11-05-1984 CC MIN - Laserfiche WebLink

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r- . . City Council Minutes November 5, 1984 Page Two Schuldt indicated that he moved to include $30,000 as legal contingencies, or approximately $1,000 per property in the assessment for two reasons: 1) the possibility of legal problems and the fact that it was a part of the project; that certain property owners in Heavenly Hills would file a complaint in court and that such legal problems would not be a problem of the whole City; and 2) that the City could not come back and include the legal costs to the assessment project at a later date. Councilmember Schuldt indicated that he felt the motion was not improper, but further indicated that after considerable thought, he has come to the conclusion that the $30,000 in legal contingency should not have been included. Councilmember Schuldt indicated that on the School Street project and the Main Street project, the City has initiated the improvement project and therefore, the City would be responsible for any legal costs that may come with regard to objec- tion to the assessment. Councilmember Schuldt indicated that the difference between such projects as the School Street project and the East Main Street project is the fact that the residents in the Heavenly Hills project requested that the City authorize the improvement. Councilmmeber Schuldt further indicated that even though there was a difference of opinion among the residents in the Heavenly Hills project, the City willingly accepted the responsibility of taking on the project and author- izing the improvements. Councilmember Schuldt indicated that he felt at that point, all projects are alike and therefore, came to the conclusion that the legal contingency should not have been included at the time of the special assessment hearing. Councilmember Duitsman indicated that he felt the Heavenly Hills development should never have happened but because of the City Council placing a moratorium on plat development, the project was able to get through. Councilmember Gunkel indicated that she has agonized over the vote of the Heavenly Hills assessment hearing and furhter indicated that she felt the City Council was caught up in the antagonistic opposition to the project at the hearing. Council- member Gunkel indicated that the inclusion of the $30,000 in legal contingencies was contrary to the idea of the project to keep the costs down in order to allow the project to develop, therefore, it was her feeling that the $30,000 should be removed from the special assessments. Councilmember Duitsman indicated that in previous hearings regarding the Heavenly Hills project, it was apparent that Christian would contest the assessment of the four units to his parcel of property. Councilmember Duitsman further indicated that the City Council should have kept certain legal costs in the cost of the project to deal with the Christian property. Councilmember Gunkel indicated that she felt if it was necessary to include legal costs, they should have been included in the very beginning. Councilmember Engstrom indicated that he specifically asked the City's attorney if it was appropriate to include legal contingency costs at the assessment hearing. Councilmember Engstrom further indicated that he was in agreement with Councilmember Gunkel and Councilmember Duitsman regarding the inclusion of potential legal costs at the very beginning of a project and therefore, he was in favor of removing the $30,000 from the Heavenly Hills assessment.