Oakwood was passed over for a grant that would have helped the city develop trails and green-space areas.
The city sought the grant through the Georgia Department of Natural Resources’ Recreational Trails Program.
Oakwood planned to use the money as part of Oakwood 2030, an effort to redevelop and reshape the city’s downtown area by 2030.
Specifically, the city targeted the money for trails and green space in the "Government Town Center" first phase, which involves 23 acres anchored by a new city hall and featuring a mix of retail shops, offices, lofts and town homes.
Under Oakwood 2030 plans, Government Town Center is at the end of Main Street at Old Oakwood and Flat Creek roads.
The DNR uses a scoring system in awarding grants.
"The program is highly competitive," planning director Larry Sparks said Wednesday. "I was told by DNR that our application did not score high enough to meet the cutoff."
Sparks added that he plans to meet with DNR officials to review their comments in detail before submitting another application this fall.