On Thursday, the Public Facilities Authority (PFA) approved loans to two local communities for water infrastructure projects.
Elbow Lake was awarded a loan of $170,193 from the Drinking Water Revolving Fund and a $532,000 grant from the Water Infrastructure Fund for a water main replacement on Division Street. The 30-year, 1 percent loan will save the city $50,273 compared with the cost of a conventional loan.
Additionally, the city also was approved for a $600,400 loan from the Clean Water Revolving Fund to rehabilitate the sanitary sewer collection system for Division Street. The 20-year, 1 percent loan will save taxpayers $109,257 compared with a conventional loan.
Along with Elbow Lake, Wheaton was approved for a $1.17 million loan from the Drinking Water Revolving Fund to rehabilitate an elevated water storage tank and install meters. The 20-year, 1 percent loan will save the city $199,669 compared with the cost of a conventional loan.
“I appreciate the PFA recognizing the need for improved water infrastructure in both Elbow Lake and Wheaton, said Rep. Jeff Backer (R-Browns Valley). “Because of these loans, taxpayers in both communities will see savings thanks to lower interest rates offered through the PFA.”
The Minnesota Public Facilities Authority provides financing and technical assistance to help communities build and maintain infrastructure that protects public health and the environment and promotes economic growth. Since inception in 1987, the PFA has financed $4.5 billion in public infrastructure projects in communities throughout Minnesota.