HomeMy WebLinkAbout5N Rolling Oaks Report
4646 Dakota Street SE
Prior Lake, MN 55372
CITY COUNCIL AGENDA REPORT
MEETING DATE: MAY 22, 2017
AGENDA #: 5N
PREPARED BY: LARRY POPPLER, CITY ENGINEER/INSPECTIONS DIRECTOR
PRESENTED BY: LARRY POPPLER
AGENDA ITEM: CONSIDER APPROVAL OF A RESOLUTION ORDERING THE PREPARATION
OF A FEASIBILITY REPORT FOR THE ROLLING OAKS IMPROVEMENT PRO-
JECT
DISCUSSION: Introduction
The purpose of this agenda item is to initiate the process for local improvements
set forth in the 2017-2021 Capital Improvement Program in accordance with Min-
nesota Statutes (M.S.), Chapter 429.
History
The City uses the Five Year Capital Improvement Program to plan its infrastruc-
ture improvements and the financing for capital improvements. The Rolling Oaks
Improvement project proposes to extend utility connections and improve the road-
way for properties within the project area.
The M.S. Chapter 429 process applies to all projects that will be financed in whole
or part through special assessments or bond proceeds. The first step in the pro-
cess is for the Council to order the preparation of a Feasibility Reports for the im-
provement project.
The Feasibility Report will address options and costs for the utility extension and
street reconstruction of the streets. City assessment policy will be applied to the
preliminary assessment calculation which is completed as a part of the Feasibility
Report.
In 2014, a feasibility report for this project was prepared. On April 28, 2014, the
City Council approved a resolution accepting a feasibility report for the project. On
May 27th, 2014, the City Council held a Public Hearing and on June 23rd author-
ized the preparation of plans and specifications. Soon after these authorizations
were approved, the developer for the neighboring property retracted their develop-
ment application. Since the developer contribution was an important funding
source for the Rolling Oaks project, work on the city project for Rolling Oaks
stopped. A grant application was submitted to the Minnesota Public Facilities Au-
thority but was not selected for funding.
On May 9th, the City met with property owners from Rolling Oaks. After much dis-
cussion, there was consensus that a feasibility report update was needed to fully
evaluate options for a project.
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Current Circumstances
This project is in the Capital Improvement Program. The project requires special
assessments and financing through bond proceeds, and therefore requires the
City to follow the requirements of M.S. Chapter 429 including the preparation of
the Feasibility Report.
The primary purpose for proceeding with this project is to provide utility connec-
tions for these properties and to upgrade the streets. Rolling Oaks is currently a
gravel roadway. The improvements would upgrade Rolling Oaks to a standard
paved City street. The existing gravel street has experienced maintenance issues
due to erosion at the low point. The Public Works Department reports that multiple
times every year City maintenance crews are commissioned to repair the gravel
roadway due to erosion. The eroded gravel has been depositing to a nearby wet-
land. As a part of the review of development to the east, the City has determined
that the most efficient way to serve the area involves extension of sanitary sewer
on Rolling Oaks. By serving Rolling Oaks, the City will be in better position to effi-
ciently serve nearby development.
A developer is now proceeding with a preliminary plat for the nearby developable
area. The development is known as Trillium Cove and is before the City Council
this evening. Considering the cost formula developed in 2014, it is advantageous
to have a city project on Rolling Oaks coincide with the development project. The
first step would be to update the feasibility report. The feasibility report update
would provide updated project costs for further consideration by the City Council.
Because a previous report has been prepared, little effort is needed to update the
numbers. Staff would also review additional cost saving measure for the project.
Conclusion
The Feasibility Report will provide the details needed for the City to make deci-
sions on how to proceed.
ISSUES: The preparation of the Feasibility Report is only the first step in the public improve-
ment project process. Following receipt of the Feasibility Report, the Council will
direct City staff to abandon or proceed with the improvement project, depending
upon whether the requirements for the Chapter 429 process are being met. If the
Chapter 429 process is to proceed, the Council can then schedule a Public Hear-
ing to consider resident feedback on the project. Following a Public Hearing, the
Council will consider whether to move forward by authorizing the preparation of
plans and specifications. Once completed, the City Council will be asked to ap-
prove the plans and specifications, authorize advertisement for bids and then
award the contract.
The cost formula prepared in 2014 was considered creative as it leveraged fund-
ing from other sources to assist in bringing assessments to a more manageable
amount. Even with these other funding sources proposed, assessments were esti-
mated to be $27,000 per developed lot. The low number of lots on Rolling Oaks
are a factor in the assessment calculation.
FINANCIAL
IMPACT:
The financial impact of this project will be further analyzed in the Feasibility Report
including the preparation of preliminary assessment calculations. The CIP esti-
mate for the project is $890,000.
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ALTERNATIVES: 1. Motion and second as part of the consent agenda to approve a resolution or-
dering the preparation of a Feasibility Report for the Rolling Oaks Improvement
Project.
2. Remove this item from the consent agenda for additional discussion.
RECOMMENDED
MOTION:
Alternative #1.
4646 Dakota Street SE
Prior Lake, MN 55372
RESOLUTION 17-___
A RESOLUTION ORDERING THE PREPARATION OF A FEASIBILITY REPORT FOR THE
ROLLING OAKS IMPROVEMENT PROJECT
Motion By: Second By:
WHEREAS, It is necessary to determine the feasibility of undertaking the construction of
improvements to Rolling Oaks including the construction of storm sewer, sanitary
sewer, watermain, aggregate base, concrete curb and gutter, bituminous surfacing,
street lights, and appurtenant work; and
WHEREAS, It is proposed to assess the benefited property for all or a portion of the cost of the
improvements, pursuant to Minnesota Statutes, Chapter 429.
NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE,
MINNESOTA as follows:
1. The recitals set forth above are incorporated herein.
2. That the proposed improvements be referred to the City Engineer for study and that the City
Engineer is instructed to report to the Council with all convenient speed advising the Council
in a preliminary way as to whether the proposed improvements are necessary, cost-effective
and feasible and as to whether they should best be made as proposed or in connection with
other improvements, and the estimated costs for the improvements as recommended.
Passed and adopted by the Prior Lake City Council this 22nd day of May, 2017
VOTE Briggs McGuire Thompson Braid Burkart
Aye ☐ ☐ ☐ ☐ ☐
Nay ☐ ☐ ☐ ☐ ☐
Abstain ☐ ☐ ☐ ☐ ☐
Absent ☐ ☐ ☐ ☐ ☐
______________________________
Frank Boyles, City Manager