4.7. SR 11-19-2018 EGty1� ,.,�� Request for Action
River
To Item Number
Mayor and City Council 4.7
Agenda Section Meeting Date Prepared by
Consent November 19, 2018 Lori Stich,Accountant
Item Description Reviewed by
Cancellation of Special Assessment for Connection Lori Ziemer, Finance Director
to City Water& Sewer Reviewed by
Cal Portner, City Administrator
Action Requested
Approve,by motion, the cancellation of the special assessment for connection to city water& sewer for
10714175 1h Ave. NW.
Background/Discussion
In 2012, the city offered a financing program to property owners not hooked up to city utilities to assist
with the cost of connections. The program allowed connection costs to be financed through the city and
levied as a special assessment against the property. The program expired December 31, 2015, and
connections made after that date are the responsibility of the property owner to finance all associated
costs when a connection is made.
On December 15, 2015, the property owner at 10714— 1751h Avenue NW signed a"Petition,Waiver and
Agreement for Payment of the Cost of Installation and Connection of, or Repairs to,Private Utility Lines
and Assessment of Amounts Paid as a Special Charge Under Minnesota Statutes, Section 429.101"
allowing the city to assess the charges for installation and connection to city water and sanitary sewer.
The property owner has not hooked up to city utilities and has since asked that the assessment be
removed from the property because he did not understand what he was signing at the time.
The property owner is requesting a refund of the special assessment payments that have been made with
the 2017 and 2018 property taxes. The special assessment amounts paid are as follows:
2017 - $2,142.18 ($1,311.20 principal and $830.98 interest)
2018 - $2,027.11 ($1,311.20 principal and $715.91 interest)
Financial Impact
The total amount to be refunded would be $4,169.29.
Attachments
■ Signed Petition Waiver
The Elk River Vision
A PehoMing community 2a itb revolutionary and spirited resourcefulness, exceptional POWERED By
service, and community engagement that encourages and inspires prosperity INAMIRE1
7S -a -a - y3o
PETITION, WAIVER AND AGREEMENT FOR PAYMENT OF THE
INSTALLATION AND CONNECTION OF, OR REPAIRS TO, COST OF
PRIVATE UTILITY LINES
AND ASSESSMENT OF AMOUNTS PAID AS A SPECIAL CHARGE UNDER
MINNESOTA STATUTES, SECTION 429.101
TO: City Council of the City of Elk River
�fehec
(the Owners), owners of the property
locatedat 107M l75ZHM/1, �,W, i'LK Alie!`
and legally described on
Exhibit A attached hereto (the Property),
Petition the City of Elk River (the City) to pay the costs of installation and connection of, or
Repairs to, (the Work) private utility lines located on the Property or in the Right -of -Way
directly adjacent to the Property, including:
_ X Installation and connection of private water service lines
— X _ Installation and connection of private sanitary sewer service lines
Repair of private water service lines
Repair of private sanitary sewer service lines
In an amount not to exceed that set forth on Exhibit B attached hereto (Cost of the Work); and,
To levy a special assessment against the Property as an unpaid special charge pursuant to
Minnesota Statutes, Section 429.101 in the amount of the Cost of Work plus the total of the
following charges (if Applicable):.
)t Sad,0O
Cost of the Work (from Exhibit B)
Sewer Access Charge (fill in current year fee)
Water Access Charge (fill in current year fee)
Trunk/Lateral Charges (to be determined based on
costs to provide services)
TOTAL ASSESSMENT AMOUNT
(Sum of all listed amounts)
Owners acknowledge and agree:
r
, — Installation and connection: 1) that the Property is required to be connected to
the � wafer and/or sanitary sewer systems; 2) that the Property is not connected to the public
water and/or sanitary sewer services as required; 3) that the Work identified on Exhibit B is
reasonable and necessary to connect the Property to the City water and/or sanitary sewer system;
4) that the Cost of the Work identified on Exhibit B is reasonable and necessary to affect the
Work and is the responsibility of Owners; and 5) that Owners have been provided the
opportunity to pay the Cost of the Work without the City's involvement and have elected,
instead, to petition the City to pay the Cost of the Work and to assess the full amount of the Cost
of the Work to the Property.
Repairs: 1) that there has been a failure of the utility lines on the Property;
2) that the failure of the utility lines has created a public health and safety hazard on the
Property; 3) that the Work identified on Exhibit B is reasonable and necessary to eliminate the
public health and safety hazard on the Property; 4) that the Cost of the Work identified on
Exhibit B is reasonable and necessary to affect the Work and is the responsibility of Owners; and
5) that Owners have been provided the opportunity to pay the Cost of the Work without the
City's involvement and have elected, instead, to petition the City to pay the Cost of the Work
and to assess the full amount of the Cost of the Work to the Property.
Owners acknowledge that the City may accept or reject this Petition, Waiver and
Agreement in its sole discretion, for any reason, including, but not limited to, the availability of
City funds to pay the Costs of the Work and agree, if the City accepts this Petition, Waiver and
Agreement: 1) to have the Work identified on Exhibit B completed as required by the policies
and ordinances of the City; 2) that the Work performed shall be privately contracted by the
Owners; 3) that the City shall bear no responsibility for or liability related to the performance of
the Work; 4) that Owners shall hold harmless and indemnify the City from any claims related to
the performance of the Work; 5) to procure and pay the cost of all permits required for the work;
6) to submit evidence to the City that the Work has been inspected and accepted by the City
Building Official; 7) that, upon completion and acceptance of the Work, City shall make
payment to the Owner's contractor or other parties who performed the Work in an amount not to
exceed the Cost of the Work identified on Exhibit B; 8) that payment by the City of the Cost of
the Work shall create an unpaid special charge against the Property; 9) that this unpaid special
charge shall be specially assessed against the Property by the City pursuant to Minnesota
Statutes, Section 429.101; and 10) that the special assessment shall be payable in equal
annual installments with interest accruing on unpaid installments at the rate of 3, q0%.
Owners expressly waive the right to a hearing on assessments levied pursuant to this
petition; expressly waive objection to any irregularity with regard to the assessment of the
Property for the Cost of the Work; expressly agree that the amount assessed is reasonable;
expressly waive any claim that the amount assessed is excessive; expressly waive all rights of
appeal, including any rights under Chapter 429, Minnesota Statutes, from the assessment by the
City of the Cost of the Work; and expressly agree to pay when due all assessments levied for the
Cost of the Work.
Owners represent and warrant that they are the sole fee Owners of the Property; agree to
make payment of all assessments levied pursuant to this Petition, Waiver and Agreement for
Payment of the Cost of the Work; agree that they shall be personally liable for payments not
made; agree that this Agreement shall be binding on Owners and Owner's successors and
assigns; agree that all assessments levied pursuant to this Petition shall be paid in full prior to or
at the time of transfer of the Property to a subsequent owner; agree that this Agreement may be
recorded against the title to the Property; and agree that any unpaid or outstanding trunk utility
assessments already levied against the Property shall remain in effect and will not be rolled into
the assessments authorized by this Petition, Waiver and Agreement.
Dated this -j day of D ""WL 20 ✓
OWNER LA
AV4"�-
By:
Its:
For Office Use
Application Approved:
Permit No(s):
Work completed on:
0
Date:
Approved for Final Payment:
M
Date:
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