04-22-2013 Council Packet - Laserfiche WebLink

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MINUTES OF THE ORONO CITY COUNCIL MEETING Monday, April 8, 2013 7:00 o’clock p.m. _____________________________________________________________________________________ Page 17 of 21 (10. STREET IMPROVEMENT DISTRICT – LETTER OF SUPPORT, Continued) McMillan noted there are lake improvement districts already on the books. Bremer commented there are also sidewalk districts. Printup stated his concern with it is that the City is setting themselves up on this path and that the City should have a discussion on what they want to do with special fees or assessments. Printup stated in his view one of the duties of the City is to take care of the roads, which is already included in the overall city levy. Printup stated the additional fee is his primary concern. Printup indicated he does understand if the legislation does go through, the City can establish its own parameters, but that he is totally uncomfortable with it since the citizens are already paying taxes, which should cover it. Bremer stated the point is fairness and noted that the City Council struggled with this issue relating to Casco Point. The City at that time went through an analysis of the special assessment realizing that others would have no interest in the new road but yet would end up paying for it. Bremer stated as it relates to the question of whether it increased the value of the property, it probably did, but the City made a decision not to do a special assessment and to spread the costs over all the residents. Bremer stated this legislation allows the City to use this tool only for the location that is benefitting from the work and that whether this Council or a future council makes a decision to do it or not to do it, it would require the next step of creating the districts. Bremer noted they are not making a philosophical decision at this time that the City is going to do it. McMillan stated the City has to look at getting back to assessments and discussing that. A number of cities currently use special assessments but Orono does not. Orono does have a fair amount of private roads and those people are saying that they are paying for everything. If this gets approved, this is a tool and opportunity that the City could decide to use and that further discussion should be had on this topic. McMillan stated to her recollection 40 cities have indicated they are in support of the legislation. McMillan noted there would be a public process for the residents to be involved in if the City decided to explore this further. Printup stated he would encourage the Council to maybe explore other options and perhaps look at certain restrictions being included in the bill, such as a sunset provision for a district to ensure that the work is completed within a certain time period. Printup indicated he has a concern that there is a collection of money sitting there but no project being completed. Printup noted the current legislation does not contain any language saying the money has to be spent within a certain period of time and that the City should consider putting some parameters on there. Anderson noted the Council would have the ability to place those parameters on their districts. Levang stated another question is if the City chooses to create those districts, whether they should get the money in advance or only get the money when a specific project is planned. Printup commented those are two issues that will need to be looked at. Item #02 - CC Agenda - 04/22/2013 Approval of Council Minutes 04/08/2013 [Page 17 of 21]