Farragut increases budget for Union Road mitigation, approves purchase of stream credits for widening project

The Town of Farragut on Sept. 11 moved forward on the Union Road multimodal improvement by approving a budget amendment on first reading and authorizing the purchase of stream mitigation credits tied to the project—s design changes. The board approved Ordinance 25-14 on first reading to amend the FY2025-26 general fund and capital investment budgets. Staff said the general fund personnel budget was increased by $90,000 (to cover the recorder position) and the capital investment program was increased by $120,000 to add funding for the Union Road Stream Mitigation Project; the amendment would be funded from the general fund balance. Later in the meeting staff presented a purchase agreement with Blue Ridge Waterways to acquire stream mitigation credits required because the planned bridge replacement at Little Turkey Creek will increase the crossing width. The widening will eliminate approximately 58.4 linear feet of stream and requires purchase of 58.4 mitigation credits at $2,000 per credit, a total contract cost of $116,800. Assistant Community Development Director Bart Hose and project staff recommended approval. Board members asked timeline questions; staff said right-of-way acquisition and permitting are underway and construction is expected to start early next year once final permitting and right-of-way are complete. The board approved the purchase agreement by roll call (Alderman Burnette, Alderman Kane, Vice Mayor Meyer and Mayor Williams: all yes). The Union Road project has been in planning for several years; staff said the design will expand the crossing to a wider box bridge and raise the grade, which staff said should address the frequent flooding at the current narrow crossing. Purchase of mitigation credits makes the project eligible to comply with environmental permitting and move into construction once other approvals are obtained. Staff identified the stream credit purchase as a direct cost of the Union Road project; the town included the capital amendment earlier in the meeting to ensure funds were available.