Agenda - Council - 08/12/2003 - Laserfiche WebLink

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I I I ! I ! i I I '1 PROJECT FINANCING If the project should proceed to the stage where the City Council authorizes plans to be prepared and bids to be solicited as required by law, the City Council may award the construction to the lowest responsible bidder, providing the bid does not exceed 110% of the construction cost estimates contained herein. After the project has been completed and final costs are known, a public hearing will be held which will identify the actual costs to be recovered by special assessment. Each property may, at any time prior to certification of the assessment to the County Auditor, pay the whole of the assessment of such property, with interest, except that no interest shall be charged if the entire assessment is paid within thirty (30) days from the adoption of the assessment resolution. Special assessments reported to Anoka County shall be payable over a ten-year period with interest at a rate of two percent above the U.S. Treasury Bill in effect September 1, 2000. For the purposes of this feasibility study, the interest rate is estimated to be 8%. The costs represented in this report are estimates. Table 2 presents a project financing summary as it would affect individual properties. PROJECT PROCEDURE AND SCHEDULE This project will be undertaken and financed through the process that allows municipalities to special assess properties for public improvements. This process is governed by Minnesota State Statute 429. In addition, Ramsey City Charter provides that no project that is to be special assessed may be ordered until a period of 60 days has elapsed following the close of the public hearing. The City Charter also provides that if a majOrity of the benefited property owners, in this case s/x, petition against the project, the Council cannot order the project. If no such petition against the project is received, the City Council may at its discretion order the project, which could be anticipated to proceed on the schedule as outlined below: Hold public hearing .......... ~. .......................................................................... August 12, 2003 Initiate project by ordering plans and specifications ................................ October 14, 2003 Begin easement negotiations .......................................... ........................... October 14, 2003 Pass condemnation resolution (if required) ............................................ December 9, 2003 Approve plans and specifications and authorize adv. for bids .................. January 13, 2004 Receive bids and award contracts ............................................................ February 24, 2004 Finalize land acquisition .......................................................................... February 24, 2004 Initiate construction ........................................................................................ April 1, 2004 Complete construction ................................................................................... June 30, 2004 Set date for assessment public hearing (minimum 2-wk notice) ................ August 24, 2004 Hold assessment hearing ....................................................................... September 28, 2004 First payment due with real estate taxes ............................................................... May 2005 Action: Hold Public Hearing Reviewed by: City Administrator Director of Public Works CC: 8/12/03 -197-