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02-24-2015 GI Area Metropolitan Planning Organization Regular Meeting PacketGIAMPO - Policy Board Tuesday, February 24, 2015 4:00pm @ City Hall - Community Meeting Room 100 E 1st St, Grand Island, NE 68801 AGENDA 1.Call to Order This is a public meeting subject to the open meetings laws of the State of Nebraska. The requirements for an open meeting are posted on the wall in this room and anyone that wants to find out what those are is welcome to read through them. 2.Roll Call & Introductions 3.Approval of Minutes of the January 27, 2015 Policy Board Meeting 4.Financial Constraint in the Development of the Long Range Transportation Plan 5.City of Grand Island 1-6 Year Improvement Program 6.Proposed Dedicated Capital Improvement Fund Process - City of Grand Island 7.MPO Activities Update 8.Next Meeting 9.Adjournment Grand Island Regular Session - 2/24/2015 Page 1 / 57 GIAMPO – Policy Board Tuesday, February 24, 2015 Regular Session Item C1 Approval of Minutes of the January 27, 2015 Policy Board Meeting Staff Contact: Mayor Jeremy Jensen Grand Island Regular Session - 2/24/2015 Page 2 / 57 1    GRAND ISLAND AREA METROPOLITAN PLANNING ORGANIZATION (GIAMPO)  MINUTES OF POLICY BOARD MEETING  Tuesday, January 27, 2015 at 4:00pm  Community Meeting Room  Grand Island City Hall, 100 E. 1st Street, Grand Island, NE  VOTING MEMBERS ATTENDANCE:   Jeremy Jensen, Mayor, City of Grand Island Present   Vaughn Minton, City of Grand Island, Council Member Present  Chuck Haase, City of Grand Island, Council Member  Present  Julie Hehnke, City of Grand Island, Council Member Present  Mike Paulick, City of Grand Island, Council Member Present  Wes Wahlgren (Randy Peters designee) NDOR District 4 Engineer Present  Gary Quandt, Hall County Board Present  Scott Arnold, Hall County Board Absent  Pat O’Neill Present    NON‐VOTING MEMBERS ATTENDANCE:   Marlan Ferguson, City of GI, City Administrator Present  Terry Brown, City of GI, Director of Engineering Service Absent  John Collins, City of GI Public Works Director Present  Chad Nabity, Regional Planning Director Present  Joseph Werning, Administrator, FHWA NE Division Absent  Mokhtee Ahmad, Administrator, FTA Region VII Absent  Brad Zumwalt, Highway Planning Mgr, NDOR Absent  Justin Luther, Transportation Planner, Realty, Civil Rights FHWA Absent  Logan Daniels, Federal Transit Administration, Region VII Absent    OTHERS in ATTENDANCE:    John Adams, MPO Program Manager  Bob Sivick, City Attorney, City of Grand Island  William Clingman, Interim Finance Director/City Treasurer City of Grand Island  Catrina DeLosh, Public Works Administrative Assistant, City of Grand Island    Mayor Jensen called the meeting to order at 4:00 pm.  The Nebraska Open Meetings Act was  acknowledged and roll call was taken.  Mayor Jensen acknowledged the fact that Wes  Wahlgren, NDOR District 4 Engineer, was the designee for Randy Peters, Director of the  Nebraska Department of Roads.      Acknowledgement of New City of Grand Island Committee Members  Mayor Jensen acknowledged Mike Paulick, City of Grand Island Council Member, as a new  board member; and also noted as Mayor he is the new Chairperson of the Policy Board.      Grand Island Regular Session - 2/24/2015 Page 3 / 57 2    Approve of minutes of the November 25, 2014 Policy Board Meeting  Wahlgren made note of corrections to the Highway 281 project location; Old Highway 30 to the  viaduct on the south end, and 2nd St (Hwy 30) Viaduct consists of replacing the deck joints, as  well as verifying the integrity of the joints.    Motion by Haase to approve the minutes of the November 25, 2014 meeting, as amended.   Seconded by Quandt.  Upon roll call vote, all voted in favor of the motion with amended project  notes.          Nomination and Election of Vice‐Chairperson in Accordance with Article IV Section 2 of  Approved Bylaws   Quandt nominated Hasse, with Paulick seconding.  Nominations ceased with one nomination.   Mayor Jensen did ask Haase if he accepts the nomination, to which he agreed.    Motion by Quandt to elect Haase as Vice‐Chairperson, seconded by Paulick.  Upon roll call all  voted aye, with Haase and O’Neill abstaining.    Amendment to the GIAMPO Policy Board Bylaws for Cancellation of Meetings  Collins noted the bylaws were written one (1) year ago.  Within the last year there have been  instances where there were no agenda items; or a quorum was not available, which is required  by law to conduct a meeting.  The current bylaws do not allow for a meeting to be cancelled.   Minton inquired about the possibility of a conference call for those out of town.  Nabity stated  board member must be physically at meeting to count towards the quorum, statewide boards  may allow teleconferencing.  A quorum for this board consists of 5 voting members.  Haase  asked how notification would be handled to inform individuals of a cancellation.  Collins stated  the same resources would be used to cancel, as are used to notify and that the next agenda  item is to discuss the possibility of quarterly meetings.  Wahlgren mentioned those out of town  would be more willing to attend meetings if they lasted longer than 30 minutes.     Motion by Walhgren to amend the bylaws as stated in the draft amendment dated 1/27/2015;  seconded by O’Neill.  Upon roll call vote, all voted in favor of the motion.        2015 Meeting Times in Accordance to the Approved Bylaws for the Technical Advisory and  Policy Committees with Discussion of Future Dates and Times  Collins stated with the Nebraska Department of Roads (NDOR) timelines it was discovered that  the meeting frequency could be changed to quarterly and would match quarterly invoicing with  NDOR.  Minton would prefer to keep meeting on Tuesdays, as would Mayor Jensen.  Haase  asked which of the scheduled meeting would be eliminated, to which Collins noted the March  24, 2015; July 28, 2015; and September 22, 2015 meetings would be removed.  Mayor Jensen  questioned if everyone would be okay with the November 24, 2015 meeting date, as that is the  same week as Thanksgiving – no objections were raised.  Minton suggested the November 24,  2015 meeting be discussed at the August 25, 2015 meeting to see if it’s warranted.  Motion by Minton to change meeting frequency to quarterly with meeting dates being  February 24, 2015; May 26, 2015; August 25, 2015; November 24, 2015, seconded by Quandt.  Grand Island Regular Session - 2/24/2015 Page 4 / 57 3        Upon roll call vote, all voted in favor of the motion.    Update on Previous Amendments to the FY 2015 Unified Planning Work Program (UPWP)  Adams informed the board that two (2) amendments have been approved for the annual  unified work program; Aerial Photography and Transit Needs Analysis Plan.  Both are moving  through the process with no known issues.      Current FY 2015 Unified Planning Work Program (UPWP) with Amendments  Adams provided the UPWP with amendments for FY 2015, which is July 1st through June 30.   Vaughn questioned Item A(14‐5) Transit Needs Analysis amendment on handout provided in  packet.  Adams stated this is in connection with the 2012 MPO designation and is funded by  Federal Transportation Administration (FTA).  In the past the City received Sec 5311 rural funds,  and now receives Sec 5307 urban funds.   The amendment identifies needs in the MPO area and  will begin this FY.  April 2015 application will be made to get in the system and a consultant  should be on board May 2015.    Annual Membership to Association to the Metropolitan Planning Organization (AMPO)  Nabity noted TAC provided approval for such membership.  AMPO reaches across the USA and  provides training, postings to their website, and tracks legislation.  With the reauthorization of  the transportation bill up for discussion this could affect MPO funding.  Cost of the AMPO  membership is less than $350 per year.  Motion by Haase to remain a member of the  Association to the Metropolitan Planning Organization, seconded by Minton.    Next Meeting Date  The next meeting date will be February 24, 2015 at 4:00 pm at City Hall.    Adjournment   There being no further business, Mayor Jensen adjourned the meeting at 4:31 pm.  Grand Island Regular Session - 2/24/2015 Page 5 / 57 GIAMPO – Policy Board Tuesday, February 24, 2015 Regular Session Item E1 Financial Constraint in the Development of the Long Range Transportation Plan Staff Contact: John Adams, MPO Manager Grand Island Regular Session - 2/24/2015 Page 6 / 57 Agenda Memo E1, E2, E3, E4 From: John T Adams, MPO Program manager Meeting: February 24, 2015 Subject: Financial Constraint in Developing the Long Range Transportation Plan and Transportation Improvement Program. Item #’s: Background Items E1, E2, and E3 – Federal Requirements E-1 Financial Constraint in the Development of the Long Range Transportation Plan (LRTP) A key component of a performance-based transportation plan is reviewing and estimating available financial resources. Developing a financial resource estimate typically involves developing an inventory of available funding streams, along with projections of funding that is forecast to be available from each funding stream over the life of the transportation plan. . The financial plan will contain information on funding sources at the Federal, State, and local levels. Reasonably expected funds will be estimated and projected over the entire lifespan of the transportation plan. When developing the financial plan, eligible projects and their phases will be prioritized and funding will be identified for each phase and the expected year of activity. Attached for your review is an excerpt from the Federal Highway Administration on Financial Planning in the Development of the Long Range Transportation Plan. E-2 City of Grand Island 1-6 Year Improvement Program One of the key planning activities required of the Policy Board, is the development of a Transportation Improvement Program (TIP). The TIP is developed on an annual bases identifying/programming projects that were initially identified in the LRTP. Currently, the City and County both develop 1-6 year transportation improvement plans for projects under Nebraska State Statute Section 39-2119. With the designation of the Grand Island Area becoming an MPO these activities will become a part of the federally mandated activity of the MPO, which is the development of the Transportation Improvement Program (TIP). Included is a PowerPoint presentation of the projects currently in the 1-6 program that will be presented to Grand Island City Council on February 24, 2015. Grand Island Regular Session - 2/24/2015 Page 7 / 57 E-3 Proposed Dedicated Capital Improvement Fund Process A presentation will be made by John Collins P.E., Public Works Director, and William Clingman, Interim Finance Director. As mentioned in E1, and E2, two (2) of the primary planning requirements of an MPO are to identify and have reasonable expectations of revenue streams to implement proposed projects, identified through the planning process. Many, if not all roadway projects have several phases (I.E., preliminary engineering, right-of-way needs, utility relocations, construction, and construction engineering, Etc.), these phases are generally spread out through several budget cycles. The presentation begins to outline possible changes to the budgeting of the Capital Improvement Program (CIP), to committing funding to projects over the life of their implementation. E-4a Aerial Photography – Past Amendment to the Unified Planning Work Program (UPWP) Costs were solicited for aerial photography to be flown in the spring of 2015. As firm has been selected and recommendation has been made for City Council for February 24th. The anticipated period for the photography to be flown is between March 15–April 15. This is the optimal time for the photography to be taken. The high resolution photography will be used in the development of the Long Range Transportation Plan. E-4b Performance-Based Long Range Transportation Plan The final negations are completed and submitted to the department of Roads for final agreements. These agreements will be taken to City Council on March 10th. The consultants will begin work shortly after the agreements are signed. Grand Island Regular Session - 2/24/2015 Page 8 / 57 Developing a Long Range Transportation Plan Excerpt - FhWA Model Long-Range Transportation Plans: A Guide for Incorporating Performance-Based Planning Financial Planning – Developing a Long Range Transportation Plan A key component of a performance-based transportation plan is reviewing and estimating available financial resources. Developing a financial resource estimate typically involves developing an inventory of available funding streams, along with projections of funding that is forecast to be available from each funding stream over the life of the transportation plan. During this process, it is helpful to note the types of investments that are eligible using each funding stream. Financial resource estimation typically culminates in a chapter or other defined section of the transportation plan that discusses available financial resources to devote to transportation projects. This section is sometimes labeled the "Financial Plan." The financial plan serves as a key input for investment analysis, project selection, and moving projects from the transportation plan to the STIP/TIP. MPOs are required to create a financial plan that demonstrates how the transportation plan can be implemented; that is, the MPO's MTP must be cost feasible.[124] The financial plan is critical to demonstrating fiscal constraint for MPOs. State DOTs can opt to include a financial plan in the statewide transportation plan.[125] Even if the statewide transportation plan does not include a financial plan, it should be informed by the financial plan and investment strategies from the State asset management plan for the NHS and investment priorities of the public transit asset management plans. FHWA provides guidance to transportation agencies on the reasonability of assumptions regarding the agency's available resources.[126] In long-range planning, agencies sometimes consider implementing pricing mechanisms to finance specific projects or to incentivize certain behaviors that provide benefits such as congestion reduction to the traveling public. According to FHWA, enactment of specific taxes or pricing strategies can be considered reasonable if there is clear evidence of support for the taxes or fees and specific strategies are in place for securing the necessary approvals. As an example, in its Transportation 2040 plan, the Puget Sound Regional Council, the MPO for the Seattle metropolitan area, included roadway pricing strategies that would be phased in over the life of the plan.[127] According to PRSC, these pricing strategies will support a 132 percent peak period increase in local transit service (108 percent increase off-peak), the extension of regional light rail, and investments in walking and biking facilities. Together, they are expected to result in a 9 percent reduction in regional greenhouse gas emissions from the trend. The financial plan will usually contain information on funding sources at the Federal, State, and local levels. Reasonably expected funds should be estimated and projected over the entire lifespan of the transportation plan. Anticipating the overall level of Federal revenues and local match is a core element of the financial analysis. Anticipating future levels of funding can be challenging. Educated guesses can inform the estimate's deviation from a flat line projection. Funding streams may fluctuate (e.g., State gas tax revenues in the event of a recession), so planners should build a margin of error in their estimates. Further, the purchasing power of the dollar will deteriorate over time due to inflation. Planners should apply inflation factors to each revenue stream to ensure that investment decisions are being made using common figures.[128] Grand Island Regular Session - 2/24/2015 Page 9 / 57 Developing a Long Range Transportation Plan Excerpt - FhWA Model Long-Range Transportation Plans: A Guide for Incorporating Performance-Based Planning There may be many sources of funding, including local funding, State funding (revenue from motor fuel taxes, registration fees, etc.), Federal funding, debt financing, toll equity and public-private partnerships. The volume and flexibility of available funding has a profound influence on the investments that are included in the transportation plan's investment package. The total pool of available funds impacts the number and size of projects that the agency can afford to build. Flexible funds allow for money to be directed toward projects that provide the best performance return-regardless of project type, mode or functional class of the roadway. In practice, forecasting revenue early in the development of the performance-based transportation plan (in the scoping or baseline phase) will provide information about the financial constraints that must be considered when developing trends and targets. However, more detailed financial planning typically occurs through the plan development process. There will likely be more transportation system performance improvement needs and desired implementation strategies than available funding. To determine how adopted strategies in the transportation plan can be implemented, the transportation plan indicates resources from public and private sources that are reasonably expected to be made available to carry out the plan, and recommends any additional financing strategies for needed projects and programs. Grand Island Regular Session - 2/24/2015 Page 10 / 57 GIAMPO – Policy Board Tuesday, February 24, 2015 Regular Session Item E2 City of Grand Island 1-6 Year Improvement Program Staff Contact: John Adams, MPO Manager Grand Island Regular Session - 2/24/2015 Page 11 / 57 Agenda Memo E1, E2, E3, E4 From: John T Adams, MPO Program manager Meeting: February 24, 2015 Subject: Financial Constraint in Developing the Long Range Transportation Plan and Transportation Improvement Program. Item #’s: Background Items E1, E2, and E3 – Federal Requirements E-1 Financial Constraint in the Development of the Long Range Transportation Plan (LRTP) A key component of a performance-based transportation plan is reviewing and estimating available financial resources. Developing a financial resource estimate typically involves developing an inventory of available funding streams, along with projections of funding that is forecast to be available from each funding stream over the life of the transportation plan. . The financial plan will contain information on funding sources at the Federal, State, and local levels. Reasonably expected funds will be estimated and projected over the entire lifespan of the transportation plan. When developing the financial plan, eligible projects and their phases will be prioritized and funding will be identified for each phase and the expected year of activity. Attached for your review is an excerpt from the Federal Highway Administration on Financial Planning in the Development of the Long Range Transportation Plan. E-2 City of Grand Island 1-6 Year Improvement Program One of the key planning activities required of the Policy Board, is the development of a Transportation Improvement Program (TIP). The TIP is developed on an annual bases identifying/programming projects that were initially identified in the LRTP. Currently, the City and County both develop 1-6 year transportation improvement plans for projects under Nebraska State Statute Section 39-2119. With the designation of the Grand Island Area becoming an MPO these activities will become a part of the federally mandated activity of the MPO, which is the development of the Transportation Improvement Program (TIP). Included is a PowerPoint presentation of the projects currently in the 1-6 program that will be presented to Grand Island City Council on February 24, 2015. Grand Island Regular Session - 2/24/2015 Page 12 / 57 E-3 Proposed Dedicated Capital Improvement Fund Process A presentation will be made by John Collins P.E., Public Works Director, and William Clingman, Interim Finance Director. As mentioned in E1, and E2, two (2) of the primary planning requirements of an MPO are to identify and have reasonable expectations of revenue streams to implement proposed projects, identified through the planning process. Many, if not all roadway projects have several phases (I.E., preliminary engineering, right-of-way needs, utility relocations, construction, and construction engineering, Etc.), these phases are generally spread out through several budget cycles. The presentation begins to outline possible changes to the budgeting of the Capital Improvement Program (CIP), to committing funding to projects over the life of their implementation. E-4a Aerial Photography – Past Amendment to the Unified Planning Work Program (UPWP) Costs were solicited for aerial photography to be flown in the spring of 2015. As firm has been selected and recommendation has been made for City Council for February 24th. The anticipated period for the photography to be flown is between March 15–April 15. This is the optimal time for the photography to be taken. The high resolution photography will be used in the development of the Long Range Transportation Plan. E-4b Performance-Based Long Range Transportation Plan The final negations are completed and submitted to the department of Roads for final agreements. These agreements will be taken to City Council on March 10th. The consultants will begin work shortly after the agreements are signed. Grand Island Regular Session - 2/24/2015 Page 13 / 57 PUBLIC WORKS 1 & 6 YEAR STREET IMPROVEMENT PLAN 2015-2020 Presented by: John Collins, PE 1 Grand Island Regular Session - 2/24/2015 Page 14 / 57 PUBLIC WORKS 2014 SUBSTANTIALLY COMPLETE PROJECTS (FROM 1 & 6 STREET IMPROVEMENT PLAN) **DOES NOT INCLUDE ALL CIP PROJECTS 2 Grand Island Regular Session - 2/24/2015 Page 15 / 57 3 Grand Island Regular Session - 2/24/2015 Page 16 / 57 4 Grand Island Regular Session - 2/24/2015 Page 17 / 57 PUBLIC WORKS SOUTH BLAINE ST BRIDGE REPLACEMENTS M-310 (267) Replace the north bridge structure with two box culverts Replace the south bridge structure with two Arch RCP pipes Widen road to improve traffic flow 5 Grand Island Regular Session - 2/24/2015 Page 18 / 57 PUBLIC WORKS 6 Grand Island Regular Session - 2/24/2015 Page 19 / 57 PUBLIC WORKS CAPITAL AVENUE WIDENING – WEBB TO BROADWELL M-310 (89) Includes removal of existing 24’ wide asphalt roadway and construction of a five lane curbed concrete roadway (four through lanes and a common turning lane). Reconstruction will address the deterioration of the pavement, accommodate increasing traffic volumes and widening improve motorist and pedestrian safety. Sanitary sewer improvements and a hike/bike trail 7 Grand Island Regular Session - 2/24/2015 Page 20 / 57 PUBLIC WORKS 8 Grand Island Regular Session - 2/24/2015 Page 21 / 57 PUBLIC WORKS HIGHWAY 30 RESURFACING M-310 (581) Roadway asphalt resurfacing from Wood River to Grand Island NDOR project with City participation 9 Grand Island Regular Session - 2/24/2015 Page 22 / 57 PUBLIC WORKS 10 Grand Island Regular Session - 2/24/2015 Page 23 / 57 PUBLIC WORKS STOLLEY PARK ROAD PAVEMENT MAINTENANCE & INTERSECTION STUDY M-310 (584) Restriping for new lane designations from two lane to three or five lane section. Intersection evaluations for potential signalization. Pavement determination for repairs and/or increased pavement structure to accommodate truck traffic. 11 Grand Island Regular Session - 2/24/2015 Page 24 / 57 PUBLIC WORKS 12 Grand Island Regular Session - 2/24/2015 Page 25 / 57 PUBLIC WORKS 3RD STREET & WHEELER AVENUE INTERSECTION IMPROVEMENTS M-310 (629) Coordinated with KC Plaza construction. Intersection bump outs to make area more pedestrian friendly. Drainage improvements including new storm sewer. Replace existing water main. 13 Grand Island Regular Session - 2/24/2015 Page 26 / 57 PUBLIC WORKS 14 Grand Island Regular Session - 2/24/2015 Page 27 / 57 PUBLIC WORKS 4TH STREET & 5TH STREET; EDDY STREET TO SYCAMORE STREET HANDICAP RAMP INSTALLATION M-310 (628) $800,000 Community Development Block Grant (CDBG) with 50% city match to install handicap ramps. 15 Grand Island Regular Session - 2/24/2015 Page 28 / 57 PUBLIC WORKS 16 Grand Island Regular Session - 2/24/2015 Page 29 / 57 PUBLIC WORKS FAIDLEY AVE EXTENSION; NORTH RD TO IRONGATE AVE M-310 (353) This project will extend paving to join the two (2) existing segments of Faidley Avenue, between North Road and Irongate Avenue 17 Grand Island Regular Session - 2/24/2015 Page 30 / 57 PUBLIC WORKS 18 Grand Island Regular Session - 2/24/2015 Page 31 / 57 PUBLIC WORKS FAIDLEY AVENUE & DIERS AVENUE TRAFFIC SIGNAL INSTALLATION M-310 (627) With the extension of Faidley Avenue west to North Road the projected increase in traffic is anticipated to warrant a traffic signal. The radii at this intersection will be widened to better accommodate turns. 19 Grand Island Regular Session - 2/24/2015 Page 32 / 57 PUBLIC WORKS 20 Grand Island Regular Session - 2/24/2015 Page 33 / 57 PUBLIC WORKS STERLING ESTATES PAVING DISTRICT NO. 1263 M-310(630) The District will consist of finishing the pavement around Niedfelt Park including Ebony Lane, Monarch, Norseman, and Sunrise Avenues. The project consists of new 37’ roadway with parking along Ebony Lane for Niedfelt Park. 21 Grand Island Regular Session - 2/24/2015 Page 34 / 57 PUBLIC WORKS 22 Grand Island Regular Session - 2/24/2015 Page 35 / 57 PUBLIC WORKS DELTA STREET STORM SEWER IMPROVEMENTS M-310 (634) Install additional catch basins. Connect this area to existing storm sewer. 23 Grand Island Regular Session - 2/24/2015 Page 36 / 57 PUBLIC WORKS 24 Grand Island Regular Session - 2/24/2015 Page 37 / 57 PUBLIC WORKS 1 & 6 YEAR STREET IMPROVEMENT PLAN **DOES NOT INCLUDE ALL CIP PROJECTS 25 Grand Island Regular Session - 2/24/2015 Page 38 / 57 GIAMPO – Policy Board Tuesday, February 24, 2015 Regular Session Item E3 Proposed Dedicated Capital Improvement Fund Process - City of Grand Island Staff Contact: John Collins PE, Public Works Director Grand Island Regular Session - 2/24/2015 Page 39 / 57 Agenda Memo E1, E2, E3, E4 From: John T Adams, MPO Program manager Meeting: February 24, 2015 Subject: Financial Constraint in Developing the Long Range Transportation Plan and Transportation Improvement Program. Item #’s: Background Items E1, E2, and E3 – Federal Requirements E-1 Financial Constraint in the Development of the Long Range Transportation Plan (LRTP) A key component of a performance-based transportation plan is reviewing and estimating available financial resources. Developing a financial resource estimate typically involves developing an inventory of available funding streams, along with projections of funding that is forecast to be available from each funding stream over the life of the transportation plan. . The financial plan will contain information on funding sources at the Federal, State, and local levels. Reasonably expected funds will be estimated and projected over the entire lifespan of the transportation plan. When developing the financial plan, eligible projects and their phases will be prioritized and funding will be identified for each phase and the expected year of activity. Attached for your review is an excerpt from the Federal Highway Administration on Financial Planning in the Development of the Long Range Transportation Plan. E-2 City of Grand Island 1-6 Year Improvement Program One of the key planning activities required of the Policy Board, is the development of a Transportation Improvement Program (TIP). The TIP is developed on an annual bases identifying/programming projects that were initially identified in the LRTP. Currently, the City and County both develop 1-6 year transportation improvement plans for projects under Nebraska State Statute Section 39-2119. With the designation of the Grand Island Area becoming an MPO these activities will become a part of the federally mandated activity of the MPO, which is the development of the Transportation Improvement Program (TIP). Included is a PowerPoint presentation of the projects currently in the 1-6 program that will be presented to Grand Island City Council on February 24, 2015. Grand Island Regular Session - 2/24/2015 Page 40 / 57 E-3 Proposed Dedicated Capital Improvement Fund Process A presentation will be made by John Collins P.E., Public Works Director, and William Clingman, Interim Finance Director. As mentioned in E1, and E2, two (2) of the primary planning requirements of an MPO are to identify and have reasonable expectations of revenue streams to implement proposed projects, identified through the planning process. Many, if not all roadway projects have several phases (I.E., preliminary engineering, right-of-way needs, utility relocations, construction, and construction engineering, Etc.), these phases are generally spread out through several budget cycles. The presentation begins to outline possible changes to the budgeting of the Capital Improvement Program (CIP), to committing funding to projects over the life of their implementation. E-4a Aerial Photography – Past Amendment to the Unified Planning Work Program (UPWP) Costs were solicited for aerial photography to be flown in the spring of 2015. As firm has been selected and recommendation has been made for City Council for February 24th. The anticipated period for the photography to be flown is between March 15–April 15. This is the optimal time for the photography to be taken. The high resolution photography will be used in the development of the Long Range Transportation Plan. E-4b Performance-Based Long Range Transportation Plan The final negations are completed and submitted to the department of Roads for final agreements. These agreements will be taken to City Council on March 10th. The consultants will begin work shortly after the agreements are signed. Grand Island Regular Session - 2/24/2015 Page 41 / 57 PUBLICWORKSCapital Improvement ProgramBudgeting and FundingGrand IslandRegular Session - 2/24/2015Page 42 / 57 PUBLICWORKSGoalPersistent funding.Improve project delivery.Reduce unnecessary effort, especially during construction season.Grand IslandRegular Session - 2/24/2015Page 43 / 57 PUBLICWORKSCapital funds vs Operating FundsThe primary difference between Capital Funds and Operating funds is:•Operating funds may be used for any purpose and persist through the fiscal year.•Capital funds may only be used for capital assets and persist through the life of the project.Grand IslandRegular Session - 2/24/2015Page 44 / 57 PUBLICWORKSIssuesCIP is presented with mostly Conceptual Estimates.Many Capital Projects take more than 1 fiscal year to complete.The design and construction time is dependent on factors outside of the City’s control.Budgeting occurs in the middle of Construction season.Grand IslandRegular Session - 2/24/2015Page 45 / 57 PUBLICWORKSThe current fiscal year expenditures estimate occurs in May, which is the first part of construction season, prior to most construction or expenses; the estimate in May is little better than the one presented with the CIP.At the May estimate, projects where expenditures may occur after September 30 are often delayed to the next year.October, November and December payments are often from the prior fiscal year’s budget and activities.Grand IslandRegular Session - 2/24/2015Page 46 / 57 PUBLICWORKSConsequencesProjects are cancelled or delayedSignificant effort by Public Works and Finance staff estimating expenses repeatedly/frequently through the construction season.Frequent budget adjustments.Grand IslandRegular Session - 2/24/2015Page 47 / 57 Establish a dedicated Capital Program AccountAccount funded with the budget each year.Current cash balanceProjected expenditures for the coming yearMaintaining a minimum balanceFunds (cash) remain in account until spent on an approved project.The amount transferred for the Capital Program will be approved by Council each year.Projects will be approved on a contract by contract basisGrand IslandRegular Session - 2/24/2015Page 48 / 57 PUBLICWORKSRestricted RevenueThe Finance Department maintains separate cash account for dedicated funds (gas tax, bridge funds, etc.) within the dedicated Capital Improvement Fund.The Public Works Department specifies which projects (or portions thereof) are eligible for which types of fundingGrand IslandRegular Session - 2/24/2015Page 49 / 57 Grand IslandRegular Session - 2/24/2015Page 50 / 57 PUBLICWORKSRecommendationEstablish dedicated Capital Improvement FundingSet the transfers to the CIP fund with the budget each year.Funding will be tied to a projectGrand IslandRegular Session - 2/24/2015Page 51 / 57 PUBLICWORKSMPOWill require City to be fiscally responsible on a program basis; meaning that we must be reasonably confident that sufficient funds will be available for all programed projects.Requires 5 year program Requires 20 year programGrand IslandRegular Session - 2/24/2015Page 52 / 57 PUBLICWORKSCity Administration and Council Still ApproveAnnual Capital ProgramIndividual projectsIndividual contracts for design, construction, receipt of funds, real estate acquisition, etc…Individual paymentsUn-programmed projects (Grand Generation, Delta drainage, etc.)Grand IslandRegular Session - 2/24/2015Page 53 / 57 Definition of Estimates Below is an explanation of the types and accuracy of estimates typically used with infrastructure projects. Each type of estimate may be revised. For example, prior to developing a preliminary estimate, a conceptual estimate may be revised to account for work added to the project. Programming is based primarily on conceptual estimates, so the Capital Improvement Program is presented based on this. Conceptual Estimate – high error This estimate is based on rules of thumb with only a general idea of the work involved. For example, we know we need to build a sewer line between two points about a mile apart. We assume the line can be built directly between the two points and use the most recent cost per foot and length of pipe to estimate the costs. More detailed (and work intense) examination may show that there are obstructions to the shortest route, advantages to selecting another route, need for additional capacity in the line, grade issues (i.e. the pipe would be too deep or too shallow) or many other issues that can only be uncovered after significant effort (i.e. cost and time). The Capital Improvement Program is planned using mostly conceptual estimates as design has not been approved and expending resources to develop better estimates is cost prohibitive. Preliminary (30%) Estimate – high error Sufficient design has been performed so that the general details of the project are known, and the project could be built. However, there has been little field checking of the design, nor design optimization. The Field meeting that takes place after preliminary plans are ready is expected to identify major issues that affect the project, sometimes requiring a complete redesign and repeat of preliminary plan development. Advanced Check Print/Plan-in-Hand (90%) Estimate – medium error For most purposes the design is complete, but the final field review has not occurred. Issued discovered during the field review (aka Plan-in-Hand) should only have a minor impact on the design. City Engineer’s Estimate (defined in statute)/Final Design Estimate – some error This is the estimate required by statute, and is confidential until after the bids have been opened. Plans and specifications are complete. Estimate is based by pricing individual tasks and components. Most common error sources include: changes in labor costs and/or contractor profit margins (increasing as contractors get busy, decreasing as work diminishes), sudden changes in commodities (often oil and/or cement), issues discovered after excavation, and last minute changes in design. Bid/Award – minimal error This is the actual bid amount; the contract is executed for this amount. Projects are sometimes completed for this amount, though unknown issues often cause change orders. Final Cost - accurate Determined after all work is complete and the City Engineer has signed the Certificate of Completion as required by state statute. This is the total amount paid to the contractor. Total Project Cost – accurate and complete This includes the Final Cost as described above and all other costs such as real estate acquisition, design, testing, and surveying. Note that some or all staff time is usually excluded as there is nothing in place to accurately and easily track this. Note that there is a tendency for the scope of projects to expand throughout the design process, known as project scope creep. This increase in scope results from additional deficiencies being discovered during various inspections/investigations, cost savings anticipated by including work from another project, and from community or political desire to expand the project. While this makes accounting and programming a little more difficult, it often results in a better product with some overall cost savings, except when the project has already bid. Grand Island Regular Session - 2/24/2015 Page 54 / 57 GIAMPO – Policy Board Tuesday, February 24, 2015 Regular Session Item E4 MPO Activities Update Staff Contact: John Adams, MPO Manager Grand Island Regular Session - 2/24/2015 Page 55 / 57 Agenda Memo E1, E2, E3, E4 From: John T Adams, MPO Program manager Meeting: February 24, 2015 Subject: Financial Constraint in Developing the Long Range Transportation Plan and Transportation Improvement Program. Item #’s: Background Items E1, E2, and E3 – Federal Requirements E-1 Financial Constraint in the Development of the Long Range Transportation Plan (LRTP) A key component of a performance-based transportation plan is reviewing and estimating available financial resources. Developing a financial resource estimate typically involves developing an inventory of available funding streams, along with projections of funding that is forecast to be available from each funding stream over the life of the transportation plan. . The financial plan will contain information on funding sources at the Federal, State, and local levels. Reasonably expected funds will be estimated and projected over the entire lifespan of the transportation plan. When developing the financial plan, eligible projects and their phases will be prioritized and funding will be identified for each phase and the expected year of activity. Attached for your review is an excerpt from the Federal Highway Administration on Financial Planning in the Development of the Long Range Transportation Plan. E-2 City of Grand Island 1-6 Year Improvement Program One of the key planning activities required of the Policy Board, is the development of a Transportation Improvement Program (TIP). The TIP is developed on an annual bases identifying/programming projects that were initially identified in the LRTP. Currently, the City and County both develop 1-6 year transportation improvement plans for projects under Nebraska State Statute Section 39-2119. With the designation of the Grand Island Area becoming an MPO these activities will become a part of the federally mandated activity of the MPO, which is the development of the Transportation Improvement Program (TIP). Included is a PowerPoint presentation of the projects currently in the 1-6 program that will be presented to Grand Island City Council on February 24, 2015. Grand Island Regular Session - 2/24/2015 Page 56 / 57 E-3 Proposed Dedicated Capital Improvement Fund Process A presentation will be made by John Collins P.E., Public Works Director, and William Clingman, Interim Finance Director. As mentioned in E1, and E2, two (2) of the primary planning requirements of an MPO are to identify and have reasonable expectations of revenue streams to implement proposed projects, identified through the planning process. Many, if not all roadway projects have several phases (I.E., preliminary engineering, right-of-way needs, utility relocations, construction, and construction engineering, Etc.), these phases are generally spread out through several budget cycles. The presentation begins to outline possible changes to the budgeting of the Capital Improvement Program (CIP), to committing funding to projects over the life of their implementation. E-4a Aerial Photography – Past Amendment to the Unified Planning Work Program (UPWP) Costs were solicited for aerial photography to be flown in the spring of 2015. As firm has been selected and recommendation has been made for City Council for February 24th. The anticipated period for the photography to be flown is between March 15–April 15. This is the optimal time for the photography to be taken. The high resolution photography will be used in the development of the Long Range Transportation Plan. E-4b Performance-Based Long Range Transportation Plan The final negations are completed and submitted to the department of Roads for final agreements. These agreements will be taken to City Council on March 10th. The consultants will begin work shortly after the agreements are signed. Grand Island Regular Session - 2/24/2015 Page 57 / 57