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5.02: Consider Opportunity to Apply for Grant Funding for Water Efficiency <br />City Planner Anderson presented the staff report. He stated that the Metropolitan Council is <br />offering grants from $2,000 to $50,000 to municipal water suppliers to help increase water <br />efficiency in their communities by lowering the cost for residents to purchase and install products <br />that reduce water use including toilets, washing machines, and irrigation sprinklers and controllers. <br />Municipalities may use grant funds to fund rebates to residents who replace inefficient water -using <br />devices with approved devices that use substantially less water, or for irrigation system audits. <br />The Metropolitan Council administered a water efficiency grant program during the 2015-2017 <br />biennium using $500,000 from the Clean Water Fund, which yielded an estimated total savings of <br />52 million gallons of water per year. This grant program requires that products be labeled by the <br />U.S. Environmental Protection Agency's WaterSense program or, in the case of washing <br />machines, by the U.S. Department of Energy's Energy Star program. Grant funds can only be <br />used for appliance replacement, not for first-time purchases for new developments. Municipalities <br />are .L,61,u..b:ble for developing and operating their own rebate programs. The grant funds will <br />cover 75 percent of program costs, with a required 25 percent local match of which residents must <br />pay a portion of the cost for any device or water use audit they purchase. Grant applications will <br />be accepted through September 30, 2019. Staff would propose that the local 25 percent match <br />come from the City's water enterprise fund, with a portion being reimbursed by payments from <br />residents for any device or water use audit they purchase. <br />Councilmember Musgrove asked the anticipated dollar amount of the grant. <br />City Planner Anderson stated that staff has not attempted to begin a grant application or an outline <br />of what the program would look like. <br />Board Member Covart stated that the Board work plan identified attempting to incentivize water <br />and irrigation efficiency and asked if this program would be similar to the rebate program Elk <br />River has. <br />City Planner Anderson stated that staff has not yet attempted to draft a pibut confirmed that <br />other cities including Elk River and Plymouth have similar programs. He noted that staff could <br />reach out to cities that have participated in a rebate p1ogiai►i in the past to gain input. <br />Motion by Board Member Covart and seconded by Board Member Bernard to recommend that the <br />City Council authorize staff to prepare and submit an application for water efficiency grant funds <br />from the Metropolitan Council. <br />Motion carried. Voting Yes: Chairperson Valentine, Board Member Covart, Bernard, and Moore. <br />Voting No: None. Absent: Board Member Fetterley and Hiatt. <br />