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Brainerd to apply for roughly $2.675 million in state funds to replace galvanized (lead-era) service lines; city says property owners will not be charged
Summary
Brainerd Public Utilities staff told the Safety & Public Works committee they will apply for a Minnesota Public Facilities Authority grant of roughly $2.675 million to replace galvanized water service lines in three 2026 projects; staff said replacements would be covered by the grant with no cost to property owners.
Paul Sandy, speaking for Brainerd Public Utilities, told the Safety & Public Works committee the utility has entered three professional-services agreements with Bolton & Menk to design and administer construction for three galvanized (lead-era) water service-line replacement projects slated for 2026.
Sandy said the projects include service lines tied to planned city reconstruction/resurfacing work, plus additional northeast-Brainerd work to reach the full grant amount. "We were awarded 2.675 million for 2026 for this program," Sandy said, and the city plans to use the full award for replacements. He added that the PFA/MDH program caps replacement eligibility at $25,000 per service line.
Sandy said the city anticipates using the funds for roughly 10 years to remove galvanized service lines across the utility’s system. "No cost to the property owner, no cost to the utility," Sandy said of replacements paid for with the grant funds. He also said the resolution before the committee authorizes staff to submit PFA and Minnesota Department of Health funding applications and to deliver design documents as required by the funding process.
Committee members asked clarifying questions about the per-line cap and whether the awarded amount aligns with projected costs; staff responded that the PFA/MDH cap is $25,000 per service line and that the city is planning to use available funding to do as many replacements as possible in 2026. The resolution presented a total project cost estimate of about $2,657,000, which staff said is consistent with the grant award and the intended-use plan filed with state agencies.
The committee voted to authorize staff and Bolton & Menk to submit the funding applications required to obtain reimbursement for eligible project expenses, including engineering and construction costs. Sandy said the city will seek similar funding in subsequent years to address the city's inventory of more than 1,000 galvanized service lines.
What happens next: Public Utilities staff will submit PFA and Minnesota Department of Health applications and continue final design with Bolton & Menk. The committee’s authorization allows staff to move forward with application submittal and grant administration steps; final grant award terms, project schedules and construction timelines will be reported back to the council when available.
