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03 - Assessment Policy
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02-07-2006 Special Council Meeting
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03 - Assessment Policy
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ASSESSMENT PROCEDURES &POLICY <br /> City of Pequot Lakes, Minnesota <br /> Prepared with assistance by Widseth, Smith,Nolting <br /> *** DRAFT *** January 2006 *** DRAFT *** <br /> The City Council can prorate sanitary sewer lift station improvements that will provide <br /> future benefit to an area larger than that being assessed. <br /> DETERMINATION OF FRONT FOOTAGE: <br /> In many cases, the front footage of a lot is not immediately apparent. In such cases, it is <br /> necessary to determine an equivalent front footage that will, as much as possible, result in <br /> an equitable distribution of costs. The following rules will be used to determine an <br /> equivalent front footage: <br /> 1. On all lots of a generally rectangular shape, straight front footage shall be used. <br /> 2. On cul-de-sacs, sharply curved streets, and other situations that result in non- <br /> rectangular lots, front footage shall be measured at a point 30 feet from the R/W line into <br /> the property (trying to equate to an"average"property width). <br /> 3. On "pie shaped lots", and irregular shaped lots where other rules don't apply, <br /> equivalent front footage shall be calculated by dividing the square footage of the lot by <br /> the general lot depth of the subdivision. <br /> `.. EXPECTED SERVICE LIFE OF IMPROVEMENTS: <br /> Roadways shall have an expected service life of 20 years. Sanitary sewer, watermain, and <br /> storm sewer shall have an expected service life of 30 years. <br /> Reconstruction of assessed improvements that have reached or exceed the expected <br /> service life shall be eligible for new assessments. <br /> Assessments for improvements which need reconstruction prior to reaching their <br /> expected service life shall provide a credit to assessed properties which is prorated based <br /> on actual life as compared to expected service life and shall be applied to the original <br /> principle amount of the assessment with no consideration for inflation or interest. <br /> ASSESSMENT PERIOD: <br /> This will be set by the City Council, with a guide that it not exceed a period one year less <br /> than either the expected service life or of the financial instrument(e.g. bond) for the <br /> proj ect. <br /> INTEREST RATE: <br /> This will be set by the City Council, with a guide of two percent(2.0) above the rate the <br /> City pays for financing of the improvements. <br /> End of Policy <br /> Page 3 of 3 <br /> C:\Documents and Settings\Administrator\Local Settings\Temporary Internet Files\OLKB\Draft Assessment Policy.doc <br />
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