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STAFF REPORT <br />DATE:September 16, 2025 <br />CONSENT <br />TO:City Council <br />FROM:Nate Stanley, City Engineer <br />AGENDA ITEM: 2025 Street and Utility – Declare Costs to be Assessed and Call for a <br />Hearing on the Proposed Assessment for the 2025 Street and Utility <br />Improvements <br />REVIEWED BY: Nicole Miller, City Administrator <br />Clarissa Hadler, Finance Director <br />Marty Powers, Public Works Director <br />Chad Isakson, Assistant City Engineer <br />CORE STRATEGIES: <br />☐ Vibrant, inclusive, connected community ☐ Efficient, reliable, innovative services <br />☒ Responsive, transparent, adaptive governance ☒ Balanced Finances now and future <br />☐ Managed Growth ☒ Resilient Infrastructure <br />BACKGROUND: The City Council awarded a construction contract on May 6, 2025 to Valley Paving, <br />Inc. to complete the 2025 Street and Utility Improvements. The project is in construction with a <br />substantial completion date of September 12 and a final completion date of October 31. In accordance <br />with the approved feasibility reports, a portion of the project costs are to be assessed to the properties <br />benefitting from the improvements. <br />ISSUE BEFORE COUNCIL: Should the City Council adopt a resolution declaring costs to be assessed <br />and calling for a hearing on the proposed assessment? <br />PROPOSAL DETAILS/ANALYSIS: Pursuant to Minnesota Statutes, Section 429, the Council must <br />declare the amount to be assessed against the benefitting properties and Call the Hearing on the Proposed <br />Assessment for these improvements. The Final Assessment Hearing is proposed for October 21, 2025. The <br />Final Assessment Roll will be certified to the County Auditor by November 21, 2025. <br />Staff has enclosed a proposed Final Assessment Roll which has been calculated in accordance with the <br />approved Feasibility Report and the City’s Special Assessment Policy. Attached to this agenda report is a <br />summary of the Estimate to Completion Total Project Costs showing a cost breakdown and resulting unit <br />assessment. <br />A portion of the project is proposed to be assessed to the benefitting properties. The estimated total project <br />cost is $2,015,000. For street and drainage improvements, 30% of the project is assessed to the benefitting <br />properties. Based on the anticipated final project costs, the residential unit assessments for the Project