Council

supports

request for

funds to deal with DM&E

By RON LARSEN

Journal Staff Writer

NEW ULM -- The New Ulm City Council voted Tuesday to support a request for $50 million in state funding to mitigate traffic safety, congestion, train noise and other issues resulting from the Dakota, Minnesota and Eastern Railroad's expansion project.

Thirty-two communities and 10 counties in Minnesota are impacted by DM&E plans to improve existing track and extend its rail line into Wyoming.

The proposal for state funding is the same one that died in the 2000 Legislature because legislators felt the request was premature as the project had not received national Surface Transportation Board approval.

Under the plan that would be re-submitted to the 2002 Legislature, New Ulm would stand to receive a total of $3.5 million in mitigation funding. That includes $1,488,000 based on its 2000 census population and $2,030,767.20 based on average daily traffic figures from a Minnesota Department of Transportation traffic study.

Only Rochester which tops the list at $14.6 million, Winona and Mankato would get more money from the mitigation funding bill.

City Manager Brian Gramentz expects most of the money would be used for upgrading about 15 grade crossings across the city.

While DM&E has reached agreement with all Minnesota cities, except Mankato, Eagle Lake and Rochester, those cities making agreements feel DM&E's mitigation proposal is a "bare minimum offer and will not cover all anticipated costs," Gramentz explained.

Gramentz said the agreement, which was signed two years ago, doesn't specify an amount of money that would be spent by the railroad in upgrading the grade crossings.

The re-submitted proposal for state funding carries with it a call for 20 percent matching by the individual communities. In New Ulm's case, the $3.5 million plus the $750,000 city matching would provide up to $250,000 per crossing to spend on grade crossing upgrades, above and beyond what DM&E is committed to spend.

Gramentz told the council that there is no requirement for the city to spend its entire allotment, should the bonding bill be approved by the Legislature.

The council also granted Waste Management a 3 percent rate increase for residential garbage service beginning Jan. 1, 2002. According to the firm's district manager, Rick Roemer, the request was based upon the Consumer Price Index, Midwest Division, which represents New Ulm and the surrounding area.

Marty Thompson of North Mankato, representing Roemer, told the council the firm serves about one-half of New Ulm's 5,000-plus households. He said the increase was based on CPI for the last half of 2000 and first half of 2001.

"So we're operating a year behind, but where the CPI is going right now, is a good question," Thompson said.

Councilor Joel Albrecht made a motion to give the same percentage increase to Waste Management's competitor, Brand's Dandy Sanitation Service, which handles the other customers in New Ulm. However, City Attorney Hugh Nierengarten said Brand's wasn't on the agenda for action so Councilor Ruth Ann Webster withdrew her second, killing Albrecht's motion.

Public hearings for 2001 Street Improvements -- Group II and 2001 Utility, Street and Alley Improvements -- Group I were set for Tuesday, Dec. 18, 2001, at 7:30 p.m.

The Group II street improvements include grading, aggregate base, concrete and bituminous work, street lighting and miscellaneous restoration on 16th South Street from Valley Street to German Street.

The Group I utility, street and alley improvements include water main and sanitary and storm sewers, retaining walls, grading and graveling from the existing pavement within West Hills Addition west to the proposed North Highland Avenue right-of-way including a connection to Highway 14 at North Highland Avenue.

It also includes similar projects at 16th North Street west of Garden Street and Cedar Drive in Fairhills Third Addition, 13th South Street and South Front Street, 17th South Street, Boettger Road and Hazelwood Avenue, grading, bituminous surfacing and storm sewer in alleys in Block 95 south of Center Street, Block 161 north of Center Street and Block 217 north of Center Street; reconstruction of existing roadway on North State Street, as well as sidewalk improvements on German, 17th North and South Broadway streets.

The council then appointed Council President Dan Beranek and Councilor Ron Fleischmann to a committee to meet with township boards about annexation issues.

The council also authorized the purchase of two 2002 Ford Crown Victoria police package cars for $41,754 from Spaeth Ford Mercury in New Ulm.

The council will meet Thursday, Nov. 29, at 1:30 p.m. in City Hall's first floor conference room for opening bids for the Fairgrounds Community Center Ice Rink and Equipment.

Also added to the council's informational meeting list was a meeting with Minnesota Department of Transportation District 7 officials who will present conceptual alignment and design of the proposed 2004 Highway 14 Reconstruction Project from 7th North Street to North Highland Avenue.