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4.3. SR 06-29-1998 Item #4.3. Howard R. Green Company CONSULTING ENGINEERS lMSAI CONSrLTING ENGI~EERS June 19, 1998 File: 802640J (0564) Formerly MSA Consulting Engineers Honorable Mayor and City Council City of Elk River 13065 Orono Parkway PO Box 490 Elk River, MN 55330-0490 RE: LAKE ORONO SEDIMENT REMOVAL PROJECT ASSESSMENT HEARING Dear Council Members: As you are aware, the assessment hearing for the Lake Orono Sediment Removal project is scheduled for Monday evening, June 29, 1998. On May 28, 1998, we opened bids for this project. There were a total of three bidders. The following list provides the bidder, their base bid, alternate bids, and the total of their bid. BIDDER BASE BID ALT. BID TOTAL Veit & Company, Inc. $469,962.00 $93,512.90 $563,474.90 Park Construction Company $608,350.00 $274,291.00 $882,641.00 Conteck Enterprises, Inc. $650,989.25 $155,690.69 $806,679.94 At the assessment hearing, I will be prepared, along with Steve Rohlf, to make a brief presentation summarizing the project, total project cost, and the proposed assessments. As you will recall from the feasibility study, the proposed assessment rate is $2,200.00 per unit. The assessment roll contains 188 units, for a total assessment of $413,600.00. Of that total, 26 units are assessed against the City of Elk River for a total of $57,200.00. There is also a portion of the total project cost not covered by the assessments, which would also be funded by the City of Elk River. Thus far, we have received several calls from property owners, but have not, as of yet, received any formal written appeals. Based on the phone calls, we 1326 Energy Park Drive. St. Paul, MN 55108 . 612/644-4389 fax 612/644-9446 toll free 800/888-2923 City of Elk River June 19, 1998 Page 2 are prepared to make the following recommendations, relative to adjustments to the assessment roll. 1. 75-131-1435, Joseph and Delores Bickman We would recommend that this property be reduced from two units to one unit. The reason for this adjustment is that it was given two units because the property immediately next door is also in the ownership of Joseph Bickman. It was felt when the roll was put together, that these two lots could be combined and redivided into three buildable lots. Therefore, this parcel was given two units, and the parcel next door was given one unit. However, on further review, one parcel is in the ownership of Joseph and Delores Bickman, and the other is in the ownership of Joseph and Michael Bickman. Therefore, it is appropriate to assess each of these for only one unit. 2. 132-1110, Steven and Lisa Freitag This parcel was given two units because of its size, however this information was based on a half-section that did not reflect a recent split of the parcel. The parcel was actually split into two properties. The second property is PIN number 75-132-1111, and is owned by David and Kim Long. The two units should be split, one to the Freitag property and one to the Long property, reflecting the division of the parcel. 3. 75-131-1425, Thomas and Sara Hartman Thomas and Sara Hartman have several parcels in the assessment roll with a total assessment of 8 units. Upon further review, we feel that 7 units is a more appropriate total for all of their parcels combined. Therefore, we would recommend that this parcel (75-131-1425) be reduced from 2 units to 1 units. Individuals may appeal their assessment to this project by presenting a signed, written objection to the Mayor at the hearing. An individual simply standin!! UP at the assessment hearin!! indicatin!! their objection to the project does not constitute an assessment appeal. Following the submission of the signed, written objection, the property owner must also serve notice of appeal upon the Mayor or City Administrator within 30 days after the adoption of the assessment roll. They must file their notice Howard R. Green Company CONSULTING ENGINEERS City of Elk River June 19, 1998 Page 3 with the District Court within 10 days of serving the Mayor or the City Administrator. At the close of the assessment hearing, it would be appropriate for the City Council to consider the two attached resolutions. The first resolution adopts the final assessment roll. We would recommend that it be adopted with the changes outlined in this memo. It may also contain any changes the City Council deems appropriate at the close of the assessment hearing. The second resolution awards the contract to Veit & Company, Inc. Action on the second resolution, awarding the contract, could be delayed 30 days if there are a significant number of assessment appeals submitted at the assessment hearing or if the agreements with the property owners to deposit the removed material on their land are not executed. If you have any questions regarding these issues, please call. Sincerely, Howard R. Green Company T5,~~ T JM/st Enclosures Howard R. Green Company CONSULTING ENGINEERS RESOLUTION 98 - A RESOLUTION FOR THE CITY OF ELK RIVER A RESOLUTION ADOPTING FINAL ASSESSMENT ROLL IN THE MATTER OF THE LAKE ORONO SEDIMENT REMOVAL IMPROVEMENT OF 1998 WHEREAS, upon due notice properly made as required by law, the Elk River City Council has met and heard and passed upon all objections to the proposed assessment for the Lake Orono Sediment Removal improvement and has determined the amount to be assessed against each individual property as the Council deems just; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota: 1. Final assessment roll, a copy of which is attached hereto and incorporated herein by this reference, is hereby accepted and adopted and shall constitute the special assessment against the lands therein named. Each such tract of land in the assessment roll is hereby found to be benefited by the improvement in an amount not less than the amount of the assessment levied against it. 2. Such assessment shall be payable in equal annual installments, including both principal and interest, amortized in such amount annually as is required to pay the principal with interest as 6.5% over a period of five or seven years. 3. The owner of any property so assessed, may, at any time prior to certification to the County Auditor of the assessment or the first installment thereof, pay to the City Treasurer the whole of the assessment on such property, with interest accrued to the date of payment; except that no interest shall be charged if the entire assessment is paid within 30 days after the adoption of this Resolution. Prepayment may also be made after the certification of the assessment or first installment thereof by paying to the City Treasurer/Auditor the entire amount of the assessment remaining unpaid with interest. In the case of a payment made before November 15, interest will be calculated through December 31 of the next succeeding year. 4. The City Administrator shall transmit to the County Auditor a certified duplicate of the attached assessment roll to be extended on the property tax lists of the County. Such assessment shall be collected and paid over in the same manner as other municipal taxes. Passed and adopted this 29th day of June 1998. ATTEST: Henry A. Duitsman, Mayor Sandra A. Peine, City Clerk \\SPNWFS\VOL 1 \DA TA\PROJ\802640j\640-1907.june,doc RESOLUTION 98 - A RESOLUTION FOR THE CITY OF ELK RIVER A RESOLUTION ACCEPTING BID AND AUTHORIZING EXECUTION OF CONTRACT IN THE MA TIER OF THE LAKE ORONO SEDIMENT REMOVAL IMPROVEMENT OF 1998 WHEREAS pursuant to Resolution 98-45, competitive bids were solicited and received for the Lake Orono Sediment Removal improvement as set forth in the bid tabulation attached hereto and incorporated herein by this reference; and WHEREAS the City Council has considered the amount of the bids and the responsibility of the bidders and determined that Veit and Company, Inc. is the lowest responsible bidder; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota: 1. The Mayor and City Administrator are authorized and directed to execute, on behalf of the City, such contract with Veit and Company, Inc. as is approved by the City Attorney for the completion of the Lake Orono Sediment Removal improvement according to the approved plans and specifications designated in Resolution 98-45. 2. The City Administrator is authorized and directed to forthwith return to all bidders the deposits made with their bids upon execution of the contract above specified. Passed and adopted this 29th day of June 1998. Henry A. Duitsman, Mayor A TIEST: Sandra A. Peine, City Clerk O:\PROJ\802640j\640-1906.june.doc