11-10-98 Council Minutes - Laserfiche WebLink

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MINUTES CITY COUNCIL NOVEMBER 10, 1998 CPI. However, in 1997 the City again used the $45 per front foot rate. It was the Administrator's recommendation that the rate again be held at the $45 per front foot for 1999 improvements. Mr. LaValle introduced the fol(owing resolution and moved its adoption: RESOLUTION NO. 9R-I1-269 - ADOPTINC A STREET ASSESSMENT CAP RATE OF $45. 00 PER FRONT FOOT FOR TKE 1999 IMPROVEMENTS The foregoin~ resolution was duly seconded by Scalze. Ayes (4) LaValle, Scatze, Morelan, Pedersen. Nays (0). Resolution declared adopted. The Administrator noted that staff is proposing to use a$4,900 per unit assessment rate for water main improvements. However, the final amount will not be known until the assessment hearing when final project costs and CPI adjustments are known. TRI-DISTRICT The City Administrator reported that the Tri-District School has asked for SCHOOL relief from the sewer and water connection costs they incurred in SEWER & connecting to the City's systems. The Administrator reported that he has WATER informed the school that the City would not be in a position to forgive AGREEMENT these costs since the connection charge is a means of providin~ consistency in charging non-City connected property for utilities that have already been paid for by Little Canada property owners through assessments and/or property taxes. Given that discussion, the school has asked about a decrease in the interest rate being charged and/or a lengthening of the term. The Administrator pointed out that the City assessed recent improvements a 6.5% interest rate over a ten-year term. Decreasing the interest rate to the school at 6.5% and extending the term to thirty years would decrease their payment to under $12,000 given a $35,000 one-time payment. The Administrator went on to explain that given the unique tri-district arran~ement, this school is more limited in raising funds. The school has indicated that the payments to the sewer and water connection char~es are taking money away from pro~ram dollars for students. Scalze er,pressed concern that this school is seeking a subsidy from Little Canada, and su~gested that they approach the other cities they serve to participate in the subsidy. Scalze pointed out that Little Canada property owners are the 7'h highest taxed, and felt the school's request was too much to ask taxpayers to bear.