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#2 Public hearing and action on sewer and water assessments in Bid Schedule B-2011 (File Res. #2011-796) DEPARTMENT OF PUBLIC WORKS MEMORANDUM 25 APRIL 20011 TO: City Council FROM: Mike Payne, Engineering Manager SUBJECT: PUBLIC HEARING AND ACTION ON A PROPOSED FINAL RESOLUTION FOR PUBLIC WORKS BID SCHEDULE “B” – 2011 (FILE RES. NO. 2011-796) ON APRIL 25, 2011 Exective Summary: u The City Council will consider attached Final Resolution No. 2011-796 for an assessable project on Bid Schedule “B”-2011 at the April 25, 2011 meeting. The Resolution includes sanitary sewer and water main extensions required prior to roadway improvements resulting from a Wisconsin Department of Transportation (DOT) project along STH 26 in 2012. By adopting this Final Resolution, the City is declaring its intent to assess the abutting properties benefited by these improvements. The Resolution contains two assessment categories. Category I includes water and sewer Category II includes water main only. The Council is also being asked to consider non-use utility deferments for properties abutting McCormick Drive, Huntinghorne Drive, and Fox Hills Court. The McCormick Drive and Huntinghorne Drive segments abut undeveloped property. Fox Hills Court will be a new cul-de-sac providing access to several properties losing direct access to STH 26 as part of the DOT project. The affected properties are currently served by septic systems and wells. The most efficient way to serve these properties with City sewer and water is to extend utilities from Fox Hills Drive. City Manager’s Recommendation: The City Manager recommends approval. Engineering Division Recommendation: Following the public hearing, the Engineering Division recommends Final Resolution No. 2011-796 be adopted and the Council approve a 5 year non-use deferment for water main only on Huntinghorne Drive and water & sewer on McCormick Drive, as well as non-use deferments for water and sewer on Fox Hills Court until existing septic systems or wells fail or residential properties are sold. Suggested Motion: I move to adopt Final Resolution No. 2011-796 and approve a 5 year non-use deferment for water main only on Huntinghorne Drive and water & sewer on McCormick Drive, as well as non-use deferments for water and sewer on Fox Hills Court until existing septic systems or wells fail or residential properties are sold. Background This Resolution affects five (5) property owners. The assessments have been applied in accordance with Council Policy #63 – Special Assessments. A description of the locations is outlined below: Future N. Wright Road The DOT is in the process of purchasing right-of-way for the extension of N. Wright Road to create a new intersection with John Paul Road as part of a 2012 DOT project. The DOT requested the City extend the utilities in 2011 prior to the DOT construction project in 2012 to avoid future conflicts in the work area. The property abutting this segment is currently out of the City. McCormick Drive / Huntinghorne Drive The DOT is planning to install a fully signalized intersection on STH 26 at McCormick Drive in 2012. The City owns and operates a sanitary sewer lift station in the northwest quadrant of the intersection which is in conflict with the DOT improvements on STH 26. The DOT requested the City relocate the lift station prior to the DOT project. Rather than relocate the lift station, the City will be eliminating the lift station and associated operating costs by extending sanitary sewer along McCormick Drive. The City will also be providing a water main loop between STH 26 and Huntinghorne Drive via the McCormick Drive corridor. A temporary street connection is planned to be constructed later this year along the same route. This will provide the existing neighborhood direct access to STH 26. The DOT plans to eliminate outbound left turning traffic from the neighborhood onto southbound STH 26 at Woodcrest Drive. Attached is a request from Jack Willow Investments, LLC for a non-use deferment on utilities. Council Policy No. 63, Section IV allows a 5 year non-use deferment for special assessments levied against undeveloped properties used for agricultural purposes. The respective utility will pay the carrying costs. The non-use deferments total $92,559.30. Fox Hills Court The DOT intends to construct a new cul-de-sac, Fox Hills Court, in 2012 to provide access to several properties losing direct access to STH 26. The DOT is allowing the City to install sewer and water within the right-of-way corridor being acquired by the DOT prior to DOT constructing the street. The most efficient way to serve the properties with City sewer and water is to extend utilities from Fox Hills Drive rather than along STH 26. Staff is recommending deferments for water and sewer on Fox Hills Court since none of the properties have requested City utilities and their existing septic systems and wells appear to be functioning properly. Installing the utilities now will avoid having to excavate and patch the street at a future date which would be detrimental to the life of the street and increase long term street maintenance costs for the City. The Council granted similar water and sewer assessment deferments to property owners in Royal Oaks subdivision several years ago when utilities were installed abutting their properties to serve an adjacent subdivision. The three (3) non-use deferments total $27,347.21. Attachments: - Resolution 2011-796 - N. Wright Road Map - McCormick Drive / Huntinghorne Drive Map - Fox Hills Court Map - Engineers Report - Non-use deferment request on behalf of Jack Willow Investments, LLC cc: Eric Levitt Jay Winzenz Carl Weber SEWER AND WATER ASSESSMENTS FOR CONTRACT 2011-10 25 APRIL 2011 RESOLUTION NO. 2011-796 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 AND SEWER All Property Fronting Upon Each Side Of From To N. Wright Road John Paul Road 500’ Southeast of John Paul Road Future McCormick Drive Milton Avenue (STH 26) 800’ Southeast of Milton Avenue Future Fox Hills Court Fox Hills Drive 225’ Northwest of Fox Hills Drive II. WATER MAIN ONLY All Property Fronting Upon Each Side Of From To Future Huntinghorne Drive Future McCormick Drive 250’ Southwest of McCormick 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. SEWER AND WATER ASSESSMENTS FOR CONTRACT 2011-10 25 APRIL 2011 FINAL RESOLUTION NO. 2011-796 PAGE (2) OF (4) 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 benefitting 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 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 SEWER AND WATER ASSESSMENTS FOR CONTRACT 2011-10 25 APRIL 2011 FINAL RESOLUTION NO. 2011-796 PAGE (3) OF (4) 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: 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 City has determined to undertake the capital improvements described in paragraph 1 above (the "Projects"). The City anticipates that moneys, other than the proceeds of any outstanding debt of the City, will be expended by the City with respect to such capital improvements. The City reasonably expects to be reimbursed for such expenditures with proceeds of its debt. The maximum principal amount of debt expected to be issued for the reimbursement of such expenditures is $5,000,000. No funds from sources other than the debt referred to above are, or are expected to be, reserved, allocated on a long-term basis, or otherwise set aside by the City or any entity controlled by the City pursuant to its budget or financial policies with respect to the Projects. This is consistent with the budgetary and financial circumstances of the City. Copies of this resolution shall be made available for public inspection in the manner required by law. This Resolution is a declaration of official intent under Treasury Regulation Section 1.150-2. SEWER AND WATER ASSESSMENTS FOR CONTRACT 2011-10 25 APRIL 2011 FINAL RESOLUTION NO. 2011-796 PAGE (4) OF (4) ADOPTED: MOTION BY: SECOND BY: APPROVED: COUNCILMEMBER AYE NAY PASS ABSENT BRUNNER Eric J. Levitt, City Manager DONGARRA- ADAMS ATTEST: LIEBERT McDONALD Jean Ann Wulf, City Clerk-Treasurer RASHKIN STEEBER APPROVED AS TO FORM: VOSKUIL Wald Klimczyk, City Attorney Proposed by: Engineering Division Prepared by: Engineering Division REPORT ON PROPOSED SPECIAL ASSESSMENTS FOR PUBLIC IMPROVEMENTS AGAINST PROPERTIES LOCATED IN JANESVILLE, WISCONSIN This report is submitted in accordance with the requirements of 66.0705, Stats., and the preliminary resolution of the municipal governing body of Janesville, Wisconsin, dated April 11, 2011, determining to levy special assessments on benefitted properties for public improvements described in Schedule B of this report to be made in the assessment district described in Schedule C of this report. This report consists of the following schedules: Schedule A - Final plans and specifications are on file in the City of Janesville Public Works Department. Schedule B - Estimate of entire cost of proposed improvements, attached. Schedule C - Schedule of proposed assessments against each benefitted parcel, attached.  J:\Development\Engineering\Special Assessments\Engineer's Report\2011\Bid Schedule B-2011 Engineering Report with Schedules.doc SCHEDULE B PUBLIC WORKS PROJECTS BID SCHEDULE B-2011 PROGRAM SUMMARY ESTIMATEDESTIMATED ESTIMATED TOTAL COSTSASSESSMENTS PROGRAMCITY COSTS I. WATER AND SEWER$252,592$174,753$77,839 II. WATER MAIN ONLY$15,308$11,166$4,142 TOTAL$267,900$185,919$81,981 SOURCES OF FUNDING GENERAL FUND ASSESSMENTS CITY SHARE $81,981$185,919 Total $267,900 OFFICE OF THE CITY ENGINEER Friday, April 15, 2011 J:\Development\Engineering\Special Assessments\Engineer's Report\2011\B-2011 Engineers Report_Condensed.xls SCHEDULE C LIST OF PROPERTY OWNERS & INDIVIDUAL ASSESSMENTS SCHEDULE C -- Proposed Assessments. The following properties against which the proposed assessments are to be made are benefitted by the proposed improvement because of availability of municipal water service, provision of water for fire protection, and improvement of reliability of water distribution.  ParcelProperty AddressOwnerWaterSewerTotal Water and Sewer 02082004694676 Milton AvJack Willow Investments, LLC$18,854.90$15,443.50$34,298.40 02082004704700 Milton AvJack Willow Investments LLC,$18,936.70$15,510.50$34,447.20 02082004714724 Milton AvJack Willow Investments LLC,$3,476.50$2,847.50$6,324.00 02082004724405 McCormick DrJack Willow Investments, LLC$3,476.50$2,847.50$6,324.00 02084000134246 Milton AvRicky Lee Hesgard$2,863.00$2,345.00$5,208.00 02084000144242 Milton AvFish Revocable Trust,$2,863.00$2,345.00$5,208.00 02084000654324 Milton AvBoughton Revocable Trust,$9,307.61$7,623.60$16,931.21 0205300777Future N Wright RdOut of City$36,288.94$29,723.22$66,012.16 Total$96,067.15$78,685.82$174,752.97 Water Main Only 02082004724405 McCormick DrJack Willow Investments, LLC$11,165.70$11,165.70 Grand Total Assessments:$107,232.85$78,685.82$185,918.67  J:\Development\Engineering\Special Assessments\Engineer's Report\2011\Bid Schedule B-2011 Engineering Report with Schedules.doc