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HomeMy WebLinkAboutVIII-10 Water Service Repair Request - 557 Kendall Drive City Council Memorandum To: Mayor Fasbender & City Council Members From: Ryan Stempski – Public Works Director/City Engineer Date: July 17, 2023 Item: Water Service Repair Assessment Request – 557 Kendall Drive COUNCIL ACTION REQUESTED Enclosed for Council approval is a request from Corey Knutson for the City to pay the cost to repair the water service line at his property located at 557 Kendall Drive and to assess the costs back to the property. The cost of the work in this case was $7,000. BACKGROUND The City Attorney has prepared an agreement and waiver of assessment appeal detailing out the conditions and terms of the assessment and protecting the City from an assessment appeal. The Council is requested to approve Mr. Knutson’s request for the City to fund the water service repair and assess the cost back to the property under the condition that he first enters into an assessment agreement with the City. ATTACHMENTS  Resident Request  Assessment Agreement VIII-10 VIII-10 VIII-10 Bauer Services of Welch, LLC Aaron Bauer 26469 130th Ave DATE:March 28, 2023 Welch, MN 55089 FOR:coreyknutson 651-246-9153 INVOICE #3282023-4030 bauerservices@hotmail.com Corey Knutson 557 Kendall Drive Hastings, MN 55033 coreyknutson227@gmail.com AMOUNT Replace Water Service from curb stop to meter at 557 Kendall Drive ~ Material and Labor $7,000.00 Total Total Due $7,000.00 Thank You For Your Business! Please make checks payable to Bauer Services. Please feel free to contact Aaron Bauer with any questions regarding this invoice at 651-246-9153 or at bauerservices@hotmail.com. DESCRIPTION VIII-10 1 PRIVATE WATER SERVICE REPAIR SPECIAL ASSESSMENT AGREEMENT THIS AGREEMENT is made this ________ day of _____________, 2023, by and between the City of Hastings, a Minnesota municipal corporation (“City”), and Corey Knutson, a single person (the “Owner”). RECITALS A. The Owner is the fee owner of a parcel located at 557 Kendall Drive, in the City of Hastings, Dakota County, Minnesota, legally described as: Lot 27, Block 2, Cari Park Fifth Addition, Dakota County, Minnesota Abstract Property PID: 19-16404-02-270 (“Subject Property”). B. The City has found that certain repairs to the private water service are required. C. The Owner has caused the construction of the required private water service repairs. D. The Owner has requested that the City assess the costs of construction of the required private water service repairs to serve the Subject Property. E. The Owner acknowledges that the required private water service repairs benefit the Subject Property. VIII-10 2 NOW, THEREFORE, IN CONSIDERATION OF THEIR MUTUAL COVENANTS THE PARTIES AGREE AS FOLLOWS: 1. PRIVATE WATER SERVICE REPAIRS. The Owner will hire and approve a contractor of their choice to construct private water service repairs (“Improvements”) that serve the Subject Property. 2. SPECIAL ASSESSMENTS. The City agrees to advance the funds necessary for the water line repairs in return for Owner’s agreement to have the costs assessed against the Subject Property as provided for in this Agreement. The Owner agrees to pay one hundred percent (100%) of the cost of the Repairs through the assessment process. The City will assess the Subject Property the following principal amount for the Repairs: $7,000.00 (“Assessment Amount”). The Assessment Amount shall be deemed adopted on the date this Agreement is signed by the City. The Assessment Amount shall be paid over a 5-year period without deferment, together at a rate of 4.56% interest on the unpaid balance. Interest shall begin accruing thirty (30) days after the City Council’s approval of this Agreement. The Owner further agrees that the Assessment Amount may be exceeded if the increases are a result of requests made by the Owner or otherwise approved by the Owner in a subsequent written document. The first installment shall be due and payable with first half of property taxes in 2024. Owner further agrees that the City can assess an additional $50.00 which represents $5.00 per year for the term of the assessment to offset the fees imposed by Dakota County for this assessment, plus the City’s administrative fee. 3. WAIVER OF APPEAL. Owner hereby authorizes the City to certify to the Dakota County Auditor/Property Tax Assessor a special assessment against the Subject Property up to the Assessment Amount. The Owner hereby waives all rights to assessment notices, hearings, appeals, and procedural and substantive objections and all other rights pursuant to Minn. Stat. §429.061, §429.071 and §429.081 for the special assessment against the Subject Property up to the Assessment Amount, including, but not limited to, any claim that the Assessment Amount against the Subject Property exceeds the benefit to the Subject Property for the Improvements. The Owner acknowledges and agrees that the benefit of the Improvements to the Subject Property does in fact equal or exceed the Assessment Amount. The Owner also acknowledges and agrees that the Subject Property receives a special benefit equal to or exceeding the Assessment Amount. 4. BINDING EFFECT; RECORDING. This Agreement shall be binding upon the Owner and the Owner’s successors and assigns. This Agreement may be recorded against the title to the subject property. [remainder of page intentionally blank] VIII-10 3 CITY: CITY OF HASTINGS By: Mary Fasbender Mayor By: Kelly Murtaugh City Clerk STATE OF MINNESOTA ) ) ss. COUNTY OF DAKOTA ) On this ___ day of , 2023, before me a Notary Public within and for said County, personally appeared Mary Fasbender and Kelly Murtaugh, to me personally known, who being each by me duly sworn, each did say that they are respectively the Mayor and City Clerk of the City of Hastings, the Minnesota municipal corporation named in the foregoing instrument, and that said instrument was signed on behalf of said municipality by authority of its City Council and said Mayor and City Clerk acknowledged said instrument to be the free act and deed of said municipal corporation. Notary Public VIII-10 4 OWNER: By: Corey Knutson STATE OF MINNESOTA ) ) ss. COUNTY OF DAKOTA ) The foregoing instrument was acknowledged before me this ____ day of ______________, 2023, by Corey Knutson, a single person. Notary Public This instrument was drafted by and after recording return to: Korine L. Land, #262432 LeVander, Gillen & Miller, P.A. 1305 Corporate Center Drive, Suite 300 Eagan, MN 55121 651-451-1831 VIII-10