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HomeMy WebLinkAbout4E - Green Heights 1st AddnCONSENT AGENDA #: PREPARED BY: SUBJECT: DATE: INTRODUCTION: BACKGROUND: DISCUSSION: 4 (e) RALPH TESCHNER FINANCE DIRECTOR CONSIDER REQUEST FOR SPECIAL ASSESSMENT REFUND FROM BETTY SCHERER FOR LOT 19 GREEN HEIGHTS !ST ADDITION DECEMBER 5, 1994 Betty Scherer is requesting the City Council to consider the refund for special assessments pertaining to water and sewer on Lot 19 Green Heights 1st Addition (PID # 25 102 021 0). See attached map for location. The reason is due to the fact that the parcel is unbuildable, thereby receiving no benefit from such improvements. The Green Heights area was originally served with water and sewer in 1972-73 under project 72-7. The lot was assessed 67.48' of frontage at $22.00/ff and .23 acres at $755.00/ac. for a total of $1658.21. Subsequently, in 1985 the street overlay program was initiated and an additional $1625.20 was assessed for the cost of upgrading the paving. During the early years of installing water and sewer service throughout the community, it was established practice to basically assess all parcels with little respect to lot size or physical features that would impede or prohibit the development of the parcel. As such, this lot was assessed in its entirety when in fact 75% of the lot lies within the flood plain and is unbuildable. From a legal standpoint, the window of appeal period has expired. Statutory law prescribes that a property owner may contest an assessment following written notice to the Council within 30 days of the adoption of the assessment roll and filed within 10 days after at district court. Since the assessment hearing was 19 years ago, this opportunity has obviously long since past. Due to this sequence of events, the City Council is not bound legally to abate any portion of the assessment. However the issue becomes more of a moral question from the standpoint of equity and fairness. Because the lot is not buildable it really receives no benefit and as such should never have been assessed. Correcting this mistake at this juncture would be consistent with the City's current assessment policy criteria. The parcel has been recently sold to Green Heights Club and the final sewer and water assessment installment has been paid with the 1994 property tax statement. However, before any form of assessment refund can be considered, Staff has requested that the new property owners prepare an official document (see attached statement) which basically 4629 Dakota St. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER ALTERNATIVES: RECOMMENDATION: ACTION REQUIRED: REVIEWED BY: recognizes that they will be responsible for a connection fee in lieu of assessment for the parcel if sewer and/or water connection would occur to an approved accessory structure on the property in the event the Council would approve an assessment rebate to Mrs. Scherer since such action would effectively leave the property unassessed for municipal utility improvements. Listed below are three options available for Council consideration: Deny the requested repayment because of the expiration of the appeal time period. R~fund the principal amount of $1,658.21 only as partial consideration of Mrs. Betty Scherer's request. 3. Refund the entire amount of $2,896.34, to Betty Scherer subject to Staff's payment requirements. Based upon the above discussion, Staff would recommend refunding all past sewer and water assessment installments, including principal and interest, in the amount of $2,896.34 to Betty Scherer. Motion seco ~tfi/~a~to approve as part of the consent agenda or remove for A9413.WRT LOT 19 GREEN HEIGHTS 1ST 'ADDITION 20 0UTLOT I ACKNOWLEDGMENT OF IMPOSITION OF CONNECTION FEES In consideration of the cancellation of and refund of amounts paid by Donald B. and Betty Jean Scherer upon certain special assessments levied by the City of Prior Lake (the City) against Lot 19, Green Heights First Addition, Scott County, Minnesota, by virtue of Lot 19 having been determined to be unbuildable, the undersigned record owners of and holders of mortgages upon Lot 19 acknowledge that in the event that Lot 19 is subsequently made or determined to be buildable, the City may impose connection or other fees in lieu of assessments as a condition to issuance of a building permit or to the connection of Lot 19 to the municipal water and sanitary sewer systems. Dated November30, 1994 RECORD OWNERS D'a~iel E - 0'~efe / Cynthia D. O'Keefe~/ MORTGAGEES NEW MARKET BANK Donald B. Scherer Betty Jearf S~cherer STATE OF MINNESOTA) COUNTY OF ) The foregoing instrument was acknowledged before me this ~ day of November, 1994, by Daniel O'Keefe and Cynthia D. O'Keefe, husband and wife. Notary ~ub~ic ' STATE OF MINNESOTA) COUNTY OF ~/ ) The foregoing instrument was acknowledged before me this day of November, 1994, by~,~//~,~~-~ , the of New Market Bank, a Minnesota dorporation on its behalf. STATE OF MINNESOTA) COUNTY OF ) The foregoing instrument was acknowledged before me this day of November, 1994, by Donald B. Scherer and Betty Jean Scherer, husband and wife. Notary ~bTic This instrument was drafted by: HUEMOELLER & BATES Attorneys at Law 16670 Franklin Trail Prior Lake, MN 55372 -2-