The state of Minnesota reached a settlement with 3M in 2018 after alleging that the company’s releases of PFAS chemicals had damaged drinking water and natural resources in the Twin Cities east metropolitan area. After legal and other expenses were paid, about $720 million will be invested in drinking water and natural resource projects. The Minnesota Pollution Control Agency and Minnesota Department of Natural Resources are co-trustees of these funds.
Priority 1, about $700 million, is dedicated to drinking water projects in the Twin Cities east metropolitan area.
Priority 2, up to $20 million, is for projects that restore and enhance aquatic resources, wildlife, habitat, fishing, and outdoor recreational opportunities in the project area. The project area includes portions of Washington, Ramsey and Dakota counties and downstream areas of the Mississippi and St. Croix rivers affected by PFAS released by 3M.
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Eligible projects
Eligible projects must help to achieve one or more of the Priority 2 settlement goals:
- Goal 1 – Restore, protect, and enhance aquatic and terrestrial resources, wildlife, and habitats.
- Goal 2 – Increase understanding of fish tissue contamination, improve communication about PFAS-based fish consumption advisories, and identify and enhance alternative, non-contaminated fishing areas.
- Goal 3 – Improve and enhance outdoor recreational opportunities.
Applicants can apply for no less than $20,000 per project. No match is required.
50% or more of the proposed project activities must take place within the Priority 2 Project Area (see expandable map above) or download a Google Earth .kmz file here.
Application timeline
Projects will be reviewed through a two-phase process. Applicants first submitted a letter of intent — a brief project description and map to determine whether a project qualifies for Priority 2 funding — which was due by April 4, 2025. Successful applicants will be invited to submit a full application.
Below is the anticipated timeline.
- Request for Proposals opens
- Questions about Letters of Intent due
- Letters of Intent due
- Invitations sent to submit full applications
- Grant workshop
- Questions about full application due
- Full applications due
- Notice of project selection
February 5, 2025
March 28, 2025
April 4, 2025
June 2025 (estimated)
Late June 2025 (estimated)
Early August 2025 (estimated)
August 2025 (estimated)
December 2025 (estimated)
Application process
The Request for Proposal details the two-phase process:
- Project proposers submitted a Letter of Intent by 4:30 p.m. Friday, April 4 to be considered for funding.
- If a project is deemed eligible for funding based on the letter of intent, applicants will be given an application form and instructions to submit a full grant application.
Who may apply
- Local units of government (e.g., city, township, county)
- Soil and water conservation, watershed and lake improvement districts
- Area-wide agencies, including a county and/or regional planning agencies
- Nonprofit organizations
- Public school district and nonprofit schools
- Institutes of higher education (public and nonprofit)
- Port authorities
- Tribal governments
- Federal agencies
- State agencies (excludes direct funding to the DNR and MPCA; however, agencies may participate as collaborators)
Individuals and for-profit organizations may not apply.
Review process
Letter of Intent submissions will be assessed to determine whether the proposed projects are eligible for Priority 2 funding based on eight screening criteria. Projects considered eligible based on the information provided in the Letters of Intent will be given further feedback and invited to submit full grant applications. Applications will be scored based on the Evaluation Criteria in the RFP and ultimately selected by the DNR and MPCA Commissioners.
Contact
Questions and answers
Summaries of questions received and responses were summarized and posted on the program web page Questions were fielded until the application deadline.
- Project Types and Configuration
- How should proposers apply for a project with both recreational and restoration-related components? If the primary category is “Restoration of wildlife and habitats” but the project also touches on the other two categories, should all three boxes be checked? Recognizing that different funding levels have been identified for each category (e.g. $13M to restore wildlife and habitats versus $1M for fishing-related recreation), could checking more than one box limit the funding available?
In both the LOI and application forms, we ask project proposers to identify the primary category that most closely matches the project. Where projects would potentially fall into multiple categories, please select the category for which the project would provide the greatest benefit. We are receptive to and welcome such projects that have a broader range of project components. We’ve identified approximate appropriations for each funding category, but final appropriations will be based on the applications which are received.
The RFP indicates that ineligible projects include those focused on "sports and recreational facilities such as sport fields and play equipment, etc., and other recreation that is not focused on recreating in nature." Why are such projects ineligible?
The exclusion of these types of projects is consistent with language in the 3M Settlement. As noted in the RFP, the 3M Settlement indicates that funds for Priority 2 shall be utilized on “projects that restore and enhance aquatic resources, wildlife, habitat, fishing, resource improvement, and outdoor recreational opportunities in the East Metropolitan Area and in downstream areas of the Mississippi and St. Croix Rivers.” The Settlement also notes that example projects “may include, but are not limited to, aquatic habitat and water resource protection and restoration, terrestrial and water trails, boat ramps and/or fishing piers, restoration of wildlife habitat, and other terrestrial conservation and recreation improvements.”
The exclusion of such activities is also consistent with the Minnesota Environmental Response and Liability Act (MERLA), which states that Natural Resources Damage Assessment damages recovered by the State must be used for “the rehabilitation, restoration, or acquisition of natural resources to remedy injuries or losses to natural resources resulting from the release of a hazardous substance” (Minnesota Statutes 2024, Section 115B.20, Subd. 2 (4)). In this case, the release of PFAS into the environment has harmed wildlife and nature-based outdoor recreational activities (e.g., bird watching, fishing), and thus such activities are the focus of Priority 2 funding.
The DNR and MPCA have determined, based on the review of the settlement language and purpose, and the requirements of MERLA, that Priority 2 funding should be focused on natural resources-based outdoor recreation, and that sporting and playground facilities improvements are not eligible for funding.
How should potential projects best be configured? (e.g., what types of project activities should be included, whether to propose one large project vs. several smaller projects, etc.)
The DNR cannot provide advice to individual organizations regarding how to design their proposed projects. We encourage applicants to carefully review the criteria that will be used to screen and evaluate proposed projects (see pages 7-9 of the RFP) and to customize your proposal to best meet those criteria. Project proposers will be given an opportunity to discuss project alternatives and scalability in their application. It is also important to note that all applicants will receive feedback from the DNR about their LOI submissions, which may address concerns regarding proposed project components or activities.
Is habitat restoration on a private residence an eligible project?
Yes. Such projects will require coordination with and commitments from interested property owners. Restoration projects must be designed and constructed by the grantee (or their consultant/contractor) and all projects on private property will require a recorded property interest (such as a conservation easement or other deed restriction) that is to be held by a local government to ensure permanent protections. Applicants of such projects will be required to secure letters of support from each private landowner that is anticipated to be a part of the proposed project. Applications involving the purchase of property (including easements) must include a completed appraisal, which is not a reimbursable expense. Further detail is provided in Appendix A of the RFP.
- Grant Requirements
- Will grantees be able to select their contractors/consultants or will they be required to competitively bid?
Requirements for contractor selection will be detailed in the grant agreement. Templates for grant agreements can be found on this page under the “Forms and FAQs” tab. Governmental and non-governmental organizations have different contracting requirements and would be subject to different templates. Relevant provisions can be found in the “Contracting and Bidding Requirements” section of the grant agreement (Section 4.3).
In general, contracts are to be competitively awarded as much as possible and are required if costs exceed $10,000 (for non-governmental recipients) or $25,000 (for governmental recipients). If only one entity is reasonably able to meet the purpose and objectives, grantees must get State approval for sole source procurement. Since preliminary designs and cost estimates are provided at the time of application, it is recognized that some project proposers may secure professional/technical (P/T) assistance before this time. Governmental organizations are generally free to choose their preferred P/T contractors, unless their own internal procurement policies say otherwise. Non-governmental organizations do not have this option and must secure P/T contractors through a competitive bid process. Project proposers who would like to utilize the same P/T contractor for both pre-application and post-award work should consider securing a contractor that meets the requirements in the grant agreement. Otherwise, grantees would be required to re-bid or pay for the P/T contractor with non-grant funds.
Is there a deadline to spend projected grant funds? What is the project completion timeline?
Applications will give respondents an opportunity to detail their project timeline. Grantees will be expected to move their project forward on a timely basis, and reasonable grant deadlines will be assigned, based on the project activities proposed, to ensure timely completion. Grant deadlines may not exceed five years without approval.