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St. Louis County receives nearly $35 million for Rice Lake Road corridor project

Leaders from St. Louis County, the City of Rice Lake and others are all smiles as they celebrate the news that the county has received nearly $35 million in federal and state funds for the Rice Lake Road Corridor Project. Shown L-R are: Commissioner Keith Musolf, Rice Lake Mayor Suzanne Herstad, APEX CEO Rachel Johnson, Duluth Airport Authority Executive Director Tom Werner and St. Louis County Public Works Director Jim Foldesi. Submitted

The Rice Lake Road corridor project, which has been in the planning stage for a decade, will be moving forward thanks to significant funding from the federal and state governments. Leaders from St. Louis County, the City of Rice Lake and others gathered Thursday to announce the news.

The project will be transformational for the City of Rice Lake, opening up new areas for housing and other economic development opportunities. It also will improve safety and traffic flow for anyone who travels on Rice Lake Road, whether for short trips or as a connecting route from Duluth to the east Range.

Making this all possible, St. Louis County Public Works has been awarded $25 million through the federal RAISE grant program. RAISE is an acronym for Rebuilding American Infrastructure with Sustainability and Equity. It provides funding for surface transportation projects that will improve safety, environmental sustainability, quality of life, mobility and community connectivity and economic competitiveness. Funding for the program comes from the 2021 Infrastructure Law.

Additionally, the County just learned it will be receiving $8,946,000 in state funds for this project. Minnesota has an Infrastructure Investment Jobs Act (IIJA) Match Program to help agencies successfully deliver projects funded with federal discretionary grants. St. Louis County was also awarded $600,000 in federal funding through the Transportation Alternatives Program for this project. 

With funding largely in place, preliminary work will begin this fall, though actual construction is still several years out. The project is expected to span two construction seasons: 2028-2029. It will involve reconstructing segments of Rice Lake Road, Martin Road, and West Calvary Road and add new segments of city street. It will also construct a short extension of West Calvary Road, add turn lanes, and convert select intersections to roundabouts. More than five miles of paved trails will also be constructed.

"This is really exciting for three reasons," said Commissioner Keith Musolf, whose district includes Rice Lake. "We’re improving safety at our intersections on Rice Lake Road. From a sheer economics standpoint, this provides for future growth in Rice Lake and the cities and communities further up Rice Lake Road toward the east end of the Iron Range. Third, this will create jobs. St. Louis County will require Project Labor Agreements, ensuring local building trades men and women will be working on this project, which will keep the money here in our communities."

Improvements are expected to reduce the risk of fatal and serious injury crashes by approximately 52 percent. The roundabouts will better accommodate future traffic capacity needs and reduce carbon emissions from idling vehicles. The project aims to create a multimodal gateway into the developing downtown Rice Lake, supporting Rice Lake’s vision of a compact and walkable community.

"We’re here to celebrate this accomplishment, but this is just the beginning," said Rice Lake Mayor Suzanne Herstad. "This grant will build a new corridor in Rice Lake that will pave the way for commercial growth and help us realize our vision of a beautiful downtown area complete with walkways, bike paths, and a chance for people to get out and enjoy our city."

"This project is as much about economic opportunity and development as it is about transportation," said Jim Foldesi, St. Louis County Public Works Director. "We will protect the function of Rice Lake Road as an important transportation corridor while supporting access to existing businesses and planning for future growth."

Added Rachel Johnson, APEX President and CEO, "The lack of available properties for business, industry and housing development continues to be a major impediment for economic growth throughout our region. This Rice Lake Road Corridor Project will improve access to some of the only remaining developable land in the area."

The Rice Lake Road corridor project was among 148 projects nationwide to receive funding from the federal RAISE grant out of more than 1,000 eligible applications submitted; and one of only two projects in Minnesota.

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