ITEM 3.5 Great River Centre of Otsego 5th Addition (Edina Realty)-64
F
Otsego
MINNESOTA
DEPARTMENT INFORMATION
Request for
City Council Action
ORIGINATING DEPARTMENT REQUESTOR:
MEETING DATE:
Administration City Administrator/Finance Director Flaherty
October 28, 2019
PRESENTER(s) REVIEWED BY:
ITEM #:
Consent
3.5
STRATEGIC VISION
MEETS:
THE CITY OF OTSEGO:
River Centre of Otsego 5th Addition (Edina Realty).
Is a strong organization that is committed to leading the community through innovative
communication.
IS APUBLIC HEARING REQUIRED?r
Has proactively expanded infrastructure to responsibly provide core services.
No
Is committed to delivery of quality emergency service responsive to community needs and
expectations in a cost-effective manner.
X
Is a social community with diverse housing, service options, and employment opportunities.
for assessment of the respective development fees, Edina Otsego, LLC has signed waivers to any and all
Is a distinctive, connected community known for its beauty and natural surroundings.
AGENDA ITEM DETAILS
RECOMMENDATION:
City staff is recommending that the City Council approve a resolution adopting the assessments for Great
River Centre of Otsego 5th Addition (Edina Realty).
ARE YOU SEEKING APPROVAL OF A CONTRACT?
IS APUBLIC HEARING REQUIRED?r
No
No
BACKGROUND/JUSTIFICATION:
During the development approval process, Edina Otsego, LLC petitioned the City Council to pay its water &
sanitary sewer utility availability and connection charges as a special assessment. Along with the petition
for assessment of the respective development fees, Edina Otsego, LLC has signed waivers to any and all
hearings, irregularities in procedure, and any and all rights to object said assessments, including but not
limited to any right of appeal under Minnesota Statute §429.081, any other statute or case law.
The water utility availability and connection charges total $9,216.68. The sanitary sewer utility availability
and connection charges total $23,006.28. The grand total of the amount to be certified as a special
assessment will be $32,222.96. The assessments will begin to be payable in 2020, with a 7 -year
amortization schedule and interest of 3.30%.
SUPPORTING DOCUMENTS ATTACHED:
• Resolution 2019-59
• Exhibit A — Estimated Amortization Schedule
POSSIBLE MOTION
PLEASE WORD MOTION AS YOU WOULD LIKE ITTO APPEAR IN THE MINUTES:
Motion to approve Resolution 2019-59 adopting the assessment of sanitary sewer and water charges to Lot
1, Block 1 of Great River Centre of Otsego 5th Addition (Edina Realty).
BUDGET INFORMATION
FUNDING: BUDGETED:
N/A
CITY OF OTSEGO
COUNTY OF WRIGHT
STATE OF MINNESOTA
RESOLUTION NO: 2019-59
ADOPTING ASSESSMENT OF
SANITARY SEWER AND WATER CHARGES TO
LOT 1, BLOCK 1, GREAT RIVER CENTRE OF OTSEGO 5TH ADDITION
WHEREAS, Edina Otsego, LLC is the Owner of the property legally identified as 118-334-
001010, Lot 1, Block 1, Great River Centre of Otsego 5th Addition; and
WHEREAS, Edina Otsego, LLC as Owner, has petitioned the City for assessments related to
Sewer and Water Availability Charges; and
WHEREAS, Edina Otsego, LLC as Owner, has petitioned the City for assessments related to
Sewer and Water Connection Charges; and
WHEREAS, the City of Otsego has agreed to special assessments against the property; and
WHEREAS, Edina Otsego, LLC as Owner, has previously waived any and all hearings,
irregularities in procedure and any and all rights of appeal under Minnesota Statute or any other
right of appeal pursuant to Exhibit E of that document entitled Development Agreement Great
River Centre of Otsego 5th Addition — Lot 1, Block 1, dated June 24, 2019 and recorded at the
Wright County Recorder's Office on June 27, 2019 as Document No. Al 398850.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
OTSEGO, MINNESOTA:
1. Such proposed assessment, attached hereto as Exhibit A and made a part hereof, are
hereby accepted and shall constitute the special assesment against the properties named
therein and that the tract of land therein included is hereby found to be benefited by the
improvements in the amount of the assessment levied against it.
2. Such assessment for Sewer and Water Availability Charges and for Sewer and Water
Connection Charges against 118-334-001010, Lot 1, Block 1, Great River Centre of
Otsego 5th Addition in the principal amount of $32,222.96, shall be payable in equal
annual installments extending over a period of seven (7) years, the first of the
installments to be payable on or before the first Monday in January 2020, and shall bear
interest at the rate of 3.30% percent per annum. Said interest will commence on January
1, 2020. To each subsequent installment when due shall be added interest for one year on
all unpaid assessments.
3. The owner of any property so assessed may, at any time prior to certifications of the
assessment to the County Auditor, pay the whole of the assessment on such property,
with interest accrued to the date of payment, to the City of Otsego, except that no interest
shall be charged if the entire assessment is paid within 30 days from the adoption of this
resolution; and the owner may, at any time thereafter, pay to the City of Otsego the entire
amount of the assessment remaining unpaid, with interest accrued to December 31 of the
year in which such payment is made. Such payment must be made before November 15
or interest will be charged through December 31 of the next succeeding year.
4. The Finance Director shall forthwith transmit a certified copy of this assessment to the
Wright County Auditor to be extended on the property tax lists of the County. Such
assessments shall be paid over in the same manner as other City property taxes.
ADOPTED by the Otsego City Council this 28th day of October, 2019.
ATTEST:
CITY OF OTSEGO
Jessica Stockamp, Mayor
Tami Loff, City Clerk
MOTION made by Council Member and SECONDED by Council Member
IN FAVOR:
OPPOSED:
■
City of Otsego
Special Assessments - Estimated Amortization Schedule
Assessment - Water Availability & Connection Charges
Great River Centre - Fifth Addition
Lot 1 Block 1
Interst
Payment
Principal
Year Assessed Accrual Principal
Interest
Total
Balance
2019 9,216.68 53.33 -
-
-
9,216.68
2020 - - 1,316.67
357.48
1,674.15
7,900.01
2021 - - 1,316.67
260.70
1,577.37
6,583.34
2022 - - 1,316.67
217.25
1,533.92
5,266.67
2023 - - 1,316.67
173.80
1,490.47
3,950.00
2024 - - 1,316.67
130.35
1,447.02
2,633.33
2025 - - 1,316.67
86.90
1,403.57
1,316.66
2026 - - 1,316.66
43.45
1,360.11
-
Totals 9,216.68
1,269.93
10,486.61
City of Otsego
Special Assessments - Estimated Amortization Schedule
Assessment - Sewer Availability & Connection Charges
Great River Centre - Fifth Addition
Lot 1 Block 1
Interst
Payment
Principal
Year Assessed Accrual Principal
Interest
Total
Balance
2019 23,006.28 133.12 -
-
-
23,006.28
2020 - - 31286.61
892.33
4,178.94
19,719.67
2021 - - 31286.61
650.75
3,937.36
16,433.06
2022 - - 31286.61
542.29
3,828.90
13,146.45
2023 - - 31286.61
433.83
3,720.44
9,859.84
2024 - - 3,286.61
325.37
3,611.98
6,573.23
2025 - - 3,286.61
216.92
3,503.53
3,286.62
2026 - - 3,286.62
108.46
3,395.08
(0.00)
Totals 23,006.28 3,169.95 26,176.23