Ron Hill, owner of 22 of the 27 lots proposed in the SID 1395 district boundary, has the desire to construct public improvements on Boca Raton Road between Annandale Road and Clubhouse Way and a short extension of Annandale Road. These improvements generally consist of water, sanitary sewer, storm drain, curb and gutter, and street improvements to Boca Raton Road and Annandale Road.  Mr. Hill will be paying a cash contribution for his lots which represents 68% of the total cost of the SID.  This is necessary to meet the requirements of the City's Raw Land District Requirements (Resolution No. 87-15592).  The City will be making a cash contribution to the project in the amount of $127,569.99.  This will pay for the City's portion of Annandale Road, which is classified as an arterial street.  The SID is being created in order to assess the remaining 5 lots for their proportionate share of the project cost.  In addition to creating the SID, Mayor and Council are asked to consider authorizing and executing a Contract for Professional Services with Sanderson Stewart to provide engineering design and construction administration for SID 1395. The contract is in the amount of $106,396.60. Sanderson Stewart was selected based on proposals requested from a shortlist of prequalified consultants for this type of work.

The Council may:

• After holding a public hearing, approve the Resolution Creating SID 1395 and the Professional Services Contract with Sanderson Stewart; or
• After holding a public hearing, do not approve the Resolution Creating SID 1395 and the Professional Services Contract with Sanderson Stewart.

The total estimated cost of the improvements is $978,415.33. The costs are to be paid from the following sources: (1) $182,000.00 of Special Improvement District bonds; (2) $668,845.34 of cash contribution by Ron Hill, owner of 22 of the 27 lots in the District; and (3) $127,569.99 of cash contribution from the City of Billings out of storm drain and gas tax funds.

Staff recommends that Council approve the Resolution Creating SID 1395 and approve the Professional Services Contract for SID 1395 with Sanderson Stewart in the amount of $106,396.60.