Why is there a need for the Save our Streets Phase II Program?
Auburn has many miles of high-traffic arterial roads that must be built and maintained largely by limited local resources. The City of Auburn has worked with citizens and businesses to identify and prioritize the City’s roads for repairs, rebuilds and enhancement projects over a 20 year period.
The Save Our Streets (SOS) Phase II – Keep Auburn Moving program builds on the voter-approved SOS local streets improvement plan and ensures that every dollar generated from this voter request must be dedicated to specific road improvements and cannot be spent on other general fund purposes. The SOS program is based on the principle that a defined investment now in preserving street infrastructure will cost less in the long run, since the costs of maintenance are less than the costs of replacement of failed pavements.
Why Do We Need Voter Approval?
State law requires it. The law allows local governments to establish a Transportation Benefit District (TBD) solely for the purpose of acquiring, constructing, improving, providing and funding improvements within the district. One of the options to fund the improvements is to ask voters to approve revenue sources. The City of Auburn program would use general obligation bonds funded with a small property tax increase to pay for bond sales over a total of 20 years. This source was chosen over vehicle tolls, annual motor vehicle fees (MVET), sales tax or excess levies.
Didn’t We Already Vote on This?
The Original Save our Streets program was approved in 2004 and funded residential street projects from a levy lid increase for a maximum of six years. That funding did not provide for large commuter routes.
How well did Save Our Streets Phase I work?
It is very successful based on feedback and surveys completed by the City. SOS Phase I completed 42 of 59 miles with the rest to follow. Every dollar generated by the program goes to local residential street improvements and are done on time and under budget. The City documents the improvements made under the program and the data is annually updated on the City website.
Who Oversees the Program?
The Auburn City Council becomes the governing body and must issue annual reports on project costs, revenues, expenditures and construction schedules. A Citizen Advisory Board will receive regular updates and provide feedback to the City consistent with original SOS program with regular construction cycle updates available for the public. The program must be dissolved upon completion of projects and payment of debt services.
What Will Get Done?
The street improvements will be accomplished over two phases. The first phase is scheduled for $37 million in improvements during years 1-5 and would not require any underground utility work. Projects would be carefully selected and staged to prevent more than one intersection being closed on each corridor and would cause the least interference with traffic flow. A map is available for the most likely year 1-5 projects and future year projects.
The second phase is for years 5-10 and would cost $20 million plus $6 million from City utility funding to complete projects requiring underground utilities prior to paving. The final work would be scheduled as the utility budgets allow during years 11-20.
How Were the Projects Selected?
The City has worked with a community Arterial Task Force made up of business representatives and citizens to develop a prioritized list of projects. As projects begin, there will be regular opportunities for community review of progress as future lists are confirmed.
Why Doesn’t This Get Funded by the State or Federal Sources?
The State’s support for local roads has been greatly reduced over the years. It’s considered likely the legislature will put together a transportation package for voters in 2012 or 2013, but that will most likely be focused on large state highway projects, transit and other state-wide transportation needs. There is little federal funding available for local street improvements. The Save Our Streets (SOS) Phase II – Keep Auburn Moving would be local money for local roads.
Where Can I Find More Information about the Auburn Save our Streets Phase II?
How much will it Cost?
During the street improvements first five years, the average $250,000 home would see a $4-$8 per month increase in year five ($36-$96 per year) and average monthly impacts of $8-$9 ($96-$113 per year) in years six to year fifteen. As the bonds mature and are paid off, the average annual impact to a homeowner steadily declines and is eventually retired. 20-year bonds at a 5% rate of interest will be issued in 24 month intervals and must be spent within 18 months
- Assessed value increases 3% per year beginning after 2015
- Cumulative debt principal outstanding gradually declines as outstanding debt is paid off over bond term
- Cumulative impact to typical property gradually declines, reflecting outstanding debt remaining each year
- Calculations based on detailed annual amortization schedules based on above assumptions
**After year 15 amount declines until bond is paid off
Average Estimated Cost per Household
Based on a $250,000 Home
|Years 1-5||$4 – $8/month ($36 – $96/year)|
|Years 6-15**||$8 – $9/month ($96 – $113/year)|
Average Estimated Cost per Business Owner Per Year
|Small business property owner||$506/yr.|
|Medium retail business property owner||$3,330/yr.|
|Big box retailer property owner||$6,062/yr.|
Estimated Costs of Needed Work:
|Rebuilds (10.4 miles)||$37.1M|
|Patch & Overlay (9.4 miles)||$8.4M|
|Overlays (11.3 miles)||$5.8M|
|Rebuild Intersections w/Concrete (9) 50-year life||$7M|
Total Est. Cost: