HomeMy WebLinkAboutPublic Hearing / Linden Circle
CITY COUNCIL AGENDA REPORT
DATE:
AGENDA #:
PREPARED BY:
SUBJECT:
SEPTEMBER 5, 2000
7A
SUE MCDERMOTT, CITY ENGINEER
CONDUCT SPECIAL ASSESSMENT HEARING FOR LINDEN CIRCLE
IMPROVEMENT PROJECT #14.00 AND CONSIDER APPROVAL OF
THE FOLLOWING RESOLUTIONS:
1" o~ ADOPTING THE ASSESSMENT ROLL FOR THE LINDEN
CIRCLE IMPROVEMENT PROJECT
110m AWARDING THE BID FOR THE LINDEN CIRCLE
IMPROVEMENT PROJECT
DISCUSSION:
HISTORY
Linden Circle is one of the few remaining gravel streets in the community.
It is a neighborhood street, approximately 500 feet long, which ends in a
cul-de-sac and serves 12 lots. Construction of this street to a 20-foot
wide bituminous roadway with concrete curb and gutter was approved for
inclusion in the 2000 Capital Improvement Program, after petition by the
residents.
CONTRACT A WARD
At the July 17, 2000 Council Meeting, the Council approved plans and
specifications and authorized the advertisement for bids for Linden Circle
Improvements. Bids were received and opened on August 1, 2000. The
bids have been checked and tabulated. The low bidder was Valley
Paving, Inc., of Shakopee, MN in the amount of $73,888.75. Their bid
was below the Feasibility Report estimate of $84,400.00. Based on past
experience with Valley Paving, Inc., staff believes this contractor would
successfully complete the contract.
ASSESSMENTS
At the August 7, 2000 Council Meeting, the Council approved Resolution
00-64 which declared the cost to be assessed and ordered the
preparation of the assessment roll. In addition, Resolution 00-65 was
approved establishing the date of the Assessment Hearing as September
5, 2000 for the Linden Circle Improvement project.
162Qo.~~I19~~~g. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245
AN EQUAL OPPORTUNITY E~IPLOYER
T
CURRENT CIRCUMSTANCES
ASSESSMENTS
All benefiting property owners have been mailed a Statement of Special
Assessments, which included information pertinent to their property such
as the total assessment amount and the assessment rate. A Public
Hearing notice has been mailed to each property owner indicating the
time and place of the Assessment Hearing. The Public Hearing Notice
has also been published in the newspaper for two weeks.
The total project cost for the Linden Circle project is $93,017.87. There
are twelve (12) benefiting properties in the project area. Proposed
funding for the project is through trunk reserve funds and assessments.
$10,125.00 for water main improvements would be paid through the trunk
reserve and $82,892.87 would be assessed against the benefiting
properties. A copy of the assessment roll is attached showing the
proposed assessments per parcel.
The Assessment Review Committee recommended assessing the project
on a unit basis. Each unit was determined per the City's Assessment
Policy utilizing the existing plat drawings on file for these areas as well as
records for prior assessments.
The project will be assessed over a ten (10) year term. Added to the first
installment will be an additional 117 days of interest, which accounts for
the remainder of days in the year 2000 following the Assessment Hearing.
An interest rate of 8% will be charged in accordance with City
Assessment Policy.
Prior Lake Code, Section 111, allows for the deferment of assessment
principal and interest if the following four criteria are satisfied:
1. Applicant must be 65 years of age or older.
2. The qualifying property must be the homestead of the applicant.
3. Annual gross income shall not exceed the income limits as set forth
by family size according to Attachment "A" of Ordinance 86-3.
4. Total special assessment to be deferred must exceed $1,000.00.
The property owners have a right to appeal their assessments as per
Minnesota Statutes Chapter 429. Written objections must be signed
and filed with the City Manager prior to the Assessment Hearing or
presented to the Council at the Hearing.
As of this writing, we have received no appeals. In fact, staff has received
three calls from benefiting property owners in support of the proposed
project.
G:IAGENDA99IASSESSCT,DOC
FINANCIAL IMPACT:
AL TERNA TIVES:
G:IAGENDA99IASSESSCT,DOC
ISSUES
ASSESSMENTS
1) Staff recommends that if the project moves forward, that the Unit
Assessment method be used. The proposed unit rate is $6,907.74.
There are twelve (12) assessable units on Linden Circle.
2) Improvements to the water main that are necessary include fire
hydrant and valve replacement. These costs are proposed to be
funded through the Trunk Reserve and not specially assessed.
3) It is the opinion of the City Engineer that, in general, the special
benefit derived from the project equals or exceeds the proposed
assessment amount.
CONTRACT AWARD
1) The bid received by Valley Paving, Inc. is valid for 60 days from the
date of the bid opening unless an extension is mutually agreed upon.
The 60-day time period expires on October 1, 2000. If Council chooses
not to award the bid at this meeting, the September 18th meeting would
be the final opportunity.
If the proposed assessment roll is adopted after the Assessment Hearing,
financing of the improvements will be as follows:
Funding Amount
Source
Assessments $82.892.87
Trunk $10,125.00
Reserve
Project Totals $93,017.87
The numbers shown above for the assessments include 30% indirect
costs for design, survey, inspection, administration, and financing. At the
conclusion of the Assessment Hearing and subsequent adoption of the
assessment roll, all property owners will be mailed a follow-up billing
statement of their final amount owed.
The alternatives are as follows:
1. Approve Resolution OO-XX adopting the assessment roll as
submitted or with amendments and approve Resolution OO-XX
accepting the bid and awarding the contract for Project 14-00
Linden Circle Improvements to the lowest responsible bidder,
Valley Paving, Inc. in the bid amount of $73,888.75.
2. Close the hearing and deny Resolution OO-XX adopting the
assessment roll and reject the bid awarding the contract for
Project 14-00 Linden Circle Improvements.
T
RECOMMENDED
MOTION:
The City Council could adopt both Resolutions (Alternative 1) adopting
the assessment roll and accepting the bid and awarding the contract if it
believes that it is essential to move forward with this road reconstruction
project at this time and that the proposed assessment amounts are
appropriate.
The City Council could close the hearing and deny both resolutions
(Alternative 2) if it believes that completion of this road improvement
project at this time is not essential because it serves only twelve
properties, that the maintenance costs for the street in its existing
condition are not significantly greater than bituminous streets, that the
proposed improvement costs are onerous considering the benefit
received, and/or that the project could be made more economical at some
future date by including it with another project.
REVIEWED BY:
G:\AGENDA99\ASSESSCT.DOC
RESOLUTION OO-XX
RESOLUTION ADOPTING ASSESSMENTS
FOR PROJECT #14-00 LINDEN CIRCLE IMPROVEMENTS
MOTION BY:
SECOND BY
WHEREAS, pursuant to proper notice duly given as required by law, the Council has met and
heard and passed upon all objections to the proposed assessments for projects 14-
00 Linden Circle Improvements, and has amended such proposed assessment as it
deems just.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE,
MINNESOTA:
1. Such proposed assessment, a copy of which is attached hereto and made
part hereof, is hereby accepted and shall constitute the special assessment
against the lands named therein, and each tract of land therein included is
hereby found to be benefited by the proposed improvement in the amount of
the assessment levied against it.
2. Such assessments shall be payable on an equal principal method extending
over a period of ten (10) years for paving. The first installment shall be the
annual principal plus interest calculated from the Public Hearing date to the
end of this year plus twelve months of the next year and shall bear interest
at the rate of eight (8) percent per annum from the date of adoption of this
assessment resolution. To the first installment shall be added one hundred-
seventeen (117) days of interest on the entire assessment from the date of
this resolution until December 31, 2000. To each subsequent installment
when due shall be added interest for one year on all unpaid installments.
3. The owner of any property so assessed may, at any time prior to certification
of the assessment to the County Auditor, pay the whole of the assessment
on such property, with interest accrued to the date of the payment, except
that no interest will be charged if the entire assessment is paid within thirty
(30) days, and the individual may at any time thereafter, pay to the City's
Finance Director the entire amount of the assessment remaining unpaid,
excepting the installment portion appearing upon the current year's property
tax statement.
4. The City Manager shall forthwith transmit a certified duplicate of this
16200 E(iglRE:S€lOOmWindSdiih,.900' Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245
AN EQUAL OPPORTUNITY EMPLOYER
....,...... . .--.---....
assessment roll to the County Auditor to be extended on the property tax
lists of Scott County. Such assessments shall be collected and paid to the
City in same manner as other municipal taxes.
5. The final project cost apportionment has been determined to be $93,017.87
of which $10,125.00 shall be paid from the City's Trunk Reserve Fund, and
$82,892.88 to be assessed to the benefited property owners as per the
attached assessment roll.
Passed and adopted this 5th of September 2000.
YES
NO
Mader
Ericson
Gundlach
Petersen
Vacant
Mader
Ericson
Gundlach
Petersen
Vacant
{Seal}
Frank Boyles
City Manager
City of Prior Lake
G:\RESOLOO\lindenah.DOC
RESOLUTION OO-XX
ACCEPTING BIDS AND AWARDING CONTRACT
FOR LINDEN CIRCLE IMPROVEMENTS
(CITY PROJECT #14-00)
MOTION BY:
SECOND BY:
WHEREAS, pursuant to an advertisement for bids for the improvement project at Linden Circle
(Project 14-00) which includes aggregate base, concrete curb and gutter, bituminous
pavement, water main improvements and appurtenant work; and
WHEREAS, The following bids were received, opened, and tabulated according to law and the
following bids were received complying with the advertisement:
CONTRACTORS
Valley Paving, Inc.
Northwest Asphalt, Inc.
Hardrives, Inc.
Bituminous Roadways, Inc.
BID
$ 73,888.75
$ 84,180.20
$ 99,450.50
$109,623.10
WHEREAS, it appears that Valley Paving, Inc. of Shakopee, Minnesota is the lowest responsible
bidder.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA,
THAT:
1. The Mayor and City Manager are hereby authorized to enter into a contract with Valley Paving,
Inc. of Shakopee, Minnesota in the name of the City of Prior Lake for the Linden Circle
Improvement Project (Project 14-00) in the amount of $73,888.75.
2. The City Manager is hereby authorized and directed to return to all bidders the deposits made
with their respective bids.
Passed and adopted this 5th day of September 2000.
YES
NO
- -
Mader Mader
Ericson Ericson
Gundlach Gundlach
Petersen Petersen
Vacant Vacant
{Seal}
Frank Boyles
City Manager
I6~~lWL~l$~CPrior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245
AN EQUAL OPPORTUNITY EMPLOYER
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