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HomeMy WebLinkAbout9B - Ring Road Phase II DATE: AGENDA #: PREPARED BY: SUBJECT: DISCUSSION: CITY COUNCIL AGENDA REPORT 16200 Eagle Creek Avenue S.E. Prior Lake, MN 55372-1714 September 7, 2004 98 Bud Osmundson, Director of Public Works CONSIDER APPROVAL OF A RESOLUTION DECLARING COSTS TO BE ASSESSED, ORDERING THE PREPARATION OF PROPOSED ASSESSMENT ROLL, AND ESTABLISHING THE DATE OF THE ASSESSMENT HEARING FOR THE RING ROAD PHASE 3/ CH 23/ TH 13/ FIVE HAWKS IMPROVEMENTS, CITY PROJECT 02-06. HISTORY: The third phase of the Ring Road, CH 23, TH 13, Five Hawks improvement project is now substantially complete. This project included sanitary sewer, water main, storm sewer and street construction on Tower Street (Ring Road) from Duluth to CH 23, 170th Street (Ring Road) from CH 23 to TH 13, and County Highway 23 (Panama Avenue) from the City's former border with Spring Lake Township to TH 13. A new traffic signal and turn lanes were constructed on TH 13 at CH 23/Five Hawks. The project also included turn lane construction and an overlay on Five Hawks Avenue from TH 13 to Priorwood Street Prior to this construction the segment of Tower Street from Duluth to CH 23 was a rural section, gravel surfaced, unimproved roadway. 170th Street from CH 23 to TH 13 was a rural section, blacktop road. Both of these streets now have an urban section roadway with concrete curb and gutter, storm drain facilities and new bituminous street surfaces. A drawing showing the improved area is attached. CURRENT CIRCUMSTANCES: The project area is a commercially zoned area except for the area on the south side of 170th Street which was formerly in Spring Lake Township, now part of the City. Twelve acres are now being developed as Heritage Landing, a townhouse development. The City's Assessment Policy provides for three approaches for spreading assessments: front foot, unit and acreage. Because of the discrepancy in size between the parcels to be assessed, the staff and special assessment committee recommends front footage as the most equitable way of spreading the assessments in the Ring Road project. The proposed assessment roll is attached. It proposes assessments in the total amount of $484,550.14 against six parcels. There is a development agreement with the Radermachers for the three parcels comprising the County Market site. The agreement stipulates the amount of assessments against two of the three parcels. Lot 1, Block 1 is to be assessed $53,186.20 for paving CSAH 23 and $20,000 for the Ring Road. The remaining $9,966.92 is based upon the front footage calculation at 40% for old 170th. Outlot C is assessed for Ring Road paving and sewer and water in the total amount of $131,984.02 using current assessment policy. Outlot D is assessed $19,800 based upon the development agreement. There also is a development agreement for the Heritage Landing property that outlines their assessments for the C:\Documents and Settings\KellyM\Local Settings\Tem~tty6ftlw.ooakl:F.d~nda decl costs set ph (3).DOC Phone 952.447.4230 / Fax 952.447.4245 improvements ($113,975.00). The McDonald's parcel is assessed at a 40% rate in the total proposed amount of $11,802. The final parcel, the McKinley/Schweich parcel is proposed to be assessed at $123,826 on the basis of the special assessment policy. The road is presently unpaved. Unimproved roads are assessed at 100%. The proposed assessments have gone down from the engineer estimate based assessments calculated at the public hearing stage of the project. (City followed Minn. Statutes Ch. 429, thus preserving its authority to specially assess the benefitted properties). The rate for CH 23 is $78.68 per front foot compared to $104.60 previously estimated. The 100% rate for the Ring Road is $185.94 per front foot compared to the previous estimate of $231.55, and the $40% rate is $74.38 compared to $92.62 previously estimated. FINANCIAL IMPACT: The total project cost for Project 02-06 is $2,756,288. The costs of the project are as follows: Construction Contract Lighting Easements Engineering Testing services $1,954,886 $ 63,500 $ 286,114 $ 415,882 $ 35,906 Total. .. . .. .. . . .. . .. .. . .. . . .. .. . . .. . .. .. . .. . .. . .. . .. . $2,7 56,288 It is proposed to be funded as described below: Scott Co. Cooperative Agreement MnDOT Cooperative Agreement 2003 Operating Budget (Overlay) Municipal State Aid Collector Street Fund Assessments: Street Sanitary Sewer & Water $ 720,738 $ 368,500 $ 55,000 $ 777,886 $ 349,614 $ 302,988 $ 181,562 Total... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ...$2,756,288 Staff and the Special Assessment Committee recommend that the City Council declare the costs to be assessed, order preparation of the assessment roll, and establish the Assessment Hearing date as October 4, 2004 for this improvement project and authorize the required notice of public hearing to be published as per the attached resolution. ALTERNATIVES: The alternatives are as follows: 1. Approve a Resolution declaring the costs to be assessed, ordering the preparation of the proposed assessment rolls and establishing October 4, 2004 for the assessment hearing date. 2. Deny the Resolutions for a specific reason and provide staff with direction. 3. Table this item for a specific reason. C:\Documents and Settings\KellyM\Local Settings\Temporary Internet Files\OLKlFA\Agenda decl costs set ph (3).DOC RECOMMENDED MOTION: REVIEWED BY: C:\Documents and Settings\Kel1yM\Local Settings\Temporary Internet Files\OLKIFA\Agenda decl costs set ph (3).DOC RESOLUTION 04-XX MOTION BY: SECOND BY: WHEREAS, a Contract has been let and costs have been determined for the improvement of Tower Street (Ring Road) from Duluth Avenue to CH 23, 170th Street from CH 23 to TH 13, CH 23 (Panama Avenue) from the southern City limits to TH 13, a new traffic signal and appurtenant work on TH 13 at CH 23/ Five Hawks Project 02-02, and the contract price for such improvements is $2,018,386 and the expenses incurred or to be incurred in the making of such improvements amount to $737,902, so that the total cost of the improvements will be $2,756,288. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL OF PRIOR LAKE, MINNESOTA: 1. The recital set forth above is incorporated herein. 2. The portion of the cost of such improvements is to be paid by the City is hereby declared to be $2,271,738 and the portion of the cost to be assessed against benefited property owners is declared to be $484,550. 3. Assessments shall be payable on an equal principal installment method extending over a period of 10 years for street improvements. 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 a minimum of 8% per annum from the date of the adoption of the assessment resolution. 4. The City Manager, with the assistance of the City Engineer shall forthwith calculate the proper amount to be specially assessed for such improvements against every assessable lot, piece or parcel of land within the district affected, without regard to cash valuation, as provided by law, and he shall file a copy of such proposed assessment in the office of the City Manager for public inspection. 5. The City Manager shall upon the completion of such proposed assessment notify the City Council thereof. 6. A public hearing shall be held on the 4th day of October, 2004, in City Council Chambers at 7:00 P.M. to pass upon such proposed assessment and at such time and place all persons owning property affected by such improvement will be given the opportunity to be heard with reference to such assessment. C:\Documents and Settings\KellyM\Local Settings\Te~~~fJ1~t:F~Q(genda decl costs set ph (3).DOC Phone 952.447.4230 / Fax 952.447.4245 7. The City Manager is hereby directed to cause a notice of the public hearing on the proposed assessment to be published once in the official newspaper of the City at least two weeks prior to the hearing, and the City Manager shall also cause mailed notice to be given to the owner of each parcel described in the assessment roll not less than two weeks prior to the hearing. 8. 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 payment, to the City Finance Director, except that no interest will be charged if the entire assessment is paid within 30 days from the adoption of the assessment. The property owner may, at any time thereafter, pay to the City Finance Director the entire amount of the assessment remaining unpaid, excepting the installment portion appearing upon the current year's property tax statement. Passed and adopted this 7th day of September, 2004. YES NO Blomberq Blomberg Haugen Haugen LeMair LeMair Petersen Petersen Zieska Zieska {Seal} Frank Boyles, City Manager C:\Documents and Settings\KellyM\Local Settings\Temporary Internet Files\OLKIFA\Agenda decl costs set ph (3).DOC D- as Q. as E G) c col z+ CI) q u.. 0 +:I N CD ~ <<l Q) 9 CD g 0) en 0 co (!j ....J .... ~ c:: I '"0 0 ~ ~I ca N co at ..J 0 0 8- a:: Q) 0 ~ '- ,..... =II: 0) 25 Q: ~ a:r c co Q) ('I) 0 ... .. ~ UJ 0) '"0 Q) .- 0 ~ 0- I U $ t\1 Q) ~ -- t/) N "0 ~ 0 ( '- 0 CD UJ - rr. Jl (I) Q) c: n. c: 0 ::::J -1I!IIt 0 UJ ~ e ~ N 0 0 I CD ~ ~ .5 0- c:: lL. ~ .c: lU - u.. .. 0 0 0 .s::. 0 :E rr. Q) u CI) IL z ~ J~ :a ~ ~ t\1 ~ 0 .. 20]00 ~ .- .. 0 -- ~ 0 fIJ ~ '0 CI) .0' 9; c; ~ ~i 8N u.I t:)Q) CC a Q) ....(V 01: O(vMON OO~~Ot'---Nt-CD I..... CD CD eN.. ~ -LL.~~ -r-E ....0) LL. ZJ5 "C Q('G Q) ~oo t: ...00 :$ m 0 00 I ~< .- ~g__N('Y')..Ot-CDcn CCZ 0. ~ . ~ w :I: 00 ~8 w~ ON <(It) ~N ~ o .- m ..... ..... , ~ i ~l f~1 n J.t! 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