Feb. 3 - Brownton, Detroit Lakes, Montrose and Manchester Awarded $3.7 Million for Water Projects

ST. PAUL – The Minnesota Department of Employment and Economic Development (DEED) announced that four Minnesota communities will receive $3.7 million from the Public Facilities Authority (PFA) to pay for improvements to drinking water and wastewater infrastructure.

The financing was awarded for projects in Brownton, Detroit Lakes, Montrose and Manchester. Detroit Lakes received a loan of $2.1 million to pay for rehabilitating its water treatment plant.

"This funding will improve water quality in these four communities and also create jobs," said Dan McElroy, PFA chair and commissioner of DEED. "PFA funding for water projects enhances community vitality and contributes to better health."

Funding for the projects will come from the PFA's Drinking Water Revolving Fund, Clean Water Revolving Fund and Wastewater Infrastructure Fund.

Brownton, $849,990
Funding will pay for replacing and rehabilitating components of its wastewater treatment plant. The package consists of a $849,990 loan at 1.0 percent interest over 20 years. The loan will save the city $262,435 compared with market-rate financing. Brownton, which is located in McLeod County in central Minnesota, has a population of 815.
Local Contact: Cindy Lindeman, clerk-treasurer, 320-328-5318

Detroit Lakes, $2.1 million
The funding will pay for rehabilitating its water treatment plant. The PFA funding consists of a $2.1 million loan at 2.2 percent interest over 20 years. The loan will save the city $350,821 compared with market-rate financing.  Detroit Lakes, which is located in Becker County in northwestern Minnesota, has a population of 8,600.
Local contact: Robert Louseau, city administrator, 218-847-5658

Montrose, $426,000
The funding will pay for rehabilitating and repainting one of its water towers. The PFA funding consists of a $426,000 loan at 1.6 percent interest over 20 years.  The loan will save the city $92,595 compared with market-rate financing. Montrose, which is located in Wright County in central Minnesota, has a population of 2,500.
Local Contact:  Barbara Swanson, administrator, 763-675-3717

Manchester, $320,000
The funding will pay for a project to improve wastewater collection and regionalize the system. The funding package consists of a PFA grant of $320,000, plus a grant and loan of $684,000 from U.S. Department of Agriculture – Rural Development.  Manchester, which is located in Freeborn County in southern Minnesota, has a population of 70.
Local Contact: Angie Hannegrefs, city clerk, 507-826-3395.

DEED is the state’s principal economic development agency, promoting business recruitment, expansion and retention, workforce development, international trade and community development. For more details about the agency and our services, visit us at www.PositivelyMinnesota.com. Follow us on Twitter at www.twitter.com/PositivelyMN.


Upon request, the information in this news release is available in an alternative format such as Braille, large print, audiotape or computer disk.

Minnesota Department of Employment and Economic Development
Communications Office
Phone 651/259-7161 or 1-800-657-3858 ∙ TTY 1-800-657-3973
www.PositivelyMinnesota.com