11-18-13 Council Packet - Laserfiche WebLink

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3. Under the City Charter, even if at least 20% of the project cost is specially assessed, but some portion is paid from a tax levy or other city general funds, the project itself must first be approved at an election —only then may bonds be issued. 4. In most cases, the City of Lino Lakes may issue improvement bonds without election only in cases where the entire cost is specially assessed). D. Street Reconstruction Bonds 1. Street Reconstruction bonds are paid from a general tax levy, though a city may use special assessments or some other revenue source to reduce the levy each year. 2. The bonds must be used only to finance "street reconstruction," which is defined to include: • utility replacement and relocation and other work incidental to street reconstruction • turn lanes and other improvements having a substantial public safety function • realignments • other modifications to intersect with state and county roads • local share of state and county road projects. However, the term excludes costs allocable to widening a street or adding curbs and gutters where none previously existed (unless those activities fall within one of the bullet points listed above). 3. Before issuing street reconstruction bonds, a city must hold a public hearing (with 10 days' published notice) regarding a five - year street reconstruction plan and issuance of the bonds. After the hearing, the City Council must approve issuance of the bonds by unanimous vote of all council members present at the meeting. 4. Citizens have 30 days after the hearing to file a petition with the City Clerk requiring an election on issuance of the bonds. (This process is referred to a "reverse referendum "). The petition must be signed by voters equal to 5% of the votes cast in the last City general election. If no such petition is filed within 30 days after the hearing, the City may issue the bonds without election. If a petition is timely filed, the City is not required to hold an election, but it may not issue the bonds unless it does so and the question is approved by a majority of those voting on the question. 5. Street reconstruction bonds are subject to the statutory debt limit. (However, that limit is very high, and most bonds are exempt from