Depending on whom you ask, the city of El Centro might have lost a $500,000 federal infrastructure grant — administered by the state — for Northgate Plaza.
Meanwhile, the under-construction Holiday Inn Express is late but nearing completion.
Northgate is to be the new home of El Centro Motors and a Food 4 Less grocery store.
Bill Pavao, state deputy director of the Department of Housing and Community Development's division of community affairs, said the National Environmental Policy Act must be completed before any work may begin.
"It appears the project got under way and can now not get the funding," he said, adding the state is sympathetic with the city's loss of the money, but that the state must follow federal Housing and Urban Development requirements. He said the state is working with city officials to replace the money, though it might be through a loan instead of a grant.