4.2. & 4.3. SR 05-18-1998Howard R, Green Company
CONSULTING ENGINEERS
May 14, 1998
File: 803350J (0030)
Items 4.2. & 4.3.
Formerly MSA
Consulting Engineers
Honorable Mayor and City Council
City of Elk River
13065 Orono Parkway
P.O. Box 490
Elk River, MN 55330-0490
RE: 1998 BITUMINOUS OVERLAY AND GRAVEL ROAD PAVING PROJECT
Dear Council Members:
As discussed previously, the schedule for the bituminous overlay and gravel road paving project
calls for the public hearing and the assessment hearing to be held on the same evening.
Because of the large number of property owners affected by this project, June 8, 1998 has been
selected for this meeting. In anticipation of this meeting, we have prepared both a feasibility
study and plans and specifications, and have solicited bids for the project. The bids were
opened on Thursday, May 7, 1998. There were a total of seven bids submitted. Bauerly Bros.,
Inc. was the Iow bidder at $376,184.40.
Using the Council's past practice of assessing a unit rate across the entire bituminous overlay
project, we have determined that the assessment rate for the bituminous overlay would be
$1,450.00 per unit. As a comparison, the 1996 bituminous overlay project was assessed at a
rate of $1,300.00 per unit.
The proposed gravel road paving is a more complicated issue. First of all, half of the Jarvis
Street Project is within Burns Township. The construction cost for that portion of road is
$38,400.00 without overhead. Taking the remaining cost within the City limits, and adding 10%
overhead, the total project cost is $118,700.00. When divided by the total number of units, the
cost per unit becomes in access of $4,200.00. It appears that there is no way for this project to
be fully funded through assessments. The Council could consider an assessment rate of one or
two overlay units per parcel. One overlay unit per parcel would generate approximately
$40,000.00. Two would generate $80,000.00. In a best case scenario, this would leave an
approximately $40,000.00 shortfall.
There are two resolutions attached for the City Council to consider. The first receives the
feasibility study and orders the public hearing for June 8, 1998. The second resolution
determines the cost to be assessed and orders the preparation of the assessment role. As
indicated before, the assessment hearing would also be June 8, 1998. Staff would appreciate
some input from the City Council relative to the assessment of the gravel road paving. One
O:~ROJ\803350j\350-1407.may.do¢
1326 Energy Park Drive · St. Paul, MN 55108 · 612/644-4389 fax 612/644-9446 toll free 888/368-4389
City of Elk River
May 14, 1998
Page 2
other consideration may be to drop those two roads from this year's project and consider them
some time in the future with additional gravel roads.
If you have any questions, I will be in attendance at your May 18, 1998 City Council meeting.
Sincerely,
Howard R. Green Company
T~.E.
TJM/st
Enclosures
Howard R, Green Company
O:~OROJ\803350j\350-1407.may.doc CONSULTING ENGINEERS
RESOLUTION 98 -
A RESOLUTION FOR THE CITY OF ELK RIVER
A RESOLUTION OF THE CITY OF ELK RIVER RECEIVING THE
FEASIBILITY REPORT AND ORDERING A PUBLIC HEARING
ON THE IMPROVEMENT IN THE MATTER OF THE
BITUMINOUS OVERLAY AND GRAVEL ROAD PAVING
IMPROVEMENT OF 1998
WHEREAS
WHEREAS
the Feasibility Report ordered by the Council in Resolution 98-~ has been
prepared with reference to the Bituminous Overlay and Gravel Road Paving
improvement and was received by the City on May 18, 1998; and
the Feasibility Report recommends that the proposed improvement is feasible;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota:
The City Council will consider the Bituminous Overlay and Gravel Road Paving
improvement as described in the Feasibility Report and assessment of the property
abutting this proposed improvement for all or a portion of the cost of the improvement
pursuant to Minnesota Statutes, Section 429, at an estimated total cost for the
improvement of $414,700.00.
A public hearing shall be held before the City Council on the proposed improvement on
the 8 day of June, 1998, at 7 o'clock p.m. at the Elk River City Hall.
The City Clerk shall provide two published notices (one week apart) in the official
newspaper with at least three days between the last publication date and the hearing,
and mailed notice ten days prior to the hearing as required by law.
Passed and adopted this 18 day of May 1998.
ATTEST:
Henry A. Duitsman, Mayor
Sandra A. Thackeray, City Clerk
\\SPNWFS\VOL1 \DATA\PROJ\803350j\350-1409. Resolution2.doc
RESOLUTION 98 -
A RESOLUTION FOR THE CITY OF ELK RIVER
A RESOLUTION DETERMINING ASSESSED COST OF
IMPROVEMENT AND ORDERING PREPARATION OF
PROPOSED ASSESSMENT ROLL IN THE MATTER OF
BITUMINOUS OVERLAY AND GRAVEL ROAD PAVING
IMPROVEMENT OF 1998
WHEREAS
costs have been determined for the Bituminous Overlay and Gravel Road Paving
improvement consisting of a contract price of $412,000.00, and expenses
incurred or to be incurred by the City in the making of the improvement in the
amount of $41,200.00, for a total cost of the improvement of $453,200.00.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota:
Based upon the City Assessment Policies, it is determined that the portion of this
improvement to be paid by the City and not assessed to benefited properties is
$38,500.00.
The portion of the cost to be assessed against benefited properties pursuant to the Elk
River City Assessment policies shall be $414,700.00.
The assessments shall be payable in equal annual installments and shall extend over a
period of three or five years, the first of the installments to be payable on or before the
first Monday in January, 1999, with interest at the rate of 6.5% per annum from the date
of the adoption of the assessment resolution.
The City Administrator, with the assistance of the Project Engineer, shall forthwith
calculate the proper amount to be specially assessed for such improvement against
every assessable lot, piece, or parcel of land, without regard to cash valuation, as
provided by law, and shall have available at the City Administrator's office a copy of the
proposed assessment roll for public inspection.
Upon completion of the proposed assessment roll, the City Administrator shall notify the
Council and schedule a public hearing upon the proposed assessment, causing notice of
the hearing by publication and mail to be made at least two weeks prior to the hearing.
Passed and adopted this 18 day of May 1998.
ATTEST:
Henry A. Duitsman, Mayor
Sandra A. Thackeray, City Clerk
O:\PROJ\803350j\350-1408.may. Resolution.doc