NEWBERG, Ore. — The Chehalem Parks and Recreation District has received an official Intent to Award from Business Oregon for a $991,935 state grant that will fund renovations to Bonnie Benedict Preschool, the district announced this week.
The funding represents the most concrete step yet toward reopening Newberg’s oldest preschool program, which closed at the end of the 2024-25 school year.
“Bonnie Benedict Preschool and Pre-K programs have been an important part of the Newberg-Dundee community for generations, serving local children and families for more than 55 years,” said CPRD Special Services Supervisor Julie Petersen, who applied for the grant. “This funding provides an incredible opportunity to preserve, improve, and bring new life to this historic facility while expanding access to quality childcare opportunities for working families in our community.”
The grant comes through Business Oregon’s Child Care Infrastructure Fund, a state program created by the Oregon Legislature in 2023 to help local governments and organizations expand and improve childcare facilities. The fund is backed by $50 million in lottery-backed bonds, meaning repayment draws from Oregon Lottery revenue rather than the state’s general fund.
The approved project budget allocates $821,299 for building construction and renovation, $120,636 for outdoor space improvements, and $50,000 for final inspection, fees, and contingency costs.
Bonnie Benedict Preschool closed after the 2024-25 school year, the result of sustained low enrollment and the deteriorating condition of its building. CPRD officials had determined that the 1907-era structure at 504 E. 2nd St. required more than basic repairs — it also lacked sufficient space and parking to support a viable preschool program.
The closure ended a program that stretches back more than half a century: Bonnie Benedict Preschool was among CPRD’s founding programs when the public voted to establish the Special District, and is named after Bonnie May Benedict, who developed Newberg’s first preschool in 1966 and led the program for more than three decades.
CPRD had applied for the Child Care Infrastructure Fund grant previously and was not awarded in Round Two. The district reapplied in Round Three — in part due to the encouragement of board member Jason Fields, according to district staff — and submitted an application of $991,000.
The grant program drew a competitive field in its prior round; Round Two alone received 674 applications seeking more than $278 million against a pool of roughly $20 million. CPRD is the only Yamhill County childcare facility to receive Round 3 major renovation/new construction funding.
Even with the grant secured, a reopening is not imminent. District officials have said construction costs and building material prices have increased, and that a number of conditions would need to be met before the preschool could resume operations. No timeline has been announced.
Additional Grant News
CPRD also announced that the Austin Family Foundation Board has awarded an $8,000 grant to the Chehalem Park Foundation, CPRD’s 501(c)(3) nonprofit organization, for volleyball equipment replacement and upgrades at Chehalem Valley Middle School.
CPRD Sports Coordinator Nicole Lewelling applied for the grant on behalf of the foundation. The funds will go toward purchasing volleyball equipment for CPRD Youth Sports, which operates the activity at Chehalem Valley Middle School in partnership with Newberg-Dundee Public Schools. The equipment will be shared with the school for use in its physical education curriculum.
