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County approves grant applications and MnDOT agreements for CASA 35 realignment and local road improvements
Summary
The board authorized a county application for a Transportation Economic Development Infrastructure (TEDIF/Teddy) grant for the CASA 35 realignment, approved a MnDOT Local Road Improvement Program agreement and signed an interlocal agreement with Otsego and Albertville for project costs.
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County highways staff briefed the Board on Aug. 19 about three transportation funding items: a county‑led application for a Transportation Economic Development Infrastructure (TEDIF, referred to in meeting as the "Teddy" grant) for the CASA 35 realignment, an agreement for $1.5 million in Local Road Improvement Program funds for County Project 10137, and related interlocal agreements allocating costs with the cities of Otsego and Albertville.
Chad, county highways staff, said the TEDIF application is due Sept. 29; $1,760,000 is available statewide and results are expected in December 2025. Staff has worked with the City of Buffalo to gather information and will return to the board with a proposed request amount for final review; the board authorized the county to act as applicant and lead for submission by approving resolution 25‑48.
Chad also reported the county previously received $1,000,000 in local partnership project funds for the related project and presented a MnDOT agreement and resolution for an additional $1,500,000 from the Local Road Improvement Program. The board voted unanimously to approve resolution 25‑49 and sign agreement pages requiring county signatures.
Finally, the board approved agreement number 2551, an interlocal agreement with the cities of Otsego and Albertville defining each jurisdiction’s share of improvements on the same project. Commissioners recorded unanimous votes on each item. Staff said construction is expected to start in a few weeks and cautioned the public the corridor will have traffic management during work.
All three actions were approvals; staff will provide the specific grant request amount for TEDIF before final submission.

