10-29-97 Council Special Minutes

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MINUTES CITY COUNCIL OCTOBER 29,1997 The City Administrator pointed out that the total costs to be assessed are $241,18835. Assessments are proposed to be spread over a 10-year period at 7.00 percent interest. The Administrator informed property owners that the City could run an amortization schedule for their particular assessment if they so desire. Assessments are spread at equal principle and declining interest. The Administrator reported that property owners have the right to pay off their entire assessment or partial pay the assessment without interest within 30 days of adoption of the assessment. After 30-day period, the assessment will be (evied to the County for collection with property taxes. Property owners also have the right to pay off an assessment early to the County. However, a property owner should pay prior to November 15°i of a given year. Payments after November 15°i accrue an additional year's interest. This is regulated by State Statute. In reviewing the assessment roll, the City Administrator pointed out that there are three lots that are splitable. These lots were assessed accordingly. The Administrator pointed out that the City has the development deferral option that allows the assessment for the new lot to be deferred until such time as it is developed. It was pointed out that interest accrues on a deferred assessments. If the property owner never intends to develop the property, a deed restriction can be recorded against the property. If that is done, the assessment will be waived for that portion of the property. The Administrator reported that a deferral option sheet will be mailed with the notice of final assessment. Assessment deferrals are also available for senior citizens that meet certain income limits. Again, interest would continue to accrue under a senior citizens deferment. This deferred assessment comes payable at the time the property is sold or ownership chan~es hands. Fahey asked the effect of granting deferrals on the remaining assessments. It was noted that since the street assessment is at the cap of $45 per lineal foot, deferments or waiving of assessments for those developable properties which chose to have a deed restriction filed would not change the assessment for the rest of the Arcade Street property owners. The Mayor opened the hearing to comments from members of the general public. Morelan asked for an explanation of the additional driveway work that was done. The City Engineer exp(ained that the properties which credits for driveway work wanted to have their entire driveways paved. Therefore, they hired another contractor to do the work and paid for this 4