PFA Approves more than $36 million for projects in five Minnesota cities

ST. PAUL – The Minnesota Public Facilities Authority (PFA) approved just over $36 million in grant and loan funding for water infrastructure projects in Minnesota. The cities of Ortonville, De Graff, Perham, Columbia Heights and Little Falls were approved for funding.

“These projects will revitalize existing water infrastructure,” said Governor Tim Walz, “Thanks to the hard work of the PFA and these local governments, these Minnesota cities will have clean drinking water and safe waterways for years to come.”

“Water infrastructure is a vital resource to a growing community,” said DEED Commissioner Steve Grove, “Protecting our waterways and drinking water isn’t just good for the environment and our health, it helps grow economies and protect our economic future.”

Details on individual projects below:

Columbia Heights $398,152

This project consists of structural improvements to an existing stormwater pond and the addition of an iron-enhanced biofiltration basin to remove phosphorus from stormwater runoff. Funding for this project comes from a Point Source Implementation grant of $318,521, and $45,886 from local city stormwater fund and $33,745 from other local funding.

De Graff $5,495,073

This project consists of the construction of a sewage collection system, lift station, force main, and 2-cell pond system. Funding for this project comes from a Point Source Implementation grant of $4,368,073, a USDA Office of Rural Development grant of $1,075,000 and a $52,000 USDA Office of Rural Development loan.

Little Falls $23,495,011

This project consists of the rehabilitation of the city’s wastewater treatment facility and upgrades to reduce the discharge of phosphorus. A CWRF loan of $15,498,248.29 will cover the largest portion of the cost. The 30-year-one-percent loan is expected to save $2,946,489 when compared to the costs of market rate financing. Additional funding will come from a Point Source Implementation grant of $7,000,000 and a CWRF Principal Forgiveness grant of $996,762.71.

Ortonville $6,097,176

This project consists of rehabilitating portions of the city’s aging waste water collection system and water main distribution system. Funding comes from a 20-year loan from the Drinking Water Revolving Fund (DWRF) of $3,419,191 and a $2,677,985 20-year loan from the Clean Water Revolving Fund (CWRF). Both loans have one percent interest and are expected to save $596,001 combined, when compared to market-rate financing.

Perham $784,850

This project consists of the rehabilitation of the city sanitary sewer at 2nd avenue and 3rd street, part of a larger city street and utility project. Funding for this project comes from a CWRF loan of $784,850. This 15-year-loan at one percent is expected to save $47,322 when compared to market-rate financing.

The Minnesota Public Facilities Authority (PFA) provides financing and technical assistance to help communities build and maintain public infrastructure that protects public health and the environment and promotes economic growth. Since its inception in 1987 the PFA has financed $4.5 billion in public infrastructure projects in communities throughout Minnesota.