10-21-09 Council Minutes - Laserfiche WebLink

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MINUTb:S CITY COUNCIL OCTOER 21, 2009 IMP. NO. Mayor Blesener opened the Public Hearing to consider the assessment of 2009-07 - costs for the improvement of Lakeside Court by street reconstruction, LAKESIDE concrete curb and gutter, watermain, and drainage enhancements. The COURT Mayor indicated that there is a sign up sheet for residents with construction-related issues. Residents with those types of questions or concerns will be contacted following the meeting. The Mayor also noted that any property owners objecting to the assessment proposed for their property must submit a written objection this evening. The City Engineer reviewed the Lakeside Court project cost details, indicating that estimated actual costs for street reconstruction are $226,000.00, and of that amount $63,676.00 is being assessed. Estimated actual for the watermain portion of the project is $60,679.95, and of that amount $55,918.70 is being assessed. The Engineer then reviewed the City's Assessment Policy. He noted that the maximum street assessment rate is being applied at $57.97 per front foot. The Engineer noted that this rate has been held to the 2008 rate given current economic conditions. He also noted that the minimum frontage is 75 feet, while the maximum frontage was reduced from 125 feet to 100 feet. However, given the similar lots in this area, a per unit street assessment is being utilized at $5,797.00 per lot. With regard to the watermain assessment, that rate is capped at $6,302.00 per lot, and the assessment is under the cap at $5,083.52 per lot. The Engineer then reviewed assessment payment methods available to property owners. Assessments can be paid in full or part at the City within the first 30 days with no interest. Unpaid balances will be certified to Ramsey County for collection with property taxes over a 10 year period at an interest rate of 5.25%. Once an assessment is certified to the County, property owners have the option of paying off their assessment balance any time during the 10 year collection period. The Engineer pointed out however, that balances paid after November I S°i in any given year will be charged the next year's interest. Therefore, he suggested that property owners be aware of that date, and should they plan to pay their assessment, they should do so prior to November 15"' to save the next year's interest. The Engineer reviewed other related issues noting that senior citizens or disabled individuals on a fixed income can make application for air assessment deferral. He noted, however, that interest does accrue on deferred assessments. With regard to the interest on assessments, the City Engineer suggested that property owners consult with their tax advisors on whether or not this interest is tax deductible. He indicated that there is conflicting information on this issue. The Engineer then reviewed the proposed Assessment Roll. 13