ORD 95-09 IMPROVEMENTS TO JUSTIN COURTORDINANCE NO. 9~-09
AN ORDINANCE of the City of Bainbridge Island, Washington,
ordering the improvement of N.E. Justin Court by asphalt paving
and gravel shoulders, pursuant to property owners' petition
therefor; establishing Local Improvement District No. 18 and
ordering the carrying out of the proposed improvement; providing
that payment for the improvement be made by special assessments
upon the property in the District, payable by the mode of
"payment by bonds"; and providing for the issuance and sale of
local improvement district warrants redeemable in cash or other
short-term financing and local improvement district bonds.
WHEREAS, a petition for the creation of a local improvement district to provide for the
improvement of N.E. Justin Court by asphalt paving and gravel shoulders, all of the cost thereof
to be borne by the property included in the local improvement district and benefited by those
improvements, was filed with the City Clerk; and
WHEREAS, the City's Consulting Engineer has caused an estimate to be made of the
cost and expense of the proposed improvement and certified that estimate to the City Council,
together with all papers and infonnation in the City Consulting Engineer's possession touching
the proposed improvement, a description of the boundaries of the proposed local improvement
district and a statement of what portion of the cost and expense of the improvements should be
borne by the property within the proposed improvement district; and
WHEREAS, that estimate is accompanied by a diagram of the proposed improvement
showing thereon the lots, tracts, parcels of land and other property which will be specially
benefited by the proposed improvement and the estimated cost and expense thereof to be borne
by each lot, tract and parcel of land or other property; and
WHEREAS, the City Council, by Resolution No. 95-02 adopted February 16, 1995,
fixed March 16, 1995, at 7:00 p.m., in the Bainbridge Commons, Multi-Purpose Room, 402 B
June Drive S.W., Bainbridge Island, Washington, as the time and place for heating all matters
relating to the proposed improvement and all objections thereto and for determining the method
of payment for the improvements; and
WHEREAS, the heating was continued to April 6, 1995 at the same time and place, and
was held as scheduled; and
WHEREAS, due notice of the above hearing was given in the manner provided by
Resolution No. 95-02, and the heating was held by the City Council on the date and at the time
above mentioned, and all persons appearing at such hearing and wishing to be heard were heard
and all objections were considered by the City Council; and
F:XDMS\RPK\0080675.01 - 1 -
WHEREAS, the City Council has deter,nined it to be in the best interests of the City that
the improvement as hereinafter described be earfled out and that a local improvement district
be created in connection therewith; NOW, THEREFORE,
THE CITY COUNCIL OF THE CITY OF BAINBRIDGE ISLAND, WASHINGTON,
DO ORDAIN as follows:
Section 1. The Public Works Director has examined such petition and has certified it to
be sufficient and to have been signed by the owners of 85.94 percent of the area included in the
proposed district.
Section 2. The City Council of the City orders the improvement of N.E. Justin Court
by asphalt paving and gravel shoulders. The improvement shall be in accordance with plans and
specifications prepared by the City's Consulting Engineer, and may be modified by the City
Council as long as such modification does not affect the purpose of the improvement.
Section 3. There is created and established a local improvement district to be called
Local Improvement District No. 18 of the City (the "District"), the boundaries or territorial
extent of the District being more particularly described in Exhibit A attached hereto and by this
reference incorporated herein.
Section 4. The total estimated cost and expense of the improvement is declared to be
$71,400. The entire cost and expense shall be borne by and assessed against the property
specially bene~ted by such improvement included in the District which embraces as nearly as
practicable all property specially benefited by such improvement.
Section 5. In accordance with the provisions of RCW 35.44.047, the City may use any
method or combination of methods to compute assessments which may be deemed more fairly
to reflect the special benefits to the properties being assessed. As requested by the petitioners,
the City, if feasible, will use an assessment method that results in equal assessments for all
property owners.
Section 6, No property, any portion of which is outside the District, may connect to
those improvements constructed or made a part of the District unless either that property shall
have been subject to the special assessments on the assessment roll for the District or the owners
of the property shall have paid prior to such connection a charge in lieu of assessment which
shall be at least the equivalent of those assessments which would have been applied to the
property had it been included within the District.
Section 7. Local improvement district warrants may be issued in payment of the cost and
expense of the improvement herein ordered to be assessed, such warrants to be paid out of the
Local Improvement Fund, District No. 18, hereinafter created and referred to as the Local
Improvement Fund, and, until the bonds referred to in this section are issued and delivered to
the purchaser thereof, to bear interest from the date thereof at a rate to be established hereafter
by the Finance Director, as issuing officer, and to be redeemed in cash and/or by local
improvement district bonds herein authorized to be issued, such interest-bearing warrants to be
FADMSLRPK\0080675.01 - 2 -
hereafter referred to as "revenue warrants." In the alternative, the City hereafter may provide
by ordinance for the issuance of other short-term obligations pursuant to Chapter 39.50 RCW.
The City is authorized to issue local improvement district bonds for the District which
shall bear interest at a rate and to be payable on or before a date to be hereafter fixed by
ordinance. The bonds shall be issued in exchange for and/or in redemption of any and all
revenue warrants issued hereunder or other short-tetra obligations hereafter authorized and not
redeemed in cash within twenty days after the expiration of the thirty-day period for the cash
payment of assessments without interest on the assessment roll for the District. The bonds shall
be redeemed by the collection of special assessments to be levied and assessed against the
property within the District, payable in annual installments, with interest at a rate to be hereafter
fixed by ordinance under the mode of "payment by bonds," as defined by law and the ordinances
of the City. The exact form, amount, date, interest rate and denominations of such bonds shall
be hereafter fixed by ordinance of the City Council. Such bonds shall be sold in such manner
as the City Council shall hereafter determined.
Section 8. In all cases where the work necessary to be done in connection with the
making of such improvement is carried out pursuant to contract upon competitive bids (and the
City shall have and reserves the right to reject any and all bids), the call for bids shall include
a statement that payment for such work will be made in cash warrants drawn upon the ~
Improvement Fund.
Section 9. There is created and established in the office of the Finance Director for the
District the Local Improvement Fund, into which fund shall be deposited the proceeds from the
sale of revenue warrants or other short-term obligations drawn against the fund which may be
issued and sold by the City and collections pertaining to assessments, and against which fund
shall be issued cash warrants to the contractor or contractors in payment for the work to be done
by them in connection with the improvement and cash warrants in payment for all other items
of expense in connection with the improvement.
Section 10. Within 15 days of the passage of this ordinance there shall be filed with the
City Clerk the title of the improvement and District number, a copy of the diagram or print
showing the boundaries of the District and the preliminary assessment roll or abstract of such
roll showing thereon the lots, tracts and parcels of land that will be specially benefited thereby
and the estimated cost and expense of such improvement to be borne by each lot, tract or parcel
of land. The City Clerk shall immediately post the proposed assessment roll upon her index of
local improvement assessments against the properties affected by the local improvement.
PASSED by the City Council this 6th day of April, 1995.
APPROVED by the Mayor this __
7th day of April, 1995.
Mayor Janet West
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ATTEST/AUTHENTICATE:
Cfty Clerk
APPROV~D AS TO FORM:
FILED VvTFH THE CITY CLERK: April 6, 1995
PASSED BY THE CITY COUNCIL: April 6, 1995
PUBLISHED: April 12, 1995
EFFECTIVE DATE: April 17, 1995
ORDINANCE NO.: 95-09
F:XDMS\RPK\0080675.01 - 4 -
I, Susan P. Kasper, City Clerk of the City of Bainbridge Island, Washington, certify that
the attached copy of Ordinance No. 95-09 is a true and correct copy of the original ordinance
passed on the 6th day of April, 1995, as that ordinance appears on the Minute Book of the
City.
DATED this 6th
__ day of April, 1995.
City'Clerk
F:~DMSXRPK\0080675.01 - 5 -
2:~00
MEMORANDUM
TO:
FROM:
DATE:
SUBJECT:
Mayor and City Council
ProPosed Justin Court LID
RECE!VE,. D ,,
2,2 1995
PUBLIC
I met with the Justin Court property owners last night (3/21) to
discuss the LID process with them and respond to their questions
about cost, procedure and their options. They were interested in
comparison with other methods of making the improvement, especially
the "developer extension agreement" that would typically be used by
a single developer to build and then convey to the City the infra-
structure usually included in a subdivision project.
I reviewed the cost data compiled by Rich Kato and we agreed to
have the Public Works crew dig some test holes in the existing
gravel street this week when Rich comes over for the LID 13
hearing. Rich will look at the cross section of the test holes to
see if the existing road bed is sufficient to use. Given the
length of time this road has been in use and this inspection, we
would be safe in making a significant reduction in the cost
estimate for the street construction by using the existing road
bed. Rich also discovered that he had used the interim version of
the typical design cross section for a neighborhood street as the
basis for his estimate. That has now been superseded by the
standards (Public Works Design Manual) recently adopted by the
Council. The new Rural Residential standard specifies a narrower
road width. This also reduces the potential cost.
We will provide the Council and the property owners with the
revised costs before the continued hearing.
The property owners are very cooperative and appreciate the efforts
being made on their behalf by everyone in the City connected with
this so far.
On an unrelated note, one of the property owners works in the bond
market and commented that the rate we received on the LID bonds we
sold at the last Council meeting was "very good".
LKN:lek
MEMORANDUM
TO:
FROM:
DATE:
SUBJECT:
Justin Court Property Owners
City Administrator Nordb~
March 24, 1995
Inspection of Road Fill and City Fees
Thank you for your hospitality Tuesday evening.
to answer your questions satisfactorily as
RECEIVED
PUBLIC
I hope I was able
well as provide
information helpful to you in your consideration of the proposed
LID.
As I said, we asked Rich Kato to meet a crew from our Public Works
Department to dig several test holes at random through the existing
roadbed to see if we could confidently consider a significant
reduction in the material costs that were included in the prelim-
inary estimate. They did that yesterday (Thursday) afternoon.
Mr. Kato noted that the gravel on the road, from Miller almost all
the way to the first turn, was almost completely gone, probably due
to erosion and vehicular traffic on that slight slope. Otherwise,
he had the same observation I had, that it was holding up fairly
well. We went over the reduced estimate I discussed with you again
in light of this inspection. He recommends we build the gravel
base back up to specification and possibly dig out and replace a
few apparent small soft spots. Even with that, he seemed confident
that with the contingencies I used, the revised lower estimate was
feasible. If you recall that was $5,082 per parcel.
The other issue you asked me to investigate was the cost for the
fees, permits, etc. that would be required for a "developer
agreement" process.
In addition to the design fees you would pay to your own engineer,
the City fees and charges would be as follows:
Application Fee - $100.00
Right of Way Permit - $50.00
Inspection Fees - Approx. 3% of Construction cost
Administration and Overhead - 10% of other City costs
Legal - Up to four hours by City Atty (approx. $500)
A performance bond is also required to be posted by the "developer"
in favor of the City in the amount of 125% of the construction
contract between you and the contractor to guarantee that the work
will be completed. Following the acceptance of the construction by
the City and the posting of a two year maintenance bond for an
amount equal to 20% of the construction contract, the performance
bond will be released. The maintenance bond guarantees that any
defects that might appear during that time are repaired. You
should check with a bonding company for the premium amount for
these bonds.
Thank you again for the opportunity to be of help to you. Please
contact me at any time if you have additional questions.
cc: Mayor
Council
Bill Bryan
Rich Kato