Resolution accepting Minnesota Department of Employment and Economic Development (DEED) cleanup grant and authorizing the City Manager to execute a cleanup grant agreement and subrecipient agreement for a supportive housing project (751 Poplar Street).

Adoption of the attached resolution.

On April 14, 2025, the City Council approved the submission of a Cleanup Grant application to the Minnesota Department of Employment and Economic Development (DEED) for a supportive housing project. In July 2025, DEED notified the City of a grant award for the project in the amount of $115,554.00.

Trellis Co. proposes redeveloping the property located at 751 Poplar Street by constructing a three-story, 40-unit affordable supportive rental housing project. The grant-eligible costs include investigation (match only); contaminated soil excavation, transportation, and disposal; and environmental oversight and reporting. Cleanup grants assist with 75% of the costs of cleaning up polluted sites and require a 25% match. The grant-eligible activities total $154,073.00. The matching funds of $38,519.00 have been committed and will be paid by the developer, Trellis Co.

The grant agreement is attached. If the grant is accepted and approved by the City Council, the City Manager will execute the grant agreement with DEED and the City will enter into a subrecipient agreement with Trellis Co.