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#2 Public hearing and action on East Racine watermain (File Res. #2010-759) DEPARTMENT OF PUBLIC WORKS MEMORANDUM 13 December 2010 TO: City Council FROM: Mike Payne, Engineering Manager SUBJECT: PUBLIC HEARING AND ACTION ON A PROPOSED FINAL RESOLUTION FOR ASSESSABLE WATERMAIN ON STH 11 (FILE RES. NO. 2010-759) Exective Summary u On November 22, the Council approved Preliminary Resolution No. 2010-758 expressing their intent to assess the watermain extension on STH 11 and allow for commencement of construction in November to serve the Home Health United project. This Final Resolution levies special assessments related to a 12” water main extension along the south right-of-way for STH 11 between S. Wright Road and Wuthering Hills Drive. This water distribution system loop will connect two dead-end mains and provide better reliability to system users in the surrounding area, including the new Dean Clinic and St. Mary’s Hospital which is scheduled for occupancy in late 2011. Upon adoption of Final Resolution 2010-759, the City declares its intent to assess four (4) abutting privately owned properties benefitting from the new watermain extension. In reviewing the water distribution system, Utility and Engineering staff have determined there is no need for double mains on this stretch of STH 11, resulting in a 50% savings to abutting property owners. City Manager’s Recommendation The City Manager recommends approval. Engineering Division Recommendation The Council adopted Preliminary Resolution 2010-758 at the November 22 meeting. Following the public hearing, the Engineering Division recommends adoption of Final Resolution No. 2010-759 to assess the watermain along STH 11 from S. Wright Road to Wuthering Hills Drive. Recommended Motion I move to approve Final Resolution 2010-759 to assess the watermain along STH 11 from S. Wright Road to Wuthering Hills Drive. Background Two (2) parcels on the south side of STH 11owned by Sara Investments have already signed a TIF development agreement and agreed to pay for the watermain costs abutting their frontage. The City Council adopted Resolution 2010-753 on November 22 authorizing the City Manager to execute the TIF agreement with Sara Investments. This watermain extension provides service to the Home Health United Project at the southeast corner of STH 11 and S. Wright Road. In addition, TIF will be paying costs for the undeveloped City owned parcel on the north side of STH 11. All special assessment rates for this schedule are final rates computed using costs obtained in watermain contract 2010-6 and the work has been added by change order to complete the installation of the STH 11 watermain between Wright Road and Wuthering Hills Drive. Installation of the watermain in this manner allows the City to complete this improvement in an expeditious and cost effective manner, in time to provide service to the Home Health United development by its projected opening in early 2011 as well as providing improved water service reliability to the STH 11 business area prior to the opening of the Dean/St. Mary Health Care Center projected for the fall of 2011. Attachments: - Report on Proposed Special Assessments for Public Improvements - Final Resolution - Location Map cc: Eric Levitt Jacob Winzenz Carl Weber STH 11 ASSESSABLE WATERMAIN 13 DEC 2010 RESOLUTION NO. 2010-759 PAGE (1) OF (4) FINAL RESOLUTION FINAL RESOLUTION DECLARING INTENT TO EXERCISE SPECIAL ASSESSMENT POWERS UNDER SECTION 66.0703, WISCONSIN STATUTES AND REQUIRING INSTALLATION OF WATER, SEWER, AND GAS SERVICE PIPES AND PROVIDING FOR ASSESSMENT OF COSTS UNDER SECTION 66.0911, WISCONSIN STATUTES; RESOLVED, By the Common Council of the City of Janesville, Wisconsin. 1. The Common Council hereby declares its intention to exercise its power pursuant to S.66.0703 and S.66.0911, Laws of the State of Wisconsin, to levy special assessments on a reasonable basis upon property abutting the following described streets, pursuant to its police powers, by improvement of the said streets to further facilitate traffic flow and safety, and to assist in providing for the safety, health, and general welfare of the public, to-wit: I. WATER MAIN ONLY All Property Fronting Upon Each Side Of From To STH 11 S. Wright Road Wuthering Hills Drive 2. Said public improvements shall include the above listed improvements on the various listed streets to the grades established therefore by the City Council of the City of Janesville, Wisconsin, and recorded in the Office of the City Clerk whether previously established or established in the future. 3. The property against which the assessments are proposed shall be benefited by the improvements and said assessments shall be made upon a reasonable basis. 4. That the actual levy of the special assessment shall take place at the time of the adoption of the final public works resolution by the Common Council of the City of Janesville concerning these improvements. The property owner(s), if any property abutting and/or benefiting from this project is located in Rock Township, against whose property such special assessment shall be levied under and by this Resolution, shall have their payment obligation deferred, without interest accruing thereon, until such time as their specific property is annexed or connects to such improvement(s), in which event the special assessment shall be due and payable either in full or in five (5) annual installment payments, the STH 11 ASSESSABLE WATERMAIN 13 DEC 2010 RESOLUTION NO. 2010-759 PAGE (1) OF (4) latter with interest accruing thereon from the date of annexation or connection. This method of payment shall be approved and ratified by the Board of the Town of Rock in accord with Section 66.0707 of the Wisconsin Statutes, and such other applicable provisions of law and intergovernmental agreement(s), and shall act, once so ratified by the Rock Town Board, as a levied special assessment against such abutting and/or benefiting properties in the Town of Rock. This levy and special assessment payment provisions are in accord with the City of Janesville/Town of Rock Cooperative Boundary Plan, City of Janesville Common Council Special Assessment Policy No. 63, related pertinent provisions, and the Town of Rock/Janesville Highway 11 Bypass Agreement. The special assessment levy and payments shall be made by the abutting, benefiting and affected property owners in accord with the LaPrairie and Rock Township City of Janesville Highway 11 Bypass Agreement, as well as the Rock/Janesville Cooperative Boundary Plan. This provision applies only to the properties located in the Town of Rock. 5. Excluding the assessment for the installation of sewer and water service pipes (lateral) and the assessment against any parcel owned by an individual property owner may be: (a) paid in cash upon completion of the work; or (b) paid with the taxes the first year following completion of the work; or (c) at the election of the property owner, spread over a period of five (5) years with interest at six percent (6%) per annum on the unpaid balance. The first installment on the five-year plan shall include one-fifth of the principal with the interest for November and December on the unpaid portion and shall be so entered in the Tax Roll. Each of the subsequent installments shall be entered in each of the annual tax rolls thereafter until all are collected. Deferred payment on the aforementioned installments shall bear interest at six (6%) per annum. The assessments against any parcel for sewer and water service pipes shall constitute a lien against such parcel and must be paid in cash or with the taxes in the year following the completion of the work. The assessments, as outlined above, pertain only to said individual property owners. The assessments against all parcels of land owned by others, which include subdividers, land developers, speculative builders, or owners of several or more lots on the same street or in the same area will be billed upon completion of the work after which interest at six percent (6%) per annum will be charged from the last day of the month of the billing. The assessments for said other owners may be: (a) paid in cash upon completion of the work in the month of billing without interest; or (b) paid with the taxes the first year following the completion of the work, the amount to be entered in the Tax Roll shall include the unpaid principal with interest through the end of December in the year so entered; or, (c) at the election of the property owner and with the approval of the Committee of Public Works, spread over a period of five (5) years with interest at six percent (6%) per annum on the unpaid balance. The first installment on the five-year plan shall include one-fifth of the principal with interest through the end of December in the year so entered. Each of the subsequent installments shall be entered on each of the annual tax rolls thereafter until all are collected. Deferred payment on the aforementioned installments shall bear interest at six percent (6%) per annum. 6. The City Engineer is directed to prepare a report consisting of: STH 11 ASSESSABLE WATERMAIN 13 DEC 2010 RESOLUTION NO. 2010-759 PAGE (1) OF (4) a. Final plans and specifications for said improvements, b. An estimate of the entire cost of the proposed improvements, c. A schedule of the proposed assessments, and d. A statement showing that the property against which the assessments are proposed is benefited, the improvement constituting an exercise of police powers. Upon completing such report, the City Engineer is directed to file a copy thereof in the City Clerk's Office for public inspection. The City Engineer is also directed to advertise for bids to carry out such work of such improvements in accordance with the report. 7. Upon receiving the report of the City Engineer, the Clerk is directed to give notice of a Public hearing on such report as specified in S.66.0703(7)(a), Wisconsin Statutes. The hearing shall be held at the Council Chambers in the Municipal Building at a time set by the Clerk, in accordance with S.66.0703(7)(a), Wisconsin Statutes. 8. The Common Council of the City of Janesville hereby approve and authorize the City Administration to take actions necessary to engage in the Project and to provide funding for capital improvements described in paragraph 1 above (the “Projects”) with funding not to exceed $260,000; No funds from sources other than the Notes or the Available Funds identified above are, or are expected to be, reserved, allocated on a long-term basis, or otherwise set aside by the City for the project, except as permitted by the Internal Revenue Code of 1986, as amended. This declaration of official intent is consistent with the budgetary and financial circumstances of the City. The purpose of this Resolution is to satisfy the “official intent requirement” of Treasury Regulation Section 1.150-2 STH 11 ASSESSABLE WATERMAIN 13 DEC 2010 RESOLUTION NO. 2010-759 PAGE (1) OF (4) ADOPTED: MOTION BY: SECOND BY: APPROVED: COUNCILMEMBER AYE NAY PASS ABSENT BRUNNER Eric J. Levitt, City Manager McDONALD ATTEST: PERROTTO RASHKIN Jean Ann Wulf, City Clerk-Treasurer STEEBER TRUMAN APPROVED AS TO FORM: 11/23/10 VOSKUIL City Attorney Wald Klimczyk Proposed by: Engineering Division Prepared by: Engineering Division