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2017.04.04 Work Session Packet (2nd) Posted: March 31, 2017 City Council Second Work Session Agenda April 4, 2017 Immediately following the Economic Development Authority meeting Conference Room A Pursuant to due call and notice given in the manner prescribed by Section 3.01 of the Ci ty Charter, the second work session of the Crystal City Council was held at ______ p.m. on April 4, 2017 in Conference Room A at City Hall, 4141 Douglas Dr. N., Crystal, Minnesota. I. Attendance Council members Staff ____ Parsons ____ Norris ____ Adams ____ Therres ____ Budziszewski ____ Revering ____ Dahl ____ Gilchrist ____ Deshler ____ Ray ____ Kolb ____ McGann ____ LaRoche ____ Serres II. Agenda The purpose of the work session is to discuss the following agenda items: 1. Phase 16 funding 2. Constituent issues update 3. New business* 4. Announcements* * Denotes no supporting information included in the packet. III. Adjournment The work session adjourned at ______ p.m. Auxiliary aids are available upon request to individuals with disabilities by calling the City Clerk at (763) 531- 1145 at least 96 hours in advance. TTY users may call Minnesota Relay at 711 or 1-800-627-3529. 4141 Douglas Drive North • Crystal, Minnesota 55422-1696 Tel: (763) 531-1000 • Fax: (763) 531-1188 • www.crystalmn.gov 4141 Douglas Drive North • Crystal, Minnesota 55422-1696 Tel: (763) 531-1000 • Fax: (763) 531-1188 • www.crystalmn.gov G:\Council Executive Summaries\2017\Worksessions\Phase 16 4.4.17.docx Memorandum DATE: April 4, 2017 TO: City Council FROM: Jean McGann, AEM Financial Solutions Mark Ray, PE, Public Works Director SUBJECT: Phase 16 street assessments Staff has completed a review of the cash flow for the Phase 16 Street Reconstruction Project. Based on this review it is recommended that the street assessment for sin gle family/duplex properties be reduced to $6,572.40 from the originally proposed amount of $6,735. At the work session staff will present a breakdown of the assessments and provide Council with a reminder on the project timeline to date in preparation for the Phase 16 assessment hearing on April 19th Attachments  Project timeline  Assessment correspondence from summer 2016 Requested Council action  Council provide staff with consensus on proposed assessment revision March 30, 2017 G:\Projects\2017\2016-16 Phase 16\429 Project Process Form Phase 16 rev. 2.7.17.docx 2016 – Phase 16 Skyway Street Reconstruction Project Process (2016-16) 429 process: Minnesota State Statute 429 outlines the process for assessments for public improvements. Rev.5/4/16 Rev.2/7/17 Date Project Step Purpose of Step Council Action Staff Action May 17, 2016 Council work session on Feasibility Report Discuss Phase 16 project and first steps of starting design. June 7, 2016 Order preparation of Feasibility Report Ordering the Feasibility Report is a required step in the 429 process. Resolution 2016 September 6, 2016 Council Work session Update Provide the Council with information on the Feasibility Report and the next required steps. September 20, 2016 Accept Feasibility Report and Call for Improvement Hearing The engineer will present the Feasibility Report, the proposed project, an initial cost estimate and potential assessments. As part of the meeting the City Council will also set the date and time for the Improvement Hearing as required by the 429 process. Resolution 2016 October 6, 2016 Neighborhood Meeting Provide a brief overview of the proposed project. Gather resident input on concerns or questions they have about the project. Meeting will be in the Community Room from 6pm to 8pm. Mail Notices late September 2016 October 18, 2016 Improvement Hearing The purpose of this hearing is for the City Council to discuss a specific local improvement before ordering it done. The Council considers all the information in the Feasibility Report and any other information necessary for Council deliberation. At the Improvement Hearing interested persons may voice their concerns, whether or not they are in the proposed assessment area. A reasonable estimate of the total amount to be assessed and a description of the methodology used to calculate individual assessments for affected parcels must be available at the hearing. If the Council rejects the project, it may not reconsider that same project unless another hearing is held following the required notice. Public Hearing Mail notice: late September 2016 November 1, 2016 Improvement Hearing - Continued The purpose of this hearing is a continuation of the October 18, 2016 hearing. Public Hearing Ad in paper: Last two weeks in October November 1, 2016 Order Improvement and Preparation of Plans and Specifications The project may be ordered any time within 6 months after the Improvement Hearing. It is not advisable to change project parameters after ordering the improvement. Upon ordering the improvement construction drawings and specifications are prepared. Any changes to the project scope after this point will require redesign effort with additional cost and staff time as a result. This also has the potential to delay the project. Resolution 2016 January 12, 2017 Neighborhood Meeting Present plans and specifications to the neighborhood. Gather resident input on concerns or questions they have about the project. Mail notice: Late December 2016 February 7, 2017 Approve Plans and Order Advertisement for Bids This step is a requirement of the 429 process. Resolution 2017 Mid February 2017 Publish Ad for Bid in Sun Post News Paper A step in the bidding process. The project will also be advertised on Quest CDN website Publish Ad for Bid March 16, 2017 Bid Opening – 11:00 A.M. Final step in the bidding process. Bids are opened by staff and tabulated. From here staff will make a recommendation to the City Council for award. Open Bids March 30, 2017 G:\Projects\2017\2016-16 Phase 16\429 Project Process Form Phase 16 rev. 2.7.17.docx Date Project Step Purpose of Step Council Action Staff Action March 21, 2017 Declare Amount to be assessed Order Preparation of Assessment Roll and Call for Assessment Hearing The City Council will set the date and time for the Assessment Hearing as required by the 429 process. Resolution 2017 April 4, 2017 Council work session on Phase 16 Discuss Phase 16 assessments, bids, and construction process April 19, 2017 Assessment Hearing The purpose of this hearing is to give property owners an opportunity to express concerns about the actual special assessment. At the Assessment Hearing the City Council shall hear and consider all objections to the proposed assessment, whether presented orally or in writing. This is a required step in the 429 process. Public Hearing Mail notice: Early April Ad in paper: Early April April 19, 2017 Adopt Assessments City Council must, by resolution, adopt the same as the special assessment against the lands named in the assessment roll. This step is a requirement of the 429 process and allows for the project to move forward with beginning the actual construction process. Once the assessment roll is adopted the assessments are set and become liens against the properties listed. Resolution 2017 Mail notice of adoption on April 19, 2017 April 19, 2017 Accept Bids and Award Contracts City Council approves all the project construction-related contracts. This step is required in the 429 process and allows for the project to move forward with starting the actual construction process. Resolution 2017 Late April – Early November 2017 Construction Once the project is awarded staff manages the day-to-day contract execution. Resident Project Representative is on-site to make sure the project is constructed in accordance to the plans and specifications. Communications between the contractor and city is primarily through the City Engineer, Project Manager and Resident Project Representative. Significant changes will be brought to the City Council for approval prior to the work being executed. Minor changes and field directives are authorized by the City Engineer in advance to maintain the project schedule. Adjustments to estimated quantities occur during the final acceptance of the improvements. Manage project October 17, 2017 Conduct Private Driveway and Sewer Service Repair Assessment Hearing and Adopt Assessment This hearing is only for the properties that chose to participate in the optional driveway and/or sewer program. Properties that went ahead with the work did agree to waive their right to appeal the assessment. The purpose of this hearing is to give property owners an opportunity to express concerns about the actual special assessment. At the Assessment Hearing the City Council shall hear and consider all objections to the proposed assessment, whether presented orally or in writing. Resolution 2017 / Public Hearing November 21, 2017 Assessments Certified to Hennepin County Assessments Certified June 2018 Final Layer of asphalt placed Construction Completion The City Engineer will determine when the project specifications have been met and final payment should be made to the Contractor. Project closed out Dear Skyway Park Neighborhood Resident, On June 7, 2016, the City Council continued the local street reconstruction improvement process by directing city staff to prepare a feasibility report for the Phase 16 Skyway Park neighborhood. If the project is approved by the city council for construction in 2017, the city will levy a special assessment against your property. Please carefully review the following estimated assessment amounts and opportunities to provide your input to the City Council or project team. I. Assessments to Your Property A. Assessments The assessments for this project are comprised of two parts. 1. Street (Includes street, grading, storm sewer, drain tile, utility rehab, rain garden and restoration) a.) Single Family and Duplex Assessment Rate $6,735/lot b.) “Commercial and Non-profit” Property Street Assessment Rate $120.79/FF 2. Concrete Curb and Gutter a.) For all properties with no existing concrete curb & gutter $25.86/FF b.) For all properties with existing “sloped” style curb $25.86/FF c.) For all properties with existing “barrier” style curb to be reconstructed $12.93/FF d.) For all properties with existing “barrier” style curb to be reincorporated $6.73/FF B. Schedule: The public improvement hearing will occur in October 2016. This public hearing is the meeting where the council will take comments on the scope of the project. The assessment hearing will take place in April 2017. This public hearing is for the council to take comments on the assessments and receive objections to individual assessments for the project. Once the assessments are levied, they will be sent to Hennepin County and will first appear on the 2018 tax statement. 4141 Douglas Drive North • Crystal, Minnesota 55422-1696 Tel: (763) 531-1000 • Fax: (763) 531-1188 • www.crystalmn.gov C. Rate and Term: Rate is yet to be set by the city council but is estimated to be 4.5% spread over a 15-year term. Prepayments, partial prepayments, deferments, etc, will be explained in greater detail when the official assessment notification and hearing is conducted. II. Opportunities to provide feedback to the City Council or Project Team A. Enclosed Property Owner Questionnaire. B. E-mails, phone calls, written correspondence (see enclosed contacts). C. Phase 16 Neighborhood Open House No. 1 – Oct. 6, 2016 (tentative). 1. Informational meeting with project staff. 2. No formal decisions will being made at this meeting. D. Phase 16 Public Improvement Hearing – Oct. 18, 2016 (tentative) 1. City council to consider directing staff to prepare the plans and specifications needed to bid the project in early 2017. E. Phase 16 Neighborhood Open House No. 2 – January 12, 2017 (tentative) 1. Informational meeting with project staff. 2. No formal decisions will being made at this meeting. F. Phase 16 Assessment Hearing – April 18, 2017 (tentative) 1. City council to consider adopting the proposed assessments and levying a special assessment against the neighborhood properties. 2. City council to consider awarding the construction contract. G. City Council Meetings – Generally the first and third Tuesdays of each month. 1. http://www.crystalmn.gov/city_government/council_meetings_and_agendas.php We request you please also review the information included in the enclosed newsletter, questionnaire and rain garden flyer. Sincerely, Mark Ray City Engineer/Public Works Director