05-14-91 ws_ _, ; a
Y' ~ ~" M 1 N UTES O F TH E MAY` 14, 1991
COUNCIL WORKSESSION
The Hopkins City Council held a worksession in the Council Chambers of
Hopkins City Hall on May 14, 1991 at 7 p.m. Present were Mayor Berg;
Councilmembers; Chuck Kritzler, Chuck Redepenning, Bob Anderson and
Jim Shirley. Also present were City Staff: City Manager Steve
Mielke, Community Development Director Tom Harmening, Public Works
Director/Engineer Lee Gustafson, and Engineering Supervisor Jim
Gessele.
I. PUBLIC HEARING - ASSESSMENTS FOR THE MAINSTREET PROJECT
This hearing was for the Mainstreet Improvement Project which extends
from 5th Avenue to Shady Oak Road.
Dick Koppy, Project Manager gave a'brief presentation. He listed the
events which preceded the hearing as follows:
- May, 1988 - A Commercial Market Study was prepared by
Laventhol and Horwath which found that the Mainstreet
business environment needed improved accessibility, better
short term on-street parking, and enhanced street amenities
to better serve the existing convenience orientated shopping
behaviors.
- May 1989 - The City's Comprehensive Plan revised in 1989
contains a section on the revitalization of the downtown CBD
area.
- May 1989 - A Mainstreet Improvement .Concept Study was
presented to the City Council
- January 1990 - The City received a petition from property
owners and business people between 6th Avenue and 12th
Avenue adjacent to Mainstreet requesting improvements to
Mainstreet.
March, 1990 - The City Council ordered the preparation of a
Feasibility Study for the Mainstreet improvement project.
August 1990 - The completion of the Engineering Feasibility
Study was accomplished.
- September, 1990 - The City Council conducted a public
hearing on the proposed project.
- November, 1990 - The City Council authorized the detailed
design process to commence.
- December, 1990 - The Design Review Committee is organized
and the first of 10 meetings is held to discuss elements of
the detailed design.
- March 1991 - The City Council receives the f final design
plans, specifications and cost estimate and directs the
advertisement for bids.
~- April 16, 1991 Bid tabulations results are brought to the
City Council. The City Council directs staff to schedule
the assessment hearings.
- April and May, 1991 - Property owner meetings are held with
the property owners along Mainstreet who are proposed to be
assessed for part of the project.
- May 14, 1991 - Mainstreet Assessment Hearing.
In meetings with the property owners, the following concerns were
found
1. Many of the property owners in Segment Three and Segment
Four felt that it was unfair to assess the utility work when
the extent of the necessary repairs are unknown.
2. Several property owners questioned the fairness of the
assessment rates and the benefits that would be received by
the adjacent property.
3. There were several detailed design issues that were brought
up by the property owners that questioned the merits of the
construction plans.
4. Work activities on the side streets were questioned with
respect to the impact on the corner properties.
Mr. Koppy explained that 70% of the costs of the project are for the
refurbishment of the underground utilities, the installation of new
traffic control signals, and the paving/curbs/sidewalks of the street.
The remaining 30% of the project costs are for landscape amenities,
street lighting and the plaza at 9th Avenue.
The funding for the project is predominantly from funding sources
other than special assessments. Approximately 75% of the costs are
funded by Tax Increment Financing, Municipal State Aid, and the City's
Utility Fund. The remaining 25% are funded by front foot special
assessments and service replacement costs for the sanitary sewer and
water connections between the street and the buildings.
The assessments to property owners have been calculated as follows:
If the property adjacent to Mainstreet lies between 5th Avenue and
11th Avenue (Segment 3), the price is $63.20 per foot. If the
property lies between 12th Avenue and 20th Avenue (Segment # 4) the
price is $59.65 per foot. Assessments for the block between 11th and
12th Avenues are $61.50 per foot.
The utility assessments are based upon the actual costs of replacing
the sewer and water connections between the buildings and the utility
main lines in the street. Tax Increment Financing and Municipal
States Aid assistance of $250,000 resulted in utility assessment rates
being reduces from the full cost by approximately 45%. If a property
has a water service that needs to be replaced because it is a lead
pipe or in a deteriorated condition, the replacement cost is $1,405.
This cost includes a new copper water service from the main in the
street to the face of the building or the property line.
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The sanitary sewer replacement cost is $3,507. This cost includes a
new sanitary sewer line from the trunk sewer line in the street to the
building connection.
It has been very difficult to determine the replacement needs of the
properties along Mainstreet and the City does not have records of when
the services were" placed along Mainstreet. Therefore, it was
recommended that the assessment hearing to the utility service be
cancelled and reconvened when the exact details of the utility
assessment are available.
The Public hearing for utility services opened at 7:45 p.m.
The following comments were made by the public:
Jerry Wille, speaking for St. Joseph's Parish said they would like to
see what the sewer and water services look like before they are
assessed for replacement.
Francis Helmer, 1200 Mainstreet said his utilities come from 12th
Avenue and he should not be assessed.
Don Pagelkopf, 1715 Mainstreet said he already had copper connections.
He also said he is being assessed for a new sidewalk which he does not
have. He also feels that his property is over-valued.
Bernie Ostrow, 1714 Mainstreet said he already has copper connections.
He feels that segment 4 property owners should not be assessed for the
project until next year, since their part of the project will not be
started until next year. '
Paul Swanson, 1842 Mainstreet said his services come off 19th Avenue
and asked if the cost for replacement of services is to the property
line or to the building. He was told that the cost is to the property
line.
Brad Johnson, 1023 and 917 Mainstreet said that MSAS funds cannot be
used for utility hook-ups. He wanted to be assured that he would not
be charged more because MSAS funds cannot be used. Mr. Koppy
explained that the money for utility hook-ups would come from other
sources.
Council felt that property owners should be encouraged to upgrade
their water systems to allow for sprinkling the building. If this was
done when the project is underway, the cost would be much less than
having it done later. Mr. Koppy said they will let property owners
know what the extra cost would be to upgrade their water line to
accommodate sprinkling.
Mr. Redepenning moved and Mr. Kritzler second the motion to close the
public hearing. The motion carried. The hearing closed at 8:19
Mr. Redepenning moved and Mr. Shirley seconded the motion to delete
the utility portion of the assessment roll and to instruct staff to
notify the property owners of this change. The motion carried
unanimously.
Assessment hearing will be held when the exact details of the utility
assessments are available.
+.,
The hearing for street improvements opened at 8:20 p.m.
The following comments were made by the public:
Eunice Taylor, 1719 Mainstreet felt that they should not be assessed
until the project started in their area.
Paul Swanson, 1842 Mainstreet said he was told that they would be
installing curb and gutter on the 19th Avenue side of his property.
He does not wish to have a curb installed. He would like his customer
to be able to park in that area and feels it will take parking spaces
away. Staff was instructed to meet with Mr. Swanson to see what could
be worked out.
Mr. Swanson also felt that the project should not be assessed to his
area this year since the work will not start until next year.
Staff informed the property owners that, if the weather is right and
everything goes well, it is possible that the project will start in
segment 4 this year.
Mr. Wille, representing St. Joseph's church felt that assessment
should be delayed until the project begins in their area.
Mr. Anderson moved and Mr. Redepenning second the motion to continue
the public hearing to give staff time to look into some of the
concerns of the property owners. The motion carried.
II. ADJOURNMENT
Mr. Redepenning moved ~ r. Anderson seconded the motion to adjourn
th me ing. The adjourne,„~~.wby~~unanimous consent.
elson W. Berg, Ma
Councilmembers: