The Carroll City Council voted Monday to renew two economic development initiatives in Fiscal Year (FY) 2026: the Infill Housing Incentive Program and the Downtown Façade Grant Program. According to City Manager Aaron Kooiker, the infill housing program was first implemented in 2022, prior to his joining the city’s staff. It used federal American Rescue Plan Act (ARPA) funding to assist in constructing 20 new, owner-occupied housing units in the community. The council previously expressed interest in continuing the program once the ARPA funds expire, and staff recommends using Local Option Sales Tax (LOST) dollars to finance it.
The $200,000 in LOST funds would cover 10 $20,000 applications. The program will follow the same eligibility requirements as before, which require new construction and owner-occupation. The motion to renew was passed unanimously during Monday night’s meeting. Kooiker says the city is also interested in bringing back the grant program for businesses in the downtown district.
Kooiker adds that FY25’s program had six grants available, and all six were awarded, so there appears to be demand for more. The motion to renew the downtown façade program was approved on a tighter margin, 4-2, with yes votes from Carolyn Siemann, Kyle Bauer, LaVern Dirkx, and Tom Bordenaro and no votes from JJ Schreck and Jason Atherton. Applications for both programs will open in the coming weeks, but the earliest funds could be distributed is July 1, 2025. For more information, contact Carroll City Hall at 712-792-1000.
