Agenda - Council - 04/23/1985 - Laserfiche WebLink

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I I I I ! ! I I I I I I years. Assessments for improvements not included as a part of a new deve]o~pent shall be assessed for a ten (]0) year period. (3) Interest Rate - The rate of interest on assessments shall be one and one-bali percent (1-1/2%) greater than the rate of interest the City paid on the bonds which were issued to finance the project or, in the event no bonds were issued, then one and one-half percent (1-1/2%) greater than the average rate of interest on ali bonds issued in the previous calendar year or the current market rate. (4) Indexes - Depending upon the appropriate resolution or authorization, the construction cost index or consumer price index may be used. ~he construction cost index is a number computed by "Engineering News Record" derived from prices of construction materials, labor and equipment for the Minneapolis area base year of ~g]3 equals 100. ~he oonsu~er price index is a number computed by the U.S. Department of Labor derived from prices of good and services for the Minneapolis area, base year of 1967 equals 100. (5) Properties Not Assessed - Special assessments will not be levied against the properties described as follows: (a) Undeveloped lands laying within the floodway of major drainage channels. (b) Drainage ponds (defined by public easements) and major drainage ditch easements and DNR designated wetlands. (c) Rights-of-way of all limited access highways. (d) C~etaries. (e) Major transportation rights-of-way. No building or landfill permits will be issued for such where assessments have been deleted from assessment rolls. c) (6) Subsequent Assessment of Initially Non-Benefited Properties -When an improvement is constructed and could serve a property, but such property does not receive the benefit of said improvement when it is completed and then, at a later date, the property owner desires to receive the benefit of the improvement, a special assessment hearing shall be held to assess the improvement oost to the property. The amount to be assessed shall be that property's pro rata share of the improvement oost when initially constructed and assessed plus accrued interest from the time of the initial project assessment. ~he interest rate shall be the greater of the rate at which the project was initially assessed or the then going rate for similar City improvement projects. Methods of Assessment - The City Council has in the past, in preparing assessment rolls, used five (5) methods of assessments. Any combination may be used for a particular project. Add the following paragraph: 1)B) (7) Pending Assessments - In the event that the special assessments on a project have not been levied at the time of the application for a certificate of occupancy for any structures, the owner of the lot or developer shall escrow with the City Finance Department 105 percent of the esti- mated asssessment or show proof of escrow with a mortgage company. At the time the assessments are levied, the escrow shali be used for the payment of the assessment and any excess funds shall be returned to the owner or developer.