Adopt Resolution #18-244 Amending Exhibit B, Exhibit C and Exhibit D of Assessment Agreement Between City of Ramsey & Riverstone Development, LLC & Hagemen Holdings, LLC Dated July 25, 2017 to Reflect Actual Construction Costs and Final Assessment Amounts.

Purpose:  Amend Section #7.  Assessment of the Assessment Agreement Dated July 25, 2017 between the City Of Ramsey, Riverstone Development, LLC and Hageman Holdings, LLC.

Background:  On July 25, 2017, Resolution #17-07-190 was adopted approving an Assessment Agreement for Public Improvements to Bunker Lake Boulevard and Puma Street:  Case of Riverstone Development and Hagemen Holdings (Resolution attached).  Per Section 7 of this agreement:  Assessments, it states that information contained in Exhibit B and Exhibit C of the Assessment Agreement will be updated upon receiving bids for the improvement project and upon completion of construction.  The cost estimates contained in these two exhibits was used to calculate the estimated preliminary assessment for Riverstone Development and Hageman Holdings of which Exhibit D further broke out the assessment payment schedule for Riverstone Development.  Said assessments for Riverstone are to be certified over a period of 4 years with the first installment due May 15, 2019.  Thus, the final assessment amount needs to be filed with Anoka County by November 30, 2018 to be included with 2019 propery taxes payable.  The preliminary assessment amount for Riverstone Development was $814,800 or a per lot share of $5,432 and Hageman Holdings Deferred amount totaled $282,000.

The City now has final construction costs and Exhibits B, C and D have been updated to reflect actual project costs, final assessment costs for Riverstone Development and Hageman Holdings and Assessment Payment Schedule for Riverstone Development.  The revised outstanding total assessments for Riverstone Development now is $278,282 ($457,538 Total Assessments less $179,256 Prepaid assessments from home sales of 33 lots).  Each Riverstone Development Assessment computes to $2,419.84 per 115 lots remaining.  Hageman Holdings Deferred amount has now been revised to a final amount of $132,039.  

 

Riverstone Development and Hageman Holdings have been advised of the revised assessment amounts.

Staff recommends adoption of Resolution #18-244 amending Exhibits B, C, and D of Assessment Agreement Between the City of Ramsey, Riverstone Development, and Hagemen Holdings dated July 25, 2017 as Section 7 - Assessment of the agreement states that assessment amounts will be revised when final improvement project costs are available.

Motion to adopt Resolution #18-244 Amending Exhibit B, Exhibit C and Exhibit D of Assessment Agreement Between City of Ramsey & Riverstone Development, LLC & Hagemen Holdings, LLC Dated July 25, 2017 to Reflect Actual Construction Costs and Final Assessment Amounts.