The Michigan Economic Development Corp. recently awarded a $210,000 grant to the village of Cassopolis to make public infrastructure improvements needed for Schwintek Inc. to expand its manufacturing operations there. The grant is from funds provided by the federal Community Development Block Grant program. The project is expected to involve $750,000 in private investment and create 15 new jobs.
Schwintek manufactures hydraulic-related products including manifolds, valves, power units and actuators for the automotive, healthcare, construction, marine and agricultural industries
Cassopolis will use the grant to install an additional 800 feet of roadway and sanitary sewer system to serve Schwintek’s 10,000 square foot expansion. The village will contribute $90,000 toward the project.
The Michigan EDC administers the state’s Community Development Block Grant funds received from the U.S. Department of Housing and Urban Development. These funds are used to provide grants and loans to eligible counties, cities, villages and townships — typically those with populations less than 50,000 — for economic development, community development and housing projects. Larger communities receive block grant funds directly from the federal government.
The MEDC is able to award approximately $40 million in federal CDBG funds each year. There are 1,655 local governments within the state eligible to apply for these funds. Projects are approved contingent upon compliance with state and federal requirements.
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