M E M O R A N D U M 03-136

TO: MAYOR AND HOMER CITY COUNCIL

FROM: MARY L. CALHOUN, CMC, CITY CLERK

DATE: AUGUST 6, 2003

SUBJ: FOREST GLEN WATER AND SEWER ASSESSMENT DISTRICT, SUBDIVIDER EXPENDITURES

Council granted an extension on the Forest Glen Water and Sewer Project Acceptance to facilitate the final subdivision plats for Needham and Imhoff. Mr. Needham submitted a letter dated June 1, 2003 and received June 2, 2003 and placed in Council's Regular Meeting packet of June 9, 2003. Mr. Needham read his letter into the record at the July 28th regular meeting.

It is a fact that I have subdivided Forest Glen lots: Lot 3, Block 3; Lot 9 Block 3; Lot 7 Block 2, and Lot 10, Block 2. In so doing, I have created an additional 7 lots. This has substantially reduced the assessment for each lot in Forest Glen Subdivision. This is great- except for the fact that all of the other lots received culverts, driveway stub-ins, and sewer/water services. The cost of having the sewer and water stub-ins for lots 3B, 3C, 9B and 9C was $8,970.00 (invoice attached.) This works out to $2,242.50 per lot. This does not include culverts or driveway stub-ins which I estimate at $1,000.00 per lot. This would come to a total of $3,242.50 per lot, or $22,697.50 for these additional seven lots. I believe the City has no choice but to credit this towards my assessments, since I'm paying full assessment for each lot. My lots are approximately one third acre comparted to the typical one acre, so we are being assessed three times more per acre than the other land owners in this subdivision. It only seems reasonable that we should receive the same services and improvements.

It has recently come to our attention that Mr. Imhoff has a fee of $5,331.06.

Council has the opportunity during the certification of the final assessment roll to correct any errors or inequalities. Council is being asked to credit Mr. Needham and Mr. Imhoff with these costs, since the Ordinance did change during the project process and since their subdividing benefitted the rest of the property owners in the Forest Glen Water and Sewer District by reducing assessments by adding nine lots into the equation. The Baines also subdivided and should be credited appropriate costs, although nothing has been submitted.

Page Two

Memorandum 03-136

City of Homer

RECOMMENDATION:

Amend Resolution 03-108 to recognize expenditures by the subdividers for water and sewer stub outs and reimburse those costs as would have normally been associated with the project and of which the rest of the property owners received.

Imhoff - $5,331.06

Needham - $8,970.00

Fiscal Note: funded via HAWSP.