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City Engineer Westby explained that the bids were significantly over the estimate well before <br />construction began. He stated that the final cost is based on the contractor's bid and highlighted <br />the bid items that were higher than the estimated amounts. He confirmed that there was not a <br />second neighborhood meeting after the bid was received. <br />Ms. Klucking stated that although they would have been in agreement with $3,900, the residents <br />would have objected to the project with the higher assessment amount. <br />Councilmember Heinrich asked if there was a mention of the assessment not exceeding $4,500. <br />City Engineer Westby replied that nothing was provided to property owners in the amount of <br />$4,500. He noted that it was mentioned that this project was similar to Jarvis Street, which had <br />an assessment of $4,500. <br />City Administrator Ulrich stated that he spoke with the Finance Director whom stated that the <br />County does not allow partial payment on assessments so full payment needs to be made in order <br />to avoid interest charges. <br />Councilmember Musgrove referenced the initial notice sent to residents with the preliminary <br />assessment amount and asked if that indicates a timeframe when residents should expect to find <br />out the actual cost. <br />City Engineer Westby explained that the preliminary assessment notice stated that the final <br />assessment hearing would be held on October 8th. He stated that the same process has been <br />followed for the past five years. <br />Councilmember Menth asked for clarification on when the final assessment notices are sent. <br />City Engineer Westby replied that the final notices are sent once the project is substantially <br />complete and the final costs are generally well known. <br />Councilmember Kuzma asked the anticipated improvement to the property values for the project <br />area. <br />City Engineer Westby deferred back to the special benefit consultation report that was completed <br />for the Jarvis Street project which estimated an increase of $7,500 to $8,500 in value to the <br />properties. <br />Lisa Monserud, 5725 180th Lane NW, asked if the possibility of a franchise fee still exists. She <br />asked if the assessment is paid, would then residents in this area then not have to pay franchise <br />fees. <br />Councilmember Riley stated that the Council is still discussing the option of franchise fees, <br />noting that there is an option to rebate the franchise fee during the 10-year period for properties <br />paying assessments. <br />City Council / October 8, 2019 <br />Page 7 of 15 <br />