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HomeMy WebLinkAbout15.C.6. Set Assessment Hearing for Project No. 2001-5-Res. No. 5934 /S':c.b, CITY OF SHAKOPEE Memorandum TO: Mayor & City Council Mark McNeill, City Administrator FROM: Bruce Loney, Public Works Director SUBJECT: Declaring a Cost to be Assessed and Establish a Public Hearing for Assessments on Sarazin Street and Valley View Road Improvement, Project No. 2001-5 DATE: August 19, 2003 INTRODUCTION: Attached is Resolution No. 5934, a resolution declaring the costs to be assessed, ordering the preparation of proposed assessments and setting a public hearing date for the Sarazin Street and Valley View Road improvements, Project No. 2001-5. BACKGROUND: On May 21, 2002, City Council adopted Resolution No. 5720, approving the plans and specifications and ordering the advertisement for bids for Sarazin Street and Valley View Road Improvement, Project No. 2001-5. The plans for the street improvements were prepared by Bolton & Menk, Inc. On July 16, 2002, City Council adopted Resolution No. 5755, a resolution which accepts the bids and awards the contract for the Sarazin Street and Valley Road improvement project. The improvements have essentially been completed with the final project costs for construction at $1,328,129.01. The total costs associated with administration, financing and engineering for the project is $681,861.43 including trunk water charges by Shakopee Public Utilities Commission (SPUC), right- of-way acquisition and street lighting. The attached resolution shows how these costs are being paid and the total cost to be assessed. Project financing sources include the City of Shakopee, SPUC and assessments to benefiting properties. From the feasibility report to the project completion, the funding summary is as follows: Feasibility Report Proiect Completion SPUC's Costs $ 36,506.25 $ 30,499.67 Assessments $1,388,433.96 $1,340,479.36 City CIF $ 359,785.77 $ 607,028.15 City Storm Drainage Fund $ 9,443.50 $ 31,983.26 Total Costs $1,794,169.48 $2,009,990.44 Previously, per the attached memo on April 25, 2002, staff did inform the Council that project costs would be higher due to higher right-of-way costs, soil correction needed and higher bid prices from the feasibility report of 2000 to bidding date of July, 2002. A financing summary sheet was prepared on July 8, 2003 based on the bid received. The final costs have been determined based on actual costs to complete the project. During the course of this project, City Council did approve preparing assessment agreements for parcels that were less than ten acres in size along Valley View Road. These assessment agreements will be finalized if the Council approves Resolution No. 5923, declaring the costs to be assessed and ordering the preparation of proposed assessments. Two assessment agreements have been executed by the O'Loughlin's and the Theis's. A copy of the Theis assessment agreement is attached for Council review. Approval of assessment agreements will be brought back to Council for approval after the assessment roll is prepared or at the assessment hearing. Staffhas confirmed the total of trunk water charges and the trunk oversizing costs with SPUC, at the time of this memo. During the course of the project, additional work was requested and done for property owners for the future possibility of subdividing their property. Any assessment cost for future subdividing of property was assessed to that property that benefits. AL TERNATIVES: 1. Adopt Resolution No. 5934. 2. Deny Resolution No. 5934. 3. Adopt Resolution No. 5934, with Council modifications. 4. Table for additional information. RECOMMENDATION: Staff recommends Alternative No.1, to adopt Resolution No. 5934, declaring the cost to be assessed and ordering the preparation of proposed assessments for Sarazin Street and Valley View Road improvements, Project No. 2001-5, with a public hearing to be held on September 16, 2003 if Resolution No. 5934 is approved. ACTION REQUESTED: Offer Resolution No. 5934, A Resolution Declaring the Costs to be Assessed and Ordering the Preparation of Proposed Assessments for Sarazin Street, from Mooers A venue to Valley View Road; and Valley View Road, from Sarazin Street to the East Plat Line of Pheasant Run 6th Addition, Project No. 2001-5 and move its adoption. ~t1 Bruce Loney Public Works Direc or BUpmp MEM5934 RESOLUTION NO. 5934 A Resolution Declaring The Costs To Be Assessed And Ordering the Preparation Of Proposed Assessments For Sarazin Street, From Mooers Avenue To Valley View Road; And Valley View Road To The East Plat Line Of Pheasant Run 6th Addition Project No. 2001-5 WHEREAS, a contract has been let for the construction of Sarazin Street, from Mooers A venue to Valley View Road; and Valley View Road to the east plat line of Pheasant Run 6th Addition installation of sanitary sewer, watermain, stonn sewer, street reconstruction, bituminous paving, curb & gutter, concrete sidewalk, bituminous trail, street lighting and any appurtenant work as described in the feasibility report , and the contract price for such improvements was $1,290,092.88, and the final contract price for such improvement is $1,328,129.01, and the expenses incurred or to be incurred in the making of such improvement amounts to $681,861.43, so that the total cost of the improvements will be $2,009,990.44. Of this cost the City of Shakopee will pay $639,011.41 as its share of the cost, and the Shakopee Public Utility Commission will pay $30,499.67 as its share of the cost. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SHAKOPEE, MINNESOTA: 1. The cost of such improvement to be specially assessed is hereby declared to be $1,340,479.36. 2. The City Clerk, with the assistance of the City Engineer, shall forthwith calculate the proper amount to be specially assessed for such improvement against every assessable lot, piece, or parcel of land within the district affected, without regard to cash valuation, as provided by law, and keep a copy of such proposed assessment in her office for public inspection. 3. That the City Clerk shall, upon the completion of such proposed assessment, notify the City Council thereof. BE IT FURTHER RESOLVED: 1. That a hearing shall be held on the 16th day of September, 2003, in the Council Chambers of City Hall at 7:00 P.M. or thereafter, to pass upon such proposed assessments and at such time and place all persons owning property affected by such improvements and proposed assessments will be given an opportunity to be heard with reference to such assessment. 2. That the City Clerk is hereby directed to cause a notice of the hearing on the proposed assessment to be published once in the official newspaper of the City of Shakopep. ~t Je::l~t two wp.p.k~ prior to the hearing aud she shall state in the notice the total cost of the improvements. She also shall cause mailed notice of such hearing to be given to the owner of each parcel described in the assessment roll not less than two weeks prior to the hearing. Adopted in session of the City Council ofthe City of Shakopee, Minnesota, held this day of ,2003. Mayor of the City of Shakopee ATTEST: City Clerk ~ i Ii Ii ~ ~ ~ 1 i i: I' ii SARAZIN STREET FROM MOOERS AVENUE TO VALLEY VIEW ROAD i AND VALLEY VIEW ROAD FROM SARAZIN STREET TO EAST PLAT LINE 1 OF PHEASANT RUN 6TH ADDITION Ii Ii Ii FINANCING SUMMARY (July 31,2003) I! ~ SANITARY SEWER WATER MAIN SANITARY ! (NO SANITARY (NO WATER & WATER ADDITION ~OTALS ROADWAY ROW STREET LIGHTING SIDEWALK SERVICES) SERVICES} SERVICES ITEMS STORM SEWER TRUNK WATER $ ii ASSESSED COSTS $ 746,225.44 $ 91.800.00 $ 21,000.00 $ 57,555.99 $ 109,916.18 $153,013.65 $ 15,035.67 $ 2,159.68 $ 112,111.45 $ 31,659.30 ~ 1,340,479.36 STATE AID FUNDS $ 484,948.70 $ 84,414.95 $ 21,000.00 $ 16,664.50 $ ~ 607,028.15 I Ii STORM SEWER TRUNK FUND $ 31,983.26 $ i 31,983.26 SPUC COSTS $ 30,499.67 $ 30,499.67 $ 1,231,174.14 $ 176,214.95 $ 42.000.00 $ 74.220.49 $ 109,918.18 $ 183,513.32 $ 15.035.67 $ 2,159.68 $ 144,094.71 $ 31,659.30 $ ~ 2,009.990.44 TOTALS !i NOTES: ~ 1. Assessed sidewalk cost is for sidewalk fronting development property only. Remainder of sidewalk Is not assessed. /] 2. Slorm Sewer Trunk Fund is for storm sewer oversizing. ~ I 3. SPUC costs are for watermain oversizing. i 4. Based on actual costs of project. ii I I Ii 5. Addition Items include AddiUonal Assessed Sidewalk ($1 ,035.50) and Additional Assessed Concrete Driveway ($1,175.80), Ii \ ~ Ii ~ I' ,I (, Ii l! I i: !I fr ~ Ji ! t I' I' ~ ~ ! ! I, I! 1 ! I :i r j. I' i [ I II i' ,I ~ ~ , ii f SARAZIN STREET FROM MOOERS AVENUE TO VALLEY VIEW ROAD Ii AND VALLEY VIEW ROAD FROM SARAZIN STREET TO EAST PLAT LINE ji OF PHEASANT RUN 6TH ADDITION r ji I FINANCING SUMMARY (July 8, 2002) J: f. " SANITARY i: '. & WATER r ROADWAY SIDEWALK SANITARY SEWER WATERMAIN SERVICES STORM SEWER TRUNK WATER TOTALS ~ ASSESSED COSTS $ 850,419.60 $ 60,267.38 $ 112,765.41 $ 164,858.54 $ 15,189.56 $ 105,932.98 $ 21,767.40 $ 1.3~1.200.87 it STATE AID FUNDS $ 524,936.03 $ 524,936.03 ~ STORM SEWER TRUNK FUND $ 24,386.16 $ i4.386.16 " i, ii SPUC COSTS $ 30,443.44 $ ~O.443.44 $ 1.375,355.63 $ 60,267.38 $ 112,765.41 $ 195,301.98 $ 15,189.56 $ 130,319.14 $ 21,767.40 $ 1,910,966.49 TOTALS ~ " Ii H NOTES: ~ 1. Assessed sidewalk cost is for sidewalk fronting development property only. Remainder of sidewalk is not assessed. ~ 2. Storm Sewer Trunk Fund is for storm sewer oversizing. ~ J. SPUC costs are for watermain oversizing. ~ ~ 4. Based on low bid received on June 25, 5% contingency and 25% indirect cost of project. ~ I' i! ~ I ~ ~ I! Ii j. Ii j! I ]j 1; i r ! CITY OF SHAKO PEE Memorandum TO: Mayor & City Council Mark McNeill, City Administrator FROM: Bruce Loney, Public Works Director SUBJECT: Valley View Road Improvement Project DATE: April 25, 2002 NON-AGENDA INFORMATIONAL ITEM: This memo is intended to update the City Council on the progress of the Valley View Road Project and updated costs associated with this project. Previously, the City Council authorized eminent domain proceedings to acquire the necessary right-of-way to build the improvement project. Staff is working with Bolton & Menk, Inc. to complete the design for this improvement project and an informational meeting is going to be held on the plans with the property owners on April 29, 2002, beginning at 6:30 P.M. at City Hall. On the right-of-way acquisition process, the City Attorney has indicated that they intend to file this week for the condemnation petition, which then the City would be able to obtain the property within 90 days of the filing for quick take condemnation. This would place the taking possession date of the property near the end of July of this year. Staff will present right-of-entry agreements to the various property owners in order to obtain an earlier start with the project. It appears that for this project to be built this year, it will be done in late July, August, September and October. Staff is also asking Bolton & Menk, Inc. for a new cost estimate, based on new soil borings that indicate greater soil correction than previously estimated in the feasibility study and current bid prices. A new cost estimate has been determined based on the plans to date and the costs are as follows: .-- Street Construction $1,080,000.00 Sanitary Sewer $ 106,215.00 Watermain $ 185,495.00 Storm Sewer $ 104,670.00 Construction Costs $1,476,380.00 Plus 5% Contingency and 20% Indirect Cost $ 383,858.00 Total Construction Costs $ 1,860,238.00 Plus Right-of-Way Costs , $ 195,000.00 Estimated Project Costs $2,055,238.00 The feasibility report had a total cost of $1,794,169.48. Staff has analyzed the feasibility report to this current estimate and finds the price increases are in the following three areas: 1. Additional right-of-way costs of $137,000.00 to $195,000.00, due to increase of land costs and additional right-of-way needed to relocate Shakopee Public Utilities overhead power lines. 2. Increased costs from 2000 bid prices in the feasibility report to 2002 bid prices. It is estimated that approximately $100,000.00 of the increased costs is attributed to increased bid prices over the last two years. 3. Additional soil correction needed to correct the soil on Valley View Road and this cost is estimated to be an additional $100,000.00. These three items total $260,000.00, which is the increase over the feasibility report estimate. These increased costs will be approximately 14%. over the feasibility report study estimate. Staff will need to run an additional analysis to determine how much of these additional costs will be the City's for the construction of a collector street, versus costs that are assessable to the local street equivalent. It is staffs intent to update the Council on this project, to continue to move forward on the design and property acquisition, and to notify the property owners on April 29, 2002 of project costs increases that are estimated at this time. These costs will not be fully known until bids are taken sometime in June or July. If there are any questions in regard to this memo, please feel free to contact me in my office. -- 4[!;r Public Works Director BUpmp INFORMATIONAL .. SHAKOPEE March 31, 2003 Merle & Kristine Theis 1898 Valley View Road Shakopee,~ 55379 RE: Agreement of Special Assessment Dear Mr. & Mrs. Theis: Please find enclosed an agreement of special assessments between the City of Shakopee and yourselves for the Valley View Road Project, as prepared by Jim Thomson, City Attorney. This agreement allows the property owner and the City to agree on the special assessment including a reduction in the special assessment, reduction in interest rate and a reduction in future trunk sanitary sewer charges, if applicable. With this agreement, you would be waiving your right to appeal the special assessment. Please review this agreement and if you have any questions in regard to this agreement, feel free to contact me at Shakopee City Hall. Sincerely, ~dLuJ 4r~ Bruce Loney, P. . Public Works Director Cc: Jim Thomson, City Attorney Mark McNeill, City Administrator COMMUNITY PRIDE SINCE 1857 129 Holmes Street SOllth . Shakopee. Minnesota. 55379-1351 . 952-233-3800 . FAX 952-233-380 J . \\ww.ei.shukopee.ll1n.us . This space reserved for recording purposes AGREEMENT RE PAYMENT OF SPECIAL ASSESSMENTS This Agreement is entered into as of , 2003 by and between the City of Shakopee ("City"), Merle E. Theis and Kristine L. Theis ("Theis"). RECITALS A. The Theis are the owners of a parcel of land ("Property") located at 1898 Valley View Road East in the City. The Property's PID # is 27-917008-0 and the Property is approximately 1.44 acres in size. The legal description of the Property is contained on Exhibit A to this Agreement. B. The City is proposing to adopt special assessments on the Property with respect to the Valley View Road Improvement Project, City Project No. 2001-5 ("Project"). The amount of the proposed assessment on the Property is $15,000. C. The Theis disagree with the amount of the proposed assessment. D. The Theis and the City desire to enter into this Agreement to settle their dispute over the amount of the proposed assessment and to set forth the obligations of the respective parties with respect to payment of the special assessment and related matters. Now therefore in consideration of the mutual covenants and conditions set forth in this Agreement, the City and the Theis agree as follows: 1. The Recitals are true and correct and are incorporated by reference into this Agreement. JJT-220835v2 SH155-10S . 2. The City will reduce the amount of the special assessment on the Property to $10,000. The City wi111evy that amount on the Property, and the Theis will pay that amount in the manner required by state law and the City's ordinances and regulations. 3. The Theis waive notice of hearing and waive the right to the hearing required by Minnesota Statutes, Section 429.031 on the $10,000 special assessment to be levied on the Property. 4. The Theis waive any and all rights to appeal or otherwise contest or challenge the levying of the $10,000 special assessment against the Property, including but not limited to the right to challenge whether the increase in fair market value resulting from the Project is at least equal to the amount of the Project cost that is being assessed against the Property and that such increase in fair market value is a special benefit to the Property. The Theis further agree that any requirements of Minnesota Statutes, Chapter 429 with respect to the adoption or levying of the special assessments are waived to the extent that those requirements are not met. S. The Theis covenant and agree to pay the City the principal amount of$3,SOO plus interest at the time that the Property is connected to public sanitary sewer. Simple annual interest shall accrue on the principal amount at an annual rate of 1.5% less than the annual interest rate that the City pays on the bonds that will be issued to finance the Project. Interest will accrue from the date of this Agreement until the date that the Property is connected to public sanitary sewer. 6. The covenants, waivers and agreements contained in the Agreement shall run with the Property and shall bind future owners of the Property and the heirs, successors and assigns of the Theis. It is the intent of the City and the Theis that this Agreement be recorded as a part of the land records of Scott County, Minnesota. 7. At the time that the Property is connected to public sanitary sewer, the City's per acre trunk sanitary sewer fee that is in effect at that time will be calculated based on the Property being 0.75 acres in size, not 1.44 acres. 8. Nothing in this agreement is intended to affect any other payments that might be due to the City, or any other governmental entity, at the time that the Property is platted, subdivided, or connected to public sanitary sewer. JJT-220835vl SH155-105 2 . City of Shakopee By Its Mayor By Its City Administrator By Its City Clerk STATE OF MINNESOTA ) ) ss COUNTY OF SCOTT ) The foregoing instrument was acknowledged before me this day of , 2003 by William P. Mars, Mayor; Mark McNeill, City Administrator and Judith S. Cox, City Clerk of the City of Shakopee, Minnesota, on behalf of said City. Notary Public, My Commission Expires: ~~/CL ;;?ii:~ Merle E. Theis i.,J. ".-;l.....:t1' ""'A'-I.-'._~-"",;:;::. . &\..t,tv"J ~ I '.ItA _.,~~-' Kri~tine L. Theis STATE OF MINNESOTA ) ) ss COUNTY OF SCOTT ) The foregoing instrument was acknowledged before me this t{ 1t1day of M It r ' 2003 by Kristine L. Theis and Merle E. Theis. ~...;;....-:.----' ~; Notary Public, c.( My Commission Expires: .IAN, ) 1..-'/ )...oo? JJT..22083Svl SH1S5.10S 3 Mar-26-03 12:26pm From-Kennedy & Graven +tili:;;lH\l;;lIU 1-10' r.uU.:l/UU.I I 11"1 ~ EXHIBIT "A" That part of the West One-Half of the Southwest Quaner (Wlh SW1,4.), Section 17, Town..-;hip 115 Range 22, Scott County, Minnesota described as follows: commencing at the Southwest comer of said West One-Half of the Southwest Quarter (WI):. SW\A.); thence North along the West line of said West One-Half of the Southwest Quarter f'Nl/-;, SW~) a distance of 1,395.0 feet, more or less, to its intersection with the center line of a township road; thence South 73 degrees 23 minutes East along said center line a distanee of 481.90 feet; thence South 9 degrees 37 minuteS West a dist3I1ce of 292.15 feet to the point of beginning of the tract of land to be described; thence North 89 degrees 47 minutes East a distance of 169.3 feet; thence South 19 degrees 19 minutes West a distance of 117.46 feet; thence North 85 degrees 00 minutes 14 seconds West a distance of 147.51 feet; thence North 9 degrees 37 minutes East a distance of 98.75 feet to the point of beginning. AND That part of the Southwest Quarter of the Southwest Quarter (SW'A. SWIll) of Section 17, Township 115 North, Range 22 West, more particularly described as follows: Commencing at the Southwest comer of Section 17, Township 115, Range 22; thence North along the West line of said Section 17 1,395.0 feet, more or less, to its intersection with the centerline of a township road; thence deflecting right 106 degrees 37 minutes, 481.90 feet along centerline of said tOwnship road to the actual point of begiIll1ing; thence continuing the same direction along the centerline of said road, 208.70 feet; thence deflecting right 92 degrees 42 minuteS, 240.10 feet; thence deflecting right 70 degrees 28 minutes, 169.30 feet; thence deflecting right 99 degrees 50 minutes, 292.15 feet, more or less, to the point of beginning. J7-tl/?-tJtJf-tJ TOGETHER with an easement for ingress and egress over and across the following described property: That part of the West One-Half of the Southwest Quarter (Wl/2 SW lA), Section 17, Township 115 Range 22, Scott Connty, Minnesota described as follows: A strip of land 16.50 feet in width lying 8.25 feet either side of the following described line: Commencing at the Southwest corner of said West One-Half of the Southwest Quarter (W1J2 SWJA); thence North along the West line of said West One-Half of the Southwest Quarter (W1f2 SW~) a distance of 1,395.0 feet, more or less, to its intersection with the centerline of a township road; thence South 73 degrees 23 minutes East along said centerline a distance of 481.90 feet; thence South 9 degrees 37 minutes West a distance of 158.00 feet to the beginning of the centerline to be described; thence South 39 degrees 47 minutes East a distance of 15.00 feet; thence North 39 degrees 47 minutes West a distance of 118.58 feet; thence North 29 degrees 12 minutes West a distance of 100 feet, more or less, to the right of way of the aforementioned township road and there terminating. . - ... .. . .. -. ~ .. .'. 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