Senator Carla Nelson (R-Rochester) today celebrated the Minnesota Public Facilities Authority’s (PFA) approval of $80 million in financing for a major wastewater treatment plant upgrade in Rochester. The total project, valued at $91.3 million, is essential for maintaining and enhancing Rochester’s water infrastructure. This upgrade will improve the plant’s efficiency, reduce operational costs, and save money for local taxpayers.

The PFA’s financial support includes a $7 million Point Source Implementation Grant, a $72 million low-interest loan, and $1 million in loan forgiveness. These funds will help Rochester modernize its wastewater reclamation plant and biologically remove phosphorus, reducing reliance on chemicals and lowering energy consumption. The project is expected to save Rochester taxpayers approximately $8.1 million in interest compared to traditional market financing.

“This is great news for Rochester! The funding for our wastewater treatment project ensures that we are investing in a cleaner and healthier future for our community,” Senator Nelson said. “This project strengthens our infrastructure, protects our natural resources, and brings real savings to taxpayers here.”

The wastewater treatment upgrade, which has been nearly a decade in the making, kicked off with a groundbreaking ceremony in August. The improvements are designed to meet more stringent phosphorus limits, prevent algae blooms downstream, and reduce energy and chemical costs. The plant, which reclaims approximately 13 million gallons of wastewater daily, will remain operational during the multi-phase construction, ensuring no disruption in service to residents.

In addition to the state financing, nearly $1 million in federal funds is also supporting the project. Once complete, the upgrades are expected to save the city $230,000 annually in energy costs and $170,000 in chemical expenses. The city has committed over $7 million to engineering, design, and initial supply purchases to ensure the project stays on track.