CITY OF HOMER

PUBLIC WORKS TELEPHONE (907)235-3170

3575 HEATH STREET HOMER, AK 99603 FACSIMILE (907)235-3145

MEMORANDUM 07-69

To: Walt Wrede, City Manager

From: Carey Meyer, Public Works Director

Date: April 18, 2007

Subject: Creation of Final Assessments - Revised Assessment Amounts

Ocean Drive Loop and Peterson Sewer LID’s

Public Works, in February, calculated the per lot assessment cost for the two subject sewer LID’s.

During the objection period, the calculations were questioned. Property owners in the Peterson LID wondered why their per linear foot costs where higher than the Ocean Drive Loop LID costs.

Public Works has reviewed the calculations completed in February and identified some minor costs that were included in the Peterson LID that should have been included in the Ocean Drive Loop project.

The per lot costs for each project (as previously established) are outlined below:

Project Cost Per Lot Assessment

Ocean Drive Loop LID $ 890,098 $ 12,750.27

Peterson LID $ 237,360 $ 18,801.98

Based on our re-evaluation:

Project Cost Per Lot Assessment

Ocean Drive Loop LID $ 922,012 $ 13,047.34

Peterson LID $ 204,632 $ 17,052.67

The actual assessments are higher than projected not because the costs where higher, but because there are fewer lots now. Much re-platting occurred during the completion of this project (see attached maps).

Recommendation: The per lot assessments be established for the Ocean Drive Loop LID at 13,047.34; and the per lot assessments for the Peterson LID be established at 17,052.67.