Small Iowa Communities Eligible for Special Derelict Building Grants

Today's news becomes tomorrow's history. Help us record it. DES MOINES — The Iowa Department of Natural Resources has announced a special, one-time funding opportunity through the Derelict Building Grant Program. With an additional $1 million allocated to the program, the DNR is launching the initiative to help Iowa municipalities cover the costs of managing asbestos in dilapidated buildings. The special funding round is dedicated exclusively to removing asbestos-containing materials in eligible properties, as required by program regulations. Eligible projects and applicants The grant opportunity is open to municipal governments with populations of fewer than 5,000. Eligible projects include public or commercial buildings that have been unoccupied for at least six months and are currently owned by the local government. Municipalities may partner with a local nonprofit organization to facilitate projects. For the grant, a derelict building is defined as a structure that meets one or more of the following criteria: The owner has abandoned the building, is uncooperative or is unable to bring it into compliance with local and state codes because of financial constraints. The building is dilapidated, damaged, considered a nuisance or has fallen into a state of disrepair or ruin. Buildings listed on the National Register of Historic Places or a State of Iowa historical listing are not eligible for the program. Funding assistance The DNR is offering the following financial support to help communities mitigate health and environmental risks: Asbestos inspections: 100% reimbursement for certified asbestos inspections. Abatement costs: 100% reimbursement for the abatement of asbestos-containing materials, up to $10,000. A 50% cost share is required for costs exceeding $10,000. Applicants should note that awarded amounts may not reflect their full funding requests. Funds are released on a reimbursement basis after the submission of a completed grant expense sheet and supporting documentation, such as invoices, receipts and purchase orders. Ineligible costs Financial assistance from the program cannot be used for taxes, overhead or indirect costs, legal fees, contingency funds, proposal preparation, land acquisition or expenses covered by other financial assistance programs. Additionally, costs incurred before the execution of the agreement, after the agreement's performance period or not included in the approved project budget are not eligible for reimbursement. Important dates and deadlines Application information is available on the Iowa DNR's Derelict Building Program page. All applications must be submitted by the close of business Friday, Oct. 9, 2026. Successful applicants will have from Dec. 1, 2026, through Feb. 26, 2027, to complete abatement projects. Questions about the Derelict Building Grant Program or assistance with preparing and submitting proposals should be directed to Reid Bermel of the Iowa Department of Natural Resources Land Quality Bureau at 515-217-7230 or Reid.Bermel@dnr.iowa.gov. Don't miss what's happening around Decorah. Get the news in your inbox.