Niles has received another grant that will go toward paying for the removal of the Pucker Street Dam.

Earlier this week, the Michigan Department of Natural Resources announced that Niles would receive $90,750 to provide further assistance to fund the removal of the deteriorating dam and restore the Dowagiac River to a free-flowing condition.

Jeff Dunlap, Niles utilities director, said the city has received just under $1 million in grants so far. He said the city is currently awaiting word on four pending grants totaling nearly $900,000.

Niles has committed $300,000 toward engineering cost.

Removing the dam is expected to cost around $3.5 million.

“We are optimistic that we can start construction in the spring of 2016,” Dunlap said.

The city has owned the dam since 1894. It produced hydroelectricity for more than 60 years until 1993 due to ongoing maintenance issues that became too expense to fix.

The city council decided to remove the dam in 2013 after concluding it was too expensive for it to be restored.

The dam is located about three miles from the confluence with the St. Joseph River and is responsible for closing off almost the entire Dowagiac River watershed and its tributaries to the St. Joseph River.

The Southwest Michigan Planning Commission said removing the dam would benefit fish and other aquatic wildlife habitat, improve water quality, increase safety and enhance recreational activity on the Dowagiac River.