Federal housing grants awarded

 More than $530,000 has been awarded in affordable housing grants to communities in southwest Iowa for vital home repairs. 

The Federal Home Loan Bank of Des Moines granted the awards through their Strong Communities Fund. Red Oak will receive $112,000 to assist 20 residents. 

According to Red Oak Chamber and Industry Association Director Paul Griffen, there is an existing list of residents who have applied for similar help in the past through the Southwest Iowa Planning Council. Those residents will have first priority. If there are funds remaining, there will be an application process. Applicants must have a low-to-moderate income to qualify. 

Each resident assisted receives between $5,000-$7,000 to use for repairs such as broken furnaces and roof repairs. 

Griffen said if the number of applicants exceeds the $112,000 allotted for Red Oak, funds from the regional grant can be requested. 

Communities in the southwest Iowa region will receive $420,000. 

According to a press release from FHLB Des Moines, “the goal of the program is to preserve owner-occupied homes through energy conservation and the elimination of health and safety standards.”

More housing funding is on the horizon. Red Oak City Administrator Brad Wright said city officials will hopefully receive an answer on an application for a Community Block Development Grant. 

Red Oak has been granted CDBG funds before, such as funding assistance for the downtown facade project. 

According to Wright, the CDBG grants will be able to designate more money, but to less people. The money, if granted, will be used for larger-scale projects that will be vital for housing in the Red Oak community.