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<br /> STAFF REPORT <br />DATE: September 16, 2025 <br /> CONSENT <br /> <br />TO: City Council <br />FROM: Chad Isakson, Assistant City Engineer <br />AGENDA ITEM: Stillwater Area School District Utility Improvements – Resolution <br />Declaring Costs to be Assessed and Calling for Hearing on Proposed <br />Assessment <br />REVIEWED BY: Nicole Miller, City Administrator <br /> Clarissa Hadler, Finance Director <br /> Marty Powers, Public Works Director <br /> Nate Stanley, City Engineer <br /> <br /> <br />CORE STRATEGIES: <br /> <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 /> <br /> <br />BACKGROUND: The City of Lake Elmo awarded a construction contract to GM Contracting on May 20, <br />2025 to complete the Stillwater Area School District Utility Improvements. The project is under <br />construction and is scheduled to be substantially completed by the end of October. The Improvements <br />include the extension of City utilities to accommodate the requested connection to city water and sanitary <br />sewer for the Oak-Land Middle School and new Elementary School. There is one additional property <br />located at 11817 10th Street North that will benefit. In accordance with the approved feasibility report, a <br />portion of the project costs are to be assessed to the properties benefitting from the improvements. To ensure <br />that the City will have valid and collectable special assessments related to the Improvements, the Stillwater <br />Area School District signed and submitted a Petition and Waiver Agreement as prepared by the City <br />Attorney prior to the city awarding the construction contract. <br /> <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 /> <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 /> <br />Staff have 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. The total estimated project cost is <br />$1,754,000. For water and sanitary sewer improvements, 100% of the project is assessed to the benefitting <br />properties. Project costs were apportioned based on the Residential Equivalent (REC) Units. In addition to