LEWISBURG — Union County will act as a pass-through for a $10.5 million grant to be used by Bucknell University in its efforts to buy and redevelop properties in downtown Lewisburg.
In return, Bucknell has given a guarantee to the county commissioners that the county will incur no costs in funneling the grant given through the Pennsylvania Redevelopment Assistance Capital Program.
The grant money must be matched by the university or through private donations. Bucknell also must meet a litany of other requirements and pass an audit before the money will be released by the state, said Wayne Bromfield, the university’s general counsel.
The money is being used in a town-and-gown project between the university and Lewisburg that aims to redevelop the Bull Run Gateway neighborhood, thus spurring more visitors to the downtown and a better tax base. The neighborhood, a nine-square-block area to be called University Village, stretches between the school’s campus and Market street.
Some of the money — about $3.5 million — is going toward the almost $10 million price tag on the new Barnes & Noble at Bucknell University bookstore, which celebrated its grand opening in time for the start of school last week, Bromfield said.
Other projects include redevelopment of a portion of the post office building into university office space; creating a regional arts center that would include the Campus Theatre; renovating the DeWitt Building, across from the theater; and re-converting some student rental properties back to owner-occupied homes.
The whole project is expected to take several years and cost $150 million to $200 million, with private investment and donations expected to cover much of the cost.
However, projects such as the post office, theater and DeWitt Building could be completed by the end of 2012, Bromfield said.
The grant money won’t be disbursed until after the state audit shows the university complied with the redevelopment assistance program’s requirements. That includes compliance with the Pennsylvania Prevailing Wage Act and domestic steel procurement requirements.
Union County Commissioner Preston Boop said the county’s involvement, through its Higher Education Facilities Financing Authority, was to act as a “pass-through.” State regulations require that a taxing body, such as a county or municipality, transfer the grant money to the school.
“It’s a matter of formality to satisfy the state,” he said.
In return, university officials signed an agreement holding the county harmless, Bromfield said.
“The county would not agree to act on our behalf unless Bucknell agreed (the county) would have no exposure,” he said.
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Addie Rockwell of State College and Matt Saylor of Lewisburg walk along Market Street Thursday afternoon in Lewisburg.
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Union County endorses $10.5M grant for Bucknell
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