12/21/1998 Council Minutes - Laserfiche WebLink

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COUNCIL MINUTES December 21, 1998 Consideration of Resolution No. 98 - 179, Assessment Policy Amendment - Mr. Powell stated the current Public Improvement Financing Policy was adopted on June 11, 1990. Section 5.1 of the Policy includes what is commonly referred to as the "Bisel Amendment" which states the following: "When a sewer and water main is constructed adjacent to existing developed residential lots (with a home, well, and septic system) and the lot cannot be subdivided into smaller parcels, the front footage and area charges shall be based on the minimum front footage of each zoning district the mains are to serve." In other words, if a property owner wants to connect to City utilities and has a large lot which cannot be subdivided, the assessment computation is to be based on a typical residential lot size. This reduces the assessment cost to the property owner as the lot front footage and area are used as a basis for determining the assessment. This policy has worked well for those property owners whose lots cannot be subdivided. Some property owners with larger parcels have also indicated a desire to connect to City utilities but could not afford the assessment as their lots could at some time be subdivided. To address this concern, staff is proposing the following paragraph be added to Section 5.1 of the Public Improvement Financing Policy: "When a sewer and water main is constructed adjacent to existing developed residential lots (with a home, well, and septic system) and the lot can be subdivided into smaller parcels, an assessment for the front footage and area charges based on the minimum front footage of each zoning district the mains are to serve shall be due upon connection to the mains. The assessment for the remainder of the property will be deferred until such time as the property is subdivided." This change would allow these property owners to connect to utilities, if desired, for a more reasonable cost, but would still allow the City to recover assessments on the remainder of the property when it is subdivided. Mr. Paul Montain, Charter Commission Chairman, was notified of this proposed amendment to the Assessment Policy. Mr. Powell indicated that he had spoken with Mr. Montain and he had no objection to the amendment. Mr. Montain will bring the issue to the next Charter Commission meeting. Staff recommended Council adopt Resolution No. 98 - 179. Council Member Neal moved to approve Resolution No. 98 - 179, as presented. Council Member Dahl seconded the motion. Motion carried unanimously. Resolution No. 98 - 179 can be found at the end of these minutes. Consideration of Modification of an Assessment Agreement for F & G, Inc. - In 1997, the EDA entered into a development agreement for financial assistance with F & G, Inc. regarding a project within TIF District No. 1-7 in the Apollo Business Park. The agreement called for the 12