DEPARTMENT: Transportation
FILE TYPE: Consent Action
TITLE
title
Authorization To Submit 2026 Better Utilizing Investments To Leverage Development (BUILD Formerly RAISE) Application For Interchange Improvements At County State Aid Highway 50 and Interstate 35 In Lakeville, County Project 50-033
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PURPOSE/ACTION REQUESTED
Authorize staff to submit County Project (CP) 50-33, Dakota County Mobility and Safety Improvements: Interstate 35 and County State Aid Highway 50/5 Interchange and Bridge Reconstruction project in the City of Lakeville to the 2026 Better Utilizing Investments to Leverage Development grant program.
SUMMARY
The U.S. Department of Transportation's (USDOT) Better Utilizing Investments to Leverage Development (BUILD) grant program provides grants for surface transportation infrastructure projects with significant local or regional impact. The BUILD program, previously known as the Rebuilding American Infrastructure with Sustainability and Equity (RAISE) and Transportation Investment Generating Economic Recovery (TIGER) discretionary grants, provide funding for surface transportation infrastructure projects that will improve safety, environmental sustainability, quality of life, mobility and community connectivity, economic competitiveness and opportunity, state of good repair, partnership and collaboration, and innovation. Staff is proposing to submit CP 50-33 as a County-led application in the urban capital project category to the BUILD grant program. For fiscal year 2026, the BUILD program has $1,500,000,000 available for funding across the nation.
County Project 50-33 includes the reconstruction of the bridges and the interchange at Interstate 35 and CSAH 50 to replace the existing deficient interchange and accommodate strategic capacity needs on I-35. The current interchange concept would increase the capacity of CSAH 50 between 172nd Street and the I-35 South ramps to meet current and future traffic projections. The proposed reconstructed bridge and interchange would include strategic capacity improvements to I-35. Staff is requesting to submit a funding application to the RAISE grant program. Letters of support will be sought from the City of Lakeville, the Metropolitan Council, the Minnesota Department of Transportation, and the Dakota County congressional delegation. County Project 50-033 is included in the 2026-2030 Capital Improvement Program. A Project Location Map is included as an attachment. Applications are due February 24, 2026.
RECOMMENDATION
recommendation
Staff recommends submittal of CP 50-033 to the U.S. Department of Transportation BUILD grant program.
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EXPLANATION OF FISCAL/FTE IMPACTS
The 2026 Transportation Capital Improvement Program Adopted Budget includes an approved budget in the amount of $14,598,693. State of Minnesota Local Road Improvement Program (LRIP) Grant fund of $1.63M was awarded to Dakota County in a 2021 state appropriation, a federal earmark of $5.04M was also awarded to CP 50-33 in 2023 and must be matched with 20 percent of local funds and obligated by September 30, 2026. A State bonding commitment of $40.8M was received in 2025 to be applied to the interstate system costs. The total project cost is estimated at $66M. Additional funding sources will be pursued to address costs through construction planned for in 2029-2030.
☐ None ☐ Current budget ☒ Other
☐ Amendment Requested ☐ New FTE(s) requested
RESOLUTION
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WHEREAS, the U.S. Department of Transportation is requesting project submittals to the Better Utilizing Investments To Leverage Development (BUILD, Formerly RAISE) grant program; and
WHEREAS, the BUILD federal grant program funds up to 80 percent of project costs in urban areas; and
WHEREAS, CP 50-33, the Dakota County Mobility and Safety Improvements: Interstate 35 and County State Aid Highway 50/5 Interchange and Bridge Reconstruction project, will improve freight capacity and general mobility in the corridor, accommodate future growth and support economic development opportunities, promote safety, and enhance multimodal connections; and
WHEREAS, federal funding of projects reduces the burden on local taxpayers for regional improvements; and
WHEREAS, project submittals are due on February 24, 2026; and
WHEREAS, all projects proposed are consistent with the adopted Dakota County Comprehensive Plan.
NOW, THEREFORE, BE IT RESOLVED, That the Dakota County Board of Commissioners hereby approves the submission of the Dakota County Mobility and Safety Improvements: Interstate 35 and County State Aid Highway 50/5 Interchange and Bridge Reconstruction project (County Project 50-33) to the U.S. Department of Transportation for the Better Utilizing Investments to Leverage Development (BUILD) grant program; and
BE IT FURTHER RESOLVED, That the Dakota County Board of Commissioners hereby approves requesting letters of support from cities within the project areas, the Minnesota Department of Transportation, the Metropolitan Council, and the Dakota County congressional delegation.
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PREVIOUS BOARD ACTION
None.
ATTACHMENTS
Attachment: Project Location Map
BOARD GOALS
☐ Thriving People ☐ A Healthy Environment with Quality Natural Resources
☒ A Successful Place for Business and Jobs ☐ Excellence in Public Service
CONTACT
Department Head: Erin Laberee
Author: Barry Becker