March 29, 2024

CDBG project update: 50 percent of work completed

Things are taking shape with the façades on the businesses on the town square in Osceola.

Construction is currently underway on 14 buildings around the square through a downtown revitalization grant under the Community Development Block Grant (CDBG) program housed in Iowa Economic Development Authority (IEDA) from federal Housing and Urban Development (HUD) funds.

The CDBG project has been progressing for awhile now. It began in August 2013 when Osceola City Council approved the grant for the project. Construction started June 25.

What to look for

The project allows building owners to fix up the front, or façade, of their buildings. This can include awnings, windows, storefront windows, doors, tuck pointing, which is fixing the building’s bricks, and cornices, which are on the top of the building.

The grant is a matching grant from the city. The city will match 25 percent of the funding and each individual building owner will help match the other 25 percent.

Public hearing update

A public hearing on the CDBG project was held Tuesday, Dec. 2, during Osceola City Council meeting.

Jeremy Rounds with Southern Iowa Council of Governments (SICOG) gave an update on the project:

• Approximately 50 percent of the project has been completed.

• The need for the project was determined through support given by owners and the chamber of commerce, public and council meetings and a slum and blight assessment.

• The total CDBG contract amount is $480,000. The original grant amount was $468,500 with an amendment for $11,500 approved more recently. Other funding is coming from the City, a Main Street Challenge grant, building owners and local banks.

• To the date of this hearing, the project has proceeded generally as proposed in the application. However, one amendment has been required to date, for the cost increase.

• To date, 14 buildings are in the program, and most of them have experienced some façade work. Several are virtually completed.

• The low bid was awarded to Cornerstone Construction, with the current amount of $823,973.35.

• The project sponsor and subrecipient is the Osceola Chamber Main Street.

• Through Nov. 12, $228,468 in federal (CDBG) funds have been incurred and the same amount have been requested and/or received.

• No households were displaced or relocated to an improved dwelling unit as the result of this project. No displacement is projected.

• The city’s contract with IEDA expires July 31, 2016.

• No time extension requests have been submitted and granted. None will likely be necessary.

It is expected the CDBG project will bring approximately $1 million in funding to the downtown area.