Council Discusses Road Funding Options

The Nebraska Department of Transportation is planning a significant project, the “17J Link State Project.”

When completed, it will have new road from the soil up. The question City of Sidney staff and council members have been grappling with is how to finance the City’s portion of the cost.

The overall project is estimated to cost $9.3 million. The City’s share of the cost, 20 percent, comes to about $1.8 million, according to discussion at Tuesday’s city council meeting.

Doug Hoevet, representing the Nebraska Department of Transportation, met with the Sidney City Council Tuesday to discuss funding options for the City’s share of the project.

“The purpose of me being here is to start some dialogue,” Hoevet said. “The project is full construction.”

He said the project will include from where the Illinois Street project ended to the 17J link. He said the concrete pavement is currently at about an 8-inch depth. The new pavement will be 9 inches. The new construction will include driving lanes, shoulders, islands and turning lanes.

“It will be at least one construction season,” Hoevet said.

He said there are funding options including a lump-sum payment, “pay-as-you-go,” and annual installments.

Council also discussed pursuing grants to offset the City’s share of the project. According to council discussion a US Department of Transportation grant could cover $1.69 million of the $1.8 million responsibility. The question council also considered is what is the alternative if Sidney is not approved for a USDOT grant. Assistant City Manager Dawn Martin said staff recommendations are leaning toward bonding.

“We’re certainly appreciative of the State considering us for the project,” Sidney Mayor Roger Gallaway said, “but it does tie our hands.”

Hoevet encouraged the city council to return a formal response as soon as possible, but correct is more important than timely.

The council expects to discuss the project again in the June 11 council meeting.