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Table 5 - Funding sources for drinking water infrastructure. <br />Program Rural Development, U.S. Department of Agriculture <br />Objective <br />Provide loans and grants for development of water systems in rural <br />areas and towns with a population of 10,000 or less. <br />Applicant <br />Public entities, non-profit organizations, and Indian tribes. Several areas <br />in the seven -county metropolitan area are ineligible. <br />Uses <br />Construction, land acquisition, legal fees, engineering fees, capitalized <br />interest, equipment, initial operation and maintenance costs, project <br />contingencies, and any other cost that is determined by the Rural <br />Development program to be necessary for the completion of the project. <br />Projects must be primarily for the benefit of rural users. <br />Population Less than 10,000 in rural areas. <br />Terms/ <br />Conditions <br />Must show that applicant is unable to secure funds at affordable rates <br />otherwise. Rates are set quarterly. Loans are made based on the <br />applicant's authority and the life expectancy of the system's project. <br />Website <br />h ttp: //www. rurde v. usda. go v/UWP-dispdirectloansgrants. htm <br />Program Small Cities Development Grant Program, <br />Minnesota Department of Employment and Economic Development <br />Objective <br />Provide grants to help cities and counties with funding for public <br />infrastructure. Benefits individuals and households with low and <br />moderate incomes, eliminates urgent threat to public health or safety. <br />Applicant Cities, township and counties. In seven -county metropolitan area, only <br />Carver County and Scott County are eligible. <br />Uses Public facility improvements, including wells, water towers, distribution <br />systems. <br />Population Cities with population of 50,000 or less. Counties with population of <br />200,000 or less. <br />Terms/ <br />Conditions <br />Maximum grant is $600,000. Must benefit low and moderate -income <br />persons or households. Timeline to complete projects is normally 30 <br />months. <br />Website <br />http://mn.gov/deed/government/financial-assistance/community- <br />funding/ <br />Program Drinking Water Revolving Fund, <br />Minnesota Department of Employment and Economic Development <br />WATER SUPPLY MASTER <br />PLAN- Draft June 2015 <br />93 <br />