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PRIOR IkKE
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July 20, 1995
Fite: 230-271-58
I-Ionorable Mayor and City Council
City of Elk River
13065 Orono Parkway
P.O. Box 490
F..lk River, MN 55330
RE: 1995 OVERLAY IMPROVEMENTS
Dear Council Members:
Competitive bids for the 1995 Overlay Improvement projects were rec+:ivcd on
July 19, 1995. There were a total of seven bidders. The low bidder was Master Asphalt,
Inc. with a. low bid of $195,062.60. Following is a listing of the seven bidders Sand their
total bids:
1. Master Asphalt, Inc. $195,062.b0
2. Aero Asphalt, Inc. $199,b57.85
3. Bauerly Brothers $203,030.40
4. H & M Asphalt Company $206,793.50
5. Valley Paving, Inc. $206,366.55
6. Northwest Asphalt $208,378.45
7. Midwest Asphalt, Inc. $214,354.75
Enclosed is a draft Resolution which determines the amount to be assessed. It is proposed
to assess $236,000.00. This is the construction bid, plus a small contingency, plus City
overhead. Thete are approximately 180 units to be assessed on this project. At the public
hearing, we heard from approximately 15% of the units. At the public hearing, the
assessment rate was estimated to be $1,505.00, it has dropped approximately 14% to
$1,300.00 per unit.
The assessment hearing, according to the project schedule is to be held on
August 28, 1995. After the assessment hearing is held, we will be prepared to reronltnend
award of the contract to Master Asphalt, Inc. as to lowest responsible bidder.
If you have any questions regarding this information, I will be in attendance at yi~ur
Monday evening Council meeting.
Sincerely,
MSA, CONSULTING ENGINEERS/
Terry J. Maurer, P.E.
'I'JM:pd
• RESOLUTION 95 -
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
1995 OVERLAY IMPROVEMENT OF 1995
"V4'I-ll~;)~tF,.AS costs have been determined for the 1995 overlay improvement consisting of a
contract price of $214,b00.00 and expenses incurred or to be incurred by the City
in the making of the improvement in the amount of $21,400.00 for a total cast of
the improvement of $236,000.04.
NOW, T1-IEREFORE, BE IT RESOLVED by the City Council for the City of Elk River,
NSinnesota:
1. 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 benefitted properties is $0.
2. The portion of the cost to be assessed against benefitted properties pursuant to the E!k
• River City Assessment Policies shall be $236,000.00.
3. The assessments shall be payable in equal annual installments and shall extend over a
period of 5 years, the first. of the installments to be payable on or before the first Monday
in January, 1996, with interest at the rate of 8.0% per annum from the date of the adoption
of the assessment resolution.
4. 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 Iaw, and
shall have available to the City Administrator's office a copy of the proposed assessment
roll for public inspection.
S. Llpon 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 24th day of July, 1995.
• Hank Duitsman, Mayor ~ ~__ ~-
AT'i'EST:
Sand~•a Thackeray, City Clerk
Elk Rrver City Council Minutes Page 6
June 26,.1995
5. Open Mike
No one appeared for this item.
6.1. Public Hearing to Consider Overlay Imp rovements for Greenhead Acres 1st 2nd
.and 3rdAd,¢itions
6.2. Public Hearing to Consider Overlav Imp rovements for Countryside Acres
6.3. Pubhc Hearing to Consider Overiav Imp rovements for Avon Acres
6.4. Public Hearing to Consider Roa Improvements for Tr unk Hiahwav 10 Frontage
Road West of Edison Street4153rd Avenue and Fillmore Street Cul-de-sac
City Engineer Terry Maurer reviewed the scope of the proposed project as
follows:
• Overlaying roads in Greenhead Acres 1st, 2nd, and 3rd Additions,
• Overlaying roads in Countryside Acres,
• Overlaying roads in Avon Acres Area, and
• Analyzing the feasibility of road improvements to Trunk Highway 10
frontage road west of Edison Street, 153rd Avenue, and Fillmore Street
cul-de-sac.
The City Engineer informed the Council that .the .proposed assessment for the
improvements is on a per parcel basis and indicated that the estimated
assessment at this time is $1,505 per parcel. The City Engineer reviewed
assessment schedules of three and five year repayment periods.
Mayor Duitsman opened the ublic hearin .
p 9
1. The City Clerk noted that. Mark Johnson, 21101 York Street, submitted a
letter regarding the excessive cost for the assessment.
2. The City Clerk noted that Loren and Barb Thompson, 12630 212th Avenue
NW, submitted a letter indicating their opposition to the project.
3. The City Clerk indicated that she received a phone call from Reggie and
Janice Kreuser, 14885 Gary Street, who indicated their opposition to the
project.
4. The :City-Clerk- indicated-#hat she received a phone call from Nottie
Leary, 21172 York Street, indicating opposition to the improvements.
5. Joseph St. Dennis, 21275 York Street, Greenhead 3rd Addition, indicated
his opposition to .the city's policy of assessing the homeowners for an
overlay project. He stated that by assessing for overlays, the tax rate is
artificially lowered.
6. Bill Polk, 15656 Edison Street, indicated in favor of that he owns a business
at this address and that he is not opposed or for the project. However,
he is concerned about the amount of taxes he pays to the city.
Elk River City Council Minutes Page ?
June 26, 1995
7. John Lind, 9922 153rd Avenue NW, indica#ed he owns two narrow lots
and indicated he does not intend to sell either lot. He stated he felt he
should be assessed for only one parcel. The City Engineer suggested that
if Mr. Lind has no intention of selling .either lot, that. he combine the lots
and, in that way, he would be assessed for only one parcel.
8. Dennis Coleman, 1.9959 Gary Street, questioned the City Engineer as to
how long an overlay would last and also whether the residents can be
assured that there will be no additional costs for sewer and water
improvements to the area.
9. Dave Harmonick, 2114b York. Stree#, questioned why the city is assessing
for this type of project. He indicated that he felt an overlay should be
covered by the nom~al taxes.
10. dim Lundquist, 21244 Vernon Street, indicated his concern regarding a
pond across the raced from him and how it would affect the overlay. He
further indicated that he did not feel the residents should be assessed on
a per parcel basis. He indicated he is opposed to the improvement.
11. Art Johnson, 9956 153rd Avenue, indicated he is in favor of the
improvements as Edison Street is in need of repair.
12. Del Thompson, 20680 Watson Street, indicated he is opposed to the
project and stated that if the streets were maintained in a better fashion,
• it would not be necessary to overlay the roads.
13. Daryl Peterson, 12793 210th Circle, indicated he is speaking on behalf of
numerous people in the .Greenhead development..,.. He stated he felt the
people in Greenhead were being singled out for this road improvement
and questioned what areas of the city had overlay improvements in the
past. He stated he is not opposed to maintaining the roads.
14. Wayne Rudloff, 12781 206th `Avenue, questioned why some of the
property owners did not receive notice.
15. Rose Allison, 21380 Vernon, indicated that she is not ready to pay. for the
improvements at this time.
1 b. Warren Hudson, 1154 6th Street, Countryside Acres, indicated he is
opposed to the method of assessing the project. He suggested that a
small city tax to all residents would be . a be#ter method than an
assessment...
17. Daryl Droogsma, 13323 199th Avenue, indicated he is opposed to the
improvement.. He further stated that he would rather see the citizens
taxed for this instead of an assessment, and also sta#ed that he felf the
streets were in good shape. Mr. Droogsma indicated he would like to see
speed bumps on 199th Avenue.
F
Elk River City Council Minutes
June 26, 1995
Page $
• 18. Tim Bykowski, 12767 210th Circle, indicated that he felt his taxes are
already helping maintain services for which he does not benefit-from.
19. Joel Oakes, 21014 York Street, indicated he is in favor of the project.
There being no .further comments from the public, Mayor Duitsman closed the
public hearing.
Councilmember Holmgren spoke to the subject of the city's policy of assessing
overlays as opposed to a tax levy for overlays. He indicated that although this. is
a good idea, he felt the time is not right to tax citizens far this type of project.
.Councilmember Farber stated that he felt the streets need to be kept in .good'
repair and .indicated that without an overlay the streets would deteriorate at a
much more rapid pace.
Councilmember Scheel indicated she liked the idea of taxing the citizens for
overlays as apposed to assessing them. She further noted that she would vote
against the overlays on behalf of her constituents except for the Avon Acres
area.
Councilmember Dietz indicated he did not feel a tax levy for an oveHay would
be very equitable.. He indicated it would be very difficult to prorifrze the road
improvement project.
• COUNC1t.MEMBER HOtMGREN MOVED TO ADOPT RESOLUTION 95.39, A
RESOLUTION. ORDERING THE IMPROVEMENT tN THE MATTER OF THE 1995
BITUMINOUS OVERLAY. COUNCIWIEMBER DtETZ SECONDED THE MOTION. THE
MOTION CARRIED 5-0.
COUNCILMEMBER HOLMGRfN MOVED TO ADOPT RESOLUTION 95-40, A
RESOLUTION APPROVING THE PLANS AND SPECIFICATIONS AND ORDERING THE
ADVERTISEMENT FOR BIDS IN .THE MATTER Of THE 1995 BITUMINOUS OVERLAY
IMPROVEMENT. COUNCILMEMBER DiETZ SECONDED THE MOTION.'` THE MOTION
CARRIED 5-0.
10. East. Highway 10 Worksession
The Council recessed at 8:20 p.m., and moved to the Training Room to hold a
worksession to discuss East Highway 10 improvements. The Council reconvened in a
worksession a# 8:30 p.m:
The Council spent approximately one hour discussing the potential improvements to
East Highway 10.
The following items were distributed:
• Urban service area study map
• Estimated assessment rate for possible urban service area
• Letter from St. Cloud Appraises!
• Map indicating major landowners
• Timeframe