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STAFF REPORT <br />DATE: September 16, 2025 <br />CONSENT AGENDA <br />AGENDA ITEM: 3M Priortiy 2 Grant Submittal for Trail at City Park <br />SUBMITTED BY: Ashley Monterusso, City Planner & Jason Stopa, Community Development Director <br />REVIEWED BY: Miranda Moulis, Planning Assistant <br />CORE STRATEGIES: <br />☒Vibrant, inclusive, connected community ☐Efficient, reliable, innovative services☐Responsive, transparent, adaptive governance ☒Balanced Finances now and future☒Managed Growth ☐Resilient Infrastructure <br />OBJECTIVE: <br />To determine if the City Council would like to move forward with applying for 3M Priority 2 grant funds <br />for a trail at the newly planned city park at Stillwater Blvd and just south of Sunfish Park. <br />BACKGROUND: <br />The City Council approved staff preparing a Letter of Intent for Priority 2 of the 3M Settlement in Spring <br />of 2025. <br />Priority 2 of the 3M Settlement provides $20 million in grant funds to compensate for losses to <br />recreational and ecological resources resulting from PFAS released by 3M. Grant funds will be used to <br />fund projects designed to enhance aquatic resources, wildlife habitat, and outdoor recreational <br />opportunities. The DNR and MPCA have elected to solicit project proposals directly from the <br />organizations and communities via a public RFP process. Before applying for the grant, the applicant <br />was required to submit a Letter of intent (LOI) to determine whether a project qualifies for Priority 2 <br />funding. <br />In July, the City was notified that the LOI was accepted and the City has been invited to submit a full <br />application for funding. <br />Eighty-two Letters of Intent were submitted, totaling $72 million in proposed projects. Only those <br />organizations who received an invitation to submit a full application will be considered for funding. <br />PROPOSAL DETAILS/ANALYSIS: <br />The goals for the 3M settlement funds are as follows: <br />•Goal 1 – Restore, protect and enhance aquatic and terrestrial resources, wildlife and habitats. <br />•Goal 2 – Increase understanding of fish tissue contamination, improve communication about PFAS- <br />based fish consumption advisories, and identify and enhance alternative, noncontaminated fishing <br />areas. <br />•Goal 3 – Improve and enhance outdoor recreational opportunities. <br />•Applicants can apply for no less than $20,000 per project. No match is required. <br />The city recently signed a purchase agreement for the aforementioned parcels PIDs: 1502921420004 and <br />150292141000.