Agenda - Council - 01/26/2021 - Laserfiche WebLink

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this award. This project is listed in MnDOT and Anoka County's 2014 Highway 10 Access Planning Study, and the City's 2019 Ramsey Gateway Study. A portion of the full Riverdale Drive project is located on real property owned by Anoka County. This corridor was originally planned for a river crossing across the Mississippi River to the City of Dayton. At this time, Anoka County does not have funding available to contribute to this project (Riverdale Drive Extension). As such, Anoka County has offered that the City can purchase this parcel, repaying grant funds for acquisition and receive any future land sales from redevelopment. This would not be a County Road - it would be a local City Street. As a sidebar, the City still desires to plan for a river crossing, the alignment simply has changed to coincide with Armstrong Boulevard. MnDOT is currently leading a study on the feasibility of this river crossing. Total Assessment Amount and Preliminary Assessment Amount Attached to this case is a detailed breakdown of the proposed Project Proforma. Timelines Capstone Homes has their schedule for subdivision approval for Riverstone South by the end of 2021 with construction to commence in 2022. If the City Council is comfortable with the proposed cost share agreement, this timeframe is feasible. The City Council could consider a higher contribution with traditional funds or introducing an eligible Tax Increment Financing (TIF) economic development project on the commercial/industrial parcels along Highway 10. This could extend the desired timeframe. At the end of the day, the City is not obligated to contribute to any portion of this project at any given time, although there would be value in doing so. The question at hand is to better determine what funding sources can be secured and at what timeframes. The City may be able to assemble additional funding sources (both internal and external) to increase our participation, but that will take time. Future Discussions This case is intended to serve as high-level policy direction. Next steps including, but not limited to Feasibility Report, Approving Plans, Awarding Contract and holding Assessment Hearing will provide additional levels of detail. The intent of this step is to limit the number of alternatives Staff should explore, given the request from the Developer to revise previous direction. The City Council could consider asking the City's Financial Consultant, Ehlers, complete a financial analysis of the private development pro -forma to ensure that their Return on Investment is within industry standards and that the Land Sale Price is within industry standards. The Public Works Committee does not believe this is necessary. Of note, Staff will still be having Ehlers evaluate the Cost Share Framework without evaluating the private development pro -forma to ensure accuracy and compliance with applicable rules and regulations. Alternatives Alternative 1 - Recommend that the City Council proceed the ORIGINAL Cost Share Framework, including their contribution to the County Property, updating planned grant fund revenue and ROW acquisition cost. [Developer/Owner Object] Alternative 2 - Recommend that the City Council proceed with the REVISED Cost Share Framework. [Current Discussions] Funding Source: