Agenda Packets - 1987/02/23 - Laserfiche WebLink

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MEMO TO: MAYOR AND CITY COON Ly. 1� FROM: CLERK -ADMINISTRATOR DATE: FEBRUARY 25, 1987 SUBJECT: GALE/YOST ADDITION, CITY PROJECT 85-3 ASSESSMENTS As you may recall, the City of Mounds View received a petition and proposal from Susan Gale and Debra Yost for the development of the rear portions of their property located at 8227 Groveland Road and 8205 Groveland Road respectively. The City of Mounds View prepared plans and specifications and bid the subject public improvment project twice with bids being received on both occassions at an amount higher than these parties were willing to expend for this project. Therefore, they withdrew their request for public improvments and the City billed the two parties for the costs experienced by the City in preparing and bidding this project, namely $4,692. On March 24, 1986 the Mounds View City Council adopted Resolution No. 1980, copy attached, which levied the assessments against the two property owners in view of the fact that they had not paid the cost• of plans and specifica- tion preparation and project bidding. The resolution, in the second "BE IT FURTHER RESOLVED", indicated that the assessments could be paid without interest by November 10, 1986 at which time interest would accrue at a rate of 11% per annum. Shortly after presenting this resolution to the County, the City was advised that due to the date of the resolution the thirty -day waiting period would commence immediately upon receipt of the resolution and that the language in Resoluton No. 1980 was unacceptable. Based on that information, Resolution No. 2006 Amending Resolution No. 1980 was adopted identifying the prepayment period without interest expiring on June 24, 1986. Unfortunately, copies of this resolution were not forwarded to the two parties as was the case for Resolution No. 1980 and both proceeded on the basis that they would be able to prepay their assessments without interest by November 10, 1986. On approximately, November 17, 1986 then Public Works/Community Development Director Thatcher had a conversation with Debra Yost. She objected to the fact that she would be responsible for paying interest in excess of $400 when she was led to believe that the assessment would be interest free until November 10. As the issue has not been resolved and I have been contacted by Ms. Yost to seek, resolution to this matter, I consulted with City Attorney Mark Kerney to determine what our options might be. It is the position of Attorney Karney and myself that due to the fact that neither of these parties were provided with copies of the amending resolution clearly informing them of the revised conditions of the assessment, the City is responsible for any interest paid by these parties or currently on their assessment records.