News Photo by Steve Schulwitz Construction crews work on the facade of the old Dry Dock bar in Alpena, which is being transformed into a restaurant, thanks in part to a grant from the Michigan Economic Development Corp. The MEDC, Michigan Department of Natural Resources, Michigan State Housing Development Authority, and local groups have helped many projects become realities in Alpena.

ALPENA — As budgets tighten, the acquisition and utilization of grant funding is critical to help pay for projects which would otherwise be nearly impossible to complete, Alpena officials said.

The city has received many grants, large and small, to improve roads, parks, building facades, and housing, to spur economic development, and to support arts and culture.

In the last eight years, the city has received about $11 million in grant funding, Alpena Planning and Development Director Adam Poll said. A lot of that money was awarded to the city because of work it had done previously to make the city more appealing to those doling out the cash, he said.

Some of the larger grants the city has received and are expected to receive are from the Michigan Economic Development Corp., which has led to many of the old brick buildings downtown being renovated, including the Center Building, Alpena Furniture and Flooring, and Mango’s Tequila Bar.

Another grant from the MEDC helped with the ongoing revitalization of the former Dry Dock bar building downtown, where a new restaurant is expected to open next year.

That’s why Alpena-area officials watched with great interest last week when Gov. Gretchen Whitmer and the Legislature slashed allocations to MEDC, which is sure to impact funding in the immediate future for Alpena and other communities. Communications Director for MEDC Otie McKinley said the cuts were unfortunate and will force serious considerations on where investment is made.

“As it currently stands, the 2020 budget for MEDC would significantly reduce our ability to fund new business and community development projects,” McKinley said. “We cannot continue to operate as if we have $105 million available when we have less than $80 million for critical projects. Data over the past two years show that a reduction of funding by $26 million to our Business Attraction and Community Revitalization programs would mean nearly 50 fewer business and community development projects, eliminating the creation of more than 5,000 jobs and a loss of more than $3 billion in private investment generated or leveraged in the state.”

‘A GREAT PARTNER’

MEDC Director of Public Relations Michelle Grinnell said Alpena is a great partner of MEDC and the two entities, along with private investors, have accomplished a lot in the city. She said Alpena is a great example of having all of its ducks in a row and meeting key criteria when being considered for grant funding.

Grinnell said the key thing is the community, government leaders, and other stakeholders know what Alpena is, what it wants to be, and how to get there.

The city has also taken part in other MEDC programs, such as the Redevelopment Ready Communities program, which increases the possibility for funding. All of those points, Grinnell said, are key when money is being allocated to communities around the state.

“Alpena has great long-terms plans and goals and a clear vision on what it wants to do and what it is going to take to get there,” Grinnell said. “And that sets the stage for MEDC to be able for us to work more directly with it and be in a better position to acquire funding. Alpena has developed a very solid strategy and we look at it as a great partner.”

Poll said not all of the projects MEDC supports have to do with large business development or building improvements. He said the agency has committed money to the fish mural downtown, as well as the dog park behind the post office downtown and a statue near Duck Park. Alpena Community College has received MEDC grants, as well, Poll said.

‘A ROBUST HISTORY OF SUCCESS’

The MEDC isn’t the only state department that has supported projects in Alpena.

Poll said the Michigan Department of Natural Resources and the Michigan State Housing Development Authority have also invested money.

He said he believes one of the reasons the city is successful in getting grants approved is because it has shown it can follow through on grant conditions and administer them to the state’s high standards.

“The city has always made it a priority to have staff that is capable of administering them, having that expertise and having a robust history of success in administering them properly helps us, in my opinion,” he said.

Poll said the city is at the point that the state will approach Alpena officials when money’s available, seeking projects to fund.

That was the case for a nearly $4 million grant from MEDC that is in the final stages of approval and would go toward the construction of a new park near the Great Lakes Maritime Heritage Center.

The money, if approved by the Michigan Strategic Fund Board, would help build pavilions, a playground, various sports courts, and an amphitheater along the Thunder Bay River. The Friends of the Thunder Bay National Marine Sanctuary are in the process of raising the more than $400,000 match, with several local donations already committed.

PRIVATE INVESTMENTS

Poll said the total dollar amount for the grants is significant, but he said what impresses him most is the amount of private investment those grants have spurred in Alpena, especially downtown.

Without the grants, many of property owners who have utilized grant funding would not have been able to do the projects they’ve done, because of cost, he said.

“It has led to a lot of investment in the area.” he said.

City Manager Greg Sundin said the city has utilized DNR grants for some large projects, such as the trailhead on Woodward Avenue and, at Starlite Beach, the restrooms, pavilion, sitting walls, walkways, and other amenities.

Sundin has worked on more than his share of grant applications and administered them while he was planning and development director for the city and as city manager. A decade ago, if the city were offered a grant, more times than not, the matching funds came directly from the city’s general fund, Sundin said.

Those days are gone, he said, and the city often relys on local groups and organizations to pull funds together to help meet the city’s needed contribution.

He used the splash park at Starlite Beach, supported by the Rotary Club, as an example of how state and local partners can come together to do big things.

“About 10 years ago, it became clear and the writing was on the wall that it was going to be more difficult for the city to simply be able to do a cash match on its own,” Sundin said. “Since then, we are seeing our local partners coming and saying they want to help. Without the grants and without our other partners, a lot of these projects would likely not have gotten done, or at least the number of them, because we would have had to wait and put money away and the pace of the development we have been able to do wouldn’t be anywhere near what it has been.”

Steve Schulwitz can be reached at 989-358-5689 at sschulwitz@thealpenanews.com. Follow him on Twitter @ss_alpenanews.com.

State giving in Alpena

A look at some of the biggest state grants Alpena has received in recent years.

Project Funding Source Amount

Splash Park improvements DNR $205,000

Former Owl/Alpena Furniture MEDC $963,126

Rental development eight units MSHDA $389,920

Former Dry Dock rehab MEDC $622,939

Fish Mural MEDC $12,500

Dog park MEDC $5,000

Starlite Beach improvements DNR $205,000

Source: City of Alpena