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STAFF ORIGINATOR: CITY COUNCIL MEETING DATE: TOPIC: BACKGROUND: AGENDA ITEM 71 Michael Grochala October 14, 2002 Consideration of Resolution No. 02-149 Amending Section 5.1. of the Public Improvement Financing Policy. In May of 2002, the City Council granted Site and Building Plan approval to Peter and Norma Nadeau allowing them to move their existing house, located a 6644 20th Avenue, to an existing vacant 13.5 acre parcel directly across the street (6651 20th Avenue). As part of the house relocation, the Nadeau's requested approval to connect to City water. A 16 -inch City trunk water main is in place on _ the east side of 20th Avenue. No assessments were levied against abutting properties when the line was installed. The City's Public Improvement Financing Policy states that in areas where a property abuts a trunk sewer and a trunk watermain and no assessment has been made against the property, the property owner may connect to the trunk main and pay the current area charge, unit charge and a front footage charge. In accordance with this policy, the Nadeau's charge to connect to the system would be $40,626.00 based on their 13.5 acre parcel and front footage of 320 feet. The improvement policy does allow for reduction in assessments for developed residential lots, adjacent to City trunk sewer and water, if the property has an existing home, well and septic system. Often referred to as the Bisel and Modified Bisel amendments, the policy allows for the reduction in assessments for properties that either can or cannot be further subdivided. In each instance the applicant is required to pay an area, unit and front footage charge based on the minimum requirements of the zoning district the mains were intended to serve. In cases were properties can be further subdivided, assessments on the remainder of the property is deferred. The Nadeau's have requested that their situation be treated in accordance with _ the modified Bisel Amendment. This would allow them to connect to City water with the fees based on the minimum lot requirements of the R-1, Single Family