Fiscal Note
This resolution authorizes a jurisdictional transfer agreement between the City of Madison and the State of Wisconsin Department of Transportation. Under the agreement, the City will assume full responsibility for sections of US Highway 151 from the Beltline to Blair/ East Washington. The specific roadway segments subject to jurisdictional transfer are detailed in the body of the resolution and attachments.
Currently, the City and State share responsibility for these roadways. The City performs regular maintenance (e.g. snowplowing, patching potholes), the City and the State share responsibility for future reconstruction, and the State has authority for approval of any roadway changes under its policies. The City receives an annual state aid payment (Connecting Highway Aid) of approximately $300,000 to offset maintenance costs.
Under the jurisdictional transfer agreement, the City will assume full responsibility for these roadways. The State would pay $37 million to the City by September 30, 2026. This sum was calculated by WisDOT based on procedures dictated by the Wisconsin Department of Transportation Facility Development Manual chapter 4, section 5 and represents the costs of future pavement replacement between 2026 and 2035. These funds would be deposited in a new transportation special revenue fund for the purpose of transportation-related operating costs and capital improvements. The City would no longer receive the annual Connecting Highway aid for these roadways or receive state funding for future reconstruction projects for these roadways. Expenses that were previously supported with State contributions would be paid with City funds, including the funds provided through this up-front payment.
Additionally, the resolution amends the budget for the North South Bus Rapid Transit (BRT) capital project in the Transportation budget (Munis #13665) to appropriate $15 million of the funds received through the payment from the jurisdictional transfer.
Title
SUBSTITUTE. Authorizing a jurisdictional transfer agreement between the Wisconsin Department of Transportation and the City of Madison for portions of S. Park Street, W. Washington Avenue, Proudfit Street, North Shore Drive, John Nolen Drive, and S. Blair Street; establishing a special revenue fund for transportation-related revenues and expenditures; and amending the budget for the North-South Bus Rapid Transit project to appropriate $15 million from the special revenue fund. (District 4, District 6, District 13, District 14)
Body
EDITOR'S NOTE: The title of this legislative file has been modified as follows.
Title: SUBSTITUTE. Authorizing a jurisdictional transfer agreement between the Wisconsin Department of Transportation and the City of Madison for portions of S. Park Street, W. Washington Avenue, Proudfit Street, North Shore Drive, John Nolen Drive, and S. Blair Street; and establishing a special revenue fund for transportation-related revenues and expenditures; and amending the budget for the North-South Bus Rapid Transit project to appropriate $15 million from the special revenue fund. (District 4, District 6, District 13, District 14)
WHEREAS, S. Park Street from W. Badger Road to W. Washington Avenue, W. Washington Avenue from S. Park Street to Proudfit Street, Proudfit Street, North Shore Drive, John Nolen Drive from North Shore Drive to S. Blair Street, and S. Blair Street from John Nolen Drive to E. Washington Avenue currently have the status of State Connecting Highways and the designation of US 151, and;
WHEREAS, these roadways are an integral part of the city, playing an important role in moving people and goods, supporting environmental sustainability, fostering economic activity and facilitating a wide array of uses and activities, and;
WHEREAS, the responsibility for these roadways is currently shared between the Wisconsin Department of Transportation and the City of Madison, with the city performing regular maintenance, the city and the state sharing responsibility for future reconstruction, and the state having authority for approval of any roadway changes under its policies, and;
WHEREAS, the Wisconsin Department of Transportation currently pays the city Connecting Highway Aids and would provide funding for a portion of future roadway reconstruction, and;
WHEREAS, the Wisconsin Department of Transportation has found that the public good will best be served by removing these roadways from the state highway system and rerouting US 151, and;
WHEREAS, the City of Madison has concluded that its residents will benefit from the city having complete control of these roadways, and;
WHEREAS, the Wisconsin Department of Transportation and the City of Madison have reached an agreement to transfer jurisdiction of these roadways, resulting in them being city-controlled streets, and;
WHEREAS, the agreement would transfer all reconstruction, design, operational, and permitting responsibilities to the city, with the city retaining maintenance and rehabilitation responsibilities, and;
WHEREAS, investment in transportation infrastructure, including roadways, bicycle and pedestrian facilities, and transit equipment and facilities, along with the costs to operate and maintain that infrastructure, is critical to the City’s economy and the well-being of its residents, and;
WHEREAS, allocating revenues toward our transportation needs will help with planning for prudent and effective investments now and in the future, and;
WHEREAS, the agreement includes a Cost to Cure payment to the city of $37,000,000., to help defray the one-time, initial capital and operating costs to maintain these additional system miles and;
WHEREAS, the North-South Bus Rapid Transit Project (N-S BRT) (Munis Project #13665) includes improvements along the Park St. corridor, and the 2025 adopted budget included up to $40 million in additional unsecured federal funds, for a total of $159.1 million in federal funds. These funds were not expended in prior years and the budget authority carried forward into 2026; and,
WHEREAS, the City must demonstrate its available budget for the N-S BRT project to the Federal Transit Administration (FTA) to receive federal funding; and,
WHEREAS, the Wisconsin Department of Transportation previously committed $10 million for the N-S BRT project, which was not reflected as a funding source in the N-S BRT project in the city budget, but which is replaced by the funding in the Jurisdictional Transfer; and,
WHEREAS, the North-South BRT project budget has been refined based on further design and risk analysis, reducing the total project cost relative to the adopted 2025 budget;
WHEREAS, the total federal contribution is expected to be $119.1 million; and,
WHEREAS, $15 million in funding from the jurisdictional transfer agreement could be used for improvements on the Park St. corridor that would advance the N-S BRT project, therefore it would be appropriate to apply these revenues to the existing capital project.
NOW, THEREFORE, BE IT RESOLVED, the Common Council authorizes the Mayor to sign a jurisdictional transfer agreement between the Wisconsin Department of Transportation and the City of Madison for portions of S. Park Street, West Washington Avenue, Proudfit Street, North Shore Drive, John Nolen Drive, and S. Blair Street, and;
NOW, THEREFORE, BE IT FURTHER RESOLVED, that the payment received from the Wisconsin Department of Transportation related to this Jurisdictional Transfer will be deposited to a transportation special revenue fund for the purpose of transportation-related operating costs and Capital improvements.
NOW, THEREFORE, BE IT FINALLY RESOLVED that the North South BRT project (Munis #13665) in the 2026 budget is here by amended to replace the $10,000,000 of WisDOT funding with appropriate $15,000,000 of funding from the jurisdictional transfer revenues to the N-S BRT project and to cancel carryforward budget authority of $40,000,000 in federal funds. of Other Government Payment for Services.