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HomeMy WebLinkAbout7B - 2000 Improv. Project CITY COUNCIL AGENDA REPORT MEETING DATE: AGENDA #: PREPARED BY: SUBJECT: OCTOBER 16, 2000 7B SUE MCDERMOTT, CITY ENGINEER CONDUCT SPECIAL ASSESSMENT HEARING FOR 2000 IMPROVEMENT PROJECT #12-00 OAK RIDGE CIRCLE, FLANDRAU CIRCLE, FULBRIGHT CIRCLE, INDIAN RIDGE CIRCLE, EUCLID AVENUE, MAVES TRAIL, FORSYTHE ROAD, SHANNON TRAIL, PRIOR CIRCLE AND SHANNON CIRCLE IMPROVEMENTS AND CONSIDER APPROVAL OF A RESOLUTION ADOPTING THE ASSESSMENT ROLL FOR THE PROJECT. 00-1/0 DISCUSSION: HISTORY At its regular meeting of September 18, 2000, the Council approved Resolution 00-90 which declared the cost to be assessed and ordered the preparation of the assessment roll for Oak Ridge Circle, Flandrau Circle, Fulbright Circle, Indian Ridge Circle, Euclid Avenue, Maves Trail, Forsythe Road, Shannon Trail, Prior Circle and Shannon Circle Improvements. Also Resolution 00-91 was approved establishing the date of the Assessment Hearing as October 16, 2000. CURRENT CIRCUMSTANCES 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. The Public Hearing Notice has been published in the newspaper for two weeks. The total project cost for the improvements is $1,167,292. It is proposed to be funded through tax levy, trunk reserve funds and assessments. There are 82 benefiting properties in the project area. The Assessment review committee recommends that $797,269.46 be paid through tax levy and trunk reserve, and $370,022.54 be assessed against the benefiting properties. A 16200 ~reek Ave. S.E" Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER II copy of the assessment roll is attached showing the proposed assessments per parcel. The project is being assessed on a unit basis. The assessment term is ten (10) years for paving. Added to the first installment (2001) will be an additional 76 days of interest, which accounts for the remainder of 2000 following the Assessment Hearing. An interest rate of 8% will be charged in accordance with the City Assessment Policy. 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. Within 30 days of the hearing, the owner must also file the appeal in District Court. ISSUES The Assessment Review Committee met to evaluate the proposed assessments and made the following findings and recommendations to the City Council: The Assessment Review Committee recommends that the Unit Assessment method be used for the project. The proposed unit rate of assessment for streeUstorm sewer is $4,512.47 per unit. A letter from a resident of the Prior Hill Addition objecting to combining the Prior Hill and Oak Ridge Court Additions for the purpose of determining a unit assessment rate is attached to this report. The reasons given for the objection are street condition, lot size and the fact that the feasibility report did provide a separate rate for each of the areas. If the Prior Hill and Oak Ridge Additions were assessed on a separate unit rate basis the proposed rates would be $3,651.96 and $4,827.98, respectively. This would be a decrease of $860.51 for the Prior Hill Addition and an increase of $315.51 for the Oak Ridge area. The Assessment Review Committee recommends one unit rate of assessment is justified for the area for the following reasons: 1. The project areas are contiguous. 2. The area is considered one neighborhood bounded by TH 13, Fairlawn Shores Trail and 150th Street. OOIMPAH FINANCIAL IMPACT: ALTERNATIVES: OOIMPAH 3. All of the properties receive the same benefit. 4. Historically the City does not divide project areas based strictly on lot size (Candy Cove/Lakeside Manor). 5. By separating the Prior Hill Addition, the proposed assessment for the Oak Ridge Area would increase by $315.51. This would affect 60 properties in the Oak Ridge area who have already received their notices at the lower amount. Summary The Council should receive public input and then close the public hearing. If certain issues need additional study, those issues could be referred to the special assessment committee for evaluation and recommendation. If all questions were answered at the public hearing, it would be appropriate to approve the attached resolution. The following is a summary of the financing of the improvements. Funding Project #12-00 Source Assessments $370,022.54* Tax Levy $555,032.46* Trunk Reserve $242,237.00 Project Total $1,167,292,00 * The numbers shown above include 30% indirect costs for design, survey, inspection, administration, and financing. The focus of tonight's hearing is whether the properties have benefited because of this project, and whether the assessment has been calculated accurately and in accordance with city policy. The alternatives are as follows: 1. Approve a resolution adopting the assessment roll as submitted. 2. Approve a resolution subject to Council approved changes. 3. Close the hearing and direct the Special Assessment Review Committee to examine issues or concerns raised at the hearing and provide a recommendation for Council action on November 6, 2000. t RECOMMENDED MOTION: A motion and second to adopt a resolution adopting the assessment roll for the Oak Ridge Circle, Flandrau Circle, Fulbright Circle, Indian Ridge Circle, Euclid Avenue, Maves Trail, Forsythe Road, Shannon Trail, Prior Circle and Shannon Circle Improvement Project. OOIMPAH RESOLUTION OO.XX RESOLUTION ADOPTING ASSESSMENTS FOR PROJECT #12-00 OAK RIDGE CIRCLE, FLANDRAU CIRCLE, FULBRIGHT CIRCLE, INDIAN RIDGE CIRCLE, EUCLID AVENUE, MAVES TRAIL, FORSYTHE ROAD, SHANNON TRAIL, PRIOR CIRCLE AND SHANNON 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 Project 12-00 Oak Ridge Circle, Flandrau Circle, Fulbright Circle, Indian Ridge Circle, Euclid Avenue, Maves Trail, Forsythe Road, Shannon Trail, Prior Circle and Shannon Circle Improvements. 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 seventy-six (76) days of interest on the entire assessment from the date this resolution is adopted to 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 assessment 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 $1,167,292.00 of which $555,032.46 and l~.IiPgle Creek Ave. S,E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER "r- $242,237.00 shall be paid from Tax Levy and the City's Trunk Reserve Fund, respectively, and $370,022.54 to be assessed to the benefited property owners at the unit assessment rate of $4,512.47 per unit as per the attached assessment roll. Passed and adopted this 16th of October, 2000. Mader Mader Ericson Ericson Gundlach Gundlach Petersen Petersen Zieska Zieska YES NO {Seal} Frank Boyles City Manager City of Prior Lake OOIMPAHOAK f~ ~ I~-OO ~(('.e..~c.Q.. I{OJ ~ @ fH W [E {ij] UI1 JUN 1 4 2000 ih June 12, 2000 By = Bud Osmundson, P.E. Director of Public Works City of Prior Lake 16200 Eagle Creek Avenue SE Prior Lake, MN 55372 RE: Street Reconstruction Project for Prior Hill and Oak Ridge Court Subdivisions Dear Mr. Osmundson: I am writing to you in regards to the above referenced street improvement project and the assessment method being considered by the assessment committee. It has been explained to me that the city staff intends to recommend utilizing a lot method assessment and combining the Oak Ridge Court subdivision with the Prior Hill subdivision and using a single lot rate for each area. I feel that this recommendation is not valid for the following reasons: 1. The existing street conditions are much worse in the Oak Ridge Court subdivision and those street pavements are much older than the streets in Prior Hill. In fact, the Prior Hill subdivision streets were the last streets installed without concrete curb and gutter in the 1980' s. 2. The lot sizes in the Oak Ridge Court subdivision are significantly larger than the Prior Hill subdivision requiring more street pavement to be built per lot. 3. The Prior Hill subdivision streets were not included in previous Capital Improvement Programs as these streets were not in the same condition as Oak Ridge Court, however, these streets were added to this project area recently. 4. The feasibility report did not have a single rate for both areas, but had each area identified with different rates. This is the most compelling reason not to have a single rate for both areas as the feasibility report presented at the public hearing did not contain that rate but a rate for Area 1 and Area 2. Only one resident made a statement on having the assessment rate combined for both areas as he was in favor ofthe project. In summary, if this assessment rate is combined, essentially the smaller lots in Prior Hill will be paying a larger assessment and the larger lots in Oak Ridge Court will be paying a smaller assessment. I believe if this project proceeds, the fairest way to assess would be to have a lot unit assessment but a different rate for Area 1 (Oak Ridge Court) and for -~-'..1r Area 2 (Prior Hill). This methodogy would be consistent with the feasibility report, which provides more specific details on a project than city policy or practice. The notion that each lot is being provided the same service thus the cost should be the same is not totally correct. It simply costs more to provide the same service to the Oak Ridge Court lots as they are much larger. These streets will cost more on a per lot unit basis whether they are 40%, 60% or 100% assessed of the project costs. Finally, it is one thing to be included in a project where the other streets are clearly in different condition and where our streets are not over a minimum service life of20 years and another matter when we are now going to help lower the assessments for a larger lot subdivision whose streets are much older and worse shape. I hope this letter has outlined my concerns on the assessments and I hope you take this letter to the assessment committee on Monday night. Thank you for considering this letter and whatever your decision is in this matter, please let me know. al e (3 .. .s::: Cl .;: .c "5 LL oj e (3 CD Cl 'C i:E I: CIS :a .E oj :J I: CD ~ 0 :E! 0 U I :J N ...... w 'It al r- e () w (3 -. CD 0 C) e::: 'C a.. i:E JoI: ....J CIS ....J 0 0 0 e::: 0 r- I N Z ..... W =It :E I- en U en w w , 0 en 0::: en 0. <( -- 'C III o iO::: , CD I;; >. Ie I~ E I- Ul CD > CIS ::E oj U ... (3 I: I: g .2 lit) .s::: 2 en'tij ~6 ~ u ._ CD uo::: ... o .t: 0. 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U) ....J X -i ....J o 0:: U) ~ C> o 0:: ~ <( o N ...... - o o o ~ U) l- t) W - o 0:: Q. ~ C> .-~-~'-.,...._~.'"'--".-..,.,...._-----_.,.~_.~"_...., October 16, 2000 To: The Mayor or other presiding officer, City of Prior Lake From: '~cJ 6- Nf;UnrJ Sir: By this letter I object to the special assessment which may be placed against my property located at t; ~ I ~ llA .J#JorJ -r~ o.Wfl--llJ..On Address: f>S't-l <::\"U\ \'oJ tJ 0 t.J --re.A) L ,,\>~\(Jn- LA~b tv\N ~S-31L ~--'-~.'""'.'"'-~'-''''''''''-~''''-'-''''--''''' "_..,~~---._,~,._.._._._~-_._-~._-_.,..,,.._~~.~__..~.",~""_~"_"""""',"__,.__.__.,._._,. __"M'_._'.. ._..____~.,_,..,___.~___~__,.,_~__"_,~"'_'._,,.,.._...,~_u_....._._,.__~__~._.~~"~."_~__.,....----------".--.---.._'_..~_. October 16,2000 To: The Mayor or other presiding officer, City of Prior Lake From: S~ -e V<- ~ C ~ ("0 / Sir: L.. j V") d rO od By this letter I object to the special assessment~hich may be placed against my property located at S--~ d. ) S h Gt-t"l '" U "\ , 1'. S ~. . pr ,',J r L&JL~ Address: S-~ J0 Pr\or She. Vlt1 c> r") r r. L.~ /C(. ynl'lJ ~s:J7 ~ s. ~~ ynN "_'__"'___."'__'~~___'_'_"'M_'"_"'_"",_~__"_,_,,,__......~_____.~"._.___.___,m....,.,~.._~,_..__~_~'.._~_.F_,..."""'~k"~"'~'_""'"'__'_------"'_~~'____~'_______'____~N'_"~"~_."~"'.'''-'-''''--'-''''-''-'-''-''''''''~---~---,r---'''-'~---~_...._'" __. October 16,2000 To: The Mayor or other presiding officer, City of Prior Lake From: WAY/V(- I-- /7/f;2C ~ L5d ~ c///I"e~r Sir: By this letter I object to the special assessment wJrich may be placed against my property located at 5 f- '36' tPl1 /t!! /Z. c / ~ , ~- ?>>: daL~. Address: 5";-'36 ~/?/dr12 C /~ ._------------------."~--,~...,".__...._,......,--~~<"-~,---_.._--.~-."--_..~-~."-,_.~_.>_..".-.,_._.~,"",....,.,"_.-,._._,,.."._--"'''.'"'--~'-'------'_.'-''-''-'-~-''--~ .. " October 16,2000 To: The Mayor or other presiding officer, City of Prior Lake From: NY'>M -:Ez;>/Vc-IIk.- Vc' Sir: By this letter I object to the special assessment which may be placed against m~ J property located at S?'71 5".#-.A/V'AA:>A//J:::41L- I ?~J()IZ- 4kE.j MILl !?J39-Z- Address: lun....v.s V ~NCJ-ftR- ~Jql ~#-AN"'lkh./TaAIL \? (.( 10 v<.- LA ~ 1'-A AJ ~S- 3 r2- , "'__.._.N.._.".._.M4..._._....._~.___.,.,~".__._~......"_.,.....,~...._,._."....+._. . .~_".__._.___..._~'_~~_ 1. ASSESSMENT PETITION The following undersigned persons representing properties in Prior Hill Subdivision object to the proposed assessment to be levied on the basis that this assessment was not calculated as per the City's Assessment Policy and the Feasibility Report as represented at earlier meetings. The lots in AREA 1 are 20% larger than the lots in AREA 2 (Prior Hill subdivision) and thus the lot method of assessing with both AREAS combined should not be used due to the inequity in lot sizes. Also the city's feasibility report indicated a separate assessment rate for AREA 1 and AREA 2. The following undersigned persons appeal to the Council's common sense on this matter: ADDRESS PROPERTY ID. L.i)'I 1 J..,~ 'Z- t... tJT / 1bi...K L- Lor z BL~ I Lor- 1-0 + 'I '\3 I K <- L CUe / Circulator of Petition: /)~1l~~ ..._~-' --"-,r--' ASSESSMENT PETITION The following undersigned persons representing properties in Prior Hill Subdivision object to the proposed assessment to be levied on the basis that this assessment was not calculated as per the City's Assessment Policy and the Feasibility Report as represented at earlier meetings. The lots in AREA 1 are 20% larger than the lots in AREA 2 (Prior Hill subdivision) and thus the lot method of assessing with both AREAS combined should not be used due to the inequity in lot sizes, Also the city's feasibility report indicated a separate assessment rate for AREA 1 and AREA 2. The following undersigned persons appeal to the Council's common sense on this matter: NAME PROPERTY ID. ( .,;{$ Circulator of Petition: Prier atyQud PUBLIC HEARING ~: gister below if you wish to address the Council f the following public hearing. THANK YOU! SPECIAL ASSESSMENT HEARING FOR 2000 IMPROVEMENTS CITY PROJECT 12-00 OAK RIDGE CIRCLE, FLANDRAW CIRCLE, FULBRIGHT CIRCLE, INDIAN RIDGE CIRCLE, EUCLID AVENUE, MAVES TRAIL, FORSYTHE ROAD, SHANNON TRAIL, PRIOR CIRCLE AND SHANNON CIRCLE IMPROVEMENTS AND CONSIDER APPROVAL OF A RESOLUTION ADOPTING THE ASSESSMENT ROLL FOR THE PROJECT. *** October 16, 2000 V ~ovG- p/ Stelle.. ~<3q-1 <; )'6;) _... '1r"