Frequently Asked Questions

Questions about the City’s water system:

  • Oak Park Heights is addressing two critical infrastructure challenges.

    Aging infrastructure: A large portion of the City’s water distribution system, including watermains and water towers, has been in service for decades and requires preventative maintenance and updates to remain reliable and reduce the risk of costly emergency repairs.

    PFAS Management: Like most communities across the East Metro, Oak Park Heights is addressing trace levels of PFAS in the regional groundwater supply. While current levels remain within the federal requirements, higher or rising levels in neighboring communities, as well as evolving regulatory standards, make proactive investment essential for long-term water quality.

  • Per- and polyfluoroalkyl substances, known as PFAS, are man-made chemicals widely used in manufacturing and consumer products such as nonstick cookware, stain-resistant fabrics and food packaging. They are often called “forever chemicals” because they break down very slowly in the environment.

    In the East Metro, PFAS entered groundwater decades ago after industrial waste was disposed of at several sites in neighboring cities. Over time, those chemicals spread through regional aquifers that supply drinking water, including in Oak Park Heights. As a result, trace levels of PFAS are present in the City’s water supply today.

  • Oak Park Heights’ drinking water meets all current federal drinking water standards, including those for PFAS. The City, working alongside the Minnesota Department of Health, regularly tests the water and shares results with the EPA to ensure standards are met.

    However, the City recognizes that PFAS regulations continue to evolve and that trace levels exist in the water system. Rather than waiting for standards to tighten or conditions to worsen, Oak Park Heights is taking proactive steps now to protect public health, reduce future risk, and ensure a reliable water supply for the long term.

Questions about the investment plan:

  • The City has developed a long-term investment plan to modernize the water system. The plan includes:

    • Repairs and upgrades to watermains

    • Improvements to water towers

    • Construction of a PFAS treatment facility

    Together, these projects support reliable water delivery, fire protection, water quality, and long-term system stability.

    • Aging infrastructure: More than two-thirds of the City’s watermains and both water towers have been in service for decades, many dating back to the 1960s and 1970s. Routine maintenance has helped extend their life, but key components now need major upgrades or replacement to avoid costly emergency repairs and service disruptions.

    • Emerging water quality concerns: Current PFAS levels remain within federal safety guidelines, but national and state standards may continue to change over time. By investing in treatment now, the City can protect public health and maintain safe drinking water for current and future generations of Oak Park Heights residents.

    • Cost control: Acting now allows the City to manage costs by moving forward before construction expenses rise further and by making use of available state grants and settlement funds, reducing the long-term impact on residents.

  • Investing in the water system helps ensure residents and businesses continue to receive safe, dependable water every day. The plan protects public health, reduces the risk of service disruptions, and avoids costly emergency repairs.

    These improvements also support regional facilities served by the City and help maintain quality of life for our community well into the future.

  • Treating drinking water benefits more than just tap water. After water is used, it returns to the St. Croix River, ponds, groundwater, and soil. By removing PFAS before water re-enters the environment, the City helps protect local ecosystems, wildlife, and natural resources. This supports the parks, trails, and natural areas that are part of daily life in the City.

Questions about the cost and financing:

  • The total cost of the water system improvement plan is estimated at $41 million. This includes upgrades to watermains, water towers, along with construction of a PFAS water treatment facility.

    The City is pursuing state grants and settlement funds to help offset costs, but those sources do not fully fund the project. That is why the City is seeking legislative approval to allow voters to consider a local option sales tax to help pay for the remaining investment.

  • The City is using a mix of funding sources to help pay for water system improvements and PFAS treatment.

    • State grants: In early 2025, the City secured over $800,000 in state grant funds to begin design work for a PFAS treatment facility.

    • Settlement funds: The City is in the process of receiving settlement funds from nationwide PFAS lawsuits. These funds help offset costs but do not cover the full project.

    • Local sales tax: Because grants and settlement funds are not sufficient to fully fund the investment, the City is seeking legislative approval to allow voters to consider a local half-cent sales tax. This approach would help share costs with nonresidents who make purchases in the City.

  • The City funds water improvements through water utility revenues. A $41 million infrastructure investment is far beyond what the City can fund through its regular utility revenues. In an effort to reduce the burden on residents, the City is pursuing a separate funding approach. The City Council determined that a local sales tax is preferable to significant increases in water utility rates.

  • Water systems are owned and operated by cities, which makes them a local responsibility under state law. While the State of Minnesota offers grants and low-interest loans to help with planning and design, it does not fully fund major local water infrastructure projects. State funding is limited and spread across many communities, which means cities are expected to cover most construction costs themselves. That is why Oak Park Heights is combining available state support with other funding options to address long-term water system needs.

Questions about the proposed sales tax:

  • After reviewing all available options, the City Council determined that a local sales tax is the most practical and fairest way to fund long-term water system improvements.

  • A local sales tax applies to taxable purchases made within the City. It is paid by anyone who shops, dines, or does business in Oak Park Heights. Property taxes are paid only by property owners. A sales tax helps spread costs more evenly and reduces tax pressure on homeowners.

  • Research by the University of Minnesota Extension shows that 70 percent of the sales tax would be paid by nonresidents who regularly use City amenities, shop locally, or travel through the City. This means about $28.7 million of the total $41 million in water system investments would be funded through purchases made by nonresidents.

    If approved, the half-cent sales tax would cost the average resident about $5.62 per month, or $67.41 per year, based on 2023 data.

  • No. The local sales tax would be temporary.

    If approved, the tax would expire once enough funds are collected to pay for the approved projects or after 20 years, whichever comes first. The tax would be limited to the water system investments authorized by voters.

  • Like the Minnesota State sales tax, a local sales tax includes exemptions for many essential items, including groceries, clothing, prescription drugs, and baby products. These exemptions help limit the impact on families and residents living on fixed incomes.

  • Yes. More than 45 cities in the Twin Cities metro and across Minnesota use a local sales tax to fund important community and infrastructure projects, including nearby cities such as Woodbury, Stillwater and Oakdale.  

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