HomeMy WebLinkAboutAgenda Statement 1986/09/16 Item 14 COUNCIL AGENDA STATEMENT
Item 14
Meeting Date 9/16/86
ITEM TITLE: Resolution/Zj/ Declaring City' s intention to establish a
reimbursement district at the southwest corner of Bonita
Road/E Street intersection
SUBMITTED BY: Director of Public Works/City Engineer
REVIEWED BY: City Manager. (4/5ths Vote: Yes No X )
On February 4, 1986, Council , by Resolution No. 12355, awarded a contract to
Select Electric, Inc. for the construction of street improvements on Bonita
Road and "E" Street. Because of Safety and Engineering requirements, the
project improved the frontage along a vacant parcel of land west of Bonita
Road and south of "E" Street. Funds for this project were approved in the
FY 1984-85 Capital Improvement Program budget with the condition that the cost
for the vacant land improvements be recovered by the City through a
reimbursement district when the land is subdivided and/or developed.
Chapter 15.50 of the City Code contains a procedure for the establishment of
reimbursement districts which assure that a benefited property owner
reimburses another party for the excess costs it incurs when providing public
improvements benefiting property other than its own or in excess of its
obligation.
RECOMMENDATION: That Council adopt the Resolution and set a public hearing
to be held at 4 :00 p.m. in the Council Chambers on October 7, 1986, in
accordance with Section 15.50.090 of the City Code for the formation of a
reimbursement district at the southwest corner of Bonita Road/E Street
intersection.
BOARDS/COMMISSIONS RECOMMENDATION: Not applicable.
DISCUSSION:
The FY 1984-85 Capital Improvement Program contained a project for the
realignment of the Bonita Road/"E" Street intersection and the signalization
of the intersection. Due to Engineering and Safety requirements, the
realignment work required the installation of public improvements along the
frontage of the vacant land located at the southwest corner of the
intersection.
It was Council ' s intent to install these improvements and to recover the cost
of the improvements via the formation of a reimbursement district once the
project was completed and the actual expense was known. The project was
Page 2, Item 14
Meeting Date 9/1b/8b
completed and accepted by the City on July 8, 1986, by Council Resolution
12571 . Engineering staff has now determined the improvements attributable to
the vacant land and has established a direct benefit to the parcel in the
amount of $17,970.06.
Chapter 15.50 of the City Code provides a procedure for the formation of
reimbursement districts, by which a developer (or the City) may recover the
costs it incurs when providing public improvements benefiting property other
than its own or in excess of its obligation. Engineering staff, therefore,
request that the provisions of Chapter 15.50 be followed and that a
reimbursement district be established to assure that the City will recover the
$17,970.06 advanced. The property owners will execute a reimbursement
agreement whereby they agree to pay the City the funds advanced (plus seven
percent interest) when the property is subdivided or developed.
It should be noted that the $17,970.06 does not include the cost for
Engineering or administrative expenses associated with the construction of the
project or the cost of the reimbursement district formation proceedings. The
reasons for not charging the property owner engineering and administrative
costs are:
1 . The realignment of Bonita Road at the intersection was a general benefit
to the public and a City-initiated project.
2. The property owner dedicated voluntarily the additional right-of-way that
was needed.
3. City Council Policy 505-01 with respect to the 1911 Block Act Program
states that the City, at no cost to the property owner shall provide all
engineering, inspection and administrative services.
Also, not included is the cost of the traffic signal because the developers
will be subject to the City' s Traffic Signal Fee when and if they develop
their property.
FISCAL IMPACT: City will recover $17,970.06 advanced to install
improvements at the southwest corner of the Bonita Road/"E" Street
intersection. The City will bear the cost for Engineering and administrative
expense for the formation of the district which is estimated to be about
$1 ,000.
RS/mag
WPC 2289E
.y the City Council of
Chula Vista, California
Dated Am4t/ /rai raa6,
Statement persuant to Section 15.50.080 (B) of the Chula Vista Code
Notice and Hearing on establishment of Reimbursement District
On February 4, 1986, The Council , by Resolution No. 12355 awarded a contract to
Select Electric, Inc. for the construction of street improvements on Bonita
Road and "E" Street. This project consisted of the installation of a new
traffic signal , removal of existing inlets, and construction of curb, gutter,
sidewalk, asphalt paving, drainage facilities, and other miscellaneous work.
Due to safety and engineering requirements, the project improved the frontage
along a vacant parcel of land west of Bonita Road and south of "E" Street (see
location map). The actual cost of the improvements constructed adjacent to
this property was $17,970.06, which the City paid and wishes to be reimbursed
when the property is developed. The improvements built adjacent to the vacant
parcel (Assessor's Parcel No. 570-130-24) are as follows:
Actual Cost for Improvements Built Adjacent to Parcel 570-130-24
No. Item Quantity Unit Unit Price Amount
1 6" PCC curb & gutter 189.13 L.F. $ 10.00 $ 1,891.30
2 4" PCC sidewalk 215.10 S.F. 2.75 591.53
3 4" PCC sidewalk ramp 108.50 S.F. 2.75 298.37
4 Asphalt concrete paving 75.13 Ton 60.00 4,507.83
5 Processed misc. base 163.89 Ton 15.57 2,551.77
6 4' type "C" inlet L.S. L.S. 2,500.00 2,500.00
7 18" RCP - 1350D 20.00 L.F. 57.00 1,140.00
8 Traffic control L.S. 1500 L.S. 1,500.00
9 Excavation & disposal L.S. / L.S. 2,989.29
Total Cost $17,970.06
The cost for each item of work listed above is actual and does not include
Engineering or administrative expenses, which were borne by the City of Chula
Vista.
The $17,970.06 cost, however, will be subject to an annual interest rate of
seven percent as provided in Section 15.50.090 of the City Code during the term
of the reimbursement agreement which shall not exceed twenty years.
The reimbursement agreement will be prepared after the public hearing and shall
contain such provisions as the City Council deems necessary, desirable and
equitable.
The reimbursement shall be collectable by the City at either the time the
property is to be subdivided or upon a request for a building permit for
development of the property.
RS:yc
(B2:1550.080)
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