Request for Proposal (RFP) PUBLIC WELL SEALING GRANT

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1 Request for Proposal (RFP)

2 Request for Proposals for Public Well Sealing Grant Grant application proposals will be accepted until 4:30 p.m. on Monday, October 16, September 15, 2017 Minnesota Department of Health Well Management Section P.O. Box St. Paul, Minnesota or Upon request, this material will be made available in an alternative format such as large print, Braille or audio recording. Printed on recycled paper. 1

3 Contents Introduction... 3 Grant Eligibility Requirements... 3 Matching Funds... 4 Grant Proposal Requirements... 4 Funding Period... 5 Scope of Work... 5 Grant Proposal Submittals... 6 Grant Proposal Review Process... 7 Trade Secret Information... 8 Grant Award Notification Process... 8 Allocation of the Grant Award... 9 Definitions

4 Introduction Approximately 70 percent of all Minnesotans rely on groundwater as their primary source of drinking water. Unused wells* must be properly sealed (filled with an impervious material) when removed from service to protect both public health and Minnesota s invaluable groundwater resources. Minnesota Department of Health's (MDH) Well Management Section protects both public health and groundwater by assuring the proper sealing* of unused wells. Note: Words noted with an asterisk are found under Definitions on page 10. MDH is soliciting applications to provide cost-share funding to public water-supply owners* to assist in sealing their unused wells. The funding is provided through the Clean Water, Land and Legacy Amendment (Minnesota Session Law, Chapter 91; Article 2; Section 8(c) [2017]). Grant recipients are reimbursed for up to 50 percent of the cost of sealing an unused well. There is a cap of $50,000 per grantee per grant cycle. Grant applicants must submit a Public Well Sealing Grant Application (Application); one for each unused well they want to seal. Download the Application at Public Well Sealing Grant Application ( or contact MDH s grant coordinator found on page 6 of this RFP. Grant Eligibility Requirements Public water-supply owners* are responsible for sealing any unused well that they own. The unused well must be sealed as specified under Minnesota Statutes, section 103I.301. Any person, local governmental unit, or organization that meets the definition of a public water-supply owner* may apply for funding under this grant program. The following criteria must be met in order for a well to qualify for sealing under this grant program: 1. The well must be owned by a public water-supply owner, as defined on page The public water-supply owner must use its own financial resources, or funding obtained from a private or federal grant to meet the cost share requirement. No state funds can be used to meet the grant applicant s cost share requirement. 3. The public water-supply owner is not currently subject to administrative penalty action by MDH for violating any state or federal public water-supply regulations. If it is uncertain whether it is an unused well or an unused cistern* on the property, an MDH licensed well contractor must be contacted so it can be determined. This must be done before applying for grant funds. Costs associated with removing or filling in a cistern are not eligible for funding. 3

5 Matching Funds Grant recipients are reimbursed for up to 50 percent of the cost of sealing an unused well. Funds are capped at $50,000 per grantee per grant cycle. Cost sharing is subject to auditing by MDH and must be allowed. Costs associated with sealing a well must be verifiable. Grant Proposal Requirements The following conditions apply for funding under this program. 1. Sealing activities that are eligible for funding are: investigative work by an MDH licensed well and boring contractor to determine location and condition of a well; activities directly associated with developing well sealing plans; mobilization/demobilization; activities and work directly associated with accessing a well in order to properly seal the well; well reconstruction necessary to enable well sealing; removing debris and pumping equipment from the well; removing or perforating the well casing;* sealing the well with grout,* in accordance with Minnesota Rules, part ; disposal fees associated with the proper disposal of materials associated with sealing the well; and the time, labor, and materials directly related to sealing the well. Note: The following costs are not eligible for grant funding by either the grant recipient or by any entity hired to conduct activities associated with sealing the well; any fees associated with inspections, notifications, or permitting; administrative costs associated with preparing and submitting: o a grant application and all associated documentation; o an MDH Well Sealing Notification and Record; o an MDH Sealing Public Well Grant Invoice; or o any other administrative paperwork; administrative costs associated with writing any reports; administrative or oversight costs by a consultant; administrative or oversight costs by a general contractor if the well contractor is subcontracting; costs associated with relandscaping or returning the well site back to its original condition; costs associated with returning to the well site to add more grout in the well due to settlement; and any amount exceeding one half of the actual eligible costs incurred to perform the work. 4

6 2. Only a financial cost share may be used by a grant recipient to meet the cost share requirement. MDH makes the final determination whether a grant applicant is to be funded under this program. MDH also has the prerogative to eliminate itemized activities and their costs if it feels the activity is not necessary for sealing the well. Funding Period All of the funds that are awarded under this program must be expended by June 30, Scope of Work The public water-supply owner must: hire an MDH licensed well and boring contractor to seal the well according to Minnesota Rules, chapter 4725; contact MDH 48 hours before the contractor starts any well sealing work; complete an MDH Public Well Sealing Grant (Well Sealing) Invoice, which itemizes the costs associated with sealing the unused well; obtain the contractor s itemized invoice that mimics the costs listed on the Public Well Sealing Invoice; and submit the Public Well Sealing Invoice and contractors itemized invoice to MDH Well Management Section within 30 days of completing the well sealing work. Additional requirements may be listed in the specific grant agreement, based on the description and nature of the well sealing project described in the grant proposal. It should also be noted that MDH may require additional information from the grant recipient to meet reporting specifications defined by the Minnesota Legislature, the Legislative Coordinating Committee, or Minnesota Management and Budget. An MDH Well Management Section grant coordinator is responsible for developing and tracking grants and is the lead person for working with grant recipients. The grant coordinator relies on MDH Well Management Section staff to determine that grant requirements are met. 5

7 6 Grant Proposal Submittals The following documents must be completed and submitted to MDH s grant coordinator. 1. MDH's Contractor s Well Sealing Bid Worksheet (Worksheet) must be completed from at least two contractors for each Public Well Sealing Application (Application) submitted. The Worksheet is not required if the contractor s bid itemizes in as much detail as the Worksheet. 2. An Application must be completed and all associated documentation must accompany the application as required under the application s Well Information section. A separate Application must be completed and submitted for each unused well proposed for sealing. The Application and Worksheet are available by contacting the grant coordinator listed below or by downloading them at: Sealing Unused Wells ( 3. A signed statement or acknowledgement from an authorized person that states that the grant applicant has funds to support their cost share. Remember, no state funds can be used to meet the grant applicant s cost share requirement. Grant proposals may be submitted either by mail, hand delivery, or . Hand delivered proposals must be dropped off at the loading dock in the back of the Orville L. Freeman building (see address below). Grant proposals MUST arrive at MDH on or before: 4 p.m., Monday, October 16, 2017, or have a legible postmark from the United States Postal Service, or a legible pick-up or drop-off time from a private carrier with a date and time that precedes 4 p.m., Monday, October 16, MDH is not responsible for grant proposals that are lost in the mail. Questions regarding this grant notice and completing grant proposals must be submitted to: Grant Coordinator: Nancy La Plante Mail: Nancy La Plante, Grant Coordinator Well Management Section Minnesota Department of Health P.O. Box St. Paul, Minnesota Hand Deliver: Orville L. Freeman Building Nancy La Plante, Grant Coordinator Well Management Section Minnesota Department of Health 625 North Robert Street St. Paul, Minnesota Telephone: Fax: nancyjo.laplante@state.mn.us

8 Grant Proposal Review Process Grant agreement protocols and processes are defined by the Financial Management Section within MDH s Finance and Facilities Management Division. Grant proposals are scored using a standard set of questions and associated point values. Questions are based on the following conditions that may increase the likelihood that the unused well may become a potential pathway for contaminants* to enter drinking water. The total score for each grant proposal will be used to place it on a priority list. Grants will be funded based upon the score and availability of grant funds. The Application can score up to 150 points. The scoring of the application is as follows: 20 points The well connects two or more aquifers.* 10 points The well is a flowing artesian well.* 10 points The well contains contaminants exceeding federal or state health standards. 15 points The well is located within the inner wellhead management zone* of a public water-supply well. 5 points The well does not meet the isolation distance* from a potential contamination source as specified in Minnesota Rules, chapter points The well is located in a groundwater contamination plume* that is designated by Minnesota Department of Agriculture, Minnesota Pollution Control Agency, or MDH. 15 points The well is obstructed or not properly sealed to meet sealing requirements of Minnesota Rules, chapter points The well is located within a Special Well and Boring Construction Area* that is designated by MDH. 15 points No grout was placed in the annular space between the bore hole and the outermost casing,* or between multiple casings.* 10 points The well is located within a Drinking Water Supply Management Area.* 20 points There is additional information that the unused well is a threat to health, safety, or groundwater that was not addressed above. (Documentation or an explanation must be submitted.) 20 points The public water-supply owner can document that the well or wells proposed to be sealed reaches or penetrates the aquifer(s) used by the public water-supply owner s well(s). Note: MDH reserves the right to consider the proposal incomplete and to assign zero points if the applicant has not provided enough information or documentation. 7

9 MDH will convene a grant proposal review team made up of the MDH grant coordinator, and Well Management Section and Drinking Water Protection Section staff. The review team will make the determination whether a grant proposal is to receive total or partial funding. Team members will sign an affidavit that certifies they have no conflict of interest in making a decision that awards or denies a grant. Trade Secret Information Trade secret information is classified as not public under the Minnesota Government Data Practices Act ( 1. Trade secret information is defined as government data, including a formula, pattern, compilation, program, device, method, technique, or process that: 8 was supplied by the affected individual or organization; is the subject of efforts by the individual or organization that are reasonable under the circumstances to maintain its secrecy; and derives independent economic value, actual or potential, from not being generally known to, and not being readily ascertainable by proper means by, other persons who can obtain economic value from its disclosure or use. 2. If an individual or organization believes that a document it submits to MDH contains trade secret information, the individual or organization must do the following: clearly mark the information with the words trade secret; and explain in writing how the information meets each of the three requirements in the definition of trade secret information. Grant Award Notification Process Under Minnesota Statutes, section ( responses to an RFP are considered nonpublic until they are opened. Once the grant proposals are opened, the name and address of the grantee and the amount requested are considered public data. All other data is nonpublic until the negotiation of the grant agreement with the selected grantee is completed. After the grant agreements are fully executed, the remaining information in the grant proposals becomes public, except for information defined as trade secret data. MDH will provide written notification to grant applicants of the scoring results after the applicant is reviewed. If awarded a grant, NO work can begin until ALL required signatures are obtained on the grant agreement and the grantee receives a fully executed and signed copy of the grant agreement. Any costs associated with work conducted prior to a fully executed grant agreement will not be subject to MDH s 50 percent cost share reimbursement.

10 Allocation of the Grant Award Grant recipients will be reimbursed once the project duties and the grant reporting requirements are successfully met and MDH is satisfied that the project is completed according to the terms of the grant agreement. The grant recipient has the obligation to pay any third party (contractor) hired for the purpose of completing the work under the grant agreement before or within 10 days after receiving payment from MDH. 9

11 Definitions Aquifer means unconsolidated material or bedrock that is capable of producing water to supply a well. Casing means the pipe or curbing that is placed into a well to prevent the bore hole wall from collapsing and to prevent surface water or other fluids from entering except where intended. Cistern means an artificial reservoir (as an underground tank) for storing liquids; most often water. Community water system means a water system that serves at least 15 service connections used by year-around residents, or regularly serves at least 25 year-around residents. Contaminant means a substance that is regulated under the federal Safe Drinking Water Act, or a Health Risk Limit (HRL), a Health Based Value (HBV), or a Risk Assessment Advice (RAA) has been assigned or developed by MDH. Note: Visit Health Risk Limits ( or Health-Based Values and Risk Assessment Advice for Water ( to obtain more information regarding HRLs, HBVs, or RAAs. Drinking Water Supply Management Area means the surface and subsurface area surrounding a public water-supply well, including the wellhead protection area that must be managed by the entity identified in a wellhead protection plan. Groundwater contamination plume means the underground area where the geographic extent of a contaminant in groundwater is documented. Grout means the material used to fill the annular space around a casing* or to seal a well. A well with a driven casing does not have an annular space. Inner Wellhead Management Zone means the area within 200 feet of a public water-supply well. Isolation distance means the distance measured horizontally in feet between the closest part of a potential contamination source and the closest part of a well. Noncommunity water system means a water system that serves an average of at least 25 persons daily at least 60 days a year, at a place other than their home, and that is not a community water system.* Public water-supply owner means an entity that owns a community or noncommunity water system.* Sealing means the processes of preparing a well to be filled with grout and then filling it with grout. Special Well and Boring Construction Area means a geographic area of groundwater contamination where a well or boring cannot be constructed, repaired, or sealed without MDH approval. Well means an excavation that is drilled, cored, bored, washed, driven, dug, jetted, or otherwise constructed if it is intended for the location, diversion, artificial recharge, or acquisition of groundwater. 10

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