Agenda - Council - 05/13/2014 - Laserfiche WebLink

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2013 General Fund Budget Expenditures: Road Reconstruction Funding -Street Maintenance Budget $ 1,327,500 Revenues: Tax Increment Financing District #4 $ 275,000 Public Improvement Revolving Fund (PIR) $ 244,493 Engineering Staff Time Revenue: Riverdale Drive $ 375,000 Authorized Road Recon Projects $ 202,500 General Fund Tax Lew $ 230.507 Total Revenues $ 1,327,500 The Riverdale Drive project was not delivered in 2013 due to a longer than anticipated plan approval process as required by MnDOT's Cooperative Agreements unit since they are funding a portion of the project. Therefore, the $375,000 in engineering revenue for this project did not materialize in 2013 but will later in 2014 when the project is constructed. The Garnet Street & 168 th Avenue Reconstruction project, which was scheduled for construction in 2013 per the 2013-2017 CIP, was not constructed in 2013 due to the ongoing discussions regarding the potential use of Franchise Fees to fund some or all of the long-term street maintenance program, which must now include street reconstruction projects such as Garnet Street and 160 Avenue. As with the Riverdale Drive project, engineering revenue can be generated with this project once it is constructed. Below is a tabulation of the actual 2013 year-end street maintenance activities. Year End 2013 Actual Activity Expenditures: 2013 Street Maintenance Program $ 454,910 Revenues: Tax Increment Financing District #4 $ 275,000 Engineering Staff Time Revenue: 2013 Street Maintenance Program $ 75,000 Private Escrowed Projects $ 152,881 General Fund Tax Levy $ 230,507 Public Improvement Revolving Fund (PIRI $ 244.493 Total Revenues $ 977,881 Excess Revenues Over Expenditures $ 522,971 (Transferred to PIR fund for future street maintenance projects) Another funding source that is often discussed and not fully understood is our Municipal State Aid Fund. The Minnesota Department of Transportation (MnDOT) annually distributes funds through their State Aid office to cities having a population of 5,000 or more. The purpose of these funds are to help maintain and construct the City's Municipal State Aid Street (MSAS) system, which can include up to 20% of the total City street mileage. The funding distribution is based on a formula determined by the Legislature and defined within State Statute 162. In 2014, the City of Ramsey was allocated a total of $1,059,484 ($610,905 for construction and $448,579 for maintenance) for constructing and maintaining the City's MSAS system. The annual allocations are deposited in the Municipal State Aid (MSA) fund which is dedicated to funding various construction and maintenance projects on the City's MSAS system. Approximately $450,000 is currently allocated for annual bond payments for the Sunfish Lake Boulevard Improvements project (2019 bond expiration) and the Armstrong Boulevard and Bunker Lake Boulevard Intersection Improvements project (2022 bond expiration). As these bonds expire, the previously allocated MSA funds can be applied to other projects on the City's MSAS system. The MSA fund annually contributes $140,000 to the General Fund budget for General Street Maintenance. The current Riverdale Drive Extension/Reconstruction project was budgeted to be funded from the MSA fund in 2014. The current estimated 2014 ending balance of the MSA fund is $254,000. Recommendation: Staff recommends accepting plans and specifications and authorizing bids for Improvement Project 14-01, 2014 Street Maintenance Program Phase 2. Action: Motion to accept or deny plans and specifications and authorization to advertise for bids for Improvement Project 14-01, 2014 Street Maintenance Program Phase 2. Map L Map M Map N Overall Proiect Man Attachments Form Review Inbox Reviewed By Date Kurt Ulnch Kurt Ulnch 05/08/2014 01 39 PM Brace Westby (Originator) Bruce Westby 05/08/2014 03 11 PM Form Started By Bruce Westby Started On 04/29/2014 08 15 AM Final Approval Date' 05/08/2014