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HomeMy WebLinkAboutItem 06.i Date: Item No. SPECIAL ASSESSMENT AGREEMENT WITH McCABE HOLDING’S FOR SANITARY SEWER AND WATER CONNECTION CHARGES AT 17394 FLAGSTAFF AVENUE Proposed Action Staff recommends adoption of the following motion: Move to approve a Special Assessment Agreement with McCabe Holding’s, LLC for charges associated with connecting the property at 17394 Flagstaff Avenue to public sanitary sewer collection and water distribution systems. Overview Daniel McCabe (Owner) requests to connect the property of 17394 Flagstaff Avenue to the public sanitary sewer collection and water distribution systems. A sanitary sewer connection is available from existing sanitary sewer located within Five Oaks Drive. Watermain was extended to serve the property with City Project 88-19; the associated lateral watermain and water service costs were not assessed. The storm sewer charge has not been collected for this parcel. The Owner requests that the following charges be assessed to the property: Amount Sanitary Sewer Availability Charge $ 327.00 Lateral Watermain Charge (based on 100 feet of frontage) $4,100.00 Lateral Watermain Charge (based on 1 service) $ 408.00 Storm Sewer Charge (based on ½-acre) $3,876.84 Total $8,711.84 Primary Issues to Consider • The $8,711.84 assessment will be levied over a ten-year period at 5% interest, with the first installment payable with the 2020 taxes. The property owner must pay all applicable building permit fees, including city legal fees, prior to beginning work. Supporting Information • Special Assessment Agreement Financial Impact: $8,711.84 Budgeted: Y☐ N☒ Source: N/A Related Documents: Envision Lakeville Community Values: Good Value for Public Services Report Completed by: Zach Johnson, City Engineer June 17, 2019 1 202247v7 PUBLIC IMPROVEMENT AND SPECIAL ASSESSMENT AGREEMENT AGREEMENT made this ___ day of _______________, 2019, by and between the CITY OF LAKEVILLE, a Minnesota municipal corporation (“City”) and MCCABE HOLDING’S LLC, a Minnesota limited liability company (“Property Owner”). RECITALS A. Property Owner is the owner of property having a street address of 17394 Flagstaff Avenue, Lakeville, Dakota County Minnesota, legally described on Exhibit A attached hereto and incorporated herein (the “Subject Property”). B. The Property Owner desires to connect the Subject Property to the public sanitary sewer system and watermain that serves the Subject Property. C. Property Owner has requested that the City assess the following fees and charges (collectively, the “Assessment”) charged by the City for the connections: Rate Sanitary Sewer Availability Charge $ 327.00 Lateral Watermain Charge (based on 100 feet of frontage) $4,100.00 Lateral Watermain Charge (based on 1 service) $ 408.00 Storm Sewer Charge (based on ½ acre) $3,876.84 Total: $8,711.84 NOW, THEREFORE, IN CONSIDERATION OF THEIR MUTUAL COVENANTS THE PARTIES AGREE AS FOLLOWS: 1. PUBLIC IMPROVEMENTS. The City will specially assess the Assessments to the Subject Property for a portion of costs to connect the Subject Property to public sanitary sewer and watermain serving the Subject Property. The remainder of the Lateral Watermain Charge and the Storm Sewer Charge will be collected when the Subject Property is platted into Lots and Blocks. 2. SPECIAL ASSESSMENT. The City will assess the Subject Property in the amount of Eight Thousand Seven Hundred Eleven and 84/100ths Dollars ($8,711.84) for Property Owner’s share of the costs associated with connection to the public utilities. The Assessment shall be deemed adopted on the date this Agreement has been signed by all parties. The Assessment shall be spread without deferment over a ten (10) year period in equal annual installments, together with interest of five percent (5%) per year on the unpaid balance accruing from November 1st of the year when the improvements are constructed. The first installment shall be payable the year following the substantial completion of the connection to public utilities and will include interest from November 1st of the year of substantial completion through December 31st of the following year. 2 202247v7 3. WAIVER. Property Owner, its successors and assigns, waive any and all procedural and substantive objections to the Assessment, including but not limited to hearing requirements and any claim that the Assessment exceeds the benefit to the Subject Property. Property Owner waives any appeal rights otherwise available pursuant to Minn. Stat. § 429.081. 4. BINDING EFFECT; RECORDING. This Agreement shall be binding upon Property Owner and Property Owner’s successors and assigns. This Agreement shall run with the land and may be recorded against the title to the Subject Property. CITY OF LAKEVILLE BY: Douglas P. Anderson, Mayor AND: Charlene Friedges, City Clerk STATE OF MINNESOTA ) )ss. COUNTY OF DAKOTA ) The foregoing instrument was acknowledged before me this ________ day of _________________, 2019, by Douglas P. Anderson and by Charlene Friedges, respectively the Mayor and City Clerk of the City of Lakeville, a Minnesota municipal corporation, on behalf of the corporation pursuant to the authority granted by its City Council. Notary Public 3 202247v7 MCCABE HOLDING’S LLC: By: Daniel McCabe Its Manager STATE OF MINNESOTA ) )ss. COUNTY OF ___________ ) The foregoing instrument was acknowledged before me this ________ day of _____________________, 2019, by Daniel McCabe, the Manager of McCabe Holding’s LLC, a Minnesota limited liability company, on behalf of said company. Notary Public DRAFTED BY: CAMPBELL KNUTSON, Professional Association Grand Oak Office Center I 860 Blue Gentian Road, Suite 290 Eagan, Minnesota 55121 Telephone: 651-452-5000 AMP/smt 4 202247v7 EXHIBIT A Legal Description That part of the West ½ of the Northwest ¼ of Section 11, Township 114, Range 20, Dakota County, Minnesota, described as follows: Commencing at the Southwest corner of said West ½ of the Northwest ¼; thence North along the West line of said West ½ of the Northwest 1/4 , a distance of 620 feet to the actual point of beginning; thence continue along said West line, a distance of 200 feet; thence East deflecting 90 degrees right, a distance of 300 feet; thence South deflecting 90 degrees right, a distance of 200 feet; thence West deflecting 90 degrees right, a distance of 300 feet to the point of beginning. (Abstract Property)