Following deliberation and some adjustment, Grand Marais city councilors approved $1.2 million in special assessments at their Aug. 26 meeting. Themoney is needed to pay for street and utility improvements that were begun last year and are now nearing completion.
The assessments represent 65 percent of the approximate $2.5 million project; the remainder will be spread among the city’s entire tax base. The city also received a $270,000 grant to help offset the assessment for affected Creechville residents who qualify as low-income under federal guidelines.
In all, about 85 property owners on Fourth Avenue in Creechville, and First, Second, Third and Sixth avenues south of County Road 7 are affected. The project included reconstruction and installation of pavement, curb, gutter, sidewalks, water and sewer mains. The assessments are calculated based on street frontage at a rate of $122 per foot.
About 20 residents attended the public hearing, half of whom asked questions about the assessment formula and terms of payment, spoke of problems caused by the road reconstruction, or offered general comments about the work and its necessity.
Because much of the discussion centered on the sidewalks and who should pay for them (sidewalks were not included along every re-built avenue), council decided to remove the sidewalk portion of the assessment and spread those costs over the entire tax base. Councilors Tim Kennedy and Kay Costello pointed out that the decision to do that was actually made at a previous meeting when councilors agreed that sidewalks were a benefit to everybody and were important to establish a pedestrian link between the downtown area and facilities such as the school campus, hospital and various apartment buildings on the northern end of the city. Therefore, they said, the cost should be borne equally by all taxpayers.
Removal of the sidewalk fee reduced the assessments by about $6 per foot.
Those speaking included Terry Quinn, who complained that his Creechville assessment was out of line and the utility work was poorly designed; Pat Martin, who asked about the low-income guidelines; Elizabeth Pearson, who said the newly narrow streets with no sidewalks leave nowhere for people to walk except “in the way of cars”; and Grace Floe, who said the new pavement has created stormwater runoff problems in her yard that are “kind of messy.” Several others spoke in favor of having all city taxpayers pay for the sidewalks, rather than assessing only those whose property abuts them.
The assessments will be spread on property taxes in equal installments over the next 20 years, beginning in January 2010, at an annual interest rate of 5.5 percent. Property owners have the option of paying off the entire assessment before Nov. 15 to avoid interest fees through December of the following year, or by Sept. 26 of this year to avoid all interest charges.
In other news:
work session was held to continue work on the city’s 2010 budget. City Hall General Fund expenditures, the Cable TV Fund and debt service payments were among the areas discussed in detail.
Mayor Sue Hakes suggested the city take a look at its annual contracted payment of $140,000 to the county for law enforcement and emergency dispatch services to determine its true value, but others said that may not be such a good idea because the price might go up instead of down. Hakes said she only brought it up because the contract hasn’t been reviewed in at least 10 years, and Cook County Sheriff Mark Falk said during his last visit with council that he himself was unsure of the exact terms and conditions of the contract.
Also mentioned was the possibility of instituting a dog licensing program in an effort to bring some revenue in, but City Administrator Mike Roth warned that such a program may not cover its own costs and would be difficult to enforce. Council reviewed the Grand Marais Fire Relief Association’s Lump Sum Pension Plan, and voted to pay the required $8,529 contribution for next year. Roth said the contribution is “very unusual” and probably the first time the city has ever had to make such a payment. The action is necessary because the Relief Association’s investments have gone down about 20 percent due to the economic downturn. There are 22 active members in the department.
payment of $369,572 was made to Redstone Construction Company for the 2008 street and utility project, and Roth said that project is almost at the “final completion” stage. There were some questions about the landscaper who was subcontracted — the city has had trouble with the landscaper before — but Roth said the work done by the second crew appears to be a lot better and there’s “little to complain about.”
oth said the graphic designer has been contacted, and is incorporating the wetland delineation into the Rec Park’s Master Plan, as recommended by the city park board. It is expected that the completed plan will be delivered to the city sometime this month.
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