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Resolution No. 04-91 CITY OF TIGARD,OREGON RESOLUTION NO.04- ?/ A RESOLUTION ESTABLISHING SANITARY SEWER REDABURSEMENT DISTRICT NO.33(SW WALNUT STREET) WHEREAS,the City has initiated the Neighborhood Sewer Extension Program to extend public sewers and recover costs through Reimbursement Districts in accordance with TMC Chapter 13.09;and WHEREAS, these property owners have been notified of a public hearing in accordance with TMC 13.09.060 and a public hearing was conducted in accordance with TMC 13.09.050;and WHEREAS,the City Engineer has submitted a report describing the improvements,the area to be included in the Reimbursement District, the estimated costs, a method for spreading the cost among the parcels within the District,and a recommendation for an annual fee adjustment;and WHEREAS, the City Council has determined that the formation of a Reimbursement District as recommended by the City Engineer is appropriate. NOW,THEREFORE,BE IT RESOLVED by the Tigard City Council that: SECTION I The City Engineer's report titled "Sanitary Sewer Reimbursement District No. 33", attached hereto as Exhibit A,is hereby approved. SECTION 2 A Reimbursement District is hereby established in accordance with TMC Chapter 13.09. The District shall be the area shown and described on Exhibit B. The District shall be known as"Sanitary Sewer Reimbursement District No.33,SW Walnut Street." SECTION 3 Payment of the reimbursement fee as shown in Exhibit A is a precondition of receiving City permits applicable to development of each parcel within the Reimbursement District as provided for in TMC 13.09.110. SECTION 4 An annual fee adjustment, at a rate recommended by the Finance Director, shall be applied to the Reimbursement Fee. SECTION 5 The City Recorder shall cause a copy of this resolution to be filed in the office of the County Recorder and shall mail a copy of this resolution to all affected property owners at their last known address,in accordance with TMC 13.09.090. SECTION 6 This resolution is effective upon passage. PASSED: This 623#4 day of kt4U L?V- 2004. Mayor City of Tigard ATTEST: v vK- C' % coeer-City of Tigard ep�� RESOLUTION 140.04-4?/ Page I Exhibit A City Engineer's Report Sanitary Sewer Reimbursement District No.33 (SW Walnut Street) Background This project will be constructed and funded under the City of Tigard Neighborhood Sewer Extension Program (NSEP). Under the program the City of Tigard would install public sewers to each lot within the project area. At the time the property owner connects to the sewer, the owner would pay a connection fee, currently $2,535, and reimburse the City for a fair share of the cost of the public sewer. There is no requirement to connect to the sewer or pay any fee until connection is made. In addition, property owners are responsible for disconnecting their existing septic system according to Washington County rules and for any other modifications necessary to connect to the public sewer. Proiect Area-Zone of Benefit An existing line in SW Walnut Street will be extended east of SW 134th Avenue to serve three lots and west from SW 124'"Avenue to serve two lots as shown on Exhibit Map B. Cost The estimated cost for the sanitary sewer construction to provide service to the five lots is $42,036. Engineering and inspection fees amount to $5,675 (13.5%) as defined in TMC 13.09.040(1). The estimated total project cost is $47,711. This is the estimated amount that should be reimbursed to the sanitary sewer fund as properties connect to the sewer and pay their fair share of the total amount. However,the actual amount that each property owner pays is subject to the City's incentive program for early connections. In addition to sharing the cost of the public sewer line, each property owner will be required to pay an additional $2,535 connection and inspection fee when connection to the public line is made. All owners will be responsible for all plumbing costs required for work done on private property. Reimbursement Rate i All properties are zoned R-4.5 but vary in lot size from 14,000 to 93,000 square feet as ' can be seen in the following list of lots. Therefore, it is recommended that the total cost of this portion of the project be divided among the five properties proportional io the square footage of each property. Engineer's Report—Reimbursement District No.33—Walnut Street page 1 of 4 Other reimbursement methods include dividing the cost equally among the owners or by the length of frontage of each property. These methods are not recommended because there is no correlation between these methods and the cost of providing service to each lot or the benefit to each lot. Each property owner's estimated fair share of the public sewer line is $0.184 per square foot of lot served. Each owner's fair share would be limited to$6,000 to the extent that It does not exceed $15,000, for connections completed within three years of City Council approval of the final City Engineer's Report following construction in accordance with Resolution 01-46 (attached). In addition to paying for the first $6,000, owners will remain responsible for paying all actual costs that exceed $15,000. Upon request, payment of costs that exceed$15,000 may be deferred until the lot is developed as provided by Resolution 03-55 (attached). Annual Fee Adiustment TMC 13.09.115 states that an annual percentage rate shall be applied to each property owner's fair share of the sewer line costs on the anniversary date of the reimbursement agreement. The Finance Director has set the annual interest rate at 6.05%as stated in City of Tigard Resolution No.98-22. Recommendation It is recommended that a reimbursement district be formed with an annual fee increase as indicated above and that the reimbursement district continue for fifteen years as provided in the Tigard Municipal Code (TMC) 13.09.110(5). Fifteen years after the formation of the reimbursement district, properties connecting to the sewer would no longer be required to pay the reimbursement fee. Submitted November 9,2004 P-0, Ag sin P.Duenas,P.E. City ngineer i i D i 1 u„y¢oo—ty eaemm ani-ptu 3(by M,, --Y�--Noma as 2wn aoa a.aa Engineer's Report—Reimbursement District No.33—Walnut Street Page 2 of 4 WALNUT STREET Reimbursement District No.33 Prellminary Cost to Property Owners November 9,2004 TIM TED OWNER SITE ADDRESS TAX LOT ID AREA(S.F.) COST TO PAID BY PAID BY CITY PROPERTY OWNER OWNER 1 LEARY,KATHLEEN JOAN 13320 SW WALNUT 2S104AC10900 92561.8754 $17,060 $8,060 $9,000 2 HELM,LAVELLE 1 TRUSTEE 13280 SW WALNUT 2S104AC00200 93389.39123 $17,212 $8,212 $9,000 3 WEINANDY,MICHAEL C&DONAHUE,MARY 13300 SW WALNUT 2S104AC10800 44903.06836 $8,276 $6,000 $2,276 4 TRIGG.CHARLES L 12570 SW WALNUT 2S104AD04000 13790.93808 $2,542 $2,542 $0 5 CARLTON.MARK M&DEMELLO,BRENDA 12600 SW WALNUT 2S104AD03900 14218.40744 $2,621 $2,621 $0 Totals 258864 $47,711 $27,435 $20,276 i i 1 f ; MENG2004-2005 FY CIP\Wa"Street:-Phase 3(by County)%Relmbu ment district 33-Walnut sueeftCITY COUNCILWORMAMOM W.In t R.knb Dist No.33.x1. 11/82004 Page 3 of 4 WALNUT STREET Reimbursement District No. 33 Preliminary Cost to Property Owners Summary November 9,2004 Estimated Construction Cost $36,553 15%contingency(construction) $5,483 Estimated construction subtotal $42,036 13.5%contingency(Admin&Eng) $5,675 total project costs $47,711 total area to be served(S.F.) 258,864 total cost per S.F.to property owner $0.18430860 i a " i r t . t.1ENG1200h2003 FYCJRW.VM Street-Phase 3(by Count,0R-iInt,.—ment efstrkt 33-W.In tstmeriC(TY COUNCILiFORMATIONI Walnut Reims Dist No.33.x1s 1119120" Page 4 of 4 anv tura N I— N 41 m 'qt L LJ \ OLLJ v `� W W m�_ til a m a: N F- 3 d H 8Z L N O � m F--- F--- X Z La W Q W v' W b O Z Lii Z i i' Lslo I NZ ............. � r CL 3AV Hl►