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Home My WebLink About05-14-07 Item 7A, Legislative Support for Funding for Transportation Projects ~ ~HILLS Request for Council Action May 14, 2007 :~!n:aY!'h!oQf_ Agenda Item: Motion to Support Legislative Funding Requests fOI" the County R'oa('--~fand u.~____ __________ ___.______________ Hi9!!~ 10/96 frojec~, Budgeted Amount: N/A Actual Amount: --- -- ."-------- N/A. Funding Source: 7.A. Prepared By: DepL: Council Mtg. Date: Final Action Needed By: MW Administration ~~Q~119I~~B~[<tQT$it~tSt"{#tt~~~,I~~ ! jApprove Motion of Support for State Legislative Representatives to Submit Legislation Supporting 2008: IFunding for Transportation Projects (County Road H Interchange and Highways 10 and 96 Interchange)_ ~~ffJ~ffi~",fi~t[ij~1:~{;~Z0%f~~I~t_...,.________________ lStaff recommends approval of the Motion of Support for State Legislative Representatives to Submit !Legislation Supporting 2008 Funding for Transportation Projects (County Road H Interchange and Highways I r 10 and 96 Interchange)_ ; i~U.Bi~!;qh!JL~dtim~iSf11a$j9ll~~JJilin_u __ _______________ _ __ _ _ ___ _ ____ _ _ _ ________________ _______n ! X 1M IL tt . . Memorandum from City Administrator dated May 14,2007; Memorandum from Bill McGrann dated ;___L_e_~..--=- er.____ _"______:__ April 26, 2007 ._______________ ____ .....__~._________._~_______ . ._ ! Resolution No.: ~Ordinance No.: !Engineering Recommendation: iAttorney Recommendation: lOther: N/A f~QfuLnJ~K~fQll~fJi!Icg~iA~pJ~:JfYB1%~%t~:t. \\metro-inet\ardenhills\Admin\City Administrator\Ivfisc\2007\5-14-07 Cover Sheet RE Legislation Transportation.doc ~ ~~HILLS MEMORANDUM DATE: May 14, 2007 AGENDA ITEM 7A TO: Mayor and City Council Michelle Wolfe, City Administrator iY~P FROM: SUBJECT: Transportation Projects: Motion of Support for State Legislative Representatives to Submit Legislation Supporting Funding for Transportation Projects (County Road H Interchange and Highways 10 and 96 Interchange) BACKGROUND For several years, MnDOT, Ramsey County, and the City of Arden Hills have had discussions regarding the Highway 10 and Highway 96 Interchange. The County has turn-back funds available to finish the Highway 96 reconstruction project from approximately the North Heights Church location west to 135W. The City has not previously agreed upon a preferred concept for the Highway 10 and Highway 96 Interchange. The City of Arden Hills is currently conducting a Master Planning process for TCAAP redevelopment. As part of that project, several transportation improvements will be needed. In terms of phasing and priority, it has been determined that improvements to the County Road H Interchange will be the first improvement needed for the project. The Highways 96 and 10 improvements will be second in priority for the project. As stated above, the improvements at this interchange have long been discussed as needed, but with some unknowns about future development of TCAAP, the project was unable to move forward. DISCUSSION The City has been working with the developer (RRLD) and consultants to identify funding options for these projects. The law firm of McGrann, Shea, Anderson, Carnival, Straughn & Lamb, Chartered, has been working with the City and RRLD on legislative strategies. The strategy for County Road H funding is to attempt to secure 80% of project costs with federal funding. Matching funds (20% of project costs) will be required if federal funds are awarded. There are two identified State funding sources: bond proceeds and state general fund (cash). The attached memorandum from Bill McGralll1 outlines the schedule and requirements for obtaining funds from these two State sources. The first step is and introduction of bills. The general purpose is to submit short, legislation this session, in order to "introduce" the projects and prepare for submission of more specific funding legislation next year and application for inclusion in the Governor's 2008 bonding bill. The deadline for applications is June 25, 2007. As noted in the attached memorandum, it is recommended that we ask State Senator Satveer Chaudhary and State Representative Kate Knuth to be chief authors on these bills. The proposed language in the bills will be as follows: Bill Number One would appropriate the funds from state bond proceeds: $34,000,000 is appropriated from bond proceeds to the City of Arden Hills for acquisition of right-of-way, predesign, design, and construction of public improvements for the County Road Hand 1-35W interchange aud/or for the County Road 96 and State Highway 10 interchange. Bill Number Two would appropriate the funds from the sate general fund: $34,000,000 is appropriated from the general fund to the City of Arden Hills for acquisition of right-of-way, predesign, design, and construction of public improvements for the County Road Hand 1-35W interchange and/or for the County Road 96 and State Highway 10 interchange. The request for $34,000,000 is based on an estimated $4,000,000 for County Road H matching funds, and $30,000,000 for the Highway 10 and 96 project. If after further design work is completed project costs are determined to be less than the requested funds, we can reduce our request at a later date. ACTION REQUESTED Motion of Support for State Legislative Representatives to Submit Legislation Supporting 2008 Funding for Transportation Projects (County Road H Interchange and Highways 10 and 96 Interchange). Attachment MW \\metro-inet\ardenhills\Admin\City Administrator\l\lfemo\2007\5-14-07 Memo RE Tranportation fundiog.doc McGrann Shea Anderson Carnival Straughn & Lamb, Chartered ATTORNEYS AT LAW U.S. BANCORP CENTER 800 NICOLLET MALL W1UIAM R. MCGRANN ANDREW J. SHEA DAVID s~ ANDERSON DOUGLAS M. CARNIVAL ROBERT Q. STRAUGHN PETER l. COOPER KATHLEEN M. LAMB JOHN R SCHULZ COREY J. A YUNG HENRY M. HELGEN HI RANDOLPH W _ MORRIS SCOTT B. CROSSMAN CARLAJ.PEDERSEN PAMELA HODGES NISSEN KATHLEEN MICHAELA BRENNAN JOSEPH T. BAGNDLl TELEPHONE (612) 338-2525 FACSIMILE (612) 339-2386 JENNIFER A. JAMESON TIMOTHY J. FOSTER AMY L COURT ROGER J. STELLJES AMANDA R CEFALU SEAN O. SKRYPEK ALBERT E. LI CARL S. WQSMEK CHRISTINE L MENNEN EMiLY J _ PIPER JEFFREY C. URBAN MICHAEL P. ElDRIOGE HEIDI L PETERSON SUITE 2600 MINNEAPOLIS, MINNESOTA 55402-7035 To: Mayor Stan Harpstead City of Arden Hills From: Bill McGrann Date: April 26, 2007 Re: Proposed Legislation for TCMP Development Project You have asked us to prepare a brief review outlining the schedule and requirements for obtaining state general fund dollars (cash) or state funds from general obligation bonds for infrastructure improvements in relation to the TCAAP Project. There are two different avenues to consider: legislative and executive. The deadlines are different for each and are as set forth below. In general, we are recommending two actions. First, prior to the conclusion of the 2007 legislative session two "placeholder" bills should be introduced requesting funds for the two interchanges relative to the TCMP Project. Second, in order to be considered for inclusion in the Governor's bonding bill proposal, the City should subrnit an application to the state Department of Finance in accordance with the rules and guidelines set forth below. Set forth below are the necessary steps with respect to each. I. Leqislative Branch: Introduction of Bills. The Bills. We recornmend the introduction of two bills that accomplish the identical outcome; however, the bills appropriate from different funding sources. One utilizes funds frorn state bond proceeds; the other utilizes funds from the state general fund (cash). Since we do not know which funding source is most applicable to the situation, we should introduce bills to cover both. Bill Number One would appropriate the funds frorn state bond proceeds, and contain approximately the following language: . r April 27, 2007 Page 2 $34,000,000 is appropriated from bond proceeds to the city of Arden Hills for acquisition of right-of-way, predesign, design, and construction of public improvements for the County Road Hand 1-35W interchange and/or for the County Road 96 and State Highway 10 interchange. Bill Number Two would appropriate the funds from the state general fund, with similar language: $34,000,000 is appropriated from the general fund to the city of Arden Hills for acquisition of right-of-way, predesign, design, and construction of public improvements for the County Road Hand 1-35W interchange and/or for the County Road 96 and State Highway 10 interchange. This is suggested language and can be revised based on our further discussions. Proposed Authors. It is customary for the state legislators who represent the area for which improvements are sought to be the chief authors. Therefore, we would approach State Senator Satveer Chaudahary and State Representative Kate Knuth to be chief authors of these bills, and then request appropriate co-authors in both the House and Senate. Timinq. The 2007 state legislative session concludes on May 21, 2007. These bills should be introduced prior to the end of session. II. Executive Branch: Application for Inclusion in the Governor's Capital Investment Bill. Minnesota Statutes and the Minnesota Department of Finance set forth the application requirements for political subdivisions when applying for state bond funds. The new deadline for the application is June 25. 2007. The instructions for local governments was posted yesterday on-line by the Department of Finance. These instructions are attached, and can also be found at: http://www.budqet.state.mn.us/budqeUcapital/2008/2008 cap budqet letter 070423.pd f. A resolution of support from the governing body of the applicant must be attached to the application. The questions for local governments to answer and provide to the Department of Finance are attached, and can also be found at: http://www.budqet.state.mn.us/budqeUcapital/2008/2008 cap budqet template 07042 3.doc Please let us know if you have questions or comments. cc: Michelle Wolfe Rick Collins Eric Anderson Gen McJilton