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Silicon Forest Interchange Modernization Us Highway 26 / Brookwood-Helvetia

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Silicon Forest Interchange Modernization Us Highway 26 / Brookwood-Helvetia APPLICATION TO THE U.S. DEPARTMENT OF TRANSPORTATION TRANSPORTATION INVESTMENT GENERATING ECONOMIC RECOVERY PROGRAM FOR FISCAL YEAR 2012 Solicitation # DTOS59-12-RA-TIGER4 SILICON FOREST INTERCHANGE MODERNIZATION US HIGHWAY 26 / BROOKWOOD-HELVETIA Unlocking the Economic Potential of North Hillsboro as a Hub for Business & Commerce CITY CONTACT PROJECT WEBSITE Don Odermott, PE http://www.ci.hillsboro.or.us/Administration/TIGERGrant.aspx 150 E. Main St. Hillsboro, Oregon 97123-4028 Ph: 503.681.6451 SILICON FOREST INTERCHANGE MODERNIZATION US HIGHWAY 26 / BROOKWOOD-HELVETIA TABLE OF CONTENTS I. Project Description ............................................................................................................ 3 II. Project Parties .................................................................................................................... 7 III. Grant Funds and Sources/Uses of Project Funds ........................................................... 7 IV. Selection Criteria ............................................................................................................... 8 A. Long-Term Outcomes ................................................................................................. 8 1. State of Good Repair .............................................................................................. 8 2. Economic Competitiveness .................................................................................. 10 3. Livability ............................................................................................................... 14 4. Sustainability ........................................................................................................ 15 5. Safety ..................................................................................................................... 17 B. Job Creation & Near-Term Economic Activity ...................................................... 18 C. Innovation .................................................................................................................. 24 D. Partnership ................................................................................................................ 25 E. Results of Benefit-Cost Analysis ............................................................................... 26 V. Project Readiness & NEPA ............................................................................................ 30 VI. Federal Wage Rate Certification .................................................................................... 32 VII. Changes to Pre-Application ............................................................................................. 32 WEBSITE APPENDICES: http://www.ci.hillsboro.or.us/Administration/TIGERGrant.aspx Benefit/Cost Analysis NEPA Documentation Support Letters Local/Regional Planning Documents Table 1: SIM Project Key Tasks .......................................................................... 7-8 Table 2: Business Opportunities Lost by Hillsboro ............................................. 12 Table 3: SIM Project Schedule .............................................................................. 22 LIST OF Table 4: Economic Benefit from Phase I Development .......................................... 23 TABLES Table 5: Net Economic Benefits of SIM Project Construction ........................... 28 Table 6: Benefit Cost Analysis of SIM Project .................................................... 29 Table 7: NEPA and Permit Timeline .............................................................. 30-31 Figure 1: SIM Project Budget ................................................................................. 4 Figure 2: Aerial View of Current Brookwood/Helvetia Interchange at US-26 ... 5 Figure 3: The Missing Link in the Hillsboro Competitiveness Equation ........... 6 Figure 4: SIM Project Road Improvements ........................................................... 8 Figure 5: Traffic Backed up around SIM Project................................................. 9 Figure 6: Rendering of Intel’s D1X Fab Plant .................................................... 11 LIST OF Figure 7: The SIM Project—Keeping Quality Jobs in the U.S. ...................... 12 FIGURES Figure 8: Hillsboro North Industrial Area-Major Companies .......................... 13 Figure 9: View of Downtown Hillsboro ................................................................ 14 Figure 10: Orenco Station Mixed Use Development ........................................... 14 Figure 11: Amber Glen Planned Transit-Oriented Development ..................... 14 Figure 12: AM Interchange Queue 2035 .............................................................. 17 Figure 13: Economically Distressed Areas Served by SIM Project ................. 18 Figure 14: Industry Share of Total U.S. Exports ................................................ 19 Application to the U.S. Department of Transportation Fiscal Year 2012 TIGER Grant Program Solicitation # DTOS59-12-RA-TIGER4 3 Application to the U.S. Department of Transportation Fiscal Year 2012 TIGER Grant Program Solicitation # DTOS59-12-RA-TIGER4 Background: The Silicon Forest Interchange Modernization Project (“SIM Project”) will upgrade the City of Hillsboro‟s U.S. Highway 26 / Brookwood-Helvetia interchange (“the interchange”). The interchange is currently a chokepoint constraining future economic growth of high-tech, solar, and bio-pharmaceuticals development in the “Silicon Forest,” Hillsboro‟s technology cluster. The existing interchange was constructed to rural standards and thus limits expansion by existing employers, as well as prospective companies. BROAD COMMUNITY IMPACT The SIM Project sits at the nexus of city‟s “The primary impact is not just traffic transit-oriented community planning and high congestion and frustration for the employees tech export expansion initiatives. Hillsboro‟s of this high tech hub. The problem runs much sustainable long-term development objectives deeper and impacts the willingness of existing require adequate multi-modal transportation and new companies to expand or locate in infrastructure and strong companies located in Hillsboro – it‟s the very ability of our high close proximity. The interchange serves 12,000 tech companies to ship their products to the of Intel‟s 15,000 employees in Oregon, which is worldwide market.” home to Intel‟s largest concentration of research and production facilities in the world. Intel -Howard Larson, Hillsboro Industrial Broker spearheads Washington County‟s role as the leader in state-wide exports (36% of Oregon‟s export value), and is the largest contributor to making the Portland area the number two export region in the U.S. Hillsboro is also planning and delivering a number of mixed-use, high density projects to provide workers living options close to jobs and facilitate growth of businesses looking to locate in Hillsboro and/or expand operations. The success of these projects depends, in part, on adequate transportation infrastructure, including a modern interchange. Hillsboro‟s businesses need workers to have viable transportation options to reach their jobs efficiently. As these high tech companies create and manufacture next generation products, they must have the capability to quickly deliver components and products to customers in national and international markets. The SIM Project will connect current and prospective high tech businesses and manufacturers to nearby export and distribution hubs, such as the Portland International Airport and the Port of Portland, for shipping and rapid delivery. Overall, the SIM Project will ease current congestion for area businesses and workers, as well as facilitate regional and national economic competitiveness through growth in U.S. exports. The City of Hillsboro requests a Figure 1: SIM Project Budget (in millions) $15M TIGER grant as the final financing element of a $65.65M funding package for the two-phase SIM Project. Phase I will revamp the inter- change and be financed through the following (see Figure 1): o $15M TIGER grant o $23.38M from Oregon Dept. of Transportation (ODOT) o $0.55M from the city. Phase II will utilize $24.62M in ODOT funds and $2.1M from Hillsboro to complete inter- change capacity improvements on Brookwood and Helvetia Roads, acquire rights of way, and construct access roads to enable development of the surrounding industrial area. 4 Application to the U.S. Department of Transportation Fiscal Year 2012 TIGER Grant Program Solicitation # DTOS59-12-RA-TIGER4 In addition to the funding outlined above, the Oregon Legislature recently approved, and Governor John Kitzhaber signed into law on March 19, 2012, legislation that includes $3M to $4M in additional funds for the SIM Project (Senate Bill 1543).1 This funding signals the importance of the Project, and more broadly the Silicon Forrest, to the state‟s economic growth. Based on direct consultation with U.S. Department of Transportation program officers2 and the U.S. Census Map,3 this project qualifies for the rural set aside of TIGER funds. Figure 2: Aerial View of Current Combined, the SIM Project‟s improvements Brookwood/Helvetia Interchange at US-26 will support expansion of Hillsboro‟s existing businesses, unlock the economic potential of over 1,180 buildable acres of newly designated industrial land, and support an estimated 25,000-31,000 additional job for the region by 2035. A TIGER grant would provide the final tranche of funding needed to complete
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