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14. TH 212 Toll Road Proposal.OF COUNSEL ROBERT C. CARLSON ROBERT L. DAVIDSON WELLINGTON H. LAW CURTIS A. PEARSON T. JAY SALMEN BY FAX AND MAIL 937 -5739 BY FAX AND MAIL 937 -5739 RE: T.H.212 Toll Road Proposal Dear Don and Don: In the course of our efforts to communicate to the public ' about the T.H. 212 Toll Road proposal, we are aware of a couple of concerns about the governance of the project during and after construction. The following are a couple of positions which we are proposing for consideration by the Cities of Eden Prairie, Chanhassen and Chaska and Carver County as they each evaluate their position concerning the proposal. Please review these ideas and give us your thoughts about whether they are acceptable to you. They are us fo11o . 1. An institutional trustee (bank) will oversee disbursement ' of all bond proceeds during and upon completion of construction of the project. The trustee will also oversee toll revenues following completion of the project until the bonds are fully paid. 2. Interwest DLR Group/ Infrastructure Corporation and 212 Community Highway Association are both agreeable to the creation of a joint powers agency, comprised of those local units of government ' wishing to participate, which will assume responsibility for ownership and operation of the project upon completion of the project. RECEIVED - 1 FEB 141996 t TH195 -1 CITY O1= CHANHASSEN TH 195 -1 KENNEDY & GRAVEN Attorneys at Law CHARTERED JAMES J. THOMSON 470 Pillsbury Center, Minneapolis, Minnesota 55402 LARRY M. WERTHEIM ROBERT A. ALSOP (612) 337 -9300 BRUCE M.BATTERSON DAVID L. GRAVEN (1929.1991) RONALD H. BATTY Facsimile (612) 337 -9310 ' STEPHEN J. BUBUL JOHN B. DEAN DANIEL J. GREENSWEIG DAVID J. KENNEDY CHARLES L. LEFEVERE JOHN M. LEFEVRE, JR. WRITER'S DIRECT DIAL ROBERT J. LINDALL ROBERT C. LONG JAMES M. SCROMMEN February 12, 1996 Don Chmiel, Mayor City of Chanhassen 690 Coulter Drive ' Chanhassen, MN 55317 Don Ashworth ' City Administrator City of Chanhassen 690 Coulter Drive Chanhassen, MN 55317 OF COUNSEL ROBERT C. CARLSON ROBERT L. DAVIDSON WELLINGTON H. LAW CURTIS A. PEARSON T. JAY SALMEN BY FAX AND MAIL 937 -5739 BY FAX AND MAIL 937 -5739 RE: T.H.212 Toll Road Proposal Dear Don and Don: In the course of our efforts to communicate to the public ' about the T.H. 212 Toll Road proposal, we are aware of a couple of concerns about the governance of the project during and after construction. The following are a couple of positions which we are proposing for consideration by the Cities of Eden Prairie, Chanhassen and Chaska and Carver County as they each evaluate their position concerning the proposal. Please review these ideas and give us your thoughts about whether they are acceptable to you. They are us fo11o . 1. An institutional trustee (bank) will oversee disbursement ' of all bond proceeds during and upon completion of construction of the project. The trustee will also oversee toll revenues following completion of the project until the bonds are fully paid. 2. Interwest DLR Group/ Infrastructure Corporation and 212 Community Highway Association are both agreeable to the creation of a joint powers agency, comprised of those local units of government ' wishing to participate, which will assume responsibility for ownership and operation of the project upon completion of the project. RECEIVED - 1 FEB 141996 t TH195 -1 CITY O1= CHANHASSEN TH 195 -1 If CORRINE H. THOMSON JAMES J. THOMSON LARRY M. WERTHEIM BONNIE L. WILKINS JOE Y. YANG DAVID L. GRAVEN (1929.1991) OF COUNSEL ROBERT C. CARLSON ROBERT L. DAVIDSON WELLINGTON H. LAW CURTIS A. PEARSON T. JAY SALMEN BY FAX AND MAIL 937 -5739 BY FAX AND MAIL 937 -5739 RE: T.H.212 Toll Road Proposal Dear Don and Don: In the course of our efforts to communicate to the public ' about the T.H. 212 Toll Road proposal, we are aware of a couple of concerns about the governance of the project during and after construction. The following are a couple of positions which we are proposing for consideration by the Cities of Eden Prairie, Chanhassen and Chaska and Carver County as they each evaluate their position concerning the proposal. Please review these ideas and give us your thoughts about whether they are acceptable to you. They are us fo11o . 1. An institutional trustee (bank) will oversee disbursement ' of all bond proceeds during and upon completion of construction of the project. The trustee will also oversee toll revenues following completion of the project until the bonds are fully paid. 2. Interwest DLR Group/ Infrastructure Corporation and 212 Community Highway Association are both agreeable to the creation of a joint powers agency, comprised of those local units of government ' wishing to participate, which will assume responsibility for ownership and operation of the project upon completion of the project. RECEIVED - 1 FEB 141996 t TH195 -1 CITY O1= CHANHASSEN TH 195 -1 3. In the event it is agreed that a joint powers agency should be created, upon completion of the project and MDOT approval of the project as completed, the board of directors of the Association will resign and the joint powers agency will assume responsibility for operation. 4. The Association would be happy to immediately accept an agreed upon number of additional directors as the representatives of the local units of government. Ve tru you , Robert J. nda 1 RJL:ds cc: Mike Mason Steve Berquist Mark Senn Colleen Dockendorf HJL100195 TA195 1 KENNEDY & GRAVEN CHARTERED Attorneys at Law 1. McLeod County Board of Commissioners, adopted February 20, 1996; 2. Glencoe City Council, adopted February 20, 1996; CORRINE H. THOMSON 3. Cologne City Council, adopted February 20, 1996; 470 Pillsbury Center, Minneapolis, Minnesota 55402 JAMES J. THOMSON ROBERT A. ALSOP (612) 337.9300 LARRY M. WERTHEQN BRUCE M. BATTERSON - BONNIE L. WILKINS RONALD H. BATTY Facsimile (612) 337.9310 JOE Y. YANG STEPHEN J. BUBUL ' Very my yours' 4 JOHN B. DEAN Robe t J. Lindall DAVID L. GRAVEN (1929 -i991) DANIEL J. GREENSWEIG Dick Carr (by fax w/o enc) Councils both adopted resolutions of DAVID J. KENNEDY Tom Bartikoski (by fax w/o enc) support on February 22, 1996, but we OF COUNSEL CHARLES L. LEFEVERE ROBERT C. CARLSON JOHN M. LEFEVRE, JR. WRITER'S DIRECT DIAL ROBERT L. DAVIDSON ROBERT J. LINDALL WELLINGTON H. LAW ROBERT C. LONG February 23, 1996 CURTIS A. PEARSON JAMES M. STROMMEN T. JAY SALMEN BY MESSENGER Don Chmiel Mayor, City of Chanhassen 7100 Tecumseh Lane Chanhassen, MN 55317 BY MESSENGER Don Ashworth City Manager City of Chanhassen Chanhassen, MN 55317 RE: T. H. 212 Toll Proposal Dear Don and Don: Enclosed to each of you for the information of the Chanhassen City Council are ' the following resolutions which have been adopted by other bodies in support of the T.H. 212 Toll Road proposal: ' 1. McLeod County Board of Commissioners, adopted February 20, 1996; 2. Glencoe City Council, adopted February 20, 1996; 3. Cologne City Council, adopted February 20, 1996; 4. Waconia City Council, adopted February 20, 1996; and 5. Olivia City Council, adopted February 20, 1996. I am sure that you noticed that the "Now, Therefore" provision of the City's proposed resolution reserves the City's right to adopt a resolution during the veto ' period, if it should choose to do so, notwithstanding the adoption of the currently proposed resolution. ' Very my yours' 4 Robe t J. Lindall cc: Bob Farris (by fax w/o enc) P. S. Norwood and Young America City Dick Carr (by fax w/o enc) Councils both adopted resolutions of ' Tom Bartikoski (by fax w/o enc) support on February 22, 1996, but we Ted Grindal (by fax w/o enc) don't yet have copies. Gene Ranieri (by fax w/o enc) Todd Vlatkovich Bob Roepke Dave Pokorney ' RJL100720 TH195 -1 e ' introduced the following resolution and moved its adoption: COUNTY OF MCLEOD RESOLUTION NO. L - � B 0 RESOLUTION SUPPORTING CONSTRUCTION OF PROPOSED NEW TRUNK HIGHWAY 212 AS A TOLL ROAD Wl3ER.AS, the County of McLeod ( ,, County ") is a Minnesota governmental subdivision which is responsible for the public health, welfare and safety of its residents; and WHEREAS, the County is crossed by Trunk Highway 212 ("T. H. 212 ") and its residents depend upon T . H. 212 as a principal connection to the Minneapolis - St . Paul area; and the WEX EAS, the County has cooperated with and supported the efforts en of cities and counties within and outside the County and the Minnesota Departm Transportation (MNDOT) in efforts to obtain construction of New T.A. 212; and WHEREAS, the centerline for New T . H. 212 was first identified by MDOT in 1967; WHEREAS, Carver C ounty and the Cities of Eden Prairie, Chanhassen and Chaska provided assistance d of the EnvironmenW Impact St (EIS) for Ne T. H to 212 completi from I -494 to Cologne; and WE MEAS, the construction limits for New T _ 11. 212 were reserved on the comprehensive plans of Eden Prairie, Chanhassen, Chaska and Carver County in 1987; and WHEREAS, the New T. H. 212 project has been included in numerous MNDOT construction programs that proposed construction in 1993 and previous years but the project has never been funded; and WHEREAS, the 1996 -1998 State Transportation Improvement Program (STIP) includes a project that will construct one mile of the 18 mile New T. H. 212 project; and WHEREAS, the State of Minnesota and the federal government have both indicated that neither is likely in the foreseeable future (i.e., before 2015) to be able and willing to appropriate sufficient funds to enable construction of New T.H.212; and WHEREAS, it currently seems unlikely that the Minnesota Legislature or Congress will appropriate sufficient new highway funding to assure construction of New T. H. 212 prior to 2015; and WHEREAS, in recognition of the lack of sufficient future state and federal fun the Metropolitan Council's transportation plan for the year 2015 indicates R JL100246 ffi95 -1 1 H 1 that New T.H. 212 should not be completed west of Eden Prairie Road (Hennepin County Road No. 4) prior to 2015; and WHEREAS, there is presently heavy congestion on T. H . 5 and exis T . H - 212 for substantial periods of each day; and WHEREAS, traffic on T. H . 5 at Powers Boulevard was 250% greater in 1994 than it was in 1988; and WHEREAS, existing T. H. 212 between 1.494 and Chaska is subject to a number of unsafe conditions which, together with heavy traffic and heavy truck traffic, cause this segment of highway to be among the least safe highways in the State of Minnesota; and wEoERF.AS, the v a s p ossible convinced andin an completed from I -494 to Cologne as soon event before 2015; and WSEBF.AS, MNDOT has solicited proposals for construction and financing of new highways as toll roads; and WHEREAS, the Interwest /DLR Infrastructure Corporation ( "Interwest ") and 212 Community Highway Association ("Association ") ha te uu a bmit e oP�" )�� to MNDOT for construction of New T. H. 212 as a tollway WHEREAS, Interwest and Association have requested that County endorse the Interwest Proposal as being in the best interests of the County; WHEREAS, the Interwest Proposal is the only proposal submitted to MNDOT for construction of New T.H. 212 as a tollway; WHEREAS, it is in the best interests of the County that New T . H - 212 be constructed as soon am poss��le; and WHEREAS, it is not likely that New T.R.212 will be constructed if it is not constructed as a toll road. All existing routes (including, but not limited to, existing T . H . 212 and T. H. 5) will remain open and available for use without charge after construction of New T.H. 212; Due to diversion of traffic to New T. H. 212, existing T. H. 212, T.A- less congested 5 and other alternate routes are likely to be substantially if New T. H. 212 is built than if New T . H - 212 is not built; Because New T.H. 212 will be built in 1997 under a single negotiated construction contract, it should be built at a substantial sa to A with the cost if built over several Years and p compare several publicly bid contracts; before 2015 Because the project will be financed by Internal Revenuoe b d Se ction for 6320 tax exempt bonds, the bonds are revenue bonds; approximately 2% lower interest rate than typical RnIO02 2 TU95 -1 Because the bonds will be revenue bonds secured only by toll revenues, real property taxpayers will have no risk of incurring a tax levy to finance any deficiency in toll revenues; The bond indenture will include a covenant entitling the State of Minnesota to satisfy the remaining indebtedness under the bonds at any time, take title to the project and elimina the duty to pay tolls; New T. H. 212 is proposed to be a four lane, divided expressway with grade separated intersections, which will be partially or totally depressed in most locations; Two lanes will be added to T. H. 5 between Wallace Road and I -494 (which will be useable without payment of a toll) at an earlier time than would otherwise be proposed by MNDOT; All previously exis roads crossing the proposed New T. H. 212 right of way will continue to cross New T. H. 212 (by ins of grade separated crossings) after its construction; Berms, other sound abatement techniques, landscaping and other measures will be utilized to mitigate any adverse impacts of New T. H - 212 to adjacent property owners; A trustee bank will oversee disbursement of all bond revenues during - construction and all toll revenues until the bonds are fully paid; The owner - operator of the tollway will be Association, a non - profit corporation (unless a joint powers agency is agreed won to replace the Association following construction) ; and - Construction of new T.H. 212 as a toll road will require a muc l el l y by investment of public funds than if the project federal and state funds . NOW TgERF.F'ORE, BE IT RESOLVED, that the County supports the Interwest proposal to finance, construct, operate and maintain New T. H. 212 as a tollroad . The motion for the adoption of the foregoing resolution was duly seconded o by d Member v and upon being taken thereon, the following in favor thereot IVI s and the following voted against same: '195 -1 H Where upon said resolution was declared duly passed and adopted_ Dated: ; eb. 2 -o 1995 / � Z Chair, Board of Comrm SIOne AA" cjjz� �, Attest: County trator FJLI00246 MU95 -1 4 introduced the follo -Ing resolution and mo-ed its adoption: CITY OF COLOGNE RESOLUTION NO. ( - I � RESOLUTION SUPPORTING CONSTRUCTION OF PROPOSED NEW TRUNK HIGHWAY 212 AS A TOLL ROAD 1 WHEREAS, the City of Cologne ( "City ") is a Minnesota municipal corporation which is responsible for the public health, welfare and safety of its residents; and WHEREAS I the City is located adjaccat to T. H. 212 and its residents depend upon T. H. 212 UILd T. H. 5 as their principal connections to the Minneapolis -St. Paul area; and WIIERFAB, the City has cooperated with and supported the efforts of the cities and counties within the T . H . 212 corridor and the Minnesota Department of Transportation ( MNDOT) in efforts to obtain construction of New T. H. 212; and WHEREAS, the centerline for New T. H. 212 was first identified by MNDOT in 1987; WHEREAS, the construction limits for New T . H . 212 were reserved on the comprehensive plans of Eden Prairie, Chanhassen, Chaska and Carver County in 1987; and WHEREAS, Carver County and the Cities of Eden Prairie, Chanhassen and Chaska provided financial and technical assistance to MNDOT to assist in the completion of the Environmental Impact Statement (EIS) for New T. H. 212 from I-494 to Cologne; and WHEREAS, the New T. H. 212 project has been included in numerous MNDOT construction pro that proposed construction in 1993 and previous years but the project has never been funded; and WHEREAS, the 1996 -1998 State Transportation Improvement Program (S TIP) includes a project that . will construct one mile of the 18 mile New T . A . 212 prof and WMEAS, the state of Minnesota and the federal government have both indicated that neither is likely in the foreseeable future (i.e., before 2015) to be able and willing to appropriate sufficient funds to enable construction of New T.H.212; and WHEREAS, it currently seems unlikely that the Minnesota Legislature Co Q f Congress will appropriate sufficient new highway funding t New T. H. 212 prior to 2015; and WHEREAS, in recognition of the lack of sufficient future state and federal funding, the Metropolitan Council's transportation plan for the year 2015 indicates RJLIUO245 7'9195 -t iF 1 I Ted 1790Z 99b Zi9 : 'ON 3JOHd 9NOO d0 U 1 : WMU �J that Now T. H. 212 will not be completed went of Eden Prairie Road ( Hennepin County Road No. 4) prior to 2015; and WHEREAS, there is presently heavy congestion on T. H. 5 and existing T.H. 212 for substantial periods of each day; and WHEREAS, traffic on T. H. 5 at Powers Boulevard was 250% greater in 1994 than it was in 1988; and WHEREAS, existing T. H. 212 between I -494 and Chaska is subj to a number of unsafe conditions which, together with heavy traffic and heavy truck traffic, cause this segment of highway to be among the feast safe highways in the State of Minnesota; and WHEREAS, the City is convinced that New T.H. 212 must be completed from I -494 to Cologne as soon as possible and in any event before 2015; and WHEREAS, MNDOT has solicited proposals for construction and financing of new highways as toll roads; and WIILREAS, the Interwest /DLR Infrastructure Corporation ( "Interwest ") and 212 Community Highway Association ( "Association ") have submitted a proposal to MNDOT for construction of New T.H.212 as a tollway ( "Interwest Proposal "); WHEREAS, Interwest and Association have requested that City endorse the Interwest Proposal as being in the beat interests of the City; WHEREAS, the Interwest Proposal is the only proposal submitted to MNDOT for construction of New T.H. 212 as a tollway; WHEREAS, it is in the best interests of the City that New T . H. 212 be constructed as soon as possible; and WHEREAS, it is not likely that New T.H.212 will be constructed before 2015 If it is not constructed as a toll road. WHEREAS, the Interwest Proposal contemplates that! - All existing routes (including, but not limited to, existing T. H. 212 and T.H. 5) will remain open and available for use without charge after construction of New T. H. 212; Due to diversion of traffic to New T. H. 212, existing T. H . 212, T. H . 5 and other alternate routes are likely to be substantially less congested if New T. H. 212 is built than if New T. H. 212 is not built; Because New T.H. 212 will be built in 1997 under a single negotiated construction contract, it should be built at a substantial savings as compared with the c ust if built over several years and pursuant to several publicly bid contracts; Because the project will be financed by Internal Revenue Code Section ' 6320 tax exempt bonds, the bonds are likely to be sold for approximately 2% lower interest rate than typical revenue bonds; sniooa�s alll9s -x 2 . zod b90Z 99b E19 : 'ON 3NOHd 9NOO 90 u 10 : WO2U - Recause the bonds will be revenue bonds secured only by toll revonues, real property taxpayers will have no risk of incurring a tax levy to finance any deficienoy in toll revenues; The bond indenture will include a covenant entitling the State of Minnesota to satisfy the remaining indebtedness under the bonds at any time, take title to the project and eliminate the duty to pay tolls New T.H. 212 is proposed to be a four lane, divided expressway with grade separated intersections, which will be partially or totally depressed in most locations; Two lanes will be added to T.H. 5 between Wallace Road and I -494 (which will be useable without payment of a toll) at an earlier time than would otherwise be proposed by MNDOT; - All previously existing roads crossing the proposed New T. H. 212 right of way will continue to cross New T. H. 212 (by means of grade separated crossings) after its construction; - Berms, other sound abatement techniques, landscaping and other measures will be utilized to mitigate any adverse impacts of New T. H . 212 to adjacent property owners; A trustee bank will oversee disbursement of all bond revenues during construction and all toll revenues until the bonds are fully paid; The owner - operator of the tollway will be Association, a non - profit corporation (unless a joint powers agency is agreed upon to replace the following construction) ; and Construction of New T. H. 212 as a toll road will require a much smaller Investment of public funds than if the project were funded solely by federal and state funds. NOW THEREFORE, BE IT RESOLVED, that the City supports the Interwest Proposal to finance, construct, operate and maintain Now T.H.212 as a toll road. The motion for the adoption of the foregoing resolution was duly seconded by Member ZI M M r and upon the vote being taken thereon, the following voted in favor thereof: w !P-KF. -NWf}V 5F-k ZIlyM10IZ, 5 N f}wt l�t7 (/ r� Pr %A Vot) and the following voted against same : lq0r4 r+.._ F_� L� anxoozas =9S -1 20d t7cP7 9qb 7iq ' 'nN =*JnwA aucxi - in-� An i i r -i • 1. inv _J s t i Whereupon said raevlutiu&% wm duclared duly paeeed and adopted. Dated: F:F—bRVAkY X , 1998 Attest: city Cleft R=00Z4e =95 -1 QG17 QQ47 7TQ • *rWj aAlnLj -I Mayor n 7AIM1n^n An 1 1 T) L Inv J Councilmember Knodt ntz^cx'alced the foL1owr3ng resol &tad it- GCpcio CITY OF WACONIA F_InOLLrTION NO. 9 6--•34 RESOU'LMON SUPPORTING CONS`rRuCTION Op pRU v Iv'r TRUNK HIGHWAY' 212 AS A TOLL ROAD WHEREAS, the City of Waconia ( "City) ia a minaesota municipal c s�3i�uCx; which is responsible for the public health, weLfare and safety of its WAS, the City is located adjacexlt to T.11. 5 azzd its reside=ts depend uponT . H . 5 and T . H . 212 as their principal co mentions to the eapc a 5 i . p area; and WEU MEAS, the City hes cooperated wfth and supported the eff of t% c ties and counties within the T . H . 212 corridor and the Minnesota Depa..rtment of Transportatioxz (MNDOT) in efforts to obtain ccnstructi.on of New T. H. 212; and 1967; WMMRAS, the c Near T. far Ne T . H. 232 was first ident ��} iEed by pT in ' S, the c0l'strUction its for New T . H . 21.2 were reser on +she cotmprehensive plaza. of Eden Ririe, CbAzLhassen, Chaska and Carver County in 1987; and WURR AS, Carver Count:- and the Cities of Eden Preizie, C hajo ;,H� �-q and Chaste prodded financial and te eh>^i t 1 assistan _ to i"d1~iDOT to as : - the completion of the Enriror�meatal impact Statemetyt (EIS) for New T. 11.211 fir r -42-4 to Cologne; and WBTREAS, the New T . H . 212 project has been included in rL=ermu , O T cOnstructiOn programs that proposed construc#dan iza. 1993 and previOUs Yl a*zs but_ z2 e prcaett has never been funded; and WAS, the ;.998 - 1998 State Traospo -_ tation I roveu�t Frog= *.s.rt (STS: ineitzdes a project th rill ronstz uet ona Mate of t2ae 18 zee New T . A . y p , r o et' ; and WHEREAS, the SMte cz 3 and the fedemi government Wit"^. indicated that neither is likes- y iz� the foreseeable f:jzure <i,e., before 2!15; to be able and wil to appropriate sufficient funds t.c enable construction of New T.9.212; and WHER S, it curzen ey seems tUaI &eIY tha= the Minnesota Leg'siat -ate or Co ^ess viii_ apprc�p�te suf lcient new b hwa { funding to as r , - ,� f f JAL G ? \..'1 16 'lew T . H. - 212 prior to 2015 ; a.=,-- WHEREAS, > z'�c e ra ucM of the Lack of s.ifficieat fu�zre s tate e<: :3 1 -I-n g, thQ% :%AetropoEta.,c Co'c.mci!'3 transporta p an for thig yea- G0s 1.•�r'•t�'�a I I that New T. H. 212 will riot be 4omplexed west of Eclen Road No . 4) prior to 2025; and WH) RRgA,S, Cher; s pi ertly wavy co on 1 . H . 5 and. e_-<js _;q . 212 for substaxttial period of each clay; and WE SEAS, traffic on T . H. 5 at sowers boulevard was 250-% greater i 19 thL3n it was in 1988, and - YEOMEA.S, e- isting i. H. 212 betwre 1 -494 axed Chaska is subject to a nu b,� ' of un-fe conditions which, tc g'rhex with beams v traffic and heavy true Minnesota; and ong cause this segment of b;gh 8y to be am the safe bLighways i t the State o f WEQEREAS, the City is convinced that New T. H. 212 must be =mpleted from 2-434 to Cologne as soau as Possible and in any event before 2035; and ' new W, MRFAS, MN.1 OT has solicited propo for cczastn; coon and $x� acing of Yxigh.ways a$ toll roads; and WJHK Y-AS, the Interwv_istlDLIZ Infrastructure Corporation { "Ynterwesift} and 2:12 Corte unity Highway Associatia ( "Assomaticn") have snbmitted a proposaj to WIDOT for constructicu Of New T, H. 212 as a tollway ("Interwest pr(Yposal ") ' W inter- EU:Id A-ssoofation. 1nave request..e that City endorse the l nterwest Proposal as being :m the hest interests of the City; ' fo WHEREAS, the Tntsx�esi Proposal is the only proposa+ ' submitted t.) m structien o£ New T- H. 2�? 2 as a taUway; WEREA.S, it is in the best inierest..s Of The City t1^A t New T . H . 212 - re constructed as soon as pcssible; - VILIR - 17 -A.S , it is not 1&ely that N ew T . H . 212 :vM be constructed before 2015 Z it is not constructed as a tc11 road. WBXREA the Znterwest P-rcposal contemplates that: - All existing routes (including, but not l ud ted to, e3ds T. I? . 2? 2 anal T . H. 5) %U re zi open and available for use without e a-go after c of New T . H 212; ' - Due TO divers ar, of t? -t€fic to New T. H. 212, ex. ting T.H. o and other alternate routes are li ety tc be subs *.& tni.all less cu stvd if New T.H. 212 is b uilt , bar, if New T.H. 212 is not built; Because INew T. H. 212 'Nil I be built La 1997 turlder a si =g 1z net,; meted CC IL sbauld be built at 7 a sianstantial sa;:T1� as a ' c�mPell "q i t y r i e t'.75T i bu t Over seveZ l years 3rad pal.: s - at to sevaraU publ cIl bild c-onrraCts; 3euse tie :t'`;eCi �ivanced by internal Revenue Code t erect oZ2 32C �� ererrpt birds, the bonds EIre likely to be _o ld r, -,_ app = •c :r, � r °r ' fawer i_IjteX"es- Tate than typi: 4 revenue bonds; r 1 Because the bonds will be revue bonds secured only by toil reve"es real property taxpayers wilt have no risk of isicurr+ g a tax i ., c f - wnc'-9 - wry deficiency in toll revenues; The 'bond indentuxe will include a cove7Ant entity the Mate of Minnescta to satisfy the re •under the L�C�ds at anY time, take tide to the project and el�nato the duty to pay _o ; New T.H. 212 is proposed to be a four Isue, divzded expresy grade separated int EZ'S2Cf ans, which will be part3aUy ar tat y depressed in most Iocations; Two lames will be added to T.H. 5 between Wallace Road and 1 (which will be useable without past of a toll) at an earl tie than would otherwise be Proposed by MDOT; °- A11 previcrusxy e�dstiug roads crossing the proposed New 'T T . H. 212 might Of way wiU continue to cross New T.H. 2,1,.2 (by means --f ode separated crossings) after its construction; Berms, othner 4 o Ld aba.temei,t tec ques ?.andscapix g d other Mures will be utMzed to mitigate auy adverse ixpa,cts of New T . R. 212 to adjacent property owners; A trustee bank gill. Ovotrsee disbursement of all bond revenues da ring c:toZlstruction amd 811 toll mvenu+es until tine bands $re fulty paid; The owrxer- operator of the to.Uway will be Association, a non -p.# corporation (unless a jet powers agency is agreed ixpoL to ia the Association fotlow coustruci ion) ; and Camst mCUOL of New T. ii. 212 as a toll road vrM require a much sir indestmeat of public funds than if the project were federal and state fundz NOW T LEFORRR, BE IT RESOLVED, .ba.t the City s upports th)c �:cru -eat Prcposal to Hance, conga ct , uperate and ma Main Now T. H _ 212 as a _od d , :'he motion far the ad=. dou of t e foregming resoitttio3z w d sec �deu b$f Mecaer Kunt end upon the vgvte b ezr� taken tliereozz, Lh2 fOLc.V voted in favor thereof. Knodt, Kuntz, Schultz, Johnson, (:absent: Lehrke) and the followizLg voted against same: None. Whereupon said resaiutiol. was &� duty passed axed adapted Dated: February 20 199,. ATT EST ,or ay or 1 /, /is �, it ? � ` > Mary J. h saw; C:1C, City Clerk J LI 1 WAC Date: February 21. 1996 To: Bob Lirdall From: r ruce Fisenl - ,auer Comments: :?esolutior. i:e° �?6 -''4, Supporting Construction of Proposed :yew T,H. 212 as a To Read, adopted by iJaconia City _ouncil Tuesday, February 20, 1996 Original to follow by mail Yes x No Number of pages transmitted (including transmit for:. If you do not receive the number of pages indicated above please call the sender. 109 SOUTH ELM STREET ■ WAOONIA, MINNESOTA 55387 (512)442 -2184. (512)442.2135, FAX CAPAUL introduced the following resolution and moved its adoption: 1 CITY OF OLIVIA RESOLUTION NO. 96-8 RESOLUTION SUPPORTING CONSTRUCTION OF PROPOSED NEW TRUNK HIGHWAY 212 AS A TOLL ROAD WHEREAS, the City of Olivia ( "City) is a Minnesota municipal corporation which is responsible for the public health, welfare and safety of its residents; and WHEREAS, the City is located adjacent to T. H. 212 and its residents depend upon T. H. 5 and T. H. 212 as their principal connections to the Minneapolis-St. Paul area; and WHEREAS, the City has cooperated with and supported the efforts of the cities and counties within the T. H. 212 corridor and the Minnesota Department of Transportation ( MNDOT) in efforts to obtain construction of New T. H. 212; and. WHEREAS, the centerline for New T. H. 212 was first identified by MNDOT in 1967; WHEREAS, the construction limits for New T. H. 212 were reserved on the comprehensive plans of Eden Prairie, Chanhassen, Chaska and Carver County in 1987; and WHEREAS, Carver County and the Cities of Eden Prairie, Chanhassen and Chaska provided financial and technical assistance to MNDOT to assist in the completion of the Environmental Impact Statement ( EIS) for New T. H. 212 from I -494 to Cologne; and WHEREAS, the New T. H. 212 project has been included in numerous MNDOT construction programs that proposed construction in 1993 and previous years but the project has never been funded; and WHEREAS, the 1996 -1998 State Transportation Improvement Program (STIP) includes a project that will construct one mile of the 18 mile New T. H. 212 project; and WHEREAS, the State of Minnesota and the federal government have both indicated that neither is likely in the foreseeable future (i.e. , before 2015) to be able and willing to appropriate sufficient funds to enable construction of New T.H.212; and WHEREAS, it currently seems unlikely that the Minnesota Legislature or Congress will appropriate sufficient new highway funding to assure construction of New T. H. 212 prior to 2015; and WHEREAS, in recognition of the lack of sufficient future state and federal funding, the Metropolitan Council's transportation plan for the year 2015 indicates RJL100677 TH195 -1 1 r that New T. H. 212 will not be completed west of Eden Prairie Road ( Hennepin County Road No. 4) prior to 2015; and WHEREAS, there is presently heavy congestion on T. H. 5 and existing T. H. 212 for substantial periods of each day; and WHEREAS, traffic on T . H . 5 at Powers Boulevard was 250% greater in 1994 than it was in 1988; and WHEREAS, existing T. H. 212 between I -494 and Chaska is subject to a number of unsafe conditions which, together with heavy traffic and heavy truck traffic, cause this segment of highway to be among the least safe highways in the State of Minnesota; and WHEREAS, the City is convinced that New T. H. 212 must be completed from I -494 to Cologne as soon as possible and in any event before 2015; and WHEREAS, MNDOT has solicited proposals for construction and financing of new highways as toll roads; and WHEREAS, the Interwest /DLR Infrastructure Corporation ( "Interwest ") and 212 Community Highway Association ( "Association ") have submitted a proposal to MNDOT for construction of New T . H . 212 as a tollway ( "Interwest Proposal ") ; WHEREAS, Interwest and Association have requested that City endorse the Interwest Proposal as being in the best interests of the City; WHEREAS, the Interwest Proposal is the only proposal submitted to MNDOT for construction of New T.H. 212 as a tollway; WHEREAS, it is in the best interests of the City that New T.H. 212 be constructed as soon as possible; and WHEREAS, it is not likely that New T . H . 212 will be constructed before 2015 if it is not constructed as a toll road. R7L100677 TH195 -1 2 WHEREAS, the Interwest Proposal contemplates that: - All existing routes (including, but not limited to, existing T. H. 212 and T. H. 5) will remain open and available for use without charge after construction of New T. H. 212; - Due to diversion of traffic to New T. H. 212, existing T. H. 212, T. H. 5 and other alternate routes are likely to be substantially less congested if New T. H. 212 is built than if New T. H. 212 is not built; ' - Because New T.H. 212 will be built in 1997 under a single negotiated construction contract, it should be built at a substantial savings as compared with the cost if built over several years and pursuant to several bid contracts; publicly - Because the project will be financed by Internal Revenue Code Section 1 6320 tax exempt bonds, the bonds are likely to be sold for approximately 2% lower interest rate than typical revenue bonds; R7L100677 TH195 -1 2 F L✓' Because the bonds will be revenue bonds secured only by toll revenues, real property taxpayers will have no risk of incurring a tax levy to finance any deficiency in toll revenues; The bond indenture will include a covenant entitling the State of Minnesota to satisfy the remaining indebtedness under the bonds at any time, take title to the project and eliminate the duty to pay tolls; New T.H. 212 is proposed to be a four lane, divided expressway with grade separated intersections, which will be partially or totally depressed in most locations; Two lanes will be added to T. H. 5 between Wallace Road and I -494 (which will be useable without payment of a toll) at an earlier time than would otherwise be proposed by MDOT; All previously existing roads crossing the proposed New T. H. 212 right of way will continue to cross New T.H. 212 (by means of grade separated crossings) after its construction; Berms, other sound abatement techniques, landscaping and other ' ' measures will be utilized to mitigate any adverse impacts of New T. H. 212 to adjacent property owners; - A trustee bank will oversee disbursement of all bond revenues during I construction and all toll revenues until the bonds are fully paid; - The owner- operator of the tollway will be Association, anon- profit corporation (unless a joint powers agency is agreed upon to replace the Association following construction) ; and - Construction of New T. H. 212 as a toll road will require a much smaller ' investment of public funds than if the project were funded solely by federal and state funds. NOW THEREFORE, BE IT RESOLVED, that the City supports the Interwest Proposal to finance, construct, operate and maintain New T. H. 212 as a toilroad. The motion for the adoption of the foregoing resolution was duly seconded by Member BAILEY and upon the vote being taken thereon, the following voted in favor thereof: , Saeger, Kohout, Bailey, Capaul, Miller and the following voted against same: None Whereupon said resolution was declared duly passed and adopted. I RJL100677 TH195 -1 3 Whereupon said resolution was declared duly passed and adopted. I RJL100677 TH195 -1 3 t i Dated: 2- yo , 1996 Attest: City Cler R7L100677 TH195 -1 4 Mayor