Albert Lea resident Bruce Spilde was ready to leave his house. He had lived there for 12 years but couldn’t afford the repairs it needed.

Not only that, he couldn’t do the repairs himself. The former trucker lives with an injury that impairs his mobility.

“It was just a matter of time before I was going to leave it there and go. It would have been one of Albert Lea’s abandoned homes,” said Spilde, 53.

Then someone from Semcac, a community-oriented nonprofit organization serving seven counties in southern Minnesota, mentioned the Small Cities Development Program and encouraged him to apply.

He did. Spilde applied through the Albert Lea Housing and Redevelopment Authority, which along with Semcac and the Albert Lea city government received a $371,000 federal grant to offer loans to the homeowners at affordable rates — and possibly for nothing in return if the homeowners live in houses long enough.

In all, 15 homes in Albert Lea participated. Some heard through housing officials going through neighborhoods and knocking on doors. Others saw advertisements in this newspaper. Sixty applied. The work on repairing the 15 homes began in April.

The U.S. Department of Housing & Urban Development offers block grants for community development to states. In Minnesota, the funding comes through the Department of Employment and Economic Development, which then doles out grants in its Small Cities Development Program.

The maximum that Spilde could borrow was $22,000. But his house needed more than $30,000 of work, so Semcac found other state and federal assistance programs to make up the difference.

The $22,000 is a 12-year deferred loan. In the third year, Spilde’s loan decreases by 10 percent and continues to decrease each year until the loan total is zero. He won’t have to pay back the extra Semcac assistance either.

Spilde called it the best government program he has ever encountered and said he looks forward to living in his home for another 12 years.

Christine Schieber of Department of Employment and Economic Development’s Office of Community Assistance toured some of the repaired homes in Albert Lea on Thursday.

With her were Albert Lea Mayor Randy Erdman, Albert Lea Housing and Redevelopment Authority Executive Director Jon Ford and officials from Semcac. This was the first year Semcac and the Albert Lea Housing and Redevelopment Authority has sought to participate in the home-repair program.

Schieber praised Albert Lea’s efforts and said the city’s 2006 housing study helps state officials assess Albert Lea’s needs. The state compares Albert Lea to other cities seeking the same grant funds.

“It’s a competitive situation,” she said.

Ford said the Albert Lea Housing and Redevelopment Authority and Semcac will request to repair 20 homes in the next round of grants. He said there are now 40 on a waiting list.

“Their project list is way ahead of schedule,” Schieber said.

“This is all made possible,” Erdman said, “because of that housing study we did. It’s more than paid for itself.”

The 2006 housing study cost the city $30,000. Ford said more than $15 million in assistance can be traced to that document and the renovation of the Trailside Apartments accounts for $8.1 million alone.

Spilde’s house, 1436 Frank Hall Drive, had a subroof covered by shingles underneath another subroof covered by shingles, and Ford said in between water would be trapped and add weight, among many other problems at the house.

Now it has a new roof, new siding, new spouts, new outside meter box and conduit, new windows, new living room ceiling, new central air and furnace, new shower, new insulation, new furnace, new doors, new water heater, new carbon-monoxide detector and new handrails. Lead paint was abated. Even a tree branch that hung perilously over the house was cut. The Albert Lea City Council waived building permits for the work done on the 15 houses.

Trinidad Juarez, 76, found out about the program through her grandson’s girlfriend. She said she would have had to let her house at 313 E. Eighth St. go without the loan program.

“I really don’t know what I would’ve done,” she said.

The contractor put in new siding, roof, doors, bathroom, furnace, steps and rails, light fixtures and some plumbing. Lead paint was removed, and a garage and a deck were torn down.

Wayne Stenberg, the community development director for Semcac, said the most exciting part of the program is seeing the final product.

“It has an impact on the whole neighborhood. People see a home get fixed up and they want to do repairs to their homes,” he said.

“And that’s what we’re hoping for,” Schieber said.

The Albert Lea City Council is close to passing a rental housing ordinance, and once that is in place, the Albert Lea Housing and Redevelopment Authority will start working on assistance for needed repairs to rental housing.

“That ordinance is a source for points on your state application,” Ford said.