HomeMy WebLinkAboutItem 07
April 1, 2019 Item No.
RESOLUTION ADOPTING ASSESSMENTS FOR 2019 UNPAID SPECIAL CHARGES
Proposed Action
Staff recommends adoption of the following motion: Move to approve Resolution Adopting
Assessments for the 2019 Unpaid Special Charges.
Overview
The City can minimize its losses due to bankruptcies by assessing unpaid special charges to taxes.
These charges include costs and charges incurred by the City for mowing of grass, removal of
weeds, property maintenance on nuisance properties and unpaid utility bills. In order to recover
the unpaid special charges the City must follow State Statute procedures. Those procedures
provide that the City must adopt a resolution declaring the unpaid special charges to be assessed
and establish a date for the assessment hearing for those charges. Public notice of the hearing was
mailed to customers, posted on the City website and published in the newspaper.
Delinquent Utility Bills
In addition to certifying the amount delinquent, the City also collects a $35 service charge to cover
the cost of certification and interest at a rate of 18% per annum of the amount delinquent for the
period of April 1, 2019 until December 31, 2020. The interest rate is the same as what we charge
delinquent utilities throughout the year (1.5% per month). The certification process affects less
than one percent (0.2%) of the Lakeville utility customers.
Nuisance Abatement
The affected parcels will each be assessed the actual contractual cost incurred, re-inspection fees, a
$90 administrative fee to cover the cost of the assessment, and interest at a rate of 18% per annum
of the amount delinquent for the period April 1, 2019 until December 31, 2020.
It is anticipated that additional payments will be received prior to the hearing as well as within the
30 days following the hearing when interest is not charged. Those properties will be removed from
the final certification list that is sent to Dakota County.
Primary Issues to Consider
What is the background and notification process of the accounts being certified?
Supporting Information
Resolution Adopting the Assessments for 2019 Unpaid Special Charges
Exhibit A: Assessment Summary – Delinquent Utilities
Exhibit B: Assessment Summary – Nuisance Abatement
Financial Impact: $ Budgeted: Y☐ N☒ Source:
Related Documents: (CIP, ERP, etc.):
Envision Lakeville Community Values: Good Value for Public Services
Report Completed by: Julie Werner, Assistant Finance Director/Daryl Morey, Planning Director
Primary Issue to Consider
According to City Attorney Andrea Poehler, “If water service is provided to property and the
property is subsequently sold or otherwise transferred, the new owner does not have a personal
obligation to pay the bill unless the City and owner have a separate services contract. Unpaid water
bills, however, are a lien on the property to which the service was provided. If the property is sold
or the ownership transferred, the lien remains.
At the time the City provides water service to a property the City has an enforceable lien on the
property for the cost of the water provided. Minnesota Statutes, Section 514.67 provides: “All
charges…of any nature now or hereafter authorized or required by law…shall constitute and be a
first and prior lien from the date of such…service upon all property in this state subject to taxation
as the property of the person from whom such charges and expenses are by law authorized or
required to be collected. No record of such lien shall be deemed necessary.” The statute’s validity
as applied to unpaid utility charges has been upheld. In Re Sheldahl, Inc. 298 B.R. 874 (Bankr. D.
Minn. 2003).
Minnesota Statute, Section 444.075, Subd. 3 further provides: “The governing body may make the
charge a charge against the owner, lessee, occupant, or all of them and may provide and covenant
for certifying unpaid charges to the county auditor with taxes against the property served for
collection as other taxes are collected.” City Code Section 7-5-6-4 also authorizes the City Council
to certify unpaid charges to taxes.
Unpaid utility charges, special assessments and real estate taxes are all liens against the property.
The liens and their enforceability are not impaired by the transfer of ownership.
Current and previous property owners have been notified of the delinquency and certification
process.
CITY OF LAKEVILLE
RESOLUTION No______
RESOLUTION ADOPTING ASSESSMENTS FOR
2019 UNPAID SPECIAL CHARGES
WHEREAS, Minn. Stat. 444.075, Subd. 3 authorizes the City to certify unpaid sanitary
sewer, water and storm sewer charges (“utility charges”) to the County Auditor-Treasurer
for collection with taxes; and
WHEREAS, Minn. Stat, 429.101 authorizes the City to special assess unpaid street light
charges, and weed elimination from streets or private property (“special charges”); and
WHEREAS, an assessment roll has been prepared specifying the amount, which includes
all penalties to be certified against each particular property; and
WHEREAS, the resolution setting water and sewer rates, states “Accounts certified to the
County Treasurer-Auditor for collection with the subsequent year’s taxes will be charged a
$35.00 service charge plus 18% interest per year.”
WHEREAS, the resolution setting general government services, states “Accounts certified
to the County Treasurer-Auditor for collection with the subsequent year’s taxes will be
charged a $90.00 service charge per lot plus 18% interest per year.”
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Lakeville:
1. Assessment No. 1380 in the amount of $10,718.27 relating to the certification of
delinquent utility bills is calculated as follows:
Total uncollected amount delinquent 6,466.96$
Service charge 1,680.00$
Interest 2,571.31$
Total certified 10,718.27$
2. Assessment No. 1377 in the amount of $3,944.87 relating to the nuisance
abatement for properties is calculated as follows:
Contractual mowing, property maintenance 768.75$
Inspection fee 1,050.00$
Service charge 1,080.00$
Interest 1,046.12$
Total certified 3,944.87$
The proposed assessments (Exhibit A & Exhibit B), copies of which are attached
hereto and made a part hereof, are hereby accepted and shall constitute a special
assessment against the lands named therein.
The amounts certified shall bear interest from the date of this resolution until
December 31, 2020 at the rate of eighteen percent (18%) per annum plus a service
charge. The owner of any property so assessed may, at any time prior to certification
of the assessment to the County Auditor, pay to the City Treasurer the whole of the
assessment on such property including the administration charge, with interest
accrued to the date of payment, except that no interest shall be charged if the entire
assessment is paid within thirty (30) days from the adoption of this resolution; and he
or 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 payment is made. Such payment must be made before December 31,
2019, or interest will be charged through December 31 of the succeeding year. A copy
of this resolution, together with the assessment roll, is to be forwarded to the Dakota
County Treasurer/Auditor for collection with other taxes.
ADOPTED by the Lakeville City Council this 1st day of April 2019.
CITY OF LAKEVILLE
By: ________________________________
Douglas P. Anderson
ATTEST:
________________________________
Charlene Friedges, City Clerk
NameService AddressAccount Status Tax Roll Number Certification Balance Service ChargeFee 18% AnnualInterest TotalAssessment BRUCE MAUS 18437 LAFAYETTE WAY Finalled 225850704518 10.97$ 35.00$ 14.51$ 60.48$ ALLISON ANDERSON 16831 EMBERS AVE Finalled 224705005804 13.06$ 35.00$ 15.17$ 63.23$ COREY HAYES 20576 HARTFORD WAY Finalled 224705005804 18.00$ 35.00$ 16.73$ 69.73$ METRO AIRPORT COMM 22051 HAMBURG AVE Finalled 220041030010 18.18$ 35.00$ 16.78$ 69.96$ NATE COX 18031 KINGSWAY PATH Finalled 225850003020 20.36$ 35.00$ 17.47$ 72.83$ M ENTERPRISES LLC 20425 HAMBURG AVE Finalled 224780001083 23.32$ 35.00$ 18.41$ 76.73$ BRIDGET MANCUSO 18324 KERRVILLE TR Finalled 225850120701 25.22$ 35.00$ 19.01$ 79.23$ WILLIAM CAMPBELL III 7257 165TH ST W Finalled 222110002050 27.10$ 35.00$ 19.60$ 81.70$ PETER ANDERSON 16819 HUDSON CIR Finalled 223460502060 28.41$ 35.00$ 20.01$ 83.42$ JAMES RICHMAN 20751 HOLYOKE AVE Finalled228510001041 34.09$ 35.00$ 21.81$ 90.90$ SAMUEL J BENFANTE 17613 GANDER LA Finalled 223094607020 38.42$ 35.00$ 23.17$ 96.59$ CRAIG LENO (REO) 16660 FLOUNDER AVE Finalled 222117301300 43.11$ 35.00$ 24.65$ 102.76$ BRIAN CHRISTIANSON 10020 173RD ST W Finalled 226410104080 48.45$ 35.00$ 26.34$ 109.79$ SHELLEY ALLISON 18285 KERRVILLE TR Finalled 225850020407 51.60$ 35.00$ 27.33$ 113.93$ RODNEY HOSMAN 16556 JONQUIL AVE Finalled 226460603040 57.76$ 35.00$ 29.28$ 122.04$ GREG SEVILLA 16960 KENWOOD TR Finalled 223060000031 66.24$ 35.00$ 31.95$ 133.19$ MELISSA FETTIG 20712 JAGUAR AVE Finalled 224405104020 76.22$ 35.00$ 35.10$ 146.32$ MICHELLE STEPHANS 18437 LAFAYETTE WAY Finalled 225850704518 83.94$ 35.00$ 37.54$ 156.48$ OWEN SCHULTZ 16904 GLENWOOD AVE Finalled 222760007200 89.68$ 35.00$ 39.35$ 164.03$ CHRISTOPHER KNORR 17126 EMBERS AVE Finalled 221810005303 90.74$ 35.00$ 39.69$ 165.43$ TIM PARKER 18320 KEY WEST CT Finalled 225850505116 98.49$ 35.00$ 42.13$ 175.62$ ANTHONY HORTON 17736 GLASGOW WAY Finalled 221860502020 99.18$ 35.00$ 42.35$ 176.53$ CERBER US SR HOLDINGS LP 16634 FLAGSTAFF AVE Finalled 222117704140101.13$ 35.00$ 42.96$ 179.09$ KELLY TRAYNOR 17806 FIREBIRD CT Finalled 224162602240 101.86$ 35.00$ 43.20$ 180.06$ BARTON DINGLER 7875 GRINNELL CT E Finalled 222760104182 104.22$ 35.00$ 43.94$ 183.16$ JEFF VANIS 16945 EXPERT CT Finalled 223820302040 110.14$ 35.00$ 45.81$ 190.95$ LISA GUSTAFSON 17814 FIELDING WAY Finalled 221199603030 120.02$ 35.00$ 48.93$ 203.95$ CITY OF LAKEVILLEASSESSMENT SUMMARY ‐ DELINQUENT UTILITIESAPRIL 1, 2019EXHIBIT A1
NameService AddressAccount Status Tax Roll Number Certification Balance Service ChargeFee 18% AnnualInterest TotalAssessment CITY OF LAKEVILLEASSESSMENT SUMMARY ‐ DELINQUENT UTILITIESAPRIL 1, 2019EXHIBIT AMIKE RONGITSCH 11229 164TH ST W Finalled 224435001080 127.47$ 35.00$ 51.28$ 213.75$ SUSAN HENDRIX 17635 HEIDELBERG WAY Finalled 225720002110 137.25$ 35.00$ 54.36$ 226.61$ CALATLANTIC HOMES 20878 GREENWOOD AVE Finalled 221674003060 139.86$ 35.00$ 55.19$ 230.05$ CORY NICKOLAUSON 16685 GLADIOLA AVE Finalled 222110003110 142.18$ 35.00$ 55.92$ 233.10$ STEVE JAX 8950 197TH ST W Finalled 222119506100 144.30$ 35.00$ 56.59$ 235.89$ MOWLED RIO 16144 JOPLIN WAY Finalled 225370502070 144.89$ 35.00$ 56.78$ 236.67$ DAVID JEFFREY 20425 HAMBURG AVE Finalled 224780001083 154.99$ 35.00$ 59.96$ 249.95$ CALATLANTIC HOMES 18048 GLEAMING CT Finalled 221201010340 155.14$ 35.00$ 60.01$ 250.15$ JON CONRAD 18383 LAFAYETTE WAY Finalled 225850707118 170.32$ 35.00$ 64.80$ 270.12$ ROD MITTLEIDER 17742 FRANCONIA CT Finalled 221860602120 174.87$ 35.00$ 66.24$ 276.11$ MADISON DAVIS 8850 UPPER 209TH ST W Finalled 224445004060 180.87$ 35.00$ 68.13$ 284.00$ CHUCK JACOBSON 16947 GARCIA WAY Finalled 221670001110 195.06$ 35.00$ 72.61$ 302.67$ MARIO PELAGALLI 9717 171ST ST W Finalled 227269004020 206.35$ 35.00$ 76.17$ 317.52$ MICHAEL BERGH 16279 FALLBROOK DR Finalled 222670001070 219.80$ 35.00$ 80.42$ 335.22$ EARLINEA GIVENS 16130 JOPLIN AVE Finalled 225370501040 257.52$ 35.00$ 92.32$ 384.84$ SUZANNE RODRIGUEZ 20916 HOLT AVE Finalled 224445008040 288.58$ 35.00$ 102.13$ 425.71$ ROCK MEHRKENS 17101 ENCINA PATH Finalled 221810106403 297.86$ 35.00$ 105.06$ 437.92$ HENRY VELEZ DENISE 16419 GRIFFON TR Finalled 222760104050 322.58$ 35.00$ 112.86$ 470.44$ MICHAEL ISKRA 17635 HEIDELBERG WAY Finalled 225720002110 437.58$ 35.00$ 149.15$ 621.73$ AMY KINGMA 21220 ILAVISTA WAY Finalled 228410004030 466.94$ 35.00$ 158.42$ 660.36$ ELLORI LINDSTROM 17167 EAGLEVIEW WAY Finalled 224407615117 502.64$ 35.00$ 169.69$ 707.33$ Totals6,466.96$ 1,680.00$ 2,571.31$ 10,718.27$ 2
SERV NAME/OWNER NAME SERVICE ADDRESS PID #CONTRACT MOWING/CLEAN UPINSPECTION FEE(S)INVOICE LATE FEESADMIN FEE18% AnnualInterestTOTAL ASSESSMENTBALL, HEATHER & JASON 16627 EAST LAKE DR 227130014050 140.00$ 35.16$ 90.00$ 83.69$ 348.85$ WINSHIP, JARED & AMANDA 17517 HAVERHILL CIRCLE 225720102170 70.00$ 14.97$ 90.00$ 55.22$ 230.19$ BARTA, JAY 7536 165TH ST W 222760106090 70.00$ 7.56$ 90.00$ 52.88$ 220.44$ BOYD, MICHELLE K 11311 178TH ST W 227589003040 187.50$ 70.00$ 90.00$ 109.68$ 457.18$ MOEBECK, CHAD & ALYSSA 19050 JORDAN TRAIL 224410009120 140.00$ 8.04$ 90.00$ 75.13$ 313.17$ STOLTZ, JACK 6756 161ST ST W 222117202090 300.00$ 140.00$ 9.66$ 90.00$ 170.33$ 709.99$ BOLAND, KARA 7439 165TH ST W 222110003050 131.25$ 70.00$ 9.23$ 90.00$ 94.84$ 395.32$ LAPOLE, LAWRENCE 16634 GANNON AVE 222110102120 70.00$ 2.62$ 90.00$ 51.33$ 213.95$ JOPLIN WAY LLC 16159 & 16161 JOPLIN WAY 225370501050 75.00$ 70.00$ 4.44$ 90.00$ 75.57$ 315.01$ JOPLIN WAY LLC 16130 & 16132 JOPLIN AVE 225370501040 75.00$ 70.00$ 4.44$ 90.00$ 75.57$ 315.01$ LATHROP, ROBERT & WANDA 6836 UPPER 162ND ST W 222117204050 70.00$ 2.14$ 90.00$ 51.17$ 213.31$ PETER, AIMEE LOUISE 16343 FANTASIA AVE 222117710150 70.00$ 1.48$ 90.00$ 50.97$ 212.45$ TOTALS 768.75$ 1,050.00$ 99.74$ 1,080.00$ 946.38$ 3,944.87$ CITY OF LAKEVILLEASSESSMENT SUMMARY ‐ NUISANCE ABATEMENTAPRIL 1, 2019EXHIBIT B