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COUNCIL MINUTES APRIL 28, 1997 appreciation to City Employees Marilyn Anderson and Jon Rector in recognition of their 20 years of employment with the City of Lino Lakes. PUBLIC HEARING, MARVY STREET/LEONARD STREET UTILITY IMPROVEMENT, DAVID AHRENS Mr. Ahrens reviewed that on March 24, 1997, the Council called for a public hearing for April 28, 1997, to solicit comments from staff and property owners regarding the installation of sanitary sewer and watermain on Marvy Street and a portion of Leonard Drive. This public hearing is required per Minnesota State Statutes 429 and the Lino Lakes Charter. He advised a feasibility report was prepared by John Powell of TKDA, Inc., and accepted by the Council on February 10, 1997. A neighborhood meeting was held on Wednesday, April 16, 1997, where staff and Mr. Powell presented information regarding the project including assessments, hookup requirements, the City Charter and scope of project. Approximately 30 residents attended and expressed concern about the assessment amounts, connection fees, and the cost of the work that would need to be done to connect their home to the service stubs. Mr. Ahrens explained tonight is only the public hearing with no action being requested of Council. If there are outstanding issues, the Council can continue the public hearing to a future meeting. If not, the public hearing can be closed and the 60 day waiting period begins. At its conclusion, the Council can order the improvement if they find this project benefits the City. He advised the residents can petition for or against this project and noted the lack of MUSA in this area. Mr. Ahrens also noted this is a project which can be seen as accommodating future need to replace septic systems. He stated this is a unique project in that most utility projects are a result of development of land. However, in this case, the project was initiated as a result of staffs awareness of some septic system problems in this area. Rather than rebuilding septic systems, staff investigated the possibility of extending sewer and water into the area. John Powell, TKDA, Inc., presented the project which consists of constructing sanitary sewer and watermain from Apollo Drive through an existing Outlot, to Marvy Street and then along Marvy Street and north on Leonard Drive to Bradley Street. He reviewed the past improvement to extend a trunk utility line north of Apollo Drive. He explained the alignment of the proposed sanitary sewer watermain improvements, and location of fire hydrants. Mr. Powell provided a detailed review of the project cost, including engineering fees, easement acquisition, and contingencies for a total estimated project cost of $806,730. Per the City Public Improvement Financing Policy, the City is responsible for costs associated with over sizing and constructing sanitary sewer and watermain at extra depth that will serve property apart from the project area. The estimated cost to the City for this work is estimated at $250,000 with funding from the City's Area and Unit Fund. Subtracting the City portion of the project cost from the total project cost leaves $556,730 assessed to property owners. It is estimated that a total of 60 potential future homes can be built in the project. Mr. Powell noted the lots in this area are oversized and staff proposes each lot be assessed for one typical residential unit. He reviewed the sanitary sewer area charge for a .25 acre lot at $1,983 per acre is $496, the Sanitary Sewer Unit Charge is $859, the Watermain Area Charge is $529, the Watermain Unit Charge is $1,387 PAGE 2