Ottawa council hosts public hearing on CDGB grant applications

Each home will be eligible for up to $50,000

Ottawa City Hall

Ottawa is throwing its hat in the ring for the Illinois Community Development Block Grant program after seeing the success communities like Marseilles have had with it.

The City Council held a public hearing Thursday to approve the submission of its application, which will be submitted before the deadline on Aug. 3.

The city is applying for two separate projects under the grant: One grant would be $536,333 to separate the storm sewers in the neighborhood south of Allen Park, while the other would be a $550,000 grant for funds to rehabilitate an estimated 10 owner-occupied, single-family homes in the neighborhood bordered by Columbus Street north between West Madison Street and East Market up to and running east along the railroad tracks to the Fox River.

North Central Illinois Council of Government’s Connie Buchanan said the program is limited exclusively to owner-occupied households that lack the financial resources to address structural problems that make their homes substandard when compared to the city’s housing codes. Residents participating in the program will be required to remain in the home for five years to prevent someone from using the funds to renovate and flip a home.

Buchanan said each home will be eligible for up to $50,000 in renovations that comes from a five-year forgivable loan.

Families that have already submitted applications were in the audience during the meeting, and Buchanan asked those who reside within that stretch who received a survey reach out to NCICG at 815-433-5830.

“If we anticipate that we’re doing 10 homes, then we ask for 30 surveys from people within the project area that qualify because that’s a three-to-one ratio,” Buchanan said. “We get the most points on the application. This is a very competitive grant, and there’s $7 million available for the state of Illinois.”