HomeMy WebLinkAboutItem 09
Date: 18 April, 2016 Item No.
RESOLUTION CALLING A PUBLIC HEARING ON PROPOSED ASSESSMENTS FOR CITY
IMPROVEMENT PROJECT 16-04
Proposed Action
Staff recommends adoption of the following motion: Motion to approve the attached resolution
calling a public hearing on proposed assessments for City Improvement Project 16-04: Highview
Avenue Improvement Project.
Overview
At its February 1, 2016 meeting, the Lakeville City Council held a public hearing notifying property
owners as to the pending assessment amount. At the conclusion of the hearing, the City Council
ordered the improvement and authorized the preparation of plans and specifications.
Bids for the project were received on April 1, 2016. A total of seven (7) bids were received for the
project. Based on the low bid prices received, the total cost for this project is expected to be
$324,180.This amount is $92,355 less than what was presented in the feasibility report, resulting in
a reduction to the special assessment amounts that were estimated last fall.
Staff has reviewed the bids and proposed special assessments and recommends approval of the
resolution.
Primary Issues to Consider (See attached)
• Project Costs: Total
• Project Costs: Financing
• Project Costs: Feasibility Report vs. Bid Results
• Special Assessments: Terms and conditions
• Special Assessments: Feasibility Report vs. Bid Results
Supporting Information
• Tables comparing costs, financing, and proposed assessments are attached.
Financial Impact: $ Budgeted: Y☒ N☐ Source:
Related Documents: (CIP, ERP, etc.):
Envision Lakeville Community Values: Good Value for Public Services
Report Completed by: Monica Heil, Operations and Maintenance Engineer
324,180 429 Bonds & Spec. Assess.
2
Primary Issues to Consider
• Project Costs: Total
Total
Street Contract 239,473 $
Engineering 51,757 $
Debt Issuance 7,000 $
Other 25,950 $
Total Project Costs 324,180 $
• Project Costs: Financing
Total City of
Lakeville
Special
Assessed
Surface and Storm Sewer
Improvements 324,180 $ 194,508 $ 129,672 $
Total 324,180 $ 194,508 $ 129,672 $
City of Lakeville share of cost for surface and storm sewer improvements
($194,508) will be financed with debt; the principal and interest payments will
be repaid with property tax levies commencing in 2017. Debt will also be
issued for the costs assessed but will be repaid from special assessment
payments commencing in 2017.
• Project Costs: Feasibility Report vs. Bid Results
Feasibility
Report Bid Results Reduction
Property Taxes 249,921 $ 194,508 $ -22.2%
Special Assessments 166,614 $ 129,672 $ -22.2%
Total 416,535 $ 324,180 $ -22.2%
• Special Assessments: Terms and Conditions
• Interest rate: 4.5%
• Term: 20-years
• First payment due with taxes payable 2017.
• Special Assessments: Feasibility Report vs. Bid Results
Front Foot Assessment Rate 33.76 $ 26.28 $ -22.2%
3
CITY OF LAKEVILLE
RESOLUTION NO._________
RESOLUTION CALLING A PUBLIC HEARING ON PROPOSED ASSESSMENTS FOR
CITY IMPROVEMENT PROJECT 16-04
WHEREAS, pursuant to the direction of the City Council, the City Clerk has prepared a
proposed assessment roll on the cost of Improvement Project 16-04 City Improvement Project 16-
04; and
NOW, THEREFORE, BE IT RESOLVED by the City Council of Lakeville,
Minnesota:
1. A hearing shall be held on Monday, May 16, 2016 at the Lakeville Council Chambers,
20195 Holyoke Avenue, 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 an
opportunity to be heard with reference to such assessment.
2. The City Clerk is hereby directed to cause a notice of the hearing on the proposed
assessment to be published once in the official newspaper at least two weeks prior to the hearing,
and she shall state in the notice the total cost of the improvement. She 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.
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 payment, to the City of Lakeville, except that no interest shall be charged if
the entire assessment is paid on or before November 15, 2016. The first year installment
payments will include interest accrued from November 16, 2016 – December 31, 2017. The
property owner may at any time thereafter, pay to the City of Lakeville the entire amount of the
assessment remaining unpaid, with interest accrued to December 31 of the year in which such
payment is made. Such payment must be made before November 15 or interest will be charged
through December 31 of the succeeding year.
ADOPTED by the Lakeville City Council this 18th day of April, 2016.
CITY OF LAKEVILLE
_________________________________
Matt Little, Mayor
ATTEST:
_____________________________
Charlene Friedges, City Clerk