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Diversion Authority approves four MOUs; Southeast Cass MOU includes Cheyenne River rail-bridge removal
Summary
The Diversion Authority Finance Committee approved MOUs with Wilkin County, Southeast Cass Water Resource District and Warren Township and terminated an MDU agreement for Savage Oaks, noting the Southeast Cass agreement enabled removal of the Cheyenne River rail bridge and associated cost savings.
The Diversion Authority Finance Committee on Feb. 26 approved four memoranda of understanding: with Wilkin County, the Southeast Cass Water Resource District, Warren Township and a housekeeping termination of an MDU MOU for the Savage Oaks relocation site.
John Shockley presented the MOUs. He said the Wilkin County agreement covers areas of the Southern Embankment that lie on the Minnesota side and clarifies the authority’s right to operate and, where necessary, inundate or control water in property acquired for the core project. The packet includes a map of the Southern Embankment and a requirement that a right‑of‑way (identified in the packet as “100 And Eightieth”) be maintained as part of the MOU.
The MOU with the Southeast Cass Water Resource District includes the removal of the Cheyenne River rail bridge. Shockley said the rail corridor abandonment and subsequent removal lowered overall project costs because the rail bridge could be removed as part of the district’s clearing and snagging work in the Cheyenne River, producing net savings for the authority.
The Warren Township MOU follows the authority’s standard township agreement format. It assigns design, construction and maintenance costs to the project developer under the project agreement and allows limited township reimbursements: up to $3,000 annually until project substantial completion, post‑construction expenses up to $1,500, attorney and engineering fees up to $16,000, and a lost‑tax‑revenue payment of $47,066. Shockley said the authority estimates project substantial completion in 2027.
The final item notified parties that an earlier MDU agreement to serve the Savage Oaks relocation site is being terminated because Xcel Energy will provide gas service under a separate agreement and task order, which staff said reduces the cost of service for that site.
Mayor Mahoney moved to approve items 7A through 7D; Commissioner Capitan seconded. The roll call vote recorded approval by all voting members present.
Votes at a glance - Approve MOUs 7A (Wilkin County), 7B (Southeast Cass Water Resource District), 7C (Warren Township), and 7D (termination of MDU MOU for Savage Oaks): approved by roll call.
