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CR 2004-067 Adot Assesment Roll cItY OF May 4, 2004 ~ Council Report 2004-067 HOPKINS . ADOPT ASSESSMENT ROLL 2004 STREET AND UTILITY IMPROVEMENT PROJECT PROJECT 03-10 Proposed Action Staff recommends the following motion: "Move that Council adopt Resolution 2004-036, Resolution Adoptinq Assessment Roll, 2004 Street and Utilitv Improvement Proiect, City Project 03-10." This action continues an assessable project for street upgrading. Overview The bid opening for the 2004 Street and Utility Improvement Project was held on March 24, 2004, Assessment calculations have been prepared based on the low bid submitted by Northwest Asphalt. At its April 6, 2004 meeting, the Hopkins City Council accepted the bids and considered the assessment roll for the street improvements on 1st Street North from 1ih Avenue North to 21st Avenue North. At the same meeting, the Council ordered an assessment hearing for the project to be held May 4, 2004. This assessment hearing sets in motion levying of assessments against benefiting properties. A public hearing notice has been published and mailed, along with an assessment statement to every affected property owner. As of this writing, no written objection contesting the proposed assessments has been submitted. Written objections to Council must be . submitted no later than the hearing date. Staff is recommending Adoption of the Assessment roll following the public hearing. Primary Issues to Consider . Appeal procedure and assessment policy . Project costs and assessments . Bid tabulation and analysis . Project schedule Supporting Information . Affidavit of mailing . Sample payment schedule . Notice of assessment hearing . Resolution 2004-036 . Assessment roll ,0- v~ \ VA-_ (" u..,._ -..., John M. nderson P.E., Assistant City Engineer e Financial Impact: $ 493,889,13 Budgeted: Y/N Yes Source: SA, PIR, Utilitv Funds Related Documents (CIP, ERP, etc,): CIP Notes: Council Report 2004-067 Page 2 . ANAL YSIS OF ISSUES . Appeal procedure and assessment policy: Property owners are given the opportunity to approach Council with their objections to the proposed assessments during the public hearing. Standard forms for written objections have been available at City Hall and need to be submitted no later than the hearing date. Staff has adhered to the City's legislative policy 8-8 concerning special assessment policies and formulas as they pertain to this project. The City Council recently revised legislative policy 8-8 to limit the number of street assessments a residential property can be assessed within a 10 year period to two. This assessment does not exceed that limit on any of the properties shown on the assessment roll. The calculation of the assessment rate is as follows: Assessment Rate = (Assessable roadway project cost * 70%) / Assessable frontage $20.13 per FF = ($250,611.88 * % 70) /8714.77 feet 1 st Street North will have 70% assessment of street reconstruction costs for the benefiting parcels . on the block north and south of the street, in accordance with assessment formula 11.03.1 of the City assessment policy. No assessments are proposed for the utility improvements. . Project costs and assessments: Based on the low bid, engineering costs, admin/legal fee, the total estimated project cost is $493,889.13. Project costs are $154,226.4 less than the preliminary costs estimated in the Feasibility Study. The assessable amount for this project is $175,428.33. Assessments have gone down significantly from the preliminary numbers distributed in the pending assessments. The Final assessment rate is $4.72 per foot less than the preliminary rates disclosed to property owners in the pending assessment notice. The interest rate set by the City Council for this assessment is 7% and the payment period is 10 years. A sample payment schedule has been calculate and attached based on a 50 foot lot and the assessment rate of $20.13 per front foot. As described in the assessment notice sent to residents, payments can be made to the assessment clerk within 30 days of adoption of the assessment roll without any interest charges. The project is proposed to be funded through a number of sources beyond special assessments. The following is a breakdown summary of the funding for the project: Assessments: $175,428.33 PIR $ 79,033.66 . Water & Sanitary Fund: $ 42,799.71 Storm Sewer Fund: $196,627.43 TOTAL PROJECT COST: $493,889.13 Council Report 2004-067 Page 3 . Bid tabulation and analysis: Bidder Total Bid Northwest Asphalt $365,843.80 Richard Knutson $383,654,25 G.L. Contracting $385,163.60 Eureka Construction $395,335,00 Kusske Construction $409,692.00 Park Construction $419,834.34 S.R. Weidema $427,984.60 Bituminous Roadways $439,262.60 Dave Perkins Contracting $454,826,00 Friedges Contracting $492,669.69 Engineers Estimate $495,443.00 All bids were submitted with required bid security made by qualified contractors. Northwest Asphalt Inc. is a reputable and responsible contractor and has completed similar projects within the metro area. Staff expects to return to the City Council on May 18, 2004 to request award of the contract to . Northwest Asphalt Inc. Project Schedule: . Bid Opening March 24,2004 Accept Bids and Order Assessment Hearing April 6, 2004 Assessment Hearing May 5, 2004 Award Contract May 18, 2004 Construction Begins May I June 2004 Construction Ends September 2004 . ~ AFFIDAVIT OF MAILING ASSESSMENT HEARING NOTICE STATE OF MINNESOTA ) } SS. COUNCIL OF HOPKINS ) Terry Obermaier, being first duly sworn, deposed and says: I am a United States citizenr over 21 years of age, and the City Clerk of the City of Hopkins, Minnesota. On April 15, 2004r acting on behalf of the said city, I caused to be deposited in the United States Post Office at the City of Hopkins, Minnesota, copies of the attached notice of hearing on proposed assessments, 2004 Street and Utility Improvements Project, City Project No. 03-10, enclosed in sealed envelopes, with postage thereon fully prepaidr addressed to the following persons at the addresses appearing on the attached copy of the mailing list. ~ There is delivery service by United States mail between the place of mailing and the places so addressed. L-,' Subscribed and sworn to before me this 15th day of Aprilr 2004. / ~ "J/ , ___' 1, I' )' . I - / Llyl(/~/L-2..yL.L.- . / <L--7~"C-/ Notary Public Krn:ER!~JE K. SWENSON rw :A;1Y PUBLlC-MINNESOTA My Commission Expires Jan. 31, 2005 ~, e CITY OF HOPKINS Hennepin County, Minnesota NOTICE OF HEARING ON PROPOSED ASSESSMENT . 2004 STREET AND UTILITY IM:PROVEMENTS PROJECT CITY PROJECT NO. 03-10 23-117.124].(1001 DARLEY G MARCH GERMAINE MARCH 51 21ST AVE N HOPKINS, MN 55343 RE: PID #23-117-22-41-0001 - 51 21ST A VB N TO WHOM IT MAY CONCERN: Notice is hereby given that the City Council of the City of Hopkins, Minnesota will meet in the City Council Chambers, Hopkins City Hall, 10 I 0 1 s1 Street South, at 7:30 p.m., Tuesday, May 4, 2004 to pass upon the proposed assessment for the improvement of street reconstruction on 1 s1 Street North from west line of 17th Avenue North to the east line of 21 s1 Avenue North, including concrete curb and gutter installation and all necessary appurtenances pursuant to Minnesota Statutes, Section 429.011 to 429.111 (Laws 1953, Chapter 398, as amended). Following the hearing, the Council will decide whether any . adjustments in the roll are necessary. Adoption by the City Council of the proposed assessment may occur at the hearing. The following is the area to be assessed: Plat Name See ilm Rng QLQ Suffix RLS No. 0413 23 117 22 41 0001 through 0009 West Minneapolis Third Division 23 117 22 41 0011 through 0034 West Minneapolis Third Division 23 117 22 41 0037 through 0043 West Minneapolis Third Division 23 117 22 , 41 0045 through 0062 West Minneapolis Third Division 23 117 22 41 0065 through 0080 West Minneapolis Third Division 23 117 22 41 0083 through 0084 \Vest Minneapolis Third Division 23 117 22 41 0087 through 0097 West Minneapolis Third Division 23 117 22 41 0103 through 0104 West Minneapolis Third Division 23 117 22 41 0107 through 0110 West Minneapolis Third Division 23 117 22 41 0117 through 0131 West Minneapolis Third Division 23 117 22 41 0136 through 0152 West Minneapolis Third Division 23 117 22 41 0158 through 0165 West Minneapolis Third Division 23 117 22 41 0167 through 0168 West Minneapolis Third Division 23 117 22 41 0171 through 0173 West Minneapolis Third Division 23 117 22 41 0175 through 0176 . The proposed assessment is on file for public inspection at the office of the City Clerk. Written or oral objections will be considered at the hearing. The total project amount of the proposed assessment is $175,428.33. ,- - -..- Page 2 . The first installment will appear on the 2005 tax statement and shall include interest at the rate of 7% per year from the date of the resolution adopting the assessment roll until December 31, 2005. Assessments shall be payable in annual installments over a period of 10 years. If a property owner pays the full assessment on his or her property prior to November 30, 2004, interest due on that payment would be calculated to the date of payment. If such payment is made after November 30, 2004, interest will be charged to December 31, 2005. If a property owner pays his or her assessment in full from May 4,2004 to June 3, 2004, no interest will be charged. Such payment should be made to the Assessment Clerk at Hopkins City Hall, 1010 1st Street S, Hopkins, Minnesota 55343. Partial prepayment of the assessment in excess of 25 percent of the total assessment has been authOlized by ordinance. A partial prepayment can only be made prior to November 30,2004 with interest accrued to the payment date, except that no interest shall be charged on the partial payment if such partial payment is made by June 3,2004. You may appeal any assessment to the District Court pursuant to Minnesota Statutes Section 429.081 by serving notice of the appeal upon the Mayor or the City Clerk within 30 days after the adoption of the assessment roll and filing such notice with the Clerk of District Court within ten (10) days after service upon the Mayor or City Clerk. No such appeal as to the amount of an assessment as to a specific parcel of land may be made unless the owner has either filed a signed written objection to that assessment with the City Clerk prior to the hearing or has presented the written objection to the presiding officer at the hearing. e Under provisions of Minnesota Statutes Section 435.193 to 435.195 the City may, at its discretion, defer the payment of assessments for any homestead property owned by a person 65 years of age or older for whom it would be a hardship to make the payments. The procedures to apply for such deferment are available from the Assessment Clerk. Deferment applications should be submitted to the Assessment Clerk by May 4, 2004. BY ORDER OF THE CITY COUNCIL ~~~ Ten)' Obermaier, City Clerk City of Hopkins, Minnesota Publish: Hopkins Sun Sailor April 15 & 22, 2004 Dated: April 16, 2004 . CITY OF HOPKINS Hennepin County, Minnesota NOTICE OF HEAIUNG ON PROPOSED ASSESSMENT 2004 STREET AND UTILITY IMPROVEMENTS PROJECT . CITY PROJECT NO. 03-10 2":\-! 17-2.::!-41-0001 DARLEY G MARCH GERMAINE MARCH 5121STAVEN HOPKINS, MN 55343 RE: PID #23-117-22-41-0001 - 51 21ST AVE N TO WHOM IT MAY CONCERN: Notice is hereby given that the City Council of the City of Hopkins, Minnesota will meet in the City Council Chambers, Hopkins City Hall, 1010 1 sl Street South, at 7:30 p.m., Tuesday, May 4, 2004 to pass upon tbe proposed assessment for the improvement of street reconstruction on 15t Street North from west line of 17th A venue NOlib to the east line of 2151 Avenue North, including concrete curb and gutter installation and all necessary appurtenances pursuant to Minnesota Statutes, Section 429.011 to 429.111 (Laws 1953, Chapter 398, as amended). Following the hearing, the Council will decide whether any adjustments in the roll are necessary. Adoption by the City Council of the proposed assessment maYe occur at the healing. The follo\ving is the area to be assessed: Plat Name Sec Twp Rng QLQ Suffix RLS No. 0413 23 117 22 41 0001 through 0009 West Minneapolis Third Division 23 117 22 41 0011 through 0034 West Minneapolis Third Division 23 117 22 41 0037 through 0043 West Minneapolis Third Division 23 117 22 41 0045 through 0062 v.,r est Minneapolis Third Division 23 117 22 41 0065 through 0080 West Minneapolis Third Division 23 117 22 41 0083 through 0084 West Minneapolis Third Division 23 117 22 41 0087 through 0097 West Minneapolis Third Division 23 117 22 41 0103 through 0104 West Minneapolis Third Division 23 117 22 41 0107 through 0110 West Mimleapolis Third Division 23 117 22 41 0117 through 0131 West Minneapolis Third Division 23 117 22 41 0136 through 0152 West Minneapolis Third Division 23 117 22 41 0158 through 0165 West Minneapolis Third Division 23 117 22 41 0167 through 0168 West Mirmeapolis Third Division 23 117 22 41 0171 through 0173 West Minneapolis Third Division 'J" 117 22 41 0175 through 0176 ~_1 The proposed assessment is on file for public inspection at the office of the City Clerk. Written or oral objections will be considered at the hearing. The total project amount of the proposed assessment is. $175.428.33. Page 3 CITY OF HOPKINS . PROJECT 03-10 STREET IMPROVEMENT ST ATEMENT OF ASSESSMENT 23-117-22-41-0001 - 51 21 ST A VB N DARLEY G MARCH GERMAINE MARCH 51 21 ST AVE N HOPKINS, MN 55343 YOUR TOTAL ASSESSMENT IS: 80.00 FF @ $20.13/FF = .$1,610.40 . Your assessment can be paid without interest until June 3, 2004. Interest charl!es will apply on any payments made after June 3,2004. If you are unable to pay the balance in full, you may make a partial payment of at least 25% of the total assessment. To avoid interest for subsequent years, payments must be made to the City of Hopkins prior to November 30,2004. Any balance remaining will be certified to Hennepin County for collection beginning with the 2005 property taxes. THIS IS THE ONLY NOTICE YOU WILL RECEIVE FOR TillS ASSESSMENT. YOU WILL NOT BE BILLED OR NOTIFIED ANY FURTHER. FOR INFORMATION ABOUT THE CITY COUNCIL'S DECISION ON TillS ASSESSMENT. CALL THE ASSESSMENT CLERK 952-548- 6310. (NOTE: When requesting information or corresponding about this statement, please refer to PID #23- 117-22-41-0001. 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Amount of Assessment $1,006.50 Total Interest: $433.00 Interest on Assessment 7 Total Payment: $1,440,00 Years of Assessment 10 Months of Interest 20 Beginning Year 2005 YEAR PRINCIPAL INTEREST PAYMENT 2005 100.65 117.43 $218,08 2006 100,65 63.39 $164.04 2007 100.65 56.32 $156.97 2008 100.65 49.25 $149,90 2009 100,65 42.18 $142.83 2010 100,65 35.11 $135,76 2011 100,65 28.04 $128.69 2012 100.65 20.97 $121.62 2013 100.65 13.90 $114,55 2014 100.65 6.83 $107.48 0 0.00 0,00 $0.00 0 0,00 0.00 $0.00 0 0.00 0.00 $0.00 0 0,00 0.00 $0,00 . 0 0.00 0.00 $0.00 $1,006.50 $433.37 $1,439.87 . CITY OF HOPKINS . HENNEPIN COUNTY, MINNESOTA RESOLUTION NO. 2004-036 RESOLUTION ADOPTING ASSESSMENT ROLL 2004 STREET AND UTILITY IMPROVEMENT PROJECT CITY PROJECT 03-10 WHEREAS, pursuant to proper notice duly given as required by law, the City Council has met and heard and passed upon all objections to the proposed assessment for the street improvements on 1st Street North from the west line of 1 ih Avenue North to the east line of 21st Avenue North, as described in the files of the City Clerk as Project 03-10. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Hopkins, Minnesota: 1. Such proposed assessment, as may be amended and a copy of which is attached hereto and made a part hereof, is hereby accepted and shall constitute the special assessment against the lands named therein, and each tract of land therein included is hereby found to be benefited by the proposed improvement in the amount of the assessment levied against it. . 2. Such assessment shall be payable in equal annual installments extending over a period of ten years, the first of the installments to be payable on or after the first Monday in January 2005, and shall bear interest at the rate of 7 percent per annum from the date of the adoption of this assessment resolution. To the first installment shall be added interest on the entire assessment from May 4, 2004, until December 31, 2005. To each subsequent installment when due shall be added interest from one year on all unpaid installments. 3. It is hereby declared to be the intention of the Council to reimburse itself in the future for the portion of the cost of this improvement paid for from municipal fund by levying additional assessments, on notice and hearing as provided for the assessments herein made, upon any properties abutting on the improvement but not made, upon any properties abutting the improvement but not herein assessed for the improvement, when changed conditions relating to such properties make such assessment feasible, 4. To the extent that this improvement benefits non-abutting properties which may be served by the improvement when one or more later extensions or improvements are made, but which are not herein assessed, therefore, it is hereby declared to be the intention of the Council, as authorized by . Minnesota Statutes Section 420.051, to reimburse the city by adding any portion of the cost so paid to the assessments levied for any of such later extension or improvements, ----- . 5. The clerk shall forthwith transmit a certified duplicate of the assessment to the County Auditor to be extended on the property tax lists of the County, and such assessments shall be collected and paId over in the same manner as other municipal taxes. Adopted by the City Council of the City of Hopkins, Minnesota, this 4th day of May 2004. By Eugene J. Maxwell, Mayor ATTEST: Terry Obermaier, City Clerk . .