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US Environmental Protection Agency OMB Control No. 2040-0292 <br /> WIFIA Program EPA Form No. 6100-032 <br /> Application Approval expires XX/XX/XXXX <br />____________________________________________________________________________________ <br />10 <br />The Comprehensive Project was involved in complex Federal litigation involving Federal and <br />state environmental claims, but recently on April 8, 2019, Judge John R. Tunheim, Chief Judge <br />of the U.S. District Court for the District of Minnesota, modified a prior injunction to allow <br />construction of the diversion inlet structure and Wild Rice River Structure, begin construction <br />on the western tieback, and to commence the Public Private Partnership (“P3”) process for the DCAI. Judge Tunheim ordered that these major components of the Comprehensive Project can <br />commence construction, which followed the issuance of a permit by the Minnesota Department <br />of Natural Resources (“MN DNR”) for the Comprehensive Project. The MN permit is currently <br />being appealed to an administrative law judge. The appeal, however, is not expected to change <br />the terms and conditions of the MN DNR permit because it is the function of the administrative <br />law judge to draft a report following consideration of the appeal and to provide such report <br />back to the MN DNR to make a final decision on the permit. The appeal is expected to be <br />concluded by the time the requested EPA WIFIA loan is set to close, and it does not impact any <br />of the Eligible Project costs. <br />On June 24, 2019, the Buffalo-Red River Watershed District board denied a watershed permit <br />relating to the SEAI. At that meeting, the Buffalo-Red River Watershed District board originally <br />voted 3-3 regarding the permit approval, and told the Diversion Authority that they would no <br />longer address the permit at the meeting. All Diversion Authority representatives and press left <br />the meeting. Without further notice to the Diversion Authority, press or public, the Buffalo-Red <br />River Watershed District took the matter up and denied the permit. On June 27, 2019, the <br />Diversion Authority Board voted to authorize litigation counsel, Dorsey and Whitney, to take all <br />necessary action to appeal the June 24, 2019, decision of the Buffalo-Red River Watershed <br />District relating to the Diversion Authority’s permit application and to explore other legal <br />actions relating to the denial of the permit application. On roll call, the motion carried <br />unanimously. Buffalo-Red River Watershed District’s denial of this permit does not affect any <br />of the Eligible Project costs. <br />3. List the historical, if available, or projected customer concentration analysis, including a <br />breakdown of customers by class (residential, non-residential, commercial, bulk, etc.), usage, and <br />revenues for the past 12 months and a list of the top ten (10) customers by percentage of <br />revenues. <br /> <br />This question does not apply to the Comprehensive Project. The Diversion Authority is unable <br />to provide a historical or projected customer concentration analysis because the <br />Comprehensive Project is not a traditional water and sewer project in the sense that it provides <br />water or sewer services to customers. The Comprehensive Project is a public storm water <br />control project and cannot provide information related to projected customer usage and <br />revenues. <br /> <br />4. Provide the average residential customer combined water and sewer rates as a percentage of <br />Median Household Income. <br /> <br />This question does not apply to the Comprehensive Project. The Diversion Authority is unable <br />to provide average residential customer combined water and sewer rates as a percentage of <br />Median Household Income because the Comprehensive Project is not a traditional water and