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1g. In-service date for Lake Lucy Rd Trunk Watermain j CITY TF CHANHASSEN 690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317 ' (612) 937-1"900 MEMORANDUM _ 40A A* L TO: Don Ashworth , City Manager 10/ r9���r FROM: Gary Warren , City Engineer \ DATE: October 18 , 1989 rc JP SUBJ: Establish "In-Service" Date for Lake Lucy Road Trunk Watermain Improvement Project No. 88-25 As required by the Connection Policy for the Lake Lucy Road trunk watermain project, an "in-service" date needs to be established . This is the date that the City, for all intents and purposes , placed the watermain into active service and allowed abutting property owners to connect to it. As required by the Connection ' Policy, the $3 , 035 connection fee will accrue interest from this date forward at 4-i% until the date of connection for those pro- perties who have not chosen to connect at this time . By August 1 , 1989 , the City had received the final bacteria tests and began allowing actual connections to the water system. It is therefore recommended that the "in-service" date for the Lake Lucy Road trunk watermain be established as August 1, 1989 and that the City Treasurer be directed to use this date when ' calculating the Connection Charge for all future connections to the Lake Lucy Road trunk watermain in accordance with the adopted policy. Attachment: Connection Policy c: Jean Meuwissen 1 I I CITY TF CHANHASSEN 690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317 (612) 937-1900 MEMORANDUM TO: Carol Dunsmore Norma Schuller Nikki Dummer Stephanie Eklund UFROM: Gary Warren, City Engineer DATE: July 14, 1989 ' SUBJ: Lake Lucy Road Water Permit File No. 88-25 A I have prepared this memorandum to hopefully clear up any con- fusion which might exist concerning the issuance of water permits for properties along Lake Lucy Road. As you are aware, the new trunk watermain has recently been completed along Lake Lucy Road from Powers Boulevard to Galpin Boulevard. Attached for your information is a copy of the policy adopted by the City Council 1 concerning connection to City water. Basically, the policy states that any new home being built along Lake Lucy Road must connect to the City' s watermain. Jean Meuwissen is aware of this and will calculate the appropriate connection and trunk charges for the permit. You, on the other hand, should be charging the applicant for the appropriate permit fees for water connection and likewise notify the utility department that inspections are to be made. The policy further states that any property which currently is on a private well must connect to the City 's water system if and when that private well fails. In other words, a new well cannot be sunk if the old one fails. Please note, this is consistent with our policy (see attached code) throughout the City, i .e. any property in the City where City water is available must connect to it if their well fails. Thank you for your cooperation in this matter and if you have any questions on this policy, please see me. Attachments: Lake Lucy Road Trunk Watermain Connection Policy ' City Code Section 19-19 c: Don Ashworth, City Manager Jim Chaffee, Public Safety Director Jean Meuwissen, Treasurer 1 - A i 3. Fire Safety Benefit : I I It is recommended that the City's minimum water 1 availability fee be charged against all abutting, unconnected building units to recognize the benefit of having enhanced fire protection with the addition of the public water system and associated fire hydrants. - IThe current minimum charge is $8.00 per quarter for water for each individual property that has a I residential dwelling. I I In summary , the recommended service policy for this project I Iis as follows: 1 ) No assessments will be levied as a' part of I I financing the Lake Lucy Trunk watermain project . II 1 Instead. proceeds available from the 1986 General Obligation Bond sale will be used to finance the ' 1 cost of construction . I I2) Fees for each property are summarized in the matrix below: I IFee Individual Property Unit Criteria II 1 Connection charge : Based upon B ' residential $ 3035 _ per unit equivalent cost divided I by ultimate # of units Iaccessing the water main . Hook-up charge : Based upon current rate II I 5 650 per unit established by the City Council ," subject to future increases. I I II I 8 II il , , il Fire Safety Availability Subject to future Charge: $8 per quarter increases at City Council per unit discretion . Only charged il to existing units not connected to the City watermain . il 3) Payment options: il - Connection Charge : Pay completely at the time of connection or assess against property at 9% interest rate for a period of six years. II Note: Connection charge will accrue interest at 4 1/2% from the time of the completion of the trunk watermain to the dwelling unit connection date . - Hook-up Charge : Pay at the time of connection il or assess at 8% interest rate for a period of four years. 4) Property owner is responsible for the cost to take service from the property line or City service IIstub into property and any internal piping modifications. IIPUBLI NFORMATION M _E ING II On January 2. . 1989. in the Chanha n City Hall an informational mee ' ng was held oo ne Lake Lucy Road trunk li water main project . nclud d in the appendix is a list of P � PP 1 those proper • new that attended the meeting . li i Additionally , the etter sent to the property owners by the li City Engineer ' s included in the - -pendix . The concerns and issues r sed by the property ow - rs are itemized and li repor ed below. li li , 9 . 1 § 19-18 CHANHASSEN CITY CODE will not be cut off until after the hearing is held.If the customer requests a hearing before the date specified, a hearing shall be held on the matter by the city council at their next regular 1 meeting,but not to exceed three(3)weeks after the date on which the request is made. If as a result of the hearing, the city council finds that the amount claimed to be owing is actually due and unpaid and that there is no legal reason why the water supply of the delinquent customer may not be shut off,the city may shut off the supply. (Ord. No.6, § 10.01,3-11-85) Sec. 19-19. Use required;wells prohibited. (a) Issuance of building permits for new construction where the property is adjacent to a , municipal watermain, or in a block through or to which the watermain extends, or is within one hundred fifty(150)feet of the water system shall be conditioned upon connection to said municipal water system,unless in the opinion of the city it is neither feasible nor practical to ' make such connection. (b) The drilling of new wells shall not be permitted for existing dwellings which can be serviced by the municipal water system.Upon failure of a private water supply,connection to the municipal system shall be required. (Ord.No. 6, § 1.01, 3-11-85) State law reference—Authority to require connections,M.S. § 412.221, subd. 31. Sec. 19-20. Connection charges. (a) No permit shall be issued to tap or connect with any watermain of the city either directly or indirectly from any lot or tract of land unless the city clerk shall have certified: (1) That the lot or tract of land, or portion of said lot or tract, to be served by such connection to tap has been assessed for the cost of construction of the watermain with which the connection is made;or ' (2) If no assessment has been levied for said construction cost, that proceedings for levying such assessment have been or will be commenced in due course;or (3) If no assessment has been levied,and no assessment proceedings will be completed in due course,that a sum equal to the portion of cost of constructing said watermain has been paid to the city pursuant to subsection(b). ' (b) Unless covered by subsection (aX1)or(aX2), the applicant shall pay a connection fee equal to the proportionate cost of construction of the main.The cost is to be determined by the city using the same formulas as was used for assessments previously levied against other I_ property for the main and shall include equivalency charges as required to arrive at the present day worth of the water service. This equivalency charge shall be equal to simple interest calculated from the project assessment date to the service connection date at the rate of interest at which the bonds sold to finance the project were issued minus a depreciation factor of three (3)percent per year. If no such assessment has been levied, the cost shall be determined by the city council, and in determining said cost the council shall take into t consideration the front footage, shape and area of the benefitted lot or tract of land. Upon 1064 EMIL 1