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L > . ■•:-•' ****•:'mA '- ■• <br />ir- <br />YI^ <br />7 <br />sr <br />I <br />Stubbs Bay Sewer Assessment Hearing Issues <br />May 18, 1992 <br />Page 2 <br />1. <br />2. <br />3. <br />The Bederwood area requires a lift station that serves <br />only their area. The estimated cost of this lift <br />station is $69,000. This cost has been included in the <br />trunk charge so that it is shared across the entire <br />project area. If this cost was born only by the <br />Bederwood area, the Bederwood assessment amount would <br />increase by $4,400. <br />The Cygnet and Leaf Street area has a number of very <br />low areas. There were two alternatives for serving <br />these areas. One alternative was to install at least <br />one lift station. The other alternative was to design <br />the trunk line at a greater depth to eliminate the need <br />for lift stations. The deeper trunk line was the <br />selected alternative. The additional cost of the <br />deeper trunk is being shared across the entire project <br />area. This means the base area, which has most of the <br />project units, is paying the greatest share of this <br />cost. <br />If the total project costs were divided by the total <br />project units, the total cost per unit would be <br />$15,313.00. A 70% assessment rate would translate to a <br />$10,719 assessment amount. Although this sharing of <br />costs across the project area would significantly <br />reduce the assessments for several areas, it would also <br />have substantially increased the assessments for the <br />base area which is already subsidizing the other <br />project areas. <br />Although the Bederwood area is appealing the level of <br />their assessment, theirs is the area that benefits most <br />by being included in the project at this time versus <br />waiting until some future time. This is due to the <br />Bederwood area's need for a lift station at a cost of <br />$69,000. This is included in the trunk cost which <br />means the Bederwood area pays only 8% of the lift <br />station cost. If they were not included in the <br />project, the lift station would be eliminated from the <br />project. Then when Bederwood needed to obtain sewer <br />service, they would pay the full cost of the lift <br />station since there would not be any other areas to <br />share the cost. At a 70% assessment rate the lift <br />station would cost each property $4,400.