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Home My WebLink About09-021 - ADMIN Resolution - City Council - 2009/02/02RESOLUTION NO. 09-021 RESOLUTION IMPOSING A SERVICE CHARGE FOR SPECIAL SERVICE DISTRICT NO. 5 BE IT RESOLVED by the City Council of St. Louis Park, Minnesota, as follows: Section 1. Recitals: Findings. 1.01 Pursuant to Ordinance No. 2371-09, (the "Ordinance") the City created Special Service District No. 6 for certain property located adjacent to Park Place Boulevard 16th Street and Wayzata Boulevard with an area approximately bounded by Interstate 394 and Cedar Lake Road. The specific properties included within this area are identified on Exhibit "A" attached hereto and generally depicted on Exhibit "B" attached hereto and the right-of-way adjacent thereto (the "District"). 1.02 The City has received a petition requesting a public hearing to impose a service charge from the owners of property within the District (the "Petition"). 1.03 The City Council has determined each of the following: (a) at least twenty-five percent (25%) of the individuals or business organizations subject to the proposed service charge have signed the Petition; (b) only owners of property located within the District have signed the Petition; (c) only owners of property classified under Minnesota Statutes, Section 273.13 as commercial, industrial, or public utility purposes, or that is vacant land zoned or designated on a land use plan for commercial, industrial, or public utility purposes, have signed the Petition; and (d) notice of a public hearing has been given and a public hearing has been held. Section 2. Imposition of Service Charge. 2.01 Amount of Service Charge. There is hereby imposed a service charge in the amounts and against the properties specified on Exhibit "C" attached hereto (the "Service Charge"). The City imposes a service charge, payable in 2010, for special services provided during the period of January 2010 - December 2010 in a maximum amount of $26,400. A partial service charge in the amount of $13,205 will be collected in 2009. The maximum service charge in all subsequent years will be calculated pursuant to the provisions of Section 2.04. 2.02 Multi-year Service Charge. The Service Charge imposed by this resolution is for more than one year. The Service Charge will remain in effect through and including the year 2019 for taxes payable in said year. Resolution No. 09-021 -2- 2.03 Calculation of Service Charge. The Service Charge for all costs related to the District shall be distributed based upon the front feet adjacent to Streetscape improvements to Park Place Boulevard and the intersections of Wayzata Boulevard, 16th Street West and Gamble Drive for each parcel within the District and subject to the Service Charge. 2.04 Inflation Adjuster. Commencing with the service charge payable in 2011, the maximum service charge to be imposed in any year (the "Current Year") will increase from the maximum authorized budgeted amount for the year immediately preceding the Current Year (the "Prior Year") based upon the following: The Consumer Price Index (All Items) for the Minneapolis/St. Paul Metropolitan Area, published by the United States Department of Labor, Bureau of Labor Statistics ("Index"), which is published for the date nearest the commencement of the Current Year (the "Current Year Index"), shall be compared with the Index published for the date nearest the commencement of the Prior Year (the "Prior Year Index"). If the Current Year Index has increased over the Prior Year Index, the Maximum Service Charge shall be increased by multiplying the Maximum Service Charge by a fraction, the numerator of which is the Current Year Index and the denominator of which is the Prior Year Index. If the Index is discontinued or revised, such other government index or computation with which it is replaced shall be used in order to obtain substantially the same result as would be obtained if the Index had not been discontinued or revised. Notwithstanding increases in the Index of greater than five percent (5%), the Maximum Service Charge shall not increase from any Prior Year to any Current Year by an amount greater than five percent (5%) of the Prior Year's Service Charge. 2.05 Distribution of Total Service Charge. The distribution of the total Service Charge among properties within the District and subject to the Service Charge may vary and shall be recalculated pursuant to the formula specified in Section 2.03 if and to the extent that a parcel increases or decreases in size by acquisition or sale. 2.06 Use of Revenues. Revenues collected through the imposition of service charges may be used by the City for any purposes authorized in the Ordinance. Exhibit D contains the services proposed for funding in 2009 and 2010. The services and the revenues allocated to each service are subject to change at the discretion of the City. Section 3. Collection of Service Charges. 3.01 Collection. The Services Charges shall be payable and collected at the same time and in the same manner as provided for payment and collection of ad valorem taxes; except that the City may directly bill owners of parcels located within the District and subject to the Service Charge for the Service Charge due and payable in calendar year 2009. For purposes of determining the appropriate tax rate, taxable property or net tax capacity shall be determined without regard to captured or original net tax capacity under Minnesota Statutes, Section 469.177 or to the distribution or contribution value under Minnesota Statutes, Section 473F.08. Any service charge due and payable in calendar year 2009 that remains unpaid as of October 31, 2009, shall be payable and collected at the same time and in the same manner as provided for payment and collection of ad valorem taxes in the year 2010. • • • Resolution No. 09-021 -3- 3.02 Penalty and Interest. Service Charges made payable in the same manner as provided for payment and collection of ad valorem taxes, if not paid on or before the applicable due date, shall be subject to the same penalty and interest as in the case of ad valorem tax amounts not paid by the respective date. 3.03 Due Date. The due date for the Service Charge payable in the same manner as ad valorem taxes is the due date given in law for the real or personal property tax for the property on which the service charge is imposed. Service Charges imposed on net tax capacity which are to become payable in the following year must be certified to the County Auditor by the date provided in Minnesota Statutes, Section 429.061, Subd. 3 for annual certification of special assessment installments. Section 4. Revenue Surplus. To the extent that the total of Service Charges collected exceed the cost of services rendered within the District, at the election of the City, all or a portion of such excess amount shall either be held as a reserve to pay the cost of future services provided under this resolution or applied to reduce the next year's service charge levy. Section 5. Recording. The City may record this Resolution against parcels located within the District and subject to the Service Charge for the purpose of providing notice of the Service Charge to prospective purchasers of such parcels. Se o 6. Effective Date. This Resolution shall be effective on the forty-fifth (45th) day following ad ption, which effective date shall be April 9, 2009. Re iewed dministration 1 gill ...a..r City Mana I_ Attest: Clerk lJ City Clerk AdoptedXhe City Council February 2, 2009 Mayor / Resolution No. 09-021 -4- EXHIBIT A PARCELS IN SPECIAL SERVICE DISTRICT NO. 5 Parcel Number Address 0411721310018 5657 Wayzata Boulevard 0411721310019 1500 Park Place Boulevard 0411721340043 5600 Cedar Lake Road 0411721340044 1690 Park Place Boulevard 0411721340045 1650 Park Place Boulevard 0411721340046 1620 Park Place Boulevard 0411721340047 5699 16th Street West 0411721340049 1700 Park Place Boulevard 0411721340050 5601 16th Street West 3002924320026 5353 Wayzata Boulevard 3002924320022 5370 16th Street West 3002924330011 5401 Gamble Drive 3002924330015 5402 Parkdale Drive 3002924330031 1600 West End Boulevard Resolution No. 09-021 -5- EXHIBIT "B" Proposed Boundaries Special Service District No. 5 City of St. Louis Park INTERSTATE 394 el II r 0 s oee Legend Parcels ___J Improved Road Right -of -Way wow • ! r Proposed District Boundary NORTH 400 Feet Resolution No. 09-021 -6- EXHIBIT C Annual Budget and Service Charges Special Service District No. 5 City of St. Louis Park BUDGET ITEM ESTIMATED ANNUAL BUDGET Landscape maintenance services (including planting replacement) $11,000 Irrigation system maintenance and repair $5,000 Management $3,250 Decorative lighting (Install) $3,000 Site Maintenance (including infrastructure repair) $1,300 Other Maintenance Services (or non -fixed items) $1,300 Banner installation and removal $1,000 Public Liability Insurance $300 Legal Notices $200 Professional Services $50 General Supplies $0 Electrical service for decorative lighting $0 Total $26,400 PID # ADDRESS FRONT FEET 2009 SERVICE CHARGE 2010 SERVICE CHARGE 0411721310018 5657 Wayzata Blvd 227 $509 $1,018 0411721310019 1500 Park Place Blvd 1,333 $2,990 $5,979 0411721340043 5600 Cedar Lake Rd 477 $1,071 $2,141 0411721340044 1690 Park Place Blvd 210 $471 $941 0411721340045 1650 Park Place Blvd 258 $579 $1,157 0411721340046 1620 Park Place Blvd 234 $526 $1,051 0411721340047 5699 16th St W 235 $527 $1,053 0411721340049 1700 Park Place Blvd 184 $412 $823 0411721340050 5601 16th St W 180 $403 $805 3002924320026 5353 Wayzata Blvd 465 $1,043 $2,086 3002924320022 5370 16th St W 743 $1,667 $3,333 3002924330011 5401 Gamble Dr 210 $471 $942 3002924330015 5402 Parkdale Dr 411 $922 $1,844 3002924330031 1600 West End Blvd 720 $1614 $3,227 Total 5,886 $13,205 $26,400 Notes: 1 The cost allocation formula is based upon linear street front footage. 2 The" 2009 Service Charge" is a partial service charge (half of the estimated annual Service District Budget), because services will be provided for approximately six months in 2009 The City will mail invoices to property owners to collect the 2009 Service Charge Half the 2009 Service Charge will be invoiced in May and the other half in November 2009. 3 The "2010 Service Charge" shown above is the estimated charge based on the 2009 Service District Budget The actual 2010 Service Charge and charges for future years are subject to change based on the annual Service District Budget and Service Charge Resolution approval The cost allocation formula is based upon street front footage. Resolution No. 09-021 -7- EXHIBIT D Proposed List of Services The City may provide or contract for the following services in the district: • Cleaning and scrubbing of sidewalks; cleaning of curbs, gutters, alleys, and streets • Installation, maintenance, removal, and replacement of banners and other decorative items for promotion of the District • Poster and handbill removal • Repair and maintenance of sidewalks • Maintenance, repair, cleaning, and removal of area directories, kiosks, benches, bus shelters, newspaper stands, trash receptacles, information booths, bicycle racks • Purchase, installation, maintenance, and removal of decorative lighting on area trees • Cost of electrical service for pedestrian and decorative tree lighting • Repair of low-level pedestrian lights and poles • Comprehensive liability insurance for public space improvements • Watering, fertilizing, maintenance, and replacement of trees, shrubbery, and annual flowers and perennials on the public right-of-way • Repair, maintenance and replacement of irrigation system • Administration • Maintenance of a reserve fund for operations • Maintenance of capital improvements