01/26/1998 Council Packet - Laserfiche WebLink

Home Search

The total amount allocated for loans and grants is a minimum of $500,000. There are currently no funds allocated for continuation of these offers once the $500,000 has been committed. If the number of applications received through the initial offer is insufficient to encumber $500,000, the MCES reserves the right to offer to raise the $40,000 loan and $10,000 grant ceilings to the initial qualifying applicants. The $500,000 will be allocated into two separate funds in which communities can apply for monies for qualifying projects or studies. Of the $500,000, $100,000 will be made available for matching dollar grants up to $10,000 for studies and reports aimed at identifying, locating and proposing solutions to existing I/1 problems within the community. Those applicants who receive a grant will be required to submit to the MCES a final report summarizing the findings of the study and outlining the action plan to address identified sources of I/1. The balance of the $500,000, or $400,000, will be reserved for matching dollar loans up to $40,000 for projects aimed at eliminating sources of 1/I from the MDS. Each community can submit applications for a maximum of two project loans and a maximum of 1 grant study. All communities that are billed for their wastewater directly by the MCES are eligible to apply. Local and regional agencies such as the Metropolitan Airports Commission, University of Minnesota and the State Fairground may apply for either a loan or a grant but must do so by applying through the local government in which sanitary sewer service is provided. Applications will be reviewed by MCES staff who will make a recommendation to the members of the Metropolitan Council on the priority of the community's proposed project(s) or study. The application procedure and the staffs criteria for priority ranking for I/I Control Projects are outlined herein. The Metropolitan Council will review the staffs recommendations and establish the final list of loan and grant recipients through official member action. Recipient communities will be required to enter into an agreement, with the Council, authorized by resolution of their City Council or Township Board. (The word "City" used hereafter includes eligible Townships.) The City's requirements, under the agreement, will include that the City provide assurances that the funds are applied to the stated purpose, that the project is cost - effective, that costs be accurately accounted, and that a written report be submitted to the MCES upon completion of the work. The agreement will also provide the MCES the right to audit City records pertaining to the loan and grant funds and matching local share. Each community that receives a loan will be required on the anniversary date of the project completion to provide to the MCES a certification stating that the project has continued to be successful in reducing I/1 from the system. For each year that the project can be certified as performing in its intended purpose of I/1 reduction, repayment of the loan funds will be forgiven. In the event that during the first five -year period after the completion of the project, the community cannot certify that the project has continued its intended purpose of 1/1 reduction, then the community has to either; 1. immediately (within 3 months upon discovery) initiate a follow -up project using community funds to repair the original project or, 2. repay a portion of the loan Page 2