July 31, 2009
Contact: Barbara Hayden, Director
St. Louis County Planning & Development
227 W. First St., Suite 100
Duluth, MN 55802
FOR IMMEDIATE RELEASE
St. Louis County Community Development Block Grant Program Award
The U.S. Department of Housing and Urban Development has awarded St. Louis County $654,860 in Community Development Block Grant Program (CDBG-R) funds through the American Recovery and Reinvestment Act of 2009 (ARRA). St. Louis County has been a recipient of CDBG funding since 1993. The program provides funding for local units of government and non-profit organizations to undertake a wide range of activities intended to revitalize communities, provide affordable housing, and create economic opportunities that will primarily benefit low-to-moderate-income persons. The City of Duluth receives a separate CDBG allocation.
St. Louis County will use the funds to support two infrastructure projects in the communities of Chisholm and Cook that could meet the preference for shovel ready projects.
Chisholm Northwest Area Infrastructure Project will replace deteriorated water, sanitary sewer, and storm sewer lines. It will reduce inflow and infiltration and accompanying expenses of waste water treatment, improve water service addressing both health and safety issues, and reduce maintenance and emergency service repairs, and ultimately overall city operating costs. The project will be fully funded through partnerships with the city, U.S. Army Corps of Engineers 569 Program, the Minnesota Public Facilities Authority Loan Program, and Iron Range Resources. The proposed timeline would allow for construction beginning by September 2009. The total project cost is approximately $2.4 million and the CDBG-R allocation is $404,850.
Cook Water Tower Replacement Project will replace a deteriorated and under-sized water tank to comply with Minnesota Department of Health concerns for water quality and public safety. The project will be fully funded with partnership of the City of Cook and the U.S. Army Corps of Engineers 569 Program. The proposed timeline will allow for construction beginning in August, 2009. The total project cost is $1 million and the CDBG-R allocation is $250,000.
Both the Chisholm and Cook projects meet requirements of the American Recovery and Reinvestment Act of: creating and preserving local construction jobs in an area hard hit by high unemployment due to the reduction in both mining and logging industries through layoffs and permanent workforce needs; and funding investments in infrastructure improvements that will provide long-term economic benefits to the community.
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