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HomeMy WebLinkAbout05(P) - Authorize Water Efficiency Grant Application Submittal Report ITEM: 5P CITY COUNCIL AGENDA REPORT MEETING DATE: April 14, 2026 PREPARED BY: Christine Watson, Public Works Supervisor - Administration PRESENTED BY: Nick Monserud, Public Works Director/City Engineer AGENDA ITEM: Authorize Water Efficiency Grant Application Submittal RECOMMENDED ACTION: Authorize staff to submit a water efficiency grant application to the Met Council. BACKGROUND: The Metropolitan Council is renewing their water efficiency grant program to run for another two- year cycle from July 1, 2026 through June 30, 2028. The program allows municipalities to offer rebates to water customers who purchase and install water-efficient home products. Cities may apply for any amount up to $75,000 and they must provide a 20% City match. Prior Lake has participated in this program since July 2020. Our current program, which expires June 30, 2026, includes rebates for water-efficient irrigation controllers, toilets, dishwashers and washing machines. The table below is a summary of rebates that have been issued since we began participating in 2020. # of Estimated Total City Cost MCES Cost Item Rebates Gal Saved Rebate (20%) (80%) Dishwasher 56 280,000 $9,400 $1,880 $7,520 Toilet 23 172,500 $2,221 $444 $1,777 Washing machine 42 126,000 $7,600 $1,520 $6,080 Irrigation controller 18 144,000 $1,689 $337 $1,352 139 722,500 $20,910 $4,181 $16,729 Staff is requesting City Council authorization to apply for another two-year grant in the total amount of $25,000 ($20,000 from the Met Council with a $5,000 City share). The new grant will include all of the above devices, as well as urinals, faucets, shower heads, and commercial dishwashers and clothes washers. Cities are also eligible for rebates if they purchase any of these qualifying devices for installation in municipal facilities. A web page dedicated to the program can be viewed at www.priorlakemn.gov/rebate (please note, this web page will be updated on July 1 to include the new devices and reimbursement amounts). Residents use an online web form to submit their applications and supporting documentation. Public Works staff review the applications and communicate with the residents, then coordinate with Finance staff to issue rebate checks as needed throughout the program. The 80% reimbursement from the Met Council is received quarterly. City of Prior Lake | 4646 Dakota Street SE | Prior Lake MN 55372 Item 5P Page | 2 FINANCIAL IMPACT: The City’s maximum contribution for the 2-year program will be $5,000. The City will pay the rebates to the residents up-front, then get reimbursed 80% by the Met Council. Rebates will be paid from the Water Utility Fund. Approximately 10-20 hours of staff time is needed per month to administer this program. ALTERNATIVES: 1. Motion and second as part of the consent agenda to authorize staff to submit a water efficiency grant application to the Met Council. 2. Motion and second to remove this item from the consent agenda for additional discussion.