The TBRA provides funds to clean up polluted land to make it available for economic redevelopment, job retention and job growth or the production of affordable housing to enhance the tax base of the recipient municipality. TBRA funds are raised by a legislatively authorized levy capped at $5 million annually. The funds are available annually with applications accepted twice each year (the first regular business day on or after May 1 and November 1). The TBRA is coordinated with complementary programs at the Minnesota Pollution Control Agency (MPCA), the Minnesota Department of Employment and Economic Development (DEED), Hennepin County and Ramsey County.

2. Who is eligible to apply for TBRA grants?

Statutory or home rule charter cities or towns that are participating in the Metropolitan Livable Communities Housing Incentives Program are eligible to apply. Metropolitan counties and local development authorities (e.g., Housing and Redevelopment Authority, Economic Development Authority or Port Authority) are also eligible to apply for projects that are located in Livable Communities Act (LCA)-participating communities.

Applications will be determined ineligible for funding if:

an analysis of the proposal determines the funding is not needed in order for the project to proceed;
eligible cleanup costs are equal to one percent (1%) or less than the total project costs. It is expected that modest cleanup costs can be reasonably absorbed in the overall project costs without Council assistance.
upon review the application does not score at least 40% (54 points) of the total points available to be awarded (135 points)
the proposed redevelopment activities include a residential element, but do not include an affordable housing component within the project.

Applications may be determined ineligible for funding if:

adequate clean-up funding is available from other public and private sources;
the project requires extensive new (regional) infrastructure beyond that which is already planned
the proposal is not consistent with the redevelopment component of the municipality's comprehensive plan (Minn. Stat. section 473.859, Subd. 5).

3. What criteria are used to determine which applications are eligible for TBRA funding?

Applications will be evaluated and scored according to the extent to which they address the following criteria as compared with other competing proposals in the grant cycle:

Clean up polluted land in the metropolitan area
Up to 25 points are available to redevelopment projects that use funds to clean up the most polluted sites. The Minnesota Pollution Control Agency helps evaluate the cleanup plans based on the environmental threat and health risks found at each project site. The evaluation includes assessing the contamination’s threat to ground and surface water.
Enhance the tax base of communities
Up to 25 points are available to a redevelopment project based on the projected amount of tax base increase relative to the amount of TBRA funding requested.
Add and/or preserve living wage jobs or produce affordable housing.
Up to 25 points are available to projects that add or preserve the number of living wage jobs or add new affordable housing units within the seven-county region. Points are assigned for the number of new jobs and/or retained jobs, the number of living wage jobs and the number of jobs in areas of concentrated poverty. Points for affordable housing are assigned for the number of new ownership units affordable to buyers at 80% of the area median income (AMI) or lower or rental units affordable to individuals earning 50% AMI or lower.
Promote the policies of the Metropolitan Council’s development guide (2030 Regional Development Framework)
Up to 25 points are available to redevelopment projects that are designed and implemented in a way that directly support the Council’s development goals, existing regional investments and regional system’s plans. Projects that demonstrate compact and efficient development, provide a range of housing choices, use existing sewer services efficiently, use best management practices for handling storm water, are linked to existing parks or walking trails, conserve vital natural resources, promote different transportation options (e.g. auto, transit, bicycle, pedestrian) and help reduce traffic congestion are encouraged.
Additional Factors
- Up to 35 points are available for projects that (1) demonstrate they are ready to begin implementing the required cleanup and redevelopment; (2) utilize energy, water, and other natural resources efficiently; (3) include sustainable building practices in the redevelopment; and (4) represent innovative partnerships.

- Projects that have received a prior TBRA contamination cleanup grant award may also quality for additional points if the project has encountered significant unanticipated contamination or contamination found in significantly higher amounts than originally estimated.

- Points are also awarded to reward the applicant community’s success in adding and maintaining affordable housing in the region.

4. What investigation costs are eligible for TBRA grants?

TBRA applicants must submit a Response Action Plan and/or Hazardous Materials report with their cleanup application. Many recently incurred environmental investigation costs may be reimbursed if a TBRA applicant’s cleanup and redevelopment project is recommended for funding. Grant funds cannot be used for environmental investigation only.

TBRA grant funds are eligible to be used for (1) Phase I and Phase II environmental site investigations; (2) preparation of Response Action Plans (RAPs) developed in conjunction with the MPCA for hazardous waste or Development Response Action Plans (DRAPs) developed in conjunction with the PCA for petroleum; or (3) preparation of abatement plans that meet AHERA (Asbestos Hazard Emergency Response Act) and Minnesota Department of Health (MDH) standards for asbestos or plans that meet MDH standards for lead-based paint.

The environmental investigation work must be done within the 180-days prior to the TBRA application deadline for the proposed redevelopment. The costs for the investigation work will only be reimbursed if the TBRA applicant’s overall project is recommended for funding.

5. What specific cleanup costs related to soil and ground water contamination are eligible for TBRA funds?

TBRA funding can help pay for much of the cost difference between building on a contaminated site and building on a clean site. Grants may be used to pay for soil and ground water contamination cleanup activities that are required as part of a Response Action Plan approved by the Minnesota Pollution Control Agency.

Some typical eligible soil remediation activities include excavation, transportation, disposal fees for removal of contaminated soil, back fill and grading of clean soil. The costs for replacing contaminated fill with clean fill are eligible to the extent that the soil replacement is related to removing contamination. In order to minimize the amount of funds needed to replace contaminated soils, applicants are encouraged to design and implement projects in a way that minimizes the amount of backfill needed to replace the contaminated soils (e.g. underground parking, basements). Any underground use must be consistent with the approved RAP. In-situ remediation costs are also eligible.

Some typical ground water costs include pumping and treating of contaminated water and installation of ground water monitoring wells. Actions documenting environmental monitoring systems or the successful implementation of a RAP such as technical writing are eligible for reimbursement.

Eligible cleanup activities must be incurred after grant funding has been awarded. Grant funds are paid on a reimbursement basis. Grant funds for costs incurred prior to the award date apply only to cleanups that have previously been awarded grant funds for the same redevelopment project and must meet the conditions outlined in question number 12 below. Projects that have received TBRA funds and requested a RAP amendment and received approval from the MPCA must submit the updated documents to the TBRA coordinator prior to submission of the corresponding payment request for soil or groundwater remediation.

Only soil remediation costs directly related to contaminated soil and ground water are eligible for TBRA grant funds. Examples of ineligible soil remediation costs:

Excess contaminated soil that does not exceed the appropriate cleanup standards (Tier I Residential or Tier II Industrial) but does not meet the standard for “clean fill” is eligible for reimbursement of disposal costs only. (The standard costs for excavating, loading and transporting of mildly contaminated soil are not eligible.)
The costs related to improving the geotechnical qualities of the soil for building purposes are not eligible.
The cost of removing clean fill or excess clean soil is also not eligible.

6. Can TBRA grant funds be used to clean up petroleum based contamination?

Costs for remediation of contamination related to above and below ground petroleum storage tanks and other petroleum based contamination are eligible for consideration only after all available Petrofund sources have been utilized. The Petrofund is administered by the Minnesota Department of Commerce.

TBRA grant funds may be used to reimburse the “hard” cleanup project costs associated with petroleum-impacted soil and ground water that are required as part of a Development Response Action Plan approved by the Minnesota Pollution Control Agency. Grant funds are paid on a reimbursement basis.

7. Are the disposal costs of other hazardous wastes, non-hazardous wastes and debris eligible for TBRA funding?

Remediation funds for building renovation or pre-demolition abatement of asbestos or lead-based paint are eligible. Costs for abating small quantities of other types of hazardous contamination found in buildings such as mercury in thermostats, oils in door closers, and other contamination related to HVAC systems are generally not eligible for reimbursement.

Non-hazardous wastes such as household waste and solid waste including construction debris and old tires are not eligible for TBRA grant funding.

8. If the project includes a housing component, is a portion required to be affordable?

Yes, if the proposed redevelopment includes a housing component, a portion of this housing is required to be affordable. Ownership units are considered affordable if they can be purchased by buyers earning 80% of the area median income (AMI). For 2008 that includes any units for sale at $214,900 or less. Affordable rental units are those renting at the Low-Income Housing Tax Credit rent limits based on 50% of the AMI. For 2008, the maximum rental amount to be affordable at this level is based on the number of bedrooms as follows: efficiency $707, 1-bedroom $758, 2-bedrooms $910, 3-bedrooms $1,051, 4-bedrooms $1,172. Projects are evaluated on the amount of affordable housing units to be provided relative to the amount of TBRA funding requested for the project.

9. Is funding for site acquisition eligible?

Site acquisition costs are generally not eligible unless they are a part of the 13% match to a DEED funded project.

10. Is funding for building demolition eligible?

Building demolition costs are eligible when the removal of a structure is identified as necessary in an MPCA approved Response Action Plan (RAP) in order to gain access to remediate soil and ground water contamination. Pre-demolition costs related to the abatement of asbestos or lead-based paint are eligible. Demolition costs requested must be proportionate to the footprint of the soil contamination removed.

Interior demolition costs are typically not eligible unless it can be demonstrated that specified demolition activities are required to access asbestos or lead-based paint that has been verified by a bulk sample analysis in a hazardous materials report accompanying a TBRA application.

11. Can a project be funded if eminent domain was used for acquisition?

Beginning in 2006, no applicant for a TBRA grant (or other LCA fund) is eligible for grant funds if the project for which funding is requested used eminent domain power to acquire the property unless eminent domain was used for a “public use or public purpose.” The term “public use or public purpose” as it pertains to this policy includes

mitigation of a blighted area
remediation of an environmentally contaminated area
reduction of abandoned property or
removal of a public nuisance

as the bold terms above are defined in Minnesota statute. See the Council’s policy restricting Metropolitan Council LCA grants for projects using eminent domain.

12. Can funds be requested for cleanup costs incurred between grant rounds?

Cleanup activities that occurred prior to a grant award are not eligible for reimbursement unless the applicant has previously been awarded cleanup funding for the same redevelopment project in a prior funding cycle and the costs are expressly authorized by the Council.

In order for contamination cleanup activities incurred prior to the TBRA funding award date to be considered eligible for funding applicants must meet the following four conditions:

The cleanup work for which funding is being requested must have been done no earlier than 180 days before the TBRA application deadline (November 1st or May 1st)
For soil and ground water remediation work the MPCA must have approved a RAP for the project prior to commencing work; for asbestos abatement a Minnesota Department of Health (MDH) licensed inspector/contractor must have completed an asbestos evaluation and plan according to Asbestos Hazard Emergency Response Act (AHERA) standards; for lead-based paint abatement an MDH licensed inspector/contractor must have completed a lead-based paint evaluation according to MDH standards
The applicant must have contacted the Metropolitan Council TBRA staff prior to commencing any cleanup work. A site visit with the applicant and TBRA staff is recommend so that there is clear understanding of the project and the proposed remediation.
Before starting the cleanup work the applicant must provide a letter to the Council TBRA staff that explains why the applicant needs to commence the cleanup work prior to the TBRA application deadline and states:

The applicant is going to start project cleanup work before the next TBRA application deadline; and the applicant has the appropriate approvals (see B above)
The applicant understands that while this notification process makes the work done after the Council receives the letter eligible for consideration in the next TBRA grant round, it DOES NOT commit the Council to funding the project.

13. Can previously funded projects get additional TBRA funding if they encounter additional cleanup costs?

Applicants that have already been awarded TBRA grant funds are eligible to apply for additional funds for a project if during the clean up

significantly larger quantities of contamination are encountered than estimated in (an) environmental investigation(s) and/or RAP submitted with the prior grant application; or
significant amounts of contamination not identified in the prior environmental investigation(s) are encountered.

Applicants requesting supplemental funding for soil remediation must provide an amended RAP or provide documentation that the MPCA has approved the changes for which additional funding is being requested. Applicants requesting supplemental funding for asbestos and/or lead-based paint abatement must provide documentation that a licensed inspector/contractor has been involved in assessing the additional abatement needed and that the additional cleanup work (if any) was done according to Asbestos Hazard Emergency Responses Act (AHERA) and MDH standards for asbestos and MDH standards for lead-based paint.

Additional contamination cleanup activities incurred prior to the TBRA funding award date for the grant cycle in which funding was requested must meet the conditions described in question 12 to be eligible for reimbursement.

14. Is the funding targeted for Minneapolis and Saint Paul?

No, the TBRA program reserves at least one-quarter of the funding available in each grant cycle for projects outside the two core cities and restricts any one municipality from receiving more than half the funding in any funding round.

15. How can I learn more about brownfield cleanup funding opportunities?

Workshops are held prior to every spring and fall grant cycle to provide information on brownfield cleanup funding programs and opportunities available in Minnesota. The workshops are co-hosted by the Metropolitan Council and the Minnesota Department of Employment and Economic Development and include representatives from the Minnesota Pollution Control Agency, the Minnesota Department of Health, the Minnesota Department of Agriculture, the Minnesota Department of Commerce and other organizations working to redevelop brownfield properties. For details about future workshops, contact the TBRA grant coordinator or watch the Council's online list of Upcoming Events.

16. Is a local funding match required?

o funding match is required for TBRA grants. However, in the application evaluation process points area awarded for projects that involve multiple financial partners including the private sector, various units of government and the non-profit sector. TBRA funds may be used as part of the match required for a grant to the Contamination Cleanup Grant Program at Minnesota Department of Employment and Economic Development (DEED).

TBRA funds may be requested to provide up to 13% of the project cleanup costs as part of the 25% local match for clean up costs required by the Contamination Cleanup Grant Program at DEED. Applicants may request more than 13% of the cleanup costs from TBRA in unmatched funds. However, DEED’s program requires that 12% of the total cleanup costs be from local funds.

17. If a TBRA application is funded, what are the obligations that accompany the grant?

Recipients of a TBRA grant are expected to draw funds within the first year of funding and complete the cleanup within two years of a grant award. Like other Livable Communities Act grant programs, grant funds are a reimbursement for work completed. In addition, annual progress reports are required for up to five years after the end of the grant term that includes information on jobs, net tax capacity, property taxes and other development outcomes.