The Tri-State Tollway (I-294)/I-57 Project IRWA’s 2014 Project of the Year

AN INTERCHANGE IS BORN BY BARBARA BILLITZER

It takes a motivated team of highly before the growth and maturation of the metro area, there was no skilled professionals to plan, design suburbs that now run alongside its path. interchange connecting the two. and build Phase One of a $719 million With gaps between the exit ramps and interchange project on an accelerated connectors that never materialized, the That will all change with the opening schedule and still come in under budget. south suburban communities were at a of the Tri-State Tollway (I-294)/I-57 The Tollway is fortunate to have disadvantage when it came to economic Interchange Project this year. A joint such a team. development. effort between the Illinois Tollway and the Illinois Department of Transportation This is a story about two interstate To accommodate traffic from (IDOT), the interchange will finally highways in Illinois, both more than 50 to Illinois, Interstate 57 (I-57) was connect the two interstate highways. years old and both built for a specific built in the 1960s and served as a And the benefits are significant. In purpose. When the Tri-State Tollway shortcut for commuters travelling addition to bringing access and mobility (I-294) opened in 1958, between Chicago and Southern cities to an economically distressed area, it is it served as a bypass around the city such as Memphis and New Orleans. At expected to save drivers 25 travel hours of Chicago. Now considered one of 358 miles, it is the longest interstate per year. And with more than 76,000 the most heavily traveled highways in highway in illinois. And while it vehicles using it daily, this totals about $4 the country, it was constructed years crossed I-294 at the south side of the million annual savings in fuel costs.

26 Right of Way NOVEMBER/DECEMBER 2014 The first phase is scheduled to be open in The Tollway worked diligently to inform October 2014, delivering 75 percent of the property owners and relocate families in an project’s benefits to the traveling public. efficient and effective manner in compliance with federal and state laws. Joanne Fehn, An Expanding Scope of Work the Tollway’s Land Acquisition Manager, led the acquisition team. With a reputation When the original $1 million budget for for tackling challenges head on, Joanne had land acquisition was approved by an Illinois her work cut out for her. “The typical land Tollway Board of Directors resolution in acquisition takes a minimum of 18 months 2011, only 7 percent of the parcels had been and is performed in phases,” explained identified. By February 2012, 30 percent of the Joanne. “However, as this was one of the parcels had been identified, and the budget firstMove Illinois projects, the construction was increased to $14.3 million. As the design timeline was tight, and the team worked phase progressed, more parcels were needed, very hard to compress the acquisitions into bringing the total to 320 acquisitions. By a 10-month average schedule. We knew April 2013, the requested budget rose to $17.8 we could meet the schedule, but only by million for all land acquisition needs. working collaboratively to identify creative solutions.” While IDOT handled 68 acquisitions, the Tollway was tasked with acquiring 252 The Tollway has the authority to acquire parcels, which involved an unprecedented real estate for construction or expansion, number of relocations in the agency’s history. but this was a distressed area that posed Those relocations involved 20 single- some unique challenges. The area impacted family structures with 16 owner-occupant by the interchange was considered families and 14 tenant families, resulting in economically depressed, with primarily 30 relocations. It also included four multi- low-to moderate- income populations. Some unit structures with 25 relocations, four of the communities had experienced high Committing the Resources commercial structures with 11 business unemployment and poverty rates, and it was relocations, as well as six billboard relocations estimated that 30 percent of the residents Faced with the challenges of increased traffic and three garage relocations. In addition were living below the poverty level. For those and lengthy commute times, it was clear that to the residential and commercial property who were property owners, the 2007-2008 the Illinois Tollway could not simply build its surrounding the interchange, a nature financial crisis and its impact on the housing AN way out of congestion. A strategic decision preserve would also be impacted and require market had led to a complete loss of their INTERCHANGE relocation. property’s equity. was made to expand and improve the tollway system instead of supporting other roadway options.

While the interchange project was initiated in the early 1990s, it stalled for years due to federal requirements, funding and environmental concerns. However, in August 2011, the Illinois Tollway Board of Directors approved a 15-year, $12 billion capital program called Move Illinois: The Illinois Tollway Driving the Future. As part of the program, funds became available for a new interchange to connect I-294 to I-57.

The Tollway’sMove Illinois Program is the largest capital program in the agency’s history and the largest of any toll road agency in the nation. As of September, more than $2.5 billion in construction and engineering contracts had been approved by the Tollway Board. In addition, the Tollway has committed additional investments To create jobs and drive the state’s economy forward, Illinois Governor Pat Quinn spearheaded the Illinois Jobs Now! capital construction program, which includes over $31 billion in construction for roads, public that will keep the existing tollway system transit and schools. Tollway Executive Director Kristi Lafleur (right) attends the Governor’s announcement. in a state of good repair for years to come.

NOVEMBER/DECEMBER 2014 Right of Way 27 Fair and Equitable Support for to the structure of their old loans. While the housing market crisis affected the RHP Residents some attempted the federal government amount, and many relocatees still lacked loan modification program, many were told sufficient funds to secure replacement To ensure that the acquisition process to stop making mortgage payments so they property. So the Tollway offered additional was fair, equitable and supportive for could qualify for a remodification at a lower down payment assistance benefits to owner- impacted residents and businesses, the interest rate. Unfortunately, that caused occupied relocatees. For those residential team followed regulations established major problems with their credit and made owner-occupants who could no longer by the Illinois Toll Highway Act, the it almost impossible to secure new loans.” qualify for commercial financing, the Department of Transportation, the Federal Tollway sought out seller-financing and/or Highway Administration, and the Uniform Given the economic conditions, the Tollway lease purchase options. The program was Relocation Assistance and Real Property felt compelled to actively seek out alternate very effective in allowing residents to secure Acquisition for Federal and Federally- solutions such as seller financing vehicles. replacement housing. Assisted Programs. Additionally, the agency partnered with the Illinois Housing Development Authority Teaming up with Agencies As the Tollway’s only Acquisition and and the Department of Commerce and Relocation Agent, Theresa Campbell had Economic Opportunity (DCEO) to help As the Tollway’s Deputy Chief of her fair share of hurdles to overcome. the impacted relocatees. To resolve the Engineering for Planning, Rocco Zucchero During the negotiations phase and process, property owners’ loss of home equity, upon has been immersed in this project since she was especially challenged by the recommendation of staff, the Tollway’s the 1990s. From environmental planning negative equity issue that came with upside- Board of Directors approved a negative and permitting to securing the necessary down mortgages which made it difficult for equity policy that addressed the depressed right of way, Rocco identified potential displacees to obtain home loans. real estate market and mortgage crisis. project partners early on and forged The policy enabled the Tollway to satisfy intergovernmental agreements that “Trust is everything when it comes to encumbrances and liens (excluding state ultimately facilitated the project’s execution. relocating anyone successfully, no matter and federal liens) if a property owner owed how big or small the relocation is,” Theresa more than the appraised value of their “Land acquisition is a very personal issue noted. “I needed to build relationships, and home. and we wanted to ensure the greatest level this required listening to the displacees’ of appreciation and empathy for those concerns and misconceptions and then For many owner-occupied relocatees, the impacted. The interchange wasn’t just a tackling them one at a time. Many of the Replacement Housing Payment (RHP) was construction project–there were families owners had run into credit problems due their only source for a down payment. But and communities to consider,” Rocco said. “The project required understanding and balancing of agency, community, resident and elected officials’ needs and expectations. So we developed agreements with multiple agencies and several of the neighboring communities.”

To keep the local communities and motorists informed about the project’s progress and impacts, an extensive outreach program was launched. A coordinated effort was targeted to homeowners, businesses, local officials, elected officials and the media. From the beginning, the primary goal was to inform and educate the public and build project support. The project team began meeting with the local communities and officials prior to the start of construction in March 2012 and hosted regular meetings in the area throughout the project’s lifecycle. Letters were sent to homeowners to inform them of nearby For more than 50 years, the I-294 and I-57 crossed in the south side of the Chicago metro area, but construction efforts or if land acquisition never connected. was required.

28 Right of Way NOVEMBER/DECEMBER 2014 When demolition or construction was scheduled, letters were hand-delivered to area residents. Individual meetings were also held with the families that were being relocated, and town hall meetings were scheduled every three months for interested residents, businesses and community leaders. In many cases, meetings with property owners were also conducted. In an attempt to keep all the key stakeholders updated on the project status, newsletters were published throughout the year. And quarterly briefings were held with elected officials, as well as meetings with local organizations as requested. The Tollway’s Deputy Chief of Engineering for Planning, Rocco Zucchero (right) led many of the community outreach efforts with residents and businesses in the areas impacted by the project. To enable the business relocatees to stay in Illinois and reestablish in their activities to be conducted near the project guide for continual improvement. “One of chosen community, the Tollway and area, preserving approximately 43 acres the primary lessons is to identify partners DCEO provided programs through their in the Indian Boundary Prairies Preserve early on and plan to be flexible,” Rocco partnership. Four programs were made owned and managed by the Nature said. “Partnering with other agencies with available to assist in the relocation process, Conservancy and Northeastern Illinois specialty areas of expertise that go beyond including Advantage Illinois, a small University. This wetland mitigation project the traditional roadway profile led to business lending program; capital line items will enhance habitats for rare plant and opportunities for affected families, providing or bondable expenses; energy and recycling insect species and aid in restoring the native both financial support and credit counseling lending; and Community Development plants and prairies that once thrived there. for residents. The unique partnership we Block Grant programs. forged with the Nature Conservancy and The Value of Partnerships Northeastern Illinois University will go Wetlands Preservation a long way in restoring, enhancing and An important goal of the project was to preserving the wetlands.” Among the parcels impacted by the facilitate economic development in Illinois interchange project were the Dixie Creek and encourage diversity in its workforce. As with any large-scale project, the valuable and I-57 drainage ditches. Located within The Tollway actively worked to increase lessons learned are being implemented the Upper Illinois River Basin, both were and diversify the number of contract across other Illinois Tollway corridors considered low-quality, channelized opportunities. This was done by raising and projects, and are being shared with drainage ditches that provided minimal awareness among local businesses and consultants, local communities and habitat for wildlife and functioned primarily providing technical assistance to smaller stakeholders affected by similar projects. to transport stormwater. businesses seeking new opportunities. They are also being shared with other More than 100 firms, including contractors, roadway agencies so they too, can learn The Tollway and IDOT remained committed subcontractors, consultants and sub- from the experiences of the Illinois to best practices in building green, while consultants were hired to work on various Tollway and overcome similar right of way also improving the nearby wetlands and phases of the project. challenges. waterways. This included minimizing the environmental impact of construction by More than $112 million in construction “The key was soliciting feedback from reducing, recycling and reusing materials, as and engineering contracts were awarded affected parties – residents, communities, well as adopting mitigation and landscaping through September, with 22 percent going elected officials, resource agencies, executive projects. To obtain regulatory permits for to disadvantaged business enterprises. The staff members and various project staff the interchange construction, the Tollway Tollway estimates as many as 135 workers members – which allowed development of worked with the U.S. Army Corps of have been employed on the job site each day solutions with greatest level of support and Engineers, Illinois Environmental Protection and Phase One of the project will create or chance of success. Teamwork and hard work Agency, the Illinois Department of Natural sustain an estimated 3,300 total jobs. made this project a success. Everyone came Resources and the Office of Water Resources. to the table with suggestions and solutions – According to Rocco, the team assembled not just problems – and people were flexible As part of the project, the Tollway will fund their lessons learned and created a strategy and willing to be innovative with practices the wetland enhancement and restoration that continues to evolve and serve as a and policies,” said Rocco.

NOVEMBER/DECEMBER 2014 Right of Way 29 From the Illinois Tollway, from left, Kristi Lafleur, Theresa Campbell, Kerry O’Brien, Brian Bottomley, Rocco Zucchero, Joanne Fehn and Paul Kovacs. Photo by Harvey Tillis.

Maintaining a Competitive Advantage

The Illinois Tollway’s system of roadways is the heart of a larger transportation network that connects roadways, rail, ports and airports. Together they make up one of the most dynamic transportation networks in the nation. Northern Illinois is home to one of the largest inland ports in the world and more than 270 million tons of freight are carried on the Illinois Tollway annually. With truck traffic projected to increase by more than 70 percent over the next 30 years, improving the overall ability to move freight Building a 21st century system of roadways will and businesses impacted by the project. “My through and within Illinois will help the state ensure that the region retains the competitive role is to balance the sometimes competing keep its competitive advantage in the global advantage it has over other major cities in the agendas of delivering projects on time and economy. United States and around the world. Taking within budget with the need to ensure that advantage of existing and new infrastructure we are mindful of the needs and concerns According to Chief Engineer Paul Kovacs, — like roads, transit, utilities and fiber — will of the communities we serve. Collectively, “The Illinois Tollway has delivered several help create and enhance an interconnected, we hope this project serves as a model for large roadway and bridge improvements globally‐competitive economy. building new transportation infrastructure over the past 10 years, but none that have in cooperation with residents, businesses, equaled the level of property acquisitions Balancing the Competing Agendas and our local, state and federal agencies,” that included relocations as required by the Kristi said. I-294/I-57 Interchange. This interchange In 2014, the Illinois Tollway invested $1.4 project is extremely important to the billion in transportation improvements – at The agency’s plan was designed to ensure Illinois Tollway, as it is in only year three of the time, the largest one-year infrastructure a positive outcome for the property owner, a 15-year, $12 billion capital improvement investment in the agency’s history. This easement holder and the agency. The program that requires a very sustained and investment will reduce congestion and Tollway’s land acquisition unit was able to high level of effort to deliver.” improve the quality of life for people deliver all the parcels required on time and throughout the region, while within budget. Implementing new programs supporting local businesses. and partnerships, the Tollway worked with This is part of the state’s state legislators to draft new legislation that agenda to create jobs and allows the Illinois Tollway to pay the highest build an infrastructure that payment available under the governing law will drive the state’s economy or regulation to ensure suitable relocation forward. To make this project housing to all affected relocatees. The new possible, the Tollway adopted law was signed by Illinois Governor Pat new programs, strategies Quinn in July 2014 and will be applied to all and partnerships to assist the Illinois Tollway projects moving forward. property owners. The Illinois Tollway has raised the bar Kristi Lafleur, the Tollway’s for interstate right of way projects with Executive Director, takes its completion of the Tri-State Tollway great pride in knowing that (I-294)/I-57 Interchange Project. Despite the team made every effort some unique challenges, the project team to find innovative solutions went above and beyond to achieve success Construction workers join Illinois Governor Pat Quinn in celebrating a major that would help minimize by creating innovative programs and milestone for the Tri-State Tollway (I-294)/I-57 Interchange Project. the burden to the residents implementing creative solutions. J

30 Right of Way NOVEMBER/DECEMBER 2014