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Combined Notice Finding of No Significant Impact and Notice of Intent to Request Release of Funds Small Cities Development Program State of Minnesota City of Dalton, PO Box 538 Dalton, MN 56324 (218) 589-8734 June 12, 2023 TO ALL INTERESTED PARTIES, GROUPS AND PERSONS: The purpose of this notice is to identify two separate but related actions to be taken by the City of Dalton (hereinafter referred to as the Grantee). One, the Grantee has made a Finding of No Significant Impact on project activities (see the Finding of No Significant Impact, below) and two, they propose to request the Business and Community Development Division, Small Cities Development Program, Minnesota Department of Employment and Economic Development (DEED BCD), to release Federal funds (see Notice of Intent to request Release of Funds, below) under Title I of the Housing and Community Development Act of 1974, as amended (PL 98-181) for the following project: The proposed project will remove the existing 25,000-gallon water tower and replace it with a new 50,000-gallon water tower. The existing water tower would remain in service until the new water tower has been constructed. The project will also replace the water treatment plant controls and install a backup power generator for the water system on the existing site. The total project cost is estimated at $3,346,690. The SCDP grant amount that is being requested is $600,000. Finding of No Significant Impact It has been determined such request for release of funds will not constitute an action significantly affecting the quality of the human environment and the Grantee has decided not to prepare an Environmental Impact Statement under the National Environmental Policy Act of 1969 (PL 91-190). The reasons not to prepare an Environmental Impact Statement are as follows: Airport Hazards: There are no airports near the project site. The closest airport is approximately 11 miles northwest of the City of Dalton. Coastal Barrier Resources: The project is not located in a Coastal Barrier Resource Service (CBRS) area and has no impact on the CBRS area. The nearest CBRS area is MN-01 located near Duluth and about 200 miles northeast of Dalton. Flood Insurance/ Floodplain Management: The project area is located within an unmapped area by the Federal Emergency Management Agency (FEMA). The City of Dalton is also an unmapped area with the county. The project does not anticipate impacting a floodplain or floodplain storage. Otter Tail County is listed on the FEMA Communities Participating in the National Flood Program, but the City of Dalton is not designated as within any floodplain area. Clean Air: The project is not located within a non-attainment area. Air quality currently in the area is considered “Good” with a PM2.5=40. Construction from the project has potential to create minor dust issues. The contract specification will require minimal dust and air impacts. Coastal Zone Management: The project is not located within a Coastal Zone Management (CZM) area. The only CZM area in Minnesota is located along the coast of Lake Superior in northern Minnesota approximately 200 miles northeast. Contamination and Toxic Substances/Explosive and Flammable Hazards: Within the City of Dalton there are known contamination sites and hazardous operations handling conventional fuels or chemicals of an explosive or flammable nature. The potential contamination sites were located using the MPCAs What’s in my Neighborhood website and the EPA NEPAssist Tool. None of these sites identified are located within the project area and none are anticipated to be encountered during construction. Endangered Species: The IPaC identified one endangered species (northern long-eared bat) and one proposed endangered species (tricolored bat). Tree removal is not anticipated for the project, so no impacts to these species are anticipated. The Monarch Butterfly is also a candidate species that is listed in the area. There are no designated critical habitat areas within the project area. Farmlands Protection: The project construction will occur on the existing water tower site and the water treatment plant. The site is already developed and within the City limits. No agricultural land will be impacted by the project. Historic Preservation: A SHPO data request was completed and showed no archaeological records for the project area. There is one historic bridge and one historic building located within the City of Dalton. No impact on these historic sites is anticipated. A Tribal Consultation Letter and project location map was sent to multiple local tribes. The TDAT system tool was used to determine which local tribes would receive the letter. One response was received from the Spirit Lake Tribe stating that no cultural resources should be adversely affected by the project and no additional cultural resource work is necessary. Noise Abatement and Control: The project will generate normal construction noise and will be temporary during construction. It is not anticipated that the project will drastically increase the noise to the area. However, if the level of noise that is created by the project exceeds the thresholds allowed by law or becomes a health hazard, steps will be taken to mitigate the noise levels. Sole Source Aquifer: There are no Sole Source Aquifers (SSA) located within the project area. The only SSA in Minnesota is located approximately 100 miles east of the project, near Mille Lacs Lake. Wetlands Protection: Project construction will occur on the existing water tower site and will not impact any wetlands. Wild and Scenic Rivers: The project area does not contain any state or federally protected Wild and Scenic Rivers. Environmental Justice: The City of Dalton is predominantly rural, white, and a medium income community. The proposed project benefits the entire community with no discrimination between race, ethnicity, income, etc. An Environmental Review Record respecting this project has been made by the Grantee that documents the environmental review of the project and fully sets forth the reasons why such statement is not required. The Environmental Review Record is on file and is available for public examination and copying, upon request, at 107 West Main Street, Dalton, MN 56324 between the hours of 8:00am and 4:00pm. No further environmental review of this project is to be conducted before the request for release of federal funds. Public Comments on Finding All interested agencies, groups and persons disagreeing with this decision are invited to submit written comments for consideration by the Grantee to 107 West Main Street, Dalton, MN 56324 on or before June 27, 2023. All comments received will be considered and the Grantee will not request the release of federal funds or take any administrative action on this project before the date specified in the preceding sentence. Notice of Intent to Request Release of Funds On or about June 28, 2023, the City of Dalton will request the Business and Community Development Division, Small Cities Development Program, Minnesota Department of Employment and Economic Development (DEED BCD), to release Federal funds under Title I of the Housing and Community Development Act of 1974, as amended (PL 98-181) for the project described above. The Grantee will undertake the project described above with Block Grant funds from DEED under Title I of the Housing and Community Development Act of 1974. The Grantee is certifying to DEED that Julie Walyatne, in her official capacity as certifying officer, Mayor, consent to accept the jurisdiction of the Federal courts if an action is brought to enforce responsibilities in relation to environmental reviews, decision making and action; and that these responsibilities have been satisfied. The legal effect of the certification is that upon its approval, the Grantee may use Block Grant funds and DEED and the U.S. Department of Housing and Urban Development will have satisfied their responsibilities under the National Environmental Policy Act of 1969. Objections to State Release of Funds DEED BCD will accept objections to its approval of the release of funds and acceptance of the certification for a period of 15 days (published) following the anticipated submission date or its actual receipt of the request, whichever is later, only for one of the following reasons: (a) that the certification was not in fact executed by the Chief Executive Officer or other officer of the Grantee approved by BCD; (b) that the Grantee’s ERR for the project indicates omission of a required decision, finding or step applicable to the project in the environmental review process; (c) the Grantee or its agents have incurred costs not authorized at 24 CFR Part 58.22 before approval of a release of funds by BCD; or (d) another Federal agency acting pursuant to 24 CFR Part 1504 has submitted a written finding that the project is unsatisfactory from the standpoint of environmental quality. Objections must be prepared and submitted in accordance with the required procedure (24 CFR, Part 58.76) and may be addressed to Director, Small Cities Development Program, Business and Community Development Division, Minnesota Department of Employment and Economic Development, 1st National Bank Building, 332 Minnesota Street, Attn: Basement Mail Room, St. Paul, Minnesota 55101-1351. Potential objectors should contact DEED BCD at 651-259-7449 to verify the actual last day of the objection period. Julie Walvatne, Mayor PO Box 538 Dalton, MN 56324 (Published June 14, 2023) Airport Hazards: There are no airports near the project site. The closest airport is approximately 11 miles northwest of the City of Dalton. Coastal Barrier Resources: The project is not located in a Coastal Barrier Resource Service (CBRS) area and has no impact on the CBRS area. The nearest CBRS area is MN-01 located near Duluth and about 200 miles northeast of Dalton. Flood Insurance/ Floodplain Management: The project area is located within an unmapped area by the Federal Emergency Management Agency (FEMA). The City of Dalton is also an unmapped area with the county. The project does not anticipate impacting a floodplain or floodplain storage. Otter Tail County is listed on the FEMA Communities Participating in the National Flood Program, but the City of Dalton is not designated as within any floodplain area. Clean Air: The project is not located within a non-attainment area. Air quality currently in the area is considered “Good” with a PM2.5=40. Construction from the project has potential to create minor dust issues. The contract specification will require minimal dust and air impacts. Coastal Zone Management: The project is not located within a Coastal Zone Management (CZM) area. The only CZM area in Minnesota is located along the coast of Lake Superior in northern Minnesota approximately 200 miles northeast. Contamination and Toxic Substances/ Explosive and Flammable Hazards: Within the City of Dalton there are known contamination sites and hazardous operations handling conventional fuels or chemicals of an explosive or flammable nature. The potential contamination sites were located using the MPCAs What’s in my Neighborhood website and the EPA NEPAssist Tool. None of these sites identified are located within the project area and none are anticipated to be encountered during construction. Endangered Species: The IPaC identified one endangered species (northern long-eared bat) and one proposed endangered species (tricolored bat). Tree removal is not anticipated for the project, so no impacts to these species are anticipated. The Monarch Butterfly is also a candidate species that is listed in the area. There are no designated critical habitat areas within the project area. Farmlands Protection: The project construction will occur on the existing water tower site and the water treatment plant. The site is already developed and within the City limits. No agricultural land will be impacted by the project. Historic Preservation: A SHPO data request was completed and showed no archaeological records for the project area. There is one historic bridge and one historic building located within the City of Dalton. No impact on these historic sites is anticipated. A Tribal Consultation Letter and project location map was sent to multiple local tribes. The TDAT system tool was used to determine which local tribes would receive the letter. One response was received from the Spirit Lake Tribe stating that no cultural resources should be adversely affected by the project and no additional cultural resource work is necessary. Noise Abatement and Control: The project will generate normal construction noise and will be temporary during construction. It is not anticipated that the project will drastically increase the noise to the area. However, if the level of noise that is created by the project exceeds the thresholds allowed by law or becomes a health hazard, steps will be taken to mitigate the noise levels. Sole Source Aquifer: There are no Sole Source Aquifers (SSA) located within the project area. The only SSA in Minnesota is located approximately 100 miles east of the project, near Mille Lacs Lake. Wetlands Protection: Project construction will occur on the existing water tower site and will not impact any wetlands. Wild and Scenic Rivers: The project area does not contain any state or federally protected Wild and Scenic Rivers. Environmental Justice: The City of Dalton is predominantly rural, white, and a medium income community. The proposed project benefits the entire community with no discrimination between race, ethnicity, income, etc. An Environmental Review Record respecting this project has been made by the Grantee that documents the environmental review of the project and fully sets forth the reasons why such statement is not required. The Environmental Review Record is on file and is available for public examination and copying, upon request, at 107 West Main Street, Dalton, MN 56324 between the hours of 8:00am and 4:00pm. No further environmental review of this project is to be conducted before the request for release of federal funds. Public Comments on Finding All interested agencies, groups and persons disagreeing with this decision are invited to submit written comments for consideration by the Grantee to 107 West Main Street, Dalton, MN 56324 on or before June 27, 2023. All comments received will be considered and the Grantee will not request the release of federal funds or take any administrative action on this project before the date specified in the preceding sentence. Notice of Intent to Request Release of Funds On or about June 28, 2023, the City of Dalton will request the Business and Community Development Division, Small Cities Development Program, Minnesota Department of Employment and Economic Development (DEED BCD), to release Federal funds under Title I of the Housing and Community Development Act of 1974, as amended (PL 98-181) for the project described above. The Grantee will undertake the project described above with Block Grant funds from DEED under Title I of the Housing and Community Development Act of 1974. The Grantee is certifying to DEED that Julie Walyatne, in her official capacity as certifying officer, Mayor, consent to accept the jurisdiction of the Federal courts if an action is brought to enforce responsibilities in relation to environmental reviews, decision making and action; and that these responsibilities have been satisfied. The legal effect of the certification is that upon its approval, the Grantee may use Block Grant funds and DEED and the U.S. Department of Housing and Urban Development will have satisfied their responsibilities under the National Environmental Policy Act of 1969. Objections to State Release of Funds DEED BCD will accept objections to its approval of the release of funds and acceptance of the certification for a period of 15 days (published) following the anticipated submission date or its actual receipt of the request, whichever is later, only for one of the following reasons: (a) that the certification was not in fact executed by the Chief Executive Officer or other officer of the Grantee approved by BCD; (b) that the Grantee’s ERR for the project indicates omission of a required decision, finding or step applicable to the project in the environmental review process; (c) the Grantee or its agents have incurred costs not authorized at 24 CFR Part 58.22 before approval of a release of funds by BCD; or (d) another Federal agency acting pursuant to 24 CFR Part 1504 has submitted a written finding that the project is unsatisfactory from the standpoint of environmental quality. Objections must be prepared and submitted in accordance with the required procedure (24 CFR, Part 58.76) and may be addressed to Director, Small Cities Development Program, Business and Community Development Division, Minnesota Department of Employment and Economic Development, 1st National Bank Building, 332 Minnesota Street, Attn: Basement Mail Room, St. Paul, Minnesota 55101-1351. Potential objectors should contact DEED BCD at 651-259-7449 to verify the actual last day of the objection period. Julie Walyatne, Mayor PO Box 538 Dalton, MN 56324 – Published June 14, 2023