Downtown St. Cloud Grant Program Nearly Out Of Money

(KNSI) – A city grant program that has helped pay for storefront updates in downtown St. Cloud has spent nearly all of its money, and the St. Cloud Economic Development Authority will decide Tuesday whether to put in another $50,000.

The Downtown Exterior Improvement Grant Program launched in 2022 with $100,000 approved by the EDA board. According to a staff report prepared by Economic Development Specialist Nicole Smude, 16 projects have been approved since then, leaving an available balance of $940.22. City staff say that is not enough to fund a single additional project. Individual awards are capped at $10,000.

Staff say the 16 projects have leveraged more than $334,000 in private investment. That works out to roughly $3 in private money for every public dollar spent.

The program offers a 50% matching grant for design and construction costs on permanent exterior improvements visible from the public right-of-way. Money is paid out as a reimbursement after the work is finished and inspected, a structure the city calls pay-for-performance. Eligible properties must sit within the Downtown Commercial Corridor.

Awnings, windows, doors, brick repair and site landscaping all qualify. Signs do not. Neither do interior work, temporary landscaping, roof replacement or other routine maintenance. Residential properties are ineligible.

Alongside the additional money, staff are asking the board to approve a rewrite of the program guidelines. Several of the proposed changes narrow who can apply.

Under the updated rules, a property that receives a grant would not be eligible to apply again for three years from the date of the award. Property owners with more than one eligible building could still apply for each property separately, with each application judged on its own.

The revisions would also bar properties that are delinquent on taxes or special assessments, or that are in litigation, condemnation or receivership. Buildings must be taxable and occupied by commercial or mixed-use tenants in a commercial zoning district.

Exterior work on buildings inside the St. Cloud Commercial Historic District would still require an alteration permit from the city’s Heritage Preservation Commission.

The $50,000 would come from the EDA General Fund. Staff say the request aligns with the authority’s 2026-2029 Strategic Plan and its downtown vitality goals.

The EDA board meets Tuesday, August 4th, at 4:00 p.m. at St. Cloud City Hall.

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