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Mn/DOT Economic Recovery Program Update

Mn/DOT Economic Recovery Program Update. Feb. 19, 2009. Enacted Bill & Modal Program Overview Tim Henkel, Mn/DOT. Enacted Economic Stimulus Bill. Final version (enacted Feb. 17, 2009) $48.12 billion for transportation Highways and bridges: $27.5 billion

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Mn/DOT Economic Recovery Program Update

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  1. Mn/DOT Economic Recovery Program Update Feb. 19, 2009

  2. Enacted Bill & Modal Program Overview Tim Henkel, Mn/DOT

  3. Enacted Economic Stimulus Bill • Final version (enacted Feb. 17, 2009) • $48.12 billion for transportation • Highways and bridges: $27.5 billion • Minnesota’s share approximately $502 million • Mn/DOT/local split- $345 Mn/DOT; $155 local • High-speed and Intercity Passenger Rail: $8 billion • Amtrak $1.3 billion • Transit formula: $6.9 billion • Minnesota’s share approximately $92 million • Transit fixed-guideway: $750 million • Transit new starts: $750 million • Competitive Surface Transportation Grants: $1.5 billion • Airports: $1.1 billion

  4. Supplemental Discretionary Grants for a National Surface Transportation System • $1.5 Billion • $20 million minimum (may be waived) • $300 million maximum per state/project • Criteria - Project of national, metropolitan or regional significant impact • Up to 100% federal funding • Grant criteria from US DOT in 180 days

  5. Supplemental Discretionary Grants for a National Surface Transportation System • Potentially eligible projects • Highways and bridges • Passenger rail - Capacity improvement project • Freight rail - Rail line rehabilitation - Intermodal yard • Port infrastructure - Intermodal terminal - Dock wall • Transit - Bus facilities - Fleet replacement • Up to 100% federal share

  6. Transit Capital Assistance: $6.9 B • Urbanized Area Formula Grants (5307) $5.5 B • Minnesota allocation $73 M – to Duluth, St. Cloud, Rochester, Moorhead, La Crescent, Met Council • Other than Urbanized Formula Grants (5311) $.69 B • Minnesota allocation $19 M • Project selection criteria • In 10-year capital plans • Meet vehicles requirements: Mileage, age, useful life • Meet facilities requirements: NEPA, property, permits • Illustrative projects • Vehicles: Buses and vans • Facilities: Bus garages, transfer stations, shelters, fare boxes, park and rides, ITS equipment • Up to 100% federal share, • Obligate 50% within 180 days, 50% within 1 year

  7. High-speed Rail and Intercity Passenger Rail: $8B • Competitive grants to states for: • High speed rail corridors • Intercity rail passenger service • Congestion mitigation projects • Criteria • US DOT issue grant requirements and procedures in 120 days (Mid June, 2009) • Use by 2012 • Up to 100% federal funding

  8. Airport Improvement Grants $1.1 B • Airports municipally owned • Priorities developed locally, prioritized statewide by FAA with input from Mn/DOT • 96 of 136 airports statewide federal-aid eligible and able to receive stimulus funding • Possible project selection criteria: project deliverability, improves safety or security, preserves infrastructure and enhances capacity

  9. Airport Improvement Grants: $1.1 B • Illustrative projects • Pavements: Runways, taxiways, aprons (aircraft parking) • Expansions: Lengthen runways and taxiways • Buildings: Hangars, terminals, snow removal Equipment buildings • 100% Federal share • 50% Awarded to grantees within 120 days, 50% within 1 year • Use by 2010

  10. Mn/DOT Programs and Candidate Needs • Highway infrastructure $519 million • Freight infrastructure (eligible for highway funding in Senate version) • Highway/rail grade crossing safety $ 34 million • Rail infrastructure improvements $ 20 million • Port infrastructure improvements $ 10 million • Truck enforcement and safety inspection $2.5 million ** Candidate project lists can be found at: www.mndot.gov

  11. Mn/DOT Programs and Candidate Needs • Transit capital • Intercity passenger rail $160 million • Bicycles and pedestrians $ 48 million • Greater Minnesota transit $ 60 million • Airport infrastructure $122 million • Pavements: e.g. runways, taxiways, aprons (aircraft parking) • Expansions: e.g. lengthen runways and taxiways • Buildings: e.g. hangars, terminals, snow removal equipment buildings ** Candidate project lists can be found at: www.mndot.gov

  12. Highway Program Overview Jon Chiglo, Mn/DOT

  13. Program Goals • Minnesota program • Even distribution of project work type across letting schedule • Work type diversity • Take advantage of entire industry capacity to deliver program • Transparency • Communication • Program development • Administration • Reporting program/project progress

  14. Program Development Principles • Project readiness • Environmental status, R/W availability, etc. • Consistency with performance based plans/needs • Commitment to make a lasting transportation need • Statewide coverage • Create jobs statewide • Balanced program • Use full capacity of construction industry

  15. Program Delivery • Project development • Lessons learned from past projects • This is not “business as usual” • Expedited delivery processes • Letting schedule • Spaced every 14 days starting March 13 • Driven by delivery time lines in Economic Recovery Act • Projects distributed throughout letting schedule • Give as many possibilities to bid contracts as possible • Will be monitoring inflation closely

  16. Program Delivery • Contract administration • Contracting methods • Design bid build, design build best value, design build low bid • Package projects • Max price contracts • Disadvantaged Business Enterprises • Goals will be established for each project • Industry interaction • Build off success from 35W project

  17. Program Delivery • Economic recovery timelines • State timelines • 50% of funds require authorization in 120 days • Unauthorized funds up to 50% go to DC for redistribution • Remainder of all funds require authorization by Feb. 17, 2010 • Reporting requirements: • 90 days, 180 days, 1 year, 2 years, 3 years • Projects (awarded, started, completed) • Jobs (created or sustained) • Funds (appropriate, allocated, authorized)

  18. Program Delivery • What does authorization mean? • The time plans are advertised • The time Request for Proposals (RFP’s) are issued • What does “shovel ready” mean? • Important dates to remember • Feb. 17 - Date of enactment • June 12 - 120 day deadline

  19. Program Delivery • Project development • Mn/DOT and consultant resources • Coordinating closely with FHWA • Authorization of projects • Risk management • Who can manage the risk most effectively • Coordination with Metropolitan Planning Organizations (MPO) • Amendment of State Transportation Improvement Plan (STIP)

  20. Next Steps • Finalize program based on funding constraints • Continue developing projects • MPO Approvals • Authorization of projects • FHWA • First letting on March 13 • Approx. $46.5 million • Anticipated start of construction: Early May • Reporting and tracking progress • Communication

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