Albert Lea Housing and Redevelopment Authority officials announced Monday the city has been approved for an additional $330,000 in Small Cities Development Grants to be used for owner-occupied rehabilitation.

HRA Executive Director Jon Ford said the city applied for 23 units through the grant but received enough funding for 15 units.

“We didn’t get all of them that we wanted, but most other agencies didn’t get all of theirs either,” Ford said.

The city was awarded the grants, and the HRA and Semcac will administer them.

The agencies have previously been awarded two Small Cities Development Grants totaling $740,000. Adding in the new grant, plus other matching money received for the projects, that means Albert Lea will have received $1.4 million in rehabilitation grants for more than 50 homes during recent years.

Rehabilitation improvements include safety and health improvements, lead-based paint abatement, energy improvements and accessibility improvements..

“It impacts neighborhoods, whole parts of the community, and stabilizes tax base,” Ford said.

Neighbors of the homeowners who have benefited from the assistance are also making improvements to their homes, and the rehabilitation projects are having a chain reaction on the surrounding areas.

Ford said the target area where the funds can be used has been opened up so that now 80 to 85 percent of Albert Lea is included.

The funding comes through federal community development block grants that are dispersed through the state. In the case of a potential state government shutdown, the money may be delayed.

Ford said the HRA and Semcac will not be processing applications until the money has been received.

The funds are allotted to approved homeowners as a zero-percent deferred and forgiveable loan. After a time period, the loans are forgiven.

Ford made the announcement about the grants during the Monday Albert Lea City Council meeting.

In other action, the City Council:

• Accepted the bids and awarded the contract for the Myers Road improvement project to Sorensen Bros. Inc. for $3.33 million.

The project includes the complete street and utilities replacement, along with storm system improvements from U.S. Highway 65 to 14th Street on Myers Road, according to background information provided by the city manager.

• Accepted the bids and awarded the contract for the street, sewer and water contract involving repairs on Lincoln Avenue from Front Street to the north dead end. The contract was awarded to Heselton Construction for about $142,000.

This project involves the removal and replacement of the sanitary sewer, watermain, curb and gutter and sidewalk, and then paving the surface.

• Accepted the bids and awarded the contract for the downtown bituminous alley project. The contract was awarded to Ulland Bros. Inc. for about $71,000.

This project includes milling and overlaying the existing bituminous and concrete surfaces on the alleys between Washington Avenue and Broadway Avenue from College Street to Water Street, according to background information provided by the city manager.

• Revised the city’s low income assessment and utility billing policy for residents seeking relief in these areas.

The income guidelines have not been adjusted since 2006.

• Voted to defer assessments against a property at 1106 U.S. Highway 69. The homeowners qualified for the city’s low income assessment policy.

• Approved a motion declaring a wastewater dump truck as surplus and abandoned property.

The truck has reportedly been giving the Parks Department problems, and would require more in repairs than it is worth.

It is slated to be sold for salvage.

• Approved a request from Thorne Crest Retirement Community for a 5K run/walk starting at 9 a.m. Sept. 10.

• Approved a request from Three Eagles Communications in Mason City, Iowa, for assistance with a tractor ride on July 12.

About 160 tractors are expected to be participating in the ride in small groups. Tractors will leave from the Diamond Jo Casino in Northwood, Iowa, and are expected to be arriving in Albert Lea that day at 10 a.m.