Highway Project Construction Options

Highway Project Construction Options. There are three options for Highway Project construction: construction by MDOT; construction by a Local Entity on a state designated highway; and construction by a Local Entity on a non-state designated highway. The application process and construction regulations for each are as follows: A. Construction by the Department of Transportation: (i) The Local Entity where the Highway Project is located must submit three (3) copies of an application to MDA providing the following information: (ii). A description of the Highway Project including estimates of all cost related to construction and annual maintenance. (iii). A certified resolution from the governing authority of the Local Entity detailing the source and amount of funds which the Local Entity has committed, or is willing to commit, for the Highway Project and a request for MDOT to do the construction. (iv). A certified copy of a signed letter of intent from the private company to the Local Entity describing in detail the following: (a). The Company Project (b). The proposed timetable for completion of the Company Project (c). The number of jobs to be created (d). The dollar investment to be made by the company (e). A guarantee from the company of the investment at the Company Project location (v). A demonstration that the company is financially sound and appears to have assets and creditworthiness to secure necessary funds to complete the Company Project. (vi). An estimate by the company of the number, size, and weight of motor vehicles and frequency of travel of such vehicles upon the Highway Project. (vii) A statement from the company that the proposed Highway Project design will meet the company's needs. (viii). MDA will forward a copy of the application to MDOT for their evaluation. (ix). MDOT will provide MDA with an estimate of how much the Highway Project will cost and request a certification that EDH Funds are available for the project. (x). Upon approval by MDA, MDOT will be responsible for all Highway Project design, engineering and construction. (xi). Any changes or modifications to the approved plans, which would affect the cost of the Highway Project, must be approved by MDOT and MDA (xii). MDOT will certify to MDA when all charges are final and the Highway Project is officially completed. B. Construction by a Local Entity on a State Designated Highway. In accordance with an agreement between MDA and MDOT, State Aid assists in the administration of these projects: (i). The Local Entity must submit four (4) copies of an engineering study based on an RWD-600, which sets out the criteria for the design and meets the requirements of the Act. The engineering study shall also contain an estimate of costs based on the design criteria. These documents shall be sent to State Aid for review and forwarding to MDOT and MDA. (ii). MDOT, after evaluating the engineering study and the RWD-600 based on typical average cost per mile for similar projects, will provide State Aid with its comments or approval. (iii). State Aid will notify the Local Entity and MDA that the design criteria has been approved or needs revision. Upon final approval by MDOT and notification to MDA of such approval, the Local Entity may proceed with the application. (iv). The Local Entity must prepare and submit to MDA two (2) copies of an (v). application, which provides the following information: (a). A description of the Highway Project, including an estimate of the annual maintenance cost. (b). A certified resolution from the governing authorities of the Local Entity detailing the source and amount of funds which the Local Entity has committed, or is willing to commit, for the Highway Project and a statement of intent to perform the highway construction. (c). A certified copy of a signed letter of intent from the private company to the Local Entity describing in detail the following: (i). The Company Project (ii). The proposed timetable for completion of the Company Project (iii).The number of jobs to be created (iv). The dollar investment to be made by the company A guarantee from the company of the investment at the Company Project location (d). A demonstration that the company is financially sound and appears to have assets and creditworthiness to secure necessary funds to complete the project. (e). An estimate by the company of the number, size, and weight of motor vehicles and frequency of travel of such vehicles upon the Highway Project. (f). A statement from the company that the proposed Highway Project design will meet the company's needs. C. MDA will consider the application and determine if it meets the program requirements. All parties will be notified of MDA's action. NOTE: Engineering and other costs incurred prior to submission and approval of completed applications will be the responsibility of the Local Entity. D. State Aid will submit a Program Form to the Local Entity and request that a program be executed by the Local Entity and returned to State Aid. This program will be reviewed and approved by State Aid and copies submitted to MDOT and MDA. E. The project engineer will be selected by the Local Entity and shall be entitled to compensation based on the EDH Program Engineer Fee Schedule. The project engineer will be responsible for coordinating the project between State Aid, MDA, MDOT and the Local Entity during all phases of plan development and construction. F. An engineering contract will be entered into by MDA, State Aid, the Local Entity and the project engineer. Upon approval by State Aid, copies will be submitted to all parties. NOTE: All costs associated with preliminary and construction engineering incurred after approval of the program and engineering contract are eligible for MDA participation. G. The project engineer will be responsible for plan development and all regulatory permits. Plan preparation will be based on the latest approved specifications as developed and approved by State Aid. H. The project engineer will submit three (3) sets of preliminary plans to State Aid for distribution and review prior to scheduling a field inspection (PS&E). I. Following review of plans, State Aid will require any necessary revisions to be made and, upon satisfactory review, schedule a field inspection. The field inspection party will include representatives from State Aid; Construction Division, MDOT; Roadway Design Division, MDOT; District, MDOT; the project engineer; and representatives from the Local Entity. J. The project engineer will be responsible for making any revisions resulting from the field inspection and will return five (5) sets of revised full-scale plans to State Aid. K. The Local Entity will comply with the National Environmental Policy Act, and all submittals shall be made to State Aid for review and approval. L. The Local Entity will be responsible for acquisition of rights-of-way in accordance with the Uniform Relocation Assistance and Real Property Acquisition Policies Act, both state and federal. M. Following review of full-scale plans, State Aid, in conjunction with MDOT, will schedule and conduct an office review with all representatives in item 11 above. N. The project engineer will make any revisions resulting from the office review and submit completed construction plans (small scale), preliminary estimate, and necessary documents to State Aid. O. Upon approval of all right-of-way certifications and regulatory permits, State Aid will authorize the Local Entity to advertise for receipt of bids. Bids will be evaluated and contracts awarded in accordance with governing statutes. Work will begin when the award of a contract is approved and the project fund is established by MDA. MDA will determine if funding is within the budget based on the contract amount at the time of letting (MDA commitment and county funding). P. Monthly estimates, with quantities measured in accordance with the contract provisions, will be submitted to State Aid. State Aid will check each estimate and submit it to MDA. Q. Engineering estimates will be submitted on a monthly basis and, after review by State Aid, will be submitted to MDA. (See Disbursement of Funds section.) R. The project engineer will review and recommend to State Aid any construction change order or supplemental agreement that will increase funding above the contract amount and forward such recommendation to State Aid for its approval. State Aid will review and forward its recommendation to MDOT, when appropriate. MDOT will review and recommend to MDA approval for changing the contract amount above the original construction bids and/or any engineering agreement cost. MDA will notify State Aid of its concurrence with changes to contracts. S. Final inspection of the completed highway project will be made by State Aid, MDOT, and the Local Entity. T. Construction by a Local Entity on a Non-State Designated Highway. Highway Projects to be constructed on non-state designated highways will be built to State Aid Road Construction Standards and will be administered by State Aid. (i). The Local Entity must submit three (3) copies of an application and engineering study to MDA.