HomeMy WebLinkAbout5J 2019 Mill and Overlay Adopt Assessments Report
Phone 952.447.9800 / Fax 952.447.4245 / www.cityofpriorlake.com
4646 Dakota Street SE
Prior Lake, MN 55372
CITY COUNCIL AGENDA REPORT
MEETING DATE: OCTOBER 21, 2019
AGENDA #: 5J
PREPARED BY: NICK MONSERUD, ASSISTANT CITY ENGINEER
PRESENTED BY: NICK MONSERUD
AGENDA ITEM:
ADOPT RESOLUTION NO. 19-120 ADOPTING THE REVISED ASSESSMENT
ROLL FOR PARCEL PID253900010 RELATED TO THE 2019 MILL AND
OVERLAY IMPROVEMENT PROJECT (PROJECT #STR19-000001)
GOAL AREA AND
OBJECTIVE:
Transportation & Mobility
1. Maintain quality local street system based on a financially stable plan that
meets Overall Condition targets.
DISCUSSION: Introduction
This agenda item is necessary to adopt the revised assessment roll for PID
253900010 owned by OP3 Fountain Hills LLC for the 2019 Mill and Overlay
Improvement Project. An error was made in calculating this properties
assessment. Wetlands were counted as part of their Residential Equivalent
Density. The wetlands area should not have been included in this calculation.
History
Each year the City mills and overlays segments of streets that have aged to the
point of needing a new surface but do not yet need a complete reconstruction.
This is done as part of the City’s pavement management program to provide timely
improvements and extend the life of these streets for as long as possible.
On January 22, 2019, the City Council held a public hearing and ordered the 2019
Mill and Overlay Project. At the March 18, 2019 Council Meeting, the Council
awarded the bid for the 2019 Mill and Overlay Project. Project STR19-000001
includes the mill and overlay of streets in various locations throughout the City.
The City executed a contract with McNamara Contracting for this project. The
project has since been substantially completed.
The City’s Fee Schedule includes the $1266 assessment fee per Residential
Equivalent Density for mill and overlay projects.
Current Circumstances
Construction of the project is substantially complete. All the curb replacement and
street paving is done.
A public hearing was conducted on October 7, 2019 and the assessment roll was
adopted by the City Council.
Per an objection received from Ben Schmidt on October 7, 2019 regarding
counting the wetland area in two parcels that are owned by OP3 Fountain Hills
LLC. The parcels in question are PID 253900020 and PID 259300010.
City staff has reviewed the parcels in question and found that parcel PID
253900010 did have wetlands included in the assessment calculation. This
parcels assessment has been revised from $19,524.25 to $15,235.04.
Staff reviewed the National Wetland Inventory maps and the Fountain Hills 2nd
Addition Plat and found that Parcel PID 253900020 does not have any wetlands.
The assessment will remain the same as adopted on October 7, 2019 in the
amount of $12,895.48.
Conclusion
State Statute requires that special assessments be certified to the County by
November 30th of each year. Since property owners must be allowed 30 days to
pay off their assessments interest free, the revised assessment for PID
253900010 will have until November 21st to pay their assessment without interest.
FINANCIAL
IMPACT:
The project is proposed to be financed by Special Assessments and a transfer
from the General Fund to the Permanent Improvement Revolving (PIR) Fund as
shown in the table below. Based upon the low bid of $716,880.80 and proposed
special assessments of $435,384.79 the remaining balance of $281,496.01 will
come from the General Fund transfer.
Tax Levy
PIR Fund
$99,289.21
$182,206.80
Special Assessments $435,384.79
Total $716,880.80
ALTERNATIVES: 1. Approve a resolution as part of the consent agenda adopting the revised
assessment roll for PID 259300010 for the 2019 Mill and Overlay
Improvement Project PIR19-000001.
2. Remove this item from the consent agenda for additional discussion.
RECOMMENDED
MOTION:
Motion and second for approval of alternative #1.
4646 Dakota Street SE
Prior Lake, MN 55372
RESOLUTION 19-120
A RESOLUTION ADOPTING THE REVISED ASSESSMENT ROLL FOR PARCEL
PID253900010 FOR THE 2019 MILL AND OVERLAY IMPROVEMENT PROJECT (CITY
PROJECT #PIR19-000001)
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 the 2019
Mill and Overlay Improvement Project, City Project #PIR19-000001, and
WHEREAS, The City Council received an objection to the assessment for Parcel PID
253900010, and.
WHEREAS, The assessment for Parcel PID 253900010 was reviewed and a calculation error
was discovered.
WHEREAS, The assessment roll has been revised for Parcel PID 253900010 from $19,524.25
to $15,235.04.
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. The proposed revised assessment for Parcel PID 253900010 for the 2019 Mill and Overlay
Improvement Project, City Project #PIR19-000001 in the amount of $15,235.04, is hereby
accepted and shall constitute the special assessment against the lands named herein, and
each tract of land herein included is hereby found to be benefitted by the proposed
improvement in the amount of the assessment levied against it.
3. The assessment in the total amount of $15,235.04 shall be payable on an equal principal
method extending over a period of five (5) years, the first of the installments to be payable
on or before the first Monday in January 2020, and shall bear interest at the rate of four and
four hundredths (4.04) percent per annum from the date of adoption of the assessment
resolution. To the first installment of each assessment shall be added interest on the entire
assessment from October 21 until December 31 of the year in which the first installment is
payable, and to each subsequent installment shall be added interest for one year on all
unpaid installments, each subsequent installment shall be added interest for one year on all
unpaid installments.
4. The portion of the cost of such improvements to be paid by the City is hereby declared to be
$281,496.01 and the portion of the cost to be assessed against benefited property owners is
declared to be $435,384.79.
5. 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 a 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 he/she may, at any time thereafter, pay
to the city treasurer the entire amount of the assessment remaining unpaid, with interest
accrued to December 31 of the year in which such a payment is made. Such payments
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must be made before November 21 or interest will be charged through December 31 of the
next succeeding year.
6. The Finance Director shall forthwith transit 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 the same manner as other municipal taxes.
Passed and adopted by the Prior Lake City Council this 21st day of October 2019.
VOTE Briggs Thompson Burkart Braid Erickson
Aye ☐ ☐ ☐ ☐ ☐
Nay ☐ ☐ ☐ ☐ ☐
Abstain ☐ ☐ ☐ ☐ ☐
Absent ☐ ☐ ☐ ☐ ☐
______________________________
Jason Wedel, City Manager