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City Council Minutes 09-28-1977 Special SPECIAL MEETING - ITY COUNCIL Monticello Jr. Hig' Auditorium September 28, 1977 - 8:00 P. M. I Members present: Johnson, G imsmo, Blonigen, Walters, White. Also present were John Bada ich and Keith Nelson of the consulting engineering firm of Orr-Schelen~Mayeron & Assoc. The purpose of the meeting on the permanent street imp the City of Monticello. John Badalich, consulting c ty engineer, reviewed the proposed permanent street i provement program which would include curb, gutter, storm sewer improvements and a 36 foot bituminous street. as to hold a Public Hearing ovement program proposed for I The total project was recom ended for construction in 2 phases; Section I being t e area west of Hwy. #25 and Section II being the ar a east of Hwy. #25. The estimated costs of the "mprovements were as follows: Section I - area west 0 Hwy. 25 - $1,413,600 Section II - area east f Hwy. 25 - 1,077,200 Total estimate cost $2,490,800 Gary Wieber, city administr tor, presented an explanation of the proposed assessments and tax increase for a typical parcel being served by the "mprovements. The current consensus of th council would be to assess 20% of the total project co ts to the abutting property owners. Using this percent ge, a typical parcel of 66' x 165' would be assessed $7.30 per foot or $483.00 for street improvements and .01 94 per square foot for storm sewer or $130.00. This wou d amount to approximately $613.00 or $55.00 per year or 20 years including interest. In addition, 80% balance of the project costs would be placed on ad valorem taxes nd would result in a property tax increase based on the m rket value of the home as follows: Market value: Approximate increase $20,000 $10.91 $30,000 $33.84 $40,000 $47.85 I The public hearing was open the following persons were Wilbur Eck - Inquired as t whether he could get a de- ferred assessment. Also as ed whether it is necessary for the city to hold a referend m on the improvement. Mr. Eck opposed the project due to the high assessment on his parcel. Also felt the need for the improvements had not been established. citizens comments and September 28, 1977 - Specia meeting - cont'd. I Ben Smith - Inquired as to indebtedness and what futur real estate taxes in Montic he city's projects 110. current total would do to the Caroline Ellison - Asked owned by Senior Citizens properties were re-sold. deferrment of assessments i Ellison expressed support if assessments against property ld be deferred until the T e city would check into the legally possible. Mrs. r the project. co I Jeff Rowan - Inquired as to why the project would include re-paving 3rd Street since "t was recently resurfaced in 1973. The engineer stated hat 3rd Street would have to be widened to 36' and re-gr ded to provide for proper storm sewer drainage. Mr. owan did not see the urgency of a curb and gutter progra and opposed the project. Harry Schaffer - Felt the r ason our streets, especially 3rd Street, have been deter'orating is because of the heavy truck traffic. Cindy Rasmussen - Asked whe her there would be any guarantee that the streets ould not fall apart within 6 months to a year. She al 0 asked whether the streets would ever be torn up after they were completed. She was assured that a quality "mprovement should not show signs of deteriorating for any years and that all under- ground utilities would be i stalled before a permanent street was constructed. No opposition to the project was given. Paul Dahl- Asked whether pe manent street construction might cause damage to indiv"dual wells. Was informed that under normal circumstances, no permanent damage should occur. He also questioned hy utilities such as telephone and electric lines wouldn't be installed first in the streets. The engineer comm nted that these utilities could be installed along th city's right of way without disturbing any permanent s reets. No opposition to the project was expressed by Mr. Dahl. Arlene McIntire - Voiced op osition to the project because property owners not receivi g the improvements would be asked to still pay for a portion of the costs through ad valorem taxes. I John Mitchell - Asked whether any allowance would be made on the storm sewer assessme t since his property drains to the river already. It was indicated that no allowance would probably be made. Bud Schrupp - Felt that the project was a needed im- provement and that the asse sment policy proposed was fair. William Sandberg - Question d why a referendum wasn't considered by the council. Also expressed concern on what might happen should gr ss earnings legislation become effective. He was informed that all of the recent gross earnings legislations have included the grand fathering in of all outstanding bonds issued by the city and would continue using the utilities present valuation, thus there should be no noticeab e effect on taxes for the project. Mr. Sandberg also felt that water drainage is not a problem in Monticello and opposed the project without a referendum. I Marie Peterson - Inquired as to whether property not receiving any improvements ould be assessed. It was stated that only parcels being benefitted by the improvements would be assessed. Walter Klatt - Asked whether a 66' wide lot could be built on. He was informed that a building permit could be obtained provided all city ordinances were met. I Fran Fair - Did not feel a as council members were al to make decisions of this of the project and felt it tax base is still here. public referendum was necessary eady elected by the citizens ature. She expressed support should be done now while our Hearing no other citizens comments, the hearing was ad- journed by the council. A decision will be made by the council at a later date. ~lt;l~ Adm. Assistant RW/lg I