Minnesota Pollution Control Agency Watershed Section Funding Pete Fastner Nonpoint Source Funding Coordinator Watershed Division February 6, 2017

Goals Learn about the MPCA Clean Water Partnership and Federal Section 319 water funding programs Answer questions

Nonpoint Source Funding Programs Clean Water Partnership (CWP) loans Federal Clean Water Act Section 319 ( Section 319) grants There are two funding programs of the MPCA Watershed Division designed to assist with water quality concerns to the waters of Minnesota

CWP Grants No grant funds for 2016 and 2017 The Minnesota Legislature did not allocate funding for CWP grants in the last legislative session. You can talk to your legislators if you are concerned.

CWP Loans Provide local government funding to identify water quality problems and their sources direct resources for implementation of water quality protection and improvement projects Eligible applicants include: Watershed districts, water management organizations Regional governmental units (townships, cities & counties) The Clean Water Partnership Loan program, begun in 1995 is an application process to identify and provide funding for projects that will be most beneficial in meeting the MPCA’s mission of working with Minnesotans to protect, conserve, and improve Minnesota’s water resources. Local governmental units must be able to exert local controls to complete the tasks for the project. SWCDs could be an administrative sponsor as long as they partner with a local entity who has taxing authority, such as a county, watershed district or city

Eligible CWP projects Any nonpoint source water pollution project as determined through a local water plan Implement the best management practices to protect or restore the water body or watershed Revised state rules for CWP no longer require a diagnostic study and implementation plan before BMP implementation can occur. As long as a waterbody is included in a local water plan it may be considered for funding. CWP rule allows funding for stormwater activities to be funded

SFY 2017 CWP loans $11 million loan only funding available Request for Proposals (RFP) is currently open on the MPCA website Proposals are accepted continuously until all money is approved for projects

Current loan interest rate is 2% SFY 2017 CWP loans (cont.) Current loan interest rate is 2% Repayment is ten years beginning at the end of the agreement Loan projects do not need match 310 loan agreements for over $62 million

Green Infrastructure Projects Preserve or restore natural hydrologic processes Flood control may be a component, but not the primary objective of a project

Types of Green Infrastructure rainwater harvesting and reuse rain gardens green roofs tree boxes porous pavement street and parking lot redesign

CWP Contact Information CWP rule 7076 – https://www.revisor.mn.gov/rules/?id=7076 For general information on CWP program: Pete Fastner, (651) 757-2349 or (800) 657-3864 http://www.pca.state.mn.us/water/cwp.html http://www.pca.state.mn.us/water/cwp-319.html

Section 319 grants Provides federal grant money for nonpoint source pollution abatement and water resource restoration Eligible applicants include: Watershed districts, water management organizations, joint powers SWCDs, regional governmental units Colleges, universities American Indian tribes Non-profits Others interested in pollution abatement The U.S. Environmental Protection Agency (USEPA) has been providing 319 funding to the MPCA since 1990.

2017 Section 319 funding $2.5 million available Request for Grant Applications (RFGA) is open until February 17, 2017 Grants executed by winter, 2017-18 and available through August 31, 2021 Grant funding must be matched by local cash or in-kind Sponsors now wait to start until they have an approved contract – can’t use match before Stormwater projects that are part of a federal NPDS permit are not eligible for this program.

New 319 Requirements There is no ceiling for an application request Grant funding match 45% match by local cash or in-kind Clean Water Fund (CWF) from BWSR may be used as match As long as the objectives of the CWF and 319 projects overlap or are the same CWF match could be from the previous year or from the next year EPA changed the 319 requirements in 2014 MPCA changed some requirements to make the process easier Grant funding 60%; match funding 40% of total project costs An applicant could ask for the total $2.5 million available In determining the funding request an applicant should determine how much work they can complete beginning in the 2018 field season and ending on August 31, 2021 – almost four years

New 319 Requirements (cont.) Only TMDL (Total Maximum Daily Load) implementation projects will be funded No longer funding Demonstration, Education or Research projects TMDL study, TMDL implementation plan and/or WRAPS (Watershed Restoration and Protection Strategy) study must be approved by MPCA by December 31, 2016 in order for the project to be eligible for funding A DER may be a part of an overall implementation project The project must have an approved TMDL study and approved TMDL implementation plan. If the TMDL implementation plan is not approved, then Implementation Strategy Table from an approved Watershed Restoration and Protection Strategy can be substituted

New 319 Requirements (cont.) Project must focus on critical areas for implementation Geographic areas identified by a watershed model or similar tool and ultimately confirmed by field observation and/or vetted/confirmed by local partners/stakeholders Show disproportionately contributing pollutant loads or excess flow to surface waters. Must have measurable outcomes that include significant pollutant load reductions.

Federal 319 Contact Information EPA website on Section 319: http://water.epa.gov/polwaste/nps/cwact.cfm For general information on the Federal 319 program: Pete Fastner, (651) 757-2349 or (800) 657-3864 http://www.pca.state.mn.us/water/cwp-319.html http://www.pca.state.mn.us/water/319.html

MPCA Watershed funding website: http://www.pca.state.mn.us/index.php/water/water-types-and-programs/water-nonpoint-source-issues/clean-water-partnership/financial-assistance-for-nonpoint-source-water-pollution-projects-clean-water-partnership-and-section-319-programs.html

Questions?