HomeMy WebLinkAboutResolution No. 4575
RESOLUTION NO. Jf's-?5'
A RESOLUTION FORMING A LOCAL IMPROVEMENT DISTRICT FOR
PAVING, CURBS, GUTTERS, SIDEWALKS, STREET LIGHTS, STREET
TREES, WASTEWATER AND DRAINAGE SYSTEMS ON TERRY STREET
FROM ROYAL AVENUE TO MORELY LOOP. (JOB #3599)
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF EUGENE, a
Municipal Corporation of the State of Oregon, as follows:
Section 1. After proper notice of the hearings required by Sections 7.165 and 7.166 of the
Eugene Code, 1971 (E.C.), and after receiving the hearings officer's report of public testimony on
the proposed project, the City Council hereby declares it is in the public interest to construct the local
improvements described in Section 2 of this Resolution and assess part of the costs thereof to the
specially benefited properties on Terry Street from Royal Avenue to Morely Loop, subject to the
provisions of Section 4 of this Resolution.
Section 2. Subject to the provisions of Section 4 of this Resolution, the Council hereby
orders the establishment of a local improvement district, on Terry Street from Royal Avenue to
Morely Loop and in that district to pave, construct curbs, gutters, sidewalks, street lights, street trees,
wastewater and drainage systems and related improvements.
Section 3. The costs of the Improvements shall be borne by, and assessed to the properties
in the district in accordance with E.C. 7.175 and Section 4 of this Resolution. Included in the cost
shall be the overhead costs specified in E.C. 7.170 and whatever other special costs, such as
acquisition of interests in real property as are necessary to make the improvements. Upon
completion of the Improvements, the final costs therefor will be calculated and the owners of
benefited property shall be notified and the property assessed as provided in E.C. 7.185 to 7.240.
The assessments to be levied for these improvements are hereby characterized for purposes of the
Resolution - 1
property tax limitation in Section lIb, Art. XI of the Oregon Constitution as assessments for a local
improvement, not subject to the constitutional limitation of $1 0 per thousand of real market value.
Notice of the intent to so characterize the assessments was sent to the affected property owners prior
to the adoption of this resolution.
Section 4. F our of the properties proposed for inclusion in the local improvement district
are located outside the boundaries of the City. Under provisions of state law the concurrence of the
Lane County Board of Commissioners is required for inclusion of the properties in the local
improvement district. The City intends to seek that concurrence, and the properties will not be
included in the district without Lane County's concurrence. The City also intends to seek annexation
of the portion of Terry Street proposed for improvement that is currently outside the City. If the
annexation is approved, the septic system for one of the properties (Lydum) located within the public
right-of-way and within the limits of the proposed road improvements, will need to be removed. The
property owner is unable to secure permission from the County to construct a new septic system
because of the availability of a public wastewater system. The current system is functioning
properly, and its removal would not be necessary except for the proposed improvements. At the time
the assessments are imposed, consideration should be given to these and the other unique
circumstances regarding the street and sewer assessments for the L ydum property described in the
City's letter to the property owners dated September 11, 1998. If the annexation request is not
approved, the proj ect will be reevaluated.
Section 5. The City Council hereby declares that the construction of the Improvements, as
well as acquisition of rights-of-way or easements necessary for the construction, is for a public
purpose, is necessary for the public welfare, and is authorized under the laws of the State of Oregon
and Charter and ordinances of the City of Eugene, and is directed by this Resolution.
Resolution - 2
Section 6. Improvement warrants, short-term promissory notes and other evidence of
indebtedness authorized by Chapter 902, 1991 Oregon Session Laws, issued to finance the
construction of the Improvements shall be indebtedness for them. When improvement warrants are
issued they may be general obligation warrants or limited general obligation warrants or other
similar instrument. Such indebtedness shall bear interest at a rate set by Council resolution
authorizing the debt. The interest shall be paid upon redemption.
Section 7. Proceeds from unbonded assessments, improvement bonds, foreclosure of liens
based on the Improvements and from other budgeted funds including ad valorem taxes, if levied, to
pay the debt shall be deposited in the Short Term Debt Fund until the indebtedness issued to finance
the Improvements is redeemed. Proceeds so deposited may be used only to pay the indebtedness
issued to finance the Improvements.
Section 8. The Mayor, City Manager, and Finance Officer may sign the evidence of
indebtedness herein authorized by facsimile signature with a check signing machine. The Finance
Officer shall cause the seal of the City to be printed on the evidence of indebtedness when required
by law or by the purchaser.
The foregoing Resolution adopted the/~~~,t?%.6&t , 199~
If -- t?- I' ~
City Recorder
Resolution - 3
Exhibit A
MINUTES
Local Improvement District
Paving, Curbs, Gutters, Sidewalks, Street Lights and Trees, Drainage Systems
On Terry Street from Royal Avenue to Morely Loop
Job #3599
September 28, 1998 Public Hearing
Eugene Hearings official Milo Mecham began the hearing at 6:05 p.m. He began
the hearing with a brief description of the purpose. of the hearing and the local
improvement district formation process. Present at the hearing representing the City of
Eugene were City Engineer Les Lyle ~d Engineering Division staff Bud DeSantis and
Michele Cahill.
City Engineer Les Lyle began by describing the Terry Street project. The project
was included in the City Council's 1998 Capital Improvement Plan and Capital Budget.
Terry Street has been identified as an import,~nt north-south transportation corridor for
the area. Improvement of this portion of Terry Street has long been anticipated, and
several informational sessions on the proposed project have been held, including one
informational hearing before the hearings official. During these formal sessions and on
an informal basis, the Engineering staff has worked with interested members of the public
on ways that the street improvements might be made so that public concerns are
addressed.
City Engineer Les Lyle explained that the project includes street improvements,
sidewalk construction, installation of street trees, and the construction of storm drains and
sanitary sewers. The project involves the construction of a 43 foot wide street from
Royal to Morley Loop. This includes two 11 foot wide traffic lanes, a central turn lane
and two five foot bike lanes. The City Engineer explained that, in response to local
concerns, the project has incorporated additional features designed to calm the flow of
traffic. Several chicanes have been included, along with two raised crosswalks and a
roundabout at the intersection of Terry and Roosevelt.
City Engineer Les Lyle explained that, if initiated, the project would be paid for
by a combination of City funds collected through System Development Charges and
property assessments. In accord with the Eugene Code, the property owners will be
assessed for the equivalent cost of a 24 foot wide street with sidewalks on each side.
Based on the low bid received, the Engineering Division estimates that the assessment
will be approximately $53.18 per front foot for the street cost and $18.82 for the cost of
the sidewalk. These projected costs are similar to the costs for other street improvement
projects in the area.
The City Engineer discussed several aspects of the project that differed from the
ordinary street improvement project in Eugene. Four of the properties abutting Terry
Street are located outside the city limits. As required by state law, the Lane County
Commissioners will be asked to approve the inclusion of these properties in the local
improvement district. One of these properties, owned by the Lydums, has additional
characteristics that required special consideration. The property has a greater than
normal frontage along Terry Street, and is larger than a normal lot. For these reasons,
after discussions with the Lydums, the City Engineer proposed that the assessment of the
property be limited at the time of the improvement to the first 95 feet of the property,
with the rest of the assessment postponed until the property is divided and the remainder
is developed.
City Engineer Les Lyle explained that the Lydum property also uses a septic
system that is located ion the right-of-way of Terry Street and will need to be removed.
To deal with this problem, the Engineer explained that the city is proposing to establish a
connection between the Lydum's property and the city sewer system. The assessments
for this installation would be delayed until the property was annexed. These statements
prompted the attorney for the Lydums to ask city engineer Lyle several questions about
the nature of the City's proposed connection. These questions concerned the nature of
the sewer connection being offered and the proposed method of payment. The city
Engineer answered the questions asked, and the Hearings Official asked that the Lydums'
attorney postpone further questions until the City Engineer's summary of the project was
completed.
The City Engineer continued discussing the other noteworthy aspects of the
project by turning to the existing subdivision at the other end of the proposed project. At
the time the Flatbush subdivision was developed at the south end of this portion of Terry
Street, the developer installed a half street where the proposed Terry Street improvements
will be made. Because the City can use that half street, the City proposes that the persons
abutting this portion of the street not be assessed for street improvements, and be
assessed for sidewalk improvements only if they do not respond to the City's offer to
allow the property owners to construct their own sidewalks before the City reaches that
part of the project in June 1999.
The City Engineer concluded his presentation by describing the proposed
allocation of costs between the City and the local improvement district. The non-
assessable share of the project, the portion to be paid by the City, is nearly $800,000 out
of the total estimated cost of approximately $1.1 million dollars.
The first member of the public to address the hearing was Fred Thompson, a
property owner within the proposed local improvement district. Mr. Thompson indicated
that he opposed the proposed curves and other devices proposed to slow traffic along
Terry Street. Mr. Thompson objected to the idea of slowing traffic because he felt that it
would increase noise and increase pollution. Mr. Thompson felt that Terry Street was
intended to be a thoroughfare, and on such streets traffic should be allowed travel
quickly.
City Engineer Les Lyle responded that Mr. Thompson's concerns were very
different from the concerns expressed by most people along this portion of Terry Street.
Most people in the area wished to have the traffic slowed to make the street safer. Mr.
Lyle explained that Terry Street is a minor arterial street, and that the design proposed is
intended to allow the street to carry the expected volume of traffic without blocking the
traffic but also without allowing the traffic to pass through at high speeds. The design
changes were included to make certain that the street was not separated from the
neighborhood, and so that the street would not become a barrier to the neighborhoods on
either side of the street. Mr. Lyle explained that the raised crosswalks did not create the
need to severel y slow traffic such as the speed bumps or speed raises that were being
installed on some neighborhood streets in Eugene. Mr. Thompson responded that he did
not feel that the traffic slowing steps were necessary because the properties along Terry
Street would not be entering onto Terry Street. City Engineer Les Lyle explained that it
was possible for all the properties along Terry Street to make a curb cut and gain access.
Mr. Lyle compared the proposed'improvements along this portion of Terry Street with
the improved parts of Terry Street further north, where the high speeds attained by cars
had led to many complaints, and which had prompted the design modifications to this
portion of Terry Street.
The next member of the public to speak was Toni Bamford, a resident within the
proposed local improvement district. Ms. Bamford explained that while she did not want
the project to happen, she did appreciate very much the City Engineering staff s work
with the residents of the area on designing factors that could be included in the project to
slow the traffic and integrate the street with the neighborhood. Ms. Bamford explained
that she was opposed to the overall project because she had not been informed concerning
the possibility of an assessment when she purchased her home, and therefore objects to
the proposed assessment at this time. Ms. Bamford indicated that if the project was to be
initiated that she very much favored the proposed design of the street with its traffic
slowing devices.
The next member of the public to address the hearing was Hank Alvis, also a
resident of the proposed local improvement district. Mr. Al vis indicated that he also did
not want the formation of a local improvement district. Mr. Alvis indicated that he had
no knowledge that he would be asked to pay an assessment when he purchased his home.
Mr. Alvis also asked if the offer to allow the residents of the Flatbush subdivision to
construct their own sidewalks would be made to other persons in the local improvement
district. Mr. Alvis indicated that he would like to be able to avoid the sidewalk
assessment and that he believed that he and other members of his family, who were
contractors, could put the sidewalk in.
City Engineer Les Lyle responded that he did not want to close off the possibility.
The situations were much different however, and it might not be possible for Mr. Alvis to
have the same option. In the Flatbush subdivision the street was already in place, so the
residents would have a long period of time to install the sidewalk. In other areas, the
sidewalks could not be installed until after the street was finished, and this was
commonly only in the last few weeks of the project. The logistics of having individuals
installing their own sidewalks in the short period would be difficult to coordinate. City
Engineer Les Lyle suggested that the Engineering staff could have further discussions
with Mr. Alvis concerning this issue.
Mr. Alvis also asked that the Eugene City Council be urged to examine the policy
question's surround the present assessment procedures. Mr. Alvis indicated that the
present system led to people being asked to pay for a street that they did not need and
would not use, while people who used the street were not paying. Mr. Alvis would like a
change in policy so that payment would be made by the people who got the greatest
benefit, which he felt were the developers of new subdivisions. Mr. Alvis called
everyone's attention to the article concerning street assessments in the Sunday,
September 27 Register Guard. Ms. Bamford volunteered the suggestion that the
irrevocable petitions should be reworked so that homebuyers would understand what the
consequences of the petition would be. City Engineer Les Lyle responded that the City
had been working on these problems. He described the meetings that Engineering staff
had had with realtors to educate them about the process and the importance of providing
an early notice to interested purchasers about the presence of irrevocable petitions and
similar commitments.
Mr. Alvis concluded his remarks by saying that while he disapproves of the
process because he had not expected to have to pay an assessment, he also felt that the
design of the street proposed by the Engineering staff was a good one.
The next person to speak was Brian Thompson, an attorney representing the
Lydums. The Lydums are the property owners whose property is outside the city limits
and where removal of the existing septic system will be required as part of the project.
Mr. Thompson began his remarks by pointing out that section 15.636(1 )(b) of the Lane
Code limits street improvement assessments by Lane County to assessments for the
construction of curbs and sidewalks. City Engineer Les Lyle responded by pointing out
that those provisions only apply if Lane County initiates the project. In this case the
project is initiated by the City of Eugene and it is the City that would be making the
assessments. In such a case the law requires that the City apply its policies to all areas in
the local improvement district. Mr. Thompson also wanted to mention his concerns
about the City's proposals concerning replacing the septic system. Mr. Thompson
indicated that he was concerned about the agreements that the City wished the Lydums to
make because they included an agreement to annex in the future and other conditions that
seemed to cut off other defenses that the Lydums might have to object to future
assessments to pay for the cost of these improvements.
Several participants then raised questions about particular aspects of the project.
Ms. Bamford asked about the location of bus stops. City Engineer Lyle responded that
the City had had some discussion with L TD regarding bus stops, and that there would be
more discussions before a decision was made. Mr. Fred Thompson suggested that yellow
warning stripes be put in instead of the raised crosswalks. Mr. Thompson indicated that
he liked the idea of a roundabout at the intersection of Terry and Roosevelt. Ms.
Bamford asked about the paragraph in the letter sent by the City concerning the
possibility of an appeal to tax court. Mr. Lyle and the hearings official explained that this
provision was included as a response to Ballot Measure 5. It involved questions about
the nature of the assessment and how it related to property taxes, and did not concern the
separate right of remonstrance. Mr. Alvis questioned the use of the term "specially
benefited" in the latter. He felt that none of the properties in the local improvement
district were specially benefited, even though they were adjacent to Terry Street. City
Engineer Les Lyle responded that the term specially benefited was a term commonly
used in assessment law. The Eugene Code uses the term, but it also includes a more
specific requirement that properties that abut a street that is being approved should be
assessed.
After this general discussion, the hearing concluded at 7: 10 p.m.