DAINGERFIELD, Texas—The Housing Authority of Texarkana, Texas, moved one step closer Thursday to possibly getting $20 million in federal grant money.

During its regular meeting, the Ark-Tex Council of Governments Board of Directors reviewed and approved HATT’s application, which will now be sent to Washington, D.C., for final consideration by the U.S. Department of Housing and Urban Development.

The money will be used to help finance a 4.5-year $85.2 million project aimed at demolishing and revitalizing three public housing sites in the Rose Hill neighborhood.