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City to pursue $580,918 in state small‑cities funds to help pay for stormwater pond work

New Prague City Council · August 5, 2025
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Summary

Staff told the council the city is holding $580,918 in DEED Small Cities Development Program funds and recommended investigating whether a property‑by‑property slum‑and‑blight declaration could unlock those funds to help build the long‑planned stormwater pond; council gave direction to pursue the option and work with consultant Bolton & Menk.

City staff reported that New Prague holds $580,918 in Small Cities Development Program (SCDP) funds from the Minnesota Department of Employment and Economic Development (DEED) that must be used or returned.

Staff said DEED confirmed the funds could be used for projects addressing slum and blight, and that the city could work with consultant Bolton & Menk to survey properties in the drainage area and determine which parcels qualify. If the council certifies a property map and Bolton & Menk’s findings, the city could allocate some or all of the SCDP funds toward a stormwater pond project designed to address long‑standing drainage problems.

Councilmembers expressed support for continuing the investigation and for obtaining estimates of Bolton & Menk’s costs to perform the property survey and certification. Staff said Bolton & Menk could be paid from SCDP funds subject to the consultant’s eligibility.

Next steps: staff will seek cost and scope proposals from Bolton & Menk, confirm DEED eligibility, and report back with a recommendation to the council.