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HomeMy WebLinkAbout[09a] Assessment Policy f CM' FST.Jo u'u 1/^1 � OF Council Agenda Item 9(a) MEETING DATE: June 16, 2011 AGENDA ITEM: Assessment Policy SUBMITTED BY: Administration /Staff • BOARD /COMMISSION /COMMITTEE RECOMMENDATION: PREVIOUS COUNCIL ACTION: The Council reviewed a draft assessment policy in May requesting modifications. BACKGROUND INFORMATION: The attached documents include all the changes requested by the Council. Included in this packet is the draft the Council was working from with all the suggested changes with either strikeout or additions. Some of the changes re- organized the data in the policy, but when reviewing the changes it can be hard to follow. Therefore a copy of the document has been provided accepting all the changes. At this time staff is looking for direction as to whether or not the policy can be adopted at this meeting or if additional changes are desired. Once the final policy has been adopted a cover page and table of contents will be added. BUDGET /FISCAL IMPACT: ATTACHMENTS: Request for Council Action 9(a):1 -2 Draft policy with strikeouts 9(a):3 -10 Draft policy accepting all corrections 9(a):11 -18 REQUESTED COUNCIL ACTION: If the changes are acceptable to the Council, the policy could be adopted and the cover page and table of contents will be added and it will be part of the resource material for the City. If additional changes are required they should be identified at this meeting. 9(a):1 THIS PAGE INTENTIONALLY LEFT BLANK 9(a):2 Section I. Special Assessment Policy Goals The goals of the City's special assessment policies and procedures are as follows: 1. In combination with federal, state, county, and other local financial resources available to the City, provide a stable and continuing source of funding within the financial capacity of the City to accommodate infrastructure needs for new development, redevelopment, and maintenance within the existing community in the most cost - effective manner. 2. Balance needs and costs for new and existing infrastructure • support and promote economic development and growth as well as maintenance within sting community by providing for the equitable distribution of infrastructure costs to e • 4 at specific developments are financially self- supporting to the extent warrante • 3. To provide a comprehensive, well - construe • well- maintai frastructure system that provides service to individual properties . es advantage of ec• • ies on a regional scale and flexibility in the timing of infrastructur_ elopment. 4. To be responsive to communit -eds and desir- , safety, welfare, essibility, and mobility provided by new infra and the ma •ance of existing infrastructure. 5. To function in harmony with the co -nsive pl. • growth area plans by providing the infrastructure - • "I enities su li:hti V _ . iated with those plans thereby promo • •wth in a • re a .'ilable or can be provided at the most rea • le cost. 6. Provide the City Co. an• 'th guide and methods to efficiently distribute inf • sts to s in quitable and consistent manner_. thereby 410. 1 111k, - 7. To p . an effective for the w' agement of municipal services to support a highly function. • well -maint -d system of infrastructure which promotes economic developme • growth, ` ers a sense of pride throughout the community, and facilitates the developme • a • • n of short and long range capital improvement plans by identifying the magnitude an• of funding available. 7,8. To provide information to residents to gain a better understanding of the project and process. The special assessment policy is intended to be a working document designed to guide the actions of the City Council and program activities of City staff. Although the special assessment policies and procedures are intended to provide for the equitable distribution of costs proportionate to the benefits accruing to each improved property, the methods, in and of themselves, do not guarantee against challenges, successful or not, to the special assessments derived from them. 9(a):3 The City recognizes that this policy cannot cover every situation. The Council must therefore use its judgment in applying this policy, sometimes on a case by case basis, in order to assess benefitted properties in a fair and equitable manner. The true measure of benefits resulting from the improvement is the increase in market value of the land as a result of the improvement. Section 11 Definitions Assessable costs —Those costs of public improvements are those costs which, in the opinion of the City Council, are attributable to the need for service in the area served by the improvement. Said costs shall be equal to the "project costs" of the project as defined less the " •sts" minus any other financial assistance credited in section 111 (C3) of this policy. • . - •••• • . • - • • • as determined by the City Council. . —44411 00/01W . Assessment Rate — The assessment rate is er • dividin: assessable costs of an improvement by the total number of assess mt uni .s the t• -djusted front footage or square footage, acreage, numb- z number o `�• reels Assessable Unit —The .I assess t basis of rement, su as front foot, square foot, acre, number of lots or numbe ' .reels Cit Cost t cos the Ci, _" .s t wner of abutting or benefitting property on a public '".'ement pre ° nd th. • roject co are not specially assessed. Front Fron ' -The distance "" sure • : the property Tine that directly abuts or benefits from an improvement. Lot Definitions: a. Adjusted fro = A modified lineal front footage designed to compensate for a typical frontage • egularly shaped Tots and corner lots to make apportionment of assessments more equitable. The adjusted front footage may be greater than or less than the actual front footage. b. Corner Lot: A lot which has a property line abutting on one street and an opposite line abutting another street. c. Double frontage Lot: A lot abutting two separate non - intersecting or intersecting streets but not corner lot. 9(a):4 d. Irregularly Shaped Lot: A lot abutting a curved street, cul -de -sac, or other lot where there is more than five feet of difference in length between the front and back lot lines. e. Rectangular Shaped Lot: A lot with Tess than five feet of difference in length between the front and back lines. I f. Side Lot Footage – In the case of corner lots, the longest distance measured along the property line shall be considered the side of the lot, regardless of the address the orientation of the building on the lot, or the driveway location. -Non abuttin. lot. A •ro•ert that is not direct) ad'a• • a •ublic im•rovement •ro'ect but is determined to benefit from the •ublic im •r -nt such as a street water main or sewer. Project Costs: All costs incurred or estimated costs . .ted to be in • to complete the project including land acquisition, construction, engineer' gal, administrative, ing and any contingent costs. Rural Street Design– A road that is usu. saved or hare hout curb and _ , r. Special Assessment – A charge that is im -al prope elp pay for a local improvement that 1 benefits the property being charged. Urban Street Design – A construct, ith t - urb a .utter. Section 111 Gene sessme • olicies It has been an • • tinues t• - e City , . Joseph that when infrastructure improve P eet a ities) . tru providing benefit to an affected area, those costs s = levied aga ` ,e be g prope he procedures for constructing improvements and levy •sts against be ing p ies shall be that as identified as Minnesota Statutes, Chapter 42'. Statutes Cha 429 p , that all, or part, of the cost of an improvement may be assessed again Befitting prop -s in acc.rdance with the benefits received. The Statute does not define a guide as t• the bene . re measured or how the costs are to be apportioned. Therefore, the City Council shall , e Ass- ent Policy as a guide for fairly and equitably apportioning the costs for City improvements. A. Initiation of Public Improvements Projects Public improvements projects may be initiated by petition of affected property owners or by a majority vote of the City Council. If the improvement is requested by the affected property owners, the owners must submit a petition for such to the City Administrator using the form found in Appendix A of this policy. Once the petition has been reviewed and accepted for consideration, the City Council will consider making of the improvement. B. Service Life of Improvements 9(a):5 Public Improvements are judged to have a normal useful life expectancy. Below is a listing of the major types of improvements completed by the City of St. Joseph with the anticipated life expectancy. 1. Street Improvements a) Bituminous Street Overlay — 10 years b) Bituminous Street Reconstruction /Construction —15 years c) Concrete Curb and Gutter — 25 years d) Sidewalks — 25 years e) Alley — residential —15 years f) Alley — commercial —15 years 2. Subsurface Improvements a) Water mains — 40 years b) Sewer sewers - 40 years c) Storm sewers — 40 years When any existing improveme ordered to b- r• r replaced, the ment to be levied therefore will be the pr. to share of • sts based on the ratio of the age of the existing improvement to the use. -ctancy o • provement. C. Assessment Police Where an im • ent is . tructed • • ene operties within a defined area, it is the intent of 'ty Coun , hat specia -ssments be levied against the benefited properties within t -a t• - tent tha costs of such project can be deemed to benefit the 1 1111‘1% N rnikt 1. Where • roject co fan improvement are not entirely attributable to the need for service to - rea s: by said improvement, or where unusual conditions beyond the control of the the property in the area served by the improvement would result in an inequitable di • ution of special assessments, the City, through the use of other funds, will pay such "City cost" which in the opinion of the City Council, represents the excess cost not directly attributable to the area served. 2. If financial assistance is received from the federal government or State of Minnesota, or from any other source to defray a portion of the costs of a given improvement, such aid will be used first to reduce the "City cost" of the improvement. If the financial assistance received is greater than the normal "City cost ", the remainder of the aid will be used to 9(a):6 reduce the special assessments against the benefiting properties, such reductions to be applied on a pro -rata basis. d a b ov e (C3) 3. City -owned properties, including municipal building sit= 'arks, and playgrounds, but not including public streets and alleys, shall be regarde • ng assessable on the same basis as if such property were privately owned. 4. The term "lot" as used in this policy state • s all that . fined in section II of this policy. 5. The Council may hold the assessment g and adopt the asses • t roll prior to, or following, the installation of public impro - ts. . ssessment adopted prior to the installation of public i ements then, se, the Council ma aive the interest payment thereon , 'od betwee date of the adoption of the assessment roll and October ,f • e year. 1 .ssessment is adopted after October 1 of a calendar year, th sess . .11 be d ► 'thin 30 days of adoption. 6. The Coun on -ssessme -r • gt •ayment and interest rate) for each proposed • -ct. Defe ts are a in accorda e with MN Statute 429. Section IV ace Im • - ► Surfac- •vemen 'nclu• ding an.. .n truction, sidewalks, curb and gutter, surfacing and res. 'ng. A. Asse t Formula fo ace Im . ements The assess to be levi: gainst properties within the benefited areas shall be distributed to those property. • the • of the following provisions: 1. The assessable • be assessed for all surface improvements, unless otherwise specified by the City Council, shall be based on the "frontage" of the property. For surface improvements, such "frontage" shall be determined as follows: a) For rectangular interior lots, the "frontage" shall be equal to the dimensions of the side of the lot abutting the improvement. b) For rectangular corner lots, the "frontage" shall be equal to the sum of 100% of the short side footage of the lot abutting the improvement 50% of the long side footage of the lot abutting the improvement. 9(a):7 c) For irregularly shaped interior lots, the "frontage" shall be equal to the average width of the lot. d) For non - abutting benefitting lots, the "frontage" shall be determined by the specific configuration of the parcel and on an "adjusted front footage" basis. The adjusted front footage shall be computed using an area -to- frontage ratio+ representative of the area frontage ratio prevalent in the lots of the special assessment improvement area. In cases where the City Council determines that the assessable costs would be more equitably distributed (including those instances where . eement can be reached between the City and the developer of a subdivision), the ass- unit may be the `lot" (i.e. — a uniform "per lot" assessment). Nothing is-in this hall prohibit the City Council from considering other distributions formulas provi e ibute the "assessment cost" equitably. 2. The following general provisions sha ed as a guide in dist 'ng the costs of a surface improvement: a) If the improvement is tructed as th - ew subdivision, entire cost of the improvement shat able again i.erties within the subdivision. b) If the improvement is co u • ropertie • exed to the City, where an infrastructure project has 'rev'. • -en ass- the abutting properties owners shall be a e entire c• •f the i - ents, -ss the Council determines othe e . t to be a .sz i e benefit .rovided to the •ro•ert by the •letion o - improve c) If the imp • ent i nstructed i area that has previously been assessed for •vemen o•erties shall be assessed 60 percent of the o . t cos h the CI ' percent, unless the Council determines otherwis- eve e improv- nt includes the construction of new curb and gutter versu . cing . nd gutter, the benefiting property shall be responsible for '0 %ofthe cure d gutte .ts. d) • unicipal Sta ,'d or County State Aid Street improvement projects, assessments sha -vied agn these properties where improvements of the type constructed have n• -xisted. The project costs shall be allocated as identified in Section VIII (32) s policy. e) The following provisions shall apply on new sidewalk installation projects in developed single - family residential areas: 1) If the sidewalk improvement is initiated by the City, the entire cost of the improvement shall be charged as a "City cost ". 2) If the sidewalk improvement is required as part of a new subdivision, the improvement cost shall be the responsibility of the developer. 9(a):8 3) If the sidewalk improvement is initiated by request of petition of affected property owners, the cost shall be the responsibility of the affected property owners. f) Alley improvements in residential neighborhoods will be assessed 90 percent of the total project cost. Alley improvements in commercial and industrial areas shall be assessed 100 percent of the total project costs. g) Improvement costs for benefitting future development shall be held by the City as a deferred assessment as provided in MN Statute 429 and will become payable at the time of development or time specified by the City C• cil at the adoption of the assessment. h) Seal Coats shall not be assessed unless cause • deviate from this policy. -i Im.rovements benefitin: Common Intere• alit. .ro•ert shall be calculated on the front foota:e and shall be divided .o tionatel .arcel in the CIC. Section V Subsurface Improvements Subsurface improvements shall includ - er distributio tary sewer lines, . storm sewer and drainage infrastructure. A. Standards for Subsurface Im •rove •ts Subsurface impr all be ma. o se .nd p -cted land use B. Assessment F. . for Sub ace Impr• nts The a . ent to b. • operti- 'thin the benefited areas shall be distributed to t • en the of the • • : p sions: he "assessme e" to •plied shal •e equal to the "assessable costs" of the project •ed by the tot.. mber • .essable units benefited by the improvement. £crvcd. 3 The following general provisions shall be used in distributing the costs of subsurface improvements: 9(a):9 a) If the improvement is constructed as required by the subdivision regulations of the City, the entire cost of the improvement shall be assessable against properties within the subdivision served with the following exceptions: 1) Water main or sanitary sewer construction within a new subdivision that are installed larger than the size of mains required to provide complete water (including fire- fighting potential) or sewer service to the subdivision shall be the cost of the developer. The City Council at their discretion may enter into an agreement reimbursing the developer for future connections to the oversized service. The City cannot guarantee repayment, but will establi rvice area for the improvements and a unit cost. If the City is reimbursed, • unt collected shall be surrendered to the developer. 2) Charges for undeveloped proper I be charge. nk charge and will become payable at the time service is ted. If the area t. .ssessed contains a disproportionate amount of elopable property, the Council will consider alternative unit charges which w •ropo • .te to all be ing properties.Water • or sanitary s- . ons initiated by . ity shall be proportionately as • current an. re benefiting properties based on a per unit charge with one t • • for each - ential equivalent as described in St. Jose. h Code o Ordina 4. ∎ ,, .. - . - _ . - l► A . - - - - - - - impro t is a he. previously platted or developed area with mu •rope the asses osts shall be divided equally among all benefits ope-stablishing a per unit charge. If the projec -a inclu• large platted or unplatted properties, the benefits shall computed n equivalent basis using an area -to- frontage ratio representative o area -t. ::'ntage ratio prevalent in the normal lots in the area to be served. The • may consider alternative calculation methods for establishing the trunk c 4) On projects which involve the reconstruction or replacement of existing sanitary sewer, water main or storm drain utilities within single - family residential areas, the assessment rate to be applied against each individual property shall be equal to 60 percent of the per full unit charge. 9(a):10 Section I. Special Assessment Policy Goals The goals of the City's special assessment policies and procedures are as follows: 1. In combination with federal, state, county, and other local financial resources available to the City, provide a stable and continuing source of funding within the financial capacity of the City to accommodate infrastructure needs for new development, redevelopment, and maintenance within the existing community in the most cost - effective manner. 2. Balance needs and costs for new and existing infrastructure • support and promote economic development and growth as well as maintenance within sting community by providing for the equitable distribution of infrastructure costs to e • + at specific developments are financially self- supporting to the extent warrantee 3. To provide a comprehensive, well - construc • well- maintai frastructure system that provides service to individual properties . es advantage of ec• • ies on a regional scale and flexibility in the timing of infrastructur- elopment. 4. To be responsive to communit -eds and desir- safety, welfare, essibility, and mobility provided by new infra - and the ma 'ance of existing infrastructure. 5. To function in harmony with the C co -nsive pl. • growth area plans by providing the infrastructure . •senities, su lighti •ciate• those plans thereby promoting ord: reas wh- .erv' ble • can be provided at the most reasonable c• 6. Provide the City Co. 'th guide - and methods to efficiently distribute inf •sts to g • -s in -quitable and consistent manner. . 7. 4.rovide an e tool •e manage " -' t of municipal services to support a highly f anal and well - .ined -m of infrastructure which promotes economic deve -nt and gro esters a -e of pride throughout the community, and facilitates the deve •ent and ado < en of short and long range capital improvement plans by identifying the magnit , d sourc funding available. ti 8. To provide inform -sidents to gain a better understanding of the project and process. The special assessment policy is intended to be a working document designed to guide the actions of the City Council and program activities of City staff. Although the special assessment policies and procedures are intended to provide for the equitable distribution of costs proportionate to the benefits accruing to each improved property, the methods, in and of themselves, do not guarantee against challenges, successful or not, to the special assessments derived from them. The City recognizes that this policy cannot cover every situation. The Council must therefore use its judgment in applying this policy, sometimes on a case by case basis, in order to assess benefitted 9(a):11 properties in a fair and equitable manner. The true measure of benefits resulting from the improvement is the increase in market value of the land as a result of the improvement. Section 11 Definitions Assessable costs - Those costs of public improvements are those costs which, in the opinion of the City Council, are attributable to the need for service in the area served by the improvement. Said costs shall be equal to the "project costs" of the project as defined less the "City costs" minus any other financial assistance credited in section III (C3) of this policy. Assessment Rate - The assessment rate is determined by dividing the assessable costs of an improvement by otal number of assessment units such as the total adjusted front footage or square footage, acr- mber of lots, or number of parcels. Assessable Unit - The special assessment b of mea sent, such as front foot, square foot, acre, number of lots umber of pa s.Citv - Those project costs that the City pays as the owner of a g or benefitting pro n a public improvement project and those project costs that . • of specially assessed. Front Frontage - The distance measure "long the prop- "• directly abuts • efits from an improvement. Lot Definitions: a. Ad"usted fro • A modifi- eal fr• de -d to compensate for a typical fr. of irr- ly shape, orn- o make apportionment of assessmen re equit. . The adj , front footage may be greater than or less than the actual fron age • ..•►a. of w s a pro. • e . tting on one street and an opposite line abutting ano treet. c. .le fronta_e L• lot a . ' g two separate non - intersecting or intersecting streets bu orner lot. d. Irre_ular . •ed Lo lot abutting a curved street, cul -de -sac, or other lot where there is more than erence in length between the front and back lot lines. e. Rectangular Shap - • Lot: A lot with less than five feet of difference in length between the front and back lines. f. Side Lot Footage - In the case of corner lots, the longest distance measured along the property line shall be considered the side of the lot, regardless of the address the orientation of the building on the lot, or the driveway location. Non abutting lot. A property that is not directly adjacent to a public improvement project but is determined to benefit from the public improvement, such as a street, water main, or sewer. Project 9(a):12 Costs: All costs incurred or estimated costs anticipated to be incurred to complete the project including land acquisition, construction, engineering, legal, administrative, financing and any contingent costs. Rural Street Design— A road that is usually paved or hard surfaced without curb and gutter. Special Assessment— A charge that is imposed on real property to help pay for a local improvement that benefits the property being charged. Urban Street Design — A road that is constructed with the use of curb and gutter. Section 111 General Assessment Policies It has been and continues to be the policy of the City of St. 1 , .t when infrastructure improvements (such as street and utilities) are constructe• idi efit to an affected area, those costs shall be levied against the benefiting propertie procedures • nstructing improvements and levying costs against benefitting properties s hat as identified . nesota Statutes, Chapter 429. MN Statutes Chapter 429 provide t I, or part, of the cost o provement may be assessed against benefitting properties in accordanc- • the b- 'ts received. Statute does not define a guide as to how the benefits a • easured or h • • - are to be appo - d. Therefore, the City Council shall use the Assessme _as a guide • • ly and equitably apportioning the costs for City improvements. A. Initiation of Public • ements Pr• Public impro s proj- ay be in •etiti• ffected property owners or by a majority vote o City Cou If the im ement is requested by the affected property owners, the owne t s •etition ch to the City Administrator using the form fo • ix A o e p . • n has been reviewed and accepted for eration, 'ty Co. will cons • - i g of the improvement. B. S- - Life of Im • ro • nts Public •vements are :ed to h. e a normal useful life expectancy. Below is a listing of the major of improv - nts completed by the City of St. Joseph with the anticipated life expectancy. 1. Street Improve a) Bituminous Street Overlay — 10 years b) Bituminous Street Reconstruction /Construction —15 years c) Concrete Curb and Gutter— 25 years d) Sidewalks — 25 years e) Alley — residential -15 years f) Alley — commercial —15 years 2. Subsurface Improvements • 9(a):13 a) Water mains — 40 years b) Sewer sewers — 40 years c) Storm sewers — 40 years When any existing improvement is ordered to be renewed or replaced, the assessment to be levied therefore will be the proportionate share of the costs based on the ratio of the age of the existing improvement to the useable life expectancy of the improvement. C. Assessment Polices Where an improvement is constructed which is of benef • perties within a defined area, it is the intent of the City Council that special assessme evied against the benefited properties within the area to the extent that the • roject can be deemed to benefit the properties. 1. Where the project costs of an impro are not entirely at able to the need for service to the area served by said imp . ' ent, or where unusua ' itions beyond the control of the owners of the property in t -a se • y the impro - nt would result in an inequitable distributio •ecial assessm ity, through the •f other funds, will pay such "City cost" wh - opinion of 'ty Council, represents the excess cost not directly attributable to th. ea • 2. If financial as ' received . the fe • •vern or State of Minnesota, or from any • • ur - • efray a • ;'o - c. . given improvement, such aid will be used fi reduce t City cost' improvem - If the financial assistance received is gr- than ormal "Cit t ", the remainder of the aid will be used to • - speci. - 'nst th. nefiting properties, such reductions to be o -rat. . 'ty -owned pro. '-s, in municipal building sites, parks, and playgrounds, but not ing public st and a hall be regarded as being assessable on the same basis as i property w • rivatel • wned. 4. The term "as use his policy statement shall that as defined in section II of this policy. 5. The Council may h• d the assessment hearing and adopt the assessment roll prior to, or following, the installation of public improvements. If the assessment roll is adopted prior to the installation of public improvements then, in that case, the Council may waive the interest payment thereon for the period between the date of the adoption of the assessment roll and October 31 of the same year. If the assessment is adopted after October 1 of a calendar year, the assessment shall be due within 30 days of adoption. 6. The Council will consider assessment terms (length of repayment and interest rate) for each proposed project. Deferments are available in accordance with MN Statute 429. 9(a):14 Section IV Surface Improvements Surface improvements shall include grading and base construction, sidewalks, curb and gutter, surfacing and resurfacing. A. Assessment Formula for Surface Improvements The assessment to be levied against properties within the benefited areas shall be distributed to those properties on the basis of the following provisions: 1. The assessable unit to be assessed for all surface imp - nts, unless otherwise specified by the City Council, shall be based on the "fronta: - e property. For surface improvements, such "frontage" shall be deter , ows: a) For rectangular interior lots, the "fro ' shall be eq . • the dimensions of the side of the lot abutting the improvem: b) For rectangular corner Tots, the " .ge" shall be equal to t of 100% of the short side footage of the lot abuttin: "mprov: t 50% of th. • : side footage of the lot abutting the im ' ement. c) For irregularly shaped •ts, the "fro -' shall be equal to the average width of the lot. d) For non - abutting benefitti . ,ts, t ` - stage s - determined by the specific configur. • • - parcel a an "a•' ront ge" basis. The adjusted front foots be . ted usin_ • . .-fr. atio representative of the area fronta: io preva in the lot e special as -ssment improvement area. ere th- - mine .t the assessable costs would be more .01 a • • ute • ding th • - n • where agreement can be reached between the City and -velop. TM a subdivis the assessable unit may be the "lot" (i.e. — a "form "per lot -ssme • othing in this policy shall prohibit the City Council from c• ering other d • ution • las provided they distribute the "assessment cost" equi 2. The folio - ner. visions shall be used as a guide in distributing the costs of a surface improvement. a) If the improvement is constructed as the result of a new subdivision, the entire cost of the improvement shall be assessable against properties within the subdivision. b) If the improvement is constructed on properties annexed to the City, where an infrastructure project has not previously been assessed, the abutting properties owners shall be assessed the entire cost of the improvements, unless the Council determines otherwise. The amount to be assessed is limited to the benefit provided to the property by the completion of the improvement. 9(a):15 c) If the improvement is constructed in an area that has previously been assessed for improvements, the benefiting properties shall be assessed 60 percent of the total project costs, with the City paying 40 percent, unless the Council determines otherwise. However, if the improvement includes the construction of new curb and gutter versus replacing curb and gutter, the benefiting property shall be responsible for 100% of the curb and gutter costs. d) On Municipal State Aid or County State Aid Street improvement projects, assessments shall be levied against these properties where improvements of the type constructed have not previously existed. The project costs shall - allocated as identified in Section III (2) C of this policy. e) The following provisions shall apply on new s' i installation projects in developed single - family residential areas: 1) If the sidewalk improvement i ed by the City, tire cost of the improvement shall be charg- a "City cost ". 2) If the sidewalk improvement is ed as pa ► .f a new su %ion, the improvement cost s all be the res • . ' • ili e developer. 3) If the sidewalk im - nt is initiate, • uest of petition of a ected property owners, the cost sh. ; ponsibilit e affected property owners. f) Alley impr. is in resid - .1 neig' . ids wi • sessed 90 percent of the total p -y impro ent I an. industrial areas shall be asses 00 perce the tota costs. g) Improve costs f• enefitting re development shall be held by the City as a - rred as . • - ' • ed in tatute 429 and will become payable at the -velop or tim - -d • e City Council at the adoption of the assess Seal Coats s • of be . sed unless cause exits to deviate from this policy. provements fiting • on Interest Community property shall be calculated on ont footage shall be divided proportionately per parcel in the CIC. Section V Subs •. e Imp r „= ments Subsurface improvements Nude water distribution lines, sanitary sewer lines, and storm sewer and drainage infrastructure. A. Standards for Subsurface Improvements Subsurface improvements shall be made to serve current and projected land use. B. Assessment Formula for Subsurface Improvements The assessment to be levied against properties within the benefited areas shall be distributed to those properties on the basis of the following provisions: 9(a):16 1. The "assessment rate" to be applied shall be equal to the "assessable costs" of the project divided by the total number of assessable units benefited by the improvement. 2. The following general provisions shall be used in distributing the costs of subsurface improvements: a) If the improvement is constructed as required by the subdivision regulations of the City, the entire cost of the improvement shall be assessable against properties within the subdivision served with the following exceptions: 1) Water main or sanitary sewer construction • • new subdivision that are installed larger than the size of mains re • o provide complete water (including fire - fighting potential) or sewer servic- e • ivision shall be the cost of the developer. The City Council at th etion m. er into an agreement reimbursing the developer for connections to • •versized service. The City cannot guarantee repaymen . will establish a servic- for the improvements and a unit cost. If the City is rei sed, the . •• ount colle all be surrendered to the developer. 2) Charges for undev- • •erty shall • • . rged a trunk charge and will become payable at the time e - sted. If ea to be assessed contains a disproportionate amou un • - - ble pro. the City Council will consider alte harges will • • 'onat- all benefitting p ies.W. • ain or s. , er e s initiated by the City shall be pro. onately . -ssed to c and future benefiting properties based on a per unit ch. wit - • it charge r each residential equivalent as described in St. • • h Co. • 3) If the ovem. ' accompli • in a previously platted or developed area with .ssessable costs shall be divided equally among . ` >erties, q y g all benefiting • - rties, - , Iishing a per unit charge. • e project . includes large platted or unplatted properties, the benefits shall b- •ute• n equivalent basis using an area -to- frontage ratio representative of th- ontage ratio prevalent in the normal lots in the area to be served. The City •ncil may consider alternative calculation methods for establishing the trunk charge. 4) On projects which involve the reconstruction or replacement of existing sanitary sewer, water main or storm drain utilities within single - family residential areas, the assessment rate to be applied against each individual property shall be equal to 60 percent of the per full unit charge. 9(a):17 THIS PAGE INTENTIONALLY LEFT BLANK 9(a):18