DEPARTMENT: Transportation
FILE TYPE: Consent Action
TITLE
title
Authorization To Execute Joint Powers Agreement With City Of Inver Grove Heights For Construction Of County State Aid Highway 32, County Project 32-65
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PURPOSE/ACTION REQUESTED
Authorize execution of a joint powers agreement (JPA) with the City of Inver Grove Heights for the construction of County State Aid Highway (CSAH) 32 (117th Street), County Project (CP) 32-65.
SUMMARY
To provide a safe and efficient transportation system, the City of Inver Grove Heights, in cooperation with Dakota County, is proceeding with CP 32-65. The project will reconstruct 117th Street East from CSAH 71 (Rich Valley Boulevard) to the Trunk Highway (TH) 52/117th Street Interchange. The project is a part of the larger CSAH 32 network in Dakota County, which connects Interstate 35W in Burnsville to TH 52 in Inver Grove Heights. The corridor serves a high volume of freight traffic. The purpose of the project is to meet 10-ton design standards, enhance transportation system efficiency and mobility, reduce access points, improve pavement conditions, and facilitate the phased development of an essential east-west transportation corridor within the region. Another objective is to provide pedestrian and bicycle facilities in the 117th Street corridor for future connection to the Mississippi River Trail (MRT) east of TH 52 (Attachment: Project Location).
The project will reconstruct 117th Street to a two-lane, median-divided roadway for a one-mile segment of 117th Street between Rich Valley Boulevard and the Flint Hills Resources Refinery access, just west of the TH 52/117th Street Interchange. There will be pavement preservation improvements (mill and overlay) between the Pine Bend Refinery access and Courthouse Boulevard (excluding the TH 52 bridge).
In coordination with Dakota County, the City received a federal freight grant of $8 million for the project. Both the City of Inver Grove Heights and Dakota County had separately requested state bonding money for their respective cost share through legislative bonding in 2023. The City received $5 million of state bonding money.
The adopted County cost participation policy, F.5 Cost Participation Involving Federal and State Funds, subtracts from the County-eligible project costs funds received from regional federal solicitation, Trunk Highway Fund, Trunk Highway Jurisdictional Transfer Fund, or federal or state grants, with the balance of remaining costs divided according to applicable County policies.
The City has requested an exception to the County's cost participation policy F.5 to allow the $5 million of bond funds to be applied 100 percent to City costs and have maintained this as the only feasible option for them to fund City costs. The request is also based on a past project precedent, in which the state bonding was applied as the City's local share. On January 9, 2024, staff presented this request to the Physical Development Committee and received direction to proceed with the exception to the cost policy allowing the City to utilize 100 percent of the $5 million in bonding funds for their local cost share.
RECOMMENDATION
recommendation
Staff recommends executing the construction JPA with the City of Inver Grove Heights for CP 32-65 allowing the exception to the County Cost Participation Policy, F5 Cost Participation Involving Federal and State Funds. The JPA will state the $5 million the City received in State bonding be used for 100 percent of City costs. This exception to the County Cost Participation Policy will not serve to facilitate or direct future changes to the Cost Participation Policy.
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EXPLANATION OF FISCAL/FTE IMPACTS
The 2024 Transportation Capital Improvement Program includes a total budget of $23,460,000 for CP 32-65 see (Attachment: Financial Summary).
☐ None ☒ Current budget ☐ Other
☐ Amendment Requested ☐ New FTE(s) requested
RESOLUTION
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WHEREAS, Dakota County (County) is constructing County Project 32-65 in the City of Inver Grove Heights (City); and
WHEREAS, to provide a safe and efficient transportation system, the County and the City are proceeding with County Project 32-65; and
WHEREAS, the project will reconstruct 117th Street East from County State Aid Highway (CSAH) 71 (Rich Valley Boulevard) to the Trunk Highway (TH) 52/117th Street Interchange; and
WHEREAS, the purpose of the project is to meet 10-ton design standards, enhance transportation system efficiency and mobility, reduce access points, improve pavement conditions, and facilitate the phased development of an essential east-west transportation corridor within the region; and
WHEREAS, the 117th Street corridor is a part of the larger CSAH 32 network in Dakota County, which connects Interstate 35W in Burnsville to TH 52 in Inver Grove Heights; and
WHEREAS, the 117th Street and CSAH 71 corridors are considered Tier 1 regional truck corridors; and
WHEREAS, the design includes a two-lane, median-divided roadway for a one-mile segment of 117th Street between Rich Valley Boulevard and the Flint Hills Resources Refinery access, just west of the TH 52/117th Street Interchange; and
WHEREAS, in 2023, the City of Inver Grove Heights received $5,000,000 in a Local Roads Improvement Program (LRIP) State of Minnesota bonding grant for part of their cost share of County Projects 32-65; and
WHEREAS, the City of Inver Grove Heights requested an exception to the County's cost participation policy F.5 in order to proceed with the project and apply the $5,000,000 in state bond funds to their local cost participation; and
WHEREAS, at the January 9, 2024, Physical Development Committee of the Whole, staff received direction to proceed with the cost participation policy exception to allow the City to utilize the entire $5,000,000 in bond funds for their local share; and
WHEREAS, the City of Inver Grove Heights’s remaining project costs beyond the $5.0 million bond funds for final design, right of way acquisition, construction, and construction administration will be based on total project costs calculated following County cost-sharing policies in the current adopted Dakota County Transportation Plan; and
WHEREAS, the joint powers agreement defines roles and responsibilities for project cost updates, amendments, change orders and supplemental agreements, project acceptance, and indemnifications; and
WHEREAS, staff recommends executing a joint powers agreement with the City to construct County Projects 32-65.
NOW, THEREFORE, BE IT RESOLVED, That the Dakota County Board of Commissioners hereby authorizes the Physical Development Director to execute a joint powers agreement with the City of Inver Grove Heights for the construction of County Project 32-65 per adopted County policy with the exception to Dakota County Cost Participation Policy F.5 for the $5,000,000 in bond funds the City received to be applied 100 percent to City costs, subject to approval by the County Attorney’s Office as to form; and
NOW, THEREFORE, BE IT RESOLVED, the exception to the Cost Participation Policy F5 regarding applying the $5,000,000 in bond funds 100 percent to City of Inver Grove Heights costs on County Project 32-65 will not inform or facilitate any future changes to the Cost Participation Policy.
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PREVIOUS BOARD ACTION
23-075; 2/28/23
ATTACHMENTS
Attachment: Location Map
Attachment: Financial Summary
BOARD GOALS
☐ A Great Place to Live ☐ A Healthy Environment
☒ A Successful Place for Business and Jobs ☐ Excellence in Public Service
CONTACT
Department Head: Erin Laberee
Author: John Sass