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PFA Awards More than $5.3 Million in Water Infrastructure Funding

Three Minnesota cities will use funds to repair and replace their existing water infrastructure

11/19/2019 1:51:35 PM

Contact: Eric Lightner

ST. PAUL – The Minnesota Public Facilities Authority (PFA) awarded more than $5.3 million to the cities of Hamburg, Red Lake Falls and Tracy.

“Keeping Minnesota’s waterways clean and safe is an investment in our citizens and our community,” said Minnesota Governor Tim Walz. “I congratulate these three cities on their awards.”

“Clean water is vital to the Minnesota economy,” said Steve Grove, commissioner of the Minnesota Department of Employment and Economic Development and PFA chair. “By making these investments now, these cities are paving the way for future economic success.”

Details on the awards as follows:

Hamburg, $1,382,070

Hamburg will use this funding to construct a 75,000 gallon tower and replace and loop their water main. Funding for this comes from a $1,382,070 Drinking Water Revolving Fund loan . The 1% loan is expected to save $170,994 when compared to market-rate financing.

Red Lake Falls, $3,014,232

Red Lake Falls will use PFA funding to rehabilitate the sanitary sewer collection system and replace water mains in the southwest corner of the city. Funding comes from a $728,160 Clean Water Revolving Fund loan and a Drinking Water Revolving Fund loan of $2,286,072. Together the two loans at 1% interest are expected to save $185,972 when compared to market-rate financing.

Tracy, $904,358

Tracy will be replacing the sewer collection lines and manholes in the area of 3rd Street and Harvey Street. Funding for this project comes in part from a PFA grant of $904,358 from the Water Infrastructure Fund . Additional funding comes from the USDA Office of Rural Development in the form of a $756,735 grant and a $797,963 loan.

The Public Facilities Authority (PFA) provides financing and technical assistance to help communities build 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.

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