Loading...
HomeMy WebLinkAboutItem 06Memorandum To: Mayor and City Council From: Steve Mielke, City Administrator Chris Petree, Public Works Director Zach Johnson, City Engineer Cc: Dennis Feller, Finance Director Date: May 28, 2013 Subject: Capital Improvement Plan (CIP) - Transportation: 2014 - 2018 The Capital Improvement Plan discussion is comprised of a number of sections including Transportation Projects — Financing — Non- Programmed Projects — Options to Consider. The proposed plan addresses $66.5 million of street improvements, reconstruction and maintenance projects. $30,000,000 $25,000,000 $20,000,000 $15,000,000 $10,000,000 $5,000,000 $- TRANSPORTATION PROJECTS City of Lakeville County Projects City Improvements Street Reconstruction Projects + Overlays Pavement Management A project schedule summary is as follows: 2014 2015 2016 2017 2018 Dakota County Projects (City share of cost ONLY) Dodd Blvd (CSAH 9 ): 183rd St - Hayes 3,157,900 CSAH 50/ CSAH 60 Roundabout and expansion 2,295,000 Dodd Blvd (CSAH 9): CSAH 70 - CSAH 46/2 149,200 City Improvements 190th Street: Dodd Blvd - Holyoke Kenrick Ave Extension: 181st - RR Tracks Street Reconstruction Projects and overlays Street reconstruction 7,434,675 6,476,377 6,390,475 6,176,940 6,688,995 Collector reconstruction 3,362,826 Collector Overlays 841,648 625,493 438,533 699,812 Pavement maintenance Total $ 17,785,755 $ 11,021,513 $ 8,232,494 $ 10,450,061 $ 8,693,178 The City staff will, at the May 28 City Council Work sessions, review each of the proposed five year plan transportation projects. The proposed Capital Improvement Plan is financed with $66.5 million of revenues of which half is from non - property tax sources such as Municipal State Aid, Dakota County, Federal grants and escrows. The use of these revenue sources reduces the reliance on property taxes to finance these improvements. Revenue Sources Other $7,590,327 12% Special Assessments 515,495,390 23% Municipal State Aid $7,367,775 1196 2,694,911 1,212,421 1,182,310 1,216,526 1,259,588 1,304,371 FINANCING Dakota County $3,025,800 r 596 Debt paid by Tares 526.194382 391 2 Property Taxes $7,320,333 11% 2,575,000 Dakota County and Federal Fundino Dakota County and Federal grants associated with County projects will provide more than $10 million for two of the proposed Capital Improvement Plan projects. Federal Dakota City City Proiect Grant County Escrows Cost Dodd Blvd (CSAH 9): CSAH 70 to CSAH 46/2 5,610,000 1,253,300 149,200 CSAH 50 /CSAH 60 Roundabout and expansion 1,632,000 1,905,000 106,000 2,189,000 Total $ 7,242,000 $ 3,158,300 $ 106,000 $ 2,338,200 Dakota County approved an "Advance Funding Policy" whereby they will consider advancing the local share of a project (consistent with the County's cost participation policies) in their approved Capital Improvement Plan when the following criteria are met: + The County determines there is a need on the County transportation system that should be addressed sooner than city funding allows. • The County has available funds to pay the city cost share at the time the cost will be incurred. The City submits a request to the County explaining the reason(s) for the County to advance fund their share. • The plan for City repayment to the County is defined in an agreement between the City and County. • County advance funding without interest is limited to a maximum 3 year period. Municipal State Aid The City of Lakeville receives an annual allotment of approximately $2.2 million from the State of Minnesota - Municipal State Aid Street Account. The allocation of state aid monies to urban municipalities is made on the basis of a legislative formula pursuant to Minnesota Statutes 162.07 and 162.13. Under this formula, municipal state aid funds are apportioned to cities based on both construction needs and on population. Fifty percent of the funds are allocated to each municipality based on population with each state aid eligible city receiving the prorated share that its population bears to the total population of all state aid eligible cities. The remaining fifty percent is allocated according to a construction "needs" study, which is a report of the estimated construction costs required to improve the state aid system to standards adequate for future traffic. Each municipality's "needs" apportionment is determined by the prorated share that its "needs" bear to the total "needs" of all state aid eligible cities. The State is revising the "Needs" formula effective 2015; Lakeville's allocation could change, depending on the final formula outcomes. 3 The municipal state aid funds received by cities are divided into two allotments, a construction allotment and a maintenance allotment. The maintenance allotment cannot exceed 35 percent of the city's total state aid funds in any year and must be used for the maintenance of the city's municipal state aid street system. The City Council, at its May 6, 2008 meeting, directed that $374,335 of the State Aid Street maintenance account be appropriated to the Pavement Management Fund to offset the increased property tax due to the Resolution Authorizing the Execution of an Agreement with Regard to a Transit Service Expansion Plan for the City of Lakeville. Maintenance allotments are also appropriated to pay the interest due on municipal state aid bonds. The City currently has several existing state aid bonds outstanding. The construction allotment must be used for the construction or the reconstruction of the City's municipal state aid street system to established standards. Cities receive their construction allotment only after a contract has been awarded for the construction of a street on the state -aid system. Cities do not receive any interest on unspent construction allotments. The municipal state aid rules allow cities, subject to MnDOT approval, to request advanced funding for municipal state aid eligible projects. In order to receive the advance, Municipal State Aid must be funds available and the amount of the advances must not exceed the City's total estimated apportionment for the five years following the advance or $4,000,000 whichever is less. Construction allotments are also appropriated to the principal payments on municipal state aid bonds. The proposed Capital Improvement Plan is premised on the Municipal State Aid Street (M.S.A.) funds being appropriated in 2014 to the County Road 50 / County Road 60 project ($2.189 million) and a portion of the Dodd Boulevard project from 183 to Hayes Avenue ($400,000). The project financing is contingent upon receipt of MSA advanced encumbrance or a Dakota County Temporary Advance. P.M.F. MSA Maint. MSA Construction Year Allotment Allocation Debt projects 2014 2,269,662 (374,335) (837,343) (2,589,000) Debt issuance — Paid with Taxes Ending Account Balance (718,082) Approximately $ 41.6 million of project costs are proposed to be financed with the issuance of debt in the next five years. The debt will be repaid with property tax levies ($ 26.1 million) over a 10 year period commencing in the year following construction and special assessments (approximately $15.5 million) to benefitted property owners. 4 The projects financed with tax levies include street reconstruction projects ($19.6 million), 190 Street improvements ($.6 million - 2014), collector road reconstruction ($3.3 million in 2015), and Kenrick Avenue Extension from 181 Street to the railroad tracks ($2.6 million in 2017). Debt - Purpose Projects Financed with Debt 2014 2015 2016 2017 2018 Taxes 190th Street: Dodd Blvd - Holyoke 658,415 Kenrick Ave (reclaim.) N. Limits - 167th 1,962,619 Heritage Dr /Iberia 927,301 Hamburg Ave: Lkvlle Blvd - 215th 472,906 Kenrick Ave: 181st - RR Tracks. 2,575,000 Street Reconstruction 4,460,805 3,705,265 3,858,482 3,560,792 4,013,397 Debt supported by Taxes 5,119,220 7,068,091 3,858,482 6,135,792 4,013,397 Special Assessments 190th Street: Dodd Blvd - Holyoke 1,926,669 Street Reconstruction 2,973,870 2,771,112 2,531,993 2,616,148 2,675,598 Taxes Debt supported by Sp. Assess. 4,900,539 2,771,112 2,531,993 2,616,148 2,675,598 Total Debt $ 10,019,759 $ 9,839,203 $ 6,390,475 $ 8,751,940 $ 6,688,995 Assuming there are no increases for other property tax levies such as operations and debt, the scope and schedule of the proposed street projects will result in an increase in the tax levy. 0.0% Property Tax Levy Increase - Transportation 3.5% 3.0% - 2.5% -V 2.0% 1.5% - 1.0% - 0.5% 2014 2015 5 2016 2017 2018 The "Other" street improvements which are resulting in tax levies increases including the roundabout at 190 and Holyoke ( .1% in 2015), the collector road reconstructions of Kenrick Avenue, Hamburg Avenue and Heritage Drive (1.7% in 2016) and the Kenrick Avenue extension from 181 Street to the railroad crossing (1.2 % in 2018). A summary of the transportation property tax levy increases or (decreases) are as follows. TRANSPORTATION - TAX LEVIES Increases / (decreases) 2014 2015 2016 2017 2018 Pavement management 6,150 6,181 6,212 6,243 6,274 Debt - existing (98,111) (63,310) 11,608 26,787 (4,808) Debt for Street Reconstruction Projects 2013 construction 292,855 3,575 (1,776) (2,120) 2,509 2014 construction 522,942 2015 construction 434,370 2016 construction 452,332 2017 construction 417,433 Improvement Proiects 190th Street: Dodd Blvd - Holyoke 77,186 Kenrick Ave: 181st - RR Tracks. 301,869 Collector Street Reconstruction Kenrick Ave: N. Limits - 167th 230,079 Hamburg Ave: Lakeville Blvd - 215th 55,439 Heritage Dr /Iberia 108,708 - Total Increase $ 200,894 $ 546,574 $ 844,640 $ 483,242 $ 723,277 % increase of Total Tax Levy 0.9% 2.3% 3.5% 2.0% 2.9% TRANSPORTATION: NON - PROGRAMMED A number of improvement projects have been discussed recently which are not included in the proposed Capital Improvement Plan for various reasons including but not limited to insufficient non - property tax revenue sources in the near term, potential property tax impacts, and /or the projects are premature based on development or transportation needs criteria. The City Council may wish to discuss adding one or more of these projects to the 5 -year CIP Staff is prepared to discuss alternatives to the addition of these projects to the CIP. 6 A summary of non - programmed transportation projects and potential tax impacts if included in the Capital Improvement Plan are as follows. Non - Programmed Projects City Project Total Cost CSAH 50: CSAH 60 (185th) - CSAH 9 (Dodd) 15,614,470 6,948,811 Dodd (CSAH 9): 185th (CSAH 60) - 194th 8,284,200 3,507,890 179th St: Dodd (CSAH 9) - Cedar (CSAH 23) 5,195,000 2,514,850 Keokuk Ave: Queen Anne to Kenwood Trail 2,685,300 2,532,200 TOTAL $ 31,778,970 $ 15,503,751 OPTIONS TO CONSIDER: TRANSPORTATION PROJECT SCHEDULES The proposed Capital Improvement Program is based on staff and consultants observations of road condition and community transportation needs. The Council should confirm whether the project schedule is acceptable or whether it wishes to re- prioritize or reschedule reconstruction of streets based on City Council objectives. a) Project Scheduling — City Collector Road Improvements. The proposed Capital Improvement Plan construction of Kenrick Avenue Extension from 181 Street to the railroad tracks to provide a connection between the Highway 50 business district and the Timbercrest commercial area. The benefitted property owner would be specially assessed; however, the assessments would be deferred until the property develops. The annual debt obligations will be repaid with property tax levies until the property develops. This project is currently scheduled for 2016 in the 2013 — 2017 Capital Improvement Plan; the proposed schedule has moved the project back one year to 2017 in the 2014 — 2018 Capital Improvement Plan Estimated Annual City Tax Year Cost Lexy Kenrick Ave: 181st .. RR Tracks 2017 $ 2,575,000 $ 301,869 7 b) Project Scheduling — City Collector Road Reconstructions The proposed Capital Improvement Plan includes reconstruction of collector roads to be financed with the issuance of debt which are repaid with property tax levies. Estimated Annual City Tax Project Year Cost Lew KenrickAve: North limits - 167th 2015 $ 1,962,619 $ 230,079 Hamburg Ave: Lakeville Blvd - 215th 2015 $ 472,906 $ 55,439 Heritage Dr /Iberia 2015 $ 927,301 $ 108,708 The "estimated annual tax levy" is based on the assumption the City will issue debt which is repaid with property tax levies over a ten year period. If the Council wishes to reduce the tax levy for transportation improvements, postponing the projects until a future date is an option. c) Project Scheduling — Local Street Reconstruction Projects. The City has $33.1 million of street reconstruction projects during the next 5 years. The street reconstruction projects are illustrated on the attached map. The City Council should discuss and consider whether the Council wishes to re- prioritize the reconstruction projects and schedule. OPTIONS TO CONSIDER: FINANCE There are a number of financing options which the City Council may wish to consider. a) County Road Improvements. The non - programmed County projects are as follows; Non - Programmed Projects City Proiect Total Cost CSAH 50: CSAH 60 (185th) - CSAH 9 (Dodd) 15,614,470 6,948,811 Dodd (CSAH 9): 185th (CSAH 60) - 194th 8,284,200 3,507,890 179th St: Dodd (CSAH 9) - Cedar (CSAH 23) 5,195,000 2,514,850 TOTAL $ 29,093,670 $ 12,971,551 8 If the Council wishes to include one or more of the non - programmed County projects in the Capital Improvement Plan, there are several options to consider as described below. a. MSA funding. The Municipal State Aid Account will have a balance of $3.5 million in 2018 or $ 4.9 million in 2019 depending on the designated construction year. The amount available increases to $10.2 million in 2022. P.M.F. Ending MSA Maint. MSA Construction Account Year Allotment Allocation Debt Proiects Balance 812,934 2014 2,269,662 (374,335) (837,343) (2,589,000) (718,082) 2015 2,269,662 (374,335) (841,402) 335,843 2016 2,269,662 (374,335) (843,058) 1,388,112 2017 2,269,662 (374,335) (847,226) 2,436,213 2018 2,269,662 (374,335) (840,326) 3,491,214 2019 2,269,662 (374,335) (396,064) 4,990,477 2020 2,269,662 (374,335) (388,626) 6,497,178 2021 2,269,662 (374,335) (80,860) 8,311,645 2022 2,269,662 (374,335) 10,206,972 b. Municipal State Aid (MSA) Advance Encumbrance or County Temporary Advancement. Advance Encumbrance of $4.0 million of MSA funds is an option IF the MSA funds are available. If the MSA does not have sufficient funds for advance encumbrance, but the City will have a reasonable expectation that MSA funds are available within 3 years, pursuit of County Temporary Advancement is an option. c. MSA debt capacity. A city may issue municipal state aid bonds to finance construction of their state aid system; however, the largest annual amount of principal and interest due in any subsequent calendar year on bonds, including any outstanding obligations, cannot exceed 90 percent of their last annual construction allotment preceding the bond issue. The City currently has the capacity to issue $6.3 million of MSA debt. The debt capacity increases to $11 million in 2020 as shown on the following schedule. It should be noted, however, that issuance of MSA debt does restrict the availability of MSA financing until the debt is retired. 9 Maximum Maint + Maximum Existing NEW - MSA Allotment Const. MSA Allotment Annual Annual PRINCIPAL Year For Debt Allocation petit for Deb De6Y fanacity CAPACITY 2014 2,269,662 (511,678) 1,757,984 1,582,186 847,628 734,558 6,300,000 2015 2,269,662 (485,736) 1,783,926 1,605,533 847,226 758,307 6,500,000 2016 2,269,662 (467,393) 1,802,269 1,622,042 847,226 774,816 6,600,000 2017 2,269,662 (441,561) 1,828,101 1,645,291 847,226 798,065 6,800,000 2018 2,269,662 (414,661) 1,855,001 1,669,501 847,226 822,275 7,000,000 2019 2,269,662 (399,799) 1,869,863 1,682,877 840,326 842,551 7,200,000 2020 2,269,662 (382,961) 1,886,701 1,698,031 396,064 1,301,967 11,100,000 2021 2,269,662 (375,195) 1,894,467 1,705,020 80,860 1,624,160 13,900,000 d. Street Reconstruction Bonds. Issuance of Street Reconstruction Bonds to finance the non - funded projects is an option. The debt would be repaid with property tax levy. The estimated average annual tax levy would be as follows: City Estimated Share of Annual Project Tax Project Cost Levy CSAH 50: CSAH 60 (185th) - CSAH 9 (Dodd) 6,909,648 810,022 Dodd (CSAH 9): 185th (CSAH 60) - 194th 3,507,890 411,232 179th St: Dodd (CSAH 9) - Cedar (CSAH 23) 2,514,850 294,817 TOTAL . $ 12,932,388 $ 1,516,071 The "estimated annual tax levy" is based on the assumption the City will issue debt which is repaid with property tax levies over a ten year period. b) Maturity schedule on debt — taxes The City currently finances its share of cost for street reconstruction projects with tax levies based on 10 year even annual debt schedules. If the Council wishes to reduce the tax levy for street improvements, an option it may wish to consider is extending the maturity schedules to 15 or 20 years. Project 10 - Year 20 - Year Project Cost Maturity Maturity CSAH 50: CSAH 60 (185th) - CSAH 9 (Dodd) 6,948,811 814,613 467,069 Dodd (CSAH 9): 185th (CSAH 60) - 194th 3,507,890 411,232 235,785 179th St: Dodd (CSAH 9) - Cedar (CSAH 23) 2,514,850 294,817 169,037 TOTAL $ 12,971,551 $ 1,520,662 $ 871,892 10 City Estimated Annual Tax Levy Share of Extending the maturity schedules increases interest cost and future tax levies. Other factors to consider are the extent of future improvement projects or reconstruction projects to be financed with taxes. c) Special assessment policy for collector road reconstruction and overlays. The City currently special assesses 40% of reconstruction projects for local streets. However, special assessments are not proposed to be levied for the reconstruction of collector streets. As such the projects are financed with the issuance of Street Reconstruction Bonds which are repaid with property taxes. The proposed CIP includes reconstruction of the following collector streets.' Estimated Annual Property Project Year Cost Taxes KenrickAve: North limits- 167th 2015 $ 1,962,619 $ 230,079 Heritage Dr: Dodd - Holyoke + Iberia 2015 $ 927,301 $ 108,708 Hamburg Avenue: 210th - 215th 2015 $ 472,906 $ 55,439 The Council might wish to consider special assessing reconstruction of collector roads consistent with the policy for local streets. Special assessing collectors for the projects identified above would reduce the tax levy by $1.0 —1.5 million over a 10 year period. d) Alternative financing revenues If the Council wishes to consider other alternatives to property tax levies for financing street improvements, there are several revenue sources available including but not limited to ... • Utility franchise fees. The background information relating to utility franchise fees was provided to the Council at a previous work session. If the Council wishes to pursue utility franchise fees, the background information should be updated. • General Fund balance. The 2012 General Fund balance exceeds estimates by $1.036 million. The Council may wish to consider the various options for appropriating the balance including but not limited to street improvement projects. 11 Recommendation. Staff recommends the City Council confirm and /or provide direction regarding which projects are to be included in the 2014 — 2018 Capital Improvement Plan and project schedule. Council should also provide direction on preferred financing. Based on the comments received from the Council at the May 28 work session, staff will present a revised the proposed Capital Improvement Plan at a future work session. Based on direction provided by the City Council at the May 28 work session, staff will also proceed with coordinating County projects and establishing the framework and structure for the 2014 thru 2015 street reconstruction projects. Utility Capital Improvement projects will be provided to the City Council at the July work session. The facilities and equipment capital improvement budgets will be presented in conjunction with the operating budget in July and August. Parks Capital Improvement projects will be addressed pending the direction provided through the Visioning process. 12 TRANSPORTATION PROJECTS Transportation Proiect Dodd Blvd (CSAH 9): 183rd St to Hayes Ave. 3,157,900 Municipal State Aid Financing CSAH 50/CSAH 60 Roundabout and Expansion Dakota County 1,905,000 Municipal State Aid 2,189,000 Escrows 106,000 Federal Grant 1,632,000 190th Street: Dodd Blvd to Holyoke G.O. Improvement Bonds - Taxes 658,415 G.O. Improvement Bonds - Sp. Assess. 1,926,669 Escrows 109,827 Dodd Blvd (CSAH 9): CSAH 70 to CSAH 46/2 Dakota County 1,253,300 Federal Grant 5,610,000 Municipal State Aid 149,200 Kenrick Ave extension: 181st - RR Tracks. G.O. Improvement Bonds - Taxes G.O. Improvement Bonds - Sp. Assess. Project Summary Kenrick Ave Reconstruct G.O. Street Reconstruction Bonds - Taxes 1,962,619 Heritage Dr/Iberia Reconstruct G.O. Street Reconstruction Bonds - Taxes 927,301 Hamburg Ave: Lkvlle Blvd - 215th G.O. Street Reconstruction Bonds - Taxes 472,906 Pavement Management - Overlays Taxes 2014 2015 2016 2017 2018 2,575,000 841,648 625,493 438,533 699,812 Pavement Management - Maintenance Taxes 838,086 807,975 842,191 885,253 930,036 MSA 374,335 374,335 374,335 374,335 374,335 Street Reconstruction G.O. Improvement Bonds - Taxes 4,460,805 3,705,265 3,858,482 3,560,792 4,013,397 G.O. Improvement Bonds - Sp. Assess. 2,973,870 2,771,112 2,531,993 2,616,148 2,675,598 TOTAL . $ 28,186,055 $ 11,021,513 $ 8,232,494 $ 10,450,061 $ 8,693,178 14 Project name: Project Manager: Anticipated start date: Project Description and location Dakota County recently awarded the construction contract for this project. CSAH -9 (183 Street to Hayes Avenue) will be reconstructed to a 4 -lane divided roadway, including a roundabout at the Highview Avenue intersection, to improve intersection operations, traffic flow and safety along this corridor. The project also includes improvements to Highview Avenue (CSAH -9 to 175 Street). Dakota County is front - ending the 2013 project costs; Lakeville will reimburse the County for its share of costs in 2014. 2014 2015 Revenues Municipal State Aid Fund Municipal State Aid 3,157,900 Total $ 3,157,900 $ Expenditures Design/Right -of -Way Acquisition/Construction Total 3,157,900 $ 3,157,900 15 Dodd Boulevard (CSAH -9): 183 Street to Hayes Avenue Highview Avenue: Dodd Boulevard to 175 Street Chris Petree, Public Works Director 2013 (construction) — 2014 (Reimbursement to County) 2016 2017 2018 Project name: Project Manager: Anticipated start date: Project Description and location Dakota County has identified the CSAH -50 and CSAH -60 intersection as approaching capacity. To provide for increased traffic volumes along with improving intersection operations, traffic flow and safety along this corridor, Dakota County is proposing to construct a multi -lane roundabout at this intersection and expand both CSAH -50 (CSAH -60 to Jurel Way) and CSAH- 60 (CSAH -50 to Orchard Trail) to 4 -lane divided roadways. The project has been approved for $1.6 million in Federal funding. Dakota County is front - ending the 2013 design and right -of- way costs; Lakeville will reimburse the County for its share of the project costs in 2014. Revenues Dakota County Municipal State Aid Escrows Federal Grant 1,905,000 2,189,000 106,000 1,632,000 Total $ 5,832,000 Kenwood Tr. (CSAH-50)/185 St. (CSAH -60) Roundabout Kenwood Tr. (CSAH -50) and 185 St. (CSAH -60) Expansion Chris Petree, Public Works Director 2014 (construction) 2014 2015 2016 2017 2018 Expenditures Design/Right-of-Way Acquistion Construction 5,832,000 $ Total $ 5,832,000 $ 16 I T Project name: Project Manager: Anticipated start date: Project Description and location Traffic volumes on 190 Street are anticipated to increase as a result of anticipated residential development occurring on both the north and south sides of this segment. To provide for increased traffic volumes, improve roadway /intersection operations and make safety improvements along this corridor, the reconstruction of this roadway from its current rural local gravel roadway section to an urban collector roadway section and a single -lane roundabout at the intersection of 190 Street and Holyoke Avenue is proposed. Property on either side of 190 Street is primarily owned by one owner /developer. The property owner /developer may request the City's assistance in financing these improvements via an assessment project. Right -of -way dedication will be provided through the platting process prior to construction. The benefitted properties will be assessed 100% of the 190 Street roadway costs. Costs associated with the roundabout and the Holyoke Avenue realignments are proposed to be shared by the City. Revenues G.O. Impr. Bonds - Sp. Assess. G.O. Impr. Bonds - Taxes City Escrow Total Expenditures Design Right -of -Way Acquisition Construction - 190th Street Construction - RAB and Holyoke Ave Realignment Total 190 Street: Dodd Boulevard (CSAH 9) to Holyoke Avenue 190 Street and Holyoke Avenue Roundabout Chris Petree, Public Works Director 2014 (construction) 1,926,669 658,415 109,827 $ 2,694,911 2015 663,441 1,168,020 863,450 17 $ 2,694,911 $ - $ 2016 2017 2018 Project name: Project Manager: Anticipated start date: Project Description and location Dakota County is proposing to reconstruct CSAH -9 from CSAH -4612 in Scott County, through Eureka Township, to CSAH -70. This project will improve roadway operations and safety, and provide for increased traffic volumes. Proposed improvements within the City include shoulder widening and a mill and overlay. No geometric improvements are expected at the CSAH -70 intersection. This project has been approved for $5.6 million in Federal funding. Dakota County is front - ending the 2013 design and right -of -way costs; Lakeville will reimburse the County for its share of the project costs in 2014. Revenues Dakota County Federal Grant Municipal State Aid Expenditures Design/Right -of -Way Acquisition Construction Dodd Boulevard (CSAH- 9): 215' St. (CSAH -70) to CSAH -4612 (Scott County) Chris Petree, Public Works Director 2014 (construction) 1,253,300 5,610,000 149,200 Total $ 7,012,500 7,012,500 2014 2015 2016 2017 2018 Total $ 7,012,500 $ $ $ $ 18 Project Name: Project Manager: Anticipated Start Date: Kenrick Avenue: 181 Street — Railroad Tracks Chris Petree, Public Works Director 2017 (construction) Project Description and location In order to provide a connection between the CSAH -50 business district and the Timbercrest commercial campus, Kenrick Avenue is proposed to be extended from 181 Street to the railroad tracks west of Kenwood Trail (CSAH -50). Wetlands and topography limit the potential development of this property and the owner has expressed interest in working with the City to make this project viable. Right -of -way dedication will be provided by the property owner prior to construction. The benefitted property could be specially assessed a minimum of 20% of the project costs; the special assessments would be deferred until the property develops. The debt service cost could be financed withproperty tax levies until such time as the deferment ends. 2014 Revenues Improvement Const. Fund Debt Issuance - G.O. Improvement Bonds Property Taxes (future years) 999,100 Special Assessments 1,575,900 Total $ - $ $ - $ 2,575,000 Dwenditures Design 594,400 Right -of -Way Acquisition Construction 1,980,600 Total $ $ $ - $ 2,575,000 $ 19 2015 2016 2017 2018 Project name: Project Manager: Anticipated start date: Project Description and location Lakeville's collector reconstruction and overlay program is designed to provide maintenance to City collector roadways, to maintain the overall condition of the road surface, and gain the maximum service life at the best overall cost. Collector Reconstruction and Overlays Chris Petree, Public Works Director Annual Collector Reconstruction Heritage Dr /Iberia Ave Kenrick Ave: N. City Limit - 167th Hamburg Ave: Llcvlle Blvd - 215th Total collector reconstruction 2014 Collector Overlays Kenrick Ave: 185th - 205th Kensington Blvd: 205th - 210th Holyoke Ave: 215th - Heritage Dr Holyoke Ave /210th Intersection 172nd St: Kenyon Ave - Kodiak Klamath Tr: S. CR 5 - N. CR 5 Ipava Ave: 185th - Kenwood Tr 456,807 384,841 Total collector overlays $ 841,648 $ 927,301 1,962,619 472,906 - $ 3,362,826 20 2015 2016 565,968 59,525 2614 -2G4.8 CAF W.V.4. YK k 2017 2018 137,694 300,839 699,812 $ 625,493 $ 438,533 $ 699,812 w Project name: Project Manager: Anticipated start date: Revenues Pavement Management Fund Property taxes /fund balance Municipal state aid Investment income Total revenues l+lsmnatures Maintenance Crack sealing Seal coating Velocity Patching Patching & Minor Overlays Park parking lots Sidewalk Cone Curb, Draintile Bridge Insp & Repairs /Guardrail Safety Improvements Street Light Improvements Pavement Asset Mgt Support Other (5%) Total maintenance Pavement Management Chris Petree, Public Works Director Annual Project Description and location Lakeville's pavement management program is designed to provide basic maintenance to City streets, to maintain the overall condition of the road surface, and gain the maximum service life at the best overall cost. The program includes miscellaneous repairs, crack sealing, seal coating, velocity patching, curb & sidewalk repair, bridge inspections & repairs, transportation safety improvements and asset management support. 2014 2015 834,586 804,475 374,335 374,335 3,500 3,500 $ 1,212,421 $ 1,182,310 2016 2017 838,691 881,753 926,536 374,335 374,335 374,335 3,500 3,500 3,500 $ 1,216,526 $ 1,259,588 $ 1,304,371 59,488 61,868 64,342 66,916 69,593 224, 973 233,972 243,331 253,064 263,186 107,120 111,405 115,861 120,495 125,315 569,878 592,674 616,380 641,036 666,677 30,512 22,187 15,000 15,000 15,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 25,000 15,000 15,000 15,000 15,000 15,000 30,000 30,000 30,000 30,000 30,000 61,600 - - 30,000 30,000 30,000 30,000 30,000 33,850 35,204 36,612 38,077 39,600 $ 1,212,421 $ 1,182,310 $ 1,216,526 $ 1,259,588 $ 1,304,371 21 Project name: Project Manager: Anticipated start date: Rewnues Improvement Const. Fund Debt Issuance - G.O. Improvement Bonds Property Taxes (future years) 4,460,805 Special Assessments 2,973,870 Total $ 7,434,675 E' penditures Construction Other Total Street Reconstruction Chris Petree, Public Works Director Annual Project Description and location The City embraced a pavement management study prepared in 2009 which sets forth a long -term plan for maintaining City streets based on pre - established standards. The road systems degradation has accelerated in recent years. Staff is therefore recommending advancement of the schedule as shown below. The City Council approved a Street Reconstruction Policy in November 2006 whereby the property owners will be assessed for 40% of the street reconstruction project. The City will finance its 60% share of the project cost with property taxes. 2014 2015 3,705,264 2,771,111 $ 6,476,375 5,507,166 4,775,545 4,733,685 4,607,092 4,954,811 1,927,509 1,700, 830 1,656,790 1,569,848 1,734,184 $ 7,434,675 $ 6,476,375 $ 6,390,475 $ 6,176,940 $ 6,688,995 22 2016 3,858,482 2,531,993 $ 6,390,475 2017 3,560,792 4,013,397 2,616,148 2,675,598 $ 6,176,940 $ 6,688,995 2018 NON - PROGRAMMED PROJECTS Project name: Kenwood Tr. (CSAH -50): Dodd Boulevard (CSAH -9) to 185 Street (CSAH -60) Project Manager: Chris Petree, Public Works Director Anticipated start date: Non - programmed project (Construction could start in 2016 at the earliest) Project Description and location Dakota County and the City conducted a transportation corridor study in 2012/2013 to develop short and long -term improvement recommendations to CSAH -50 (CSAH -60 to CSAH -9) and the surrounding transportation system. The study identified transportation needs for CSAH -50 and evaluated improvement options. The study indicated that this segment of roadway is approaching capacity. To provide for future traffic volumes, improve roadway/intersection operations and improve safety, Dakota County could propose to expand CSAH -50 to a 4 -lane divided roadway. Design and right -of -way acquisition is required. Revenues Dakota County City of Lakeville City Escrows 24 CSAH 50 Recotlstruction (Future) Total 8,587,959 6,948,811 77,700 Total $ 15,614,470 Expenditures Design 876,070 Right -of -Way Acquistion 4,224,640 Construction 10,513,760 Total $ 15,614,470 Project name: Project Manager: Anticipated start date: ll\ 10�rN�T10 Revenues Dakota County City of Lakeville City Escrow Dodd Boulevard (CSAH 9): 194 St. to 185 St. (CSAH -60) Chris Petree, Public Works Director Non - programmed project Project Description and location Dakota County is proposing to expand CSAH -9 to a 4 -lane divided roadway from 194 Street to CSAH -60 as a result of past traffic safety issues to provide for increased traffic volumes, improve roadway /intersection operations and improve safety. Design and right -of -way acquisition is required. There may be potential project savings if this project is designed in coordination with the 190 Street (CSAH -9 to Holyoke Ave) improvements. ,mH Sr W Total $ 4,556,310 3,507,890 220,000 Total $ 8,284,200 Expenditures Design $ 1,548,500 Right -of -Way Acquisition 1,574,700 Construction 5,161,000 Total $ 8,284,200 25 1101111 IT W Project name: Project Manager: Anticipated start date: 179`" Street: Hayes Avenue to Cedar Avenue (CSAH -23) 175 Street: Dodd Boulevard (CSAH -9) to 179 St. Chris Petree, Public Works Director Non - programmed project Project Description and location To provide for increased traffic volumes, improve roadway /intersection operations and improve safety, Dakota County is proposing to construct 179 Street (CSAH -9) to a 4 -lane divided roadway from Hayes Avenue to CSAH -23. Construction and alignment of this roadway is consistent with the Dakota County East -West Corridor Preservation Study. As part of this project, 175 Street will be extended to 179 Street — the City is responsible for 100% of this cost. Right -of -way dedication will be provided by the property owner prior to construction. This project may require changes to the current intersection control (i.e. traffic signal and turn lanes) at CSAH -23 and Dodd Boulevard. These project costs and City financing requirements have not been determined and are not included in the project costs listed below. If development occurs adjacent to this segment, design and construction may be required. Revenues Dakota County City of Lakeville City Escrows E Design Right -of -Way Acquistion Construction Total $ Total $ 26 Total 2,545,950 2,514,850 134,200 5,195,000 1,199,100 3,995,900 5,195,000 Dodd Boulevard Realignment and 175th Street Extension (Future) viSpiRLP„Trio to CPR Project Name: Keokuk Avenue: Queen Anne to Kenwood Trail (CSAH -5) Project Manager: Chris Petree, Public Works Director Anticipated Start Date: Non - programmed project Project Description and location In order to provide a connection between the residential properties west of Interstate 35 and north of 185 Street (CSAH -60) to the Highway 5/50 business district, Keokuk Avenue is proposed to be extended from northwest of Kenyon Avenue to Kenwood Trail (CSAH -5). This extension would also allow the County to eliminate the existing access to Kenwood Trail at 172 Street which doesn't comply with the County's access spacing requirements. Wetlands and topography limit the potential development of this property and the owner has expressed interest in working with the City to make this project viable. The benefitted property could be specially assessed a minimum of 20% of the project costs; the special assessments would be deferred until the property develops. The debt service cost could be financed with property tax levies until such time as the deferment ends. Right -of -way dedication will be provided by the property owner. 27 Revenues Dakota County 137,600 City of Lakeville 2,532,200 City Escrows 15,500 Total $ 2,685,300 Expenditures Design 619,800 Right -of -Way Acquistion Construction 2,065,500 Total $ 2,685,300 i PROJECT FINANCING Transportation Financing Pr o'ect Dakota County Municipal State Aid - Maintenance Pavement Management - Maintenance Financing Dodd Blvd (CSAH 9): CSAH 70 to CSAH 46/2 1,253,300 CSAH 50 /CSAH 60 Roundabout 1,905,000 Total Dakota County 3,158,300 Federal Grant Dodd Blvd (CSAH 9): CSAH 70 to CSAH 46/2 5,610,000 CSAH 50 /CSAH 60 Roundabout 1,632,000 Total Federal Grants 7,242,000 Other - Escrows 190th Street: Dodd Blvd - Holyoke 109,827 CSAH 50 /CSAH 60 Roundabout 106,000 Total Other 215,827 Municipal State Aid (M.S.A.) Dodd Blvd (CSAH 9): CSAH 70 to CSAH 46/2 149,200 CSAH 50 /CSAH 60 Roundabout 2,189,000 Dodd Blvd (CSAH 9): 183rd St to Hayes Ave. 3,157,900 Total M.S.A. 5,496,100 G.O. Improvement Bonds Taxes Kenrick Ave /205th St Roundabout 190th Street: Dodd Blvd - Holyoke Kenrick Ave: 181st - RR Tracks. Street Reconstruction Subtotal Debt Supported by Taxes Special Assessments 190th Street: Dodd Blvd - Holyoke 1,926,669 2014 2015 2016 2017 2018 374,335 374,335 374,335 374,335 4,335 658,415 2,575,000 4,460,805 3,705,265 3,858,482 3,560,792 4,013,397 5,119,220 3,705,265 3,858,482 6,135,792 4,013,397 Street Reconstruction 2,973,870 2,771,112 2,531,993 2,616,148 2,675,598 Total G.O. Improvement Bonds 10,019,759 6,476,377 6,390,475 8,751,940 6,688,995 G.O. Street Reconstruction Bonds Kenrick Ave (reclaim.) N. Limits - 167th 1,962,619 Hamburg Ave: Lkville Blvd - 215th 472,906 Heritage Dr/Iberia 927,301 - Total G.O. Street Reconstruction Bonds (Taxes) 3,362,826 Taxes Pavement Management - Maintenance 838,086 807,975 842,191 885,253 930,036 Pavement Management - Overlays 841,648 625,493 438,533 699,8 '1 2 Total Current Taxes 1,679,734 807,975 1,467,684 1,323,786 1,629,848 Total Financing 28,186,055 11,021,513 8,232,494 10,450,061 8,693,178 29 Revenues MSA allottment - Advanced Encumbrance Escrows Other financing sources Total revenues Total expenditures Municipal State Aid Fund Statement of Revenue, Expenditures and Changes in Fund Balance 2014 2015 2016 2017 2018 2,589,000 2,589,000 Expenditures Dodd Blvd (CSAH 9): CSAH 70 to CSAH 46/2 149,200 Cedar Ave: 162nd St to 179th St. Dodd Blvd (CSAH 9): 183rd St to Hayes Ave. 3,157,900 Kenrick Ave/205th St Roundabout CSAH 501CSAH 60 Roundabout 2,189,000 30 $ 5,496,100 $ $ Net Increase (Decrease) (2,907,100) - Fund Balance, January 1 2,980,711. 73,611 73,611 73,611 73,611 Fund Balance, December 31 $ 73,611 $ 73,611 $ 73,611 $ 73,611 $ 73,611 Revenues Taxes 1,236,150 1,242,331 1,248,542 1,254,785 1,261,059 MSA - Maintenance 374,335 374,335 374,335 374,335 374,335 Total Revenues 1 610,485 1,616,666 1,622,877 1629,120 1,635,394 Expenditures Maintenance Crack sealing 59,488 61,868 64,343 66,917 69,594 Seal coating 224,973 233,972 243,331 253,064 263,187 Velocity Patching 107,120 111,405 115,861 120,495 125,315 Patching & Minor Overlays 569,878 592,673 616,380 641,035 666,676 Park parking lots 30,512 22,187 15,000 15,000 15,000 Sidewalk 25,000 25,000 25,000 25,000 25,000 Conc Curb, Draintile 25,000 25,000 25,000 25,000 25,000 Bridge Insp/Repairs 15,000 15,000 15,000 15,000 15,000 Safety Improvements 30,000 30,000 30,000 30,000 30,000 Pavement Asset Mgt Support 30,000 30,000 30,000 30,000 30,000 Street light improvements 61,600 Other 33,850 35,204 36,612 38,076 39,599 Total maintenance 1,212,421 1,182,309 1,216,527 1,259,587 1,304,371 Overlays Kenrick: 185th - 205th Kensington Blvd: 205th - 210th Holyoke Ave: Heritage - 215th Holyoke Ave: /210th intersection 172nd St: Kenyon Ave - Kodiak Klamath Tr: CR 5 - N. CR 5 Ipava Ave: 185th - CSAH 50 Pavement Management Fund Statement of Revenue, Expenditures and Changes in Fund Balance 2014 2015 2016 2017 2018 456,807 384,841 565,968 59,525 137,694 300,839 699,812 Total overlays 841,648 625,493 438,533 699,812 Total capital improvements 2,054,069 1,182,309 1,842,020 1,698,120 2,004,183 Net Increase (Decrease) (443,584) 434,357 (219,143) (69,000) (368,789) Fund Balance, January 1 1,673,296 1,229,712 1,664,069 1,444,926 1,375,926 Fund Balance, December 31 1,229,712 1,664,069 1,444,926 1,375,926 1,007,137 Fund balance as a % of expenditures 60% 141% 78% 81% 50% 31 Estimated Property Tax Levies For Transportation 2014 201 2016 2017 2018 TRANSPORTATION Pavement management 1,236,150 1,242,331 1,248,542 1,254,785 1,261,059 Debt - existing Improvement Refunding Bonds - 2009 B 278,415 278,415 278,415 278,415 278,415 Improvement Bonds - 2011 157,855 152,673 152,292 151,513 150,135 Improvement Bonds - 2012 534,776 501,570 500,091 488,536 482,069 Street Reconstruction Bonds 2003 A 950,578 941,597 955,000 980,446 986,187 Street Reconstruction Bonds 2005 182,809 188,316 188,148 192,152 191,355 Street Reconstruction Bonds 2007 231,467 208,967 208,967 214,007 213,377 Street Reconstruction Bonds 2009A 356,240 357,292 357,525 362,156 360,879 General ObliRation Improvement Bonds Street reconstruction projects 2013 292,855 296,430 294,654 292,534 295,043 Street reconstruction projects 2014 522,942 522,942 522,942 522,942 Street reconstruction projects 2015 434,370 434,370 434,370 Street reconstruction projects 2016 452,332 452,332 Street reconstruction projects 2017 417,433 190th Street: Dodd Blvd - Holyoke 77,186 77,186 77,186 77,186 Kenrick Ave: 181st - RR Tracks. 301,869 G.O. Street Reconstruction Bonds Kenrick Ave (reclaim.) N. Limits - 167th 230,079 230,079 230,079 Hamburg Ave: Lakeville Blvd - 215th 55,439 55,439 55,439 Heritage Dr/Iberia 108,708 108,708 108,708 Total Transportation Tax Levy 4,221,145 4,767,720 5,612,359 6,095,601 6,818,877 Tax increase 200,894 546,575 844,640 483,242 723,277 % increase over base plus transportation levy' Street Reconstruction 0.9% 2.2% 1.8% 1.8% 1.7% Other 0.0% 0.1% 1.7% 0.1% 1.2% Total 0.9% 2.3% 3.5% 2.0% 2.9% 32