HomeMy WebLinkAbout09-16-19 City Commission Packet Materials - A5. Res 4894, Special Assessment Levy for SID 745 for West Oak and North Ferguson
Commission Memorandum
REPORT TO: Honorable Mayor and City Commission
FROM: Kristin Donald, Finance Director
SUBJECT: Commission Resolution No. 4894 – Special Assessment Levy for Special
Improvement District No. 745 for Local Improvements to Oak &
Ferguson
MEETING DATE: September 16, 2019
AGENDA ITEM: Action
RECOMMENDED MOTION: I hereby move to adopt Resolution No. 4894 levying a special
assessment upon benefitted properties within Special Improvement District No. 745.
BACKGROUND:
The City Commission created Special Improvement District No. 745 (the “District”) on April 22,
2019 for the purpose of purchasing certain local improvements in and about North Ferguson
Avenue between West Oak Street and Baxter Land and West Oak Street between Davis Lane and
North Ferguson Avenue, and financing the costs thereof and incidental thereto. Adoption of
Resolution 4894 will levy the assessment upon all benefited properties located within the District,
using as a basis of assessment the area method as described in the Resolution No. 4893, Resolution
of Intent to Create Special Improvement District 745. Notice of this hearing, at which objections
to the adoption of Resolution 4894 will be heard, was published and mailed to the owners of
property within the Districts in accordance with 7-12-4177, Montana Code Annotated.
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Special assessments are collected in the same manner and at the same time as assessments, and are
payable in two installments, one-half on or before November 30 of each year; and one-half on or
before May 31 of the following year.
ALTERNATIVES: As suggested by the City Commission.
FISCAL EFFECTS: Resolution No. 4894, the Resolution of Intent to Create SID 745 estimated
the total cost of the Improvements to be $2,152,611.04, with the District’s share of the cost of the
Improvements being $903,424.65. The City has committed $902,424.65 from the Street Impact
Fee Fund and Flanders Mill Subdivision has committed $347,731.74 for its share of the
improvements to North Ferguson Avenue. In accordance with Resolution 4894, special
assessments for the District’s share will be payable over a term not exceeding three (3) years, in
equal semi-annual installments as described above. Property owners have the right to prepay
assessments. The property owners’ total principal amounts and estimated annual assessment
amounts are shown in Exhibit A to Resolution 4894.
Attachment: Resolution No. 4894
Report compiled on September 9, 2019
480
Page 1 of 3
RESOLUTION NO. 4894
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF BOZEMAN
LEVYING A SPECIAL ASSESSMENT UPON ALL PROPERTY SITUATED WITHIN
SPECIAL IMPROVEMENT DISTRICT NO. 745 IN THE TOTAL AMOUNT OF
$903,424.65 TO DEFRAY THE COST OF PURCHASING THE IMPROVEMENTS IN
SAID SPECIAL IMPROVEMENT DISTRICT PURSUANT TO RESOLUTION NUMBER
4893 CREATING THE DISTRICT.
WHEREAS, the City Commission of the City of Bozeman, Montana did create Special
Improvement District 745 (the “District”) and thereby ordered and directed to be purchased within
the District existing improvements as specified in Resolution No. 4893 (the “Improvements”); and
WHEREAS, the cost of said Improvements to be assessed against the properties within
the District amounts to the sum of $2,152,611.04 of which $903,424.65 including incidental
expenses (the “District's Share of the Improvements”) is to be paid over a period of three (3) years
by the property located within the District; and
WHEREAS, the properties located in the District are to be assessed to defray the
District’s Share of the Improvements; each lot, tract, piece, or parcel of land to be assessed for its
proportionate share of the whole of the District’s Share of the Improvements based on the formula
as set forth in the resolution of intent to create the District; and
WHEREAS, the City Clerk published notice of resolution for levy and assessment in
the Bozeman Daily Chronicle on August 25, 2019 and September 1, 2019 and sent mail notices to
the owners of each lot, tract, or parcel of land to be assessed in accordance with 7-12-4177, MCA;
and
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Resolution No. 4894, Resolution to Levy a Special Assessment on Property located in SID 745
Page 2 of 3
WHEREAS, the City Commission conducted a public hearing on the resolution for levy
and assessment September 16, 2019 in accordance with 7-12-4178, MCA.
NOW, THEREFORE, BE IT RESOLVED by the City Commission of the City of
Bozeman, Montana as follows:
Section 1
To defray the costs and expense of purchasing said improvements in the District, the
City of Bozeman hereby levies and assesses a tax upon all property situated within the District in
the amount listed on Exhibit A attached, which is hereby incorporated herein and made a part
hereof. The special assessments for the costs of the Improvements shall be levied and assessed in
accordance with the method of assessments referred to in the resolution of intention. Such
assessments shall be payable over a term not exceeding three years, each in substantially equal
semiannual payments of principal and interest. The special assessments shall bear interest from
November 1, 2019 until paid at an annual rate of 1.5%. Property owner shall have the right to
prepay the special assessments as provided by law.
Section 2
The Commission hereby ratifies and confirms that the assessment of costs of the specific
Improvements against the property benefitted thereby as prescribed by the resolution of intention
is equitable and in proportion to and not exceeding the special benefits derived from the
Improvements by the parcel to be assessed therefor within the District, and the special assessments
authorized by this resolution are in accordance with the methods and do not exceed the amounts
prescribed by the resolution of intention.
Section 3
The assessments for the District which are listed in the City Treasurer’s assessment book
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Resolution No. 4894, Resolution to Levy a Special Assessment on Property located in SID 745
Page 3 of 3
are due and payable to the City Treasurer of the City of Bozeman and will become delinquent at 5
p.m. on November 30th and May 31st of each year until they are paid in full.
Section 4
This resolution shall be kept on file in the office of the City Clerk and shall be open to
public inspection.
PASSED, ADOPTED, AND APPROVED by the City Commission of the City of
Bozeman, Montana, at a regular session thereof held on the 16th day of September, 2019.
___________________________________
CYNTHIA L. ANDRUS
Mayor
ATTEST:
___________________________________
ROBIN CROUGH
City Clerk
APPROVED AS TO FORM:
___________________________________
GREG SULLIVAN
City Attorney
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EXHIBIT A
Property Address Property Owner Mailing Address City State Zip Total
Estimated Annual
Assessment
1705 Vaquero Pkwy Gallatin County 311 W Main Street, Rm 304 Bozeman MT 59715-4574 903,424.65$ 310,220.63$
At 1.5% interest
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