HomeMy WebLinkAbout13.C.1. Ordering an Improvement and Preparation of Plans and Specifications for the CR 69 Utility Improvement Project No 2011-6-Res. No. 7122 t,
CITY OF SHAKOPEE
Memorandum
TO: Mayor & City Council
Mark McNeill, City Administrator
FROM: Bruce Loney, Public Works Director
SUBJECT: Consider Ordering the Preparation of Plans and Specifications for the
CSAH 69 Utility Improvements
DATE: October 4, 2011
INTRODUCTION:
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This item was tabled from the September 20, 2011 public hearing on ordering sanitary
sewer and water utility improvements on CSAH 69, from Apgar Street to Scott Street.
BACKGROUND:
The City Council of Shakopee held a public hearing on the proposed project to extend
sanitary sewer and water utilities to properties along CSAH 69, from Apgar Street to
Scott Street. After the hearing was closed, action on Resolution No. 7122 was tabled for
staff to research and present options for assisting impacted property owners with the cost
of this project.
In review of the options to assist property owners, staff has the following options for
Council to consider, and it should be noted that a final decision on these options do not
need to be made now, but at the time when assessments are back before the Council:
1. Perform a benefit appraisal on parcels to determine benefit to the property versus
the cost of the assessment. The cost of benefit appraisals range from
approximately $5,000.00 to $8,000.00 per parcel.
2. Perform an inspection to check existing on -site systems and determine their
condition and remaining value. This value could be given as a credit against the
assessments. Cost of this inspection and evaluation is approximately $1,000.00 to
$2,000.00.
3. Waive the City Sewer Availability Charge (SAC) fee. This fee was established to
pay for the Chaska - Shakopee Interceptor and is usually charged to parcels in the
developing areas of the City. City SAC is $475.00 per unit.
4. Use Metropolitan Council Environmental System SAC credits for these
properties. The 2011 SAC rate is $2,230.00 and 2012 SAC will be $2,365.00.
The City received over 1500 SAC units when Rahr Malting came off line. The
use of these credits to obtain a waiver of assessment appeal could be considered a
good use of MCES SAC credits.
5. Extend the assessment term from 10 years to 15 years to allow for lower annual
payments in paying off the assessment.
Staff will present these options to the Council for consideration and direction. Staff has
contacted Rahr Malting and Total Rental representatives and they are still in favor of the
project. The question for the City Council is whether to proceed with a sewer and water
project, within the CSAH 69 project, and at what cost to the benefitting properties.
Staff would recommend that any option in assisting property owners would be done with
the understanding that a waiver of assessment appeal be signed by the property owners.
Staff would also recommend that whatever options are approved by the Council, should
be made available to each of the three affected property owners.
In review of the options to assist in the cost, staff would recommend Option No. 2 —
performing an inspection on the property to determine if any salvage value exists with
existing on -site septic systems and on -site wells and Option No. 3 and No. 4. Option No.
5 — for a large assessment term can be considered in the assessment hearing stage.
In a review of the existing sites, staff obtained the following information:
1. Rahr Malting/Old CH Carpenter building — the existing well is sealed, no records
exist from the County on any septic system.
2. Total Rental building — no records, owner has been in building since 1976 and no
change in well or septic system according to current owner.
3. Mike's Repair Shop and Power Shop building — 1984 septic showing two tanks
and a drainfield. No records found on well installation.
ALTERNATIVES:
1. Adopt Resolution No. 7122, A Resolution Ordering the Improvement and the
Preparation of Plans and Specifications for the CSAH 69 Utility Improvements,
Project No. 2011 -6.
2. Provide staff direction on the options desired to assist property owners in the cost
of sewer and water extensions.
3. Table for more information.
RECOMMENDATION:
Staff believes extending sewer and water to these parcels, with the CSAH 69
Reconstruction Project, is the proper alternative. Providing staff direction in which
options to provide property owners is in order as well.
ACTION REOUESTED:
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1. Offer Resolution No. 7122, A Resolution Ordering an Improvement and
Preparation of Plans and Specifications for the CSAH 69 Utility Improvements,
Project No. 2011 -6 and move its adoption.
2. Provide staff direction on which options to consider in assisting property owners
with the cost of sewer and water in this area.
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: ruce Lon-.
Public Wor s Director
ENGR / 2011 - PROJECTS /CSAH69- UTILITY/WORD/MEM7122- ORDER- PLANS - SPECIFICATIONS
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RESOLUTION NO. 7122
A Resolution
Ordering An Improvement And Preparation Of
Plans And Specifications For The
CSAH 69 Utility Improvements
Project No. 2011 -6
WHEREAS, Resolution No. 7112 adopted on August 16, 2011, fixed a date for Council
hearing on the proposed improvement of the CSAH 69 Utility Improvements Project and all
appurtenant work; and
WHEREAS, ten days published notice of the hearing through two weekly publications of
the required notice was given and the hearing was held on the 20th day of September, 2011, at
which all persons desiring to be heard were given an opportunity to be heard.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SHAKOPEE, MINNESOTA:
1. That the improvement is necessary, cost effective and feasible and is ordered as
hereinafter described:
CSAG 69 Utility Improvements Project and all appurtenant work.
2. Bruce Loney, Public Works Director, is hereby designated as the engineer for this
improvement. He shall prepare plans and specifications for the making of such improvements.
3. The work of this project is hereby designated as part of the 2011 -6 Public Improvement
Program.
4. The City Council shall let the contract for all or part of the improvements as authorized
by Minnesota Statutes 429.041, no later than three years from the date of adoption of this resolution.
Adopted in session of the City Council of the City of Shakopee,
Minnesota, held this day of , 2011.
Mayor of the City of Shakopee
ATTEST:
City Clerk
ENGR/2011 -PRO TS /C AH6 - - R RD 122 RD GPO
JEC S 9 UTII.TTY A9' OVEMENTfS/WO /RES7 -0 ERSN R JEC T