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Request for Action <br />To <br />Item Number <br />Mayor and City Council <br />10.3 <br />Agenda Section <br />Meeting Date <br />Prepared by <br />Work Session <br />October 5, 2020 <br />Suzanne Fischer, Community Development Director <br />Item Description <br />Reviewed by <br />Ordinance Amending Chapter 78 Authorizing <br />Peter Beck, City Attorney <br />Loans for Repair or Replacement of Private <br />Reviewed by <br />Subsurface Sewage Treatment Systems <br />Cal Portner, City Administrator <br />Action Requested <br />Review an ordinance authorizing loans for the repair or replacement of private subsurface sewer treatment <br />systems. <br />Background/Discussion <br />At the Sept. 21, 2020, meeting, Council approved participation in the AgBMP Loan Program. The purpose is to <br />encourage best management practices to prevent or reduce runoff and pollution from various sources, including <br />cluster septic systems. <br />As you recall, the Rolling Hills HOA approached the city earlier this year for assistance with their failing SSTS. <br />The proposed amendment would allow the city to act as a `lender' of the Ag BMP Program and provide low - <br />interest loans to the residents to repair/replace their cluster system. <br />Field data and project costs are being finalized to determine the assessment amount for each of the 28 <br />homeowners. The loans are for a 10-year period with an interest rate of 1.5%. <br />The City of Elk River has numerous cluster systems in their service area. Preferably, other cluster developments <br />too far out to connect to our infrastructure, would also utilize this program. <br />Financial Impact <br />N/A <br />Mission/Policy/Goal <br />The Elk River Mission Statement cites working with citizens to develop a sustainable and prosperous community <br />for all to live, work and play. <br />Attachments <br />■ Amended Ordinance 78 to authorize loans for the repair or replacement of private SSTS's <br />Map of SSTS cluster developments <br />The Elk River Vision <br />A welcoming community with revolutionary and spirited resourcefulness, exceptional <br />service, and community engagement that encourages and inspires pi ospei ly. <br />M <br />TUREJ <br />Updated.• August 2020 <br />