SANFORD — When the city of Sanford took possession of a dilapidated mill building on Washington Street several years ago, one of the tasks that needing completion before it could be sold to a developer was clean-up of environmental hazards at the former textile mill.

The city relied on U.S. Environmental Protection Agency Brownfields funding to accomplish that task — with a $600,000 grant from Southern Maine Planning and Development Commission’s Revolving Loan Fund. Sanford used those finds along with some other brownfields funding they’d secured to help get the job done.

With the announcement on Wednesday that the EPA has awarded $600,000 to SMPDC in revolving loan funds, more projects will be able to be considered for funding. 

Executive Director Paul Schumacher said the money the agency has been awarded over the past several years has resulted in 18 loan and grant awards for clean-up, accounting for the creation of 140 new jobs, $52 million in leveraged private and public sector dollars and 240 new housing units. 

“This may be the most we’ve ever gotten,” said Schumacher in a telephone interview on Friday. He said the money may be used for grants as well as loans. Grants may be awarded only to municipalities or nonprofits. Private developers may receive loans.

One example how the money helps with economic development is the Sanford Mill project, which transformed a long vacant dilapidated former textile mill building into a mixed use building of apartments on the upper floors with retail on the ground floor. Not only did a grant award help the city, after the property was sold to Northland Enterprises, SMPDC provided a $1 million loan to  the developer, Schumacher recalled.

Other previous projects have included funding to help remove environmental hazards at both the North Dam and the Pepperell mills in Biddeford, Schumacher said, as well as $200,000 to remove environmental hazards in the retrofit of the former North Berwick woolen mill into senior housing.

Currently, SMPDC is involved with the former Prime Tanning site in Berwick.

Schumacher said the agency is grateful for the award.

“(This) will enable us to continue with our active clean-up efforts in communities both large and small all over York (County) and southern Oxford County,” Schumacher said in a statement.

SMPDC was one of two Maine entities to receive revolving loan funding — the other was the Kennebec Valley Council of Governments, which received a $500,000 award.

The Brownfields RLF program supports EPA’s commitment to help environmentally overburdened communities address their local priorities, the agency said in the statement. The funds will help communities reuse vacant and abandoned properties and turn them into community assets such as housing, recreation and open space, health facilities, social services, transportation options, infrastructure and commerce opportunities.

“These supplemental funds help provide communities with resources to help clean up contamination, and turn blighted land into opportunities that can generate jobs and spur economic growth,” said EPA Administrator Scott Pruitt.

— Senior Staff Writer Tammy Wells can be contacted at 324-4444 (local call in Sanford) or 282-1535, ext. 327 or [email protected].