11/06/2006 Council Packet - Laserfiche WebLink

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Staff is anticipating draft plans will be available for council review at the November 6 work session. Right of Way Acquisition Dan Wilson, Wilson Development Services, has begun the right -of -way acquisition process on behalf of the City. A total of sixteen (16) parcels are affected by the project. The total appraised value of the right -of -way to be acquired is approximately $1,300,000. Offer letters, accompanied with a copy of the property appraisal, was distributed to property owners as of September 27, 2006. We are nearing agreement on several parcels and Mr. Wilson will continue to work with property owners to reach an agreement for direct purchase. However, to insure that ongoing property negotiations do not jeopardize the project construction or state and county funding staff will be requesting council authorization, on November 13, 2006, for the City Attorney to commence with eminent domain proceedings. Through this process the City Attorney will be seeking District Court approval to acquire parcels by eminent domain and authorizing quick take provisions that establish a possession date. Under the current time line we would anticipate possession in March. There are several steps to this process that will be more fully explained by the City Attorney. Again, we are hopeful that all acquisition can be obtained by direct purchase and we will continue to negotiate with property owners throughout the process. Funding The estimated project cost is approximately $10,200,000. This estimate includes all anticipated costs (engineering, legal, construction, land acquisition) as well as approximately $800,000 for contingency purposes. Anoka County has provided $3.7 million in their 2007 budget for the project. The City was recently notified that our application for Local Road Improvement funding was approved by Mn /DOT in the amount of $400,000. This brings Mn /DOT's total contribution to $800,000. City staff is working with Springsted Inc., and Kennedy & Graven to evaluate funding options for the remaining $5.7 million. The City previously set aside approximately $2.5 million from the Legacy at Woods Edge project. Funding sources being evaluated include the Trunk Highway 49 Turnback funds ($955,000) and the use of Municipal State Aid Street fund. Staff is also continuing to work closely with Mn /DOT on additional funding options including 1) in -kind contribution of construction engineering ($550,000) and 2) eligibility for Mn /DOT's debt management program ($500,000). (-) 2