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HomeMy WebLinkAbout2001-0321.SS.MINMINUTES OF THE CITY COUNCIL STUDY SESSION March 21, 2001 - 12:00 p.m. Council Chambers, 1175 East Main Street CALL TO ORDER Mayor Alan DeBoer called the meeting to order at 12:07 p.m. ATTENDANCE Councilors Laws, Morrison, Reid, and Fine. Hartzell arrived at 12:20 p.m. Staff present included City Administrator Greg Scoles, Director of Community Development John McLaughlin, and Public Works Director Paula Brown. UPDATE ON PROCESS FOR THE STRAWBERRY LAND PROJECT AND LID McLaughlin explained development of a LID for a portion of Strawberry Lane. The project is a compilation of several different street sections, and includes paving, storm drain improvement, sidewalks and other miscellaneous items. The areas that would be involved included, the extension of Westwood from the paved section to the comer where it becomes Strawberry Lane; Strawberry Lane from the comer of Ainutt to Granite; Alnutt Street; Scenic Drive; and Nutley, just below Scenic to the end. To accommodate drainage from the new improvement, the Nutley storm drain must be upgraded. A cap limit would be set on the amount any individual property owner would pay. Brown explained the cost associated with the Strawberry Lane Project, and handed out an information sheet to the council outlining the City's street and storm drain components and funding sources. It would be a $1 million project. There are seventy-nine and one-half lots, and with a cap of $4,140, that leaves $120,000 for the City to pay. McLanghlin explained the LID process, including the cap amount per lot and the City's percentage. The developers, who are planning twenty-one new lots, would pay their piece at full value. Brown noted that the City would pay approximately 40%. The City owns land in the proposed project, which increases associated costs. Overall, the amount paid by the City would be 86%. Brown explained the funding sources as included in the handout. The next step would be to bring the Resolution requesting formation of a LID to the council. Brown clarified that the cost would come from the proposed budget for 2001-02 and the City would be allowed to participate in the Bancrot'~ing process, which allows payments over a ten-year period. Fine noted his concern that taxpayers would be responsible for the excess cost associated with the LID, and questioned whether the cap should be based on a percentage of the fair market value of a property. The cap would increase along with real estate, which would make it fair for everyone rather than providing an artificial subsidy to owners of large properties. Reid voiced her concern with changing the formula, and noted the amount of time and energy spent by committee membem, staff, and council to put it into effect. This will be the first time that the formula would be used, and will set precedence. Scoles noted that the largest expense was the storm system and putting in perspective, without a cap, there would still be an additional $120,000 contribution by property owners. Laws agreed with Reid's concerns, and noted that the City's policy is to pave streets, and noted that many of the homes on Strawberry Lane have been there for a long time. DeBoer stated that the new subdivision approval was dependent on having the work done, and he does not support the formation ora LID under these numbers, and he feels no obligation to the developers. He feels that the developers should bear the cost of the development of the lots. Reid noted that she owns an undeveloped lot on the comer of Strawberry and Granite. She explained that there has been an increase of new homes over the last twenty years, which were developed one at a time, and to get the existing property owners to participate in a LID would be difficult. She felt that this is an opportunity to get an existing neighborhood to participate in a LID to pave streets and provide a storm drain system. Brown stated that the direction fi'om the council has been to pave unpaved streets, and this is the reason that the LID is on the list. She felt that the council will have to take a hard line with property owners, because it is probable that existing property owners will not support this LID. Council Study Session 03/21/2001 Page ! of 2 Laws agreed that the developer might be willing to pay more, because the profit from the sale of the homes would be worth the cost. If the profit disappears, the development will not happen. The City has a significant interest in moving forward with this project. Reid questioned the number of lots that could be developed without the subdivision. McLaughlin determined that 2-5 lots could be split, but partitions are not being allowed. The council engaged in a general discussion on the possibility of moving the Tolman Creek LID ahead of the Strawberry Lane LID. Brown explained that both projects are time consuming and noted safety issues in relation to the Tolman Creek area. Morrison voiced his concern regarding the Strawberry Lane LID and requested a review of the agreement. McLaughlin stated that the agreement with the developer was to pave the streets if they want to move ahead, and that it would be the City's option to form a LID. Should the LID not be formed, the developer would be responsible for street improvements. McLaughlin stressed that this is an opportunity to get a large section of the street improved, and the City will be responsible for a large portion of the costs either way. Fine agreed with Morrison regarding the agreement with the developer, and questioned the plan for Tolman Creek. Brown noted that either project could be done, but not both at the same time. The Toiman Creek project is larger, but there is more non city participation. The cap for property owners is less, because there are more properties to spread the cost. McLaughlin explained that approvals for the subdivision will be expiring, and the incentive for participation may be gone, if the projects do not move forward before the Tolman Creek project. He stated that development on Strawberry Lane may never happen if delayed. Laws stated that Westwood Street should be closed for safety reasons if the Strawberry Lane project does not happen. McLaughlin further explained that if the planning approval expires, the new city hillside standards would apply, and fewer lots could be approved for development in the future. Fine suggested that staff and the mayor meet with the developer to discuss the issues. Reid agreed, and added that it should be done expediently and clearly. DISCUSSION REGARDING COUNCIL DYNAMICS The council briefly discussed the use of a facilitator for a 3-4 hour meeting and acknowledged that it could be two to three months before a meeting time could be set. ADJOURNMENT Meeting adjourned at 1:15 p.m. Respectfully submitted by Barbara Christensen, City Recorder/Treasurer Council Study Session 03/21/2001 Page 2 of 2