Regular 8.B.
Regular City Council Meeting
- Meeting Date:
- 09/12/2011
- TITLE
- Public Hearing Respread SID 1388
- PRESENTED BY:
- Patrick M. Weber, Financial Services Director
- Department:
- City Hall Administration
Presentation:
PROBLEM/ISSUE STATEMENT
The assessment for SID 1388 (Dorothy Lane) has been completed by the Finance Department and is ready to spread on the tax rolls. SID 1388 was originally spread based on estimated or bond cost and is now being re-spread based on the completed construction cost. This project is for street and storm drain improvements.
ALTERNATIVES ANALYZED
The Council must hold a public hearing and then may:
- Approve the resolution; or
- Not approve the resolution, the property owners will not be assessed, and the General Fund will be responsible for paying for the improvements.
FINANCIAL IMPACT
The costs associated with SID 1388 are assessed per lot. The net effective interest rate is 4.895%. Under the State statute 7-12-4189, the City is required to add ½ of 1% for a total rate of 5.395%. The ½ of 1% will be used as additional security on bond issues, as stated in the final bond resolution. Interest earnings and prior collections are subtracted from the final construction cost and allocated to the appropriate properties. Any remaining fund balances are used to call bonds.
RECOMMENDATION
Staff recommends that Council conduct a public hearing and pass the proposed resolution on September 12, 2011.