Regular 3.B.
Regular City Council Meeting
- Meeting Date:
- 09/26/2011
- TITLE
- Public Hearing Respread Sidewalk SID 2801
- PRESENTED BY:
- Patrick M. Weber, Finance Director
- Department:
- City Hall Administration
Presentation:
PROBLEM/ISSUE STATEMENT
The assessment for Sidewalk SID 2801 (Lake Elmo) has been completed by the Finance Division and is ready to spread on the tax rolls. SID 2801 was originally spread based on bond cost and is now being re-spread based on construction cost. This project is for sidewalks along Lake Elmo.
ALTERNATIVES ANALYZED
The Council must hold a public hearing and then may:
- Approve the resolution; or
- Not approve the resolution
FINANCIAL IMPACT
The costs associated with SID 2801 are assessed per lot. The net effective interest rate is 4.605%. Under the State Statute 7-12-4189, the City is required to add ½ of 1% for a total rate of 5.105%. 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 spread to the appropriate properties. Any remaining fund balances are used to call bonds.
RECOMMENDATION
Staff recommends that a public hearing be held and Council passes the proposed resolution on September 26, 2011.