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ITEM 4.1 Street Lighting District1 0 CITY F 0 ot MINNESOTA Og DEPARTMENT INFORMATION Request for City Council Action 0 ORIGINATING DEPARTMENT: REOUESTOR: MEETING DATE: Planning City Planner Licht 10 February 2014 PRESENTER(s): REVIEWED BY: ITEM #: city Planner Licht City Administrator Johnson 4.1 --Street Lighting District AGENDA ITEM DETAILS RECOMMENDATION: City staff recommends adoption of a resolution imposing charges for 2014 within the Above Standard Street Lighting District. ARE YOU SEEKING APPROVAL OF A CONTRACT? No. BACKG ROU N DIJ USTI FICATION: IS A PUBLIC HEARING REQUIRED? Noticed for 10 February 2014 meeting. Chapter 0, Section 8 of the City Code establishes a Street Lighting ordinance for the purpose of maintaining an equitable means of attributing costs for operation and maintenance of street lighting over the entire City. The City Code establishes that street lights installed at intersections, along urban collector and arterial streets, cul-de-sac ends and trail accesses is part of the "standard" street lighting system. In developed commercial areas within the sanitary sewer service districts, installation of additional lighting is defined as "Above Standard Lighting System" to include low mounted decorative street lights along sidewalks and streets. City staff offers the following additional comments regarding the proposed service charges for above standard street lights: ® Financing operation and maintenance of the Standard Street Lighting System is a City-wide expense funded through the general fund. Developers are required to pay for the installation of the standard street lighting system and for two years initial operation and maintenance. Financing operation and maintenance of the Above Standard Street Lighting System is paid through a special service district initially established in 2010. Imposition of charges related to the operation and maintenance of the above standard street lighting system requires the City Council to hold a public hearing and adopt the service charges each year. The special service district charge for Above Standard Street Lighting System applies only to platted developed and vacant commercial properties, although the Statutes do allow the City to levy a charge to undeveloped land guided by the Comprehensive Plan for commercial uses. A map identifying the proposed 2014 Above Standard Street Lighting District is attached. There are no proposed changes to the district boundaries from 2013. There are currently 84 "Type 1" street lights in these commercial areas. Each Type 1 fixtures costs approximately $16.00 per month to light for an annual expenditure calculated as follows: 84 existing lights x $16.00 x 12 months = $16,128.00. The City has previously included a 50 percent surcharge per light be added to the special service district charge to accumulate reserve funds for repair/replacement of damaged street lights and eventual replacement when the street light reaches life expectancy. The past budget for Type 1 street lights within the proposed special service districts have been as follows: 2010: $23,200.00 2011: $24,192.00 2012: $24,192.00 2013: $24,200.00 ■ Wright County tax records indicate that there are 42 parcels with an area of 167.31 acres within the Special Service District that are developed and have Type 1 streetlights installed. The proposed per acre assessment for these properties is $144.36 and is shown for each property on the attached resolution. SUPPORTING DOCUMENTS: ❑ ATTACHED ❑ NONE A. Above Standard Street Lighting Special Service District B. ordinance 2014-03 C. Resolution 2014-08 POSSIBLE MOTION Please word motion as you would alike it to appear in the minutes. Motion to adopt Ordinance 2014-03 and Resolution 2014-08 imposing charges for 2014 within the Above Standard Street Lighting Special Service District. BUDGET INFORMATION FUNDING: I BUDGETED: ❑ YES ❑ NO ACTION TAKEN ❑ APPROVED AS REQUESTED ❑ DENIED ❑ TABLED ❑ OTHER (List changes) COMMENTS: ORDINANCE NO.: 2014-03 CITY OF OTSEGO COUNTY OF WRIGHT, MINNESOTA AN ORDINANCE AMENDING THE CITY CODE REGARDING CHARGES FOR ABOVE STANDARD STREET LIGHTING. THE CITY COUNCIL OF THE CITY OF OTSEGO DOES HEREBY ORDAIN: Section 1. Chapter 2-4-2.J.7.a of the City Code is hereby amended to add the following provisions: a. Commercial: $144.36/ac. Section 2. This Ordinance shall become effective immediately upon its passage and publication. SECOND BY: ALL IN FAVOR: SINS • -RIA 93 ADOPTED by the City Council of the City of Otsego this loth day of February, 2014. CITY OF OTSEGO BY: Jessica L. Stockamp, Mayor I ATTEST: Ta m i Doff, City Clerk RESOLUTION 2014-08 CITY OF OTSEGO COUNTY OF WRIGHT, MINNESOTA A RESOLUTION IMPOSING SERVICE CHARGES FOR 2014 WITHIN THE ABOVE STANDARD LIGHTING SPECIAL SERVICE DISTRICT. WHEREAS, pursuant to Minnesota Statues 428A.02 and Section 6-8-7 of the City Code, the Otsego City Council held a public hearing at their regular meeting on 10 February 2014 to consider imposing service charges for 2014 within the Above Standard Street Lighting District for operation and maintenance of the Above Standard Street Lighting System; and, WHEREAS, upon review of the proposed District and its boundary, the proposed service charges and other evidence received, the public hearing was closed and the City Council passed upon all objections to the proposed special service charges. NOW, THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OTSEGO THAT: 1. The schedule of proposed special service charges as set forth on Exhibit B attached hereto and made a part thereof, is hereby accepted and shall constitute the special service district charge against the lands identified for 2014. 2. The special service charge shall be payable in equal installments extending over a period of one (1) year with no interest to be billed by the Utility Billing Department. 3. Any party objecting to inclusion of its property in the District, objecting to the levy of the service charge on that property because it is exempt, or objecting to the levy of the service charge on the basis that it does not benefit the property and filing a written objection of the same is entitled to a determination on that objection within thirty (30) days from the hearing and has a right to appeal to the District Court from the City's determination within thirty (30) days from the date of said determination pursuant to Minnesota Statutes 428A.02, Subdivision 5. MOTION BY: SECOND BY: ALL IN FAVOR: THOSE OPPOSED: ADOPTED by the City Council of the City of Otsego this 1 Otn day of February, 2014. CITY of OTSEGO Jessica L. Stockamp, Mayor ATTEST: Tami Loff, City Clerk