5.1 Public Hearing - Small Cities Development Program

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❑ Mixed Use (use for buildings containing residential rental units in commercial buildings) ❑ Duplex Rental ❑ Commercial (Must be part of comprehensive application) ® Public Facility— Infrastructure ❑ Public Facility — Community Center ❑ Public Facility —Street Scape Application Description Briefly summarize the Preliminary Proposal. Make sure to include: 1. An overview of the target area 2. A description of the project or projects 3. Cost effectiveness, including all sources of leverage Narrative Answer: The City of Pequot Lakes is the target area for this project. Pequot Lakes is located in Crow Wing County, which is in north -central Minnesota. It is 22 miles from the regional employment base of Brainerd. Pequot Lakes has a growing population — from 947 residents in 2000 to 2,128 in 2020 (U.S. Census). The Small Cities Development Program (SCDP) project will impact the target area, which is the city limits of Pequot Lakes. Along with the current population, there are vulnerable populations which will be affected. The Pequot Lakes School District has 1,153 students and there are 80 low-income apartments and assisted living units for 128 elderly persons. The city of 2,166 residents is has an emerging and critical need for a comprehensive wastewater improvement project (2021, U.S. Census). The aging system has had two critical breaks in their main forcemain - in October 2021 and February 2022. This project will meet the federal objective, as Pequot Lakes has been determined to be 52.66 percent low to moderate income, (2019, Housing and Urban Development (HUD)). The comprehensive wastewater project includes rehabilitation of the main lift station; and removal, and replacement of the main forcemain. SCDP funding will be specifically used for wastewater lines, to completely replace 4,500 feet of forcemain that runs from the main lift station to the aerated stabilization ponds. It would be replaced with 6" high density polyethylene (HDPE) pipe that is flexible and strong, decreasing the risk of breaks. The rehabilitation of critical infrastructure will remove the health and safety hazards and possible contamination of groundwater. The City is respectfully requesting $600,000 of Small Cities Development Program (SCDP) funding to use with Public Facilities Authority (PFA) funding to complete this project in 2023. The total project cost of the project is $1,411,000. MHI is Pequot Lakes is $58,125 per year, according to 2021 U.S. Census data. This project will specifically benefit the 2,166 City residents, especially the 52.66 percent who are LMI. The cost effectiveness of the SCDP funding is $277.00 per person. The cost effectiveness, including all sources of funding, is $660.66 per person. The wastewater improvement project in Pequot Lakes is ready for construction in 2023 and 2024. Thank you for your kind consideration of this request. 2023 Small Cities Development Program Application Coversheet 2