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Regular   5.
Regular City Council Meeting
Meeting Date:
05/26/2015
TITLE
Public Hearing and Resolution Creating SILMD 315, Bench Boulevard
PRESENTED BY:
David Mumford
Department:
Public Works
Presentation:

PROBLEM/ISSUE STATEMENT

The Montana Department of Transportation has a project to reconstruct Bench Boulevard from just north of the roundabout at Hilltop Road to Mary Street.  The project will include installation of street lighting along Bench Boulevard.  SILMD 315 is a street light district that will pay the energy and maintenance costs for the street lighting installed by the project.  At the April 27, 2015, City Council meeting, Council passed the Resolution of Intent to Create SILMD 315 and set a public hearing for May 26, 2015.  Legal notice of the proposed district was published and mailed to all property owners in the proposed district in accordance with State law.

The new lighting will use steel mastarm style poles with LED lamps and underground wiring.  The cost of installing the new lighting will be paid for by the MDT project.  The adjacent property owners will only pay for electrical energy and maintenance through an assessment on their properties.  The estimated annual cost for a typical 9600 square foot residential lot is $21.  Due to the difference in time between when the new lighting will be turned on and the first tax assessments are collected, the first year tax assessment may be higher or lower than the estimated annual assessment.

Assuming federal aid highway funding is extended by Congress, MDT plans to open bids on the project in June and begin construction by late July or early August. Lighting probably will not be ready to turn on until 2016.  The SILMD is being created now to ensure that there will be a funding source for the maintenance and operation of the lights before they are constructed. 

The proposed district will also incorporate the existing lighting on Wicks Lane between Main Street and Bench Boulevard. The properties along Wicks fronting the lighting will become part of the new district. 

The deadline for written protests to be filed with the City Clerk was Friday, May 22nd.  The number and percentage of valid written protests received will be reported at the May 26th Council meeting.  As provided in State law, the City Council has the authority to create the district if the legal protest does not exceed 50%.

ALTERNATIVES ANALYZED

The Council may:

• Pass the resolution creating SILMD 315 to provide a source of funding for operation and maintenance of the streetlights; or
• Do not pass the resolution creating the district.  If the Council does not adopt the resolution, the property owners cannot be assessed for operation and maintenance of the streetlights and the new lighting will not be installed.

FINANCIAL IMPACT

All costs of providing energy for the lighting and maintaining the lights are paid from assessments against properties within the light district.  There is one City owned parcel in the proposed district, Clevenger Park. The park will be assessed on the same basis as privately owned property within the district.  The estimated annual assessment for the park property is $700.  Pursuant to State law (7-12-4326 MCA) the City must also pay assessments levied against federally owned property in the district. The estimated annual assessment for the Heights Post Office property is approximately $240.

RECOMMENDATION

Staff recommends the City Council approve the resolution creating SILMD 315.

APPROVED BY CITY ADMINISTRATOR

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