Ottawa seeks $650,000 in home rehab grant funds

If the fates allow, there will be 10 homes in Ottawa next year that will be receiving a rehabilitation and renovation makeover thanks to a federal grant.

The Ottawa City Council on Tuesday night heard a public hearing conducted by Kevin Lindeman of the North Central Illinois Council of Governments regarding Community Development Block Grants for housing rehabilitation. The council later passed several measures authorizing the NCICG’s participation in making those grants happen.

The grants, drawing from a pool of $7 million being distributed by the U.S. Department of Housing and Urban Development, have maximums of $650,000 per project – as Ottawa is requesting – and $65,000 per home.

Lindeman confirmed that the grant essentially gives the homeowner a five-year forgivable loan to improve their existing buildings and property.

The deadline for the grant application’s submission is Dec. 24. Word of the grant being approved for Ottawa will probably come in six months to a year.

If the grants are awarded to Ottawa, homeowners will have to go through an application process to receive the funds, showing need and how the award will benefit a percentage of low- to moderate-income families.

“But what’s different about this grant,” Ottawa Mayor Robb Hasty said, “is that it will be open to any house within the Ottawa city limits. The last three we had received were limited to certain neighborhoods; for example, the one from last year went from Clinton Street to Chestnut and Madison to Lafayette, that general area. One year, it was just the northeast side, like the area around Marquette Academy.

“This one is open to anyone, which makes it easier for us because it’s a much bigger pool of applicants and, overall, seems more fair to everyone.”

The city later pledged $20,000 to be added to the housing rehabilitation grant funds should the project move forward.

Also during the meeting, Commissioner Wayne Eichelkraut issued a reminder of the Festival of Lights Parade scheduled for 6 p.m. Friday, Nov. 29, starting near Washington Square.

The fest, which includes the lighting of the city’s Christmas tree and fireworks, should be, Eichelkraut said, “a Hallmark moment, to borrow a phrase from the mayor.”

In other action, the council:

• reappointed Jay Spears to the city’s Special Events Committee and Ryan Cantlin to the Playground/Recreation Board.
• approved a one-year contract for the new owner of Affordable Rides LLC taxi service, 814 Columbus St.
• approved a transit agreement for North Central Area Transit and the Streator Public Library.
• authorized an addendum to the employment agreement with Matthew Burgwald.
• authorized an employment agreement with Daniel Pond as a Community Development Department assistant.