270211 WHITE - CITV CLERK COURCII �� ��
PINK - FINANCE *
CANqRV - DEPARTMENT G 1 TY OF SA I NT PAU L � ��
BLUE - MAVOR File NO•
RETtTRN COPY TO VALUA ON BURE',AtJ Council Resolution
Presented By
Referred To ` Committee: Date
Out of Committee By Date
RESOLVID, that the report of the Valuation Engineer, a copy of which
is atta.ched and incorporated herein by reference, which increases assessment
rates for storm and relief sewer pro�ects to reflect construction cost
increases and the increased benefit to property owners, that is, from l�
per sqUa.re foot for one and two family dwellings and �+¢ per square foot for
a11 other types of property, to 2¢ and 5� respectively, is hereby approved
for all subject type projects passed by Fi.na.l Order after Jariu.ary l� 1978.
COUNC[LMEN
Yeas Nays Requested by Department of:
Butler � Fi ce and Man ent Services
Hozza [n Favor ��
Hunt
Levine _�__ Against B _ Direetor
Roedler
Sylvester
Tedesco
Adopted ouncil: ate ��C 9 5 1977 Form Approved by City AtYorney
Ce ied Pass Counc' ,ec tary• B3�' �''�' � �"��'" ��'7'��?�
Approved 14av Date C Z � ` 7 G ��6 �`� � Ap o by Mayor for Sub ' si to Council
By BY
�PUBLISHED OEC 2 4 �97�
. � ������
CITY OF SAINT PAUL
DEPARTMENT OF FINANCE AND MANAGEMENT SERVICES
DIVISION OF ASSESSMENTS AND VALUATIONS
To: The Honorable Mayor, Council President,
and Members of th� City Council
From: J. William Donovan,
Valuation and Assessment Engineer
Date: November 1�+, 1977
Sub�ect: Report on Assessment Rates for Storm and Relief Sewer Pro�ects
We have recently completed a study on the above referenced sub�ect to
determine if a change in rates is advisable. The two main areas investi-
gated were the current rates used by other communities and the increase
in construction costs since the last rate revision which went into effect
January 1, 1974.
The first step was to compare St. Paul assessment rates with the neighbor-
ing communities of Little Canada, Nort�h St. Paul, White Bear Lake, and
Maplewood. Currently, the St. Paul rates of 12¢ per square foot for one
and two family dwelling Residential property and �+¢ per square foot for
Commercial property have provided approximately 15 - 20°fo of the financing
for sewer pro�ects.
In Little Canada, there haven't been any sewer pro�ects in recent years,
but if there were, 80°� of the pro�ect financing would be provided by
assessment.
The last sewer pro�ect in North St. Paul was financed totally by assessment.
which amaunted to a rate of 8� per square foot. North St. Paul does not
finance right-of-way acquisition by assessments.
The City of Maplewood's current assessment rates are 2� for residential
property and 5¢ for commercial property which is supposed to provide 50�0
of their pro�ect financing. However, it was stated that these rates were
not realistic and would be revised soon.
White Bear Lake relies on assessments for 100°�0 of their share of storm sewer
construction pro�ects; however, most of their pro�ects axe on streets which
involve either the State or County who contribute to the financing.
The second area of investigation was the increase in canstruction costs
since the current rate was established on January 1, 197�+. At that time,
the intention was for assessments to provid.e 20-25� of project costs.
Telephone612/298-5317 286 City Hall, Saint Paul,Minnesota 55102
� -2- ������ �
The following is a tabulation of x�ast assessment rates per square foot in
Saint Pau1:
Multi-Unit Residential,
Residential Property Commercial & Industrial
Year (1 & 2 Fami.ly Dwelling) Property
�.959-63 2/3¢ �¢
lg&�+-68 3/�+ 1�,
1969-70 1 12
1971-73 l�. 3
197�-77 12 �
The Department of Public Works has advised that, per the Engineering News
Record, March �+, 1977 and October b, 1977 construction index, the construct-
ion costs for sewers have increased by 3 o since the last assessment rate
ad�ustment by the City.
Based on these findings, I recammend that the follawing rates be adopted
by the City Council:
Residential
(1 and 2 Family Dwelling) 2¢ per squaxe foot
Multi-Unit Residential, 5� per square foot
Commercial & Industrial
(which includes all
property other than 1
and 2 family dwellings)
The proposed increase in assessment rates would raise the assessment on
a one or two family dwelling unit on an average sized lot (60'X7.20') from
�108 to �11+a+ and raise the assessment for a commercial property of the same
size from $288 to $378.
I do hereby request your favorable approval of this report.
C� ,
JWD�MJE
Appro �
<
��
Be nard J. Car son, 17irector
F`inance and Management Services
• ` OM Ol: I2/1975 �
� Rav. s 9/8/76
E�LANATION OF ADMIN�STRATIVE ORDER$,
RESOLDTIONS AND 4RDINAl�iCES
��.�.��.G�...�.��.� r .
. �����'�.��
.Date: Nov�ember 1�+, 197? - .
� ` - r 1 - �
� r
. � NG� +� ��?'
'; �p: MAYOR GEORG£ LATIMER �►�� ' � �
. J W�
gg; J. William Donovan, Yaluation b Assessment �.neer, Dept. of Finance dr . �Sernices
(Est. 53�.
+�� Assessment l�tes for Storm and R�e].ief Se'9►er Projects
�
�
:,
� ACTION REQVES�'ED: ,
Approval for submission to Council of proposed :I�solution for increas3.ng
assessment rates for storm and relief se�er pro�ects.
PURPOSE AND RATI�NALE FOR Z'HIS ACTION:
These rates are revised every.2 - �+ years to reflect construction cost incresses, .
The last revision was January l, 197� and can�trtxction costs have risen by � �
``� approximately 30°�, since that date.
ATTACSIRENTS:
1. Proposed Cauncil l�esolution .
2. Re�port i'raan �Taluations Eng3.neer