CR 2013-120 Request Advance of State Aid Funds - Shady Oak Road ImprovementsNovember 19, 2013
Request Advance of State Aid Funds
Shady Oak Road Improvements
Proposed Action
Council Report 2013-120
Staff recommends adoption of the following motion: Move that Council adopt
Resolution 2013-074, Resolution Requesting Advance Payment from State Aid Account.
Overview
The Shady Oak Road Improvement Project has a significant cost component for the City.
This cost is eligible for Municipal State Aid funding. Because cities frequently find large
projects difficult to finance, there is a provision that allows us to borrow from future
allocations to pay for a current project.
Our 2013 construction allocation was $202,965 and we are allowed to request an advance
of five times that amount or, $1,014,825. The consequence of the advance is that we will
not get the construction portion of our state aid payment until the advance is paid off.
Staff recommends requesting the advance to help pay for the City's share of the Shady
Oak Road project.
Supporting Information
• Resolution 2013-074
J n . Bradford, P.E., City Engineer
Financial Impact: $ 0 Budgeted: Y/N _ Source: Related Documents
(CII', ERP, etc.):
Notes:
CITY OF HOPKINS
HENNEPIN COUNTY, MINNESOTA
RESOLUTION 2013-074
RESOLUTION REQUESTING ADVANCE PAYMENT
FROM STATE AID ACCOUNT
WHEREAS, the City of Hopkins is planning to implement Municipal State Aid Street Project(s) in 2014
which will require State Aid funds in excess of those available in its State Aid Construction Account, and
WHEREAS, said municipality is prepared to proceed with the construction of said project(s) through the
use of an advance from the Municipal State Aid Street Fund to supplement the available funds in their State
Aid Construction Account, and
WHEREAS, the advance is based on the following determination of estimated expenditures:
Account Balance as of November 14, 2013 $0
Less estimated disbursements:
Project # 132-020-016 $1,014,825
Total Estimated Disbursements $1,014,825
Advance Amount (amount in excess of acct balance) $1,014,825
WHEREAS, repayment of the funds so advanced will be made in accordance with the provisions of Min-
nesota Statutes 162.14, Subd. 6 and Minnesota Rules, Chapter 8820.1500, Subp. 10b, and
WHEREAS, the Municipality acknowledges advance funds are released on a first -come -first -serve basis
and this resolution does not guarantee the availability of funds.
NOW, THEREFORE, Be It Resolved: That the Commissioner of Transportation be and is hereby re-
quested to approve this advance for financing approved Municipal State Aid Street Project(s) of the City of
Hopkins in an amount up to $1,014,825. 1 hereby authorize repayments from subsequent accruals to the
Municipal State Aid Street Construction Account of said Municipality from future year allocations until fully
repaid.
Adopted by the City Council of Hopkins, Minnesota, this 19th day of November, 2013.
Eugene J. Maxwell, Mayor
ATTEST:
Kristine A. Luedke, City Clerk
I hereby certify that the above is a true and correct copy of a resolution presented to, and
adopted by, the City of Hopkins, State of Minnesota, on this 19th day of November, 2013.
City of Hopkins, MN
Kristine A. Luedke, City Clerk