HomeMy WebLinkAbout3.D. Approval of Use of SAC Credits for CR 69 Utility Construction 3.D.
CITY OF SHAKOPEE n � � �� vrws
Memorandum
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TO: Mayor & City Council
Mark McNeill, City Administrator
FROM: Bruce Loney, Public Works Director
SUBJECT: SAC Credits for CR 69 Sanitary Sewer Project
DATE: July 31, 2012
ACTION SOUGHT:
For City Council to approve the concept of granting SAC credits and waive the City SAC
fee in exchange for a waiver of assessment appeal on three parcels associated with CR 69
utility project.
INTRODUCTION:
CR 69 Project is underway and sewer is being extended to three parcels. Some property
owners are interested in connecting to sewer soon.
BACKGROUND:
On September 20, 2011 City Council adopted Resolution No. 7122, ordering a sanitary
sewer and water extension project No. 2011 -6. Chard Tiling & Excavating, Inc. was
awarded the contract to CR 69 Improvements and has started in April, 2012. The
estimated cost of sewer and water improvements will be lower than estimated in the
feasibility report based on the bid received from Chard.
The sanitary sewer and water lines will be completed soon and Mike's Repair Shop has
indicated a desire to connect to sewer and water.
Previously, Council has indicated a willingness to grant Sewer Availability Charge
(SAC) credits to these parcels. Staff believes that if SAC credits are to be granted, the
City should get a waiver of assessment appeal.
Staff's proposal would be for granting SAC credits ($2,365 / unit) and waive the City's
SAC ($475 / unit) if the property owner signs a waiver of assessment appeal.
Jim Thomson, City Attorney can prepare this waiver for the property owner to sign and
the City does not have to sign.
City Council would need to approve the granting of SAC credits, waiving the City SAC if
a waiver of assessment appeal is granted by the property owners.
DISCUSSION:
To decide if SAC credits should be granted to these commercial properties.
ALTERNATIVES:
1. Approve a motion granting Metropolitan Council Environmental Services
(MCES) SAC credits and waiving of City SAC fees if a waiver of assessment
appeal is received from property owners associated with the CR 69 Utility
Improvement Project No. 2011 -6.
2. Do not approve granting SAC credits.
3. Approve a motion granting SAC credits and waiving of City SAC fees without a
waiver of assessment appeal.
4. Table for additional information.
RECOMMENDATION:
Staff recommends Alternative No. 1.
RELATIONSHIP TO VISIONING:
This supports Goal E: Deliver effective and efficient public services by a staff of well -
trained, caring, and professional employees.
ACTION REQUESTED:
Approve a motion granting Metropolitan Council Environmental Services Sewer
Availability Charge credits and waiving of City SAC fees if a waiver of assessment
appeal is received from property owners associated with the CR 69 Utility Improvement
Project No. 2011 -6.
ruce Nis
ey0 .
Public Works Director
ENGR/2011- PROJECTS /CSAH69- UTILITY- IMPROV EMENTS /WORD /2012SACCredits
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