Adopt Resolution R2021-020, ordering improvements and preparation of plans and specifications for the 2021 Street & Utility Reconstruction Project, CIF-21-007.

Approve Resolution R2021-020.

On February 2, 2021, City Council received the feasibility report for the 2021 Street & Utility Reconstruction Project. At that time, comments were received and subsequent adjustments to the feasibility were made that include adding the alley north of 1st Avenue between Atwood and Fuller streets to the project area and adding parking to the northwest side of Scott Street. 

Additionally, a virtual informational meeting was conducted on February 4, 2021, where property owners and tenants were in attendance  to discuss the project and to provide the design team additional information about their neighborhood and properties relative to the project. A questionnaire was also mailed to property owners asking for information specific to the street, storm water drainage and utilities in their neighborhoods. All information is included in the amended Feasibility Report (see attached). As a general note, the additional alley work added approximately $21,000 to the overall project cost.

In accordance with Minnesota Statute 429 and City Resolution R2020-012, a Public Hearing for the 2021 Street & Utility Reconstruction Project, CIF-21-007, is scheduled for this evening, February 16, 2021. Proper publication and notice for the improvement hearing have been provided.

City Council is advised to conduct a public improvement hearing for the proposed improvements associated with the 2021 Street & Utility Reconstruction Project. Once the improvement hearing has been conducted, Council should then consider ordering the improvements in accordance with Resolution R2021-020 and authorizing the preparation of plans and specifications for the project. A presentation of the project will be made at the public improvement hearing.

This improvement project was not petitioned by the property owners; therefore, adoption of this resolution requires a 4/5ths vote.

The following costs and funding summary tables provide the estimated amounts as proposed in the attached amended feasibility report (see Table 1), estimated amounts for the River Bluffs Development improvements (see Table 2), and Table 3 shows the combined estimated amounts that compares the overall budgeted amounts in  the 2021 Capital Improvement Plan with the combined amounts from Tables 1 and 2.

Table 1. Cost and Funding Summary - 2021 Street and Utility Reconstruction (revised area)

Table 2. Cost and Funding Summary - River Bluffs  Development Area (Public Improvements)

Table 3. Cost and Funding Summary - 2021 Capital Improvement Plan Estimate for CIF-20-007

The overall CIP budget for both projects is $1,700,000. The updated combined feasibility costs amounts to $1,716,000, which is 0.9 percent over the CIP budget.

Included in the resolution is funding language that would allow the city to reimburse project costs from future bond proceeds. This language allows for greater flexibility in funding current and future projects, should the city desire or need this in the future. The additional language allows the city a period of up to three years to issue and reimburse itself with bond proceeds. The language does not change the requirements or administrative process for issuing debt. All debt issuance will still require separate approval by the City Council.