Grand Marais awarded $1 million in federal funding for wastewater treatment facility

The City of Grand Marais will receive $1 million in federal funding for improvements to the Grand Marais Wastewater Treatment Facility following congressional approval of an appropriations bill.

City officials have been working for several years to address needed improvements to its aging wastewater treatment facility, which was originally constructed in the 1940s. The last major infrastructure improvements to the facility were completed in 1988.

Although the improvements have been a focus of the city council for years, the wastewater treatment facility was recently named the city’s top priority for 2026, Grand Marais Mayor Tracy Benson said.

“We’ve already set our goals, and this is number one,” Benson said. “And it will be until it’s done.”

Federal funding for the Grand Marais Wastewater Treatment Facility was earmarked as a congressionally directed spending item within FY 2026 appropriations for the U.S. Environmental Protection Agency’s State and Tribal Assistance Grants (STAG) account for water infrastructure projects. In addition to Grand Marais, several towns in Minnesota, such as Keewatin, Floodwood, Cook, and Gilman, also were awarded federal funding for wastewater improvement projects.

Minnesota Senators Amy Klobuchar and Tina Smith have been actively involved in securing federal funding for wastewater treatment facility projects through a process called “Congressionally Directed Spending,” according to a Monday press release shared with WTIP.

“Grand Marais’s current wastewater treatment facility can’t meet the needs of those who call the city home and the more than a million visitors the city hosts annually,” said Klobuchar. “This federal funding will help Grand Marais make improvements to this critical public service and protect Lake Superior.”

Sen. Smith said, “In the land of 10,000 lakes, we take water seriously, and that includes wastewater. Upgrading wastewater treatment in Grand Marais is a win for the folks living there, tourists visiting this beautiful region, and the health of Lake Superior.”

In the past year, several other state leaders have visited Grand Marais and spoken with city officials about the need for federal and state funding for the wastewater treatment facility.

“We’ve had very positive feedback from our legislators who came to visit, but now it’s time for them to go to work, and there are lots of needs around our state,” Benson said.

Although the City of Grand Marais has secured $1 million in federal funding, Benson said a significant amount of additional funding is needed to complete the improvement project.

During a March 2023 public utilities commission meeting, AE2S, a Duluth-based engineering firm, presented a wastewater treatment facility renewal plan outlining the facility’s condition and recommended improvements.

AE2S estimated the improvement costs would total nearly $9 million.

The federal legislation will now go to President Donald Trump’s desk to be signed into law. According to the Monday press release from Klobuchar’s office, once signed into law, funding for the wastewater treatment facility is expected to be distributed over the next several months.

Following the announcement that the city secured $1 million in federal funding, WTIP’s Kalli Hawkins spoke with Grand Marais Mayor Tracy Benson. The interview audio is below.

Kalli Hawkins January 19, 2026