Owner-occupied housing rehab and public facility improvements

City of Staples, $948,750
Owner-occupied housing rehab, rental housing rehab and commercial rehab

City of Stephen, $368,000
Owner-occupied housing rehab and commercial rehab

City of Tracy, $1,127,000
Owner-occupied housing rehab and commercial rehab

City of Watkins, $943,000
Owner-occupied housing rehab and commercial rehab

City of Waubun, $573,600
Public facility improvements

City of Wood Lake, $600,000
Public facility improvements

County of Big Stone, $599,265
(City of Correll & City of Ortonville)
Owner-occupied housing rehab and rental housing rehab

The preliminary proposal deadline for 2024 SCDP grants is Nov. 29, 2023, and the final application deadline is April 17, 2024. Communities can apply here.

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