RUMFORD – Pursuit of a $275,000 community development block grant to help landlords repair old buildings to meet new fire code laws topped discussion at Tuesday’s Economic Development Committee meeting.

Phil Blampied, a businessman who coordinates the group, updated the process and housing assistance grant itself for Jim Rinaldo and Dick Lovejoy, the only two other members present.

“We have been strongly encouraged by the state to go for this housing grant to deal with some of these fire code problems,” Blampied said.

“One, it would help landlords meet fire code requirements. For example, if someone has to pay $12,000, the grant would pay that,” he said. “We could structure it so (landlords) pay $6,000 and the grant pays the other $6,000. And, secondly, it could pay for new brickwork and masonry in homes in Strathglass Park,” he said.

According to Maine’s 2009 CDBG program documentation on the Maine Office of Community Development Web site, all CDBG-funded activities must meet one of three national objectives of the program. These are:

• Benefit to low- and moderate-income people;

• Prevention and elimination of slum and blight conditions; and

• meeting community development needs having a particular urgency.

The program helps to improve deteriorated residential and business districts and local economic conditions.

If Rumford applies for the grant and wins it, the money won’t be available until the start of the next fiscal year in July 2009.

The grant itself is $250,000 plus a 10 percent match by the town, which can be in-kind contributions, Blampied said.

A maximum amount of money to be used for each apartment unit or house would be $20,000; $30,000 if it’s to be used for emergency work.

Because the money must be used to benefit low- and middle-income people, Blampied said that to qualify, a family of four can’t be making more than $39,000. Additionally, the grant applicant would have to document that 51 percent of tenants in town meet the low- to middle-income criteria.

Blampied said that landlords receiving slices of the federal grant-funding pie would also be restricted from raising rents for a certain time period.

Rumford’s in-kind contribution could be having Community Concepts help run the project.

“There is a possibility that the town may escape without putting any tax dollars in at all,” Blampied said.

At most, he figures the committee might have to spend $1,000 for legal advertisements regarding a required public hearing.

In other business, Rinaldo asked Blampied on what specific ideas or projects the committee could spend its remaining budget balance of $88,000.

“We could buy our blue ox with it. That’s an economic development tool and it’s only $5,000. Or do we have to wait until something comes up and kicks us in the head?” Rinaldo said of his Oct. 29 idea to hire a Belfast business specializing in creating large fiberglass animals to build Babe, the giant blue ox from a Minnesota folk tale.

At last month’s meeting, Rinaldo suggested giving the information center’s giant Paul Bunyan statue a 6-foot-tall by 10-foot-long giant blue ox pet.

Babe could then be placed on the opposite side of the Androscoggin River from Bunyan to draw tourists into Rumford’s downtown center.

Blampied asked Rinaldo to try and barter the Belfast company down from $5,000, which then caused both men to suggest a “Bottles for Babe,” or “Pennies for Babe” fundraising campaign to raise $2,500 if selectmen agree to fund the other half.

“It’s going to benefit businesses in town,” Rinaldo added.

They just have to sell it to selectmen at Thursday night’s board meeting.