The assessment for SID 1403 has been completed by the Finance Division and is ready to spread on the tax rolls.  This project and bond sale have previously been approved by Council.  This project constructs public improvements on Gleneagles Boulevard between Cherry Hills Road and Lake Hills Drive and a short extension of Lake Hills Drive.  These improvements generally consist of water, sanitary sewer, storm drain, curb and gutter, and street improvements to Gleneagles Boulevard and Lake Hills Drive.

The Council must hold a public hearing and then may:

• Approve the resolution; or
• Not approve the resolution.  If the Council does not approve the resolution, the property owners will not be assessed and the General Fund will be responsible for paying for the improvements.

The amount of the bond sale was $96,225.99.  The costs associated with SID 1403 are assessed per lot, per the attached resolution.  The net effective interest rate is 4.99%. Under the State Statute 7-12-4189, the City is required to add ½ of 1% for a total rate of 5.49%. The .5%  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 spread to the appropriate properties. Any remaining fund balances are used to call bonds.

Staff recommends that the City Council conduct a public hearing and pass the proposed resolution to spread assessments for SID 1403.