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HomeMy WebLinkAbout6.j. 124th Court West and 121st Street West Improvements, City Project 2018-05, Declare Costs and Set Assessment HearingI:\City Clerk\Agenda Items\Approved Items\6.j. 124th Court West and 121st Street West Improvements, City Project 2018-05, Declare Costs and Set Assessment Hearing.docx EXECUTIVE SUMMARY City Council Meeting: June 16, 2020 AGENDA ITEM: 124th Court West and 121st Street West Improvements, City Project 2018-05, Declare Costs and Set Assessment Hearing AGENDA SECTION: Consent PREPARED BY: Brian Erickson, PE, Director of Public Works/City Engineer Stephanie Smith, PE, Assistant City Engineer AGENDA NO. 6.j. ATTACHMENTS: Resolution APPROVED BY: ELF RECOMMENDED ACTIONS: Adopt a Resolution Declaring Costs and Calling for Hearing on the Proposed Assessments for the 124th Court West and 121st Street West Improvements, City Project 2018-05 SUMMARY In cooperation with Dakota County and the reconstruction of Akron Ave, the City of Rosemount is improving the adjacent local streets of 121st Street West and 124th Court West. As part of the project financing, a portion of the cost is funded with assessments to the abutting properties. The assessment process is required to follow Minnesota State Statute Chapter 429 and the step of declaring costs and setting a date for the public hearing is a required part of the process. BACKGROUND Currently, construction is underway on Akron and the local streets. The final paving for 121st St W. and 124th Ct W. is estimated to be complete by the middle of July. It is possible some restoration will be required after that; however, that work will be minimal. The Feasibility Report estimated the project cost at $406,000 which included an estimated $33,000 for stormwater improvements. Upon receiving bids for the project the total project cost is $401,351.43 which includes 5% construction contingency and 25% overhead. The following table details these calculations, shows the funding breakdown and provides the per lot assessment amount. 2 RECOMMENDATION Staff recommends Council adopt the resolution declaring costs and calling for a public hearing for the assessments related to the 121st Street West and 124th Court West Improvements, City Project 2018-05. Feasibility Report Bid Amount Street Improvements 271,000.00$ 300,117.60$ Stormwater Improvements 24,000.00$ 4,407.57$ Subtotal 295,000.00$ 304,525.17$ Contingency (10%/5%)*29,400.00$ 15,226.26$ Construction Subtotal 324,400.00$ 319,751.43$ Overhead (25%)81,600.00$ 81,600.00$ Total Project Cost 406,000.00$ 401,351.43$ Street CIP 253,580.26$ Stormwater Utility 11,227.95$ Assessments (35% of Street)136,543.22$ Total Project Funding 401,351.43$ Per Lot Assessment (21 lots)6,502.06$ TOTAL PROJECT COST TOTAL PROJECT FUNDING * Contingency estimate reduced between Feasibilty Report and Bid 1 CITY OF ROSEMOUNT DAKOTA COUNTY, MINNESOTA RESOLUTION 2020 - 77 A RESOLUTION DECLARING COST TO BE ASSESSED AND ORDERING PREPARATION OF PROPOSED ASSESSMENT, AND CALLING FOR HEARING ON THE PROPOSED ASSESSMENT 121ST STREET WEST AND 124TH COURT WEST IMPROVEMENTS, CITY PROJECT 2018-05 WHEREAS, a contract has been let for the 121st Street West and 124th Court West, City Project 2018- 05, and the contract amount for such improvement is $304,525.17, and the expenses incurred or to be incurred in the making of such improvement amount to $96,826.26 so that the total cost of the improvement will be $401,351.43. NOW, THEREFORE, BE IT RESOLVED by the City Council of Rosemount, Minnesota: 1. The portion of the cost of such improvement to be paid by the City is hereby declared to be $264,808.21 and the portion of the cost to be assessed against benefited property owners is declared to be $136,543.22. 2. Assessments plus applicable fees shall be payable in equal annual installments extending over a period of 10 years, the first of the installments to be payable with general taxes for the year 2020, and shall bear interest at the rate of 2% per annum above the interest rate paid by the City for its bonds from date of the adoption of the assessment resolution. 3. The City Clerk, with the assistance of the City Engineer shall forthwith calculate the proper amount to be specially assessed for such improvement against 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; and BE IT FURTHER RESOLVED by the City Council of Rosemount, Minnesota: 1. A hearing shall be held on the 21st day of July, 2020 in the Council Chambers at 7:00 p.m., or as soon thereafter as possible, 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. The published notice shall state that the Council is meeting to consider the proposed assessment and will state the date, time, and place the of the hearing. 3. The City Clerk shall also cause mailed notice to be given to the owner of each parcel described in the Resolution 2020-77 2 assessment roll not less than two weeks prior to the hearings. The mailed notice shall include: the date, time, and place of the hearing, the general nature of the improvement, the area proposed to be assessed, the total amount of the proposed assessment, that the proposed assessment roll is on file with the City Clerk and that written or oral objections by any property owner will be considered. The notice shall also state that no appeal may be taken as to the amount of any assessment unless a written objection signed by the property owner is filed with the City Clerk prior to the assessment hearing or presented to the Mayor at the hearing. The notice shall state the process and time lines for such appeals and will inform property owners of the existence of any deferment procedures. The notice shall also state: 1) The amount to be specially assessed against the particular lot; 2) Adoption by the Council of the proposed assessment may be taken at the hearing; 3) The right of the property owner to prepay the entire assessment and the person to whom prepayment must be made; 4) Whether partial prepayment of the assessment has been authorized by ordinance; 5) The time within which prepayment may be made without the assessment of interest; and 6) The rate of interest to be accrued if the assessment is not prepaid within the required time period. ADOPTED this 16th day of June, 2020. William H. Droste, Mayor ATTEST: Erin Fasbender, City Clerk