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AGENDA ITEM — 3C <br />,-ARZEN HILLS <br />MEMORANDUM <br />DATE: February 12, 2024 <br />TO: Honorable Mayor and City Councilmembers <br />Dave Perrault, City Administrator <br />FROM: David Swearingen, P.E. Public Works Director / City Engineer <br />SUBJECT: Metropolitan Council — Private I/I Grant Program — Equity Component <br />Budgeted Amount: Actual Amount: Funding Source: <br />N/A N/A MCES <br />Council Should Consider: <br />• A formal statement be made by the City of Arden Hills to fulfill the equity component <br />required for the application for Metropolitan Council Environmental Services (MCES) <br />2024 private property Inflow and Infiltration (I/I) Grant Program. <br />Background/Discussion <br />The 2024 Private I/I Grant Program is a "Pilot" year for Met Council. It will provide $1.5 million <br />in wastewater revenue to provide grants to private property owners to help with repairs that will <br />remove and prevent clear water from entering the wastewater treatment system. The Minnesota <br />Legislature amended statute 471.342 to allow the Met Council to provide grant funding to local <br />municipalities to assist private property owners with costs associated with repairing sewer <br />infrastructure on their property. At the December 11, 2023 regular Council Meeting, resolution <br />2023-059 was approved to apply for the MCES 2024 private property I/I grant program. <br />Arden Hills requested $80,000 but was awarded $45,000 for the 2024 Private Property Inflow and <br />Infiltration grant program. Arden Hills is 1 of 21 other municipalities that received funding for the <br />program. The program is setup so that MCES funds match 50% of the construction costs up to <br />$5,000. If the City has an equity component then the match can be up to 100% up to $10,000. The <br />equity component can also be tiered with multiple match percentages. <br />Other options the Council should consider; The City can choose to decrease the match percentage <br />but it is capped at 50% (for non -equity properties), this would spread the funding out to more <br />homes. Or, the City could contribute local funds to increase the matching level from 50%. <br />Page 1 of 2 <br />