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Decorah agrees to cover estimated $306,100 for DOT rock blasting and water‑main casing, may repay over three years

Decorah City Council · December 16, 2025
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Summary

Council approved a preconstruction agreement with the Iowa DOT to include rock blasting and water‑main casing in the Highway 9 improvement project; staff said the extra components are estimated at $306,100 and repayment can be spread over three fiscal years.

The Decorah City Council approved a preconstruction agreement with the Iowa Department of Transportation on Dec. 15 to add rock blasting and water‑main casing to the DOT’s Highway 9 improvement project.

Staff said the DOT requires a city agreement to pay the actual bid costs for these additional components; $306,100 is the estimate in the proposed contract. The city previously discussed DOT‑carried costs with an option for city repayment; the proposed agreement allows up to three years for the city to repay the actual costs, which staff said would be roughly $100,000 per year over three years if the estimate holds.

Council debate focused on whether to pursue a two‑ or three‑year repayment schedule. "A 100,000 interest isn't nothing anymore," staff said, noting that extending repayment a third year could reduce interest burden. Council voted to approve the resolution on roll call.