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<br />CASE # !J <br />PUBLIC HEARING REGARDING SPECIAL ASSESSMENTS q <br />FOR IMPROVEMENT PROJECTS 06-04, 06-05, 06-06, 06-07, 06-08, 06-09, AND <br />06-11 BITUMINOUS OVERLAYS OF CITY STREETS <br />By: Steven J. Jankowski, City Engineer <br /> <br />Background: <br /> <br />This special City Council meeting is being held for the purpose of conducting a public <br />hearing and passing upon the special assessments necessary for the financing of the <br />following seven projects which involve the placing of a one and one half bituminous <br />overlay on the City streets within these projects: <br /> <br />06-04 Alpaca Estates; Alpaca Estates 1st 2nd & 3rd <br />06-05 Ford Brook Estates E/O TH47 <br />06-06 Forest Hideaway <br />06-07 Oakridge Estates <br />06-08 Hall-Anderson Acres <br />06-09 Sections 6 & 7 (Unplatted) <br />06-11 Waco St; 150th Ave <br /> <br />Bids were received on July 11,2006 and low bid received would result in assesSment an <br />average of 28% higher than the estimated construction cost contained in the feasibility <br />study. The higher than estimated project cost is a result of the substantial increases in <br />bituminous and energy costs since the feasibility study was prepared in December of <br />2005. City code section 4.60.05 Subd 3 states that "no contract shall be let in the event <br />that the lowest responsible bid exceeds the estimated cost by more than 10%." <br />It is the opinion ofthe City Attorney that an award of this contract contrary to the City <br />code could result in a legal challenge that would jeopardize the entire proposed <br />assessment. On the other hand postponing the proj ect would most likely result in still <br />higher project costs unless oil and bituminous prices decline which is not expected. <br /> <br />At the July 25th meeting Council directed that a public hearing be held prior to the award <br />ofthe contract to the low responsible bidder. The proposed assessments are being <br />proposed at 110% ofthe costs presented within the feasibility study to be in conformance <br />with the intent of City code. The cost ofthe assessments for each ofthe projects is as <br />follows: <br /> <br />Project Feas Study Proposed <br /> Unit Assmnt Unit Assmnt <br />06-04 $ 1,024 $ 1,126 <br />06-05 $ 918 $ 1,009 <br />06-06 $ 951 $ 1,046 <br />06-07 $ 1,101 $ 1,211 <br />06-08 $ 978 $ 1,076 <br />06-09 $ 955 $ 1,051 <br />06-11 $ 806 $ 886 <br /> <br />9 <br />