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Council Meeting Minutes for October 16, 2023 Page 4 of 6 Public Hearing on the Birch Tree Ponds Area Street Project Assessments At the September 14, 2023, meeting, Council adopted a resolution declaring costs to be assessed for the 2023 Birch Tree Ponds Area Street Improvements and scheduled the assessment hearing on the proposed assessments for October 16, 2023. The Notice of Assessment Hearing has been published in the official newspaper and mailed to the owners of each parcel described in the assessment roll at least two weeks prior to the hearing. Erichson provided the background on the project beginning with authorization to prepare a feasibility study in July, 2022 and the first neighborhood meeting held on September 29, 2022. On March 6, 2023, City Council awarded the contract for the project to Northwest Asphalt, Inc. Erichson provided a PowerPoint showing the project location and explained the types of improvements that include partial road reconstruction and urban roadway mill and overlay improvements. He showed several before and after photos of the project. He provided information on the assessment policy saying 34% of the $1,959,000 project cost would be covered by assessments and the remaining $1,286,100 would come from City funds. According to the assessment policy, property owners on a road that had a partial reconstruction would be assessed $4,100 per unit. For property owners on a road that had a mill and overlay, the assessment would be $2,100 per unit with the exception of corner lots that would be prorated. Erichson explained the assessment process was governed by Minnesota Statute Chapter 429, and the City goes above and beyond the required number of meetings before the adoption of the assessments. Assessments would be spread over a ten-year period at a 5.25% interest rate. Assessments could be prepaid without interest for 30 days, until November 15, 2023. Unpaid assessments would be certified to the County in the Fall for taxes payable in 2024. A senior citizen deferral was available for those over 65, and Erichson noted that interest would still accrue. Notices would be sent out with all this information. The City had received a letter from Tim and Michele Riermersma who opposed their assessment. Erichson wanted this in the record and said he did not believe anyone from staff had talked to them about the project and said he was willing to discuss it with the property owner. Mayor Weidt opened the public hearing. Tim and Michele Riemersmas, 13545 Freeland Avenue North Hugo were present, and Michele stated they would be happy to discuss this with staff. She said the assessment was not equal to what was done in front of their home. She said she had no idea how large the assessment amount would be, and Tim added they were disabled on a fixed income. Erichson replied that the assessment amount and the assessment policy had been discussed in several meetings. Miron asked about the deferral process, and Bear replied it was a City policy and governed by the state. He suggested the Riemersmas make a request for the deferral, and it would be evaluated. Dorann Lohrke, 14079 Fountain Avenue North, said she was pleased with the job that was done. She said she had lived in her home since 1985. She asked about making the payment. Erichson restated the information on payments and said a notice with that information would be sent out in the mail the following morning. Payments would be made to the City of Hugo