Downtown Drainage Project Budget Rises to $1.5M

Olney’s downtown revitalization project could grow from about $1 million to nearly $1.5 million after state officials allowed the City to redirect money connected to older economic-development loans into the local project.

City Administrator Andy Wolfe described the arrangement during the Sept. 14 City Council meeting. He said the state previously provided money that was used for loans involving Air Tractor and a now-defunct local business. Payments were collected through the Olney Industrial Development Corporation, which has since been replaced by the Olney Economic Development Corporation, and passed back to the state.

The state later told the City to stop forwarding those payments and offered Olney an opportunity to retain the remaining funds if the outstanding loan balance could be paid by a state deadline and the money committed to an eligible grant-funded project.

Mr. Wolfe said Air Tractor has provided a letter of intent agreeing to pay its remaining balance - more than $300,000 - in full. The OEDC also holds approximately $102,000 in a separate Texas Capital Fund account from payments collected after the state instructed it to stop sending the money back.

Together, those funds would add more than $400,000 to a downtown revitalization grant the City previously received. The original grant was approximately $1 million, with a local contribution of about $50,000.

The additional money has allowed engineers to expand the project beyond its original scope. Mr. Wolfe said the revised plan includes new solar- powered lighting on both sides of two downtown blocks, sidewalk improvements, work on intersections at Main Street and Avenue C and Grand Avenue that collect water, and drainage improvements near the Olney Police Department headquarters.

The City shifted to solar lighting after determining that conventional electrical service would require conduit work that could damage or disrupt other improvements. Mr. Wolfe said newer commercial solar fixtures should produce more light without the need to trench for electrical lines.

The work is expected to include the block in front of City Hall and the adjoining downtown block, although the City is still refining the construction map. Mr. Wolfe said Jacob & Martin engineers are designing the project and that residents could begin seeing construction in early 2027.