Ron Hill, owner of 36 of the 46 lots proposed in the SID 1389 district boundary, has the desire to construct public improvements on Clubhouse Way between Greenbriar Road and Cherry Hills Road. These improvements generally consist of water, sanitary sewer, storm drain, curb and gutter, and street improvements to Clubhouse Way. The storm drain improvements include construction of storm drain within Clubhouse Way, Cherry Hills Road, and Gleneagles Boulevard to be connected to a pond to be constructed in the future on Lake Hills Golf Course per the Lake Hills Storm Drain Feasibility Study.  There are 44 properties within the drainage basin of the storm drain proposed to be constructed with this project.  All 44 properties will be assessed for the storm drain.  Only the properties along Clubhouse Way will be assessed for street, curb and gutter, water, and sanitary sewer improvements.  Ron Hill will be paying a cash contribution for his lots which represents 66% 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).  In addition to the creation of 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 1389.  The contract is in the amount of $114,801.80.  Sanderson Stewart was selected from a pre-qualified list of consultants for work of this type.

The Council may:

• After holding a public hearing, approve the Resolution Creating SID 1389 and the Professional Services Contract with Sanderson Stewart; or
• After holding a public hearing, do not approve the Resolution Creating SID 1389 and the Professional Services Contract with Sanderson Stewart.

The total estimated costs of the Improvements are $674,964.38. The costs of the Improvements are to be paid from the following sources: (1) $232,000.00 of Special Improvement District bonds; and (2) $442,964.38 of cash contribution by Ron Hill, owner of 36 of the 46 lots in the District.  The Professional Services Contract with Sanderson Stewart is for $114,801.80 and will be paid out of the SID 1389 Funds.

Staff recommends that Council approve the Resolution Creating SID 1389 and the Professional Services Contract for SID 1389 with Sanderson Stewart in the amount of $114,801.80.