Victoria MN Newspaper-The Scoop at City Hall

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SHOULD VICTORIA PAY UNIVERSITY OF MN

FOR A TRAIL EASEMENT THAT BENEFITS ALL?

Council did not approve the consolidation of bonding for the Aster Trail and Arboretum Trail projects, voting 3-2 on October 14th. Those in favor of consolidating the projects: Mayor Tom O'Connor and Councilmember Lani Basa. Those against: Councilmembers Joe Pavelko, Tom Strigel, and Jim Crowley.

It was the proposed University of Minnesota Arboretum Trail connection (coming from Swiss Mountain Farm on Rolling Acres Across and giving access to the Regional Trail and the Chanhassen underpass at Minnewashta Parkway) that posed the problem.

Although most of the trail connection can be constructed in MnDOT right-of-way, part of it must go across some University/Arboretum property at the Apple Farm, and they want the City of Victoria to pay for that crossing.

Said Councilmember Strigel, "We're connecting a regional trail with Victoria taxpayer dollars. This [paying for an easement besides] would be government charging government and I find the whole concept offensive. I want to see concrete action to address that." Easement cost has not been identified at this time.

Said Councilmember Crowley, "I'd like it done very quickly. It's the whole concept and the proper use of taxpayer funds. I was expecting this to be addressed months ago."

Said City Manager Don Uram, "I would caution council on expectations."

Total cost for the Arboretum Connection (from Rolling Acres Road to the Apple Farm to Minnewashta Parkway) was reported to be $268,000. Of that amount, $150,000 will come from a DNR grant.

According to Holly Kreft, Community Development Director, "Those numbers reflect what was presented to Council before final design for the Arboretum Trail Connection. The overall project costs will be updated now that the design and bidding is complete. An updated total cost will be presented to City Council in November." The city's share of costs could be $150,000.

Councilmember Pavelko asked why the city would bond for the trail cost when there is cash available. "We have the cash," he said. "That's what I'd like to see."

In responding to questions, Park & Rec Director Ann Mahnke said there is no specific trail fund, but that money is available within Park and Recreation in the half million dollar range. She said if cash is used for this trail project, other long term projects for trail connections and improvements in the city would be delayed. "Those dollar amounts outweigh the dollar amounts we have in Park and Rec by a significant amount," she said.

Said Kelly Grinnell, Victoria's Finance Manager, "We're roughly breaking even with the planned projects we have versus the funding coming in."

The motion to approve consolidating the Aster and Arboretum trail projects and finance them through bonding failed, however, 2 to 3. As Holly reported, "Bonding will move forward on the Aster Trail Project. The Arbor Trail Connection will need to be funded through other city funds."

Funding Aster Trail/Circle

Street Improvement Project

On October 28th, Paul Donna of Northland Securities reported to council and staff that three bids were received to purchase $1,695,000 in General Obligation bonds to pay for the recent Aster Trail and Aster Circle improvement project. Best bid was 2.89% over 15 years by Robert Baird & Company out of Milwaukee.

Said Mr. Donna, "We had really good results. You're able to deduct $40,000 upfront as a premium to reduce debt." Councilmembers approved and awarded the sale of $1,655,000 in General Obligation Bonds to pay for the project.

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