RES 19-13CITY OF OTSEGO
COUNTY OF WRIGHT
RESOLUTION NO. 2019-13
RESOLUTION SUPPORTING LEGISLATION
AUTHORIZING INFRASTRUCTURE DEVELOPMENT
FEES RELATED TO STREETS
WHEREAS, the City of Otsego's population is growing and is anticipated to continue
growing in accordance with the City Comprehensive Plan; and,
WHEREAS, city streets are one of the four major types of infrastructure local
government is responsible to provide to protect public safety and health; city streets
represent a separate but integral piece of the network of roads supporting movement of
people and goods; and
WHEREAS, the City of Otsego's existing street infrastructure is sufficient to support
the current community population and work force within existing neighborhoods, commercial
districts and industrial parks; and,
WHEREAS, developers, builders, and new homeowners a n d b u s i n e s s e s are
driving the need for street improvements, including new streets, street expansions, and street
reconstruction; and
WHEREAS, municipal statutory authority appropriately exists for fees related to the
costs of municipal parks, sanitary sewerutilities, and waterutilities; and
WHEREAS, this municipal statutory authority does not exist for infrastructure
development fees related to street improvements; and
WHEREAS, existing funding mechanisms, such as Municipal State Aid (MSA), property
taxes and special assessments, have limited applications, leaving cities under -equipped to
address growing needs; and
WHEREAS, neighborhood streets are constructed according to city standards by
developers; and
WHEREAS, funding sources for n e w s t re e t s o r expanded streets and
intersections to support new development have historically come from infrastructure
development fees; and
1
WHEREAS, the infrastructure development fee mechanism f o r f u n d i n g s t r e e t
infrastructure needs related to development is no longer allowed as a result of
the Harstad vs. Woodbury court case; and
WHEREAS, costs of growth in the short term should not be supported by current
residents through community tax and/or utility fee increases but rather by those that
represent the growth; and
WHEREAS, the City Council of the City of Otsego finds it is difficult to develop
adequate funding systems to support the City's needed street improvements related to
growth while complying with existing State statutes; and
WHEREAS, cities need flexible policies and greater resources in order to meet
growing demands for street improvements.
NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF OTSEGO, that
the City Council supports legislation that would authorize cities to levy infrastructure
development fees to fund municipal street improvements as a necessary component of growth.
ADOPTED by the City Council of the City of Otsego, Minnesota this 11th Day of March
2019.
Motion by: Darkenwald
Second by: Warehime
All in favor: Stockamp,
Those opposed: None
CITY OF OTSEGO
ri
�sica L. Stockamp, Mayor
Tami Loff, City Clerk
Darkenwald, Tanner, Warehime, Goede
2