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4.3. SR 11-17-2003Item# /4.3. MEMORANDUM TO: FROM: DATE: SUBJECT: Mayor and City Council Harlicker, Senior Plann~ Scoff November 17, 2003 Norfhsfar Corridor Updafe At the NCDA meeting held on November 6th the A~uthority listened to a presentation on joint area developments. The developer of Ramsey'! Town Center development also gave a presentation on that development. The Authority received an update commtmity involvement that included a summary of the recent ~ally in Sauk Rapids. DOCUMENT2 NCDA Agenda November !i6, 2003 4:30 pim. Sherburne County GOvernment Center Elk River, MN Action Requested Minutes of the October 2, 2003 Meeting* Approval Executive Committee Recommendation: Consider Executive a) Memorandum of Understanding with Mn/DOT regarding Committee BNSF Negotiations* Recommendation b) Selection of Negotiation Services Consultant c) Selection of a Public Information Technicall Services Consultant* Presentation on Joint Station Area Development* Presentation Community Involvement* a) All Aboard Celebration b) Businesses c) Citizens Discussion Hiawatha Tour: December 4, 2003* Update Other: Next Meeting * Documentation enclosed DRAFT DRAFT DRAFT DRAFT NORTHSTAR CORRIDOR DEVELOPMENT AUTHORITY Regular Meeting Minutes Octoberi 2, 2003 The Northstar Corridor Development Authority imet on October 2, 2003, in regular session at the Sherburne County Government Center, Elk River, Minnesota. The following members, alternates and citizens Were present: Duane Grandy, Dan Erhart, Mm'k Stenglein, Ewald Peterson, Peter McLaugl~lin, Lynn George, Terry Nagorski, John Norgren, Arne Engstrom, Bob Jolmson, Patrick Cairns, Kaye Bechtold, Gary Erickson, Joni Astrop, Jean Keely, Gerry Donlin, Ross Olson, ~im Barton, Lona Schreiber, Luci Botzek, Elliott Perovich, Craig Stone, David Loch, Stev~ Novak, Jeff Dehler, Todd Rapp, Jolm Himle, Robert Kirclmer, Mike Schadauer, Bill Scba'eibetr, Bruce Nawrocki, Dennis Berg, Tom Gamec, Joba~ Weaver, Leroy Pauley, Mary Richardson, elf Dehler, Gary Erickson o Duane Grandy, Chairperson, called the n A motion was made by Ewald Peterson, agenda of October 2, 2003, as presented as amended. ~eeting to order at 4:40 p.m. seconded by Patrick Cairns to approve the the meeting minutes of the September 4, 2003 Executive Committee Report: a) Request for proposals were receiyed from the following for the selection of Consultant for Technical Support for BNSF negotiations: MainLine Management, Inc. SYSTRA Consulting, In~. Booz Allen Hamilton, Ind. R.L. Banks and Associates A motion was made by Patrick ~airns, seconded by Ewald Peterson and carried unanimously to approve t!~e recommendation of the Northstar Executive Committee and authorize the Chairperson to finalize negotiations and execute the agreement with MainLine Management in the amount not to exceed $158,000 for consulting services !for Technical Support for BNSF Negotiations with the contract to commence oh October 2, 2003 and continue ttzrough the completion of negotiations and executive of agreements with BNSF, unless earlier terminated. b) Lona Schreiber and Bill Schreiber reviewed the 2004 Legislative package including NCDA requests including the fbllowing: 1. Commit the State of Mirmesota to provide 40% of the capital costs of the Northstar Project ($126.5 million); 2. Dedicate a source of funding for rail operating costs; DRAFT DRAFT DRAFT DRAFT Northstar Corridor Development Authority Regular Meeting Minutes October 2, 2003 Page 2 Provide an exemption from sales tax on the acquisition of rail rolling stock, construction costs and fuel used in commuter rail operations; Clarify liability and insurance matters arising in the construction and operation of commuter rail; and Preserve and protect the regional railroad authorities' interests and assets, and strengthen local govermnent's pm'tnership role in corridor development. A motion was made by Mm'k Stenglein, seconded by Bob Jolmson mad carried unanimously to approve the 2004 legislative package as presented. Commissioner Peter McLaughlin, Hennepin County, and Chair of the Metro Transitways Development Board, reviewed the progress and status of the Hiawatha LRT Line. He compared the Hiawatha Line with the successful rail line in Seattle, Washington. Commissioner McLaughlin stated that the Northstar project is the top priority for the Metro Transitways Development Board. Bob Johnson, City of St. Cloud, requested clarification of "metro counties" relating to the possible ½% sales tax to help fund the project. Bill Schreiber stated that, at the current time, "metro counties" is defined as the seven county metro area, however, this definition could change. Gary Erickson presented an update on the construction progress of the Hiawatha LRT line. The Hiawatha line is expected to open between downtown Minneapolis and Fort Snelling in April 2004 with the rest of the line terminating at the Mall of America in December, 2004. Members of the Authority expressed interest in scheduling a tour of the Hiawatha Line. Gary Erickson will make the necessary arrangements. o Jeff Dehler, Anoka County, and John Himle, Himle Horner, Inc., reviewed a petition addressed to Governor Pawlenty and Minnesota Legislators. The petition will be used to communicate infbrmation about the Northstar Corridor and may be shared with legislators and other elected officials to show support of the Northstar Commuter Rail. This petition will be mailed to households in the corridor and is also available on the NCDA website. Copies of letters fi'om citizens supporting the project were distributed as well as Resolutions from Pope County and the St. Cloud Area Chamber of Commerce Board of Directors supporting funding and support for the Northstar Corridor Project. A copy of the letters and Resolutions will be forwarded to Legislators. DRAFT DRAFT DRAFT DRAFT Northstar Corridor Development Authority Regular Meeting Minutes October 2, 2003 Page 3 John Hilnle distributed business action ldits to members and requested that they use this information when visiting businesses and citizens asking for their support by signing the petition. David Loch, notified members that on OCtober 21, 2003 at 7:00 p.m. "All Aboard" will host a celebration at the new Sauk Rapids High School to promote and provide information on the Northstar Corridor Rail. He encouraged attendance at this event to show support of the project. The Governor and many Legislators are expected to attend. The celebration is intended to be; an open forum providing a chance for the public to make comments and ask questions. A motion was made by Mark Stenglein, seconded by Patrick Cairns and carried unanilnously to adjourn the meeting at 6i05 p.m. The next meeting of the Northstar Corridor Development Authority is scheduled for Thursday, November 6, 2003, at 4:30 p.m. at the Sherburne County Government Center. Duane Grandy, Chairperson Date H:\Admndara\Committees\Corridor NCDA\2003\Minutes\ 100203 NCDA Draft.doc DRAFT LETTER Memorandum of Understanding Regarding Northstar Commuter Rail Negotiations [DATE] Duane Grandy ~'~ CN~ta'itlstar Corridor DevelopmenX~X~Authority ~ 2100 Third Av.e~lu~e ~ ~ Anoka, MN 55o0o ~ ~ Oear 5 This le,er is intended to be a Me~,ora,~um of U~~ ~)e No,-thsta,- Corridor Development NolXhern Santa Fe Railway Company ("BN~F '). as~0C~~ Stat. ~ I ~.82. It is in the best interest of both the St~ tl~np~ccusate information on the range of costs and other isst rela~d to No~hstar's use of the BNSF rail line. While it is not expected that tile NCDA nego 2004 Legislative Session, the State and the xvith BNSF as soon as possible. It is und negotiator has been retained and the Mt updated inforlnation fi'om BNSF. Pursuant to this negotiations with BNSF to issues related to Northstar's us 1. Secure tile services o 2. Enter into a contrac 3. Take the lead in n Tile State will negotiations. co~npleted agreelnent with BNSF prior to the tee that it is necessary to begin negotiations ~egotiations will commence once the Group has received their requested of Undel'standi0g, tI~NCDA is authorized to conduct the issues regarding capac'i, tky improvements, costs, and other the BNSF rail line. :The NC~.A will: individual or firnl with expertis'ox)q negotiations; pay for services performed by thisX4~ldividual or fit'm; and negotiations with BNSF. % BNSF that the NCDA has been attthorized to conduct these Sincerely, Carol Molnau Corn missioner of Transportation Northstar Corridor Development Authority As approved at its meeting on November 6, 2003, the Northstar Corridor Development Authority agrees to the terms and conditions of this Memorandum of' Understanding. Duane Grandy. Chair Dated: Memorandum of Understanding Between The State of Minnesota and the Northstar Corridor Development Authority Whereas Mirmesota Statutes, Section 174.82 provides that the Commissioner of the Minnesota Department of Transportation (hereinafter "Mtn'DOT") is responsible for all aspects of commuter rail in Minnesota. including ~egotiating with raih'oads; Whereas Minnesota Statutes. Section 174.82 authorizes the Commissioner to enter into a memorandum of understanding with a joint powers~ bom'd to carry out Mn/DOT's responsibility for commuter rail; Whereas Mn/DOT wishes to enter into a memorandum of understanding with the Northstar Corridor Development Authority (hereinafter "NCDA") to conduct negotiations on behalf of Mn/DOT with the Burli~gton Northern Santa Fe Railroad (hereinafter "BNSF"); and Whereas it is in the best interests of the State of Minnesota that negotiations with the BNSF are begun as soon as possible; Therefore pursuant to this memorandum of understanding, NCDA will: 1. conduct negotiations with the BNSF on behalf of the State of Minnesota to narrow the issues relating to capacity improvements, costs and other issues related to the Northstar Corridor Commuter Rails's use of the BNSF rail line; 2. secure the services of an individual or firm with expertise in negotiations; 3. submit weekly progress reports to Mn/DOT on the negotiations with BNSF; and 4. seek approval fi'om Mn/DOT of any agreements with the BNSF relating to commuter rail. Pursuant to this memorandum of understanding, Mn/DOT: 1. will be available to participate in negotiations with the BNSF; 2. retains the right to approve all agreements for commuter rail with the BNSF; and 3. will notify the BNSF that the NCDA has been authorized to conduct negotiations with the BNSF on behalf of the State of Minnesota for the Northstar Corridor Commuter Rail. This memorandum of understanding is not a binding contract between Mn/DOT and the NCDA. Either Mn/DOT or the NCDA may, upon written notice to the other party, amend or discontinue its role, as outlined in this memorandum of understanding. IN WITNESS THEREFORE the parties have caused this memorandum of understanding to be duly executed intending to be bound thereby. Northstar Corridor Development Authority By: Title: Chair Date: Minnesota Department of Transportation By: Title: Commissioner Date: 2 MEMORANDUM Date: To~ From: Subject: NC, DA Executive Committee Agenda Item #4 NCDA Agenda Item #2c October 31, 2003 Northstar Corridor Development Authority Staff Selection of Consultant for Public Information Technical Services Consultant Background Public information work of the NCDA over the last several years has focused on raising awareness and building support for the Northstar Commuter Rail Project. While this work will continue through 2004, there is a need to re-engage the public in project development, specifically in the consideration of additional stations in Ramsey and Sauk Rapids and in the final design of the existing eleven station sites. The NCDA released a request for proposals (RFP) for public information services on October 3, 2003, to hire a contractor to assist with these tasks, as well as a brief survey of Northstar Commuter Coach riders and the preparation and mailing of two corridor-wide newsletters. Note that these activities are included in the NCDA 2003-2004 budget and included in the scope of work tn the proposed grant agreement with Mn/DOT. Five firms responded to the RFP: Abbas Public Relations, Ilium Associates, Inc., LaBreche Murray Public Relations, North Woods Advertising, Inc., URS Corporation. An evaluation team was formed to evaluate the responses to the RFP. The team included the following members: Tim Yantos, NCDA Project Director Mike Schadauer, MN/DOT Jeff Dehler, NCDA Public Relations Mary Richardson, NCDA Administrative Team Jan Lucke, RRA Proposals were evaluated and scored based on the following criteria: experience of the proposing firms, experience of personnel, work plan, cost, quality of response, disadvantaged business enterprise (DBE) participation, and ability to meet contractual requirements. Status After reviewing the proposals received, the evaluation team selected Ilium Associates, Inc. and North Woods Advertising, Inc. for interviews based on their experience, approach to the work tasks, cost and DBE participation. Interviews are scheduled for Wednesday, November 5. Staff will present a recommendation to the NCDA Executive Committee and the NCDA on November 6, 2003. Northstar Corridor l~evelopment Authori~ 2100 3'~ Avenue. Anoka, Minnesota 55303-2265 (763/ 323-5700 Fax: f763) 323-5682 www. northstartrain.org Action Requested: That the NCDA Executive Committee / Capital Budget Committee make a recommendation that the NCDA select a contractor and authorize the Chair to negotiate and execute an agreement with the contractor. 2 NCD,~ Agend~ Item #3 MEMORANDUM Date: October 31, 2003 To: NCDA From: Staff Subject: Joint Station Area Development Many commuter rail systems are using joint development to develop their station sites. Joint development has been used to describe a variety of public-private partnerships. A recent study by the Federal Transit Administration Transit Cooperative Research Program (available at www.gulliver.trb.org/publications/tcrp/tcrp_rrd_52.pdf) provides the following definitions: "A public-private partnership designed to decrease the costs of operating or constructing public transportation systems, stations or improvements through creative public-private financing arrangements." "Any formal agreement or arrangement between a public transit agency and a private individual or organization that involves either private-sector payments to the public entity or private sector sharing of capital costs in mutual recognition of the enhanced real estate created by the siting of a public transit facility." "Real estate transactions involving the development of private projects on publicly owned land or air rights." The Study continues to say that joint development is often a win-win proposition, benefiting the developer "because the accessibility advantages of being near a transit station are capitalized into higher rents or greater occupancy, and benefiting the public- sector side through the sharing of construction costs, via cash payments, or potentially even gains in ridership." Northstar Corridor Developntent Authority 2100 3:~ Avenue, Anoka. Minnesota 55303-2265 (763) 323-5700 Fax: (763/323-5682 www.northstartrain.or.g There are examples of joint development underway in Minnesota and in the Northstar Corridor. Beverly Miller, Minnesota Valley Transit Authority, and John Feges, Ramsey Town Center, will present to the NCDA an overview of how they define joint development, how it is being used in local projects and the benefits of joint development to the private and public sector organizations. Action Requested: Presentation MEMORANDUM Date: To: From: Subject: November 6, 2003 NCDA Executive Committee Agenda Item NCDA Agenda Item #2c Northstar Corridor Development Authority Staff Selection of Public Involvement Technical Services Consultant Responses to the RFP for public involvement technical services were evaluated based on the following criteria: experience of the proposing firms, experience of personnel, work plan, cost, quality of response, disadvantaged business enterprise (DBE) participation, and ability to meet contractual requirements. Based on this criteria, the evaluation team selected i',idm Associates, Inc. and North Woods Advertising, Inc. for interviews. The two firms were interviewed on Wednesday, November 5, 2003. Based on the team's evaluation and the interview, the team is recommending North Woods Advertising, Inc. be selected as the public involvement technical services consultant. Action Requested: That the NCDA Executive Committee / Capital Budget Committee make a recommendation that the NCDA authorize the Chair to finalize negotiations and execute a contract with North Woods Advertising, Inc. for a contract term of November 6, 2003 through December 31,2004 and a contract amount not to exceed $245,285. Northstar Corridor l}evelop/nent Authority 2t00 3': Avenue, Anoka. Minnesota 55303-2265 (763) 323-5700 Fax: (763) 323-5682 www.northsta[l:rain.org MEMORANDUM Date: To: From: Subject: NCDA Executive Committee Agenda Item #3 NCDA Agenda Item #2b November 6, 2003 Northstar Corridor Development Authority Staff Selection of Expert Negotiator At its October 20, 2003 meeting, the Executive Committee considered the proposed Memorandum of Understanding that would delegate to the NCDA the responsibility to negotiate with the BNSF. The Executive Committee also directed staff to undertake a procurement process to identify and recommend a potential negotiator to lead the negotiations over the next four months. The Committee requested Councilman Paul Ostrow, Commissioner Mark Stenglein, Paul McCarron, Tim Yantos, Ken Stevens and Mary Richardson to act as the evaluation team. The team identified five areas of expertise and qualifications, including: 1) 2) 3) 4) 5) Extensive experience and recognized skills in negotiations; Experience in complex business arrangements; Reputation as respected and credible spokesperson with key policy-makers Ability to work with a staff and consulting team; and No conflicts of interest. The evaluation team identified a list of ten potential candidates, narrowed the list using the criteria listed above, and interviewed two candidates. The team recommends that the NCDA retain Clifford M. Greene of the Greene Espel law firm. Mr. Greene has the necessary expertise and qualifications to meet the NCDA's needs and is available to start work immediately. The proposed contract amount is $100,000 and would include the services of Mr. Greene, an associate, and a paralegal. The contract amount is within the 2003-2004 budget as approved by the NCDA. Note that federal grant funds will not be used for this contract. Action Requested: That the NCDA Executive Committee / Capital Budget Committee make a recommendation that the NCDA authorize the Chair to finalize negotiations and execute a contract with Greene Espel for a contract term of November 6, 2003 through March 30, 2004 and a contract amount not to exceed $100,000. Northstar Corrido~ Development Authority 2100 3rd Avenue, Anoka, Minnesota 55303-2265 (763) 323-5700 Fax: (763) 323-5682 www. northstartrain.org www. sctimes.com/)ocai Local/State Assistanl managing editor, Mike Knaak, 255-8747 St. Cloud Times · Monday, Oct. 20, 2003 'All Aboard' ralli Group of Northstar supporters plans 'I\msday even t to launch ~uapaign B,r Kit-st5 Mapohn Dan Severson anti Roland Fro)'en make st ra nee politimM bedfd But Ihe consem~ve s~te lawmakcr from Sauk 82-mile Northstar rail line from Rice to Minneapolis. The 2.0 to 26 people who regularly at- tend bi- monthly %4.11 Aboard~ Rapids and the environ~ meetings mentalist former te;tcher of hope the ef- L)mden 'l'owmhip have found one thtngthey firm- ly agree on: the need fin' ~n~lmuter rMI. Sevem~n and Iffoyen are p~tll of a ,ew gr~sroots of ganizaLion promoting the fort will cmwage state R~p. Dan lcgnslators to Se~ersan 8 ti p 1) 0 r t Suppurls lkmding fnr Nodhstar Nortbst~ n~ ~r. "I think we've illustrated that folks from all different tmints of xdk~v eau ~work to- geth~ on a common inter- est," Froyen smd- All Aboard kicks off ils public campaign 'lXmsday evening with a celebration featuring music and speak- ers. Participants will be asked to sign a pedfion sup- pordng the rail line sand to join-a rally at the state Capi- tol early next year. .all Aboard was born af- :er a DFL-sponsored Noohsmr fontm last July in St. Cloud. It now includes business and labor repre- sentatives, senior citizens and members of the D.FL, If you go ... What: "All Aboard" cele- bration to promole North- star commuter rail. When,, Doors open al 6 p.m. Tuesday for music, refreshments and tours of State Chocolate compaay rebuilds a-Prat train rolls into [hct()ly/2B lB for rail the new school. Program begins at 7 p.m. Where: Sauk Rapids- Rice High School. Republic. an, Greem m~d In- depea~dence parties, Froyen said. The group is not spon- sored or funded by the cities, counties and t¢mm- ships along the corridor. All Aboard has sought priwate donations and has a $4,000 budget, Froyen · said. Northstar suppmlers be- lieve 2004. is a key year in their efforts to get state funding fi~r the $302 mil- lion project. "The goal is to get the bonding through next leg- islative session," said All Aboard member Jim Graeve of bt. Joseph. In past years, the l~qpub- Northstar Corridor Devel- licm~-eonu'olled ]louse h~s opment Authority, tim or- been reluctant to back ganization formed by th& the cost. Gov. 'rih'~ Pawlen- ty said he'll reserve judg- ment on whether to sup- port the project ~lntil he sees an analysis from the Feder'A Transit Admin Lration. Severson, a Sauk Rapids Republican, said he hopes ~MI Ab.ard genre'ares Ioc;d cntlmsiasm about the proj- ect and attracts the atten- tion of legislators in Sk Paul. "lt brings some aware- ness do~m at the Capitol, but it atto sho~ a skeptical House that people along the corridor are exalted commuter rail because of about this," Severson ~aid. Opinion St. Cloud Times + Monday, Oct. 20, 2003 7B We support Northstar project We strongly support the Northstar Commuter Ra~l project t~ Minneapolis. We believe: · The project is a acces- ser), c~mponent to a multi- modal transportation sys- · It is an outstanding op- portunity to provide jobs a~d economic growth to ali commtmitiea within the corddor. m It is essential m reduc- ing congestion on the fmtest-growing corridor in the state - U.S. Highway 10 and Interstate Highway 94. · It is beneficial to the environment by reducing the number of vehicles ~ud vehicle emissions. We understand the proj- ect has the support of chambers of commerce, unions, senior citLzens, col- lege communities, environ- mental groups, veterans, handicapped people, ci~, county and township gov- ernments, and thousands of Minnesotans. We encourage people to a~end a rally tbr the proj- ect st 7 p.m. Tuesday at Sank I~pids-Rice High School. Northstar commuter rail is a viable solution t~ pres- ent and furore transporta- tion needs in Central Min- We urge Gov. Tim Paw- lenty to voice his support in f~,vor of this critical trtms- portation project. Rep. Jim Knoblach St. Cloud Rep Joe Opatz St. Cloud Rep. Dan Seversou 8auk lhn.pids Erin Oberfeid 15369 258th Ave. Zimmerman, MN 55398 October 17, 2003 Dear Commuter Rail: My life would be very impacted, because my husband and I are only 24, and could not afford to buy a nice home close to the Twin Cities. We could afford a home out there though, but I work downtown Mp!s. That is a two hour commute per day for me, and it would take away so much stress in my life to not have to fight with traffic anymore. I would also be able to have more family time. That is the most important, more family time. Sincerely, Erin Oberfeld Letter received by the NCDA - October 1, 2003 Janet Stavros 2746 21st Ave. South St. Cloud, MN 56301 October 1, 2003 Dear Commuter Rail: Rail commutor service between St. Cloud and Minneapolis is the best alternative to building more highways which only serve to perpetuate dependence on gas, increase pollution, and destroy more undeveloped land. We need fewer cars on highways rather than more. Adding to the highway system does nothing for people who do not or can not drive (handicapped, blind, elderly, poor, etc.) It is way past time we get serious about the ongoing problem of too many cars on the road and no alternative transportation. Sincerely, Janet Stavros >>> "Kenneth Schulz" <kbschulz@uslink.net> 10/11/03 06:57PM >>> Kenneth Schulz 985 Juliet Way Avon, MN 56310 October 5, 2003 Dear Commuter Rail: Since we are both retired, we feel that the Northstar Commuter Rail would allow us to travel to the Twin Cities for a number of functions. We enjoy Twins games but the traffic and parking situation is a problem. It would be great to be able to get to the dome and not worry about traffic or parking and simply enjoying the game and getting back on the rail service to go home. We would also use the rail service to go to the Mall of America and to the airport. Sincerely, Ken & Betty Jane Schulz MEMORANDUM Date: October 31,2003 To: NCDA From: Staff Subject: Hiawatha Tour Agenda Item #5 A tour of the Hiawatha LRT Corridor for NCDA members has been tentatively set for December 4, 2003. The tour will begin at the Metro Transit Operations Maintenance Facility located at 1810 E Franklin Avenue in Minneapolis. The tour will begin at 1:30 p.m. and end at approximately 4:00 p.m. NCDA members will tour the Hiawatha LRT Operations and Maintenance Facility, observe on-track testing of the Light Rail Vehicle (LRV) which includes riding the LRV and take a bus tour of the Hiawatha LRT Line. The December NCDA meeting will immediately follow the tour but it will be brief due to Truth in Taxation Hearings. Bus transportation to Minneapolis for the tour will be provided. Members can catch the bus at the Riverdale Park and Ride at 1:00 p.m. If you are planning on riding the bus, please contact Sue Youngs at 763-323-5729. If you cannot attend the tour/meeting, please contact Peggy Aho at 651-222-7227. Action Requested: Information Northstar Corridor Development Authori~. 2 lO0 3'" Avenue, Anoka. Minnesota 55303-2265 (763) 32%5700 Fax: (763) 323-5682 www.northstartrain.org MEWItO/STATE * Sw m u. -'P EBa · .2003 - group assails Northstar Rail figures he legislators x used proponents the commuter "ae of lying about s bottom line. 'C-nrad deFieb~e ~ =r TrilmneSmffWri~r ' ~. Proponents of a commute* it transl! link from Ihe St. and area Ia Minneapolis rye deliberatetI underesti- amd i~ cost- now pegged $310 milUon -- in an effo~t ' win public support, iegisla- alleged Man- opponents ~ *Tt's gej~ ~ al over again, c~ icl 1~.: Phil Kdnlde, B-Shore- r~ ew~ i~kening the No~dtatar ~ fi plantothe $715 millinn Hi- r-- ,rathe Light Rail project now nder construction,' whose ~sts have risen by at least $Z~3 c~dllion from origins! esti- Id_ ~ates, "This project will cost trer $500 million by the time ~ get all lee true costs," Northstar response ctshtp projections to- Pawlenty rellecting inflation and the gDO{) U.S. Census, Yantos said. The odginal proposal, subnfit- ted in ZOO0, was ca~efully scm- tinized by federal officials, giv- en a high national rating and included in President 2002 budget, he added. The rail link makes sense, Yantos said, because the popu- lation along the corridor is growing rapidly. That growth is causing serio~t$ congestion on' Interstate Hwy. 94 and Hwy. 10, the two main mutes file rail line woald suppJemel]t. The toads me not scheduled to be . An official with the project, however, denied that the nam- bets had been manytdated, At a State Capitolnews con- ference, Krinkie, slx other Re- publican legislators and a lead- er o[: the Taxpayers League of MLrmesota fired the flu'st volley in what is expected m be a bat- fie over transportation spend- il~ in the 20Q4 Lel~at~e. The lq o~thstaf projecl, wl~ch would use existing t~acks owned by Btalington Northern Santa Fe Raibr~ray, bas been blocked for years By opposition from House Republicans, but GnP Gay. Tim Pawlenty has sig- naled a willingness to recon- sider the line if it is sho~,m to be cost-effective. The critics we{e armed Monday with a new Burlington Northern Santa Fe cost esti- mate for t~ack and signal im- p{0~emenls needed for Ihe t~ansit link; they also cited a 2002 Danish stady maintaining that steep cost overruns ate common on government rail peoject$ worldwide and m~y, ia the study's wo~l~, 'be best explained by strategic misrep- resentation, i.e., lying,' The railroad said the tm- prn~ements would cost $136 million in 2005, the earliest time ~at cona~uction could stol, That ia-mole ~ ~ ~e $57 m~on b~ ~at p~ of lhe p~oject quoted by the Horthstar Co~:id0r Develop- m~t ~ori~ M iu propos~ m ~e F~e*~ %msit Ad~s- ~atiam ~e amy n~be{s we count ae ~e ones [BurHn~on No.em S~m Fei ~ si~ on/' smd Sezt Mady R~ter, Sh~, a former employee of the railroad. 'We cannot foxce ~e l~road lo eat increased costs of pro~di~ ~ ne~st boondo~e." Dasd Strum of ~e e~ ~a~e s~ the No~st~ amhe{ity has known of rail- road estimates much hi.er ~an its o~ fu~ yes{s.. Z5O p~cent oaps ~ j~st ~e df many camln~ down the a long se~es old.epilog." But an executive of the Not.star authority, a coalition of 30 local governments along the proposed tiansit route, said the discrepancy reflects a tough negotiation, not an at. tempt 1:o deceive anyone. '¢~t~e have never cooked the numbers," said Tier Yantos, Northstar project director. 'We're trying to protect the public, doing a~ goad ajob of negotiating as we can. The rat[- mad woMd like as man)' im- provements to their track as theT can gel. You can't blame them for that.~ The railxoa[! has said it will not settle the sluw-mo~ing talks until state funding for the project is secured. ~acker$ a~e hoping for legislative approval next year a! $124 million in borrowing to pay the stale shale of the cost, The ~est woMd be borne by {be federal and local governments. Next month, the Northstar authority and the Minnesota D~pazl~enl of Transportation. will present new cost a6d fid- -dpgraded far decades and add- ~ ' -ing lanes would cost several thnes the price of the Nortl~tax project, he said. Sen. Don Betzold, DFL- FrMI~, sponso~ of the No~la- sta~ funding bill, branded the accusations o! lying about costs '~£e.~pon.~ible." He also expressed confidence that Paw[only and the DFL~con- I:olled Senale will back the p~ject. 'q'he real Ruesfion is; 'What aboul the HouseV" he Stat Trlbtme ma ' said. Krinkie heads the Hous~ Capital Investment Commil;' tee, which x'fields control slate I~r[awin~. lie aa.id that he is sat~ied the pmj~ct.x~ll reduce cenge.~fion at a reason- able cost core, amd with other solutions, ~I d be willing support -;:' .. Police said thst I1 suspects have been arrested and that nine others will probably be tO~ said the ol~ration us. zn'....~Iuded the' c~a~ Of .a. p effo~ W "~ o~ step ~ead of ~ M~es ~m a ~ · e ~g d~l~' ~d ~ ~s~pp~h~~ ' h ~ by n~borhood ~m- ~ ~ s~oo~ H~n ~ , .. _. MINNESOTA, · . NORTHSTAR PROJECT 'i ,.Estimates for planned rail line double Track owner puts repairs at $136 million BY BILL SALISBURY P~oneer Press The railcoad that owns ~e # sawhorse763-533-1010.com Monday e.~Jmnted it would need $136 million tll new ~rae. ks and other capful ~provements to handle the new passenger trains. That's more than double the cost that proponents pro- ject~ severn] y~rs Opponcnts of the Northstzr r~ line betweea If~meapol~ and St Cloud ~eized on t~e. Burlt~g. ton Northern S~nta Fe Rallw~s projeefs ~portee~ of CORRECTION NOTICE The Red Tag Sale Ad For 3 Days only take 35% Coifs regularly priced carpet cleaning service ran in error on Monday 11/03/03. We apologize for any inconvenience this may have caused. Northstar-line foes said supporters intentionally underestimated the price tag. ly low-balling the ~ tag But a Northstar spokesman said the cr~cs were comparb3g apples a~d orange~, and a rep- reseatative of Gov. Tim Pawlea- ty's 3~irdstralio~ agreed. Sen. Mady ~r, R-$hore- view~ said at a C~pitol nt-w~ con- fercnce that thc Northstar Cor- ridor Development AuthoriW had est~nated the U~ck could be upgraded for $57 million. She sugge~ the proponents delib- erately underestimated the eos~ to win lel~]ative approval Rep. ~ Krir~.'e, R-Shore- view, likened the NorthStar proj- ect to the Hiawatha light-rail l~e under constructi~ in Mia- neapol~ and Bloomingto~L In 1~9, l~ght-mfl backers predict~ that lme would eos~ $446 but ~e actual prke will exceed $716 miH~o~, he said. %et's not m~e ~at same intstake agar. ~ut Tini Yantos, Oo~ridor proje~ manager, said · e ~57 milh'on figure is aa %1~, outdated number that was on some very, very prelffolnary dis~on~.' He ~akl they nO longer ~se that figure. Burl~g- ton N01~efl~'l'h~nl~ more ~rack and ~ improve- ments nccd to be n~de than the Nor~t~ Corridor authority proj ec~d ]~ore 2om, he ~ Northern and the NCDA ha~e long been know~" said Robert Mc~trlia a,~t to state Tram- portatio~ Comm~sioner and Lt. Gov, Carol MoMau. "The num~ ~ ~x]ay doe~'t make the apparent than they were before,' The railroad and the devel- opment authority have honest differences of opinion OVer what t~a~k improvements need to be made if the project proceeds, McFarlin said. "'We have ~o resolve those differences," ~awiea~ is expected to decide by eady next year whether h~ b~e~e~ tt~ Noz~star r~ project wo~d be ~ c~.~ve way to reii~we f;~ffi¢ congestion ~ t~e Inter.re 94 corridor. If he con. dudes it is, he v/al ask ~he 20~ LegLqature to help ft~d it a~ bsalisbury@pionecrpress.¢om or 051-225-5538- I sSO0 Per Person Show l)iseount ! I ~ fera l~e Alaska Cnd~Te~r $a900 valae ' £0'd ZI:9I ~0, 9 Times Online - Local Page 1 of 2 Local Amhive Next S~W. Previous Story Email this story Subscribe Now! Special Sections Election 2003 R~ycling 2003 Ceansus 2000 Central Minnesota local news for 4 November, 2003 4 November, 2003 House committee chaiman questions Northstar rail's cost Kirsti Marohn Staff Writer ST. PAUL -- A key lavauaker claimed Monday that proponents of Northstar commuter rail have low-balled the project's true cost to win support for state funding. More News Business_ Entertainment Life Obituaries Opinion Sports Nation/World .~t~J~cl W_eamer Temp; 33 *F ~ Lo: 27 ~F Related Links GoifCoursep_ Toy, m Tour G~s Price W~tch School Other Links Jobs glassifieds Real Es.L~.e_ Aparm!~ .Contact Us Rep. Phil Krinkie, chairm~ of thc House Capittl Investment Committee, called a news conference in St. Paul with other House Republicans opposed to coramuter rail. Krinkic will compile the 2004 House bonding bill, which Northstar supporters hope will include money for their project. Krinkie, R-Shoreview, said Monday's message was that complete and accurate numbers are needed before deliberations can start on whether the project is worth it. He cited an Oct. 24 letter from Burlington Northern Santa Fe Railway, which owns the railroad between Rice and Minneapolis. The letter to a Minnesota Depar~ent of Transportation official estimates the cost to upgrade the tracks and signals will be $144 million in 2007. MnDOT has estimated the cost for improvements at $60 million, said Mike Schadauer, project manager. MnDOT's budget also includes a $40 million confingmcy, he said. MnDOT is still negotiating with BNSF. Northstar supporter Sen. Dave Kleis, R-St. Cloud, said Krlnkie's cri~cism should have waited until the Federal Transit Administration completes a report on North~tar's costs and benefits later this year. Gev. Tim Pawlenty requested the FTA report and said he will use it to decide whether to support the project. Allstate, Kinne Home. Au~ Mc. Casey's C S_t_o~.~ Pizza cou .Qobom C Ceme ~pecializ~ ~amily ;Or. ~ason l Now patien Belie~ HealthPa! Control co: employ presen http://miva.sctimes.com/miva/cgi-bin/m/va?CMN/Locab'read.mv+20031 ! 04150806+8+ 11/04/2003 170'd 8I:9'[ £0, 9 ,".ON E,89<:S-':;'~Si:-g'9.,,-6:xe._-I Xll'~O3 U),iBNU T-SSS P. 02/04 IC. sthy ?in~el~tltd A~i~hmt IMinrity Whip C~on Rap~ls and Andovef Minnesota House of Representatives COMMII'rEE~I; VICE.C~AIR EN¥1FrO~MENT MID NATURAL RE.~:X.IRC~5 FINANCE; CAPITAL, ~NVESTME~T. ENvIRONMEI~T AND NATURed. R~$1~CE~ POI.ICY, I~UL.E~ A~O i. EG~-~TIVE AJ~MIINI~J'('~A'FIObJ November 5, 2D03 Representative Phil Krini~e -~65 ~mt~ Offic~ Building St, Paul, MN 55155 Senator Mad¥ Reiter 132D State Offi=e Building St. Paul, MN 55155 David Strom, Executive Direc. tor Taxpayers Lea~}ue of Min~,eso~a One Carlson Pa~way. Suite 120 Plymouth, MN 55,~7 On November 3, you held a preSS conference accusing suppor~em of [~e No~bs~r C~mmu~r ~il p~e~ of hiding t~ mai ~ of ~ck ~n~ signal ~pr~eme~ (mm ~ publi~, ~fi~ the ~nt d~emn~s Oe~en ~e BudinQ~n No.em ~ Fe (BN5F) railroad a~ the No~r ~rddor ~v~pment Authofi~ (NCDA) as ev~en~ of d~epfion. As the House chief author of Northstar Commuter Rail, I am offended that you woukl recklessly accuse colleagues in this manner. I cio Know nat polific~ can someames be a contac~ spot, an~ legislature a~ io~yis~ ~o op~se ~ngeGt~ ro!i~ will ~metim~ es~late ~ne rhe~ric to g~ a ~icK ~aQli~. But ~e~ k ~m~ m the ~nhs~r pm~e~, and ~e ~nfinu~ deba~ w;th BN~F ov~ ~e ~ of infra~u~um ~ptovemen~, I ~ave ~c qu~;o~ for you: Haven't you been paying attention to this issue fro' the last four year=? (continued) cjo 'ti 6~: 95 £0, 9 ^ON ~89~-£~£-£9Z-6:x~3 ,X, ll'~03 U>IONI:I Nor. S, hie 2 in my experier~ce in the I_egislature, no sir~gle transportation project has received as muctl scrutiny prior to a legislative clecisk3r~ man Northstar Commuter Rail. This project has been at the center of the transportation funding and bonding d~scusslons for me past two sessions, and received hearings and extensive debate for at least two sass[ohS ptior to that. Unlike many transit and highway projects. Northstar Commuter Rail truly has received extensive debate regarding its cost-effectiveness and the benefits Iii(ely to be realized by ~e State. Continued negotiations with BNSF are critical to clarify the capital co~s. BNSF I~as opera!ecl in 9oocl faitt~ thrOulal~0u! ~[$ process - they are tough negotiators. After all, no rail company is likely to reach a final agreement until both sides know the final engineerin~ results, the likely constructinn date for t~e project and the total amount of funding available for improvements. The NCDA has also c~pecatecl itl goocl fei!lq, tqas Cleveiopecl a cost estimate based on proliminary engineering, artcl lies built in a substantial c~¢~in~lency budget. The two cost ~timat~$ represent me range or parametem o! tl~e upcoming negotia~ns that must take place now to close the 9ap and identify the necessae/ improvements lo me railrOad. Each year, representatives of tl~e NCDA Ilave testified before legi..C,,lative comr~ittees on the progress of BN~F dlscuss,ons. Tills past sessior~, at me urging of Governor Pawlent¥, the Minnesota Leg;sis!ute directed MnDOT and trio NCDA to form a working group to review the Key outstanding issues regaling Northstar, including issues with BNSF. L~eutenant Govsmor Carol Moinau, in her role as Transportation Commissioner, ask, ecl tl~e NCDA to manage the next phase of discussions with BNSF. The NCDA is currently retaining Drofessional counsel to n~otia~e with BNS~: and pro!ecl the interests of lhe State of M;~nesota, ~e taxpayers and tile 30 local anita of government that constitute the NCDA. By January 1§, 2004, the NCDA and BNSF are expectecl to have narrowed ~l~e outstancling issues anti provide a report to the Governor and the Legislatuee on their progress. Your opposition [o Norths.uar Commuter Rail is well ¢o~umentecl, and I ,,nclerstand that even aft.~r e ~ccessfu~ ageeemen[ wi~ BNSF, you are unlikely to change your position. So ~vhat is ~ plan tg relieve eo~lge~tlen in the Northstar corridor? Thus far, no one has disputes !list: Rapid bus transit would cost nearly 60% more to bt4ilCl arid operate over the next 15 years tttan NOrthstar, and that assume~ tlqat clown[own Minneapolis can hancl]e more buses on tlqeir congested rush hour streets 90'd 0~,:9'[ £0, 9 ^oN ~:89S-£~:<;'-£9Z-6:xeJ AINI"I03 U;>IONU I?;~4 I~r=m-NOU;I; Ol: Ifl;l:~ {~E1~1177523 T-~E5 P.{14/04 t:-Illl? Nov. 5, l~a~e 3 · Capacity upgrades m Highway 10 would co=t over twice as much as commuter rail, yet there is no financing for a Higrtway 10 cap~,city project in the 20-year MnDOT plan . Northstar Corntnuter Rail can be operational ir~ four years, moving people Ix~th direc~o~.s w'¢hin ~e corridor between ~c. Cloud and the Twirt Cities You previously have stated a pceferenee fOr more hi§l~way~, but I would aslq what new highway furlding ~4~urces are you willing to propose or, conversely. which specie rtighway projects currently on the MnDOT acnedute am you willing to kill in order t~ fund a heady $1 billion highway capacity improvement for tllie corridor?. YOU seem willing to tell the thousancts ~ residents of ~. Cloud. Backer, Elk River, Coon Rapicts and dozens of other communities in tl'~e Northstar corri0or that c~nge~tion relief can wait for another decade or twa. My constituents and 1 cannot wait. Tl~e corM~lor between St. Cloua aha me Twin cl~ias Is vitally importar~t to supporting continuecl economic and population growth for our region and slate. This is a good problem to have, but we need tc~ move people thrOu~tl~ this corridor more quickly. Noc~J1e~at Commuter Rail i~ Se mos[ cost effec41ve, an(t tile l~e~t way of accompfishiflg thim goal. $1ncer=ly. Kathy Tingelstad / State Representatrve House District 49B Governor Tim Paw~ent7 Lieutenant Goverr~r CarOl Molt~au Meml~em of the Minn,,ma House of Representatives 2_0 '~1 0~': ~JT £0, 9 ^oN ~:89<J-£8£-£9Z-6: x~-I ),/I~IIiD Id)~Nhl