Consider Opportunity to Re-Apply for Funding through the Metropolitan Council's Water Efficiency Grant Program

In 2022, the City of Ramsey reapplied for a Water Efficiency Grant through the Metropolitan Council and was awarded $19,800.  The grant funds have been used to provide rebates to residential and commercial property owners that replaced water using devices (specifically including toilets, smart irrigation controllers, washing machines, and dishwashers) with WaterSense or ENERGY STAR® rated devices.  Presently, there is only about $2,600 in grant funds remaining.

The Metropolitan Council has announced that it is once again offering a Water Efficiency Grant.  Applications are due by March 29, 2024, and grant recipients will be announced by May 24, 2024.  The grant program will run from July 1, 2024, through June 30, 2026.  

The current grant program runs through June 30, 2024.  If the City were to apply for the next round of funding and was successful, there would be no gap in program funding.  The Metropolitan Council will continue to contribute eighty percent (80%) of program costs, which means the City's required matching component is only twenty percent (20%).  The minimum grant amount is $5,000 and the maximum amount is $50,000.

Grant criteria remain the same: rebate applicants must be a municipal water customer; rebates are only applicable to replacement devices (it does not cover new construction); and at least a portion of the cost must be paid by the property owner (this is accomplished by having property owners be responsible for the sales tax).  Eligible devices continue to include WaterSense certified irrigation controllers and toilets, irrigation system audits, and Energy Star® certified dishwashers and washing machines. The only new product that would also be eligible for a rebate would be a WaterSense certified showerhead.

Through the current grant program and participation by residents, it is estimated that there's been water savings of nearly 1,000,000 gallons.  This is based on the estimated average annual water savings from replacing older, inefficient devices with grant eligible products, the total number of participants (to date, 91), and the devices that have been replaced.

The City only has approximately $2,600 in grant funds remaining (available until gone or June 30, 2024, whichever occurs first).  Staff sees this program as a great opportunity for all municipal water customers in the community.  Staff have utilized the website, newsletter, social media, the Weekly Update, and the dynamic display sign on Highway 10 to promote the rebate program.  

This rebate opportunity has been well received and utilized by Ramsey residents and Staff would recommend submitting a grant application for the next grant cycle.  

 

Funding for the Water Efficiency Grant Program would consist of three sources: Grant award from the Metropolitan Council (assuming Ramsey was a grant recipient), the City's required 20% match would come from the City's Water Fund, and any rebate participant would cover the sales tax on the purchase of the device (thus satisfying the requirement for the rebate participant to have a financial contribution in the program) plus any amount that exceeds the per device cap.

Motion to recommend that the City submit a grant application to the Metropolitan Council for Water Efficiency Grant Program funds.