Agenda - Council - 03/14/2017 - Laserfiche WebLink

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Proposed Improvements Damaged sections of existing concrete curb and gutter will be removed and replaced, as will concrete cross gutters at driveways and intersections which facilitate drainage preventing pockets of standing water which freeze in the winter causing unsafe conditions for drivers and pedestrians. The existing bituminous pavement is proposed to be reconstructed using a process called Stabilized Full Depth Reclamation(SFDR). The proposed SFDR process includes milling the top 3 inches or so of existing bituminous pavement and disposing of the millings off site. All remaining existing bituminous pavement is proposed to be reclaimed(ground up and mixed)with the existing class 5 aggregate base (about 1 inch of reclaim material will need to be hauled off site to make grades work). The reclaim material will then be spread on top of the existing subgrade and a stabilizing agent will be added to increase its strength. The stabilized reclaim material will be shaped and compacted into a 5 inch lift, after which 4 inches of new bituminous pavement will be placed on top. The new pavement section will result in a 10-ton pavement design meeting current State Aid pavement design standards. The existing storm sewer system is in good condition and based on preliminary review appears to meet all current State Aid design standards.No storm sewer improvements are therefore proposed, other than casting adjustments. The existing sanitary sewer and watermain appear to be in good condition but inspections will be completed during final design to ensure no repairs are needed prior to completing the proposed improvements. Estimated Costs The engineer's opinion of probable costs for completing the proposed improvements on Sunwood Drive as outlined in the attached draft Feasibility Report is $607,000. Estimated costs include 23%indirect costs for administrative, engineering, finance and legal costs. A summary of the engineer's opinion of probable costs is included in Appendix Bof the Feasibility Report. Funding Sources The improvements are proposed to be funded using a combination of funds. These funds include an estimated $447,950 in Street Reconstruction and Overlay Program (SROP)bond funds which will be paid back over a 10 year term through the general fund, an estimated$7,300 in stormwater utility funds, and$151,750 is proposed to be collected from special assessments to benefiting properties which equals 25%of eligible construction costs as allowed per the City's adopted Special Assessments Policy. A total of 9 parcels receive special benefit from the improvements as identified in the preliminary assessment map and roll in the Feasibility Report. Special Assessments The City's adopted Special Assessments Policy specifies that special assessments are to be used to pay for 25%of eligible street reconstruction improvement costs,which equals $151,750 for this project. Preliminary assessments are calculated using methods that result in reasonable and equitable distribution of assessments that are uniform upon the same class of properties within the assessable area. The test for determining the validity of a special assessment is whether the improvement for which the assessment was levied has increased the market value of the property against which the assessment was levied in at least the amount of the assessment. Ramsey's Special Assessments Policy identifies three optional methods for calculating assessments. The 9 identified benefiting properties on this project are zoned E1 or E2 (industrial) so only two assessment methods are recommended;the "adjusted front footage"method and the "area"method. Staff originally considered impacts of both methods as they would be applied in the current context of the policy. The adjusted front footage method results in less variability between assessments ($9K- $40K),while the area method results in greater variability ($3K- $42K). Staff initially recommended using the area method since it appeared to better assign benefit based on lot geometry,which seemed to make sense for this project considering the significant differences in lot depths along the corridor. However,based on feedback received from the consulting appraisal firm that prepared the benefit appraisal consultation reports for recent street reconstruction projects in Ramsey, Patchin Messner Dodd and Brumm, and based on feedback received from staff from other cities that have assessed industrial parcels for street reconstruction improvements, staff now recommends using the adjusted front footage method.