application - idaho commerce€¦ · local cash $200,000 11/8/18 e local loan* $2,686,000 with cdbg...

Application For an

Idaho Community Development Block Grant

By the

CITY OF ATHOL Mary Zichko, Mayor

November 16, 2018

Table of Contents

Page PART A – General Application Idaho Community Development Block Grant Application Information Form ............................................. 1 Economic Advisory Council Page ................................................................................................................. 2 Threshold Factors .......................................................................................................................................... 3

Eligible Applicant ................................................................................................................................................... 3 Eligible Activity ....................................................................................................................................................... 3 National Objective .................................................................................................................................................. 3 Citizen Participation Plan and Hearing ................................................................................................................... 3 Statewide Goals and Strategies .............................................................................................................................. 3 Administrative Capacity .......................................................................................................................................... 4 Fair Housing Resolution .......................................................................................................................................... 5 Anti-Displacement Policy ........................................................................................................................................ 5

Program Income ............................................................................................................................................ 5 Project Description and Property ................................................................................................................. 5 Budget Narrative ........................................................................................................................................... 8 Budget Form ................................................................................................................................................. 9 Detailed Cost Analysis ................................................................................................................................. 10 Project Schedule ......................................................................................................................................... 10 Financial Profile ........................................................................................................................................... 11 Project Site – Field Notes Review ............................................................................................................... 14 PART B – Public Facilities Review & Ranking Narrative Program Impact .......................................................................................................................................... 17 LMI Need and Impact .................................................................................................................................. 18

Low- and Moderate-Income Percentage Points ................................................................................................... 18 Need ..................................................................................................................................................................... 18 Impact ................................................................................................................................................................... 19

Project Categories ....................................................................................................................................... 20 Design Professional .............................................................................................................................................. 20 Grant Administration ............................................................................................................................................ 20 Plans and Studies .................................................................................................................................................. 21 Project Site – Field Notes Review ......................................................................................................................... 21 Agency Viability .................................................................................................................................................... 21 Property Acquisition ............................................................................................................................................. 21 Funding Commitments ......................................................................................................................................... 21 Schedule .............................................................................................................................................................. ̀22 Administrative Capacity ........................................................................................................................................ 22 Cost Analysis ......................................................................................................................................................... 22

Certifications

Appendices

A Survey Report

B Public Participation • Citizen Participation Plan

• Public Hearing Documents

• Letters of Support C Procurement

• Grant Administration

• Engineering

D Fair Housing

E Planning

• Facility Plan

• Maps

• Photos

• Opinion of Probable Cost

• Match Commitments

F Property Ownership G Rate Analysis Report

City of Athol Water System Improvements P a g e | 1

PART A – General Application

ICDBG Grant Application Information Form Applicant: City of Athol Chief Elected Official: Mary Zichko, Mayor Mailing Address: PO Box 249, Athol, ID 83801 Phone: 208-683-2101 Email: [email protected] DUNS#: 28529576 CAGE Code: 82QG1 Subrecipient: N/A Application Prepared by: Nancy Mabile, ED Specialist Phone: 208-772-0584 x3014 Address: Panhandle Area Council, 11100 N Airport Drive, Hayden, ID 83835 Engineer: Stillman Norton, PE Phone: 509-295-6095 Address: Keller Associates, 733 5th Street, Suite A, Clarkston, WA 99403 National Objective Project Type

LMI Area LMI Clientele Imminent Threat Public Facility Senior Center

LMI Jobs Slum & Blight LMI Housing Infrastructure for Jobs Imminent Threat

Downtown Revitalization Public Park

Project Population to Benefit (Persons): (Census/Survey/Client/Jobs) Total # to Benefit: 757 Total # LMI to Benefit: 225 % LMI to Benefit: 69.88 % Project Description: The project will construct a new 300,000-gallon standpipe, replace about 5,900 LF of 8” pipe, 620 LF 10” pipe, upgrades at the Grove and Bennett wells, and raise the height of the existing tank 50’.

SOURCE AMOUNT FUNDS COMMITTED/

CONTRACT AWARD DATE DOCUMENTS IN APPENDIX

**

ICDBG $500,000

Local Cash $200,000 11/8/18 E

Local Loan* $2,686,000 With CDBG Award E

Local In-Kind**

UDSA-RD Grant $700,000 With CDBG Award E

DEQ Loan $11,000

Foundation Grant

Private Investment

Other (identify)

TOTAL PROJECT FINANCING

$4,092,000

* Identify Loan Source(s): USDA-RD Date Bond or Necessary & Ordinary Passed: 11/6/18

** Identify which appendix corresponding documentation is in. Documentation should be a letter from the appropriate source.


Economic Advisory Council

The distribution system and two of the three water tanks for the City of Athol are 40 years old. The Grove well, including pump and appurtenances is 50 years old, while the Bennett Well is 30 years old. All in all, there is approximately nine miles of distribution line, two tanks located at the cemetery (combined capacity of 98,000 gallons), and another 250,000-gallon tank (aka elevated tank) located at Menser and 6th Streets and constructed in 1996. The cemetery tanks and the Grove well are beyond their useful life. The Idaho Department of Environmental Quality (DEQ) requires that public water systems provide a minimum static pressure of 40 pounds per square inch (psi). System-wide, the City’s water system does not meet this requirement. In fact, the water system for the City of Athol is not in compliance with ten of the IDAPA Rules for Public Drinking Water Systems in the areas of Wells/Booster Stations, Fire Suppression Storage and Distribution system. In the event of a fire, the local fire department would be at risk of losing water pressure during an event. Minimum fire flow requirements in Athol range from 1,250 to 2,500 gallons per minute (gpm); however, hydrant testing has shown the ability to produce only 200 to 1,000 gpm of fire flow. In 2017, a fire broke out at Merritt Brothers Lumber Company in Athol. Fire Chief Steele reports that they were out of water within 1½ hours. The water distribution lines would have collapsed if the Fire District ran all the nozzles at the same time as the lines are too small and too old. As a result, water tenders were being brought in from other areas— Kootenai, Bonner and Spokane Counties—to assist in the firefighting effort. This one incident resulted in losses of 30 jobs and about $12 million in the community. The current fire rating score does not allow any new commercial development in the city. With the completion of the project, the City’s water system will see an increase in service life and fire flows. The City will see a reduction in health and safety risks to water quality. Historically, the City has met state water quality standards, but low pressures, lack of storage redundancy, and inadequate fire flows put the system at risk. Low pressure and circulation in the system can result in sediment and bacteria entering the system, allowing dangerous pathogens such as coliform and E. coli to grow and contaminate the drinking water. These would pose a very serious health threat to the users of the City’s water system. This project will meet or exceed the minimum standards necessary to remedy all the current violations with the IDAPA Rules for Public Drinking Water Systems, such as DEQ’s minimum static pressure requirements for public water systems and provide increased service life and improved water pressure for the community. Residents voted on November 6, 2018 to increase their water rates up to 175%. A $2,681,000 loan through DEQ/USDA-Rural Development and $200,000 out of the City’s Water Revenue Fund will provide the matching funds to this request of $500,000 through an Idaho Community Development Block Grant. Athol is 69.88% low- and moderate-income. This project will ensure continued water service to Athol’s water users and improve the fire rating which will allow for commercial development leading to insurance savings for both commercial and residential properties.

Low pressure = potential contamination


Threshold Factors

Eligible Applicant

The applicant is a city The applicant is a county

Eligible Activities

This project for water system improvements is eligible under the Public Facility Grant criteria in Chapter 2 of the ICDBG Application Handbook. Also eligible are costs for design professional and grant administration services.

National Objective

Low and Moderate-Income Area Benefit

Total number of households* in project benefit area 305 *Note: For water and sewer projects, this is the number of households hooked onto the system and any households that will hook onto the system once the project is complete.

LMI Percentage Determined by: (Check one and complete requested information)

Census Data – provide supporting documentation in Appendix Income Survey – Survey Report is in Appendix A. Census and Survey – provide supporting documentation/report in appendix

Citizen Participation ICDBG Citizen Participation Plan adopted? Yes No Did you hold a public hearing prior to application? Yes No Date of Notice 11/6/18 Date of Hearing 11/14/18 The Citizen Participation Plan, Public Hearing Documents and Letters of Support are in Appendix B.

Statewide Goal and Strategy

To be completed by the Idaho Department of Commerce.


Administrative Capacity

Applicant Capacity 1. The experience of the clerk and public works director,

Lori Yarbrough is the Athol City Clerk/Treasurer, is starting her 5th year with the city. In September 2018 she earned state certification as a Certificated Municipal Clerk from Boise State University and the Idaho City Clerk, Treasurer, Finance Officers Association (ICCTFOA). She is also certified with the Public Risk Management Association Program administered by Idaho PRIMA and is an Idaho State Notary. Her past professional history includes ten years in banking, with six years of it being the bank branch Operations Manager. Lori was the Administrative Assist 3 to the Controller at Eastern Washington University for about six years; and served two years working for the Idaho Department of Labor as a Workforce Consultant in Post Falls, ID. She has a Bachelor’s in Urban and Regional Planning, minors in Sociology and American Indian Studies, and a Master’s in Public Administration from Eastern Washington University.

Anthony Brandt is the new Public Works/Water Operator for the City of Athol. He has experience in parks maintenance and water/wastewater operations in the City of Post Falls, and as a former Public Works Operator in the City of Spirit Lake. His Idaho state licenses include Drinking Water Distribution Operator in Training (Idaho Bureau of Occupational Licenses is currently reviewing his application for Operator I), Waste Water Collections Class I, Waste Water Treatment Class I, Waste Water Land Application, Backflow Assembly Tester, and Herbicide Applicator’s License. Anthony has a Bachelor of Science Degree in Sustainable Crop and Landscape Systems with an Environmental Horticulture Emphasis from the University of Idaho.

2. The most recent audited financial statements and if there were any material weaknesses, deficiencies,

or findings,

The City’s 2017 audited financial reports do not identify any material weaknesses, deficiencies or findings. The full report was emailed to the Idaho Department of Commerce on October 12, 2018.

3. The most recent ICDBG grant the applicant managed,

The most recent Idaho Community Development Block Grant the City managed was a well and hydrant project in 1996.

4. For sub-recipients, identify the governing structure and if and when last audited. Also explain the

status of the sub-recipient agreement.

Not Applicable

Grant Administration The City has followed the appropriate procurement procedures and selected the Panhandle Area Council for CDBG-certified grant administration services for the project. The procurement documentation is in Appendix C.


Fair Housing

The City of Athol adopted Fair Housing Resolution #2018-02 on October 2, 2018 and is included in Appendix D.

Anti-Displacement Policy The City of Athol has certified to the Idaho Department of Commerce Residential Anti-Displacement and Relocation Assistance Plan through signature on the Certifications Page.

Program Income

This project is not expected to generate program income.

Project Description and Property

Project Description

Existing Situation There are many known deficiencies of the water system, including insufficient/low system pressures at various locations throughout the City, limited water storage, and inadequate water supply. The City’s water supply issue was recently addressed with the construction of a new well in 2018 giving them the supply redundancy they needed; however, the water storage issue will worsen with the City’s cemetery tanks nearing the end of their useful life. These tanks are at risk of complete failure at any time. Furthermore, many of the water meters are over 25 years old and in need of replacement.

Necessary Project The Idaho Department of Environmental Quality (DEQ) requires that public water systems provide a minimum static pressure of 40 psi. System-wide, the City’s water system does not meet this requirement. In order to be compliant, the City must proceed with the necessary improvements to increase overall system pressure. Since the City of Athol’s water system operates by gravity, maintaining adequate water storage is essential to maintaining system pressure. Additionally, the City’s current water system does not provide adequate fire supply. In the event of a fire, the local fire department would be at risk of losing water pressure during an event. Replacement of water meters is essential to ensure accurate measurement and billing to continue water service to each residence that might otherwise be disrupted with a faulty meter.


Scope of Work The recently passed bond addresses both Priority 1 and Priority 2 improvements from the City’s current Capital Improvement Plan. These improvements include the following:

Priority 1 – Will address system deficiencies in system pressure, water storage, and distribution. Improvements to include raising the existing elevated tank an additional 50-feet into the air to increase system-wide pressures, constructing a new 300,000 gallon standpipe at the cemetery tanks location, and replacing undersized water mains on Davis Street (~1,400 lineal feet of 8-inch pipe), 4th Street (~1,350 lineal feet of 8-inch pipe), 3rd Street (~1,300 lineal feet of 8-inch pipe), Grove Street (~320 lineal feet of 10-inch pipe), and along Old Highway 95 (~1,200 lineal feet of 8 and 10-inch pipe). These improvements will address the highest priority items in the City’s existing water system. Priority 2 – Will address system deficiencies in supply and distribution. Improvements include upgrades at both the Grove and Bennett wells. There will be a new generator and electrical upgrades at the Bennett Well and a new well pump, building improvements, and electrical upgrades at the Grove Well. Water distribution improvements include replacing undersized water mains on 5th Street and at the northeast corner of Highway 54 and Old Highway 95 (~950 lineal feet of 8-inch pipe).

Expected Outcomes Priority 1 improvements will address concerns with system pressure, circulation, and fire suppression. Improved storage will result in system pressures that will exceed DEQ’s minimum 40 psi requirement system-wide. Additionally, distribution improvements will remove many bottlenecks in the system providing better flow, pressure, and circulation. Better circulation results in improved water quality. Priority 2 improvements will help prolong the life of the City’s two primary wells. Without improvement, these two facilities will continue to deteriorate and eventually become out of commission. This priority will also remove a couple of bottlenecks in the system providing better flow, pressure, and circulation.

Funding Components CDBG funds will be used for engineering fees and grant administration activities except for labor monitoring. DEQ is providing the interim financing for this project and will finance the labor monitoring portion of grant administration. USDA-RD loan funds will be used for all budget line items except for grant administration, and USDA-RD grant funds will be used for construction activities only. The City plans to install the water meters.

Site Plan Maps, site plans, photos of existing conditions and certified cost estimate are in Appendix E.


Property and Permits 1. Does the applicant have current ownership or title to property

applicable to the project? Property ownership is in Appendix F. Yes No

2. Will any property be needed for this project? Yes No Status of the purchase: Estimated date of final purchase: What funds will be used to make the purchase?

3. Will any easements or rights-of-way be needed for this project? Yes No Status of the purchase: To be pursued during the design phase once additional information is available on the length and width of easement needed. Estimated date of final purchase: August/October 2019 What funds will be used to make the purchase? DEQ/USDA-RD

4. Will any lease be needed for this project? Yes No Status of the lease: Estimated date of lease execution:

5. Is anyone living on the land or in the structures at the proposed site? Yes No

6. Is any business being conducted on the land or in the structures at the proposed site? Yes No

7. Are there any businesses, individuals, or farms being displaced as a result

of this project? Yes No

8. Are there permits that will be needed for the project, i.e.,

• Well permit Yes No

• Water rights Yes No

• Land application Yes No

• Demolition permits Yes No

• Zoning permit Yes No

• Air quality permit Yes No

• Building permit Yes No

• Other: highway, SWPP, plumbing, electrical Yes No Status of the permits (has application for the permit been submitted; if so, what is the projected date of issue?) The necessary permits will be applied for by the contractor.

9. Describe the ownership or lease arrangements for the property involved in the project: One utility easement will be needed for the Old Highway 95 loop to Lorraine Drive at the northeast end of the City. All remaining proposed improvements will occur at existing sites. The elevated tank is already on City property and was developed in the mid-1990s. The cemetery tanks are located on City property adjacent to the cemetery. All proposed water main improvements are in existing rights-


of-way, with the exception of the proposed Old Highway 95 to Lorraine Drive Loop. Both the Bennett and Grove wells are located on City-owned property.

Budget Narrative

The following describes the funding sources by category, in order as stated on the following budget form, and the commitment status of each source. Match documentation is located in Appendix E. CDBG - $500,000 – Pending: The CDBG funds will be used for design professional and grant administration activities. City Cash - $200,000 – Committed: The City of Athol intends to provide $200,000 out of their Water Fund for this project. USDA-RD Loan - $2,686,000 – Semi-Committed: USDA-Rural Development will purchase the general obligation bond for the City that was passed by the voters on November 6, 2018. These funds will be used for all categories as stated on the budget form except for certified grant administration. USDA-RD Grant - $700,000 – Semi-Committed: USDA-Rural Development grant funds will be used only for construction activities. DEQ Interim Financing: It is currently anticipated that the City will use DEQ funds for the interim financing of this project. As a result, the project will require that Davis-Bacon Wages are included as part of construction of the project. The $11,000 shown on the budget form in the DEQ category is strictly for labor monitoring activities. If applicable, will the City allow Commerce staff to access RD apply? Yes No N/A


Idaho Community Development Block Grant Budget Form

Applicant or Grantee: City of Athol Project Name: Water System Improvements

Line Items ICDBG Local Cash USDA-RD

Loan USDA-RD

Grant DEQ Total

Planning $0

Facilities Plan $0

Administration $45,000 $11,000 $56,000

Design Professional $455,000 $173,000 $628,000

Acquisition $5,000 $5,000

Soft Cost $50,000 $50,000

Construction $200,000 $2,308,000 $700,000 $3,208,000

Materials/Equipment $0

Financing Expenses $79,000 $79,000

Legal $71,000 $71,000

Property Value $0

TOTAL COSTS $500,000 $200,000 $2,686,000 $700,000 $11,000 $4,097,000


Detailed Cost Analysis 1. Have plans and specs been submitted to regulatory agencies for

review? Yes No If yes, list date submitted: If no, list expected date to be submitted: Fall 2019

2. Will project include bid alternatives to meet project budget if necessary? Yes No

3. Are Davis-Bacon wage rates applicable to the project? Yes No

If yes, are they included in the project costs? Yes No

4. Design Professional Cost Estimate may be found in Appendix E.

Project Schedule

Project Activity Date (to be) Completed Documentation in

Appendix

Design Professional Contract Executed June 21, 2016

Grant Administration Contract Executed April 2019

Environmental Release July 2019

Bid Document Approval January 2020

Bid Opening March 2020

Construction Contract Executed March/April 2020

Start Construction April 2020

Construction 50% complete August 2020

Second Public Hearing September 2020

Certificate of Substantial Completion November 2020

Create Fair Housing Plan December 2019 D: Resolution

Create 504 Review and Transition Plan December 2019

Create LEP Four Factor Analysis December 2019

Construction 100% Complete December 2020

Final Closeout December 2020


Grantee and Subrecipient Financial Profiles Is the Grantee a (circle one) City County If a subrecipient, what type of organization (circle one) Water District Sewer District Water Association For-Profit Company Non-Profit Company Recreation District Fire District Hospital District Other (explain): Section I. Water System (only) – Input information for the water system (entity) that is expected to utilize the Idaho Community Development Block Grant funds. Water Source(s): Wells River Lake Springs Purchase Other Water Treatment Method: None

Number of people served by the system 741

Number of hook-ups on the system 306

Number of equivalent dwelling units (EDUs) on the system 324

Number of residential EDUs 35

Number of commercial EDUs 271

Number of industrial EDUs 0

Are all system users on meters? Yes

For residential users, what is the average monthly water rate for 10,000 gallons $

20.00

What will be the new monthly rate after the project is completed based on 10,000 gallons $

NTE 55.00

When was the last rate increase October 1, 2017

How much were the rates increased $ 6.00

Annual Water System Revenue $ 135,000.00

Total dollar amount owed by customers in arrears $ 700.00

Annual Water System Expenses $ 156,000.00

Residential Hook-Up Fee $ 2,500.00

Commercial Hook-Up Fee $ 3,000.00

Industrial Hook-Up Fee $ 0.00

Identify outstanding indebtedness:

Years Remaining Annual Payment Lender 0 0 0


Explain Water Conservation Methods Implemented: Council is considering options of zero-base rate or a reduced base charge moving forward. If the project is a water source improvement, has a source water protection plan been conducted? Yes N/A

Section IV. All Applicants As part of the CDBG program, cities and counties are required to further fair housing within your community. In 2016, Commerce and Idaho Housing and Finance Association conducted an assessment to fair housing. The assessment examined policies and practices among Idaho’s cities, counties, and housing industry to determine fair housing issues and contributing factors. For some of these contributing factors there are steps cities and counties can take to achieve the goal of reducing or mitigating the factors, thereby furthering fair housing. Contributing Factor #1 - There is the lack of cities and counties providing for the allowance of group homes in designated residential zones or their narrow definitions of the types of group homes allowed (e.g., nursing and rest homes) Why is this a contributing factor? The regulation may treat residents who are disabled, differently. Therefore; Has the City /County reviewed its zoning codes specific to group homes to ensure that they are in compliance with the Fair Housing Act? (group homes are allowed in residential zones and that the City definition of a group home is not too restrictive)

Yes No If No, what steps are you taking to address the issue? N/A Contributing Factor #2 - Idaho’s fair housing law does not provide protection based on familial status. Familial status is the presence of one or more children under the age of 18, pregnant woman, or someone in the process of acquiring legal custody of a child. Why is this a contributing factor? Residents who are unfamiliar with fair housing law may believe that they are not protected from housing discrimination based on familial status because Idaho’s law does not cover familial status. Does the City have an ordinance, resolution, or proclamation that prohibits discrimination against individuals based on their familial status? Note: this is not the same as the Fair Housing Resolution.

Yes No If No, has the council discussed the issue and/or are willing to pass such an ordinance, resolution, or proclamation? Explain. The council will consider passing such an ordinance, resolution or proclamation. Contributing Factor #3 – Lack of public transportation in rural areas. Also, insufficient transportation services to support independent and integrated community living for seniors and persons with disabilities. In accordance with Idaho’s Local Land Use Planning Act, has the City completed their Comprehensive Plan?

Yes No


If Yes, when was the Plan last updated? The original was done in 1980. The City is currently doing an update, with a projected completion date of December 2018. Under the transportation component of the Plan has the City evaluated:

• Existing (or feasibility of) public transportation options such as – bus or van? Yes No

• Bicycle paths? Yes No Contributing Factor #4 – Low wages in economically disadvantaged rural areas due to limited economic growth and growth in low wage industries (e.g. service jobs) Does the City belong to an economic development organization whose objective is to advance job growth or training opportunities in the area? If yes, identify the organization(s) The Panhandle Area Council Contributing Factor #5 – Housing in rural areas developed without visit-able / accessible features due to limited development in some rural areas and when housing was developed. What is the most current edition of the International Building Code the City has adopted? The City does not have building codes. What is the most current edition of the International Residential Code the City has adopted? The City does not have building codes. In addition to the International Residential Code, has the City adopted a building standard or ordinance that requires or encourages visit-ability in single family housing? (basic requirement: one zero-step entrance, doors with 32 inches of clear passage space, and one bathroom on the main floor you can get into in a wheelchair)

Yes No If Yes, identify when the ordinance or resolution was adopted.


Project Site – Field Notes Review

The purpose of this review is to identify potential environmental related issues that could delay, hamper or derail the proposed project. The information will assist in understanding what studies, documentation, and mitigation measures could be applicable in order to commence project construction. 1. Limitations on Activities Is the Grantee planning or in the process of acquiring property for this proposed project?

Yes No If yes, is the Applicant aware that land acquired or site work after submission of the ICDBG application is subject to 24 CFR 58.22 Limitation on Activities Requiring Clearance? Meaning once an application for ICDBG funds is submitted, neither Applicant or sub recipient, may commit Non-HUD funds to a project for land acquisition or site work (except for minor testing) before the environmental review is complete, unless the land acquisition or contract is conditioned on completion of the ICDBG environmental review. 2. Historic Preservation Has the SHPO or THPO been notified of the project? Yes No Have tribes with possible cultural and religious sites been notified of the project? Yes No 3. Floodplain Is the project located within a floodway or floodplain designated on a current FEMA map? Check Web site www.store.msc.fema.gov Yes No Not Sure If yes what is the floodplain map number? N/A If the project is located in a floodway or floodplain, is the community where the project is taking place a participant in the National Flood Insurance Program. Check Web site www.idwr.idaho.gov/water/flood

Yes No N/A 4. Wetlands Are there ponds, marshes, bogs, swamps, drainage ways, streams, rivers, or other wetlands on or near the site? Yes No If yes, has the Army Corps of Engineers (Corps) been notified? Yes No Has the Corps indicated what permit level will be required? Yes No N/A 5. Asbestos and/or Lead Based Paint For building renovations, remodeling or demolition, has an asbestos analysis been planned for or conducted? Yes No N/A For housing rehabilitation, has a lead-based paint assessment been planned for or conducted?

Yes No N/A

http://store.msc.fema.gov/

http://www.idwr.idaho.gov/water/flood


6. Noise Sensitive Use Is the project new construction or rehabilitation of noise sensitive use (i.e., housing, mobile home parks, nursing homes, hospitals, and other uses where quiet is integral to the project functions)?

Yes No If yes, is the project located within 5 miles of an airport, 1000 feet of a major highway or busy road, or 3,000 feet of a railroad? Yes No N/A 7. Explosive and Flammable Operations Is the physical structure (not necessarily infrastructure) intended for residential, institutional, recreational, commercial or industrial use? Yes No Unknown at this time If yes, are there any above ground explosives, flammable fuels or chemical containers within one mile of the physical structure? Yes No If yes, have you been able to identify what the container is holding and the container’s size?

Yes No 8. Site or Soil Contamination Are there any known hazardous materials, contamination, chemicals, gases, and radioactive substance on or near the site? Yes No Unknown at this time If yes, explain During the visual inspection of the site, are there signs of distressed vegetation, vents or fill pipes, storage/oil tanks, stained soil, dumped material, questionable containers, foul or noxious odors, etc.

Yes No If yes, explain At this time, are the site’s previous uses known to have been gasoline stations, train depots, dry cleaners, agricultural operations, repair shops, landfill, etc.? Yes No Are other funding agencies requiring the Grantee to perform an American Society for Testing Materials (ASTM) environmental assessment? ASTM assessment involves analysis of site uses and ownership, inspection of site, and possible testing. Yes No 9. Other Agency Environmental Reviews Have facilities studies or other environmentally related site reviews been conducted or in the process of being conducted? Yes No USDA has ruled the project as a categorical exclusion. 10. Information Letters The advanced mailing of environmental information letters is sought in an effort to minimize the project’s timeline in waiting for necessary documentation or information. It will assist in earlier responses to required mitigation measures should the proposed project receive grant funding.


Check the agencies that have been mailed an environmental information letter. Note: If other funding agencies have sought comment, in writing, from the agencies listed below for the same project, you may not need to send an information letter. Contact your Specialist if other environmental information or scoping letters have been sent. Idaho State Historic Preservation Officer Tribal Historic Preservation Officer or Tribal Office Idaho Department of Water Resources – Local Regional Office Army Corps of Engineers (if wetlands are applicable) U.S. Fish and Wildlife NOAA Fisheries (if salmon and/or steelhead are applicable) Idaho Fish and Game USDA Natural Resource Conservation Service (if farmlands are applicable) Idaho Department of Environmental Quality Local Government – Planning Department Others ________________________________


Part B – Public Facilities Review and Ranking Narrative

Program Impact - to be calculated by Commerce staff based on the budget form.

1. Percentage of ICDBG in total project: 2. Percentage of Local Matching Funds compared to ICDBG funds: 3. Grant dollars per person: 4. Local matching funds per person: 5. Eligible Activity Priority Ranking:

Eligible Activity Points

Possible

Check if ICDBG will be spent on

this activity

Percentage of ICDBG Budget

Spent on Activity

Acquisition of Real Property 75

Acquisition of Real Property for Housing Projects 50

Public Facilities and Infrastructure Improvement 100

Engineering-Architectural 100 ✓ 91%

Code Enforcement 50

Clearance and Demolition 50

Removal of Architectural Barriers 100

Rental Income Payments 0

Disposition of Property 10

Public Services 0

Completion of Urban Renewal Projects 0

Relocation Payments 25

Planning Activities 0

Administration Activities 100 ✓ 9%

Grants to Nonprofit Community Organizations 0

Grants to Nonprofit Community Organizations for Housing Projects

75

Energy Planning 0

Housing Rehabilitation 75


LMI Need and Impact

Low and Moderate-Income Percentage Points To be calculated by Commerce staff based on information addressed under National Objective. The City of Athol is 69.88% LMI by survey.

Need The distribution system for the City of Athol is fed by three groundwater wells, with two being owned by the City. The Grove Well was constructed in 1968 and the Bennett Well in 1988. There is approximately 9 miles of distribution line believed to have been installed in 1978, two tanks located at the cemetery (combined capacity of 98,000 gallons) that were constructed in 1978, and another 250,000-gallon tank (aka elevated tank) constructed in 1996. The cemetery tanks and the Grove well are beyond their useful life. Although the two cemetery tanks have a combined capacity of 98,000 gallons, they only provide about 66,000 gallons of effective storage due to elevation differences between the cemetery and elevated tanks. The elevated tank was constructed lower than originally planned to keep the system as a 100% gravity system rather than having to boost system pressures with a booster pump station. The result is a system pressure lower than required by the Idaho Rules for Public Drinking Water Systems. The Grove well pump is reaching the end of its useful life and is not equipped with standby power. When the power is out, the Bennett Well can supply water with its backup generator; however, fire flow is dramatically reduced. There are concerns about the existing aging backup generator at the Bennett Well. If it goes down, there will be no water in a power outage scenario. As it is, there is not enough fire flow as the existing system does not meet the minimum pressure requirement of 40 psi system-wide. If the system pressure continues to drop, or if one or more of the wells go off line, the system users are given a boil order due to low water quality conditions. The system is not looped to keep water moving, which can result in sediment or bacteria entering the system. Polluted or dirty water can include contaminants such as Coliform, Pathogens, or other E. coli resulting in serious public health threats. Minimum fire flow requirements in Athol range from 1,250 to 2,500 gallons per minute (gpm); however, hydrant testing has shown the ability to produce only 200 to 1,000 gpm of fire flow. In 2017, a fire broke out at Merritt Brothers Lumber Company in Athol. Fire Chief Bill Steele reports that they were out of water within 1½ hours. The water distribution lines would have collapsed if the Fire District ran all the nozzles at the same time as they are too small and too old. As a result, water tenders were being brought in from other areas— Kootenai, Bonner and Spokane Counties—to assist in the firefighting effort. This one incident resulted in losses of 30 jobs and about $12 million in the community.

Coliform

E. coli

Pathogens


The water system for the City of Athol has the following rule violations:

System Component Reference/Rule

Wells/Booster stations §501.04.f, Redundancy §541.02, Pumping Units

Fire Suppression Storage §501.07, Reliability and Emergency Operation §501.18, Redundant Fire Flow Capacity §552.01.c, Fire Flows §544.01, Sizing and Isolation Requirements §544.03, Protection from Contamination

Distribution System §552.01, Quantity and Pressure Requirements §542.06, Size of Water Mains §542.09, Dead End Mains

Source: IDAPA 58.01.08, Idaho Rules for Public Drinking Water Systems

Impact 1. What benefits will low and moderate-income persons receive from this project

Low- and moderate-income populations need basic and quality services without worry of personal health and safety threats. This project will provide the LMI population of Athol with reliable infrastructure, thereby reducing the threat of DEQ boil orders or low supply during peak water events. Additionally, the project will protect the City from a growth moratorium which is of particular concern. Athol has seen both residential and business growth in recent years, and that growth needs to continue in order to provide economic opportunities for the 69.88% LMI population.

In order to protect the finances of the LMI water system users, the City is committed to a $55.00 or less monthly water rate after the completion of the proposed project. Current water rates are $20.00 per month but cannot finance the necessary repairs and improvements or cover the water system’s existing expenses – with or without the expected growth within city limits. An increase to monthly rates of $55.00 per month will put Athol slightly below the average water rates for residential users in Idaho. Keeping the rates below average will be of benefit to the LMI individuals that already struggle to afford the cost of living in Kootenai County which is higher than all the surrounding counties in Region I of Idaho. Property insurance rates are dependent upon fire suppression rating scores, and reduced insurance rates can ease the financial burden of the cost of living for LMI individuals. The current fire rating score for Athol is a soft 4. This means that if another fire breaks out, the 4 will increase to a 6. With the current soft 4 rating, no commercial properties can be constructed. This project can improve the Timberlake Fire District’s fire insurance rating to a solid 4, which will be a significant savings to commercial properties by 5-10%, and residential properties by about 1-2%.


2. What will be the project’s permanent impacts (i.e., meeting compliance order, clean water, energy conservation, service life, improved environmental health, etc.)?

At this time, the City of Athol does not meet DEQ’s requirement of a minimum of 40 psi throughout the system during peak hour demands. This is a system-wide problem for the City. The only way to ensure compliance with this requirement is for the City to proceed with the project improvements that will increase the overall system pressure. This is one of the highest priorities of the project. With the completion of the project, the City’s water system will see an increase in service life and fire flows. Without the necessary improvements, the two primary wells will continue to deteriorate and will eventually be in such disrepair that they will be unusable. A new 300,000-gallon standpipe at the old cemetery tank location will ensure continued water service to Athol’s water users. Additionally, the replacement of about 6,520 lineal feet of small diameter pipe with new 8- and 10-inch diameter pipe will increase the flow in segments of the system where low pressure is a problem, thereby reducing the risk of pipe collapse during times of peak hour and fire flow conditions. Finally, the City will see a reduction in health and safety risks to water quality. Historically, the City has met state water quality standards, but low pressures, lack of storage redundancy, and inadequate fire flows put the system at risk. Low pressure and circulation in the system can result in sediment and bacteria entering the system, allowing dangerous pathogens such as Coliform and E. coli to grow and contaminate the drinking water. These would pose a very serious health threat to the users of the City’s water system. This project will meet DEQ’s minimum static pressure requirements for public water systems and provide increased service life and improved water pressure for the community.

Project Categories

Planning, Previous Actions, and Schedule

Design Professional The City solicited engineering services in May 2016 for facility planning and final design/construction oversight. Out of six proposals received, the City selected Keller Associates. The procurement documents are in Appendix C.

Grant Administration The City followed the ICDBG procurement requirements in solicitation of a certified grant administrator. All documents are in Appendix C.

Description: Chlorina, the orange devil monster (representing system improvements) is preventing icky stuff from entering the water system.


Plans or Studies Keller Associates completed the Athol Water Master Plan in August 2018. It included information on project planning, existing facilities, need, alternatives considered, selection of alternatives, proposed projects by phases and conclusions and recommendations. The Table of Contents is in Appendix E. Identify if the plan or study has been approved by the applicable regulatory agency and applicable funding agency (such as DEQ, USDA-RD or ITD). If not, what is the status of the review? The Water Master Plan has technical approval of the facility plan which is included in Appendix E. USDA-RD is currently reviewing the plan. Also, if applicable, what is the status of the Environmental Information Document or Review? USDA-Rural Development has determined that the project is a categorical exclusion with no report. As a result, the Panhandle Area Council initiated the environmental review on November 14, 2018.

Project Site – Field Notes Review The Field Notes Review checklist has been completed which begins on page 14 of this application.

Agency Viability For Water and Sewer Projects: A. Utility Rate Review

The utility rates were reviewed by the Idaho Rural Water Association. The June 2018 report is in Appendix G.

B. Financial Profile Worksheet

To be calculated by the Idaho Department of Commerce based on the Financial Profile on page 11 of this application.

Property Acquisition To be calculated by Idaho Department of Commerce staff based on information provided under the General Project Description, Project Land and Permits (page 7) and Appendix F.

Funding Commitments To be calculated by Idaho Department of Commerce staff based on match commitment letters in Appendix E.


Schedule Points will be awarded based on the project schedule completed in the general application located on page 10.

Administrative Capacity

A. Capacity to manage.

Administrative Capacity is located on page 4 of this application.

B. Has the applicant completed a Section 504 Americans with Disabilities Act Self-Assessment and Transition Plan? Yes No Unknown The City should have completed a 504/ADA Self-Assessment and Transition Plan with their 1996 CDBG project. The Council and City Staff have all changed since, and there is no “document” to be found at the City or at the Idaho Department of Commerce. The City will be completing this process following the new guidelines provided in the 2018 Grant Administration Handbook upon grant award.

C. Affirmatively Furthering Fair Housing

This information is found with the Fair Housing questions on page 12 of this application.

Cost Analysis The Detailed Cost Analysis is on page 10 of this application, and the Opinion of Probable Cost is located in Appendix E.