Grants used by the city come from many different sources including the Department of Transportation, Department of Energy, Department of Tourism, and Federal Emergency Management Agency (FEMA). Funding also comes from the Department of Agriculture, the Department of Public Safety, and a number of other sources.
Most of the grants available are competitive, meaning we must compete with other cities for a limited amount funding. Most grants have an annual funding cycle and can be awarded each year or some other scheduled time frame. The City of Opp has an active grant program and has been very successful over the years. Grants usually have conditions such as those listed below.
Community Development Block Grant Program (CDBG)
The City of Opp currently participates in the state-administered Community Development Block Grant (CDBG) Program. This program is funded by the U.S. Department of Housing and Urban Development and is administered in Alabama by the Alabama Department of Economic and Community Affairs (ADECA).
All projects must meet one of the National Objectives of the program – projects must benefit 51 percent low- and moderate-income people, aid in the prevention or clearance of slum and blight, or meet an urgent need.
Types of Program Funds
- Competitive Fund
- Community Enhancement Fund
- Planning Fund
- Economic Development Fund
Opp competes annually for awards of CDBG money in the Large City category. We compete against cities our size all over the state. Applicants are scored based on several competitive factors including community need, cost efficiency, appropriateness, and impact. Applications deadlines are announced during the annual workshop in the first quarter of the year.
The Large City fund has a ceiling of $500,000. Typical activities are water and sewer extensions and rehabilitation, housing rehabilitation, neighborhood and downtown revitalization, and street and drainage improvements.
Community Enhancement Fund
This fund is available to all eligible communities to use for projects that address quality of life issues. This fund is available on a continuous basis.
This fund has a ceiling of $250,000. Typical activities are fire protection, senior citizens centers community centers and recreational facilities, etc.
This fund is available for all eligible communities to conduct planning activities to promote orderly growth, regional development, and revitalization efforts. This fund is available on a continuous funding cycle.
This fund has a ceiling of $50,000, typical activities are comprehensive plans, elements of comprehensive plans, downtown revitalization plans, Regional strategies and plans, etc.
Economic Development Fund
This fund is available for projects supporting the creation or retention of jobs. Generally, applicants for ED assistance should have a commitment from the business to create or retain 15 or more jobs. The business should fall within the Standard Industrial Codes, Codes 20-39 or provide a significant economic benefit. Projects must not include intrastate relocation. The program is available on a continuous funding cycle.
The ceiling for this fund varies depending on the type of project. Typical activities are:
- ED Incubator - ($250,000)
- ED Float Loans - ($10 million)
- ED Grants - ($200,000 subject to waiver)
A 20% local match is required and construction cannot begin prior to grant award or release of environmental conditions.