Grants to help fund exterior improvements

Photo by Chad Koenen
The Farmstand in downtown Henning was the third business to be approved for a downtown revitalization grant when its $5,000 grant request was approved by the Henning EDA. The grant provides a dollar-for-dollar grant up to $5,000 for exterior improvements made to businesses in downtown Henning.

By Chad Koenen

Publisher

The downtown Henning area could once again be getting a makeover thanks to a grant the city has received from Otter Tail County. 

During its regularly scheduled last Thursday morning, the Henning EDA approved a $5,000 grant for the Farmstand to make improvements to the exterior of the restaurant. The matching grant is part of a program from Otter Tail County that provides funding to downtown Henning businesses who make improvements to the exterior of their property. 

As part of the program, downtown property owners could receive a dollar-for-dollar match grant for projects up to $10,000 apiece. The EDA will match each dollar provided for the project with a grant that will be forgiven over the course of three years. The project is only available for businesses in the downtown corridor of Henning. 

Funding for the program comes from Otter Tail County and can be distributed by the Henning EDA. The city will receive a set allotment of funding each year from the county’s Community Growth Partnership Grant Program, which will be established and funded by the Otter Tail County Development Agency. 

Matching grant dollars can be used for commercial rehabilitation in the downtown area, which includes things like permanent exterior improvements to upgrade and improve facades and appearance of commercial/retail buildings. Some of the improvements include things like awnings and canopies, masonry work, windows, doors, entryway, painting, siding, signs, landscaping and more.

The grant portion of each project will be forgiven on a sliding scale, essentially meaning 33 percent of the grant will be forgiven each year for three years. If the property is sold within three years, the amount of the grant that had yet to be forgiven will need to be repaid to the EDA. The property owner is required to contribute a matching dollar for each dollar of grant funding it receives for the project. The individual contribution the property owner puts towards the project is not forgivable. 

The Farmstand grant was the third one approved the Henning EDA this year after both Scotty’s Upholstery and Northstar convenience store received a similar grant earlier this year. 

The Henning EDA has said in the past that it will continue to seek the annual grant funding from the county as long as interest in the program continues from downtown area businesses. 

In other news

• Discussed a program through the State of Minnesota that provides funding for local EDAs and communities. The program has a large pot of money that can be utilized for equipment, like snow plows, as well as city infrastructure. After discussing the program, members of the Henning EDA said the program would benefit the City of Henning more than the EDA, which doesn’t delve into public infrastructure and equipment. The EDA said it would pass along the information to the city as it has several projects coming up that could potentially benefit from the program. 

• Received an update on the outstanding loans associated with the Henning EDA. All of the loans are either up to date, or scheduled to be paid off early, with the exception of one from a Henning-based business that has not made a payment during the year 2024. The Henning EDA said it will continue to reach out to the business and take appropriate measures to attempt to get the loan up to date.