Mn/DOT Economic Recovery Program Update

Mn/DOT Economic Recovery Program Update

Feb. 19, 2009Feb. 19, 2009

Enacted Bill & Modal Program Overview

Tim Henkel, Mn/DOT

Enacted Bill & Modal Program Overview

Tim Henkel, Mn/DOT

Enacted Economic Stimulus BillEnacted 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

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

Supplemental Discretionary Grants for a National Surface Transportation System

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

$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

Supplemental Discretionary Grants for a National Surface Transportation System

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

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

Transit Capital Assistance: $6.9 B 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

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

High-speed Rail and Intercity Passenger Rail: $8B

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

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

Airport Improvement Grants $1.1 BAirport 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

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

Airport Improvement Grants: $1.1 B 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

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

Mn/DOT Programs and Candidate Needs

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

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

Mn/DOT Programs and Candidate Needs

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

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

Highway Program Overview

Jon Chiglo, Mn/DOT

Highway Program Overview

Jon Chiglo, Mn/DOT

Program GoalsProgram 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

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

Program Development PrinciplesProgram 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

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

Program DeliveryProgram 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

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

Program DeliveryProgram 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

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

Program DeliveryProgram 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)

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)

Program DeliveryProgram 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

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

Program DeliveryProgram 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)

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)

Next StepsNext 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

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