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Resolution No. 10-23 CITY OF TIGARD, OREGON TIGARD CITY COUNCIL RESOLUTION NO. 10-,--:�3 A RESOLUTION FINALIZING SANITARY SEWI R REIMBURSEMENT DISTRICT NO. 45 (SW HOOD VIEW DRIVE) AND AMENDING 'I'HE PRELIMINARY CITY ENGINEER'S REPORT CONTAINED IN RESOLUTION NO. 09-56. WHEREAS, on August 11, 2009, the City Council approved Resolution No. 09-56 to fom-1 Sanitary Sewer District No. 45 to construct sewers iti SW Hood View Drive and Kable Street in accordance with TMC Chapter 13.09;and WI-IEREAS,Resolution No. 09-56 included the City Engineer's Report that included an estimated construction and total project cost;and WHEREAS, constLuction of the sewer improvements has been completed, final costs have been detem-�ined, and the City Engineer's Report has been revised to include the final costs as requited by TMC 13.09.105 (1); and i WHEREAS, the property owners within the district have been notified of an informational hearing in accordance with TMC13.09.060 and m informational hearing was conducted in accordance wide TMC 1.).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. i NOW,THEREFORE,BE IT RESOLVED by the Tigard City Council that: SECTION 1: The Final City Engineer's Report titled "SaAitary Sewer Reimbursement District No. 45", attached hereto as Exhibit A,is hereby apptoved. SECTION 2: The City Engineer's Report as presented in Resolution No. 09-56 is hereby amended by the attached Final City Engineer's Report (Exhibit A). SECTION 3: The City Recorder shall cause a copy of tl-�s 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: Tl-is resolution is effective iintnediately upon passage. PASSED: Thisday of �� �`�' 2010. i f- e - Mayor-City of Tigard A T: City Recorder-City of Tigard I;icaplxpp22p70 fy cpNnotlrlew san,evr dhl A5•Ala 00635-iiaa 93pS5iraune3Ynellzellon 421-1615na1 honslvicw rcua eAsl 3A ca.doe RESOLUTION NO. 10- Page 1 Exhibit A PinaI City Engineer's Report Sanitary Suer Reimbursement District No. 45 (SW Hoodview Drive) Back- ound This project was constructed and .funded under die City= of Tigard Neighborhood Sewer Extension Program (NSE-P). Under die program, dhe City of Tigard installed public sewers to each lot witl-tin d-ie project w-ea. At the tune the property owner connects to the sewer, the owner would pity a connection fee, currently $3,635 and reimburse die City for a f<& share of the cost of the public server. 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 systems according to Washington County rules and for any other modifications necessar3y to connect to die public sewer. Project.Aren-Zone of Benefit Serving the 25 lots in tate following table will require extending an existing sewer in SW fable Street north and west in SW Hoodview Drive. No further extension of this line will be required. The surrounding area is completely seined-with sewer. The Project makes available sewer service to a total of 25 lots within the reimbursement district as shown on Exhibit Map B. Cost The final cost for die sanitary server construction to provide service to the 25 lots is $429,478. Engineering and inspection fees amount to $57,980 (13.59/6) as defined in TMC '13.09.040(1). The final total project cost is 5487,458. This is the ,unount that should be reimbursed to the sanitary sewer fund as properties connect to the sewer and pay their fair share of die 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 die cost of the public sewer line, each property owner will be required to pay a connection and inspection fee, currently $3,635, upon connection to rhe public line. This fee is expected to increase to $4,135 on July 1.,2010. All owners urill be responsible for all plumbing costs required for work done on private property. Reimbursement Rate All but two of rhe southernmost properties in the proposed district are zoned Residential 3.5 requiring a 10,000 square foot minimum lot size. Consequently, d-ie sane method of assigning costs to all lots within the district Nvas used. Lot size varies from about 15,000 to Exhibit A Page i of 4 18,000 square feet as can be seen in the following list of lots. 'herefore, the total cost of the project was divided among the properties proportional to the square footage of each property- This method is reasonable because sewer senvice is more beneficial to larger lots that may be more extensively developed. 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 serv-ice to each lot or the benefit to each lot. Each property owner's final fair share of the public sewer line is $1.22837672 per square foot of lot served. Each owner's fair share will 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 No. 01-16 (attached). In addition to paying for the first $6,000, owners will retrain responsible for paying all actual costs that exceed$1.5,000. Upon request, payment of costs that exceed $15,000 may be deferred until the lot is developed, as provided by Resolution No. 03-55 (attached). Annual Fee Adjustment 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. 99-22, Recommendation It is recommended that the reimbursement district be finalized with an annual fee increase as indicated above and that the reimbursement district continue for fifteen}Tears as provided in Tigard Municipal Code (IMC) 73.09.310(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 April 12,2010 Theodore Kyle, P.E. City Engineer L5nng42UU9-Z91U!y cipVh c&lmean new dl:!A5.tin gD=-ife: tlLh 45 rcput ex aiLuc Exhibit A Page 2 of 4 H®ODVIEW DRIVE Se- ei Reimbursement District #45 Final Cost to Property Owners Su.rnn�arf� Tuesday,April 13,2010 Final Construction Costs $429,478.38 Final construction subtotal _ 3429,478.38~--- : -- - 13.50%Administration & Fngi_neeiing _ $57,979.58 _.._ total project costs $487,457.96 tote area to be served (S.F.) 396831 total cost per S.F. to property owner $1.22837672 i 3of4 i i a .• n M c -- c Nn n cn n rn M rn <n m r ,n ❑ o u y `u 6' C9 m m N,c s M i� i� w N m m m ru m ru h n i� r! n � L' -: c c •� y d G1J [� [� try rA rrj r1 rrj l� t+' T ri lh N ri [� i; T~ l+ ri I+ r-i h +7 In -7 �' .� U :1 _ M r- N L7 n7 0 ery cti r] TM N t ^ Y U C'F [ [- C\ C N r7 I n 1 w ! n n h r F it M1 h C [� M [ 4.. 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