Public Hearing on Coal Creek Pkwy Closure in Renton

The City of Renton will be holding a public hearing on December 3rd, 2007, at 7:00 pm, to discuss closure of Duvall Ave. NE/ Coal Creek Parkway SE, from NE Sunset Blvd. to SE 95th Way, for a 13-month period beginning in February 2008. The proposed closure is not within the City of Newcastle, however the meeting is open to the general public. All interested parties are invited to attend the hearing and present written or oral comments regarding the proposal.

Public Hearing Location
Renton City Hall
1055 S. Grady Way
Renton, WA 98055

For more information about the hearing contact the City of Renton at 425-430-6510.

Coal Creek Parkway Traffic Info

Hopefully you have noticed that construction is in full swing for both phases of Coal Creek Parkway widening. For daily project status and traffic delay information please visit http://www.coalcreekparkway.com/.

Parkway construction to begin this fall

First, my apologies for not posting in the last few weeks. The family and I were on a much needed summer vacation.

Shortly after my return this last Tuesday the city council approved in a 6-1 vote to proceed with Coal Creek Parkway Phase 2 and has awarded the construction contract! That means that we have approved both phases 2 and 3 and construction will begin shortly on the roadway. Current estimates are that the construction should last around 22 months. So if we can break ground in September we will hopefully see a completed road by mid-summer of 2009.

Current financial status. - In the past few weeks we have been awarded some additional funding as well as identified a few possible other future grants.

• The TIB (Transportation Improvement Board) voted and approved an additional 2 million dollars for the project.
• The TIB director also has the authority to grant an additional 1.5 million at the end of the project if needed.
• Senator Patty Murray has included a $1 million line item in the federal budget that is expected to be passed in September.
• The King County Council looks to be including $1 million in the upcoming county budget this November.

In addition to the grants above, the city has been identified to receive a public works trust fund loan of $5 million. This loan is at an interest rate of 0.5% (that is one half of one percent!) In the case that we need to borrow money we really can't beat this rate. It would mean payments of approx. $55 thousand a year per million borrowed for 20 years.

Good news for Coal Creek Parkway!

This was a very exciting week for Coal Creek Parkway.

First - In a 7-0 vote on Tuesday evening, the city council awarded the contract to CA Carey for construction of Phase 3 of CCP. In all likelihood you will begin to see work on the May Creek Bridge before the end of the year. Many thanks to all of the people who worked to make this project a reality over the past 10 years or more.

Second -The Mayor and City Manger made a presentation to the Transportation Improvement Board (TIB) on Thursday in a request for additional funding for Coal Creek Parkway. During the TIB board meeting on Friday the board voted to award an additional $2 million to the project. Making the total in secured funds for the project $35 million (of which the city's contribution is $3 million). There is still additional funding needed but with this vote of support from TIB (the largest financial contributor) we stand a very good chance of securing additional funds from our other partners.

Lastly - I also wanted to respond to comments that were left regarding my last post. Hopefully more of you who read will feel welcome to contribute thoughts.

An anonymous commenter made the following remark:

The fourth option is that we do nothing until and unless the state and county step up to pay an appropriate share of the total cost. Non-Newcastle vehicles account for 90% of the traffic. The amounts under discussion are well within the budgets of larger entities. We few Newcastle residents should not be picking up so much of the tab for what is actually a regional thoroughfare.

I appreciate the thinking that we find a fourth alternative, but this comment just doesn't make sense. First the state and county have indeed been stepping up on this project. For phases 2 and 3 the city currently has only committed $3 million which amounts to less than 10% of the total project cost of $44 million (accounting for contingency). If the city were to contribute a 15% share the total would be $6 million (that's twice what we have already have invested). If necessary, I don't think a contribution of 15% in a project of this nature is out of line. Especially if you consider the soft costs we all experience in livability when traffic is backed up (irregardless of where those cars are going). Additionally, there is no "just wait" in the political game. The state, county, feds, and TIB have all said they want the project completed. We will always be chasing inflation if we play the waiting game, and its a game we will never win.

Send me your thoughts.

Running the Numbers

Last weekend the entire council spent a little more than a day at the Westin in Bellevue for our annual planning retreat. As would be expected a good portion of our meeting was regarding Coal Creek Parkway (CCP). A few things came to light during our conversation that I want to share.

In my last post I wrote that I felt that options 2 and 3 for CCP reduced the financial risk to the city. After running the numbers during our weekend meeting I actually don't believe that to be true. Lets explore:

Option 1 - Complete both phases.

• The city has currently committed $3 Million in Cash
• We continue to solicit money from the State and Feds to cover the remaining $11 million
• Best case we only put in the $3 mil - worst case we must borrow an additional $8 Million
• But the road is complete

Option 2- Complete only Phase 3

• The city has currently committed $3 Million in Cash
• The City must reimburse the state (TIB) for the property and engineering costs for phase 2 ($6 Million)
• Because the road is not widened we would need to do about $2-3 million in improvements to the existing 2 lane road (repave, signal at 89th)
• In this case the city would be out $3 mil cash + need to borrow at least another $5 million
• And only the bridge is complete

Option 3 - Do nothing

• The city must reimburse TIB nearly $6 million for property and 3 mil for engineering
• Because the road is not widened we would need to do about $2-3 million in improvements to the existing 2 lane road (repave, signal at 89th)
• So end result would be the City paying $3 million in cash and needing to finance $8-9 million
• And in this option we would have no new road or bridge

In all three options the city has some level of financial obligation and in fact the one that has the apparent least amount of risk is option 1. This is because by continuing with the project it enables the city to continue to seek additional funding from outside sources like the State. The moment we say that we are not going to complete the project we not only give up our ability to ask for more money, we would also have to repay the money we have already been given.

I should also mention that according to a preliminary and conservative estimate of the financials, it appears the city could afford an $8 million line of credit. I would mean possibly restructuring some of our capital priorities but it is within the reasonable financial health of the city to take on that amount of debt if necessary.

Coal Creek Parkway Update

I need your feedback! The council, and in turn you, is faced with making the final decision on whether or not to continue with the construction of Coal Creek Parkway.

Let me briefly summarize the current state of the project:
Final construction bids were presented to the city last week. So counting construction cost, property acquisition, and project management, the current cost of the project (with a 10% addition for contingency) is roughly $44 million. Currently the city has secured funding in the amount of $33 million, of which $3 million is directly contributed from the city of Newcastle and the remainder is a mixture of funding from the state, federal government and county. So on the surface this looks like we are about $11 million short of the needs for the project. However several other funding sources totalling roughly $6 million have been identified and are being pursued but are not guaranteed. Included on that list is additional monies from the state, feds and the city itself, as well as approx $1 Million in possible project savings by cutting back on some areas on the project.

Here is a simpler chart of the figures:
$44 M - Project Cost
$33 M - Secured Funding
$6 M - Potential Funding
$5 M - Unfunded Balance

Options for Proceeding
The City required to act on the construction bids within 45 days of their having been opened. Therefore the City Council is facing several important decisions within the next few weeks. There are several options, and I am asking your input in helping to make the correct decision for this city long term.

1. Undertake Both Phases Now, Continue to Seek Additional Funding
If one assumes that infrastructure projects are not likely to become less expensive in the near term, the City could choose to begin both phases of the project now and simultaneously continue to seek additional funding.

The upside to beginning both phases now is that we would begin completion of a 13-year goal, we would protect our federal money by meeting our obligation deadlines, we would be on a similar time frame as is projected for the Renton and King County phases of the project, and we would be demonstrating a commitment to our funding partners by initiating the project we have been working to fund for so long.

Downside risks are, the Council would need to commit to debt financing the unfunded, but known, amount. We would continue to seek increased funding from our partners but if we were unsuccessful in gaining any additional funding, the City would be obligated to self-fund the balance.

2. Undertake Only Phase III (the bridge), Wait on Phase II
This option may lessen the city's risk in the near-term, but increases the risk in the long-term for phase II.

The upside to this option is that it allows us to proceed on the bridge (phase III) knowing that we have sufficient funds to complete it. It also allows us to begin spending our federal funds this year within the deadlines set on those funds. It would also be on a similar time frame as is projected for the Renton and King County phases of the project. And with the a signal at May Valley Road, would improve traffic flow at that intersection.

However the city could risk the funding agreements we have with the TIB (Transportation Improvement Board) and the State. TIB has been interested in providing funding to Newcastle because the project is “ready to go” from a design and construction standpoint. As such, the TIB could conclude the project is not ready and reprogram the money to another state project. In addition, a majority of the right-of-way along the corridor of Phase II has been acquired and was partially funded by TIB. If Phase II were not to be initiated in the near term, then the City may be obligated to repay TIB for that expense.

3. Do Not Initiate Either Phase At This Time
Another option would be to conclude that the city lacks sufficient secured funding and should not proceed until it does. Therefore both phases should not be initiated at this time.

The upside to this option is that the City would not embark on a major project without having all funding secured and would not put the city in any immediate financial risk.

Although there is no immediate financial risk, this option would have the largest risk in the long-term. The future construction costs are unknown but most likely much higher than they already are given historical trends. It also means losing the federal money we have secured to date, and it could mean losing the TIB grants to other state projects that are ready to go. And as with Option 2, the city may need to reimburse TIB for right-of-way that has been acquired.

Construction begins on I-405 widening project

On Monday, July 9, WSDOT will begin construction to widen I-405 within the city of Bellevue between 112th Avenue SE (exit 9 near the park and ride) and SE 8th Street.

You may notice construction activity as crews shift lanes on I-405 to set up work zones and move in heavy construction equipment. Ramp alignments may also change to accommodate construction. All lanes on I-405 will remain open during the day with a few lanes closed at night.

The I-405 South Bellevue Widening Project will help relieve congestion at one of the worst I-405 bottlenecks by adding lanes and improving merging conditions through the drive in and out of downtown Bellevue.

The project is divided into two stages:

Stage 1: July 2007 - June 2008
Between 112th Ave SE and I-90

• Add a new northbound lane from 112th Ave SE to I-90
• Build a new, three-lane, southbound bridge over I-90
• Widen the existing northbound bridge over Coal Creek Parkway

Stage 2: March 2008 - August 2009
Between I-90 and SE 8th

• Build one new lane in each direction from I-90 to SE 8th Street
• Remove the Wilburton Tunnel
• Convert the existing southbound bridge over I-90 to carry the northbound HOV lane

For more information visit the WSDOT I-405 Widening Project Website.

Parks, Fireworks, and Road closures

The following is a roundup of updates from last nights council meeting:


Skate Park Public Hearing
Tonight, June 20th, the Parks Board will be holding the first public hearing on the feasibility of and possible site location for a skate park. The meeting is at 7pm at City Hall

4th of July Fireworks
This is the last year that the personal discharge of fireworks will be allowed in the city of Newcastle. If you chose to shoot off your own fireworks please be safe and use common sense especially if there will be children in the viewing area. If you choose not to hold your own fireworks display there will be a public display at Lake Boren Park. Festivities in the park begin at 6pm. From 8-10pm there will be live music and the fireworks display over the lake will begin at 10pm. There will also be several food vendors in the park during the event. Also note the following from the city website:

NO outside fireworks are permitted at Lake Boren Park. All dogs must be ON LEASH and horses are not allowed during this event. All attendees should remember that fireworks can startle or frighten animals. For the safety of others and your pets, we recommend animals be kept at home.

Coal Creek Parkway Closure
Coal Creek Parkway between Newcastle Way and Golf Club Road will be closed from approx 11:30 - 2pm on this Friday June 22nd. Traffic will be detoured along Newcastle Way and Golf Club Road during the closure. Please expect delays if you will be travelling during this time. The reason for the road closure is for the dedication of the Officer Richard Hertzog memorial. For those who have been in town for several years, you may recall that Officer Hertzog was a well respected and loved Officer of the Newcastle PD who was shot along Coal Creek Parkway while on duty.

Concerts in the Park
The Summer concert series begins next Wednesday June 27th at Lake Boren Park. For a schedule of performances visit the Newcastle Event Calendar.

Coal Creek Parkway closer to beginning construction

On Monday June 4th all of the necessary pre-construction requirements for Coal Creek Parkway have been met and the City has officially begun soliciting for construction bids on the project. Construction companies will now have until July 3rd to submit construction bid proposals. After that date the city will have 45 days in which to review the bid submissions and potentially award a contract to a bidder. If the bid proposals are within a reasonable range of the anticipated budget, the council will most likely award a contract well before the 45 day window is expired. At which point the construction will begin on Coal Creek Parkway. Construction is anticipated to last two years which would put the completion date sometime around mid-to-late 2009.