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Presentation of Plaque CITY OF MEMORANDUM CIIANHASSEN TO: Mayor and City Council )0 City Center Drive,PO Box 147 FROM: Don Ashworth, City Manager Chanhassen,Minnesota 55317 Phone 612.9371900 DATE: June 17, 1998 General Fax 612.937.5739 . {engineering Far 612.937.9152 SUBJ: Presentation of Plaque, Southwest Corridor Transportation - 'ublic Safety Fax 612.934.2524 Coalition, Bob Lindall; and Memorandum of Understanding - \7b wwu:ri.chanhassen.mu.us Bob Lindall, representing the Southwest Corridor Transportation Coalition, will attend Monday night's meeting to present the council with a plaque in _ - appreciation of the city's support of TH 212. Construction has begun on the section between 494 and County Road 4. The attached proposed agreement between MnDOT, Metropolitan Council, Hennepin County, Carver County, City of Chaska, City of Chanhassen, City of .. Eden Prairie, and the Coalition relates to the expenditure of money for right-of- way acquisition, design, and construction of new TH 212. I am not seeking city council action on the"Memorandum of Understanding" as such was not published for this agenda. However, as members of the Coalition will be present, this may _ M be an appropriate time for the city council to ask any questions in advance of this 411000101- item appearing on our next regular agenda. _- 4.14-0 g:\mgr\th212agreement6-22.doc • * _.o. e City of Chanhassen.A growing community with clean lakes,quality schools,a charming downtown,thriving businesses,and beautl parks.A great place to live,work,and play. • • k. CORRIDOR TRANSPORTATION COALITION SOUTHWEST470 Pillsbury Center Minneapolis, MN 55402 PHONE: (612) 337-9300 • FAX: (612) 337-9310 • June 15, 1998 Mr. Don Ashworth City Manager City of Chanhassen P.O. Box 147 55317 Chanhassen,MN Dear Don: of please find - . On behalf of the Southwest ComdorTan forts ot n behalf of the new Highway 212 enclosed a token of appreciation for allyour and Highway 5. groundbreaking for the new 212 signals the beginning of a state commitment The ground g the southwest suburbs of to complete the improvements to West e ern Minnesota. hway system serving the metropolitan region and south The Southwest Co rridor Transportation Coalition will continue to aggressively pursue the completion of the new 212 and improvements to Highway 5. Sincerely, Southwest Corridor Transportation Coalition iiiirponommeal obert J. Lindall President Enclosure _ y _ • t3c RECEIVED SOUTHWEST CORRIDOR TRANSPORTATION COALITION 470 Pillsbury Center J U N 4 1998 Minneapolis, MN 55402 (612) 337-9300 CITY OF CHANHASSEI\: (612) 337-9310 (Facsimile) June 3, 1998 Mr. Gene Dietz Mr. Jim Grube Director of Public Works County Engineer City of Eden Prairie Hennepin County Public Works 8080 Mitchell Road 320 Washington Avenue South Eden Prairie, MN 55344-2230 Hopkins, MN 55343 Mr. Roger Gustafson Mr. Don Ashworth County Engineer City Manager Carver County City of Chanhassen Carver County Courthouse P.O. Box 147 Chaska, MN 55318 Chanhassen, MN 55317 Mr. Dave Pokorney Mr. Julius C. Smith City Administrator Member, Metropolitan Council City of Chaska 3200 High Point Drive One City Hall Plaza Chaska, MN 55318 Chaska, MN 55318-1962 Gentlemen: Enclosed herewith is a proposed Agreement among MnDOT, the Metropolitan Council, Hennepin County, Carver County, City of Chaska, City of Chanhassen, City of Eden Prairie and the Coalition relating to expenditure of money for right of way acquisition, design and construction of New Highway 212. Please review and comment as soon as possible. Our objective is to reach agreement among ourselves and then submit it to MnDOT for its approval and have the Agreement approved by all parties prior to July 1, 1998, if possible. Therefore, please fax me your comments within the next five days if possible. Thank you. Yo40 ery truly, I , - 'obert J. Lindall President RJL:jms Enclosure cc: Fred Corrigan RJL144246 LN400-51 MEMORANDUM OF UNDERSTANDING THIS AGREEMENT, dated this day of June, 1998, by the State of Minnesota, Commissioner of Transportation ("MnDOT"), the Metropolitan Council, a unit of regional government of the State of Minnesota ("METRO COUNCIL"), the County of Hennepin, a political subdivision of the State of Minnesota ("HENNEPIN"), the County of Carver, a political subdivision of the State of Minnesota ("CARVER"), the City of Eden Prairie, a Minnesota municipal corporation ("EDEN PRAIRIE"), the City of Chanhassen, a Minnesota municipal corporation ("CHANHASSEN"), the City of Chaska, a Minnesota municipal corporation ("CHASKA")and the Southwest Corridor Transportation Coalition,a non-profit corporation under the laws of the State of Minnesota ("COALITION"). I. RECITALS: 1.01. Construction of an 18 mile four-lane, divided freeway from I-494 in Eden Prairie to Norwood ("New Highway 212 Project") is of state-wide significance in that there are no • existing four-lane highways serving the southwestern portion of the State between U.S. Highway 169 serving Mankato and 1-94 serving St. Cloud. 1.02. New Highway 212 Project is part of the National Highway System. 1.03. There has previously been $10.9 million of federal demonstration grant funds invested in the New T.H. 212 project. RJL144244 LN400-51 1.04. Although the contract for construction of the first phase of the New T.H. 212 Project was let on February 27, 1998, due to lack of sufficient funds, the 20-year program of MnDOT only contemplates construction of the portion of the project lying easterly of Lyman Boulevard in Chanhassen and the program of the Metropolitan Council does not contemplate construction of anything west of Eden Prairie Road in Eden Prairie prior to the year 2020; 1.05. Construction of New Highway 212 from I-494 in Eden Prairie to Cologne is of highest priority to the parties to this Agreement. 1.06. Land values in the New T.H. 212 Corridor are escalating dramatically. 1.07. There has already been more than $105 million invested or committed to construction of the New 212 Project, including (a) approximately $50 million invested in purchase of right-of-way, design, planning, and other related expenditures for the New 212 project (principally by MnDOT or through use of RALF funds); and (b) the cost of construction of Segment I, Stages 1 through 3, which is currently estimated to be approximately $55 million. 1.08. The New T.H. 212 Corridor has been preserved on the official maps of the affected communities since 1987. 1.09. In most areas the New 212 Corridor is surrounded by developed or developing land. RJL144244 2 LN400-51 1.10. Each of the affected cities has already contributed substantial funds and staff time to the design, environmental review, planning and right-of-way acquisition for the New 212 project. 1.11. Many of the property owners are elderly and wish to make final dispositions of their property and to distribute or liquidate their holdings in recognition of their age. 1.12. Most owners have held their property for many years and have been unable to either develop or sell the portion of their properties encumbered by the planned right-of-way since adoption of the official map in 1987 (or before); and 1.13. The Right of Way Acquisition Loan Fund ("RALF") does not have sufficient cash to enable purchase of all of the remaining parcels of real estate within the foreseeable future. 1.14. Coalition is committed to continue its advocacy for the construction of New Highway 212 from Interstate 494 in Eden Prairie to the City of Norwood in accordance with the schematic plan which is shown on Exhibit A attached hereto ("MnDOT Plan for Highway 212"). 1.15. Hennepin, Carver, Eden Prairie, Chanhassen and Chaska are all active in the affairs of the Coalition and supportive of the objective of construction of New Highway 212 in accordance with the MnDOT Plan for Highway 212. 1.16. The parties hereto desire to provide for the design of improvements for New Highway 212 from Eden Prairie Road in Eden Prairie to the intersection of T.H. 101 and Lyman RJL144244 -, LN400-51 Boulevard in Chanhassen ("Segment II") in accordance with the MnDOT Plan for Highway 212 prior to 2001 so that the contracts for construction of the Segment II improvements can be awarded in 2001. 1.17. The parties desire that all right of way for the Segment II Project be acquired prior to 2001 so as to permit construction of Segment II beginning in 2001. 1.18. The United States Congress approved a demonstration grant in the amount of $4,000,000 ("Demonstration Grant Funds") to MnDOT for the New Highway 212 project in connection with the reauthorization of the Intermodal Surface Transportation Efficiency Act (ISTEA) on May 22, 1998. 1.19. MnDOT recognizes the desirability of purchasing right of way for the New Highway 212 Project prior to actual programming of construction of those segments of the Project in order to acquire the right of way before further substantial increases in value of the right of way may occur. 1.20. In the reasonably foreseeable future, there are not likely to be sufficient funds available from RALF to enable purchase of remaining unpurchased right of way in those portions of the New Highway 212 Project lying westerly of Hennepin County Road 4(Eden Prairie Road). 1.21. The parties hereto anticipate that it will be necessary to seek additional funding from the 1999 Legislature in order to enable supplementation of otherwise available funds so as RJL144244 4 LN400-51 to permit purchase of remaining right of way for the New Highway 212 Project as soon as possible. 1.22. It is desirable that design of Segment II of the New Highway 212 project be completed as soon as possible to put that phase of the project in construction-ready condition so as to take advantage of any construction funds which may unexpectedly become available due to a competing project failing to proceed as previously programmed; 1.23. The parties hereto recognize that it is in their mutual best interests to agree upon the priority for expenditure of funds for design and purchase of right of way for the New T.H. 212 Project and desire that this Agreement be the means by which they document their agreement with one another concerning these issues; II. AGREEMENT NOW, THEREFORE, in consideration of the premises and their mutual promises, the parties hereto hereby agree as follows: 2.01. The parties agree that the following shall be the sequence in which Demonstration Grant Funds should be expended for the New Highway 212 Project. Priority One - Design of Segment II. Priority Two - Purchase of right of way for Segment II. RJL144244 LN400-51 2.02. The parties agree that the following shall be the sequence in which funds which are appropriated by MnDOT for the New Highway 212 Project (other than the Demonstration Grant Funds) shall be expended: Priority One - Purchase of right of way lying within that portion of the City of Chanhassen which is not within the Metropolitan Urban Service Area ("MUSA Area"). Priority Two - Purchase of right of way in phases of the New Highway 212 Project within Chaska, the MUSA portion of Chanhassen, or within Chaska township. Priority Three - Design of Segment II, Stage 5 of the New Highway 212 Project. Priority Four - Design of other phases of the New Highway 212 Project. 2.03. The parties agree that they shall jointly seek amendment of the Transportation Improvement Program to provide for: a. Acquisition of remaining right of way for the New Highway 212 Project to Norwood by 2001; b. Construction of Segment No. II, Stage 4 of the New Highway 212 Project beginning in the year 2001; c. Complete design and engineering for the remainder of the New Highway 212 Corridor to Norwood by 2002; and d. Construction of the remainder of the New Highway 212 Project to Norwood beginning in the year 2002. 2.04. The parties agree that they shall jointly undertake to obtain the amendment of MnDOT's Transportation Systems Plan to provide for completion of New Highway 212 to Norwood by 2005. RJL144244 LN400-51 6 2.05. The parties agree that they shall jointly approach the 1999 Legislature and request such funding as may be required to carry out the terms of this Agreement. STATE OF MINNESOTA COMMISSIONER OF TRANSPORTATION By: Its: THE METROPOLITAN COUNCIL By: Its: COUNTY OF HENNEPIN By: Its: COUNTY OF CARVER By: Its: CITY OF EDEN PRAIRIE By: Its: RJL144244 LN400-51 CITY OF CHANHASSEN By: Its: CITY OF CHASKA By: Its: SOUTHWEST CORRIDOR TRANSPORTATION COALITION By: Its: RJL144244 LN400-51 8 STATE OF MINNESOTA ) ) ss COUNTY OF ) On the day of June, 1998, , being duly sworn, upon oath deposed and stated that is the of the State of Minnesota, and did sign the foregoing Agreement on behalf of the State of Minnesota pursuant to authority vested in by the law of the State of Minnesota. Notary Public STATE OF MINNESOTA ) ) ss COUNTY OF ) On the day of June, 1998, , being duly sworn, upon oath deposed and stated that is the of the Metropolitan Council, and did sign the foregoing Agreement on behalf of the Metropolitan Council pursuant to authority vested in by the law of the State of Minnesota. Notary Public STATE OF MINNESOTA ) ) ss COUNTY OF ) On the day of June, 1998, , being duly sworn, upon oath deposed and stated that is the of the County of Hennepin and did sign the foregoing Agreement on behalf of the County of Hennepin pursuant to authority vested in by the law of the State of Minnesota. Notary Public RJL144244 LN400-51 9 STATE OF MINNESOTA ) ) ss COUNTY OF ) On the day of June, 1998, , being duly sworn, upon oath deposed and stated that is the of the County of Carver and did sign the foregoing Agreement on behalf of the County of Carver pursuant to authority vested in by the law of the State of Minnesota. Notary Public STATE OF MINNESOTA ) ) ss COUNTY OF ) On the day of June, 1998, , being duly sworn, upon oath deposed and stated that is the of the City of Eden Prairie and did sign the foregoing Agreement on behalf of the City of Eden Prairie pursuant to authority vested in by the law of the State of Minnesota. Notary Public STATE OF MINNESOTA ) ) ss COUNTY OF ) On the day of June, 1998, , being duly sworn, upon oath deposed and stated that is the of the City of Chanhassen and did sign the foregoing Agreement on behalf of the City of Chanhassen pursuant to authority vested in by the law of the State of Minnesota. Notary Public RJL144244 LN400-51 10 STATE OF MINNESOTA ) ss COUNTY OF ) On the day of June, 1998, , being duly sworn, upon oath deposed and stated that is the of the City of Chaska and did sign the foregoing Agreement on behalf of the City of Chaska pursuant to authority vested in by the law of the State of Minnesota. Notary Public STATE OF MINNESOTA ) ss COUNTY OF ) On the day of June, 1998, , being duly sworn, upon oath deposed and stated that is the of the Southwest Corridor Transportation Coalition and did sign the foregoing Agreement on.behalf of the Coalition pursuant to authority vested in by the law of the State of Minnesota. Notary Public RJL144244 LN400-51 11