4. Assessment roll for Lake Drive East 5 CITYOF
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690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317
I (612) 937 =1900 • FAX (612) 937 -5739 Ai � ; , _ A,
MEMORANDUM Igo. "1 _ '—
Re:,*te
DE-;__1715
TO: Don Ashworth, City Manager » , t -,� j
U` � . ,. �c:�rtisB0t1
II FROM: Charles Folch, City Engineer rte Vtr, -1 1. L x:�;
DATE: October 8, 1991 O Iti1111__
II SUBJ; Adopt Assessment Roll for Lake Drive East Improvement
Project No. 89 -6
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This item was brought before th- City Council at their regular
II meeting on August 26, 1991. Pr to that meeting a number of
discussions occurred between . ,•- sentatives of the City and
Sunlink /Datasery Corporation, tt ' >le property owner proposed to
be assessed for this project. en
£ ough the proposed assessment
amount is substantially less th' tha' estimated in the feasibility
study, it has become apparent a, at Swink /Datasery Corporation is
no longer acceptable to ;* e pr•Iosed assessment. Thus,
1 Sunlink /Datasery has subm ` ted a ormal objection to the
assessment.
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In light of this, it was taff's recon i3 ndation that the Council
II delay action on this a- * essment roll u `jt the October 14, 1991
City Council meeting i girder to allow fu er negotiations between
the City and Sunlink ` Datasery Corporatio During this interim,
1 negotiations hav .continued to stall
�, l' �r . s t�. i n , . n * ,
At the time • • • • - •, he feasibility study
I estimated a al Ste' ' • ,r-, , .. , ,. .. . a P e� _ - .. a oPerty of
approximate y ,123 and Sunlink /Datasery Corpora ,. raised no
objection to thr This amount did not a any costs
associated with rig +'- „ . ac• is' „ ` e comparative
I assessment amount, determine• ' • � ; f " -
project costs, is
$477,233. Even though the corn. r =ve assessment amount is some
$117,000 less than that estimat r ive
the feasibility study, they
I are now objecting to the amoun 7 f the assessment. In addition,
they are requesting that they be compensated at $52,750 per acre
for the 3.3 acres of right -of -way required for the new roadway.
1 A key aspect related to this issue that should not be overlooked is
that, as a part of any commercial, residential, etc. subdivision,
the developer typically dedicates, with the plat, the needed public
I
t 4.1 PRINTED ON RECYCLED PAPER
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I/ Don Ashworth
October 8, 1991
Page 2
road right -of -way at basically no initial cost to the City. In
addition, the developer either constructs the needed street and
utility improvements under private contract or petitions for a
capital improvement project and bears the majority, if not all, of
the costs. The roadway alignment and utility improvements for this
11 project were developed with cooperative input from Sunlink /Datasery
Corporation to accommodate their future needs. With these street
and utility improvements now installed, the entire property is
arguably more amenable to and valuable for development.
The deadline for annual certification of all special assessments to
the County is November 30, 1991. In order to provide ample time
for staff to prepare the necessary documents and allow for the
required 30 -day appeal /prepayment period between assessment
adoption and certification to the County, it is important that
action on this assessment roll be taken at the October 14, 1991
City Council meeting. Otherwise, it may not be possible to have
this assessment certified to the 1992 tax rolls. I would
anticipate, however, that negotiations between the City and
Sunlink /Datasery Corporation would continue in the next few weeks.
Attached is the revised assessment roll dated October 7, 1991.
Since right -of -way acquisition costs are included as a part of the
total project costs, the assessment to the Sunlink /Datasery
Corporation property has been modified consistent with their price.
It is therefore recommended that the City Council adopt the final
assessment roll dated October 7, 1991 for the Lake Drive East
Improvement Project No. 89 -6 and that the interest rate and term be
set at 8% for 8 years.
ktm
Attachments: 1. Location Map.
2. October 7, 1991 Assessment Roll.
' c: Dave Hempel, Sr. Engineering Technician
Dave Mitchell, OSM
Tom Gaither, Sunlink Corporation
Elliott Knetsch, Campbell, Knutson, Scott & Fuchs
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Drown By: .- po -
OT N ;- 3cieleA
[rowing Title Comm. No.
p Yayeron s . LOCATION MAP 4358
Dote: Associate Inc. .LAKE DRIVE EAST FXTENS ION l jheet no. C H A N HAS S EN, MINNESOTA
OS Schelen
Mayeron &
MIK Associates, Inc.
2021 East Hennepin Avenue
Minneapolis, MN 55413
612 - 331 -8660
FAX 331 -3806
Engineers
Architects
October 7, 1991 Planners
Surveyors
Mr. Charles Folch
City Engineer
' City of Chanhassen
690 Coulter Drive
P.O. Box 147
Chanhassen, MN 55317
Re: Lake Drive East Extension
City Project No. 89 -6
OSM Project No. 4358.01
' Dear Charles:
Please find enclosed the information you requested regarding the referenced project. The
' information includes a summary of total project costs totaling $956,987. Also included is
the proposed assessment calculation and summary for the one assessable property on the
project. The proposed assessment to Dataserv, Inc. is $651,308.
Please feel free to contact Bud Osmundson or myself if you have any questions regarding
this matter.
Sincerely,
ORR- SCHELEN- MAYERON
& ASSOCLATES, INC.
Ocwv1 CITY OF CH
David D. Mitchell, P.E. ANHASSEN
(',0 ?p
Project Manager 9,r,, tyle p
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1 /cmw 0 C T 0 `J G 1991 fEP
1007 - coc.cf •
1 Enclosure
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Equal Opportunity Employer
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Lake Drive East Extension
Projec o. 89 6
Chanhassen, Minnesota
OSM Project No. 4358.01
PROJECT COST SUMMARY
Construction Cost 745,275.00
Engineering Design Fees 49,188.00
(745,275 x 0.066)
Administration, Legal 89,696.00
Construction Engineering 72,828.00
Estimated R.O.W. Acquistion 174,075.00
TOTAL PROJECT COST 1,131,062.00
ITEMIZED BY UTILfTY
Construction Engineering & Feasibility Report
Cost Administration (1) Total Est. Project Cost
Sanitary Sewer 103,935.00 29,525.00 133,460.00 163,500.00
Watermain 81,574.33 23,173.00 104,747.00 191,900.00
Storm Drain 97,923.16 27,817.00 125,740.00 103,800.00
Street 377,477.91 107,232.00 484,710.00 365,100.00
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Sidewalk 25,365.00 7,205.00 32,570.00 51,000.00
Street Lights 59,000.00 16,760.00 75,760.00 53,500.00
SUBTOTAL 745,275.40 211,712.00 956,987.00 928,800.00
Estimated R.O.W. Acquisition Cost 174,075.00
TOTAL 745,275.40 211,712.00 1,131,062.00 928,800.00
(1) Proportion of Construction Cost I
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NOTE: Changes from Feasibility Report
* Additional 42' RCP Storm Drain from T.H. No. 5 to Lake Drive East along County Line Easement I
* Encountered unsuitable soils in street construction which required correction.
* R.O.W. Acquisition Costs were not included in the Feasibility Report
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Assessment to Property: Parcel No. 18116- 22210002
19011 Lake Drive East
Chanhassen, MN 55317
1 ASSESSMENT CALCULATIONS: (as per Feasibility Report)
Sanitary Sewer 100% of cost totally within Datasery frontage
Watermain 100% of cost totally within Datasery frontage
Storm Drain One half the cost of new construction within Datasery frontage
Street Percentage of total cost based on frontage of De taserve
(69%) to total frontage, less Mn/DOT contribution for
for new construction ($145,091)
Street Lights Not assessed
Sidewalk Not assessed
Estimated R.O.W. Acquisition Cost (3.3 Acres x $52.750 per acre - $174,075.00) 100% of cost totally within Datasery frontage
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SUMMARY
1 September 20, 1989
Preliminary ary Assessment Roll
Assessment Estimated Assessment
Sanitary Sewer 133,460.00 163,500.00
Watemrain 104,747.00 128,316.00
Storm Drain 49,667.00 49,684.00
1 Street 189,359.00
0.00 253,623.00
Sidewalk 0.00
Street Lighting 0.00 0.00
Subtotal 477,233.00 595,123.00
R.O.W. Acquisition Cost 174,075.00
TOTAL. 651,308.00 595,123.00
* The estimated costs for R.O.W. acquisition were not included in the Feasibility Report.
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