Fiscal Note
The proposed resolution updates MGO 4.08(1) to allow developers to pay special assessments for Water Utility and Sewer Utility improvements over a 25 year period when certain conditions and approval are met. The proposed conditions within the ordinance would allow a 25 period pay back only pertain to water main and santary sewer main that serves the bennefitting properties; no impact to the assessable revolving fund balance is anticipated.
Title
Amending Sec. 4.08(1) to allow for 25-year installment payments for certain Special Assessments.
Body
DRAFTER'S ANALYSIS: This ordinance will establish a new maximum installment period for certain special assessments that apply to projects where City water and sewer is being extended into developed neighborhoods that are on private well and septic systems. The assessable portion of such projects is substantial and this will allow the property owner to spread out the costs over a longer period of time. This will also lower the up-front costs that accompany such a project for the property owner, including connecting service to the new mains and abandoning the private well and septic systems. It is not expected that this new category will apply to many projects and will be very limited in scope. This ordinance also reorganizes this subsection and clearly establishes the statutory authority for the City’s use of installment payments for special assessments. It also eliminates a shorter installment period for street light installations as those costs are now substantial and should have the longer installment period available to them in order to be consistent with the rest of the project. In addition, it limits the 8-year assessment period for sidewalk repair and street tree installation to situations where those are the only assessable costs in a project. This will make overall project accounting more consistent by allowing for a uniform installment period for the whole project. Following these change...
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