3.5. SR 03-05-2007
City of Elk River
REQUEST FOR COUNCIL ACTION
Agenda Section Meeting Date
Consent Match 5, 2007
Item Description
Munici al State Aid S stem Local Advance
Administrator
Introduction
As I have indicated earlier, we have requested and received a $1 million dollar interest-free loan
from the Municipal State Aid System for the purpose of funding the TH 169 Study.
Discussion
This approved loan will be advanced from the General Municipal State Aid Fund and be repaid
over a period of five years from our lI1Ulual allotment of Municipal State Aid dollars. In order to
finalize this loan, it requires a resolution from the City Council. In that resolution, a repayment
schedule of $200,000 per year over a period of five years (2008 - 2012) is outlined.
Financial Impact
As indicated above, the loan is interest-free. The financial impact to the City is a lesser amount of
available Municipal State Aid dollars in the 2008 to 2012 for other projects. The other financial
benefit to the City, of course, is there will be no need to fund the TH 169 Study internally.
Attachments
. Resolution Requesting a Municipal State Aid Local Advance
Action Requested
Adoption of the attached resolution.
Council Action
Motion by_
Second by_
Vote
Follow Up
S:\EngineerImprovFroj\2007 ImprovementProjects\TII 169 Study\03 05 07 CC memo.doc
RESOLUTION 07-_
A RESOLUTION OF THE CITY OF ELK RIVER
A RESOLUTION REGARDING A MUNICIPAL STATE AID LOCAL
ADVANCE
WHEREAS, the City of Elk River has obtained the Commissioner's approval for the
following Municipal State Aid Project:
Project # 204-010-006, and
WHEREAS, said City is prepared to proceed with the planning of said project by
providing local funds to supplement the available funds in the Municipal/Municipal
Turnback Account, and
WHEREAS, the City is undertaking another significant MSAS project at the same time,
and it desires to repay this advance over a period of five years to allow enough available
MSA funds for the other project, and
WHEREAS, repayment of the funds so advanced by the Municipality is desired in
accordance with the provisions of Minnesota Statute ~162.14, Subd. 6, and Minnesota Rules
8820.1500, Subd. 10.
NOW, THEREFORE, BE IT RESOLVED that the Commissioner of Transportation is
hereby requested to approve this basis for financing said construction project
and to authorize repayments from subsequent accruals to said Account, in
the amounts as herein indicated.
$200,000 from 2008 Allotment
$200,000 from 2009 Allotment
$200,000 from 2010 Allotment
$200,000 from 2011 Allotment
$200,000 from 2012 Allotment
Passed and adopted this 5th day of March, 2007.
Stephanie Klinzing, Mayor
ATTEST:
Tina Allard, City Clerk
S:\EngineerlmprovProj\2007 Improvement Projects\ 1B 169 Study\Resolution MSA Local Advance.doc
State of Minnesota )
)ss
County of Sherburne )
CERTIFICATION
I hereby certify that the attached Resolution 07-_ which is a Resolution regarding a
Municipal State Aid Local Advance is a true and correct copy of the Resolution presented to
and adopted by the City Council of the City of Elk River at a meeting therefore held in the
City of Elk River, Minnesota, on the 5" day of March, 2007, as disclosed by the records of
said City and of record in the office.
Tina Allard, City Clerk
(Seal)
S:\EngineerImprovProj\2007 Improvement Projects\lH 169 Study\Resolution MSA Local Advance.doc