Agenda - Council - 06/26/2018 - Laserfiche WebLink

Home

lour 1111.1siion: To work together to reiposibty grow our community, and to provide quality, coat -effective, and efficient government ierrlcas. CC Regular Session 7. 5. Meeting Date: 06/26/2018 By: Diana Lund, Finance Information Title: Adopt Resolution #18-121 Providing for the Issuance and Sale of $1,210,000 GO Street Reconstruction Bonds, Series 2018A, Pledging Special Assessments and Levying a Tax for the Payment Thereof Purpose/Background: Purpose: To provide funding for road reconstructions via the issuance of Street Reconstruction Plan Bonds. Background: Over the past several years, much discussion has taken place over the financing of road improvements. These needed improvements: Sealcoats, Overlays and Reconstructions are based on the 60-year Long -Term Street Maintenance Program that the engineering department had compiled on all of the City's streets based on a PASER rating (the lower the PASER rating, the worse the road). Based on the Long -Term Street Maintenance Program, it was estimated that the highest priority projects averaged $2.2M over the first five years and increased thereafter. Of the estimated $2.2M, $500,000 would be funded from the General Fund and the remainder from the issuance of debt. The payment of said debt would be paid from an annual tax levy and assessment to benefiting parties. The year 2015 was the first year that the City issued road reconstruction debt to fund the first road reconstruction project (Garnet and 168th Avenue) as outlined in the Long -Term Street Maintenance Program. and the 2015-2019 Capital Improvement Plan (5-Year Road Plan that was adopted in 2015 and that outlined the respective projects and costs for years 2015-2019). The City issued a total of $1,205,000 GO Street Reconstruction bonds in 2015 for Garnet/168th Avenue reconstruction and overlay projects. The second road reconstruction project to be undertaken per the Street Maintenance Program and the 2015-2019 Capital Improvement Plan was Andrie Street and 164th Lane. The City issued a total of $1,650,000 GO Street Reconstruction bonds in 2016 to fund these improvements. The third year of road reconstruction projects to be undertaken per the Street Maintenance Program and the 2015-2019 Capital Improvement Plan was the reconstruction of Alpine Drive and Sunwood Drive. The City Issued a total of $895,000 GO Street Reconstruction bonds in 2017 to fund these reconstructions. The City is now in its fourth year of funding road projects via the issuance of Street Reconstruction bonds. For year 2018, $1,210,000 (hard and soft costs) is proposed to be issued to fund the reconstructions of Stanhope Terrace and River's Bend, along with several overlay projects in the areas known as North Forty, Northfork Itasca and Northfork Oaks. The issuance of General Obligation Street Reconstruction Bonds will be used to fund the street reconstruction portion only of the project. Storm water utility costs related to any of the projects will be funded from the storm water utility fund. At its regular meeting of May 22, 2018 City Council passed Resolution #18-100 authorizing the issuance of GO