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PFA Approves $7.3 Million for Greater Minnesota Water Projects

Funding will support projects in Alden, Two Harbors, Hoyt Lakes, Erskine, and Willmar

10/5/2018 3:42:14 PM

Shane Delaney, 651-259-7236
Shane.M.Delaney@state.mn.us

ST. PAUL - The Minnesota Public Facilities Authority (PFA) approved $7.3 million in grants and loans for water and sewer projects. Funding for projects in Alden, Two Harbors, Hoyt Lakes, Erskine and Willmar was approved.

"Communities across Minnesota face serious water-quality challenges," said Governor Mark Dayton. "This funding supports improvements that will give residents of Alden, Two Harbors, Hoyt Lakes, Erskine and Willmar access to the clean drinking water they deserve."

"Minnesota communities are utilizing PFA programs to address their water and sewage infrastructure needs," said Shawntera Hardy, PFA board chair and commissioner of the Minnesota Department of Employment and Economic Development. "These projects are a good investment that will benefit residents and local businesses now and in the future."

The projects are as follows:

Alden, $1.81 million
This project will construct an addition to the existing water treatment plant, repair one of the wells and install water meters. The $1.81 million loan comes from the Drinking Water Revolving Fund. The loan has a 1 percent interest rate over 20 years and is expected to save $328,641 when compared to the cost of conventional loans.

Willmar, $1.82 million
The city will replace the Fairgrounds, Gorton Avenue and Armory wastewater lift stations. The project is being funded with a 20-year Clean Water Revolving Fund loan. The $1,558,505 loan has an interest rate of 1.119 percent and will save the city an estimated $278,012 when compared to a conventional loan. The $262,151 balance of costs will be funded by the city.

Two Harbors, $1.91 million
This project will rehabilitate the city’s main lift station. The $382,930, 20-year loan comes from the Clean Water Revolving Fund. Compared to the cost of a conventional loan, the 1 percent loan will save an estimated $66,942. The rest of the funding comes from the Water Infrastructure Fund in the form of a $1,531,720 grant.

Hoyt Lakes, $1.40 million
Hoyt Lakes will use these funds to rehabilitate the city’s wastewater treatment plant. It is funded completely by a $1,400,959 loan. The 1 percent loan from the Clean Water Revolving Fund is estimated to save $243,757 compared to a conventional loan.

Erskine, $376,294
This project will rehabilitate the city’s sewer collection system and wastewater treatment facility. It is fully funded by a Clean Water Revolving Fund loan. The 20-year, 1 percent loan is estimated to save $69,049 when compared to a conventional loan.

The Minnesota Public Facilities Authority helps communities build and maintain infrastructure to protect public health, the environment and promote economic growth. The PFA financed $4.5 billion in public infrastructure projects throughout Minnesota since its inception in 1987. Read more at the PFA's website.

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Upon request, this information can be made available in alternate formats for people with disabilities by contacting the DEED Communications Office at 651-259-7161.

Economic Development

Southwest MN

Southeast MN

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