Title
Pertaining to the acceptance of Minnesota Public Finance Authority funding to partially finance the replacement of lead services for a value of $35,000,000.
Body
WHEREAS, at its March 8, 2022 meeting, the Board of Water Commissioners of the City of Saint Paul (the “Board”) directed staff to initiate a 10-year enhanced lead service line replacement plan (“Lead Free SPRWS”); and
WHEREAS, at its March 18, 2025 meeting, the Board directed staff to apply to the Minnesota Public Facilities Authority (“MNPFA”) for funding in an amount of up to $55M to finance the replacement of approximately 3,000 lead services in the 2026 construction season; and
WHEREAS, Board staff has completed application to the Minnesota Public Facilities Authority (“MNPFA”) and has been awarded funding in an amount of up to $35M to finance the replacement of approximately 2,200 lead services in the 2026 construction season (“2026 Project Orders”); and the Minnesota Department of Health (“MDH”) has determined that the application meets the applicable criteria set forth in Title XIV of the Public Health Services Act; and
WHEREAS, per Minnesota Statute 446A.077 Subd. 4. (b), grant funding can be used for 100% of private lead service replacement; and
WHEREAS, the 2026 Project Orders will include approximately $30,606,660 in private service replacement financed via grant funds allocated by the MNPFA for MDH Project 1620026-30 and $750,000 for MDH Project 16200-31; and
WHEREAS, the 2026 Project Orders will also include approximately $3,443,340 for MDH Project 1620026-30 and $200,000 for MDH Project 1620026-31 for public portion service replacement financed via a grant anticipation note from the MNPFA and such debt service is to be paid via grant from the MNPFA upon substantial completion for the 2026 Project Orders under the Master Grant and Loan Agreement between the Board and the MNPFA; and
WHEREAS, the Board adopted its 2026 budget in September 2025; and
WHEREAS, the Administrative O...
Click here for full text