Staff recommends that City Council approve the Resolution of Intent to Create SID 1427 Hancock Drive and set a public hearing date for February 12, 2024.

At the request of a property owner on Hancock Drive, the City is pursuing a Special Improvement district (SID) to construct City improvements along Hancock Drive. Hancock Drive is an existing gravel street located north of Poly Drive, situated between Orchard Drive to the east and Sunnyview Lane to the west.  Based on the annual gravel street construction program presented in the CIP, SID 1427 Hancock Drive (the Project) will construct the remainder of curb and gutter, asphalt pavement, and drive approaches, and assess the costs of the improvements to the adjacent addressed and non-addressed property owners requesting certain private improvements.  Street Maintenance District 2 funds will be used to fund non-assessed improvements.

Six (6) parcels are adjacent to Hancock Drive within the project limits. Of the six (6) parcels, four (4) are addressed to Hancock Drive and two (2) are residential corner lots addressed to Poly Drive. Two (2) of the four (4) addressed properties are owned by a single owner. The two (2) residential corner lots are not assessed for the improvement costs along their non-addressed side, per City of Billings Resolution No. 23-11171.  However, one (1) of the non-addressed properties has requested private property specific improvements to construct a drive approach and will be assessed for that improvement accordingly. Per City of Billings Resolution No. 23-11171, property owners of non-addressed, residential corner lots are responsible for costs associated with private property specific improvements along the non-addressed frontage.

Proposed street improvements (Assessment #1) will be assessed, per the equal amount option method, to the four (4) addressed properties. Concrete Flatwork (Assessment #2), as elected by one (1) addressed property and one (1) non-addressed property, will be assessed to the two (2) participating property owners per the assessed area option method. Separating the assessments into these two (2) methods ensures the benefits of the improvements are assessed appropriately.

On several different occasions, City staff met with all of the property owners along Hancock Drive who will be directly affected by the improvements. City staff attended an on-site meeting with three (3) of the property owners, representing one (1) non-addressed property, and three (3) addressed properties. City staff met with one addressed property owner on two separate occasions at the Office of the City Engineer. City staff met separately with the second non-addressed property owner and was requested to include the drive approach improvements in the Project. Following these meetings and based on the cost estimates provided at the time, three of the four addressed property owners were in support of the Project.  The two owners of the non-addressed properties are also in support of the Project.

City Council may:

• Approve the Resolution of Intent to Create SID 1427 and set a public hearing for the February 12, 2024, Council Meeting; or,
• Not approve the Resolution of Intent to Create SID 1427. If not approved, Hancock Drive will remain a gravel street, and gravel maintenance costs will accrue.

The funding sources, estimated costs of the improvements, and total project cost for SID 1427 is as follows:

SID 1427 Funding Source	SID 1427 Estimated Cost
SID Assessments	$38,500.00
SMD 2 Funds	$91,378.00
Total	$129,878.00

Funding for SID 1427 was budgeted in FY24 using SMD 2 Funds and assessments through the annual gravel streets program.  Adequate funding is available to create the SID and fund the improvements.