Injuries forced his retirement from the WAFL in 1992, although he remained involved in country football afterwards, in both playing and coaching roles.
The coach of Swan Districts, John Todd, visited Bunbury at the end of the 1986 season, inviting Grasso to try out for the club.
In 1990, after the return of Todd as coach, Swan Districts won the premiership, with Grasso winning the best and fairest, as well as the Sandover Medal for the best player in the competition.
Grasso returned to the side for the semi-final and preliminary final, kicking seven goals in the latter game after being named in a forward pocket.
Grasso returned to play with South Bunbury the following season, and later accepted a role as captain-coach of the West Arthur team in the Upper Great Southern Football League (UGSFL).