INFILTRATION & INFLOW (I&I) GRANT PROGRAM DESIGN
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1 INFILTRATION & INFLOW (I&I) GRANT PROGRAM DESIGN Updates to slides 11 & 17 were made on July 7 th, These updates are based on the decision to add $1.5M in newly approved bond funding to the current 2014 program Public Meeting: July 2014
2 Meeting Agenda 1. Council Member s Introduction 2. Attendee Introductions 3. Staff Presentation 4. Public Comments
3 Staff Presentation I. I&I Guidelines & Policies: Bonding Bill Language State Requirements Council Guidelines II. Qualifying Work: Eligible/Non-Eligible work Funding Example Qualifying Cities III. Proposed Grant Process & Process Advantages IV. Proposed Calendar V. Questions
4 Bonding Bill Language $2 million appropriated to Council Grants for capital improvements to reduce I&I into municipal wastewater collection systems Cities are eligible if they have been identified as an excessive I/I contributor or have had flow peaks within the 20% threshold Grant funding up to 50% of I&I portion of project cost Pursuant to guidelines approved by Council
5 Key State Requirements Funding must be used to finance publicly owned and publicly operated projects Must extend useful life or substantially increase value of fixed asset Cannot be operating or overhead expense To the extent practicable, projects must utilize American-made steel M.S.16A.695 restricts sale, lease and management contracts: Includes MMB Commissioner s Order
6 Key Council Guidelines (2012, updated) Qualified spending can occur between May 20, 2014 and any date that allows receipt of pay claims at the Council no later than October 30, 2016 Only construction costs qualify Each participating city is eligible to receive: Part 1: Lesser of $25,000 or half of eligible expenses submitted, plus Part 2: Allocation proportional to cities remaining eligible expenses after Part 1, until all available funds are allocated, or 50% of all eligible costs are reimbursed.
7 Allocation Example City Total Project Costs* Covered: 50% of Project Costs Part 1 Allocation Part 2 Allocation Amount Funded by Grant % Funded by Grant A 600, ,000 25, , , B 40,000 20,000 20, , C 5,000,000 2,500,000 25,000 1,623,000 1,648, D 360, ,000 25, , , TOTAL 6,000,000 3,000,000 95,000 1,905,000 2,000, Part 1: Lesser of $25,000 or half of eligible expenses submitted, plus Part 2: Allocation proportional to cities remaining eligible expenses after Part 1, until all available funds are allocated, or 50% of all eligible costs are reimbursed. *Includes only the I&I mitigation part(s) of project
8 Eligible I&I Work & Percent Eligible Municipal pipeline rehabilitation and repair 50% eligible = lining, replacement 100% eligible = joint sealing Municipal maintenance structures 50% eligible = lining, replacement 100% eligible = sealing (joints, castings, covers, chimney seals) Flood mitigation 10% eligible = surface drainage improvements (surface grading, ditch cleaning, storm system and culvert improvements) Cross connection elimination 100% eligible = storm/sanitary cross connects, catch basins and area drains
9 Non-Eligible I&I Work Studies, investigations or inspections Any improvements to privately owned infrastructure, or private service lines
10 Grant Funding Example:
11 Qualifying Cities as of July 2014: *Cities in green were added to this list on July 7 th, This decision was based on the inclusion of $1.5M in newly approved bond funding (to the current, 2014 program), and based on updated flow information. Apple Valley Fridley Minneapolis Shorewood Arden Hills Golden Valley Minnetonka South St. Paul Bayport Greenwood Minnetonka Beach St. Anthony Birchwood Hopkins Mound St. Bonifacius Bloomington Inver Grove Heights Mounds View St. Louis Park Brooklyn Center Lakeville New Brighton St. Paul Carver Lauderdale New Hope St. Paul Park Centerville Lexington Newport Stillwater Chanhassen Lilydale North St. Paul Spring Park Chaska Lino Lakes Oak Park Heights Tonka Bay Columbia Heights Little Canada Oakdale Vadnais Heights Crystal Long Lake Orono Waconia Deephaven Mahtomedi Osseo West St. Paul Eagan Eden Prairie Edina Elko-New Market Maple Grove Maple Plain Maplewood Medicine Lake Plymouth Prior Lake Ramsey Robbinsdale White Bear Township Woodbury Wayzata Excelsior Medina Roseville Farmington Mendota Savage Forest Lake Mendota Heights Shoreview
12 Proposed Grant Process 1. Cities Apply to Participate 2. MCES Reviews For Eligibility 3. Letter of Intent for PMA 4. City s Right of Withdrawal 5. Cities Complete Work 6. Submission of Pay Claims 7. FRA Determination 8. Signing/Agreement 9. Grant Reimbursement MCES Metropolitan Council Environmental Services FRA Final Reimbursement Amount PMA Preliminary Minimum Allocation
13 Proposed Process Advantages Cities would not have to precisely estimate project costs before projects are bid Certifications would be accurate, based on final as built records MMB s (Minnesota Management & Budget) requirement to provide proof of funding would be unnecessary as projects would be completed All grant funds would be spent Significant reduction in time to process grants Would eliminate the need for amendments due to changed circumstances Project location, timing, dollar amount
14 Application Process Cities submit Council provided application & cover letter, including the following items: Proposed project: Project description Estimated total project costs Estimated I&I eligible project costs Identify City s designated authorized representative(s) Information included on application form: Link to Grant Program Guidelines Link to End Grant Agreement Schedule of key dates
15 Letter of Intent Confirmation of participation Preliminary Minimum Allocation (PMA) and estimated Final Reimbursement Amount (FRA) Disclaimers Link to Grant Program Guidelines Link to End Grant Agreement Requirements for claim submission Schedule of key dates MCES contact information
16 Submission of Pay Claims Cities submit all of the following: Summaries of work completed (with invoices) Certification Notarized to confirm simple ownership or easement City resolution authorizing application and execution of grant Notice of change in city designated authorized representative(s) information
17 Proposed Calendar MCES holds Public Meeting with EC Member as Chair July 24, 2014 Wait 10 days for people to submit comments August 4, 2014 Finalize procedures & process, and bring to EC for final consent August 27, 2014 MCES submits RFP to cities August 28, 2014 Grant Proposals due from cities September 26, 2014 MCES sends LOI notifying cities of their assigned PMA October 10, 2014 Notice & solicitation of applications from newly participating cities July 10, 2015 Grant applications due from newly participating cities September 1, 2015 MCES provide newly participating cities LOI, PMA & est. FRA October 9, 2015 Cities submit pay claims for completed projects October 30, 2016 MCES sends agreements including FRA November 15, 2016 MCES processes reimbursement Upon receipt of signed agreement MCES Metropolitan Council Environmental Services FRA Final Reimbursement Amount PMA Preliminary Minimum Allocation LOI Letter of Intent RFP Request for Proposal EC Environment Committee Dates in green were added to this calendar on July 7 th, This decision was based on the inclusion of $1.5M in newly approved bond funding (to the current 2014 program).
18 Contact Information Comments may be submitted: Mail: Matt Gsellmeier, 390 Robert St. N, St. Paul, MN Phone: Fax:
19 Questions
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