IV.4. Resolutions to Declare Cost to be Assessed and Order Assessment Hearing; 2024Street and Utility Improvements – City Project 2024-10; Klingbeil CITY OF HOPKINS
City Council Report 2024-021
To: Honorable Mayor and Council Members
Mike Mornson, City Manager
From: Eric Klingbeil, City Engineer
Date: February 20, 2024
Subject: Declare Cost to be Assessed and Order Assessment Hearing; 2024
Street and Utility Improvements – City Project 2024-10
_____________________________________________________________________
RECOMMENDED ACTION
MOTION TO Adopt Resolution 2024-017, Resolution Declaring Cost to be Assessed
and Ordering Preparation of Proposed Assessment, 2024 Street and Utility
Improvements, City Project 2023-10; and Adopt Resolution 2024-018, Resolution for
Hearing on Proposed Assessments, 2024 Street and Utility Improvements, City Project
2023-10.
OVERVIEW
The bid opening for the 2024 Street and Utility Improvements was February 9, 2024.
The low bid was submitted by GMH Asphalt Corp. The bid was $4,768,923.58. A total
of eight (8) bids were received. Assessment calculations will be prepared based on the
lowest responsible bid.
SUPPORTING INFORMATION
Resolutions 2024-017, 2024-018
Engineering
ANALYSIS OF ISSUES
Project Costs and Assessments
Based on the low bid the total estimated project cost is $6,008,843.71, which included
the low bid, and soft costs. A summary of assessment impacts from previous
assessment rolls to the current assessment is as follows:
All properties will see a decrease from the proposed assessment amounts due to
unit prices for private utility replacement in the bid versus the engineers estimate.
Most assessments were reduced by approximately$1600.
The interest rate will be 2 percentage points above the Total Interest Cost of the bonds
sold for the project. Staff recommends adopting a 15-year term for the assessments as
discussed in previous meetings and used on previous projects.
Public Input
Staff will be holding a public information meeting in advance of the public hearing to
provide additional information relating to the assessment process and answer
questions. The date for this meeting is March 19, 2024. Notice of this meeting will be
mailed with the public hearing notice.
Project Schedule
Order Assessment Hearing February 20, 2024
Public Informational Neighborhood Meeting March 13, 2024
Conduct Public Assessment Hearing March 19, 2024
Adopt Assessment Roll/Award Contract March 19, 2024
Begin Construction Spring 2024
Complete Construction Fall 2024
CITY OF HOPKINS
HENNEPIN COUNTY, MINNESOTA
RESOLUTION 2024-017
RESOLUTION DECLARING COST TO BE ASSESSED, AND ORDERING
PREPARATION OF PROPOSE ASSESSMENT
2024 STREET AND UTILITY IMPROVEMENTS
CITY PROJECT 2023-10
WHEREAS, costs have been determined for the improvements along 7th Avenue N from
the former HCRRA alley to Minnetonka Mills Road, 8th Avenue N from 2nd Street N to
Minnetonka Mills Road, 3rd Street N from 5th Avenue N to 8th Avenue N, 6th Avenue N
from Mainstreet to 1st Street N, 1st Street N from 5th Avenue N to 8th Avenue N, 2nd
Street N from 5th Avenue N to 8th Avenue N; including pavement, curbing, sidewalk,
signage, drainage, water and sanitary sewer improvements and all necessary
appurtenances, and the bid price for such improvement is $4,768,923.58, and the
expenses incurred or to be incurred in the making of such improvement including soft
costs amount to $1,239,920.13 so the total cost of the improvement will be
$6,008,843.71
NOW THEREFORE BE IT RESOLVED, by the City Council of the City of Hopkins
1. The portion of the cost of such improvement to paid by the City is hereby
declared to be $5,239,865.95, the portion of the cost to be assessed again
benefitted property owners is declared to be $768,977.76.
2. Assessments shall be payable in equal annual installments extending over a
period of 15 years, the first of the installments to be payable on or after the first
Monday in January, 2025, and shall bear interest at the rate 2 percentage points
above the true interest cost of the bonds sold for the project.
3. The city clerk, with the assistance of the city engineer, shall forthwith calculate
the proper amount to be specially assess for such improvement again every
assessable lot, piece, or parcel of land within the district affected, without regard
to cash valuation, as provided by law, and she shall file a copy of such proposed
assessment in her office for public inspection.
4. The clerk shall upon the completion of such proposed assessment, notify the
council thereof.
Adopted by the City Council of the City of Hopkins this 20th day of February, 2024.
By:___________________________
Patrick Hanlon, Mayor
ATTEST:
_______________________________
Amy Domeier, City Clerk
CITY OF HOPKINS
HENNEPIN COUNTY, MINNESOTA
RESOLUTION 2024-018
RESOLUTION FOR HEARING ON PROPOSED ASSESSMENT 2024 STREET AND
UTILITY IMPROVEMENTS
CITY PROJECT 2023-10
WHEREAS, by a resolution passed by the Hopkins City Council on February 20, 2024
the city clerk was directed to prepare a proposed assessment of the cost of
improvements along 7th Avenue N from the former HCRRA alley to Minnetonka Mills
Road, 8th Avenue N from 2nd Street N to Minnetonka Mills Road, 3rd Street N from 5th
Avenue N to 8th Avenue N, 6th Avenue N from Mainstreet to 1st Street N, 1st Street N
from 5th Avenue N to 8th Avenue N, 2nd Street N from 5th Avenue N to 8th Avenue N;
including pavement, curbing, sidewalk, signage, drainage, water and sanitary sewer
improvements and all necessary appurtenances, and the clerk has been directed to
complete the proposed assessment and put it on file in her office for public inspection.
NOW, THEREFORE, BE IT RESOLVED by the City Council of Hopkins, Minnesota,
that:
1. A hearing shall be held on the 19th day of March, 2024 in City Council Chambers in
City Hall at 6:30 p.m. to pass upon such proposed assessment and at such time
and place all persons owning property affected by such improvement will be given
an opportunity to be heard with reference to such assessment.
2. The city clerk is hereby directed to cause a notice of the hearing on the proposed
assessment to be published once in the official newspaper at least two weeks prior
to the hearing, and shall state in the notice the total cost of the improvement. The
city clerk shall also cause mailed notice to be given to the owner of each parcel
described in the assessment roll not less than two weeks prior to the hearings.
3. The owner of any property so assessed may, at any time prior to certification of the
assessment to the county auditor, pay the whole of the assessment on such
property, with interest accrued to the date of payment, to the assessment clerk,
except that no interest shall be charged if the entire assessment is paid on or
before July 31, 2024. Any such owner may at any time thereafter, pay to the
assessment clerk the entire amount of the assessment remaining unpaid, with
interest accrued to December 31 of the year in which such payment is made. Such
payment must be made before November 15, 2024 or interest will be charged
through December 31 of the succeeding year.
Adopted by the council this 20th day of February, 2024.
_________________________
Patrick Hanlon, Mayor
__________________________
Amy Domeier, City Clerk