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HomeMy WebLinkAboutResolution - 738 - Establishing Assessment Policies for Ring Road - 07/10/1973 RESOLUTION NO. 738 RESOLUTION ESTABLISHING ASSESSMENT POLICIES FOR THE MAJOR CENTER AREA RING ROAD, PROJECT STR 72-9-26 BE IT RESOLVED by the Village Council of the Village of Eden Prairie that the following policies with respect to financing of the Major Center Area Ring Road (Project 72-9-26) are herein established : 1 . Special assessments will be levied for ninety-five (95%) percent of the local share of the improvement costs (total cost less MSAS funds and other State Participating funds) . Properties to be assessed shall be those indicated on a project assessment map to be prepared by the Village staff prior to the special assessment hearing. Said properties to be assessed shall be those abutting the Ring Road, within the Ring Road, those for which the Ring Road will be the primary access to State and Federal Highway Systems and those properties included in the Village approved Major Center Area Planned Unit Development. 2. Five (5°,) percent of the local share of the improvement costs will be derived from the general community. This general community share may be derived through the use of MSAS funds , revenue sharing funds , or additional general tax income to the Village resulting from increased valuation cue to the Major Center Area. The Village Council will pledge up to 50% participation if tax laws permit a greater share of new commercial and industrial assessed valuation to remain with Eden Prairie. 3. The Village will continue to strive for greater cost participation from Hennepin County and the State of Minnesota because the Ring Road serves many regional facilities. 4. The Village will seek to initiate legislation creating a special tax district, similar to those associated with urban renewal projects, for the purposes of tax-increment financing for a portion of the local share of the improvement costs . 5. Those properties within the assessment limits being used for single family residential , and religious institutional purposes as of the date of this resolution shall not be assessed until such time as a change in land use shall occur through offical rezoning by the Village Council . 6. Conservation areas will be exempt from assessments . It is anticipated that portions of conservation areas will be used in computing density; if this should occur, then the conserva- tion area would not be exempt from assessment. 7. Construction of the Ring Road shall be phased over a period of five years , with all construction completed, or under contract by January 1 , 1979. Construction phasing shall be as described in the project feasibility report dated June 25, 1973. 8. Village bonds sold to finance the improvements shall mature not later than July 30, 1995, special assessment levies shall fall due not later than 1994. 9. Assessment Rates for the Ring Road Project shall be computed by the following methods: A. BASE RATE METHOD The entire assessment district shall be assessed for twenty- five (25%) percent of the assessable local share of the improve- ment costs on an equal , per acre basis. This Base Rate assess- ment represents general benefits to the assessment district such as bridge structures, ramps, roadway drainage facilities, lighting and signals . The estimated Base Assessment Rate is computed as follows : Total project cost per Final $10,589,167 Feasibility Report for Project STR 72-9-26 dated June 25, 1973. Less estimated State and MSAS shares (13.6%) _'$ i ,439,200 Net Local Share $ 9,149,967 Less 5% Village Participation ($ 457 ,498) Net Cost to be assessed $ 8,692,469 It is estimated that there will be 1 ,217 acres in the assessment district: $8,692,469 25% x 1 ,217 Acres = $1 ,785/Acre $1 ,785/Acre - Estimated Total Base Rate Assessment Phase I of the Ring Road Project involves construction of the southerly portion of the Ring Road from TH 169-212 on the east to Valley View Road extended through the Edenvale PUD on the west (2. 75 miles of roadway) . Phase I of the Base Rate Assessment, estimated to be $880/Acre will be levied in 1974 and spread over twenty years (1975 - 1994) . Phase II of the Base Rate Assessment, estimated to be $905/Acre will be levied in 1979 and spread over fifteen years 1 880 - 1994) . i B. FRONT FOOT METHOD Those properties abutting either side of the Ring Road shall be assessed at the rate of $50 per front (abutting) foot. Timing for the Front Foot Assessment shall be the same as for the Base Rate Assessment. There are approximately 36,400 assessable feet. At $50 per foot, the total estimated front foot assessment is $1 ,819,000. C. LAND USE/TRIP GENERATION METHOD i The assessment rates computed by this method shall apply to all properties within the assessment district and shall be in proportion to the traffic trips generated by each res- pective property as related to land use (zoning) in confor- mance with the Major Center PUD. The Land Use/Trip Generation assessment will be levied to individual properties only at such time that land use (zoning) is determined by the Village Council to be in con- formance with the Major Center P.U.D. It is the intent of of -the Village Council that prior to January 1 , 1979 rezoning in the Major Center Area will be made only upon official request of the property owner thereof. After January 1 , 1979 the Village Council will proceed to assess all remaining properties unzoned in conformance to the Major Center PUD. The estimated total Land Use/Trip Generation Assessment Rates are determined as follows : Net Cost to be assessed $ 8,692,469 Less Base Rate Assessment ($ 2,173,117) Less Front Foot Assessment $50 x 36,375 feet = $ 1 ,818,750 Net remaining $ 4,700,602 Est. Acres Trips/ % Total Land Use in MCA PUD Acre Trips $4,700,602 $/Acre-Say_ Regional Commercial 362.7 500 38. 5 1 ,809,732 4,924 4,950 Regional Office 294. 5 460 28.9 1 ,358,474 4,613 4,600 Regional Service 52.3 322 3. 6 169,222 3,236 3,250 Highway Commercial 142.4 409 12.4 582,875 4,093 4,100 Industrial Office 109. 5 200 4.7 220,928 2 ,018 2 ,000 MCA Housing: Low Density 18.3 80 0.3 14,102 771 750 Med . Density 170.4 200 7.3 343,144 2 ,018 2 ,000 High Density 66.9 300 4.3 202,126 3,021 3,000 1 ,217 100 For those properties zoned in accordance with the Major Center PUD prior -to January 1 , 1979, -the Phase I Land Use/Trip Generation Assessment rates are estimated as follows : Total Phase I cost per Final $5,332 ,428 Feasibility Report dated June 25, 1973 Less State and MSAS shares (15. 5%) ($ 828,950) Net Local Share $4,503,478 Less 5% Village Participation ($ 225,174) Net cost to be assessed $4,278,304 Less Base Rate Assessment (25%) ($1 ,069,576) Less Front Foot Assessment $50 x 23,775 ft. _ $1 ,188,750 Net remaining for Phase I Land Use/Trip Generation Assessment $2,019,978 Land Use Est. Phase I $/ Acre Regional Commercial 2,100 Regional Office 2,000 Regional Service 1 ,400 Highway Commercial 1 ,750 Industrial Office 900 MCA Housing : Low Density 325 Med Density 900 High Density 1 ,300 D. Assessments For Utilities Storm sewer facilities necessary to drain the Ring Road Roadway and Right-of-Way and miscellaneous sanitary sewer and watermain crossings will he considered as general benefit to the assess- ment district. Storm sewer oversizing, sanitary sewer and water- main laterals will be assessed to those properties specifically benefitted per usual Village assessment policies. 10. The Village Council intends to periodically review all land uses within the Major Center Area and adjust assessment rates accordingly. If special legislation is required, the Village will approach the legis- lature during the 1974 session. ADOPTED by the Village Council on July 11 , 1973. z10 7auT R. Redpath, Mayor ATTEST: SEAL in D. Frane,' Clerk