Update on Status of Feasibility Reports for 2019 Street Reconstruction Projects

Purpose:
The purpose of this case is to update the Public Works Committee on the status of the Feasibility Reports for the proposed 2019 Street Reconstruction Projects, Improvement Project #’s 18-02, 19-01, 19-02, and 19-03.

Background:
As directed by City Council, Staff is preparing Feasibility Reports for four proposed 2019 Street Reconstruction Projects, Improvement Project #’s 18-02, 19-01, 19-02, and 19-03.
 
The Feasibility Reports explore numerous aspects of the proposed improvements including whether they are feasible and necessary, whether they are cost-effective, and whether they should be completed alone or in conjunction with other improvements.  Estimated costs will be explored in greater detail than was used to estimate costs for the CIP.  A more detailed project funding program will also be explored, including a description of the methodology used to calculate individual special assessments for benefiting parcels.  A preliminary project schedule will also be developed.

While preparing the Feasibility Reports, Staff is conducting public input meetings with affected residents and businesses to explain the need for the proposed improvements, the scope of the improvements, estimated costs, proposed funding programs, and proposed project schedules.
 
Staff anticipates requesting Council acceptance of draft Feasibility Reports on October 23, 2018, which will allow the projects to be bid over the winter so construction can begin in the spring of 2019.  This schedule will also provide for compliance with all applicable provisions of the City Charter, the City’s Special Assessments Policy, and Minnesota Statute Chapter 429.

If any of all of these streets are not reconstructed in 2019, they can instead be added to the next 5-year SROP to allow reconstruction between 2020 and 2024.  However, this would reduce the amount of pavement maintenance work that can be completed in 2019 since no new streets can be added to the current 5-year SROP, which is attached for reference.
 

Improvement Project #18-02, HY-10 Ramsey Street Reconstructions
City Improvement Project No. 18-02 proposes to reconstruct public street segments within the HY-10 Ramsey development including 146^th Avenue, 147^th Avenue, and Ferret Street. The length of the street segments proposed to be reconstructed total approximately 1,400 linear feet (0.27 miles). A map showing the scope of the proposed improvements is included as Figure 1 in Appendix A of the attached Draft Feasibility Report.
 
These streets were constructed in 1988 with bituminous curb and pavement at a width of 40 feet from face-of-curb to face-of-curb, and are generally centered within a 66-foot wide right-of-way.  However, in 2015, the west end of 146^th Avenue was reconstructed as a cul-de-sac during the Highway 10/Armstrong Interchange project, and in 2012, the east end of 147^th Avenue was reconstructed during the reconstruction of the intersection of Armstrong Boulevard/Sunwood Drive/147^th Avenue.
 
The storm sewer system consists of openings in the bituminous curb at the north end of the Ferret Street cul-de-sac and the east end of the 146^th Avenue cul-de-sac. Utility easements exist north of Ferret Street and along the northern boundary of the eastern Ferret Street cul-de-sac which has shallow ditches leading towards Armstrong Boulevard. Stormwater runoff from 147^th Avenue is collected in catch basins installed with the 2012 Sunwood Drive re-alignment project, and is directed under Armstrong Boulevard via storm sewer to existing regional ponds east of Armstrong Boulevard.
 
The existing bituminous pavement section ranges from 1.6 to 6.1 inches thick, with an average thickness of 2.9 inches, and the aggregate base ranges from 4.3 to 15.5 inches thick, with an average thickness of 9.7 inches. Pavement section thicknesses were determined using data collected by Braun Intertec in 2017 via Ground Penetrating Radar (GPR), as well as from field observations and record plan documents. Copies of Braun Intertec’s GPR results are included in Appendix C of the attached draft Feasibility Report. The pavement section was built on sandy subgrade material generally considered suitable for pavement support.
 
City staff annually evaluates and rates the condition of pavement sections on all City streets using the Pavement Surface Evaluation and Rating (PASER) system. In the summer of 2017, the pavement section of the above referenced street segments were rated with a PASER rating of 2, indicating these streets require complete reconstruction.  City staff patch these streets at least once per year, particularly before winter so the streets can be plowed without further damaging the pavement. Pictures of the streets are located in Appendix A of the attached Draft Feasibility Report.
 
On July 11, 2017, the City Council adopted Resolution #17-07-170 ordering preparation of a Feasibility Report for the reconstruction of streets in HY-10 Ramsey. These streets were originally included in the City’s CIP as proposed 2015 overlay improvements. However, the overlay work was delayed when construction of the Highway 10 & Armstrong Boulevard Interchange was funded. Following completion of the Interchange, the pavement was re-evaluated and Staff determined the pavement was no longer viable for overlay improvements and instead required reconstruction.  This project is now included in the current 10-year CIP as a reconstruction project.
 
When the City Council ordered the Feasibility Report, Staff was directed to review the existing streets in HY-10 Ramsey and explore whether the streets should be reconstructed in the same locations, or whether it might make sense to realign or extend one or more of the streets to better serve existing properties and/or to connect to Bunker Lake Industrial Park.  Minutes from the July 11, 2017 City Council meeting are attached for reference.
 
Staff explored numerous alternative street alignments and/or extensions. In May of 2018, the Development Review Committee (DRC), which consists of Staff from various departments, reviewed several design alternatives and recommended the following.  Reconstruct all streets in their current footprints using pavement sections similar to the existing sections.  Also, replace all existing bituminous curb on 146^th Avenue and Ferret Street.  Lastly, since 147^th Avenue will likely not be modified during redevelopment, the existing watermain should be extended to the west end of 147^th Avenue, and concrete curb and gutter should be constructed along both sides of 147^th Avenue to Ferret Street.  Due to the uncertainty of future development/redevelopment scenarios, Staff determined there are too many unknowns to justify the expense of realigning or extending streets at this time.
 
The Feasibility Report proposes to reconstruct the existing bituminous pavement section using the Full Depth Reclamation (FDR) process which involves reclaiming (grinding and mixing) the existing bituminous pavement with an inch or more of existing aggregate base material. A portion of this reclaimed material is proposed to be spread and compacted on top of the reshaped and compacted existing subgrade/aggregate base. Three and one-half inches of bituminous pavement is then proposed to be installed on top of a minimum of 6 inches of aggregate base (existing aggregate base/reclaim material). This pavement section would generally match the existing pavement section on these streets, and would meet the City of Ramsey’s minimum standard pavement design.
 
Though the design strength of the proposed pavement section may be slightly less than a typical industrial park pavement section, Staff believes it will provide a useful life of at least 30 years based on the life achieved by the existing pavement section. Staff also believes there is a potential for this development to redevelop within the next 10 to 20 years, resulting in the potential realignment of streets.
 
Attached is a figure showing the properties currently for sale in HY-10 Ramsey (to the best of Staff’s knowledge) which indicates the potential for redevelopment may exist in the not too distant future.  However, at this time Staff is proposing to reconstruct the streets in the same locations as they exist today using similar pavement sections as the existing sections, which should provide a design life of at least 30 years.
 
On September 13, 2018, Staff held a public information meeting for the purpose of explaining the proposed improvements, estimated costs, and funding program, including the use of special assessments.  Meeting notices were mailed to all owners of benefiting properties, which include any property having access onto a street segment that is proposed to be improved.  None of the benefiting property owners attended the meeting, or called in advance to discuss the project.  However, since the meeting Staff has been contacted by two of the property owners, and both stated they would be opposed to reconstructing the streets at this time.
 
The engineer’s opinion of probable costs for the proposed improvements, including streets, drainage, and public utilities, is $287,646.65. Estimated costs include 10-percent contingency costs plus 23-percent indirect costs for administrative, engineering, finance and legal costs. A summary of the engineer’s opinion of probable costs is included in Appendix B of the attached Draft Feasibility Report.
 
The project is proposed to be funded using a combination of special assessments to benefitting properties, street reconstruction bond proceeds, and Stormwater Utility Funds. Water Utility Funds are proposed to pay for all public water utility improvements.
 
Nine (9) parcels have been identified as receiving special benefit from the improvements and are proposed to be assessed a total of $61,496.39.  Four of the parcels have permanent structures and the other five are undeveloped.  These parcels are identified in the preliminary Assessment Map and Roll in Appendix C of the attached draft Feasibility Report.  As previously noted, several of these parcels are currently listed for sale.
 
Assessments were calculated using the area method, which is typically used for commercial applications. Staff recommends ordering a special benefit consultation report for this project to verify the proposed assessment amount will not exceed the benefit to properties. If the report concludes the benefit to any of the properties is less than the proposed preliminary assessment rate, Staff may then propose to lower the assessment rate accordingly for the Assessment Hearing, which is proposed for October 8, 2019.  If the report verifies the assessment rate as proposed is justified, Staff will propose to adopt the final assessment roll using the preliminarily approved rates.
 
 
Improvement Project #19-01, Ford Brook Estates Street Reconstructions
Attached are Figures showing the general location of the Ford Brook Estates development in the northeast corner of the City, as well as the overall scope of the proposed improvements.
 
The City of Ramsey’s current 10-year Capital Improvement Plan (CIP) covers calendar years 2018 to 2027.  The plan identifies all public streets proposed to be reconstructed or to receive overlays in 2019 as part of the City’s long-term Street Maintenance Program.  Page 220 from the CIP is attached which shows the streets in Ford Brook Estates are proposed to be reconstructed in 2019.
 
The streets proposed for reconstruction in 2019 within the Ford Brook Estates residential development include about 864 linear feet (0.16 miles) of streets including:

• 180th Lane – Krypton Street to Saint Francis Boulevard/TH 47
• Krypton Street – South of 180th Lane

 
Attached is a street summary sheet including year of original construction, historical maintenance operations, PASER rating(s), and existing pavement section data based on the Ground Penetrating Radar analysis completed by Braun Intertec in 2017.  In general, these streets are 37 years old and have reached the end of their useful life requiring complete reconstruction.
 
The subgrade soils in this area of the City are known to include areas of clay, which may require subgrade corrections. Staff therefore ordered soil borings while developing the Feasibility Report.  The results of the borings were only recently submitted so Staff was still evaluating the project impacts at the time this case was prepared.  More information will be presented to the Committee during the meeting.
 
Preliminary project costs were previously estimated at $240,000.  Based on the results of the soil borings analysis, this estimate could change.  Staff will address this in more detail at the meeting.
 
Staff proposes to fund the proposed improvements using a combination of special assessments to benefiting properties, street reconstruction bond funds, and stormwater utility funds.
 
 
Improvement Project #19-02, Brookview Estates Street Reconstructions
Attached are Figures showing the general location of the Brookview Estates development in the northeast corner of the City, as well as the overall scope of the proposed improvements.
 
The City of Ramsey’s current 10-year Capital Improvement Plan (CIP) covers calendar years 2018 to 2027.  The plan identifies all public streets proposed to be reconstructed or to receive overlays in 2019 as part of the City’s long-term Street Maintenance Program.  Page 223 from the CIP is attached which shows the streets in Brookview Estates were proposed to receive overlays in 2019.
 
In the spring of 2018 Staff re-evaluated the pavement condition of these streets and found the pavement has degraded past the point where an overlay should be applied, and that a total reconstruct is now required.  Staff therefore recommends that these streets be reconstructed in 2019 to allow bonds to be used to pay for the improvements per the City’s 2015 - 2019 Street Reconstruction and Overlay Program (SROP).
 
The streets proposed for reconstruction in 2019 within the Brookview Estates residential development include about 2662 linear feet (0.50 miles) of streets including:

• 173rd Avenue – Germanium Street to east CDS
• Germanium Street – 170th Lane to north CDS

 
Attached is a street summary sheet including year of original construction, historical maintenance operations, PASER rating(s), and existing pavement section data based on the Ground Penetrating Radar analysis completed by Braun Intertec in 2017.  In general, these streets are 39 years old and have reached the end of their useful life requiring complete reconstruction.
 
The subgrade soils in this area of the City are known to include areas of clay, which may require subgrade corrections. Staff therefore ordered soil borings while developing the Feasibility Report.  The results of the borings were only recently submitted so Staff was still evaluating the project impacts at the time this case was prepared.  More information will be presented to the Committee during the meeting.
 
Preliminary project costs were previously estimated at $407,000.  Based on the results of the soil borings analysis, this estimate may change.  Staff will address this in more detail at the meeting.
 
Staff proposes to fund the proposed improvements using a combination of special assessments to benefiting properties, street reconstruction bond funds, and stormwater utility funds.
 
 
Improvement Project #19-03, Wood Pond Hills & Chestnut Ridge Street Reconstructions
Attached are Figures showing the general location of the Wood Pond Hills & Chestnut Ridge developments, as well as the overall scope of the proposed improvements.
 
The City of Ramsey’s current 10-year Capital Improvement Plan (CIP) covers calendar years 2018 to 2027.  The plan identifies all public streets proposed to be reconstructed or to receive overlays in 2019 as part of the City’s long-term Street Maintenance Program.  Page 223 from the CIP is attached which shows the streets in Wood Pond Hills & Chestnut Ridge were proposed to receive overlays in 2019.
 
In the spring of 2018 Staff re-evaluated the pavement condition of these streets and found the pavement has degraded past the point where an overlay should be applied, and that a total reconstruct is now required.  Staff therefore recommends that these streets be reconstructed in 2019 to allow bonds to be used to pay for the improvements per the City’s 2015 - 2019 Street Reconstruction and Overlay Program (SROP).
 
The streets proposed for reconstruction in 2019 within the Wood Pond Hills & Chestnut Ridge residential development include about 3,310 linear feet (0.63 miles) of streets including:

• Krypton Street – Sunwood Drive to West plat line
• Krypton Street – East plat line to West CDS
• 146th Avenue – Nowthen Blvd/CSAH 5 to West plat line
• 146th Avenue – East plat line to Junkite Street
• Helium Street – Sunwood Drive to 146^th Avenue

 
Attached is a street summary sheet including year of original construction, historical maintenance operations, PASER rating(s), and existing pavement section data based on the Ground Penetrating Radar analysis completed by Braun Intertec in 2017.  In general, these streets are 24 - 26 years old and have reached the end of their useful life requiring complete reconstruction.
 
Staff ordered soil borings while completing the Feasibility Report. The results of the borings were only recently submitted so Staff was still evaluating the project impacts at the time this case was prepared.  More information will be presented to the Committee during the meeting.
 
Preliminary project costs were previously estimated to be $315,000.  Based on the results of the soil borings analysis, this estimate may change.  Staff will address this in more detail at the meeting.
 
Staff proposes to fund the proposed improvements using a combination of special assessments to benefiting properties, street reconstruction bond funds, and stormwater utility funds.

Staff anticipates 20 minutes will be required to present this case and address questions.

Staff proposes to conduct public information meetings with benefiting property owners for Improvement Project #’s 19-01, 19-02, and 19-03 sometime between October 23rd, the date Staff proposes to request Council approval to order Public Hearings, and November 13th, the date the Public Hearings are proposed to be conducted.  All applicable input received at these public information meetings would be presented to Council during the Public Hearings for each project on November 13th.

Costs and funding sources are addressed in the background section of this case.

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