NORWICH – After Norwich voters rejected the sale of Flanagan Field for a $9 million subsidized housing project, local officials say Chenango County and Greater Opportunities for Broome and Chenango may need to return millions in state grants unless they can find a viable path to launch a similar project elsewhere.

According to Chenango County Department of Planning Director Shane Butler, the county will likely lose out on $1 million awarded by Empire State Development to fund infrastructure improvements near Flanagan Field in the City of Norwich as part of a larger proposed project in partnership with Greater Opportunities for Broome and Chenango Inc., the City of Norwich, and Commerce Chenango.

Likewise, Greater Opportunities is facing an $8 million loss in state grants.

The Flanagan Field project would have seen the construction of 20 low-income, supportive apartment units on the Flanagan Field site. However, in a public referendum, Norwich City School District voters shot down the sale of the school-owned property in May over concerns regarding property values, zoning, and the use of green space.

“The state hasn't given us a final confirmation yet, but all indications show that we’ll have to give up that grant,” Butler said. “Typically, those grants are tied to a site or a specific project, so even moving it off that site doesn’t work.”

Butler also noted that grant funds were dependent on constructing a certain number of housing units. A project of a similar scale would have to be proposed if state agencies allowed for it in a new location.

“Having said that, the state is looking to improve the number of housing options across the state,” said Butler. “So they’re likely to be more generous in handing out new grants.”

Returning state funds may also impact the county’s ability to secure similar grant funds in the future as certain grant programs become more competitive.

“When you start turning back money, it doesn’t look good for your community,” said Butler. “You hope that it doesn’t impact future grant applications, but at the same time, it wouldn’t surprise me if it does.”