How much should Kane County borrow to build Longmeadow bridge?
Kane County officials will seek construction bids on the largest and most controversial parts of the Longmeadow Parkway this fall. But leading up to that, county board members will debate how much cash they should borrow to complete the project.
County officials always planned to issue bonds for the bridge that will span the Fox River. The toll drivers pay to cross the bridge would pay off the bonds. Research presented by the Kane County Department of Transportation indicates the lower the toll the more people will use the bridge. The less money the county borrows, the lower the toll will be to repay it. A rejection of the toll bridge by commuters would leave county taxpayers on the hook to pay off the bonds.
Some county board members indicated differing perspectives this week on the role of that toll and how much the county should borrow to complete the project. The current plan envisions a $30 million bond. That debt would put the toll somewhere between 50 cents and 75 cents.
County board member Deb Allan noted the $30 million tally is far less than the $75 million bond officials planned before state and federal dollars began rolling in.
"I thought the reason for doing the bond was so the people using the tollway would pay for it," Allan said. "I'm interested in having that bond amount high enough to get McHenry County residents to pay for it."
The 5.6-mile parkway runs very near the McHenry County border. One of the sentiment some have is that McHenry County residents will see a significant benefit from the bridge and parkway with no buy-in on the construction. Likewise, Cook County residents and commuters are also expected to use the bridge. As such, they should pay for that benefit, some say. But transportation committee Chairman Drew Frasz reminded Allan the parkway is still in Kane County.
"The majority of users will be from Kane County," Frasz said. "I don't think we want to drive the cost of that toll up too high."
The more money the county borrows, the longer it will likely take to pay off the debt. Several county board members have stated their desire that the Longmeadow project be one of the few where the toll goes away at some point. Tom Rickert, the county's deputy transportation director, said the Longmeadow Parkway is in a better position to retire a toll than most tollways.
"Longmeadow is a minor arterial," Rickert said. "It will be no greater than the four lanes we're building. It's designed to be an ultimate improvement. Our goal is to pay off the bond in 20 years and set aside an amount for future maintenance."
Frasz said those future and perpetual maintenance funds would be included in the money borrowed to build the toll bridge. There hasn't been much public discussion of what those maintenance costs will be, until now.
County board member Bill Lenert said his calculations put the annual Longmeadow maintenance at $300,000 or more. He thinks it will cost an upfront endowment of $15 million to cover the long-term maintenance.
"What I'm wondering is if we take out a $30 million bond, and pay it off in 20 years, will we still have another $15 million to set aside to handle the maintenance?"
Frasz said Lenert's figures are unofficial. The county board will agree on that bond amount within the next six months. Frasz said construction bids have been lower than expected through the early stages of the project. If that trend continues, it will reduce the $30 million estimate even further.