Apr 18, 2024

Commission does not act on CDBG application

Posted Apr 18, 2024 3:06 PM

Junction City Commissioners did not take any action during their meeting this week to support a community development block grant application for Deanna Pearson. City Manager Allen Dinkel recommended that the governing body not move forward with the block grant application. He noted that there were issues there "and more importantly she has not secured the building. "

On April 2 Pearson explained to the commission that she wanted to acquire an existing cookie cutter manufacturing facility that's been in business for 30 years, and that is for sale. It would be brought from Missouri to Junction City.

Pearson wanted the City to sponsor a community development block grant application which, if awarded, would be in the form of a loan where she would have to make repayment. She would get 25% forgiveness if she created about 20 jobs that she had proposed.

Pearson would seek $700,000 in grant funding  and raise just under $1.2 million on her own. She proposed use of the Montgomery Building at 222 West 6th Street for her operation.