The town of Akron has been awarded a $500,000 grant from the Community Focus Fund.
The town learned of the grant in an announcement Wednesday by Gov. Evan Bayh.
The town will use the money to construct an elevated storage tank and water treatment facility, as well as for improvements on the distribution system. Cost is expected to be about $1.8 million.
The federally funded Small Cities Community Development Block Grant program is administered by the Indiana Department of Commerce to assist small communities with low to moderate incomes, in long-term development projects.
Preliminary engineering for the project was completed in July by Commonwealth Engineers. The council has applied to Rural Development for a low-interest loan to cover the remaining $1.3 million in costs.
The design process of the project will begin in December or January, with construction to begin sometime in the fall 1997.