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Council approves advancing state aid to cover shortfall for 2026 street project
Summary
The New Prague City Council unanimously approved a resolution to advance future municipal state-aid dollars to cover a projected shortfall for the 2026 street improvement project after staff said current state-aid balance falls short of the estimated contribution.
The New Prague City Council on Monday unanimously approved a resolution to advance future municipal state-aid funds to cover a shortfall on the city’s 2026 street improvement project.
City engineer Chris told the council the city's municipal state-aid construction balance is about $480,000, while the estimated state-aid contribution toward the 2026 project is $881,000 (staff included a $950,000 disbursement estimate in the packet to allow flexibility). To close the gap, staff proposed, and the council approved, advancing future years of state aid to the current construction year.
Chris cautioned advancing funds does not guarantee availability: "This is a first come, first served basis and does not guarantee the availability of funds," he said, adding he spoke with state aid staff and did not expect a problem but large projects could displace the city’s request.
Councilors pressed staff about how the advance would affect future allotments. Chris said the city would likely not receive any construction portion of its state-aid allotment next year (the city currently receives about $410,000 per year, split between construction and maintenance), and any remaining advance balance would be taken from subsequent years’ construction allotments. He emphasized maintenance aid (about $135,000) would continue to be received.
The counciler who made the motion noted a typographical correction in the resolution packet; Bruce Wolf moved to approve the resolution and Sean Ryan seconded. Chair called the vote and the motion passed 4-0.
The packet also notes the city could advance up to five years of state aid or up to $4,000,000 under current state statute; staff said the city could request additional advances in future years if necessary. A related local-share request has been submitted to the local road improvement program; Chris said that grant’s outcome, likely in April or May, could reduce the amount the city ultimately needs to draw from state aid.
