Environmental Improvement Fund Reference Guide Median Household Income (MHI)

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Median Household Income (MHI)

Clean Water Fund Program (Hardship Assistance) and Safe Drinking Water Loan Program

The Environmental Improvement Fund (EIF) determines a municipality's adjusted median household income (MHI) when the municipality is interested in funding for either a Clean Water Fund Program (CWFP)-Hardship Financial Assistance project or a Safe Drinking Water Loan Program (SDWLP) project.

Find your adjusted MHI [PDF 66KB]

Definition of MHI	How the EIF Uses MHIs
Adjusting the MHI	MHI for Sanitary and Lake Districts

DEFINITION OF MHI
"Median household income" means MHI determined by the U.S. Bureau of the Census as adjusted by the DNR to reflect changes in household income since the most recent federal census.

This definition is included in the CWFP and SDWLP statutes and administrative codes.

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HOW THE EIF USES MHIs
Clean Water Fund Program-Hardship Financial Assistance - The CWFP uses the MHI to determine whether a municipality is eligible for hardship financial assistance and how much assistance should be provided to an eligible municipality. The municipality's adjusted MHI must be 80% or less of the state's adjusted MHI in order to be eligible for hardship financial assistance.

Safe Drinking Water Loan Program - The SDWLP uses the MHI to determine whether a municipality is eligible for points in the financial need category of the priority scoring system. If eligible, the municipality may also qualify for the SDWLP's lower interest rate of 33% of market interest rate. The municipality's adjusted MHI must be 80% or less of the state's adjusted MHI in order to be eligible for financial need points and the lower interest rate.

ADJUSTING THE MHI
The EIF takes the municipality's 2000 MHI, provided by the U.S. Bureau of the Census, and adjusts the MHI for inflation using the county's increase in per capita income [PDF 15KB] since the census, provided by the U.S. Bureau of Economic Analysis.

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DETERMINING MHI FOR TOWN SANITARY DISTRICTS AND PUBLIC INLAND LAKE PROTECTION AND REHABILITATION DISTRICTS

The DNR uses the "Census Block Method" for determining MHIs for sanitary districts and lake protection districts. The procedure for this method of obtaining MHIs is summarized below.

Municipality submits by December 31, with its Notice of Intent to Apply (ITA) Form [PDF 45KB], a map of the district, indicating the district boundaries and all residences within the district (if possible).

DNR:

obtains a census block map that corresponds to the district map.

draws the district boundaries on the census block map, using the submitted district map as a guide.

determines which census block numbers and census tracts to include in the district's MHI. A block is included if it contains one or more district residences. If the municipality cannot provide a map that indicates location of the residences, all blocks that are completely or partially within the district boundaries are included in the MHI tabulation.

provides district's census block numbers and tracts to the U.S. Bureau of the Census, requesting a special tabulation of income.

Census Bureau tabulates an MHI for the district from the raw data of the 2000 census, and provides special tabulation results to EIF staff.

DNR adjusts the district's 2000 MHI based on the county's increase in per capita income [PDF 15KB].

Find known Sanitary or Lake District adjusted MHIs [PDF 17KB]

For more information, contact a CWFP project manager or SDWLP specialist, Jeanne Cargill.

Last Revised: Monday September 15 2008