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MINUTES SPECIAL CITY COUNCIL MEETING/PUBLIC HEARINGS SEPTEMBER 16, 1985 PAGE 2 Irene Struck, 1805 Tatum Street, questioned the cost of connection to the St. Paul storm sewer system, indicated she was tired of paying for streets, Tatum Street is only 20 years old and should have lasted 35, asked for an accounting of the costs, why there is such a huge cost to homeowners, and expressed concern that some cannot afford it. Mayor Eggert explained that the City is paying the St. Paul connection costs (amount at present unknown), there were construction problems with the present street, as per the Engineer, the assessments are computed based on the City's assessment policy, and that State Statute provides for senior citizens hardship tax deferral. Engineer Willis explained the costs of various parts of the project. George Kilgriff, 1739 Tatum, stated that his questions had been answered, the interest rate was his interest. Leonard Neilsen, 1831 Tatum, asked how the October 16th date for .prepayment was set, to which Mayor Eggert explained that State Statute requires prepayment be made within 30 days of the hearing. There being no others wishing to be heard, Mayor Eggert closed the hearing at 7:54 P.M. Councilmember Chenoweth moved, seconded by Mayor Eggert, that the assessment roll be accepted as presented to be assessed over a ten year period at nine percent interest. Councilmember Ciernia commented on the fact that the total is less than the proposed cost and felt there were three options: (1) assess as proposed, (2) pro-rate - refund 38~ of the cost, or (3) apply the $40,000 as abatement on the assessments. He felt that either of the abatement methods would be appropriate. Councilmember Baldwin also indicated he would favor one of the abatement methods. Mayor Eggert commented on the fact that the assessment policy was adopted in order that everyone in the City would be assessed equally, and felt that street costs should be charged according to the policy. He also stressed the fact that property owners in Falcon Woods 4~2 and 4~3 were charged 7.5C per square foot for storm sewers and was not sure Tatum owners should be treated differently. Councilmember Hard also commented on the fact and Falcon Woods ~~2 and ~~3 were charged 7.5G per square foot.. He also felt that since the City is contributing tax increment funds, the City as a whole is participating and should participate in the savings. Councilmember Chenoweth stated that according to the policy other areas of the City would be charged 90 to 95 percent and the charge to Tatum properties would be considerably less due to the tax increment funds; however, he would consider a reduction if the amount can be agreed upon. Following the discussion, Councilmember Chenoweth withdrew his original motion and Mayor Eggert withdrew his second, after which Councilmember Chenoweth moved, seconded by Councilmember Hard, that Resolution R-85-56 be adopted approving the assessment roll with a reduction in the charge for storm sewer from 7.560 to 5.22 per square foot, the assessment term to be over a ten year period at an interest rate of nine percent. Motion carried unanimously. 11~ IRENE STRUCK, 1805 TATUM GEORGE KILGRIFF, 1739 TATUM LEONARD NEILSEN, 1831 TATUM HEARING CLOSED ASSESSMENT DISCUSSION