06-01-2020 Council Work Session Packet

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WS – Item #5 WORK SESSION STAFF REPORT Work Session Item No. 5 Date: June 1, 2020 To: City Council From: Michael Grochala, Community Development Director Re: Draft 2020-2024 Street Reconstruction Plan Background The City Council initiated a Street Reconstruction program in 2014 using Street Reconstruction Bonds as the primary funding source. The initial phase of street reconstruction was undertaken in 2015 with the improvement of streets in the Shenandoah neighborhood. The LaMotte and West Shadow Lake Drive projects where approved in 2018. At this time staff is proposing consideration of a street reconstruction plan that includes completing the next two program phases over the next five years as follows: Phase Streets Est. Cost 2021 4th Avenue (Main Street to Pine Street), Karth Rd, Joyer Ln, Talle Ln, Canfield Rd, and Gaage Ln. $2,600,000 2024 Diane Street, Evergreen Trail and tentatively Red Maple Lane $4,400,000 This represents a slight change from the 2021 project included in the last plan. Due to increasingly deteriorating conditions the Karth Area roads where moved up to 2021. Our financial planning assumes approximately $3,250,000 for street reconstruction every three years. 2021 was intended to be a smaller project following the West Shadow and LaMotte reconstructions. Following discussion at the May City Council work session, staff reprioritized the project phasing based on pavement condition, cost, and project locations. This resulted in Danube, 81st Avenue and Elbe Street being pushed back to 2027. Staff has worked with the City’s bond counsel Kennedy and Graven, to refine the plan to meet the provisions of Minnesota Statutes 475 relating to street reconstruction and bituminous overlays. City Charter requirements are not applicable, provided no special assessments are proposed for the street reconstruction improvements under the street reconstruction project. However, the plan is subject to a reverse referendum.