By Sonja Kosler
Staff writer
The Otter Tail County Highway department recently held an unscheduled review of highway project priorities. The normal review cycle is every three years, but this one came a year early.
Construction cost increases have the department taking a close look at priorities and attempting to find projects that can be delayed or redesigned. The county maintains 917 miles of County State Aid Highways with funding from state fuel taxes and license fees. An additional 134 miles of county highways are funded with local taxes. The county also maintains 142 bridges.
Although the last state fuel tax increase was in 1988, increased crude oil costs have contributed to a skyrocketing cost of road construction.
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In the past three years a ton of asphalt has gone from $20 to $40, the cost for one mile of roadway reconstruction is up from $350,000 to $550,000, a mile of overlay that would have cost $90,000 three years ago is now $140,000 and a one-mile seal coat job runs $12,000 today instead of the $9,000 from three years ago.
Because of lower funding levels and increased costs, county highway maintenance projects will move to more preservation projects using overlays and seal coats rather than reconstruction.
One County Highway Department spokesperson puts it in perspective, Take a good look at our County Highways today because they are in the best shape you are going to see them.
Perham Westwind Addition street work estimated at $651,500
The Perham City Council has received a preliminary engineering report for improvements in the Westwind Third Addition. Improvements for the 37-lot development located in the area of 13th Street and 7th Avenues NW are expected to total $651.500.
The City of Perham would cover $72,100 of the costs with the remainder assessed to each lot.
The per lot assessment of $15,660 is much higher than in the past for similar development. According to Gary Nansen of Ulteig Engineering, the cost increases are directly related to the price of oil for paving streets and fuel for construction equipment.
Perham 2nd St. upgrade may be delayed until 2008
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As part of re-prioritizing projects, the Otter Tail County Highway department would like to delay improvements on Perham's 2nd Street from 2007 until 2008. According to City Manager, Bob Louiseau, the Improvement project has already been put off for a number of years in order to allow for the county budget.
The condition of the street is now becoming critical with just an inch or two of surface remaining. City leaders question that any future maintenance costs may be wasted.
There are other streets constructed in the 1940's that have had no improvements.
Louiseau says the city may be able to proceed with the 2nd Street project by doing a short term bond for the county share of the project and then allowing the county to repay the bond costs when State Aid is received. The project would include underground services as well as the street surface.
An exploratory letter will be sent from the city to the county.
