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ITEM 6.4 Kadler Ave PetitionP OtCI�egoE MINNESOTA DEPARTMENT INFORMATION Request for City Council Action ORIGINATING DEPARTMENT: Public Works REQUESTOR: City Engineer Wagner MEETING DATE: November 14, 2016 PRESENTER(s): REVIEWED BY: ITEM #: City Engineer Wagner City Attorney MacArthur 6.4 — Kadler Ave. petition City Planner Licht AGENDA ITEM DETAILS RECOMMENDATION: City Staff recommends ordering preparation of a Feasibility Report to determine estimated cost and potential funding options, including assessments, for reconstruction of Kadler Avenue from 70th Street to 75th Street. ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED? No No BACKGROUND/JUSTIFICATION: City Staff have met with potential developers of land immediately north of the Otsego 1-94 West Industrial Park, located west of Kadler Avenue and north of 70th Street. Discussions centered on planning efforts for infrastructure to support the potential development of industrial subdivision. Water service is likely to be available to the property with the proposed City project planned in 2017 to extend trunk water to Riverwood National. Gravity sewer service is available with the trunk sewer lines extended to the aforementioned Otsego 1-94 West Industrial Park. City Staff indicated the most difficult element in developing this parcel is appropriate street access. Currently, Kadler Avenue is a gravel surfaced roadway between 70th Street and 80th Street. The City Transportation plan guides this street to be an industrial collector street in the near future with timing based on development. Long term Kadler Avenue has the potential to be a regional north -south arterial corridor through the City and beyond. It is due to the long-term potential functional classification of Kadler Avenue that the North East Wright County Transportation study requires 150 feet of right-of-way be obtained for the future roadway expansion. However, at this time, the street needed to serve the proposed industrial subdivision is proposed to be a industrial collector street, with a 46 foot wide two lane urban section. Costs to build this type of street in these types of soils can be prohibitive to development. The potential property owner has petitioned the City and submitted $5,000 escrow for the City to prepare a feasibility report to determine the likely cost of constructing the appropriate street section and outline funding alternatives. Funding alternative would likely constitute options that include assessments, deferred assessments, street access fees and other city funding. We estimate the Feasibility Report could be completed for review by the City Council in January 2017. Following review of the Feasibility Report, the City Council may accept the report and call for a public hearing to consider the proposed public improvement. The procedures for consideration of public improvement projects that may be assessed to benefiting properties under Minnesota Statutes 429 are outlined in Chapter 6, Section 4 of the City Code. The subject site is approximately one -quarter of the front footage of properties abutting the proposed improvement of Kadler Avenue. Section 6-4-3.B.1.a of the City Code requires acceptance of the petition ordering of the preparation of a feasibility report by a 4/5 majority of the City Council when less than 35 percent of the potentially benefited properties have made the petition. A 4/5 vote of the City Council is necessary to accept the petition and order the requested feasibility report for improvement of Kadler Avenue in this circumstance. SUPPORTING DOCUMENTS: X ATTACHED X NONE A. Location Map B. Existing Water and Sewer Exhibit POSSIBLE MOTION Please word motion as you would like it to appear in the minutes. Motion to approve Resolution 2016-99 ordering the City Engineer, Hakanson Anderson Inc., to complete a Feasibility Report regarding improvements of Kadler Avenue from 70th Street to 75th Street. BUDGET INFORMATION FUNDING: BUDGETED: X YES Petitioners Escrow NO RESOLUTION NO. 2016 -99 RESOLUTION ORDERING THE CITY ENGINEER, HAKANSON ANDERSON, INC., TO PREPARE A FEASIBILITY REPORT FOR THE IMPROVEMENT OF KADLER FROM 70TH STREET TO 75T" STREET WHEREAS, it is proposed to improve Kadler Avenue from 70" Street to 75" Street to meet industrial collector street standards, and to assess the benefited property for all or a portion of the cost of the improvement, pursuant to Minnesota Statutes, Chapter 429, NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF OTSEGO, MINNESOTA; That the proposed improvement be referred to the City Engineer, Hakanson Anderson, Inc., for study and that they are instructed to report to the City Council with all convenient speed advising in a preliminary way as to whether the proposed improvement is feasible, and as to whether it should best be made as proposed or in connection with some other improvement, and the estimated cost of the improvement as recommended. ADOPTED by the City Council of the City of Otsego this 14th day of November, 2016. Motion By: Second By: All in Favor: Those Opposed: CITY OF OTSEGO AM - ATTEST: Tami Loff, Clerk Jessica L. Stockamp, Mayor ot3890rderingFeasRpt_TPC Nov 09, 2016 — 3:11pm K:\cad_eng\PROJECTS\MUNICIPAL\OT104-2013\dwg\OT104—TRUNK.dwg