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AGENDA RECOMMENDATION       
Consent Calendar   6.B.
City Council Regular Meeting
Meeting Date:
01/26/2026

Agenda Item:

Resolution authorizing the City Manager to submit an EPA Brownfield Community-wide Assessment Grant Application. 

Recommendation/Action(s):

Adoption of the attached resolution.

Summary:

The Environmental Protection Agency (EPA) administers a community-wide assessment grant program that funds the inventory, assessment, planning, and community engagement needed to support redevelopment of brownfield sites. Brownfields are properties where the redevelopment or reuse may be complicated by the presence or potential presence of contamination, such as former gas stations or dry cleaners. Environmental assessments are typically the first step in brownfield redevelopment, determining whether soil or groundwater contamination exists and informing cleanup strategies or design changes if needed. There are numerous benefits to brownfield redevelopment, including both from an environmental and economic perspective. Additional information on the benefits of brownfield redevelopment can be found from Minnesota Brownfields.
 
The City previously received U.S. EPA brownfield assessment grants of $300,000 for Fiscal Year 2017 and 2021, both of which have been fully expended. These grants supported projects such as the Riverside North Area Wide PlanJefferson Quarry Redevelopment Plan, and environmental site assessments for several sites in Mankato, including 304 N. 2nd Street (Silos), 121 E. Main Street (Landmark), 228 Poplar Street (Locale Brewing Company), and 507 N. Riverfront Drive (Studio 5). For Fiscal Year 2026, the maximum award is $500,000 and the grant term can be up to four years.
 

Brownfield redevelopment in the City has increased in recent years, largely supported by grants from the Minnesota Department of Employment and Economic Development (DEED) and the Minnesota Pollution Control Agency (MPCA). An EPA assessment grant would provide an additional funding source for sites that do not align well with DEED or MPCA priorities. Redevelopment activity is expected to continue to grow, particularly downtown and along corridors such as Madison Avenue and Riverfront Drive, where historic commercial and industrial uses have resulted in a higher concentration of brownfields. Site assessments in these areas will help advance redevelopment or reuse, and in some cases may confirm that no contamination is present.
 
The EPA community-wide assessment grant application is due January 28, 2026, and is highly competitive. Should the Council support the submission of an EPA assessment grant application, the attached resolution can be adopted. It is anticipated that grant awards will be announced in May or June 2026. 

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