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Council approves cooperative agreements as Hwy 36 interchange project moves toward construction

Lake Elmo City Council · May 5, 2026
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Summary

Lake Elmo approved cooperative cost‑share, maintenance and jurisdiction agreements with Washington County and MnDOT for the Trunk Highway 36/Cass 17 interchange and south frontage road. The project bid package totaled about $43 million; after grants staff estimates Lake Elmo’s net share around $2.4 million.

The Lake Elmo City Council authorized a set of cooperative agreements on May 5 to advance the Trunk Highway 36 and Cass 17 (Lake Elmo Avenue) interchange project and construction of a new south frontage road. The agreements assign responsibilities, maintenance obligations and funding shares among MnDOT, Washington County and the city and clear the way for the county to award the construction contract.

Scope and cost: Public works staff presented a project estimate near $43 million after bid openings. Mr. Griffith said grant funding applied to the project reduces Lake Elmo’s estimated net share to roughly $2.4 million. The city’s existing capital improvement program previously set aside a larger amount, so the staff said the project is within the city’s planned funding envelope.

Maintenance and jurisdiction: The cooperative maintenance agreement identifies ownership and long‑term maintenance responsibilities for pavement, curb-and-gutter, storm sewer lines and stormwater ponds. The city will take ownership and maintain the south frontage road once construction is complete; stormwater costs for major pond maintenance are shared proportionally by contributing drainage area, the presentation said.

Timing and procurement: Washington County plans to award the construction contract in mid‑May with a June 1 construction start if agreements are executed; council members emphasized the timing mattered because staging will allow more work this construction season. Council approved the cooperative cost-share agreement, the MnDOT cooperative construction agreement and a change-of-jurisdiction agreement transferring the frontage road to city maintenance at project completion.

What council members asked: Council members pressed staff on how change orders will be tracked and when the city will be notified if itsshare of costs increases. Staff said the county will invoice the city for its portion and that the agreements include cost-monitoring language and an administrative threshold (staff will notify council if costs approach the city’s contingency). Council asked staff to ensure timely invoicing and clear reporting as construction progresses.

Outcome: Council voted to approve the cooperative agreements and related resolutions to permit the county to proceed with contract award and project mobilization.