Highway 25 Coalition Agenda Packet 03-30-2017Highway 25 Coalition
Agenda
Thursday, March 30, 2017
7:30 AM
North Mississippi Room, Monticello City Hall
1. Call to order
2. Consideration of approval of meeting minutes from meeting held February 23, 2017
3. Update on Highway 25 Corridor Study
4. Update on Comprehensive Economic Development Strategy (CEDS) Program.
5. Update on Monticello Downtown Planning Study
6. Transportation and related Economic Development or Land Use Updates
• Becker
• Becker Township
• Big Lake
• Big Lake Township (Fiscal Agent)
• Monticello
- TH 25/7th Street Intersection Project Update
• Sherburne County
• Wright County
7. I94 Coalition Update
8. Legislative Updates
9. Other
10. Adjourn
Highway 25 Coalition
Meeting Minutes — February 23, 2017
7:30 AM
Monticello Community Center — North Mississippi Room
Members Present - Big Lake Township - Bob Hofer, and Larry Alfords; Sherburne County —
Tim Dolan, Steve Taylor, Ewald Petersen, and Andrew Witter; Wright County — Mike Potter
and Virgil Hawkins; City of Becker — Tracy Bertram, Rick Hendrickson, and Greg Pruszinske;
Becker Township — Brian Kolbinger; City of Big Lake — Clay Wilfahrt, Raeanne Danielowski,
and Layne Otteson; and City of Monticello — Brian Stumpf, Jeff O'Neill, and Jennifer Schreiber
Others Present — MnDOT — Claudia Dumont; BNSF — Justin Pearson; Tom Emmer's Office —
Stacy Morse
1. Call to order.
2. Consideration of approval of meeting minutes from meeting held January 26, 2017.
Motion made by Bob Hofer and seconded by Tim Dolan to approve the minutes
from the meeting held January 26, 2017. Motion passed unanimously.
3. Update on Highway 25 Corridor Study Request for Proposals
Andrew Witter gave a brief overview of the request for proposals and provided a
summary sheet of the three proposals that were received for the Highway 25 Corridor
Study. The three entities were SRF, HDR, and WSB/Bolton & Menk. The summary
sheet provided listed each proposal's strengths and weaknesses by evaluating the
following items: schedule; overall proposal; project management; data collection;
developed purpose and need; develop public communication plan; develop issues map;
identify environmental issues; traffic modeling; research addition river crossings;
roadibridge concepts; open houses; refine preferred option; phasing plan; and final report.
The committee which consisted of Andrew Witter, Claudia Dumont, and Virgil Hawkins
were all in agreement that SRF provided the best all-around proposal. HDR had some
good points but lacked in areas such as social media — where they would charge extra for
the service. They were all in agreement that the WSB/Bolton & Menk proposal fell short
of expectation and was disappointing. They all expressed concern that it appeared rushed
and lacked content. There was discussion amongst the group on how to proceed with the
selection. Andrew Witter, Claudia Dumont, and Virgil Hawkins, all felt comfortable
choosing SRF. Jeff O'Neill commented that he thinks the group, or a committee, should
interview the top two out of responsibility. Many in the group felt that interviewing
wasn't necessary because they trust the selection committee's choice. Mike Potter added
that SRF has done studies on the I-94 Corridor in the past and is knowledgeable on the
area and project. Tim Dolan and Raeanne Danielowski added that they didn't see a value
in interviewing the consultants.
Motion made my Mike Potter and seconded by Raeanne Danielowski to accept and
approve the SRF proposal for the Highway 25 Corridor Study. Motion carried
unanimously. Motion was made by Tracy Bertram and seconded by Tim Dolan to
authorize the execution of a contract between the Highway 25 Coalition and SRF.
Motion carried unanimously. The contract should be sent to Big Lake Township for
processing and will be provided at the next meeting. Andrew Witter added that any
questions about or to the consultant should be forwarded to him.
4. Update on Comprehensive Economic Development Strategy (CEDS) Program.
Steve Taylor stated that the next CEDS meeting is February 27 in Becker from 2:30 — 4
p.m. There will be an update at the next meeting.
5. Transportation and related Economic Development or Land Use Updates
• Becker Township — Natural Gas Power Plant Legislation has been approved in
both the House and the Senate.
• Becker Township — None.
• Big Lake — Continued discussion has taken place with developer who has
interest in the potential rail yard site. Big Lake introduces their new City
Engineer Layne Otteson. Clay Wilfahrt commented on how single family homes
are increasing in the City.
• Big Lake Township — None.
• Monticello — Brian Stumpf noted that Monticello secured $2.1 Million grant for
the Fallon Avenue Overpass project.
• Sherburne County — Andrew Witter commented on the $1 Million grant
Sherburne County received. Steve Taylor noted that the County is seeing a
growth in housing.
• Wright County — Mike Potter relayed that the County hired BKE as their
Engineer for the County's new court system that is being built. Mr. Potter also
commented that the County is proceeding with a sales tax proposal to help fund
road projects.
6. I-94 Coalition — Corridors for Commerce Update
Mike Potter noted that there wasn't any new information for this update.
7. Status of Membership approval of recent modification to JPA enabling addition of
Becker Township and City of Becker
Members were encouraged to submit their signature page if they have not done so. Big
Lake Township will be sending out invoices for membership.
& Other.
• Brian Stumpf noted that the Monticello Orderly Annexation Area Board voted to not
allow solar in the orderly annexation area.
• Claudia Dumont stated that the bridge on Highway 10 over Lake Orono in Elk River
is being replaced. This is scheduled to begin this summer.
• Tracy Morse, Emmer's Office, recommended that cities look into grants that are
available to fund transportation issues. She also mentioned that there is a `Pancakes
with Emmer' event on February 24 at the Friendly Buffalo in Big Lake.
9. Adjourn.
By consensus meeting was adjourned at 8:30 a.m.
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The House and Senate Republican caucuses have released transportation plans. Neither plan includes any
increase in dedicated transportation fees or taxes (other than a $75 increase in the annual registration tax for
all -electric vehicles in the House bill). Both plans rely on statutorily dedicating existing sales tax revenue that is
currently deposited in the state's general fund. Both plans ignore transit needs in the state. The House plan
provides about $580M in additional funding for transportation for the FY18-19 biennium along with
authorization for $1.3 billion in trunk highway bonds over 4 years. The Senate bill provides additional
resources of $400 million for the biennium along with $325 million in trunk highway bonds over 4 years.
MnDOT has identified a funding gap of $600M per year for the next 10 years between anticipated revenue —
including increased federal funding — and the amount of revenue needed to maintain and improve the system.
In addition, the local system faces a larger annual funding gap — closer to $900M per year. Transit systems
face a funding gap of $65 million for existing service and the state share for major transitways is needed in
order to move ahead with any light rail transit projects.
The House bill (HF861) creates a new Transportation Priorities Fund that would receive the following dollars
currently going into the general fund:
• Existing tax on auto parts (partial) $307M in FY18-19 two-year biennium or $156.8M in FY18 and
$151.1 M in FY19.
• Existing tax on auto rentals (9.2%) $52.3M for the FY18-19 biennium
• Existing sales tax on auto rentals (6.5%) $36.9M for FY18-19 biennium
• Motor vehicle lease sales tax $64M for FY18-19 biennium
• Depositing $136.6M in general fund dollars
• Re -directing existing motor vehicle lease tax dedicated to transportation: $129.8M
TOTAL: $579.81VI for two-year biennium
• Starting in FY2021, re -directs a $10 fee imposed on motor vehicle registration and title transfer to the
Transportation Priorities Fund instead of the Environmental Fund.
Distribution of $579.8M
o Trunk Highway Fund -$203.234 or $106.548M in FY18 and $96.686M in FY19
o CSAH -$95M or $49.837M in FY18 and $45.224M in FY19
o MSAS -$29.5M or $15.467M in FY18 and $14M in FY19
o Town roads and bridges: $8M or $4M per year
o Turnbacks - $9.2M or $4.8M FY18 and $4.3M FY19
o Small Cities Assistance program: $25M for biennium
o Local Bridge program: $24.7M for biennium
o $2.7M Greater MN Transit
o $2.7M five collar counties
Trunk Highway Bonds: $1.313 with, $250M in FY18 for Corridors of Com_ merce' ($50M in state road
construction funds in FY18-19 is set aside for Corridors of Commerce) and $250M each year for 4
years for state road construction with an additional $50M in trunk highway bonds for state road
construction in FY18 and FY19.
The House bill includes significant cuts to transit funding in the Twin Cities Metropolitan Area leaving a funding
shortfall for current transit service. The bill prevents a county or city in the Twin Cities area from spending any
funds for study, project development or construction of a light rail transit project unless the project is
specifically authorized by the legislature. Language prevents the Metropolitan Council from using certificates of
participation or other obligations backed by MVST revenue. The bill eliminates the current requirement that the
state cover 50% of transitway operating costs for any future light rail projects, shifting that cost to CTIB or
metro counties.
The Senate bill (SF1060) statutorily dedicates:
• Existing sales tax on auto parts: $247M for FY18-19 biennium or $123.5M per year
• Existing sales tax on rental cars (6.5%) $37M for biennium or $17.2M in FY18 and 19.7M in FY19
• Existing sales tax on rental cars (9.2%) $52M for biennium or $24AM in FY18 and $27.9M in FY19
• Existing motor vehicle lease sales tax $64M for biennium or $32M per year
TOTAL: $400M for two-year biennium
Distribution:
o $226M Trunk Highway Fund
o $106M CSAH
o $33M MSAS
o $10M one-time Small Cities assistance
o $3.3M Greater MN Transit
o $3.3M five collar counties
Trunk Highway Bonds: $325M over 4 years with $200M for Corridors of Commerce and $125M for
Highways 212, 14 and 12.
Re -directs $117M in turnback account to Trunk Highway Fund
Both bills contain weight limit exemptions — 10% increase for trucks hauling milk -- and an annual permit from
MnDOT for trucks with additional axles hauling 90,000 and 97,000 lbs if hauling construction materials.
Both bills contain policy language requiring changes in MnDOT's highway project selection process as well as
numerous studies.
Language requires MnDOT to develop best practices for highway project selection processes, for both
standard highway program and specialty programs such as Corridors of Commerce which must be
implemented by January 1, 2018. MnDOT is required to contract for a study of highway construction costs,
inflation and cost estimating with a legislative report due February 15, 2018.
The House bill places a cap of $7 million on spending for any bridge that receives funds from the Local Bridge
Replacement program.
Governor's Transportation Proposal
The Governor recommends the state commit to a major investment plan for transportation to fund the
estimated $6 billion dollar gap that exists between funding needs and revenues in the next 10 years.
• Initiating a 6.5% gross receipts tax on gas
• Increasing registration fees (increase additional tax rate from 1.25% to 1.5% and base tax from $10
to $20; phased -in over 4 years)
• Authorizing $2 billion in trunk highway bonds over the next 10 years
• Imposing a'/2 cent sales tax in the metro area for transit
• Implementing $10 surcharges on both motor vehicle registrations and motor vehicle title transfers.
These surcharges would raise an estimated $57 million per year, and would be deposited in the
Special Revenue Fund to fund transportation needs not eligible for trunk highway funds:
o Greater Minnesota transit - $10 million annual base increase
Trunk Highway Fund: $533.8M FY18-19 biennium
CSAH: $295M FY18-19 biennium
MSAS: $77.5M FY18-19 biennium
Metro Transit: $446AM FY18-19 biennium
HIGHWAY 25 CORRIDOR COALITION
JOINT POWERS AGREEMENT
This joint powers agreement (the "Agreement") is entered into this 9th day of February,
20171 by and between the Cities of Monticello, Big Lake and Becker, municipal corporations
under the laws of Minnesota, Big Lake and Becker Townships, public corporations under the
laws of Minnesota, and Sherburne and Wright Counties, bodies corporate and politic under
the laws of Minnesota, The parties to this Agreement are hereafter referred to individually as
"Member(s)" and collectively as the "Highway 25 Coalition."
RECITALS
WHEREAS, Minnesota Statute § 471.59 authorizes the joint and cooperative exercise of powers
common to the Members; and
WHEREAS, State Highway 25 between I-94 and State Highway 10 (the Corridor) has become a
vital local transportation artery supporting the social and economic well-being of the Members;
and
WHEREAS, the Highway 25 Corridor between I-94 and State Highway 10 is an important
connecting link to two major highways that serves a growing regional and statewide traffic
demand; and
WHEREAS, transportation pressure along the Corridor has grown sharply in recent decades
mirroring the growth of State, regional and local populations which have caused a significant
erosion of traffic capacity; and
WHEREAS, with the growth of local, regional and statewide traffic, along with the increase in
rail activity, the Highway 25 Corridor between I-94 and State Highway 10 has become
increasingly congested. Continued growth is destined to further degrade the operation of the
Corridor which will hamper economic development and negatively impact all that travel along
and across it on a daily or periodic basis; and
WHEREAS, a pre-existing development pattern, the Mississippi River and Burlington Northern
railroad all present physical challenges to development and operation of a corridor with
sufficient capacity to meet existing and future needs; and
WHEREAS, given the availability of undeveloped land and projected growth in traffic demand
over time, it is appropriate for member communities to engage in a joint planning effort for the
sake of efficient and orderly transportation facilities development; and
WHEREAS, failure to plan and develop improvement priorities will ultimately result in added
cost and lost opportunities for members of the Highway 25 Coalition and the State of Minnesota;
and
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WHEREAS, the potential of gaining grant funds, as well as State and Federal funding
assistance, for Corridor related improvements are greatly enhanced through development of a
unified voice; and
WHEREAS, each Member has adopted a Resolution finding that it is in the best interests of the
citizens of each jurisdiction to enter into this Agreement.
NOW THEREFORE, pursuant to Minnesota Statutes § 471.59, and in consideration of the
mutual undertakings herein expressed, the parties agree as follows:
1. The Highway 25 Coalition mission is to have the Corridor appropriately expanded to
operate effectively to create timely mobility for workers and emergency response while
saving and enhancing lives through reducing crashes, eliminating rail conflicts and
encouraging more broad economic growth and better connected communities.
2. Activities of the Highway 25 Coalition to include the following;
a. Examination of the impacts of continued growth in Member jurisdictions on
traffic patterns.
b. Conducting traffic studies defining and identifying priority improvements.
C. Preparation of collaborative project design and delivery recommendations.
d. Study of various transportation risks associated with improvement alternatives
and associated timing of the construction of improvements.
e. Identification and application for funding of activities via grant programs.
f. Development of unified effort among local and state interests in obtaining funding
of improvements to include: (i) providing input and leadership within each
Member community on matters pertaining to Corridor improvement planning and
implementation; and (ii) advocacy at the State and Federal level.
g. Partnering with MNDOT on regional transportation decisions and involvement in
regional policy decisions and discussions.
h. Incorporation of public input in planning efforts.
i. Related and ancillary activities or common issues associated with the Highway 25
corridor.
3. Joinder of Member Political Subdivisions. The undersigned Members hereby agree to
join together for the purpose of coordinating short and long term Corridor planning and
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system funding efforts and establishing a joint funding source for said activities through
establishment of the Highway 25 Corridor Coalition. This Agreement shall become
effective upon adoption of a resolution by the governing body of no less than 5 Members,
and shall be binding on all the Members who have joined through adoption of a
resolution by their respective governing bodies for five (5) years from the date the last
original member executes the agreement, unless otherwise extended or amended by the
Members that have signed this Agreement. Near the end of the term of the Agreement,
Members will assess the effectiveness of the organization and determine whether or not
to continue or disband.
4. Highway 25 Coalition Board Composition. Each Member shall appoint annually a
representative to the Highway 25 Coalition Board. Each Member may appoint an
alternate representative who may act in the place and stead of an absent representative
from that Member jurisdiction.
5. Meetings. The Board shall meet at least quarterly on a schedule determined by the
Board. All meetings of the Board shall be conducted in a manner consistent with the
Minnesota Open Meeting Law, Minn. Stat. § 13D.01, et. seq., as amended. Special
meetings may be called by the Board Chair or upon written request of three (3) or more
members of the Board. Written notice of any special meetings shall be sent to all Board
members and to the City Clerk of each City to comply with posting requirements.
6. Powers and Duties. The powers and duties of the Board include, but are not limited to,
expending funds for the purposes noted above including:
a. Approve a work plan and annual budget. In July of each year, the Highway 25
Coalition will establish a work plan and budget for the following fiscal year.
b. Although projects are intended to be completed within a prescribed budget
approved on an annual basis, the Board has the flexibility to modify work plan
and associated expenditures as it deems necessary to support the mission of the
Highway 25 Coalition. In addition, the Board has the option to seek additional
funding from its Members outside of the budget as needs arise.
C. Seek grant funds supporting planning efforts and to utilize funds on hand as
necessary to meet grant program fund matching requirements.
d. Apply for, receive, and expend State and Federal funds available for funding
goals of the Highway 25 Coalition, as well as funds from other lawful sources,
including donations.
e. Enter into contracts with public or private entities as the Board deems necessary
to accomplish the purpose for which the Board is organized, including, but not
limited to, the use of consultants.
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f. Obtain such insurance as the Board deems necessary for the protection of the
Board, its property, members of the Board, and Members.
7. Funding Formula and Accounting. In January, each Member shall contribute its share of
the annual budget based on the following formula:
a. Sherburne County and Wright County to evenly split 50% of the total cost.
b. City of Monticello, City of Big Lake, City of Becker, Big Lake Township and
C. Becker Township and other local jurisdictions that so choose to join will evenly
split the remaining 50% of the total cost.
d. Accounting services supporting Highway 25 Coalition activities shall be provided
by one of its Members with this assignment made by the Board on an annual basis
or as needed.
8. Jurisdiction Liaison Responsibilities. Individual Board members and associated staff are
responsible for maintaining ongoing communication with the Board he/she represents to
include presentation of the annual work plan and budget to their Board.
9. Voting. Each Member shall have one vote on the Board. A quorum shall consist of a
simple majority (51%) of representatives from the membership. An affinnative five
sevenths (5/7) vote of all the members of the Board shall be required by the Board to take
any action, including, but not limited to, the actions as listed in Item 6 (Powers and
Duties), however, at least one of the affirmative votes for any action must be cast by
Members located on opposite sides of the Mississippi River.
10. Officers. There shall be a chair, a vice chair, and a secretary elected from the members of
the Board at the initial meeting of each year. The Board may elect or appoint such other
officers as it deems necessary to conduct its meetings and affairs.
11. Effective Date/Termination. This Agreement shall become effective upon execution by
all of the Members after adoption of an authorizing resolution by the governing body
representing each Member jurisdiction and shall continue in effect for five (5) years after
the date of execution of the last Member to execute this Agreement. This Agreement
shall remain in effect until a party hereto gives notice to the Board of its intention to
withdraw. Notice of withdrawal must be given by July 1St of a given year. Termination
will be effective at the conclusion of the calendar year. This Agreement shall remain in
effect as to the remaining Members provided that there are three (3) or more Members
who desire to continue operating the Board. The withdrawing Member shall not be
entitled to compensation or distribution of any assets of the Board. In the event of
dissolution of the Board, all remaining funds after satisfaction of all payments and other
financial obligations shall be returned to the Members in the same manner in which the
Members contributed funding to the Board in the last full calendar year prior to
dissolution.
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12. No Waiver. Nothing herein shall be construed to waive or limit any immunity from, or
limitation on, liability available to any jurisdiction, whether set forth in Minnesota
Statutes, Chapter 466 or otherwise.
13. Entire Agreement. This Agreement contains the entire agreement between the parties
and supersedes all oral agreements, representations between the parties relating to the
subject matter thereof. Any alteration, variation, modification or amendment of this
Agreement shall be valid only if in writing and executed by all parties.
14. Titles of Sections. The titles of sections of this Agreement are inserted for convenience
of reference only and shall be disregarded in constructing or interpreting any of the
provisions hereof.
15. Severability. If any section, subdivision or provision of this Agreement shall be held
invalid or unenforceable for any reason, the invalidity or unenforceability of such section,
subdivision or provision shall not invalidate or render unenforceable any of the remaining
provisions.
16. Governing Law. This Agreement shall be interpreted in accordance with the laws of the
State of Minnesota.
17. Indemnification and Hold Harmless. The Highway 25 Corridor Coalition shall fully
defend, indemnify and hold harmless the Members against all claims, losses, liability,
suits, judgments, cost and expenses by reason of the action or inactions of the Board
and/or employees and/or the agents of the Highway 25 Corridor Coalition, except for any
act or omission for which the Member's employee is guilty of malfeasance, willful
neglect of duty or bad faith. This Agreement to indemnify and hold hannless does not
constitute a waiver by the Highway 25 Corridor Coalition, any Member or any participant
of the limitations on liability provided under Minn. Stat. § 466.04.
To the full extent permitted by law, actions by the Parties pursuant to this Agreement are
intended to be and shall be construed as a "cooperative activity" and it is the intent of the
parties that they shall be deemed a "single governmental unit" for the purposes of
liability, all as set forth in Minn. Stat. § 471.59, subd. 1 a(a); provided further that for
purposes of that statute, each party to this Agreement expressly declines responsibility for
the acts or omissions of the other parties .
The parties to this agreement are not liable for the acts or omissions of the other
participants to this Agreement except to the extent to which they have agreed in writing
to be responsible for acts or omissions of the other parties.
Each Member acknowledges and agrees that it is insured or self-insured consistent with
the limits established in Minnesota State Statute. Each Member agrees to promptly notify
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all parties if it becomes aware of any potential Board related claim(s) or facts giving rise
to such claims.
18. Data Practices. All government data shall be handled in accordance with the Minnesota
Government Data Practices Act and Federal and State laws and regulations concerning
the handling and disclosure of data. All contracts entered into by the Highway 25
Coalition shall contain a provision which requires the vendor to comply with and defend
and indemnify the Members for a violation of this provision.
19. Counterparts. This Agreement may be executed in counterparts, each one of which will
constitute one and the same instrument.
20. Waiver. In the event that any provision contained in this Agreement should be breached
by any party and thereafter waived by any other party, such waiver shall be limited to the
particular breach so waived and shall not be deemed to waive any other concurrent,
previous or subsequent breach hereunder.
21. Amendments. This Agreement may be amended only by unanimous agreement of the
Members as evidenced by resolutions adopted by their respective governing bodies.
22. Disputes. The Members agree that they will submit any disputes under this Agreement to
mediation prior to resorting to an action in Court.
By signing this Agreement, the parties hereto certify that the same has been approved by their
respective Boards.
(Signatures contained on following pages.)
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01/30/2017 10:28AM 7632638441 ROBERT HOFER PAGE 01101
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