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5.1.A. SR 02-21-2006 City of Elk River REQUEST FOR COUNCIL ACTION Agenda Section Meeting Date Administration Februa 21,2006 Item Description Presentation from Tinklenberg Group A. Resolution Requesting Federal Transportation Funding for Further Alternative Analysis on the TH 10 Throu h Downtown Elk River Item Number 5.1.A. Prepared by Lori Johnson, Ci Administrator Reviewed by Introduction The Tinklenberg Group has drafted a resolution requesting $500,000 in federal transportation funding for design alternatives for trunk highway 10 through Elk River. Discussion This is a follow-up to a request for funding that was submitted last year. However, as Mr. Tinklenberg explained at the January worksession, for various reasons that funding was not approved. This is another attempt to secure funds. Mr. Elwyn Tinklenberg and his associates will present this resolution at the federal level on the City's behalf. Financial Impact N/A Attachments Resolution Action Requested Consider approval of the resolution requesting federal transportation funding for further alternative analysis on TH 10 through downtown Elk River. Council Action Motion by _ Second by _ Vote Follow Up s: \ Council \Lori \2006 \ Tinklenberg Resolution Memo.doc RESOLUTION 06 - A RESOLUTION FOR THE CITY OF ELK RIVER A RESOLUTION REQUESTING FEDERAL TRANSPORTATION FUNDING FOR FURTHER ALTERNATIVE ANALYSIS ON TH 10 THROUGH DOWNTOWN ELK RIVER WHEREAS, Transportation improvements are essential to the safety of the motoring public traveling through and within the City of Elk River, and; WHEREAS, adequate road capacity assists with the efficient movement of goods and provision of services along the TH 10 corridor and vital to the region, and; WHEREAS, planning and project development activities are necessary to addressing growing demands on existing highways and local streets, and; WHEREAS, The City of Elk River's historic downtown district is the economic heart of the community with a reliance on adequate traffic movements and vehicular access, and; WHEREAS, Current studies such as the Minnesota Department of Transportation's Interregional Corridor Study (IRC Study) provides a general framework for roadway capacity, and safety improvements to guide investment decisions, and; WHEREAS, the Minnesota Department of Transportation's IRC Study reflects the need for transportation capacity, access, and safety improvements along TH lOin the City of Elk River, and: WHEREAS, the City of Elk River is willing to partner with the Minnesota Department of Transportation to continue the project development process including the development of additional TH 10 design alternatives and associated local street improvements through the historic downtown district. NOW, THEREFORE BE IT RESOLVED by the City of Elk River, Minnesota: The City of Elk River requests $500,000 of federal transportation funding to further explore/develop design alternatives for TH 10 through Elk River's downtown district and will provide adequate matching funds to funding provided by Congress. Passed and adopted this 21 st day of February, 2006. ATTEST: Stephanie A. Klinzing, Mayor Joan Schmidt, City Clerk Trunk Highway 10 Historic Downtown Revitalization Project Proiect Overview The City of Elk River's close proximity to the Twin Cities metropolitan area and location along a major transportation corridor offers residents a desirable location to live and work. Rapid growth along the TRIO corridor however, has ..... resulted in the need for transportation improvements that will impact local businesses, neighborhoods and the region as a whole. The future economic vitality of the historic downtown district in Elk River, which is located along TRIO, is already experiencing significant traffic and economic impacts as a result of increasing growth and congestion along the corridor. The THIO Corridor from 8t. Cloud to the Twin Cities is one of the fastest growing corridors in the country and considered a primary HG(ldouJ Cc a/a-I}Ol/J lkrn 5; /. A thoroughfare for commuters, freight movements and recreational travel to central and northern Minnesota. Over the next twenty years, the average daily traffic counts on TRIO through downtown Elk River are expected to double. The City of Elk River's 2004 Comprehensive Plan calls for an expansion of the downtown area through an Old Town zoning district on both the north and south sides of THlO. The City, in conjunction with a private developer, is initiating a $20 million redevelopment project consisting of three-level, multi-use buildings within a two block area of the downtown. As a means to support redevelopment efforts and address the associated traffic issues and concerns, the City of Elk River has developed the Downtown Revitalization Project. The primary goal of the project is to assure the long- term viability of the historic downtown by creating a connection to the rest of the community, and by utilizing the riverfront location. Redevelopment of this area will enhance downtown Elk River's role as a residential, retail and commercial area , as well as revitalize its' investment in the downtown business district. A public/private sector initiative has been developed as part of the project which focuses on the historic context of the downtown by combining retail and residential mixed-use developments, improving pedestrian connections, developing more practical ways to support the efficient movement of local traffic, and the enhancing the potential for better access to transit alternatives for residents of the community. The Minnesota Department of Transportation's (MnlDOT) Interregional Corridor Management Plan identifies a general design alternative for TRIO through the historic downtown district. To accommodate safe access and improve traffic flow, the plan proposes to elevate the highway approximately 20 feet through the downtown area. The City's Comprehensive Plan calls for an expansion of the downtown area through an Old Town zoning district on both the north and south sides of TR 10. The elevated roadway alternative would effectively act as a barrier, consume potential redevelopment property and provide an impediment to important growth and redevelopment opportunities. To that end, the City is pursuing alternative strategies to address needed improvements. Request Summary The City of Elk River is requesting $500,000 to complete an alternatives analysis for roadway and access management improvements on the segment of TRIO between TR169 to the east, and Upland Avenue, west of the historic downtown district. The alternatives analysis will not only look at options for TRIO through the core of Elk River, but also the effect on economic development in the downtown area. As part the analysis, the City will initiate an aggressive public involvement process to build community support for the TRIO project that is consistent with the City's redevelopment goals. In addition, the City will study options for pedestrian movements throughout the historic district and identify multi modal opportunities in III - the downtown area in conjunction with the proposed Northstar Corridor commuter rail servIce. Next Steps With a federal transportation program appropriation, the City will move forward with the alternatives analysis, coordinating the process with ongoing redevelopment efforts in the downtown area. The analysis process will also include a public involvement component directed toward building support for a preferred alternative, as well as the identification of safety improvements for pedestrians, and multi-modal opportunities in the downtown area. The alternatives analysis process will begin as soon as federal funding is identified and made available to the City. MnDOT's District 3 fiscally constrained 2030 plan has no funding allocated for TRIO improvements in Elk River. The IRC Plan states that by 2025 with no improvements, TRIO through Elk River will operate at Level of Service (LOS), which is the worst congestion on the LOS scale. Downtown redevelopment activities cannot be subject to MnDOT's schedule. The preferred design alternative selected by the city will be completed in partnership with MnDOT to ensure compatibility with the IRC Management Plan. Contact Persons Terry Maurer, City Engineer 763/635-1051 tmaurer@ci.elk-river.mn.us Elwyn Tinklenberg, The Tinklenberg Group 763/783-1288 elwyntinklenberg@tinklenberggroup.com Elk River Historic Downtown District Study Area Main Street/TH 10 "rI' -~, ~'~' ,;: ' . -' .,..... .~. ~~;.... "'I' f{.' .i ~\ , . . "" {:r~ ..r ~~-:. ,~.:......\tii -, : ;. ... q,r~. _'-;pO:;r.,. -=..r . t ill ,... ~ $t~"" ~. .. ..f"""""" '~:'TSr'~-..~,;\..'~"""'-:l"" ~'.! -,.. i" t' ,..r ,-:-'1;.1 .. ..... .""_~-- ~-.,.- ~ . ~ ,..... . . ,. ~.~ . . .-<iI- , ' I '_.' -.'::J I:...~ I:l.., _ i WtUU < __.............."". ~,. ~ _ _..":-.-.:.M ;;.=<:.:a..~ . ..-:J!!""-,...... t,jlt .:;;0;.. '" ""- .~- ~ '" -.... .40;' ,~ ,,;.... ?yJ."" _ ~ ". ~."' '..;f... .. ...e..~. . I .- . . ~ ..". , . ':' - - ..' ...... , ':' .. - ... -.' 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I ':, -,-=t J Jackson AveIrH10 RESOLUTION 06 - A RESOLUTION FOR THE CITY OF ELK RIVER A RESOLUTION REQUESTING FEDERAL TRANSPORTATION FUNDING FOR FURTHER AL TERNA TIVE ANALYSIS ON TH 10 THROUGH DOWNTOWN ELK RIVER WHEREAS, Transportation improvements are essential to the safety of the motoring public traveling through and within the City of Elk River, and; WHEREAS, adequate road capacity assists with the efficient movement of goods and provision of services along the TH 10 corridor and vital to the region, and; WHEREAS, planning and project development activities are necessary to addressing growing demands on existing highways and local streets, and; WHEREAS, The City of Elk River's historic downtown district is the economic heart of the community with a reliance on adequate traffic movements and vehicular access, and; WHEREAS, Current studies such as the Minnesota Department of Transportation's Interregional Corridor Study (IRC Study) provides a general framework for roadway capacity, and safety improvements to guide investment decisions, and; WHEREAS, the Minnesota Department of Transportation's IRC Study reflects the need for transportation capacity, access, and safety improvements along TH lOin the City of Elk River, and: WHEREAS, the City of Elk River is willing to partner with the Minnesota Department of Transportation to continue the project development process including the development of additional TH 10 design alternatives and associated local street improvements through the historic downtown district. NOW, THEREFORE BE IT RESOLVED by the City of Elk River, Minnesota: The City of Elk River requests $500,000 offederal transportation funding to further explore/develop design alternatives for TH 10 through Elk River's downtown district and will provide adequate matching funds to funding provided by Congress. Passed and adopted this 21 st day of February, 2006. ATTEST: Stephanie A. Klinzing, Mayor Joan Schmidt, City Clerk ,......~ .. The Tinklenberg Group The intercbange of strategies and solutions City of Elk River Consulting Services Agreement Amendment Number 1 March 1, 2006 Introduction The City of Elk River has determined that additional effort is warranted to secure federal support for the study of traffic management alternatives along TH 10 through the community, including its intersection with TH169, TH101 and Wright County Road 42. Work necessary to accomplish this goal has been identified in the 2005 Consulting Services Proposal submitted to the City by The Tinklenberg Group. This amendment maintains those tasks through the balance of 2006 with particular emphasis on tasks associated with project funding strategies and activities. This amendment will be in effect through December 31, 2006. The cost of this amendment is $36,000 and will be billed monthly according to the terms of the original agreement between The Tinklenberg Group and the City. . Agreed and Approved By: Stephanie Klinzing, Mayor City of Elk River Elwyn Tinklenberg, President The Tinklenberg Group Date Date ~l~,,"ESI01:t1o I ~ i J ~ OF Tf\p.~'li Minnesota Department of Transportation District 3 7694 Industrial Park Road Baxter, MN 56425-8096 Tel: 218/828-2460 Fax: 218/828-2210 Toll Free: 1/800/657-3971 February 15, 2006 Lori Johnson, City Administrator City of Elk River 13065 Orono Parkway Elk River, MN 55330 Dear Ms. Johnson: Thank you for your request for a letter of support regarding your application for federal transportation program funding for the Highway (Hwy) 10 Downtown Elk River design alternatives analysis. We are aware that the City's comprehensive plan calls for an expansion of the downtown area through an Old Town zoning district on both the north and south sides of Hwy 10. To facilitate the safe flow of traffic, Mn/DOT's Interregional Corridor (IRC) management plan proposed to elevate the highway approximately 20 feet through the downtown area. The IRe management plan was endorsed by the Elk River City Council with the caveat that design alternatives need to be explored in more detail. We agree that appropriate alternatives for vehicular and pedestrian movements need to be sensitive to, and compatible with, proposed redevelopment in the historic downtown district. Mn/DOT is pleased to support your application for design alternatives analysis that will compliment IRC Plan elements for the Hwy 10 corridor. Mn/DOT's support does not require Mn/DOT to obtain or provide the matching funds to successful funding applications. Improved traffic flow and safety enhancements benefit the motoring public, citizens, and businesses in Elk River and along this important transportation corridor. We look forward to participating in the design alternatives analysis process when the City secures funding. . !. Bob Busch District 3 Transportation Engineer cc: Brad Larson, Federal Relations Manager, Mn/DOT Government Relations Jim Povich, ADE, Mn/DOT District 3 An equal opportunity employer ~ State feels bumps in the budget for roads starTribune..com I MINNEAPOLIS -ST. PAUL, MINNESOTA Page 1 of4 Welcome I Log in , Member Center Home News,",," Sports"," Lifestyle...,..- Entertainment...,..- Opinion...,..- Cars",,' Homesv Jobsv Shopping v CustomerServicev ROADMONEY -_.-- -~~--._~ ---'~"._-,+~._-,--- Home I Local I GO I Help State feels bumps in the budget for roads In the face of a $300 million shortfall for metro projects, some critics argue for a permanent way to fund construction. Laurie Blake, Star Tribune l~l Printer 1r81 E-mail this Last update: February 20, 2006 _ 12:03 --.' friendly i_,_. story AM One thing came up short while the state was delivering on Gov. Tim Pawlenty's 2003 promises to speed up road projects: money. After underestimating the cost~. of highway building and overestimating federal funding, the Minnesota Department of Transportation this year found itself $300 million short of what it needed to complete the next three year,s of metro road projects. Related Content Local Mayor wants prosecutor to be prosecuted Red Lake chairman denies allegations he blocked drug probe Parents, teachers want to keep North Star Disabled woman battered, raped during 19-hour ordeal Somali public TV show debuts in Owatonna To keep the Crosstown Hwy. 62-Interstate Hwy. 35W reconstruction on schedule to start this spring, the agency has poached $50 million intended by Congress for local road, bike, transit and walking projects in the metro area. And it has gobbled the entire $100 million increase in federal highway money to pay for cost overruns of metro area projects, leaving none for outstate roads. Now as the governor goes to bat for an ambitious plan to borrow $2.5 billion for roads over the next 10 years, transportation advocates and DFLers say MnDOT's budget hole shows the folly of relying on borrowed money and Congress for the state's pressing transportation needs. "It's now clear that Pawlenty oversold what he could do because federal funds he counted on didn't come through," said Margaret Donahoe, legislative director for the Minnesota Transportation d ~.f L-I ~ Alliance. The group says an increase in the gas tax would provide more reliable road funding. Sen. Steve Murphy, DFL-Red Wing and chairman of the Senate Transportation Committee, said the budget deficit is a symptom of a risky transportation plan. "They were betting on the come, and they lost and now they are scrambling around robbing Peter to pay Paul. " In the governor's defense, Rep. Mary Liz Holberg, R-Lakeville, chairwoman of the House Transportation Finance Committee, said "any time we accelerate projects and get them done it's a good thing." Making road improvements sooner rather than later gives commuters more time to spend with their families and avoids higher future construction prices, Holberg said. In the metro area, MnDOT's budget pothole has local officials shaking their heads at the lack of road funding. Cities and counties are just as strapped for money as MnDOT is, said Dakota County Commissioner Paul Krause, who is a member of the Transportation Advisory Board (TAB) that loaned MnDOT the $50 million. "We need permanent transportation financing," said Krause. MnDOT's use of the $50 million means five local projects designed to ease freeway congestion lost their funding. Among those delayed are the extensions of County Road 5 alongside 1-35W in Bumsville and Lake Drive in Lino Lakes; widening of Hwy. 149 in Eagan; and upgrading Pierce Butler Route between St. Paul and Minneapolis to make it an alternative to crowded Interstate Hwy. 94. MnDOT promised to pay back by 2012 the $50 million that would have gone to these and other projects. Bob McFarlin, assistant to the transportation commissioner, said in a letter to legislators that the governor is delivering on his promise to speed up road construction, unlike other states that have stopped projects due to the delay in federal funds. "Minnesota has done an excellent job managing through this crisis and keeping the highway improvement program largely on schedule," he said. But legislators of both parties are concerned about the cost overruns. "I don't think you ever want to have a shortfall whether it's your personal budget or MnDOT's budget ..." Holberg said. "We rely on professional staff to be more realistic about what the money will buy us." Fast-track projects Promising that "relief is on the way," Pawlenty in 2003 initiated an $800 million bond program that used $400 million in state highway bonds to attract $425 million in federal funding. He promised to start 19 projects years ahead of schedule. MnDOT geared up to get the accelerated projects out for bids. Soon the projects were ready to start, but the money to pay for them was not. The Pawlenty plan counted on federal funds from a new congressional transportation bill. In November 2004, the state's transportation commissioner, Lt. Gov. Carol Momau, warned: " The planning and construction of highway projects has become increasingly difficult given the absence of new federal funds and the unpredictability of future federal funding levels. " Under short-term extensions, prior to passage of a new bill, Minnesota received $70 million less than MnDOT projected in 2004 and about $80 million less than projected in 2005. At the same time, project costs were escalating due to cost increases for fuel, steel and concrete. As a result, Momau delayed start of work on the Interstate Hwys. 694/35E interchange in Little Canada by a year, and ultimately postponed the new interchange at Hwy. 169 and Interstate Hwy. 494 in Edina indefinitely. In August 2005, 22 months after MnDOT expected it, the big federal transportation bill became law, amounting to a 46 percent increase over the previous bill. Exactly what that meant was not clear until January when MnDOT announced it would receive $20 million per year less than it anticipated from the federal government through 2008, and the entire increase would go to cost overruns on metro projects. "We decided long ago that it is better to keep the projects that we had planned on board and moving forward rather than cut a bunch of metro projects and start other projects elsewhere," said Abigail McKenzie, director of MnDOT's Office of Investment Management. Outstate legislators were frustrated. "I've never seen highway projects take the political tenor that they've taken in the last three years," said Rep. AI Juhnke, DFL- Willmar. "MnDOT says, 'Well, guess what, folks, we are short of money... Don't worry, rural Minnesota, you'll never miss it'." Better cost estimates The Federal Highway Administration has encouraged MnDOT to do a better job of estimating and controlling project costs. "If something starts to increase, whether cost or schedule on a highway project, we need to be prepared to explain why," said Tom Sorel, the Minnesota division administrator for the federal agency. :3 Dt L( .. Page 4 of 4 MnDOT is taking steps to improve its project estimates and better control costs but not all costs are within the department's control, said Tim Henkel, MnDOT director of program management. "The reality is that as you move towards construction, you are racing to a finish line and trying to get final resolution with the communities," Henkel said. "The end product is sometimes a cost increase, but there has to be a certain amount of flexibility provided so we do the right things and we fix the right things during construction and we get sound projects. " Laurie Blake · 612-673-1711 RESOLUTION IN SUPPORT OF THE REQUEST BY THE CITY OF ELK RIVER FOR FEDERAL TRANSPORTATION FUNDING FOR FURTHER ALTERNATIVE ANALYSIS ON TH 10 THROUGH DOWNTOWN ELK RIVER WHEREAS, the Elk River Area Chamber of Commerce recognizes improved transportation a key to economic stimulation and business growth for Elk River and central Minnesota, and; WHEREAS, significant concerns have been raised regarding the TH 10 Corridor Management Plan for the Central Business District relating to its functionality, access and negative impact on local businesses, and; WHEREAS, transportation improvements are essential to the safety of the motoring public traveling through and within the City of Elk River, and; WHEREAS, planning and project development activities are necessary to addressing growing demands on existing highways and local streets, and; WHEREAS, the City of Elk River's historic downtown district is the economic heart of the community with a reliance on adequate traffic movements and vehicular access, and; WHEREAS, current studies such as the Minnesota Department of Transportation's Interregional Corridor Study (IRC Study) provides a general framework for roadway capacity, and safety improvements to guide investment decisions, and; WHEREAS, the Minnesota Department of Transportation's IRC Study reflects the need for transportation capacity, access, and safety improvements along TH 10 in the City of Elk River, and; WHEREAS, the continued growth of the area is leading to increased travel demand, which, if unmanaged or left unresolved, will be detrimental to the vital role that local businesses provide to the economy, and can negatively affect the level of performance, safety, and congestion experienced by the users of the transportation corridor. NOW THEREFORE BE IT RESOLVED, The Elk River Area Chamber of Commerce recognizes and supports the City of Elk River's willingness to partner with the Minnesota Department of Transportation to continue the project development process including the development of additional TH 10 design alternatives and associated local street improvements through the historic downtown district. FURTHERMORE BE IT RESOLVED, the Elk River Area Chamber of Commerce supports the City of Elk River's request for $500,000 of federal transportation funding to further explore/develop design alternatives for TH 10 through Elk River's downtown district. Adopted unanimously by the Elk River Area Chamber of Commerce Board of Directors on February 21, 2006. Jeffrey A. Gongoll, President Elk River Area Chamber of Commerce