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Morgan Hill has received almost $6 million in federal stimulus
money, creating a handful of temporary jobs and bolstering the
operations of the city.
Morgan Hill has received almost $6 million in federal stimulus money, creating a handful of temporary jobs and bolstering the operations of the city.

The city of Morgan Hill received three grants totaling $740,000; the Morgan Hill Unified School District received two, totaling $587,000; and South County nonprofit Community Solutions received two, totaling $77,000.

Village Avante Apartments owners EAH Housing received $165,000 for operation expenses at the Del Monte Avenue complex and affordable housing developer UHC of Morgan Hill received $4.2 million in cash in lieu of tax credits.

The city received $556,000 to resurface Dunne Avenue from Butterfield Boulevard to U.S. 101.

“If we hadn’t gotten this money, it would have been put off and the road surface would have worsened over time,” Public Works Director Jim Ashcraft said. “We did enjoy getting the street resurfaced.”

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A second public works project will convert Morgan Hill’s streetlights to light emitting diode lamp, or LED, technology. The federal government will give $157,000 to the city for this project. The first phase will be completed this year. City staff estimates the return on investment will be 13 years. Future phases of the LED conversion may be paid for using Redevelopment Agency funds or other energy grants or rebates.

Ashcraft said winning stimulus grants was “far from an easy process.” He said there were many different categories for which to apply but none were straightforward. The city’s Tennant Avenue and U.S. 101 interchange project seemed like a no-brainer, he said, but they didn’t win any stimulus funds for it.

“Most grants, other than stimulus grants, you know what the person giving you (the money) expects, and in a certain timeframe you find out whether you got it or not,” Ashcraft said. But with the stimulus funds there was never a call for projects; the city kept providing preliminary information instead, he said.

Communication, too, is a complication, he said. The city has already had a hard time getting in touch with the Department of Energy, which is administering the energy grant for the LED lights program, and they haven’t received a dime yet, Ashcraft said.

“I don’t think it’s better when we start spending the funds,” he said.

Morgan Hill Unified School District grant went toward “the support of public elementary, secondary and postsecondary education,” according to Recovery.gov. Officials with the district were unable to immediately return phone calls.

The interactive federal Web site tracks the distribution of the American Recovery and Reinvestment Act’s $787 billion. The bill, passed in February, is aimed at infusing the American economy with jobs, and as of Oct. 30 had created more than 640,000 across the nation, including a handful in Morgan Hill. Repaving Dunne gave about a dozen people three weeks of work, Ashcraft said, and the streetlight conversion project will employ another three or four contracted workers.

The Community Solutions grant will be used to fund the nonprofit’s STOP Violence Against Women program.

Through HUD, EAH Housing received $165,000 to operate Village Avante Apartments on Del Monte Avenue.

Further, the California Tax Credit Allocation Committee doled out $2.5 million to Morgan Hill affordable housing developer UHC Morgan Hill for its properties, The Crossings and The Horizons. California Treasurer spokesman Joe Deanda said the money was used to buy tax credits that UHC wasn’t able to sell. In a normal housing economy, UHC would sell the tax credits to fund their projects.

The Charter School of Morgan Hill received $163,000, according to Recovery.gov.

The Morgan Hill Police Department received $27,000 from the stimulus package and used it for supplies, including a replica training firearms kit, an assault rifle, and outfitting all officers with ballistic helmets, earpieces and reflective traffic vests, Sgt. Jerry Neumayer said.

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