Historic Economic Asset Lifeline (HEAL)

The HEAL program was created to preserve and bring new economic activity to underutilized, vacant, or dilapidated downtown buildings in rural Kansas. Building grants are intended to bring buildings back into productive use as spaces for new or expanding businesses, childcare, housing, arts and culture, civic engagement, or entrepreneurship. Façade grants are intended to rehabilitate the façade or street view of downtown buildings in need of repair to stimulate economic growth and reinvestment in the downtown district. The building in need of façade rehabilitation should either have a tenant or be tenant-ready.

• Eligible communities now include Urban Distressed census tracts or zip codes.  Eligible communities must have a zip code classified as DISTRESSED on the following map: https://eig.org/distressed-communities-interactive/?regions%5B0%5D=20&geo=states&lat=38.51&lon=-98.32&z=6.96  

• Funding will be split 50/50 between urban and rural areas unless applications do not meet at least a 50% threshold by either urban or rural projects. 

• Projects planning to apply for CDBG programming must complete an environmental review before the HEAL portion of construction can begin. This will allow a more flexible start date for projects to accommodate program stacking. 

• Communities that receive a Façade grant in HEAL 6.0 can now apply for a HEAL grant in HEAL 7.0 rather than waiting 2 cycles for eligibility.  

• Businesses can now be the applicant if they have a signed collaboration agreement with a local organization as their fiscal agent. 

• Changed eligibility to every other year for HEAL – for example a community that was awarded a HEAL grant in 2024 can apply again in Fall 2026 rather than 2027. 

• Properties must be in cities with a population of less than 50,000. 
• Properties must be in the downtown business district or corridor and hold architectural significance for the district. 
• Projects must show potential for reuse and revitalization as economic drivers in the community. 
• The awarded project may include funding from any state or federal source if there is no duplication of benefit. Examples include Community Development Block Grant, USDA Rural Development, State Historic Preservation Office programs or local Network Kansas programs. 
• Projects must incorporate Main Street Design Standards and follow local ordinances and code for rehab/construction/façade improvements. 
• Award recipients are required to sign a contract agreeing to the conditions of the program. 
• Projects must begin construction no later than July 1, 2027 with construction complete by July 1, 2029 with a tenant in place by December 31, 2029.
  • NOTE: Site cleanup, removal of debris, and demolition do not qualify as construction. Tenant must be leasing the space.   
• No more than one HEAL grant may be awarded to any city. 
• Work must not begin before the award of the grant except for removal of façade slipcovers such as metal, stucco, tiles, stone veneer. 
• Work previously completed is not eligible for this grant program. 

• Projects are encouraged to follow the Secretary of Interior’s Standards for Rehabilitation. https://www.nps.gov/articles/000/treatment-standards-rehabilitation.htm, https://www.nps.gov/orgs/1739/upload/treatment-guidelines-2017-part1-preservation-rehabilitation.pdf
• Projects are also encouraged to use best preservation practices as outlined in the Preservation Briefs of the NPS.   https://www.nps.gov/tps/how-to-preserve/briefs.htm
• Projects that are on the State or National Register of Historic Places or contributing buildings in a Historic District must follow these standard and best practices guidelines and receive appropriate state approvals before beginning work.
• State approvals will be provided by the State Historic Preservation Office (SHPO). They will require information such as scope of work, current and proposed floor plans, photos of affected areas, details on finishes (flooring, walls, lighting, etc.), renderings (especially elevations), blueprints and engineering drawings. They will also inquire if the building owner plans to apply for tax credits.

• Preliminary architectural drawings, including plans and elevations are required to support the scope of work.  Color renderings are required if work is being done to the street facing façade(s).
• Actual bids from licensed contractors will be required for the submission of the grant application.
• A simple business plan for the intended building use after construction should be included in the application. 
• A 1:1 match minimum and proof of matching funds from the building owner.
• A letter signed by both organization and the building owner that confirms commitment by both parties to the project.

Masonry, insulation, foundations, roofs and guttering, fire stairs, windows, doors, chimneys, walls, ceilings, floors, interior stairs, elevators, lighting and fixtures, electrical wiring, data and communication, wiring (not including equipment), HVAC systems and components, plumbing systems, fire suppression sprinkler systems, and ADA accessibility solutions. This list is not exhaustive. Project expenses not listed here are at the discretion of the Secretary of the Kansas Department of Commerce for eligibility under the grant. Up to 5% of the grant award may be retained by the organization for administration.

Professional services (architect and engineering fees), acquisition costs, or leasing contracts. This list is not exhaustive. Grant funds are to be utilized for the physical construction of the project.

Masonry, windows, storefronts, cornices, doors, awnings, ADA accessibility solutions. Removal of façade slipcovers such as metal, stucco, tiles, or stone veneer must be performed before applying for a façade grant. This list is not exhaustive. Project expenses not listed here are at the discretion of the Secretary of the Kansas Department of Commerce for eligibility under the grant. Up to 5% of the grant award may be retained by the organization for administration.

Professional services (architect and engineering fees) and slipcover removal such as metal, stucco, tiles, or stone veneer – this should be finished prior to applying for a façade grant. This list is not exhaustive. Grant funds are to be utilized for the physical construction of the project.

The application opens on September 21, 2026 and will close on November 20, 2026 at 5:00 PM. 

Awarded projects will be funded on the following schedule with the corresponding project milestones and deadlines:

• 50% of the grant will be paid when proof of commencement of construction is verified. Site visit required. Deadline: July 1, 2027 (NOTE: Site cleanup, removal of debris, and demolition do not qualify as construction.)
• 50% of the grant will be paid when 50% construction completion has been verified. Site visit required. Deadline: July 1, 2028
• 75% construction deadline:  March 1, 2029 – site visit or video walkthrough required. 
• 100% of construction completion. Site visit required. Deadline: July 1, 2029
• Tenant in place. Deadline: December 31, 2029

Projects that complete milestones ahead of deadlines will receive award payments once project updates, appropriate documentation, verification, and a site visit can be completed. The purpose of this funding mechanism is to ensure rapid progress to rehabilitate these buildings and provide assurance for local financial partners. 

Progress will be evaluated through quarterly project updates completed by the applicant, including receipts and expenditure documentation, and site visits with Commerce throughout the project. These are all required to keep projects moving forward, resolve challenges as they arise, and ensure the successful completion of the project.