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STAFF REPORT <br />DATE: 5/5/2026 <br />REGULAR <br />TO: Mayor and Councilmembers <br />FROM: Jack Griffin. Municipal Sr. Project Manager <br />REVIEWED BY: Sarah Sonsalla, City Attorney <br />AGENDA ITEM: Approve Cooperative Agreements with Washington County for the TH 36 and CSAH 17 (Lake <br />Elmo Avenue) Interchange and South Frontage Road Improvements <br />CORE STRATEGIES: <br />☐ Vibrant, inclusive, connected community <br />☐ Responsive, transparent, adaptive governance <br />☒ Managed Growth <br />☒ Efficient, reliable, innovative services <br />☐ Balanced Finances now and future <br />☒ Resilient Infrastructure <br />BACKGROUND: <br />Washington County is leading an intersection improvement project at Trunk Highway (TH)36 and Lake Elmo <br />Avenue (CSAH 17),including the construction of a South Frontage Road from Keats Avenue to approximately 0.4 <br />miles east of Lake Elmo Avenue (CSAH 17),to improve safety,capacity,and operation of the intersection and <br />surrounding area.The project is planned to begin construction in June 2026 and is scheduled to be completed in <br />the fall 2027. <br />On December 16,2025,the City Council approved a resolution approving Municipal Support for the Trunk Highway <br />36 and Lake Elmo Avenue (CSAH 17)Improvements including the South Frontage Road Extension to Keats Avenue <br />and including a right-turn-only access from eastbound TH 36 to southbound Keats Avenue. <br />ISSUE BEFORE COUNCIL: <br />Should the City Council approve the Cooperative Cost Share Agreement and Cooperative Maintenance Agreement <br />with Washington County for the TH 36 and CSAH 17 (Lake Elmo Avenue)Interchange and South Frontage Road <br />Improvements? <br />PROPOSAL DETAILS/ANALYSIS: <br />Washington County received favorable contractor bids on April 14 with Ames Construction as the apparent low <br />bidder.The County intends to award a construction contract at the May 19 County Board meeting and is targeting <br />a June 1 construction start. <br />Prior to awarding a construction contract,Washington County requires all Project Agreements to be approved <br />and executed,including a Cooperative Cost Share Agreement and Cooperative Maintenance Agreement between <br />the City of Lake Elmo and the County.The purpose for the Agreements is to outline the cost participation by the