The WoodCHIP Program provides low-interest loans to income eligible, owner-occupied homes for tree removal, stump grinding, and approved replanting. Effective 01/01/2026.
Program Guidelines
The WoodCHIP Program is limited to:
- Tree removal of dead/diseased ash or other hazardous trees
- Stump grinding or removal as part of tree clearing
- Replanting of approved tree species (consult with Austin Park & Rec for appropriate choices)
Eligible Projects
- Removal of one or more dead or diseased trees from the property
- Grinding and disposal of stumps and debris
- Purchase and planting of new trees from the city-approved list
Owner Responsibilities
- Complete and submit a WoodCHIP application (all CHIP applications are the same)
- Property must be owner-occupied and located within Austin city limits
- Property taxes must be current or have an approved payment plan with Mower County
- Homeowners must carry Property & Liability Insurance
- Provide proof of consultation with Austin Park & Rec regarding replanting species
Income Guidelines
- Homeowner must provide proof of household income
- Eligibility is based on HUD’s current income limits for Mower County, and household income must be at or below 80% of the area median income (AMI)
- Current limits can be obtained by contacting the HRA or checking on www.austinhra.org
Current Income Limits for 2026
| Household Size | Income |
|---|---|
| 1 person | $51,950 |
| 2 person | $59,350 |
| 3 person | $66,750 |
| 4 person | $74,150 |
| Contact the HRA for income limits for larger households. |
Loan Guidelines
- Loan amount not to exceed $10,000
- Interest rate will be 2%
- Up to 60 month (5 years) loan term
- A lien will be placed on the property by the HRA for the loan amount
Miscellaneous
- Either the homeowner or the contractor must obtain any required permits from the City of Austin
- Tree services must be performed by a licensed and insured contractor
- Receipts and/or before/after photos may be required for documentation
Approved Replanting Trees
Residents planning to replant trees as part of their WoodCHIP project should consult the Austin Parks, Recreation, and Forestry Department’s approved boulevard tree list. Note: Ash trees are excluded due to Emerald Ash Borer, and maple trees are temporarily excluded to increase diversity.
How to Apply
Applications can be picked up at the HRA of Austin office:
308 2nd Ave. NE, Austin, MN 55912
Or download the application above and return it to our office.
Call 507-433-1866 for more information.