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Council hears grants update; Lake Street reconstruction likely to need more than available $2.1M award
Summary
Finance staff reported three closed transportation grants and ongoing work on Lake Street reconstruction; council discussed that the $2.1 million SIP/STIP award will not fully cover the project, estimated at $3–4 million, and considered phasing and use of gas-tax funds to avoid losing grant money.
City finance staff provided the council a quarterly grants update and answered questions about multiple capital projects, funding gaps and grant administration.
The finance director (Speaker 1) told the council that three transportation grants have closed and that the main active transportation grant is for Lake Street reconstruction; design work (PS&E) was recently awarded to Kimberly Horn. He also reported water distribution system work is more than halfway done and that an amendment was approved to add roughly $2,000,000 to replace Tank 2 after bids differed from expectations.
Council members and staff focused attention on the Lake Street project, which the transcript shows has a State Transportation Improvement Program award of about $2.1 million but a projected construction cost of roughly $3 million to $4 million. "That's not gonna complete the project," Speaker 2 said of the $2.1 million award. Staff stressed the need to finish the planning drawings to preserve the award and discussed using gas tax funds to complete construction or phasing the work so the city does not lose the state funds.
Additional grant items noted: ongoing work on stormwater management improvements, progress on a FEMA equipment grant amendment for multi-jurisdiction purchases, preparation of two Community Development Block Grant (CDBG) applications for a March 16 submission, and use of about $200,000 in remaining EPA Brownfield grant money to fund master planning of the Landing parcels.
Council and staff also discussed procurement oversight with the city's engineering consultant (PACE); some council members said they may open an RFP for a new city engineer if responsiveness and estimate accuracy remain concerns.
Next steps: staff will circulate the RFP/draft for the Landing master plan, continue PS&E work on Lake Street, pursue grant amendments or complementary funding to close construction gaps, and return with updates as grant deadlines approach.
