IV.5. Approve Assessment of Private Water Line Repairs; BishopApri121, 2020 Council Report 2020-021
APPROVE ASSESSMENT OF PRIVATE
WATERLINE REPAIRS
Proposed Action.
Staff recommends that the Council approve the following motion: Move that the Ho kins Cit
Council ado t Resolution 2020-021 A. rovin � S ecial Assessment for Waterline Re airs on
Private Propertv_.
Overview:
As part of a leak detection survey a homeowner was required to have their waterline replaced.
The homeowner is required to make the repair based on Hopkins City Code. Following receipt
of estimated repair costs the homeowner signed an agreement on March 25, 2020 petitioning the
City to do the repairs and waiving their right to object to the assessment. The repairs were
completed at a total cost of $7,500. As part of the agreement a 10 year assessment at 4% was
proposed and agreed to.
Hennepin County requires the City to take specific action placing the assessment on the taxes.
This resolution accomplishes that requirement.
Supr�ortin�: Information:
� Resolution 2020-015
,
, ���� r .t r�s ���
�
Melanie Ortiz
Accounting Technician
Financial Impact: $� 7 500.00 Budgeted: Y/N N X
Source: �ropertv owner
Related Documents (CIP, ERP, etc.): Notes:
CITY OF HOPHINS
HENNEPIN COUNTY, MINNESOTA
RESOLUTION 2020-015
Approving Special Assessment for
Waterline Repairs on Private Property
WHEREAS, On March 25, 2020 the owners of property at 25 12th Ave N, Hopkins, MN and
identified as 24-117-22-31-0050 signed an agreement petitioning for repairs to be
done to their private waterline; and
WHEREAS, the owner has insufficient funds to repair the waterline; and
WHEREAS, the City as a program whereby the owner has the ability to petition the City to do
the repairs and have the cost assessed to their taxes; and
WHEREAS, as part of the agreement the owner waives their right to object to the assessment,
NOW THEREFORE BE IT RESOLVED, that the City Council of the City of Hopkins hereby
orders the assessment of $7,500 to be placed on the taxes of the property listed above for a 10
year period with an interest rate of 4%.
Adopted by the City Council of the City of Hopkins this 21 St day of April, 2020.
By:
Jason Gadd, Mayor
ATTEST:
Amy Domeier, City Clerk
H�P�IN�
MINNESOTA
Dear Homeowner:
The City of Hopkins is sorry to hear that you have to repair or replace your water and/or
sewer service connection to your home. In order to assist you better, a program has
been developed where you may long-term finance the cost of the work through the City
via a special assessment against your property.
How does the program work?
1) The homeowner obtains quotes from appropriately licensed, insured and bonded
contractors to perform the work.
� The homeowner selects a contractor that represents the lowest responsible quote
and presents the dollar amount and contractor information to the Utilities
Division of�ice.
• The homeowner informs the contractor that they are requesting funding
by the City's Special Assessment Program.
3) The Utilities Division will prepare a Special Assessment Agreement (sample
attached) and the homeowner will sign and notarize the Special Assessment
Agreement. The final Special Assessment Agreement amount may be adjusted if
the actual work costs exceed the quoted costs. Justification of the adjustment
must be reviewed by the Superintendent of Utilities.
4) Upon compleiion ofrepair/replacement, the Inspection Department will inspect
the work completed and perform a final inspection report.
5) The homeowner will present a copy of the final inspection report and a lien
waiver (or sworn construction statement) from the contractor to the City for
processing ofthe Special Assessment Agreement.
6) The Utilities Division submits the Special AssessmentAgreement to the City
Council for final approval.
• After Council approval, the City pays the contractor the final cost of the
work and levy's the cost of the work against your property over a period of
loyears (a special assessment).
7) You pay back the City, with interest, when you pay your property taxes. You may
pay the total amount assessed at any time during the assessment period.
What term and interest rate does the City require?
The expense is spread over ioyears. The interest rate assessed forwork complete with a
simple interest rate of 4.00%.
For further questions, please feel free to contact:
Sean Moilanen, Superintendent of Utilities 952-548-6353
Nate Stanley, City Engineer 952-548-6356
Melanie Ortiz, Assessing Admin 952-548-6310
CITY OF HOPKINS
AGREEMENT CONCERNING SPECIAL
ASSESSMENT FOR WATER OR SEWER REPAIRS
OR REPLACEMENT
AGREEMENT made as of March 25, 2020 between the City of Hopkins, a Minnesota
municipal corporation ("City") and Susan H. Undis & Stephen J. Undis ("Property Owners'�,
concerning special assessments for sewer repairs or replacement on property located at 2512�'AveN,.
Hoplci� Minnesota.
The City and the Property Owners agree as follows:
l. Property Owners. The Property Owners, Susan H. Undis & Ste��hen J. Undis, are empowered
to execute the waivers and consent contained in this Agreement.
2. Subject Property. The Property Owners are the fee owners of the property located within
Hennepin County, Minnesota and legally described as:
PID : 24-117-22-31-005 0
Purpose of Agreement. Pursuant to Minnesota Statutes, Chapter 429 the Property Owners petitioned
the City on March 25. 2020 to specifically assess the cost for the water and/or sewer service line
repair. The petition is incorporated into this agreement by reference.
4. The Improvement Project. The water or sewer service line repair is in conformance with the
plans and specifications as approved by the Hopkins Public Works and Inspections Departments.
5. Responsibility. The Property Owners shall assume all responsibility for water or sewer service
line, including all obligations under the construction contract for such work. The Property Owners
shall obtain lien waivers from all contractors or subcontractors involved with the Construction
Contract.
6. Amount to be Assessed. The total cost of the project, based on the lowest responsible proposal, is
$7,500, will be assessed against the Benefited Property. The assessed amount may be modified to
reflect final total cost.
7. Waiver. In connection with this improvement, the undersigned agree to waive and do waive any
and all rights to a public hearing and rights to any notice, whether provided by
Minnesota Statutes, Chapter 429, or by any other statute or by ordinance, City Charter, the
constitution, or common law. The Property Owners further waives any and all substantive and
procedural objections to the improvement and special assessment and stipulates that the benefit to
the property exceeds the amount of the special assessment.
8. Waiver of Right of Appeal. Each party to this agreement agrees to waive and does waive any and
all rights to an appeal from the special assessment set forth above, whether as provided by
Minnesota Statutes, Chapter 429, or by any other statute or by ordinance, City Charter, the
constitution, or common law. The special assessment is deemed adopted on the date the city signs
this agreement.
4�=�
9. Implementation. Each party to this agreement agrees to execute any other documents upon request
of the City necessary to implement the waivers of notice, hearing or right of appeal for the special
assessment for the improvement project.
10. Payment. The Property Owners agrees to pay the City for the cost of the above improvements in
accordance with the following terms:
a. The assessment shall be paid in equal installments over 10 years (maximum is 10 years) at
4.00% and in accordance with all provisions of the city policy for special assessments for service
line repairs.
b. The first payment shall be payable with the 2021 real estate taxes.
11. Indemnification. The Property Owners shall indemnify and hold harmless the City and Its officers,
agents, and empioyees from and against all claims, damages, and losses, or expenses, including
attorney fees, which may be suffered or for which they may be held liable, rising out or resulting
from the assertion against them of any claims, debts, or obligations in consequence of the
perfolmance of this agreement by the City, its employees, agents, or subcontractors.
12. Certifieation of Ownership. The Property Owners certify that they are the sole fee simple owners
of the property described in Paragraph 2 above, and has the power and authority to enter into this
Agreement.
13. Right of Reeord. It is agreed that the City may record this document in the chain of title of the
benefited property legally described above.
14. Payment. The Property Owners agree that, after the City has completed the required inspections and
has determined that the installation of the sewer service line repair is in conformance with the
applicable City ordinances and State laws, the Property Owners will provide the following
documents to the City to allow the City to process payment of the $7,500, amount to be paid for the
installation of the sewer service line repair on the Benefited Property:
a. A contractor's construction statement identifying the agreed amount to be paid; and
b. The City's Final Inspection Report; and
c. A contractor's lien waiver; and
d_ Property owner's written authorization for City to pay contractor directly.
15. Successors and Assigns. This agreement shall be for the benefit of and be binding upon the Successor,
heirs, executors, administrators, and assigns ofthe parties. Further, the Property Owners agree to
specifically notify all successors or assigns of the existence of this agreement prior to any transfer, sale,
or assignment of the above-described premises.
This agreement has been entered into as of the_ _ day of
Attest:
Amy Domeier, City Clerk
STATE OF MIl�INESOTA
COUNTY OF HENNEPIN
)
}SS
)
City of Hopkins
Jason Gadd, Mayor
By: _
Michael J. Mornson, City Manager
20 .
The foregoing instrument was acknowledged before me this day of
, 20 , by Jason Gadd, Mayor and Michael Mornson, City
Manager, of the City of Hopkins, a Minnesota municipal corporation, on behalf of said
municipal corporation.
PROPf=RTY OWNEI �c :
� ; � �J �� �_ -�
1 ��---� ��
(Sign) Susan H. Undis
STATE OF MINNESOTA )
� �S
COUNTY OF HENNEPIN )
Notary Public
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(Sign) 5tephen' J. Undis
The foregoing instrument was acknowledged before me this �! day of
��t11,ri� , 20�, by � EN N 1 r�C� V N�DI S
� '�=�¢ JENNIFERjEAN UNDIS __
,s �;■����E Natary Public, State ofMinnesota : No ary Public
�K '�'`�'� � My commission expires 31 /anuaryzoz2
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