City Council Meeting Date: August 8, 2017
To: Mayor and City Council
City Administrator
From: Sean Simonson, Engineering Manager
David Bennett, P.E., Public Works Director/City Engineer
Subject:
TITLE
Public Hearing on Assessments for the 2017 Street Reclamation Project
BODY
Action Requested:
The Northfield City Council holds a public hearing on assessments for the 2017 Street Reclamation Project (2017STRT-A36). The Northfield City Council passes on the assessment objection at 1900 Sibley View Lane and closes the public hearing.
Summary Report:
The City Council is being asked to consider holding a public hearing regarding the assessments for the 2017 Street Reclamation Project (2017STRT-A36). The purpose of the hearing is to provide an opportunity for public comment on the assessments associated with the project. A required 14-day notice for the assessment hearing was published in the Northfield News on July 12, 2017 and notices (Attachment 1) were sent to property owners abutting the project. Along with the hearing notice, a copy of the proposed assessment roll (Attachment 2) and a Financial Assistance Letter (Attachment 3) were also included in the mailing.
The actions requested are required by Minnesota Statutes Chapter 429, which specifies the actions that must be taken to assess property owners for the cost of local improvements. The City Council has moved this project forward to this point with the actions shown in Attachment 4.
As noted on the project process, staff received authorization to bid the project on May 16, 2017 via Resolution 2017-043. City Council received the bids and awarded the contract on June 20, 2017 via Resolution 2017-051. Finally, City Council will be asked to adopt assessments via resolution at the August 22, 2017 City Council meeting.
No appeal may be taken as to the amount of any assessment adopted by the City Council unless written objection signed by the affected property owner is filed with the city clerk prior to the assessment hearing or presented to the mayor at the assessment hearing. All objections to the assessments not received by the City Clerk or the Mayor prior to or at the assessment hearing are waived. A property owner making a properly filed objection may appeal an assessment to district court pursuant to section 429.081 by serving notice of the appeal upon the Mayor or City Clerk within 30 days after the adoption of the assessment by the City Council.
The City has received one formal objection on the proposed assessment amount at 1900 Sibley View Lane (Attachment 7). The property owner has indicated that the proposed $6,206 assessment should be reduced by $1,550 or an assessment amount of $4,656. Staff has reviewed this properties assessment and applied the standards adopted by City Council to determine the amount. In addition, staff has provided a comparison to other properties in the neighborhood (Attachment 6), and feel it is comparable and fair. Staff is recommending City Council pass on the objection to the assessment.
Alternative Options:
City Council could close the public hearing for all properties except for 1900 Sibley View Lane and any other properties that may object at the hearing. An alternative could be brought forward for the continued hearing and adoption of the assessment.
Financial Impacts:
A summary of the project costs based on the lowest bid and original planned funding is shown in Attachment 5. The project will be financed through a combination of enterprise funds, bonding and special assessments.
The proposed street and utility improvements are eligible for assessment according to the City of Northfield’s Assessment Policy. All abutting properties are proposed to be assessed accordingly. A benefit appraisal was prepared as part of this reclamation project, and it took into account zoning and land use within the project area.
The proposed assessment roll shows the assessment for each of the abutting properties. Using the proposed mid-point rates from the benefit appraisal, the estimated assessment revenue is $489,574.00. The individual assessments range from a low of $605.00 to a high of $22,800.00.
Following the process required by Minnesota Statute Chapter 429 will allow the benefits of this project to be assessed to the property owners, which aids in establishing overall project funding.
Tentative Timelines:
The attached project process details the actions taken to date as well as the upcoming actions that will be requested of Council.