Agenda - Public Works Committee - 02/17/2009

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32 • ESTIMATED COSTS The estimated cost of this project including project overhead is estimated to be $197,990 Details of the project construction cost are presented in Appendix B. The project overhead, which adds an additional 30 °/0 of the construction cost include the following: • Engineering design 8% • Project administration 5% • Bonding and legal 2% • Inspection and testing 5% • • Contingencies. 10% The above project costs do not include the cost of driveway paving. Because driveways are private property and not a portion of the public street, each driveway. 'shall be measured by area and material and will be billed individually to each property. The estimated cost for driveway paving is estimated to be $3.00: per square foot: FINANCING The total project costs consist of the construction costs, - property and easement acquisition costs, and the overhead costs listed above. The project costs have also been divided between those costs associated: with the street improvements and those related to the improved storm water system .ltcosts associated.with the storm water improvements, including drainage Mit utility easeznents shall be :Financed through the City's Storm Mater Utility; The costs' associated with the street improvements shall be financed one half (50 %) though: special assessments to the benefited properties adjacent to the unproved streets consistent with Minnesota State Statutes 429 and City of Ramsey Code Chapter 4. The remaining 50% of the street improvements will be :Financed with City of Ramsey general funds revenues. Based upon the above distribution the total project cost will be funded as follows; $49,723 from tic city general; fined; $98,544 from the storzn water utility; and $49,723 from assessments. The assessed portion of the project cost shall be assessed among the benefited 11 properties listed in Appendix C. The three properties having double frontage with Waco Street which were assessed for its improvement in 1993 shall be one half of the amount assessed to each of the remaining benefitted properties. The corner lots on 179th. Lane would be charged a foil share of the street improvement costs, This would result in an assessment of $5,234 per assessed share. The project will have a final tabulation made on actual project costs consistent with the methodology described in this report. A public hearing will be held identifying the actual costs to be recovered by special assessment. Property owner would have the option of paying the full cost of the assessment without interest at the conclusion of the project or could elect to have this assessment collected annually with their tax payment over a ten year period. Property owners electing to have the project cost specially assessed shall