6.8. SR 04-21-2003 Howard R. Green Qompany
Item #
6.8.
Apdl 15, 2003
File: 818980J-0564
The Honorable Mayor and City Council
City of Elk River
13065 Orono Parkway
Elk River, MN 55330
RE:
2003 PAVEMENT REHABILITATION IMPROVEMENT
AUTHORIZATION TO PREPARE ASSESSMENT ROLL
Dear Council Members:
At last week's City Council meeting, the Council adopted a resOlution authorizing the Advertisement
for Bids for the 2003 Pavement Rehabilitation project. There was a memo included in that packet
from Lcd Johnson, Finance Director, laying out her concems about potential legislative actions that
may make it difficult for the City to fund this project in 2003. In keeping with the recommendation to
move forward on the project and have it ready to proceed to construction once the legislature takes
final action on proposed bills regarding levy limits, we are suggesting the City Council adopt the
attached resolution ordedng the preparation of the assessment roll and setting the Assessment
Headng date for Monday, May 12, 2003. As you will recall, the feasibility study for this project
recommends assessment rates at $5,000 per residential equivalent unit. Therefore, construction bids
are not necessary to begin work on the assessment roll preparation.
At the public headng held in February 2003, there was a question raised regarding properties that are
included in the 2003 Pavement Rehabilitation project but may have been assessed for the
reconstruction of Main Street in 1989. We have researched that file and found that there are six
properties in the 2003 Pavement Rehabilitation program that were also assessed in the 1989 Main
Street reconstruction. All six are shown on the attached exhibit. Three of these properties are
residential in nature and are at the comer of Morton Avenue and Norfolk Avenue. The assessments
for these properties in 1989 range from a Iow of $819 to a high of $1,638. The reason for the
difference is that in 1989 the assessments were based on $13 per front footage for residential
property. The other three properties consist of Handke School, the Handke School playground area,
and United Methodist Church. These three properties, which are double frontage properties with
access from Main Street and Fourth Street, were assessed between $858 on the Iow end to $7,881
on the high end. City staff has reviewed these properties, and it is our recommendation that all six of
them stay in the 2003 Pavement Rehabilitation project as originally proposed. It is staff's opinion that
the three residential properties were assessed at a relatively modest amount in 1989, which is
approximately 15 years ago, and the portion of the assessed amount for the 2003 Pavement
Rehabilitation project is only approximately one-third the total cost. With the school and church
property, staff feels that they cleady have benefit from both Fourth Street and Main Street and should
be asked to pay assessments on both.
Ltr-O41503-Council
1326 Energy Park Drive · St. Paul, MN 55108 · 651/644-4389 fax 651/644-9446 toll free 888/368-4389
City Council
Apdl 15, 2003
Page Two
Hearing be held on May 12, 2003. If you have any questions regarding this, I will be in attendance at
your April 21, 2003 City Council meeting.
Sincerely,
Howard R. Green Company
Terry J. Maurer, P.E.
TJM:sw
Enclosure
Ltr-041503-Council
Howard R, Green Company
/
I I
IIi
II I I I
PARCEL EXHIBIT
2008 PA~4ENT REHA~LITA'I~ON
8~r NO.
RESOLUTION 03-
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
THE PAVEMENET REHABILITATION IMPROVEMENT OF 2003
WHEREAS
costs have been determined for the 2003 Pavement Rehabiliation improvement
consisting of a contract price of $1,423,000, and expenses incurred or to be
incurred by the City in the making of the improvement in the amount of
$474,300, for a total cost of the improvement of $1,897,300.
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
$1,437,300.
The portion of the cost to be assessed against benefited properties pursuant to the Elk
River City Assessment Policies shall be $460,000.
The assessments shall be payable in equal annual installments and shall extend over a
period of seven or ten years, the first of the installments to be payable on or before the
first Monday in January, 2005, with interest at the rate of 5.5% 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 21 day of April, 2003.
ATTEST:
Stephanie A. Klinzing, Mayor
Sandra A. Peine, City Clerk
O:\PROJ\818980J\Res-041403.doc