Some grant-funded projects in Benton Harbor are facing new challenges as a fight continues in Washington over a federal funding freeze.
The Trump administration this month abruptly announced a freeze on all federal grants and loans, creating uncertainty across the country. Judicial orders later lifted the freeze. In Benton Harbor, work to restore Ox Creek and to renovate the Bobo Brazil Community Center has been affected. Marcy Hamilton with the Southwest Michigan Planning Commission tells us when the freeze was first announced, there were a lot of questions.
“It’s been a little chaotic,” Hamilton said. “There was a freeze on most all the federal funds that were coming in for those projects. Some of them have been lifted and we’re operating as normal now. Just had a little scare there for a minute.”
Hamilton says the Ox Creek grants have been unfrozen, and it has been possible for the city of Benton Harbor and the planning commission to draw down funds. However, a $20 million grant from the EPA that would be used for emergency preparedness, workforce development, renewable energy, recycling, a resiliency hub, and the Bobo Brazil Center is now in doubt. Although the grant was approved prior to January 20, it was still being processed by the EPA when Trump took office and was supposed to be complete in early February. It’s not showing up on any balance sheets and the funds can’t be accessed. Hamilton says they’re on hold.
“We’ve been trying to stay in contact with the federal agencies and try to understand they don’t often have answers. So, we’re just doing our best to keep updated and try to do everything we can here to make sure that those funds are going to come here to the community to benefit Benton Harbor.”
Benton Harbor Waterfront Restoration and Revitalization Project Manager Dane Rasmussen manages the Ox Creek work for the city. He tells us the grants are still approved, but the actions at the federal level have had ripple effects. As the federal workforce is fired off, it’s difficult to get answers to questions, and he says there’s a lot of chaos and uncertainty.
For now, some work remains on track while other projects are on hold. Rasmussen says, “Nobody has any answers.”
