Resolution No. 11-27 CITY OF TIGARD, OREGON
TIGARD CITY COUNCIL
RESOLUTION NO. 11-Qr7
A RESOLUTION FINALIZING SANITARY SEWER REIMBURSEMENT DISTRICT NO. 50 (SW
CANTERBURY LANE) AND AMENDING THE PRELIMINARY CITY ENGINEER'S REPORT
CONTAINED IN RESOLUTION NO. 10-57
WHEREAS, on November 9, 2010, the City Council approved Resolution No. 10-57 to form Sanitary Sewer
Reimbursement District No. 50 to construct sewers in SW Canterbury Lane in accordance with Tigard
Municipal Code(TMC) Chapter 13.09;and
WHEREAS, the City Engineer's Report, included in Resolution No. 10-57, estimated construction and total
project cost;and
WHEREAS, construction of the sewer improvements has been completed, final costs have been determined,
and the City Engineer's Report has been revised to include the final costs as required by TMC 13.09.105 (1);
and
WHEREAS, the property owners within the district have been notified of an informational hearing in
accordance with TMC13.09.060, and an informational hearing was conducted in accordance with TMC
13.09.105;and
WHEREAS, the City Council has determined that the proposed revisions to the City Engineer's Report, as
recommended by the City Engineer,are appropriate.
NOW,THEREFORE,BE IT RESOLVED by the Tigard City Council that:
SECTION 1: The Final City Engineer's Report titled "Sanitary Sewer Reimbursement District No. 50,"
attached hereto as Exhibit A,is hereby approved.
SECTION 2: The City Engineer's Report as presented in Resolution No. 10-57 is hereby amended by the
attached Final City Engineer's Report(Exhibit A).
SECTION 3: 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.
SECTION 4: This resolution is effective immediately upon passage.
PASSED: This a87!-�5day of 2011.
or-City of Tigard
ATTEST:
ity Recor er-City of Tigard
RESOLUTION NO. 11-a
Page 1
Mo.
Exhibit A
Final City Engineer's Report
Sanitary Sewer Reimbursement District No. 50
(SW Canterbury Lane)
Background
This project was constructed and funded under the Citywide Sanitary Sewer Extension
Program. Under the program, the City of Tigard installs public sewers to each lot within an
established reimbursement district. At the time of connecting to the public sewer, the
property owner:
- Pays a connection and inspection fee,currently $4,135.
- Reimburses the City for the owner's share of the sewer installation.
- Assumes responsibility for any plumbing modifications necessary to connect to the
public sewer.
- Assumes responsibility for disconnecting the owner's existing septic system in
accordance with Washington County regulations.
There is no requirement to connect to the sewer or pay any fee until connection is made.
Project Area-Zone of Benefit
Serving the two lots in the attached table required extending an existing sewer in SW Inez
Street. No further extension of this line will be required. The surrounding area is
completely served with sewer.
The owner of 10380 SW Canterbury Lane is requesting sewer service to accommodate a
proposed addition to his home. The City is the owner of the adjacent lot at 10310 SW
Canterbury Lane. This lot is a City park and the site of the John Tigard House managed by
the Tigard Area Historical and Preservation Association. The association has expressed an
interest in constructing a restroom to the south of the house. The proposed sewer would
provide service to this restroom.
The proposed project would provide sewer service to a total of two lots within the proposed
reimbursement district as shown on Exhibit B to the proposed resolution.
Cost
The final cost to provide sanitary sewers to the two lots is $56,425
Construction $49,714
Engineering and Inspection* $6,711
Total $56,425
*13.5 percent as defined in TMC 13.09.040(1)
This is the amount that would be reimbursed to the sanitary sewer fund as property owners
connect to the sewer and pay their share of the project costs. However, the actual amount
Exhibit A Page 1 of 4
each property owner pays may be affected by the owner's participation in the City's early
connection incentive program.
In addition to sharing the cost of the public sewer, each property owner will be required to
pay a connection and inspection fee, currently $4,135, upon connection to the public line.
All owners will be responsible for all plumbing costs required for work done on private
property.
Reimbursement Rate
The two lots are dissimilar but are receiving the same benefit. Therefore,it is recommended
that the total cost of the project be divided equally between the two properties.
Other reimbursement methods include dividing the cost proportional to lot area 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 final fair share of the public sewer line is $28,213. In
accordance with Resolution No. 01-46, owners who complete their connection within
three years of City Council approval of the final City Engineer's Report are eligible
for incentives. Under these incentives, each owner's share would be limited to $6,000,
to the extent that this share does not exceed $15,000. In addition to paying for the
first $6,000, owners are 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 No. 03-55.
Annual Fee Adjustment
TMC 13.09.115 states that an annual percentage rate shall be applied to each property
owner's share of the public sewer costs on the anniversary date of the reimbursement
agreement. The Finance Director has set the annual interest rate at 6.05% as stated in
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
Tigard Municipal Code (TMC) 13.09.110(5). Fifteen years after the formation of the
reimbursement district, properties connecting to the pubic sewer would no longer be
required to pay the reimbursement fee.
Submitted June 14,2011
Theodore S. Kyle,
City Engineer
Exhibit A Page 2 of 4
CANTERBURY LANE
FY 2010-11 Sanitary Sewer Extension Program
Final Cost to Property Owners
Summary
Thursday,May 19,2011
Final Construction Costs $49,714
13.50%Administration &Engineering $6,711
total project costs $561,425
total lots to be served 2
total cost per lot $28,212.70
Page 3 of 4
CANTERBURY LANE
FY 2010-11 Sanitary Sewer Extension Program
Final Cost to Property Owners
Thursday,May 19,2011
Final
Amount that
Amount to be Amount to be can be
Owner Site Address Tax Lot ID Reimbursement paid by Owner Paid by City Deferred by
Fee
Owner
1 1vliller,Paul E&Judith A 10380 SE Canterbury In 2SI l IBCO2700 $ 28,213 $ 19,213 $ 9,000 $ 13,213
2 City of Tigard 10310 SW Canterbury Ln 2S111BCO2603 $ 28,213 $ 19,213 $ 91000 $ 13,213
Totals $ 56,425 $ 38,425 $ 18,000 $ 26,425
The"FINAL,REM-IBURSEb1ENT FEE"column shows the estimated reimbursement fee for each lot. There are no requirements to connect to the sewer or pay any
fees until the owner decides to connect to the sewer. The final reimbursement fee will be determined once construction is complete and final costs are determined.
In accordance with Resolution No. 01-46,each property owner will be required to pay the first$6,000 of the final reimbursement fee for connections completed within
the first three years of City Council's approval of the final City Engineer's Report following construction. The"AMOUNT TO BE PAID BY CITY"column shows that
portion of the reimbursement fee that the owners will not be required to pay if they connect to the sewer during this three year period.
This resolution also requires owners to pay any fair share amount that exceed$15,000. Consequently,if the final fair share for an owner exceeds $15,000,the owner
would be required to pay$6,000 plus that amount of the fair share that exceeds$15,000. Under Resolution No. 03-55,payment of the amount in excess of$15,000 may
be deferred until the owner's lot is developed.This amount is shown in the"AMOUNT THAT CAN BE DEFERRED BY OWNER"column.
In addition to the reimbursement fee,the owners will also be required to pay a connection fee,currently$4,135 at the time of connection to the sewer. 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.
Page 4of4
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CANTERBURY LANE-REIMBURSEMENT DIST NO. 50
FY 2010- 11 SANITARY SEWER EXTENSION PROGRAM
A PORTION OF THE NW 1 /4 SECTION 11 T2S R1 W W.M.
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NOTE:
All properties in the reimbursement EXHIBIT B
district are zoned R3.5
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