07-08-2024 Council Meeting Packet (2)

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1 EXHIBIT B 2024 – 2026 METROPOLITAN COUNCIL WATER EFFICIENCY GRANT PROGRAM GUIDELINES updated 06/06/2024 Overview The Metropolitan Council (Met Council) will implement a water efficiency grant program effective July 1, 2024 to June 30, 2026. Grants will be awarded on a competitive basis to municipalities that are served by a municipal water system. The Met Council will provide 80% of the program cost; the municipality must provide the remaining 20%. Municipalities will use the combined Met Council and municipality funds to run their own grant or rebate programs. Grants will be made available in amounts with a minimum of $5,000 and a maximum of $50,000. Grantees will be required to provide estimated water savings achieved through this program for Clean Water, Land & Legacy Amendment reporting purposes. Legislative Directive - Minnesota 2023 Session Laws $750,000 the first year and $750,000 the second year are for the water demand reduction grants to assist municipalities in the metropolitan area with implementing water demand reduction measures to ensure the reliability and protection of drinking water supplies. Fiscal year 2024 appropriations are available until June 30, 2025, and fiscal year 2025 appropriations are available until June 30, 2026. Grant Program Goal The goal of the water efficiency grant program is to support technical and behavioral changes that improve municipal water use efficiency in the seven-county metropolitan area. Critical Points to Remember • The applying municipality must be served by a municipal public water supply system • New construction and new developments are not eligible • A portion of each eligible activity’s cost must be paid by the property owner • Funds are for rebates or grants only; consulting and city staff time are ineligible