Purpose:
The purpose of this case is to adopt Resolution #20-037 Ordering Feasibility Report for Amended 2020 Mill and Overlay Improvements, Improvement Project #20-02A.
 
Background:
As discussed in a separate case, the 2020 pavement overlay improvements as proposed in the 2020 – 2029 Capital Improvement Program (CIP) are not feasible or cost-effective.
 
At the December Public Works Committee meeting, Staff proposed completing different 2020 mill and overlay improvements on streets within the Business Park 95 commercial development, and in Regency Pond 1st, 2nd and 3rd Additions.  These proposed improvements would be designated as City Improvement Project #20-02A, Amended 2020 Overlay Improvements.
 
Based on the current CIP, streets within Business Park 95 are proposed to receive overlay improvements in 2024, and Regency Pond streets are currently proposed to receive overlay improvements in 2022.
 
A copy of the February Public Works Committee meeting minutes are attached.

Notifications are not required for this case.

Observations:
Feasibility Reports explore numerous aspects of proposed improvements including whether they are feasible, necessary and cost-effective, whether they should be completed alone or in conjunction with other improvements, and to explore design options, if necessary. Estimated project costs and funding sources will also be explored in more detail than was done to develop the Capital Improvement Program (CIP).  A preliminary project schedule will also be developed.

Special assessments can be used to fund all or a portion of eligible project costs, regardless of whether bonds are used as a funding source.  Cities may use Municipal State Aid (MSA) or General Funds to fund road improvement projects and still assess a portion of the costs based on applicable local assessment policies and state statutes.  For City of Ramsey projects this includes the applicable provisions of Chapter 8 of the City Charter, the City’s Special Assessments Policy, and Minnesota Statute Chapter 429.  Per the City of Ramsey’s adopted special assessments policy, special assessments of up to 25-percent of eligible project costs are intended to fund a portion of all overlay improvement projects.
 
On March 10th, Staff plans to request Council approval of the Feasibility Report and authorization to call a public hearing for March 24th.  Staff proposes to conduct a public engagement workshop before the public hearing to gather public input.  Owners of property accessing the street segments proposed to receive overlay improvements will be invited.  The purpose of the meeting will be to explain the need for and scope of the improvements, anticipated construction impacts, estimated costs, proposed funding program, and preliminary project schedule.
 
No ground penetrating radar or pavement coring data exists for these streets.  Staff does propose to complete pavement cores while preparing the Feasibility Report.  This work will cost less than $3,000 and will help verify existing pavement thicknesses and conditions to ensure the work can be completed as proposed.

Alternatives:
Alternative #1 – Motion to adopt Resolution #20-037 Ordering Feasibility Report for Amended 2020 Mill and Overlay Improvements, Improvement Project #20-02A.

Alternative #2 – Motion to deny adoption of Resolution #19-264 at this time.

The Feasibility Report will be prepared in-house as part of Staff’s normal duties.
 
Staff currently estimates project costs at $500,000.  Preparing the Feasibility Report will allow Staff to refine the estimated project scope and costs before requesting authorization to prepare plans and specifications.
 
The 2020 pavement mill and overlay improvements are proposed to be funded through the Road Reconstruction/Overlay Fund, which has a current balance of $811,000.  However, the 2019 street reconstruction projects are also utilizing this funding source and have approximately $35,000 in outstanding obligations so the amount available to fund 2020 pavement mill and overlay improvements is approximately $775,000.
 
Up to $250,000 of project costs to mill and overlay streets in Business Park 95 are proposed to be paid from funds reallocated from the unspent 2020 sealcoat budget.

Staff recommends alternative #1, as does the Public Works Committee.

Motion to adopt Resolution #20-037 Ordering Feasibility Report for Amended 2020 Mill and Overlay Improvements, Improvement Project #20-02A.