05-28-82 Council Minutes - Laserfiche WebLink

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MINUTES City Council May 26, 1982 Bond Sale Mrs. Scalze intr.oduced the fo ll.owing resolution and moved its adoption: (Cont.) RESOLUTION N0. 82-5-280 - ACCEPTING THE BID OF TFIE FIRST NATIONAL BANK OF SAINT PAUL IN THE AMOUNT OP ~1,446,237.50 The f.oregoing resolution was duly seconded by Mrs. Nardini. Ayes (5) Scalze, Nardini, Hanson, Pahey, Forsberg. Nayes (0). Resolution declar.ed adopted. This resolution appears in Resolution Book No. 8, Page 232. Iona Lane Mayor I~tanson opened the public hearing on the improvement of Iona Watermain Lane from Ri.ce Street to the cu l-de-sac by watermain and street Imp. No. 82-6 restoration. This improvement had been petitioned for. Agenda The City Engineer reported that the water.main wi11 be installed Item No. 6 on Rice SCreet this summer. Work on this main should begin in a couple of weeks. The Engineer reported that it has been the policy of. the Council to assess the costs of. improvements in a given year the same cost. This is done by determining Che cost of all improvements and averagi.ng them up. A1so, the City borrows money through bonds to pay for the improvements and the cost of the improvement is assessed to the property owner.s and they have a period of 15 years in which to pay their assessment. The City also assesses 20% of the cost of the improvement on the general taxes and the property owners are assessed for 80% of the improvement. The ~ngineer also informed the Council that in discussions he has had with the Auditor, capiCalized interest will have Co be appLied to the cost of the improvement. The Engineer estimated the interest rate the property owners may have to pay on their assessment over 15 years at 13%. The Engineer also commented that there wi11 be an assessment hearing some time in August and Che improvement wi11 be assessed this year. The first payment on the assessment will be due May 31., 1983. The property owners could pay their assessment within 30 days without any interest. The property owners could also Let the assessment ride for the 15 years or pay it up any time during the interim. The engineer estimated the cost to the property owner at $25 to $26 per front foot. In addi.tion to Chis, there will be a unit charge of $250 per home. That charge is to heLp defray the cost of the water tower, booster station and main water lines. The fingineer commented that the Czty wi_11 be taking bids on the wortc and there is a possibility that the cost could be Lower. than Che $25 to ~26. Page -4-