HomeMy WebLinkAboutOrdinance No. 20425
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COUNCIL ORDINANCE NUMBER 20425
COUNCIL BILL NUMBER 4933
AN ORDINANCE LEVYING ASSESSMENTS FOR
CONCRETE ALLEY PAVING AND
CONSTRUCTING WASTEWATER AND
STORMWATER SYSTEMS ON 6TH ALLEY
BETWEEN TYLER STREET AND POLK STREET;
AND PROVIDING AN IMMEDIATE EFFECTIVE
DATE. (CONTRACT 2008-28) (JOB #4527)
ADOPTED: December 8, 2008
PASSED: 7/0
REJECTED:
OPPOSED:
ABSENT: Ortiz
EFFECTIVE: December \0., 2008
ORDINANCE NO. 20425
AN ORDINANCE LEVYING ASSESSMENTS FOR CONCRETE ALLEY
PAVING AND CONSTRUCTING WASTEWATER AND STORMWATER
SYSTEMS ON 6TH ALLEY BETWEEN TYLER STREET AND POLK
STREET; AND PROVIDING AN IMMEDIATE EFFECTIVE DATE.
(CONTRACT 2008-28) (JOB #4527)
The City Council of the City of Eugene finds that:
A. On the 25th day of March, 2008, based on the findings issued by the City
Engineer, pursuant to Section 7.160(8) of the Eugene Code ("EC"), the City Engineer initiated
the proposed local improvements consisting of concrete alley paving and constructing
wastewater and stormwater systems on 6th Alley between Tyler Street and Polk Street.
B. After due notice and a public hearing before the hearing official on April 21,
2008, the City Council formed the Local Improvement District and authorized construction of
the local improvement on May 12, 2008.
C. The actual cost of the local improvement is ascertained to be $176,144.80, and the
amounts to be assessed to, and borne by, the specially benefited property, and the amounts to be
borne by the City or others, have been determined in accordance with applicable provisions of
the Eugene Code and as set forth in the attached Exhibit A, which is incorporated herein by
reference.
D. The City Council has established the method of calculating local improvement
assessments in EC 7.170 and 7.175.
E. A public hearing on the ordinance, as required by Section 28(2) of the Eugene
Charter of 2002, was scheduled before the hearing official as authorized by EC 2.007(4) and
7.187, on November 19,2008. A notice containing the information required by EC 7.185 was
posted on a public bulletin board at City Hall and given by certified mail to the owners of the
parcels of real property subject to the assessment more than ten days prior to the scheduled
public hearing before the hearing official. The hearings official considered the assessment report
of the City Engineer and Finance Officer and the testimony and evidence presented at the
hearing.
F. At least ten working days prior to the Council meeting, notice of the Council's
consideration of this Ordinance was published in the Register Guard, and the Ordinance was
posted on the City's web site on the same date, as required by Section 28(1) of the Eugene
Charter of 2002.
G. The Council has reviewed and considered the assessment report of the City
Engineer and Finance Officer and the hearings official's findings and summary, and based
thereon,
Ordinance - Page 1 of 3
THE CITY OF EUGENE DOES ORDAIN AS FOLLOWS:
Section 1. The hearings official's summary is made a part of the Council's record in
these proceedings, and the hearings official's findings, including those regarding compliance
with EC 7.160 to 7.190, attached as Exhibit B, which is incorporated herein by reference, are
adopted.
Section 2. The actual assessable cost of the local improvement comprised of concrete
alley paving, and constructing wastewater and stormwater systems on 6th Alley between Tyler
Street and Polk Street is $120,676.70, which is assessed against the parcels of property
hereinafter described in the amounts set opposite, respectively.
Section 3. The City Council hereby determines and assesses each lot and part of lot within
the described local improvement district as set forth on the assessment roll attached as Exhibit C,
which is incorporated herein by reference.
Section 4. The City Council hereby determines that each parcel of land or lot described
above is specially benefited to the extent of the assessment set forth. The Finance Officer shall
give notice of the assessments to the owners of the assessed parcels and inform them that the
assessment may be paid in full, without interest, within ten days of the effective date of this
ordinance. Assessments that remain unpaid after the ten day period are declared to be liens upon
the respective lots, parts of lots or parcels of land against which said several amounts are
assessed, and may be paid, with interest on the unpaid principal amount commencing ten days
after the effective date of this ordinance:
4.1 In up to twenty semi-annual installments, including principal and interest at
the rate set by the City Manager as provided in EC 2.022 through 2.024.
4.2 If the property owner so elects, in 120 monthly installments, including
principal and interest at the rate set by the City Manager as provided in EC 2.022 through
2.024 plus a service charge determined by the City Manager as provided in EC 2.020.
Section 5. The City Recorder is directed to enter in the docket of City Liens a statement
in connection with each unpaid assessment containing the following:
5.1 A description of each lot, part of lot or acreage specially benefited by the local
improvement;
5.2 The name of the owner or reputed owner thereof, or that the name of the
owner is unknown; and
5.3 The sum assessed upon said property, the amount and date from which
interest accrues, and the date of entering the same in the docket of City Liens.
Ordinance - Page 2 of 3
Section 6. Upon enactment of this ordinance, the City Finance Officer shall send notice
of the assessments by first class mail to the owners of the assessed parcels containing the
information required by EC 7.190 and enclose therewith an application for paying the assessment
in installments according to the terms set forth in Section 4 of this ordinance.
Section 7. Any assessment remaining unpaid and for which no application for
installment paYments has been received may be foreclosed as provided by law. The proceeds
from the paYment or foreclosure of assessments levied by this ordinance shall be deposited to the
city funds which advanced the cost of construction, engineering and related expenses or which
are used to retire any indebtedness incurred by the City for this improvement.
Section 8. An immediate effective date of this Ordinance is necessary to allow the City
to begin immediate collection of the assessments that will be used to pay the obligations the City
has incurred for this project. Enabling the City to begin collecting assessments will avoid
increased interest costs and conserve limited City resources. Therefore, this Ordinance shall
become effective immediately upon its passage by the City Council and approval by the Mayor,
retention by the Mayor for more than ten days, or re-adoption over a Mayoral veto by two-thirds
of all members of the City Council.
Passed by the City Council this
Approved by the Mayor this
8th day of December, 2008
~ day of December, 2008
ll4!~~~~
Ci' Recorder
A~ r~
ayor
Ordinance - Page 3 of 3
CITY'OF EUGENE (PROD)
SPECIAL ASSESSMENT SYSTEM
93004521- ASSM:6TH ALLEY TYLER TO POLK
EXHIBIT "A"
. PR.OJECT LEGAL: CONCRETE ALLEY PAVING, AND CONSTRUCTING HASTEWATER AND STORMWATER SYSTEMS ON 6TH
ALLEY BETWE~ TYLER STREET AND POLK STREET
CONTRACT NUMBER: 2008-00028
JOB NUMBER: 93004527
ASSESSABLE:
ASSBSSABLE TOTALS:
CITY SHARE:
CXTY SHARE TOTALS:
TOTAL COST OF PROJECT:
12 PENDING
o ON HOLD
o LIEN DEFERRED
1.2
$120,676.70
$0.00
$0.00
$120,676.70
CITY SANITARY
CITY STORM
$49.957.72
$5.,510.38
$55,468.10
$176,144.80
EXHIBIT "B"
FINDINGS AND RECOMMENDATIONS
SUBJECT: PROPOSED FINAL ASSESSMENT FOR IMPROVEMENTS FOR CONCRETE
ALLEY PAVING, AND CONSTRUCTING WASTEWATER AND
STORMW A TER SYSTEMS ON 6TH ALLEY BETWEEN TYLER STREET
. AND POLK STREET (JOB #4527) (CONTRACT 2008-28)
BACKGROUND
The alley between 6th and ih and between Polk and Tyler streets was an unpaved gravel surface
alley, with no storm water facilities. The gravel surface was in very poor condition despite
frequent property owner grading. The rapid deterioration of the alley surfacing continued to be a
problem because of the lack ofa stormwater system and t~e very level grade of the alley. This
resulted in frequent standing water, which in turn led to the deterioration of the gravel surface.
The wastewater line in the alley was constructed in 1914. The wastewater pipe was in very poor
\ condition and was sched':lled for lining or repair in the 2008 wastewater rehabilitation program.
The projeGt was initiated as a Poll Petition by the City, in July, 2007. Sufficient property owners
. supported the initiation of the project that the City began the design and bidding process. The
project costs appeared to increase as design progressed and a review of support was done in
February 2008. Property owners who represent 60.8% of the assessable cost within the
boundaries of the proposed Local Improvement District (LID) continued to support the project.
The City Engineer initiated the preparations of plans and specifications, pursuant to Section
7.160(8) of the Eugene Code, 1971 on March 25,2008.
Bids were opened on April 10, 2008 with H & J Construction as the apparent low bidder. The
City Council formed the Local Improvement District (LID) for this project on May 12,2008.
Construction of the project has been completed,' final actual costs have been tabulated, and final
assessment costs have been calculated. The property owners were notified of the proposed
assessments and the pending assessment hearing ten (I 0) days prior to the hearing.
PROJECT
This project replaced the previous wastewater pipe with new pipe, added a storm system
including a water quality structure, and resurfaced the alley with Portland Cement Concrete
bringing it up to City standards as described in the City Code and the Public Improvement
Designs Standar\ls manual.
ASSESSMENT
Costs were distributed as required by the Eugene Code, section 7.175, and outlined in the
Council adopted Hearings Official findings and recommendations and resolution forming the
Local Improvement District.
PROPOSED FINAL ASSESSMENTS FOR 6TH ALLEY BETWEEN TYLER STREET AND POLK STREET
Page I
Below are the final assessable unit costs:
Unit Assessable Cost (per front foot)
Unit Assessable Cost (per square foot)
$
$
8.95
.0639
Total Assessable Cost (for weighted frontage)
Total Assessable Cost (for weighted areas)
Direct Assessment
$ 59,796.24
$ 59,796.22
$ 1,084.24
Total Assessable Cost
Total City Cost
Total Project Cost
$120,676.70
$ 55,468.10
$176,144.80
At the time of the formation of the LID, based on the bids received, an estimated assessment cost
was presented to the Council. These estimates were lower than the final proposed assessment.
Unit Assessable Cost (per front foot)
Unit Assessable Cost (per square foot)
$ 8.20
$ 0.0586
Total Assessable Cost (for weighted frontage)
Total Assessable Cost (for weighted areas)
$ 54,810.00
$ 54,810.00
Total Estimated Assessable Cost
Total Estimated City Cost
$109,620.00
$ 59,970.00
The increase in assessable costs came about because of increased paving costs for the alley and a
direct assessment. The direct assessment is for a property owner requesting specific work
outside the scope 'of the alley improvement. The property owner agreed to pay for the work and
the contractor was willing to do the work while they were on-site. The increase in paving costs
were a result of additional pavement that was installed along the alley. After consultation with
the property owners, the alley pavement was widened and thickened to respond to the conditions
discovered in the transition to private property.
. LOW INCOME SUBSIDY
One potential residential property owner was notified of the Low-to-Moderate Income Street
Improvement Subsidy project. The subsidy program is available to property owners who occupy
a single family dwelling or duplex and meet other program criteria. Fact sheets which describe
the household size and income levels for the subsidy program which is based on the current Lane
County Median Family Income. This property owner was given until October 15, 2008 to return
their application forms to determine eligIbility. This one property has indicated they do not
qualify for the program.
PROPOSED FINAL ASSESSMENTS FOR 6TH ALLEY BETWEEN TYLER STREET AND POLK STREET
Page 2
PUBLIC INVOLVEMENT
This project was iriitiated at the request of the p:roperty owners. The City has continued to
consult with the property owners during the process, including the question of additional work to
the alley during pavement. The property owners have continuously supported the project and
expressed satisfaction regarding the work and the outcome. A final hearing on the proposed
assessments was held on November 18, 2008. The minutes of that hearing are attached as
Exhibit A.
FINDINGS AND RECOMMENDATION
Notice of the public hearing was provided and all the property owners were given an opportunity
to participate in the hearings.
Appropriate notice was given of the public hearing and pending Council action, as required by
the Eugene Charter and Code. Letters informing property owners of the hearing and notification
to propertY owners of the intent of the City to characterize the assessment as an assessment, not a
tax, as required by ORS 305.583(5) were mailed to the property owners.
. The Hearings Officer finds that the project is one for which the assessments are for local
improvements as set forth in ORS 310.410 because
1. The assessments do not exceed actual costs;
2. The assessments are imposed for a capital construction project that provides a
specific benefit for a specific property or rectifies a problem caused by a specific
property
3. The assessments are imposed in a single assessment upon completion of the
project; and
4. The assessments allow the property owners to elect to pay the assessment with,
interest over at least ten (10) years.
The Hearings OffiCial also finds that the proposed final assessment, calculated and recommended
by the City Engineer is reasonable and consistent with the Eugene Code. The Hearings Official
recommends that the Council act in accord with the City Engineer's recommendations, adopting
the ordinance prepared for the public hearing, levying the assessment as set forth by the City
Engineer.
lJ2u
Milo Mecham
Hearings Official
November 24, 2008
PROPOSED FINAL ASSESSMENTS FOR 6TH ALLEY BETWEEN TYLER STREET AND POLK STREET
Page)
Exhibit A
MINUTES
Local Improvement District Assessment
Proposed Final Assessment for Improvements for Concrete Alley Paving, and
. Constructing Wastewater and Stormwater Systems on 6th Alley Between Tyler Street and
Polk Street (Job #4527) (Contract 2008-28)
November 18, 2008 Public Hearing
The hearing began at 4:05 p.m. Because all the property owners were business
owners, the hearing was scheduled during the regular work day. Two property owners
~ttende.d the hearing. Hearings Official Milo Mecham began the hearing with an
introduction outlining the purpose of the hearing and the expected process after the
hearing. Present at the hearing representing the City of Eugene were Principal Civil
Engineer Michelle Cahill and Project Engineer John Bonham.
. Principal Civil Engineer Michelle Cahill described the project, which involves
alley improvements to the 6th alley between Polk and Tyler Streets and 6th and 7th Streets.
The project was initiated by a poll of property owners along the alley. In addition to the.
repaving of the alley the City repaired the wastewater collection system and installed a
stormwater collection element.
Ms. Cahill explained that the district had been formed in May, 2008. After the
contractor was hired, the work was initiated as planned. The wastewater collection
system, which had been in place since 1914, was removed and replaced. Prior to the
project there was no stormwater system in the alley. A stormwater system was installed
and the alley was then surfaced.
Ms. Cahill explained the assessment process. Alley assessments are based on two
systems, combined to form the final assessment. Properties are assessed on a front
footage basis, with values assigned based on existing use. Properties are also assessed
based on the area within 160feet'ofthe alley. Ms. Cahill described the assessment
calculations and the resulting assessment values. Ms. Cahill also explained why the final
costs were greater than the original estimate. The increased cost came from additional
pavement that was installed along the alley. After consultation with the property oWners,
the alley pavement was widened and thickened to respond to the conditions discovered in
the alley.
Two property owners attended the hearing. The only public attendee at the .
hearing who made any comments was Wendell Gray. His question concerned a
discussion that had been raised at the formation hearing. Mr. Gray pointed out that at the
formation hearing, the City had mentioned that it would seek to apply more stormwater
systems development charges to reduce the assessments to property owners. Ms. Cahill
explained that there had been a Council discussion of the question at the formation, and
that the Council had decided to limit the SDC contribution to no more than the amount
originally P!oposed by staff. .
Wendell Gray asked about the options for payment of the assessments. Ms.
Cahill explained that financing options were available. Mr. Gray wondered if it would be
possible for a property owner to defer payment of the assessment until the next calendar
year. Ms. Cahill directed Mr~ Gray to the City's finance program, which she was
confident could work with Mr. Gray and other property owners to accommodate their
needs.
Wendell Gray indicated that he wanted to congratulate the City Engineers on
keeping the project on task and within the initial cost estimates. He indicated that he
understood that the price of construction materials and fuel had gone up a lot. Ms. Cahill
agreed that there had been a great deal of upward pressure on costs, but that with the
exception of the increased work, the original bid prices had been kept in place.
There being no further questions or comments, the hearing was concluded at 4:27.
MEMORANDUM
DATE: November 18,2008
FROM: Mark Schoening, City Engineer
SUBJECT: PROPOSED FINAL ASSESSMENT FOR IMPROVEMENTS FOR CONCRETE
ALLEY PAVING, AND CONSTRUCTING WASTEWATER AND
STORMW ATER SYSTEMS ON 6TH ALLEY BETWEEN TYLER STREET AND
POLK STREET. (JOB #4527) (CONTRACT 2008-28)
BACKGROUND
The City Council formed the Local Improvement District (LID) for this project on May 12, 2008.
Construction of the project has been completed, final actual costs have been tabulated, and final
assessment costs have been calculated. The property owners were notified of the proposed
assessments and the pending assessment hearing ten (10) days prior to the hearing as required by
Eugene Code.
The intent of the final assessment hearing scheduled for November 19,2008, is to review the final
project cost, consider comments on the proposed assessments, and to provide evidence to be included
in the ordinance levying the assessments by the City Council.
The project was initiated as a Poll Petition in July, 2007. The City Engineer initiated the preparations
of plans and specifications, pursuant to Section 7.160(8) of the Eugene Code, 1971 on March 25,2008.
Bids were opened on April 1 0, 2008 with H & J Construction as the apparent low bidder. The property
owners were notified of the public hearing regarding formation of the proposed LID and a hearing was
held on April 21, 2008.
CORRESPONDENCE
Since the mailing of the Notice of Proposed Assessments, City staff received four phone calls from
property owners regarding the process to final assessment, cost calculations, financing of the costs and
details about construction.
As of noon, November 17,2008, two of the property owners have indicated they will be attending the
hearing. No written correspondence has been received. '
PROJECT
Thjs project is an existing City alley between Polk Street and Tyler Street that had a gravel surfacing
and no city storm facilities. The gravel surface was in very poor condition despite frequent property
owner grading. The cause of the rapid deterioration of the alley surfacing was a result of level
topography and the lack of a stonn system necessary to rid the area of standing water. The old
wastewater line was located within the alley and was originally constructed in 1914. The wastewater
pipe was in very poor condition. This project replaced the wastew:iter pipe with new pipe, added a
stonn system including a water quality structure, and resurfaced the alley with Portland Cement
Concrete bringing it up to City standards as described in the City Code and the Public Improvement
Designs Standards manual.
ASSESSMENTS
Costs were distributed per Eugene Code 7.175, and outlined in the Council adopted Hearings Official
findings and recommendations, and resolution forming the LID
Below are the final assessable unit costs:
Ie
Unit Assessable Cost (per front foot)
Unit Assessable Cost (per square foot)
$
$
8.95
.0639
Total Assessable Cost (for weighted frontage)
Total Assessable Cost (for weighted areas)
Direct Assessment
$ 59,796.24
$ 59,796.22
$ 1,084.24
Total Assessable Cost
Total City Cost
. Total Project Cost
$120,676.70
$ 55,468.10
$176,144.80
The final assessable costs are higher than estimated when the LID was formed. The increase in
assessable costs came about because of increased paving costs for the alley and a direct assessment.
The direct assessment is for a property owner requesting specific work outside the scope of the alley
improvement. The property owner agreed to pay for the work and the contractor was willing to do the
work while they were on-site. Additional increases were also a result of additional pavement that was
installed along the alley. After consultation with the property owners, the alley pavement was widened
and thickened to respond to the conditions discovered in the transition to private property.
Based on the low bid received, the costs listed below are the estimated assessment costs plus
contingency calculated at the time of the formation of the LID.
Unit Assessable Cost (per front foot)
Unit Assessable Cost (per square foot)
$ 8.20
$ 0.0586
Total Assessable Cost (for weighted frontage)
Total Assessable Cost (for weighted ~reas)
$ 54,810.00
$ 54,810.00
Total Estimated Assessable Cost
Total Estimated City Cost
$109,620.00
$ 59,970.00
LOW INCOME SUBSIDY
One potential residential property owner was notified of the Low-to-Moderate Income Street
Improvement Subsidy project. The subsidy program is available to property owners who occupy a
single family dwelling or duplex and meet other program criteria. Fact sheets which describe the
household size and income levels for the subsidy program which is based on the current Lane County
Median Family Income. This property owner was given until October 15, 2008 to return their
application forms to determine eligibility. This one property has indicated they do not qualify for the
program.
RECOMMENDATION
Assessment costs are calculated in accordance with Eugene Code. Staff recommends approval of the
final assessments as calculated, and that the Council levy the final assessment.
MASTER PROJECT #: 2008-00028
PROJECT LE~ DESCRIPTION:
.'
TAXLOT. - IMPROVEMENT AMOUNT
17043611-10400 000 - $6,958.93
17043611-10500 000 - $3,759.27
17043611-10600 000 - $10,673.98
17043611-10700 000 - $26,843.44
. 17043611-10800 000 - $7,222.67
17043611-10900 000 - $10,673.98
17043611-11000 000 - $10,673.98
17043611-11100 000 - $8,628.24
17043611-11300 000 - $12,809.38,
17043611-11400 000 - $10,673.91
17043611-11500 000 - $8,912.24
17043611-11600 000 - $2,846.62
TOTAL ACCOUNTS = 12
TOTAL AMOUNT = $120,676.70
CITY OF EUGENE
SPECIAL ASSESSMENT SYSTEM
ASSESSMENT REGISTER PROPERTY DESCR. (CC)
93004527 -' ASSM:6TH ALLEY TYLER TO POlK
EXHmIT "C"
CONTRACT #: _ 2008 00028 JOB n: 93004527
CONCRETE ALLEY PAVING, AND CONSTRUCTING WASTEWATER AND STORMWATER SYSTEMS ON
6TH ALLEY BETWEEN TYLER STREET AND POLK STREET
OWNER INFORMATION
SILKE JAMES D SR & CAROL L
PO BOX 21505
EUGENE OR 97402
SILKE JAMES D SR & CAROL L
PO BOX 21505
EUGENE OR 97402
SILKE JAMES 0 SR & CAROL L
PO BOX 21505
EUGENE OR 97402
THENELL GERALD J
1208 W 6TH AVE
EUGENE OR 97402
HAMMER JOHN P
POBOX 2266
EUGENE OR 97402
WINSTON ENTERPRISE
961 WAVERLY ST
EUGENE OR 97401
MAJEWSKI WILLIAM & NIKKI
1267 W 6TH AVE
EUGENE OR 97402
HAMMER JOHN P
POBOX 2266
EUGENE OR 97402
THENELL GERALD J
1208 W 6TH AVE
EUGENE OR 97402
GRAY WENDELL W
85007 LAUGHLIN RD
EUGENE OR 97405
GRAY WENDELL W
85007 LAUGHLIN RD
EUGENE OR 97405
GRAY WENDELL W
85007 LAUOHLIN RD
EUGENE OR 97405
PROPERTY DESCRIPTION
1995-16456
R527 -43213
1988-42606
1999-104820
2003 -118998
2007-24257
1998-88955
2003 -118998
2006-26293
1998-42954
2004-20318
1998-42954
6TH ALLEY #4527
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TL 12345 TAX LOT NO.
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i v:~?~tG~UN RD I 85007 LAUGHLIN RD \1267 W 7TH AVENUE I 961 WA VERL Y sr'. JAMES S/t..KE :,.:', JAMES SILKE .
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ASSESSMENT
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CITY OF EUGENE
PUBLIC WORKS ENGINEERING
SCALE = N.T.S. DRAFTED BY: J. BONHAM DESIGNED BY J. BONHAM
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