8.1. SR 03-18-2013 - Laserfiche WebLink

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projects. The loans are typically for a 20-year period at an interest rate of two to four percent. The loan monies are administered through the PFA. To be eligible for PFA funding, the City must submit this Facility Plan for review and approval by the MPCA. Revenue for loan repayment is typically generated by user rates, availability charges, or assessments. 6.2.4. Other Funding Mechanisms Through the PFA and Clean Water Legacy funding, TMDL and Phosphorous grants have been available. If eligible, the applicant can receive a grant for 50 percent of the improvements attributed to meeting the TMDL or Phosphorous requirements with a cap of$3 million. These grants are applied for in July of each year and the City should apply for these grants to see if they are eligible. 6.3 Allocation and Impact on User Fees Since the new wastewater treatment facility is planned for a 20-year period, both existing and future users need to pay for the wastewater treatment facilities. The existing users will pay for the portion of the wastewater treatment improvements through user rates. The new users will pay a one-time capitol charge when connecting into the wastewater treatment facilities as well as the same user rates as the existing users. The user fees and Sewer Access Charges (SAC) will provide the financial resources to fund the wastewater treatment facility improvements. The trunk sanitary sewer fees may have to be adjusted to pay for future collection system improvements. A summary of the impacts that the wastewater treatment improvements would have on the existing residential users and future residential users is presented in Table 6.2. As shown, the impact on user rates is dependent on the percent allocation of SAC revenue to the wastewater treatment facility improvement costs. City of Elk River T12.104758 Page 33 Wastewater Treatment Facility Plan Prepared by Bolton&Menk,Inc.