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HomeMy WebLinkAbout2018-12-10 City Council Regular Meeting PacketAgenda City Council Meeting City of Edina, Minnesota City Council Chambers Special Meeting Monday, December 10, 2018 7:00 PM I.Call To Order II.Roll Call III.Approval Of Meeting Agenda IV.Community Comment During "Community Comment," the City Council will invite residents to share new issues or concerns that haven't been considered in the past 30 days by the Council or which aren't slated for future consideration. Individuals must limit their comments to three minutes. The Mayor may limit the number of speakers on the same issue in the interest of time and topic. Generally speaking, items that are elsewhere on tonight's agenda may not be addressed during Community Comment. Individuals should not expect the Mayor or Council to respond to their comments tonight. Instead the Council might refer the matter to sta) for consideration at a future meeting. V.Adoption Of Consent Agenda All agenda items listed on the consent agenda are considered routine and will be enacted by one motion. There will be no separate discussion of such items unless requested to be removed from the Consent Agenda by a Member of the City Council. In such cases the item will be removed from the Consent Agenda and considered immediately following the adoption of the Consent Agenda. (Favorable rollcall vote of majority of Council Members present to approve.) A.Request for Purchase: York Avenue Trunk Sanitary Sewer Extension Planning Addendum VI.Public Hearings During "Public Hearings," the Mayor will ask for public testimony after City sta) members make their presentations. If you wish to testify on the topic, you are welcome to do so as long as your testimony is relevant to the discussion. To ensure fairness to all speakers and to allow the e5cient conduct of a public hearing, speakers must observe the following guidelines: Individuals must limit their testimony to three minutes. The Mayor may modify times, as deemed necessary. Try not to repeat remarks or points of view made by prior speakers and limit testimony to the matter under consideration. In order to maintain a respectful environment for all those in attendance, the use of signs, clapping, cheering or booing or any other form of verbal or nonverbal communication is not allowed. A.PUBLIC HEARING: Indian Trails B & C Neighborhood Roadway Reconstruction, Improvement No. BA-452, Resolution No. 2018- 131 B.PUBLIC HEARING: Indian Hills C Neighborhood Roadway Reconstruction, Improvement No. BA-455, Resolution No. 2018- 134 C.PUBLIC HEARING: Chowen Park A & B Neighborhood Roadway Reconstruction, Improvement No. BA-451 & A-279, Resolution No. 2018-132 D.PUBLIC HEARING: Todd Park E Neighborhood Roadway Reconstruction, Improvement No. BA-454, Resolution No. 2018- 133 VII.Adjournment The City of Edina wants all residents to be comfortable being part of the public process. If you need assistance in the way of hearing ampliCcation, an interpreter, large-print documents or something else, please call 952-927-8861 72 hours in advance of the meeting. Date: December 10, 2018 Agenda Item #: IV.A. To:Mayor and City Council Item Type: Request For Purchase From:Ross Bintner, PE, Engineering Services Manager Item Activity: Subject:Request for Purchase: York Avenue Trunk Sanitary Sewer Extension Planning Addendum Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve the attached request for purchase and scope of service. INTRODUCTION: The attached request for purchase and scope of service is an addendum to the scope approved by Council, on May 25, 2018, for engineering professional services for the York Avenue trunk sewer line. ATTACHMENTS: Description Request for Purchase Supplemental Letter Agreement City of Edina • 4801 W. 50th St. • Edina, MN 55424 Request for Purchase Date: December 10, 2018 To: Mayor and City Council From: Ross Bintner P.E – Engineering Services Manager Subject: York Avenue Trunk Sanitary Sewer Extension Planning Addendum Purchase Subject to: ☐List Quote/Bid ☐State Contract ☒Service Contract The Recommended Bid is: ☒Within Budget ☐Not Within Budget SEH, Inc. Date Bid Opened or Quote Received: Bid or expiration Date: 5/23/2018 Company: Amount of Quote or Bid: SEH, Inc. $16,300 Recommended Quote or Bid: Page 2 5/25/2018 City of Edina • 4801 W. 50th St. • Edina, MN 55424 Request for Purchase Department Director Authorization: _______________________________________ City Council Authorization Date: _____________ (for purchases over $20,000 only) Budget Impact CIP 15-147, includes $1,000,000 for planning, design and construction. This is an addendum to the May 25, 2018, scope of service. Following this plan, a proposal for design of the first phase will be forwarded to Council for consideration. Environmental Impact This is a planning project, but the resulting capital improvements that follow will have impact. The selected combination of options chooses an alignment that avoids the need for lift stations that consume electric power. Community Impact The project serves the purpose planning extended trunk sanitary sewer capacity in south east Edina to prepare for growth. The need for the project is described in the City of Edina Comprehensive Plan, Chapter 8 – Water Resource Management and the Southeast Edina Sanitary Sewer preliminary engineering study, Barr Engineering April 2017. The attached proposal from SEH, Inc., proposes to plan a phased alignment for the York Avenue sanitary sewer extension. Engineers | Architects | Planners | Scientists Short Elliott Hendrickson Inc., 10901 Red Circle Drive, Suite 300, Minnetonka, MN 55343-9302 SEH is 100% employee-owned | sehinc.com | 952.912.2600 | 800.734.6757 | 888.908.8166 fax SUPPLEMENTAL LETTER AGREEMENT NO. 2 December 4, 2018 RE: City of Edina York Avenue Trunk Sanitary Sewer Extension – Engineering Study Additional Services SEH No. EDINA145878 10.00 Mr. Ross Bintner, PE Engineering Services Manager City of Edina Engineering and Public Works Facility 7450 Metro Boulevard Edina, MN 55439 Dear Ross: Over the past several months, Short Elliott Hendrickson Inc. (SEH®) has worked closely with City of Edina (City) staff on the York Avenue Trunk Sanitary Sewer Extension Engineering Study. Based on discussions with staff, SEH was asked to provide additional engineering services outside of the Scope of Services identified in the original Supplemental Agreement, dated May 23, 2018. The two (2) Additional Service items that have been requested are: 1. Inclusion in the Engineering Study of future trunk sanitary sewer networks on 69th Street and Hazelton Road that will connect to the proposed York Avenue trunk sanitary sewer system. Tasks will include updating our current basemap to include existing utilities and infrastructure, creating plan/profile sheets for each street, evaluating pipe alignments, and completing associated construction cost estimating. 2. Coordination with Barr Engineering in order for them to provide a more detailed evaluation of the impact of anticipated redevelopment on sanitary sewer capacity within the Engineering Study corridor. This included attending two (2) meetings, sharing project data including the preferred alternative alignment, basemapping, and existing utilities and reviewing/commenting on two (2) iterations of proposed Barr pipe layouts and profiles. SEH respectfully requests compensation for the professional services described above. If accepted, we will provide these additional services for a not-to-exceed fee of $16,300.00 which includes reimbursable expenses. A summary of professional service fees to date is included in the table on the next page. Mr. Ross Bintner, PE December 4, 2018 Page 2 Item No. York Avenue Trunk Sanitary Sewer Extension – Engineering Study Professional Fees Additional Services 1 Add 69th Street and Hazelton Road trunk sanitary sewer systems to Engineering Study $11,500 2 Coordination with Barr Engineering $4,800 Subtotal of Additional Service Request $16,300 Original York Avenue Trunk Sanitary Sewer Extension – Engineering Study Agreement, dated May 23, 2018 $49,353 Total Revised Agreement Amount $65,653 Compensation will not exceed $65,653 without written authorization from the City. We will provide these services in accordance with our Agreement for Professional Engineering Services dated June 4, 2013, herein called the Agreement. We propose to complete and submit the draft engineering study to the City by December 28, 2018. We anticipate the study can be finalized by the end of January 2019, following City and Hennepin County reviews. We appreciate the opportunity to offer our professional services to the City and continuing our valuable working relationship. Please contact me at 952.912.2616 or tmuse@sehinc.com with questions regarding this proposal. Sincerely, SHORT ELLIOTT HENDRICKSON INC. Toby Muse, PE Project Manager p:\ae\e\edina\146991\1-genl\10-setup-cont\03-proposal\addl engr study services\sla ltr york san swr extnsn addl svc ltr 120418.docx Accepted on this ___day of________________, 2018 City of Edina, Minnesota By: _________________________________ Name _________________________________ Title Date: December 10, 2018 Agenda Item #: V.A. To:Mayor and City Council Item Type: Report / Recommendation From:Aaron T. Ditzler, PE, Assistant City Engineer Item Activity: Subject:PUBLIC HEARING: Indian Trails B & C Neighborhood Roadway Reconstruction, Improvement No. BA-452, Resolution No. 2018-131 Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: If the Council determines the project to be necessary, cost-effective and feasible, Council shall adopt Resolution No. 2018-131, accepting the engineering study and approving Indian Trails B & C Neighborhood Roadway Reconstruction, Improvement No. BA-452, authorize plans and specifications to be completed and bids taken. INTRODUCTION: City staff initiated this project. The project proposes to reconstruct Bello Drive, Comanche Court, Overholt Pass, Paiute Circle, Paiute Drive, Paiute Pass, Sally Lane and Shawnee Circle. It involves pavement reconstruction, new curb and gutter in some areas, supplemental retaining wall construction along some streets, and upgrading utilities. The overall project cost is estimated at $2,698,616. Funding will be a combination of special assessments and City Utility funds. Staff has analyzed the project and feels that the project is necessary, cost-effective, and feasible from an engineering standpoint. ATTACHMENTS: Description Resolution No. 2018-131 Real Estate Consulting Letter Report (Handout) Staff Presentation: Introduction to 2019 Street Recon Public Hearings Staff Presentation: Indian Trails B&C RESOLUTION NO. 2018-131 ORDERING IMPROVEMENT FOR INDIAN TRAILS B & C NEIGHBORHOOD ROADWAY RECONSTRUCTION IMPROVEMENT NO. BA-452 WHEREAS, a resolution of the City Council, adopted the 7th day of November 2018, fixed a date for a council hearing on Improvement No. BA-452, the proposed improvement of Indian Trails B & C Neighborhood Roadway Reconstruction; and WHEREAS, ten days mailed notice and two weeks published notice of the hearing was given, and the hearing was held thereon on the 10th day of December 2018, at which all persons desiring to be heard were given an opportunity to be heard thereon; NOW THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF EDINA, MINNESOTA: 1. Such improvement is necessary, cost-effective, and feasible to update aging infrastructure. 2. Such improvement is hereby ordered. 3. The city engineer is hereby designated as the engineer for this improvement. The engineer shall prepare plans and specifications for the making of such improvement. 4. The city council declares its official intent to reimburse itself for the costs of the improvement from the proceeds of tax exempt bonds. Dated: December 10, 2018 Attest: Sharon Allison, City Clerk James B. Hovland, Mayor STATE OF MINNESOTA ) COUNTY OF HENNEPIN )SS CITY OF EDINA ) CERTIFICATE OF CITY CLERK I, the undersigned duly appointed and acting City Clerk for the City of Edina do hereby certify that the attached and foregoing Resolution was duly adopted by the Edina City Council at its regular meeting of December 10, 2018, and as recorded in the Minutes of said Special Meeting. WITNESS my hand and seal of said City this ______ day of __________, 20___. _______________________________ City Clerk Subject Property Street Improvement Project Indian Trails B/C Neighborhood Edina, MN 55439 Client City of Edina Attn: Chad Miliner, Director of Engineering 4801 West 50th Street Edina, MN 55424 File # V1812001 iou Prepared By: Ethan Waytas, MAI, Appraiser William R. Waytas, SRA, Appraiser 0 1101 Nagel! Appraisal Incorporated 12805 Highway 55, Suite 300 Plymouth, Minnesota 55441 Tel: 952.544.8966 I Fax: 952.544.8969 Report Type Real Estate Consulting Letter Report Effective Date December 6, 2018 1,14.-WRI1 NAGELL APPRAISAL INCORPORATED 12805 Highway 55 #300 Minneapolis 952-544-8966 Plymouth, MN 55441 St. Paul 651-209-6159 Established in 1968 Central Fax 952-544-8969 City of Edina December 10, 2018 Attn: Chad Millner, Director of Engineering 4801 West 50th Street Edina, MN 55424 To Chad Millner: Per your request, this is a letter report to assist the city for guidance regarding a street improvement project within Edina (see attached map for the location of the streets in the project). The project is the reconstruction of Sally Lane, Paiute Drive, Paiute Circle, Paiute Pass, Comanche Court, Bello Drive, Shawnee Circle, and Overholt Pass. This report is not an appraisal, but rather provides a preliminary opinion of a general range of market benefit, if any, for similar properties. SCOPE OF ASSIGNMENT In accordance with your request, a drive-by viewing of the properties has been made along with some general market comments regarding benefit (if any) for the proposed street improvement project as it relates to the subject market. As noted in the engagement letter, no specific sales data has been collected for this assignment. The general market comments are based on past appraisals, experience, and market information. Pictures of the streets were taken on December 6, 2018 by William Waytas. The appraiser also viewed aerial/satellite image on the county GIS website and Google street view images. A project feasibility report was provided; the conclusions and information from the report were a part of the overall consulting letter analysis. The feasibility report is retained in the appraiser's workfile. PROJECT The City of Edina is proposing to reconstruct the streets as previously noted. Per request, you desire to know the benefit (if any) as it impacts properties in the project area. Motivation for the road improvement project stems from deteriorating road surface and/or base. Secondary motivations appear to be to spot repair public utilities. Nagel! Appraisal Incorporated I 952.544.8966 Page 1 AREA DESCRIPTION The City of Edina is a first ring suburban community located approximately 15 minutes south of Downtown Minneapolis. The population was 47,941 as of 2010 census (an increase of 1.1% from the 2000 census). The 2016 estimated population is 51,350 (an increase of 7.1% from 2010). Commercial and industrial users are scattered throughout the city, however, major commercial (Southdale Center) is located along France Avenue South and major industrial near Highway 100 and I- 494. The remainder of the city is mostly made up of single-family residential homes. Edina has a reputation as a stable community. Access to most shopping and surrounding communities is within 5 to 15 minutes. Most existing buildings in the area range from average to good quality. Single family homes generally range in value between $300,000 and $1,000,000+ for the overall city. Within a 1/2 mile radius of the project area, the average home price over the past three years is around $700,000 (MLS statistics). Most homes are average to good quality. SUBJECT PROPERTIES The project area primarily consists of single-family residential homes. EXISTING STREETS & UTILITIES Physical Condition of the Existing Road: The existing road improvements are asphalt with road base and concrete curb and gutter. The road condition, based on the visual inspection of the streets is rated to be poor/fair (although a portion on Sally Lane from Valley View Road to Paiute Pass is rated to be average). There are signs of transverse and alligator cracking, along with some areas of graveling. The streets within the project, per feasibility report, were originally constructed between 1941 and 1991. There are retaining walls along Shawnee Circle and Overholt Pass that allow the existing road to be passable. The walls, per city, are at the end of their economic life. Note: The city feasibility report indicates that the PCI rating for the project area is 35 out of 100. Physical Condition of Existing Utilities: The utilities within the neighborhood are public sanitary sewer and public water. The city is proposing to update the utilities as described on the next page. Functional Design of the Road: The existing paved road is very dated, in poor/fair condition (excluding the previously noted average area), and does have substantial large cracks. The road condition is rated to be poor to fair, portions average. There are signs of transverse and alligator cracking, along with areas of graveling. Roads in poor to fair condition do not meet the expectations of typical market participants in this suburban market for re-development, resale price, and/or updating the current uses. Overall, the existing street improvements are in fair/poor condition, are beginning to look dated and reflect likewise on the adjoining and side street properties. Page 2 Nagell Appraisal Incorporated I 952.544.8966 PROPOSED ROAD IMPROVEMENT The city is proposing to reconstruct the streets within the project area. Per the engineering feasibility report, the existing road and base will be removed. In its place will be 8" of new road base, plus 2.5" of asphalt plus an additional 1.5" asphalt wear course. New concrete curb and gutter will be installed as needed. The report indicates the road requirements will meet a minimum 20-year pavement design life. The city will also be supplementing the retaining walls along Shawnee Circle and Overholt Pass. It appears the project will result in a new retaining wall that is built in front of the existing structures; this was done at the request of residents. Public utilities are not a primary part of this project. That said, the city will be putting a cured in-place liner in the sanitary sewer lines. The city will also install new fire hydrants on Overholt, new water services on Shawnee, new fire hydrants on Paiute Circle, as well as a new main and services. Given the existing condition of the road, the proposed project is logical. If any of the above descriptions change, the benefit due to the project could differ. HIGHEST AND BEST USE The subject project area is located in the western portion of the city. The properties in the project area are single-family residential. Owners in the subject area appear to update their property as needed when site and building components wear out or become dated. Owners in the overall area commonly pave their driveways or maintain parking lots as needed, recognizing it adds value when done. Therefore, it is logical to update the road to the subject properties as needed, as these are essential property characteristics that are expected in this market. An informed buyer would consider the condition of the road and traffic flow/management. A well- constructed and good condition road provides aesthetic appeal to a property and efficient/safe traffic flow. Given a choice, a potential informed buyer would likely prefer a newer road with good traffic flow over a deteriorating road with fair traffic flow. If replacement of components of real estate near the end of their economic life in a home or building is postponed, it can be costlier in the long run; delays in replacing components can result in incurring higher interim maintenance costs and potential difficulty in marketing the property. Also, it is typical for the cost of the replacement of an improvement to increase over time. That said it is logical and prudent for market participants to update/replace dated components when needed. Therefore, the highest and best use of the surrounding properties in the project area is for the continued residential use with the proposed infrastructure improvements. NageII Appraisal Incorporated 1952.544.8966 Page 3 DISCUSSION OF MARKET BENEFIT Listed below are the factors that will be taken into consideration concerning the potential benefit to the properties. Description Existing Change Improvements 1) Road Surface Poor/Fair, Average in one area New , paved, good 2) Base Condition Poor/Fair New, good 3) Curb Fair to Average, concrete Replaced where appropriate 4) Drainage Average, less effective in some areas Average, drainage fixed where appropriate 5) Storm Sewer Yes Yes 6) City water Dated/Average New fire hydrants, main, services, etc. as noted 7) City sewer Dated New liner, 100-year life 8) Sidewalk None None 9) Street Lights Average Average 10) Functional Design of Road Dated Good 11) Traffic Management Average Average 12) Pedestrian Use (biking, walking, etc.) Fair Good 13) Median n/a n/a 14) Road Proximity to Properties n/a n/a 15) Dust n/a n/a 16) Visual Impact on Properties Fair Good Based on the preceding grid, the subject properties will improve in 9 of the 16 categories. Market participants generally recognize that roads need replacing when nearing the end of a long economic life. A typical buyer in the subject market commonly prefers a good condition paved road surface road versus an inferior condition paved road surface. In addition to visual benefit, new street improvements provide better and safer use for pedestrians (biking, walking, stroller, rollerblading, etc.) and drivers. The new streets will enhance potential for re-development and/or updating the current properties. Properties that indirectly/directly abut or have driveways/access that exit on the new street will benefit. Based on past appraisals, experience, and general market information, it is not uncommon for properties similar to those in the subject market to realize an increase in price for new street improvements. Page 4 NageII Appraisal Incorporated I 952.544.8966 Discussion of Market Benefit — Continued Given the scope of the project, the age/quality/condition of houses, properties in the area with newer street improvements could see an average price benefit of: • Single family (street, poor/fair condition) $10,000 to $14,000 per buildable lot • Single family (street, average condition) $7,000 to $10,000 per buildable lot The average condition street is from Valley View Road to Paiute Pass on Sally Lane. This area was repaved in 2015, but has no new road base. Note: Homes that have frontage on a new street and frontage on a street not within the project (i.e. a corner lot) would have a benefit of half the amount above if the driveway exists onto a project street or 25% of the amount above if no driveway on a project street. Given the scope of the project, the age/quality/condition of houses, properties in the area with newer retaining wall improvements and streets could see an average price benefit of: • Single family (street & retaining wall, poor/fair condition) $12,000 to $18,000 per buildable lot The above is for properties that don't have a retaining wall in front, but one across the street. The retaining wall is necessary for the road to function. Note: Homes that have frontage on a new street and frontage on a street not within the project (i.e. a corner lot) would have a benefit of half the amount above if the driveway exists onto a project street or 25% of the amount above if no driveway on a project street. Nagel) Appraisal Incorporated I 952.544.8966 Page 5 CONCLUSION The benefit amount noted above should not be construed or relied on as being an appraisal, but are general observations based on the overall market. If an appraisal were made on the individual properties, the actual benefit amount could vary from market observations above. If you have additional questions, please do not hesitate to contact us. Sincerely, Ethan Waytas, MAI William R. Waytas, SRA Certified General MN 40368613 Certified General MN 4000813 Enclosures: Location Map, Aerial Map View of Project, Subject Photos, Qualifications www.nagellmn.com Page 6 NagelI Appraisal Incorporated I 952.544.8966 I Eeire _ gea Delwood — PVIRlite \ L L) Mehtomedl 12 1 'Pine Springs WASHINGTON 30 Hidden le to "RIM Lire W .North Oaks kten Loretto Lek Lal;Broo R ark Res ence Mantel Plf iker. Perk Re H E 11., I 3 (10 Long Lek 'Stubbs Bey apa Hi 61 WMA0>i nelaTAI4nt° Tonka Bay,?, Deephaven. Shore~eLood` 1Y Excelatcrv, FrtmaWashla I - Heights Park Ku rL aroundhouza Ictoria Wooden( MMnetonTta q,`,1 tats Report S. u • eel Markle en Q 112 "Prairie If) +Flying Cloud a el Carmel *Perk teglonal4 Ce.--,-- nt Lake nal Park • —= redesen Park • Bredesen Park Creek Vallmr_Per10 Heights Park irr I I Mc0 eal aka Per izt R 01 7 fic—T- % 71- i ''' y,.. 1 1%-L— . 1 i----, will n (1 -- w.rowo ,, Li 11 , —.JI. 4,_.,,,rk H 1 sp ,A 1., 1 1 . . .)1 th=S 1 n _ ii 11=2 a. f I :r..k y. ,164; Braemar jl Park I " , LOCATION MAP Nagel! Appraisal Incorporated 1 952.544.8966 Page 7 AERIAL VIEW OF PROJECT MAP *Red line reflects the project street areas Page 8 NageII Appraisal Incorporated 1952.544.8966 Street scene Street scene Street scene Street scene SUBJECT PHOTOGRAPHS NageII Appraisal Incorporated 1952.544.8966 Page 9 Subject Photographs — continued N.,__. . ',....„..z...,-', ''',,..44';1!,1/0.•;.---,, ' -.41.'‘.:.' 4 ...i.'-'n ..... :. • r_ . ..:',.• 1 Street scene ,-._ - . ilifigilliA • ' I- 4. .'.. , -.v. ... . ,, .,. . ' V . 4 • ''' "' Street scene Ili ,, -: .,..,. '4..-01;":-'....:': • ''. *: v/ . i ... .•-• :N1;,- //-- u I " , ,... ._,..: ,-,, :, ., ,-,../....,. '.-,-*:_'''' Street scene ." Wi' -.„.... House within project area Page 10 Nagell Appraisal Incorporated 1 952.544 8966 Street scene House within project area Street scene 11611MIW • e,t Street scene Subject Photographs — continued Nagell Appraisal Incorporated I 952.544.8966 Page 11 NageII Appraisal Incorporated 1952.544.8966 NageII Appraisal Incorporated I 952.544.8966 QUALIFICATIONS Appraisal Experience Presently and since 2006 Ethan Waytas, MAI has been employed as an employee of Nagell Appraisal Incorporated, an independent appraisal firm (10 employees) who annually prepare 1,500 +1- appraisal reports of all types. He is currently a full time licensed certified general real estate appraiser, partner, and director of the company's IT department. Properties appraised: • Commercial - low and high-density multi-family, retail, office, industrial, restaurant, church, strip- mall, fast-food, convenience stores, auto-service and repair, cinema, numerous special use properties, golf courses, and subdivision analysis. • Residential — single-family residences, hobby farms, lakeshore, condominiums, townhouses, REO and land. • Eminent Domain — extensive partial and total acquisition appraisal services provided to numerous governmental agencies and private owners. • Special Assessment — numerous street improvement and utilities projects for both governmental and private owners. • Clients - served include banks, savings and loan associations, trust companies, corporations, governmental bodies, relocation companies, attorneys, REO companies, accountants and private individuals. • Area of Service - most appraisal experience is in the greater Twin Cities Metro Area (typically an hour from downtown metro). Numerous assignments throughout Minnesota. Testimony Court, commission, mediation testimony, etc. has been given Professional Membership, Associations & Affiliations License: Certified General Real Property Appraiser, MN License #40368613 Holds the MAI designation from the Appraisal Institute Education Graduate of the University of Minnesota: College of Science and Engineering, Twin Cities Campus Bachelor of Science in Computer Science, with distinction, 3.86 GPA. General & Professional Practice Courses & Seminars Basic Appraisal Procedures Basic Appraisal Principles 2012-2013 15-Hour National Uniform Standards of Professional Appraisal Practice General Appraiser Sales Comparison Approach General Appraiser Income Approach — Part 1 General Appraiser Income Approach — Part 2 Advanced Income Capitalization General Appraiser Report Writing and Case Studies Real Estate Finance, Statistics and Valuation Modeling 2014-2015 7-hour National USPAP Update Course General Appraiser Site Valuation & Cost Approach Advanced Market Analysis and Highest & Best Use Advanced Concepts & Case Studies Quantitative Analysis Page 14 Nagell Appraisal Incorporated I 952.544.8966 Curriculum Vitae -- continued Appraisal Experience Presently and since 1985, William R. Waytas has been employed as a full time real estate appraiser. Currently a partner and President of the Nagell Appraisal & Consulting, an independent appraisal firm (10 employees) who annually prepare 1,500 +/- appraisal reports of all types. Mr. Waytas was employed with Iver C. Johnson & Company, Ltd., Phoenix, AZ from 1985 to 1987. Properties appraised: • Commercial - low and high-density multi-family, retail, office, industrial, restaurant, church, strip- mall, fast-food, convenience stores, auto-service and repair, hotel, hotel water park, bed & breakfast, cinema, marina, numerous special use properties, and subdivision analysis. • Residential — single-family residences, hobby farms, lakeshore, condominiums, townhouses, REO and land. • Eminent Domain — extensive partial and total acquisition appraisal services provided to numerous governmental agencies and private owners. • Special Assessment — numerous street improvement and utilities projects for both governmental and private owners. • Review — residential, commercial and land development. • Clients - served include banks, savings and loan associations, trust companies, corporations, governmental bodies, relocation companies, attorneys, REO companies, accountants and private individuals. • Area of Service - most appraisal experience is in the greater Twin Cities Metro Area (typically an hour from downtown metro). Numerous assignments throughout Minnesota. Professional Membership, Associations & Affiliations License: Certified General Real Property Appraiser, MN License #4000813. Appraisal Institute: SRA, Senior Residential Appraiser Designation, General Associate Member Employee Relocation Council: CRP Certified Relocation Professional Designation. International Right-Of-Way Association: Member HUD/FHA: On Lender Selection Roster and Review Appraiser DNR: Approved appraiser for Department of Natural Resources Testimony Court, deposition, commission, arbitration & administrative testimony given. Mediator Court appointed in Wright County. Committees President of Metro/Minnesota Chapter, 2002, Appraisal Institute. Chairman of Residential Admissions, Metro/MN Chapter, Al. Chairman Residential Candidate Guidance, Metro/Minnesota Chapter, Al. Elm Creek Watershed Commission, Medina representative 3 years. Medina Park Commission, 3 years. Nagell Appraisal Incorporated 1952.544.8966 Page 15 Curriculum Vitae -- continued Education Graduate of Bemidji State University, Minnesota. B.S. degree in Bus. Ad. During college, summer employment in building trades (residential and commercial). Graduate of Cecil Lawter Real Estate School. Past Arizona Real Estate License. General & Professional Practice Courses & Seminars Course 101-Introduction to Appraising Real Property. Numerous Standards of Professional Practice Seminar. Fair Lending Seminar. Eminent Domain & Condemnation Appraising. Eminent Domain (An In-Depth Analysis) Property Tax Appeal Eminent Domain Business Practices and Ethics Scope of Work Construction Disturbances and Temporary Loss of Going Concern Uniform Standards for Federal Land Acquisitions (Yellow Book Seminar) Partial Interest Valuation Divided (conservation easements, historic preservation easements, life estates, subsurface rights, access easements, air rights, water rights, transferable development rights) Commercial/Industrial/Subdivision Courses & Seminars Capitalization Theory & Techniques Highest & Best Use Seminar General & Residential State Certification Review Seminar Subdivision Analysis Seminar. Narrative Report Writing Seminar (general) Advanced Income Capitalization Seminar Advanced Industrial Valuation Appraisal of Local Retail Properties Appraising Convenience Stores Analyzing Distressed Real Estate Evaluating Commercial Construction Fundamentals of Separating Real Property, Personal Property and Intangible Business Assets Residential Courses & Seminars Course 102-Applied Residential Appraising Narrative Report Writing Seminar (residential) HUD Training session local office for FHA appraisals Familiar with HUD Handbook 4150.1 REV-1 & other material from local FHA office. Appraiser/Underwriter FHA Training Residential Property Construction and Inspection Numerous other continuing education seminars for state licensing & Al Speaking Engagements Bankers Auditors Assessors Relocation (Panel Discussion) Publications Real Estate Appraisal Practice (book): Acknowledgement Articles for Finance & Commerce and Minnesota Real Estate Journal Page 16 Nagell Appraisal Incorporated 1952.544.8966 Report Type Real Estate Consulting Letter Report Subject Property Street Improvement Project Indian Hills C Neighborhood Edina, MN 55439 Client City of Edina Attn: Chad Millner, Director of Engineering 4801 West 50th Street Edina, MN 55424 Effective Date December 6, 2018 Prepared By: Ethan Waytas, MAI, Appraiser William R. Waytas, SRA, Appraiser Nagel! Appraisal Incorporated 12805 Highway 55, Suite 300 Plymouth, Minnesota 55441 Tel: 952.544.8966 I Fax: 952.544.8969 File # V1812002 NAGELL APPRAISAL INCORPORATED 12805 Highway 55 #300 Minneapolis 952-544-8966 Plymouth, MN 55441 St. Paul 651-209-6159 Established in 1968 Central Fax 952-544-8969 City of Edina December 10, 2018 Attn: Chad Millner, Director of Engineering 4801 West 50th Street Edina, MN 55424 To Chad Millner: Per your request, this is a letter report to assist the city for guidance regarding a street improvement project within Edina (see attached map for the location of the streets in the project). The project is the reconstruction of Gleason Terrace and Saint Albans Circle. This report is not an appraisal, but rather provides a preliminary opinion of a general range of market benefit, if any, for similar properties. SCOPE OF ASSIGNMENT In accordance with your request, a drive-by viewing of the properties has been made along with some general market comments regarding benefit (if any) for the proposed street improvement project as it relates to the subject market. As noted in the engagement letter, no specific sales data has been collected for this assignment. The general market comments are based on past appraisals, experience, and market information. Pictures of the streets were taken on December 6, 2018 by William Waytas. The appraiser also viewed aerial/satellite image on the county GIS website and Google street view images. A project feasibility report was provided; the conclusions and information from the report were a part of the overall consulting letter analysis. The feasibility report is retained in the appraiser's workfile. PROJECT The City of Edina is proposing to reconstruct the streets as previously noted. Per request, you desire to know the benefit (if any) as it impacts properties in the project area. Motivation for the road improvement project stems from deteriorating road surface and/or base. Secondary motivations appear to be to spot repair public utilities. NageII Appraisal Incorporated I 952.544.8966 Page 1 AREA DESCRIPTION The City of Edina is a first ring suburban community located approximately 15 minutes south of Downtown Minneapolis. The population was 47,941 as of 2010 census (an increase of 1.1% from the 2000 census). The 2016 estimated population is 51,350 (an increase of 7.1% from 2010). Commercial and industrial users are scattered throughout the city, however, major commercial (Southdale Center) is located along France Avenue South and major industrial near Highway 100 and I- 494. The remainder of the city is mostly made up of single-family residential homes. Edina has a reputation as a stable community. Access to most shopping and surrounding communities is within 5 to 15 minutes. Most existing buildings in the area range from average to good quality. Single family homes generally range in value between $300,000 and $1,000,000+ for the overall city. Within a 1/2 mile radius of the project area, the average home price over the past three years is around $705,000 (MLS statistics). Most homes are average to good quality. SUBJECT PROPERTIES The project area primarily consists of single-family residential homes. EXISTING STREETS & UTILITIES Physical Condition of the Existing Road: The existing road improvements are asphalt with road base and concrete curb and gutter. The road condition, based on the visual inspection of the streets is rated to be poor/fair. There are signs of transverse and alligator cracking, along with some areas of graveling. The streets within the project, per feasibility report, were originally constructed between 1969 and 1978. Note: The city feasibility report indicates that the PCI rating for the project area is 14 out of 100. Physical Condition of Existing Utilities: The utilities within the neighborhood are public sanitary sewer and public water. The city is proposing to update the utilities as described on the next page. Functional Design of the Road: The existing paved road is very dated, in poor/fair condition, and does have substantial large cracks. The road condition is rated to be poor to fair. There are signs of transverse and alligator cracking, along with areas of graveling. Roads in poor to fair condition do not meet the expectations of typical market participants in this suburban market for re-development, resale price, and/or updating the current uses. Overall, the existing street improvements are in fair/poor condition, are beginning to look dated and reflect likewise on the adjoining and side street properties. Page 2 Nagel! Appraisal Incorporated 1952.544.8966 PROPOSED ROAD IMPROVEMENT The city is proposing to reconstruct the streets within the project area. Per the engineering feasibility report, the existing road and base will be removed. In its place will be 8" of new road base, plus 2.5" of asphalt plus an additional 1.5" asphalt wear course. New concrete curb and gutter will be installed as needed. The report indicates the road requirements will meet a minimum 20-year pavement design life. Public utilities are not a primary part of this project. That said, the city will be putting a cured in-place liner in the sanitary sewer lines, as well as installing new fire hydrants and gate valves. Given the existing condition of the road, the proposed project is logical. If any of the above descriptions change, the benefit due to the project could differ. HIGHEST AND BEST USE The subject project area is located in the western portion of the city. The properties in the project area are single-family residential. Owners in the subject area appear to update their property as needed when site and building components wear out or become dated. Owners in the overall area commonly pave their driveways or maintain parking lots as needed, recognizing it adds value when done. Therefore, it is logical to update the road to the subject properties as needed, as these are essential property characteristics that are expected in this market. An informed buyer would consider the condition of the road and traffic flow/management. A well- constructed and good condition road provides aesthetic appeal to a property and efficient/safe traffic flow. Given a choice, a potential informed buyer would likely prefer a newer road with good traffic flow over a deteriorating road with fair traffic flow. If replacement of components of real estate near the end of their economic life in a home or building is postponed, it can be costlier in the long run; delays in replacing components can result in incurring higher interim maintenance costs and potential difficulty in marketing the property. Also, it is typical for the cost of the replacement of an improvement to increase over time. That said it is logical and prudent for market participants to update/replace dated components when needed. Therefore, the highest and best use of the surrounding properties in the project area is for the continued residential use with the proposed infrastructure improvements. NageII Appraisal Incorporated 1952.544.8966 Page 3 DISCUSSION OF MARKET BENEFIT Listed below are the factors that will be taken into consideration concerning the potential benefit to the properties. Description Existing Change Improvements 1) Road Surface Poor/Fair New, paved, good 2) Base Condition Poor/Fair New, good 3) Curb Fair to Average, concrete Replaced where appropriate 4) Drainage Average, less effective in some areas Average, drainage fixed where appropriate 5) Storm Sewer Yes Yes 6) City water Average New fire hydrants and gate valves 7) City sewer Dated New liner, 100-year life 8) Sidewalk None None 9) Street Lights Average Average 10) Functional Design of Road Dated Good 11) Traffic Management Average Average 12) Pedestrian Use (biking, walking, etc.) Fair Good 13) Median n/a n/a 14) Road Proximity to Properties n/a n/a 15) Dust n/a n/a 16) Visual Impact on Properties Fair Good Based on the preceding grid, the subject properties will improve in 9 of the 16 categories. Market participants generally recognize that roads need replacing when nearing the end of a long economic life. A typical buyer in the subject market commonly prefers a good condition paved road surface road versus an inferior condition paved road surface. In addition to visual benefit, new street improvements provide better and safer use for pedestrians (biking, walking, stroller, rollerblading, etc.) and drivers. The new streets will enhance potential for re-development and/or updating the current properties. Properties that indirectly/directly abut or have driveways/access that exit on the new street will benefit. Based on past appraisals, experience, and general market information, it is not uncommon for properties similar to those in the subject market to realize an increase in price for new street improvements. Page 4 NageII Appraisal Incorporated I 952.544.8966 Discussion of Market Benefit — Continued Given the scope of the project, the age/quality/condition of houses, properties in the area with newer street improvements could see an average price benefit of: • Single family (street) $11,000 to $15,000 per buildable lot Note: Homes that have frontage on a new street and frontage on a street not within the project (i.e. a corner lot) would have a benefit of half the amount above if the driveway exists onto a project street or 25% of the amount above if no driveway on a project street. NageII Appraisal Incorporated 1952.544.8966 Page 5 CONCLUSION The benefit amount noted above should not be construed or relied on as being an appraisal, but are general observations based on the overall market. If an appraisal were made on the individual properties, the actual benefit amount could vary from market observations above. If you have additional questions, please do not hesitate to contact us. Sincerely, Ethan Waytas, MAI William R. Waytas, SRA Certified General MN 40368613 Certified General MN 4000813 Enclosures: Location Map, Aerial Map View of Project, Subject Photos, Qualifications www.nagellmn.com Page 6 NageIl Appraisal Incorporated I 952.544.8966 Maple G vs okulll 102 obe anima hidden Corcuran as „Larahron 'ark 101 5.*kreana 21 Re rue Is -0"— krPa el Fells Per Long Lake • %talon B.y Htll • I teach 14n"twka Wooded Say :, Deephaven. orm.2,,A•E%celno, Helens Pel k Roane/hen:a Park __)oh ke B Bok P fookAla 1:11. \ In- ?‘..¨ Bear Lake IMahtoreedi Pine Springs WA SI-II NG TONS Sunfish Per. ,51.-7, den Prairie ) }Flying Cloud old nnespolk St Inturnational Airport Fort. -ttlin0 Stale Pork II alonka Towe _V I -1-13,anto 1 N,,J1 1 it -- ) _ I., 1 predesen ,f " i ' -: '-: B Par Mid Lake , -S. t ----'-' „ 7,17," taun 0,- sk.p,a4 ,-i,7---:------ .4 L, - ThCreek Valley Park -,-- Camel *Park 11 i1 Like , Edna ,605—' Lake Park at Lake nal Pork is l Hills Rd I. t A T kaamar Park ---'11 ...sifialifirr w-68t 441I1 ' ..Liii_,4.100 11 (' L_.i 1 . ' ,, .IF. Mc 1 LIFTQITIL - ' ' • ''" '.— t .,24.7 -72:.L_- I s II 11 -8 )I 7\---i I j .,c;,, wad. ll P'641?t, fr_e litts PIO _)? I i6111-61--NIN W 66th-St Lake Corrieba Park Sharma w Oak L rot; ath-si=w__ LOCATION MAP Nagell Appraisal Incorporated l 952.544.8966 Page 7 *Red line reflects the project street areas AERIAL VIEW OF PROJECT MAP Page 8 NageIl Appraisal Incorporated 1952.544.8966 SUBJECT PHOTOGRAPHS Street scene Street scene House within project area Street scene NageII Appraisal Incorporated 1 952.544.8966 Page 9 Subject Photographs — continued \ .11 . , r-, • i .... _ _ - • . .r. .f-• ,_ ..-fes'...._ 446.5.7 1: .4e -.44-rim. _ ..4•--.....-- _ - - ... . - . ill., ... k, § '., .. . . "le• , fri• . • ' 'fir',- 41 „,rt., ,tr - , • ' -•''' ' ,',4 , ,... ...- A . -.77- Street scene Street scene . .9r..7-4rr. # -- - - ' .‘ .. ''- ',,!1..4`.1 • -.-- - _., - _ ,.,. 1 1%. • • - ,:...i.,;.. ,. .. , . • - :-. .. t ' 4-:—.• - . - .:-..” . . . - . . Street scene Street scene Page 10 Nagell Appraisal Incorporated 1952.544.8966 House within project area House within project area Subject Photographs — continued NageII Appraisal Incorporated 1952.544.8966 Page 11 QUALIFICATIONS Appraisal Experience Presently and since 2006 Ethan Waytas, MAI has been employed as an employee of Nagell Appraisal Incorporated, an independent appraisal firm (10 employees) who annually prepare 1,500 +1- appraisal reports of all types. He is currently a full time licensed certified general real estate appraiser, partner, and director of the company's IT department. Properties appraised: • Commercial - low and high-density multi-family, retail, office, industrial, restaurant, church, strip- mall, fast-food, convenience stores, auto-service and repair, cinema, numerous special use properties, golf courses, and subdivision analysis. • Residential — single-family residences, hobby farms, lakeshore, condominiums, townhouses, REO and land. • Eminent Domain — extensive partial and total acquisition appraisal services provided to numerous governmental agencies and private owners. • Special Assessment — numerous street improvement and utilities projects for both governmental and private owners. • Clients - served include banks, savings and loan associations, trust companies, corporations, governmental bodies, relocation companies, attorneys, REO companies, accountants and private individuals. • Area of Service - most appraisal experience is in the greater Twin Cities Metro Area (typically an hour from downtown metro). Numerous assignments throughout Minnesota. Testimony Court, commission, mediation testimony, etc. has been given Professional Membership, Associations & Affiliations License: Certified General Real Property Appraiser, MN License #40368613 Holds the MAI designation from the Appraisal Institute Education Graduate of the University of Minnesota: College of Science and Engineering, Twin Cities Campus Bachelor of Science in Computer Science, with distinction, 3.86 GPA. General & Professional Practice Courses & Seminars Basic Appraisal Procedures Basic Appraisal Principles 2012-2013 15-Hour National Uniform Standards of Professional Appraisal Practice General Appraiser Sales Comparison Approach General Appraiser Income Approach — Part 1 General Appraiser Income Approach — Part 2 Advanced Income Capitalization General Appraiser Report Writing and Case Studies Real Estate Finance, Statistics and Valuation Modeling 2014-2015 7-hour National USPAP Update Course General Appraiser Site Valuation & Cost Approach Advanced Market Analysis and Highest & Best Use Advanced Concepts & Case Studies Quantitative Analysis Page 12 Nagell Appraisal Incorporated 1952.544.8966 Curriculum Vitae -- continued Appraisal Experience Presently and since 1985, William R. Waytas has been employed as a full time real estate appraiser. Currently a partner and President of the Nagell Appraisal & Consulting, an independent appraisal firm (10 employees) who annually prepare 1,500 +/- appraisal reports of all types. Mr. Waytas was employed with Iver C. Johnson & Company, Ltd., Phoenix, AZ from 1985 to 1987. Properties appraised: • Commercial - low and high-density multi-family, retail, office, industrial, restaurant, church, strip- mall, fast-food, convenience stores, auto-service and repair, hotel, hotel water park, bed & breakfast, cinema, marina, numerous special use properties, and subdivision analysis. • Residential — single-family residences, hobby farms, lakeshore, condominiums, townhouses, REO and land. • Eminent Domain — extensive partial and total acquisition appraisal services provided to numerous governmental agencies and private owners. • Special Assessment — numerous street improvement and utilities projects for both governmental and private owners. • Review — residential, commercial and land development. • Clients - served include banks, savings and loan associations, trust companies, corporations, governmental bodies, relocation companies, attorneys, REO companies, accountants and private individuals. • Area of Service - most appraisal experience is in the greater Twin Cities Metro Area (typically an hour from downtown metro). Numerous assignments throughout Minnesota. Professional Membership, Associations & Affiliations License: Certified General Real Property Appraiser, MN License #4000813. Appraisal Institute: SRA, Senior Residential Appraiser Designation, General Associate Member Employee Relocation Council: CRP Certified Relocation Professional Designation. International Right-Of-Way Association: Member HUD/FHA: On Lender Selection Roster and Review Appraiser DNR: Approved appraiser for Department of Natural Resources Testimony Court, deposition, commission, arbitration & administrative testimony given. Mediator Court appointed in Wright County. Committees President of Metro/Minnesota Chapter, 2002, Appraisal Institute. Chairman of Residential Admissions, Metro/MN Chapter, Al. Chairman Residential Candidate Guidance, Metro/Minnesota Chapter, Al. Elm Creek Watershed Commission, Medina representative 3 years. Medina Park Commission, 3 years. Nagell Appraisal Incorporated I 952.544.8966 Page 13 Curriculum Vitae -- continued Education Graduate of Bemidji State University, Minnesota. B.S. degree in Bus. Ad. During college, summer employment in building trades (residential and commercial). Graduate of Cecil Lawter Real Estate School. Past Arizona Real Estate License. General & Professional Practice Courses & Seminars Course 101-Introduction to Appraising Real Property. Numerous Standards of Professional Practice Seminar. Fair Lending Seminar. Eminent Domain & Condemnation Appraising. Eminent Domain (An In-Depth Analysis) Property Tax Appeal Eminent Domain Business Practices and Ethics Scope of Work Construction Disturbances and Temporary Loss of Going Concern Uniform Standards for Federal Land Acquisitions (Yellow Book Seminar) Partial Interest Valuation Divided (conservation easements, historic preservation easements, life estates, subsurface rights, access easements, air rights, water rights, transferable development rights) Commercial/Industrial/Subdivision Courses & Seminars Capitalization Theory & Techniques Highest & Best Use Seminar General & Residential State Certification Review Seminar Subdivision Analysis Seminar. Narrative Report Writing Seminar (general) Advanced Income Capitalization Seminar Advanced Industrial Valuation Appraisal of Local Retail Properties Appraising Convenience Stores Analyzing Distressed Real Estate Evaluating Commercial Construction Fundamentals of Separating Real Property, Personal Property and Intangible Business Assets Residential Courses & Seminars Course 102-Applied Residential Appraising Narrative Report Writing Seminar (residential) HUD Training session local office for FHA appraisals Familiar with HUD Handbook 4150.1 REV-1 & other material from local FHA office. Appraiser/Underwriter FHA Training Residential Property Construction and Inspection Numerous other continuing education seminars for state licensing & Al Speaking Engagements Bankers Auditors Assessors Relocation (Panel Discussion) Publications Real Estate Appraisal Practice (book): Acknowledgement Articles for Finance & Commerce and Minnesota Real Estate Journal Page 14 Nagell Appraisal Incorporated I 952.544.8966 • -. :- .-4,:-,,'- ay- • ; ii, . a---- -46;..,, ,---,. ii- r •-•_ Ir it+ I 721' el r , . , 1,_,..„ , •,.....b It. - •,.. ...1. ." ' . rn., t • '' 4.. . 1,..i t"..'il ' ,.., ' fib- R #0"" ' '1.,sso r '• -f .g a t" t r;:.4.", ...._ , r-,- 4,.21F 4C: •jr *. . r......, -, - i A. , op, tr. Art ..1 i,. 4--.r.i. 'Vito" c , p. ,I ,.. ..;,,,L-1.• . ,..;T 1 .. Lf t -1 ai. i.ti:tirl ..., 7' .._ .#1.! , _ ' 1 A • A-- J 4-44 l' ° _ - ••-• ;, • F - 711_ ' or 0.1.111 wor r„,maft. - J. I • , - . ? Report Type Real Estate Consulting Letter Report Effective Date December 6, 2018 Client City of Edina Attn: Chad Millner, Director of Engineering 4801 West 50th Street Edina, MN 55424 Subject Property Street Improvement Project Chowen Park A/B Neighborhood Edina, MN 55410 Prepared By: Ethan Waytas, MAI, Appraiser William R. Waytas, SRA, Appraiser PIP File # V1812004 Nagel! Appraisal Incorporated 12805 Highway 55, Suite 300 Plymouth, Minnesota 55441 Tel: 952.544.8966 Fax: 952.544.8969 NAGELL APPRAISAL INCORPORATED 12805 Highway 55 #300 Minneapolis 952-544-8966 Plymouth, MN 55441 St. Paul 651-209-6159 Established in 1968 Central Fax 952-544-8969 City of Edina December 10, 2018 Attn: Chad Millner, Director of Engineering 4801 West 50th Street Edina, MN 55424 To Chad Millner: Per your request, this is a letter report to assist the city for guidance regarding a street improvement project within Edina (see attached map for the location of the streets in the project). The project is the reconstruction or partial reconstruction of Ewing Avenue South, Drew Avenue South, Chowen Avenue South, Beard Avenue South, Abbott Avenue South, Zenith Avenue South, and York Avenue South. Additionally, there will be alley improvements as well. This report is not an appraisal, but rather provides a preliminary opinion of a general range of market benefit, if any, for similar properties. SCOPE OF ASSIGNMENT In accordance with your request, a drive-by viewing of the properties has been made along with some general market comments regarding benefit (if any) for the proposed street improvement project as it relates to the subject market. As noted in the engagement letter, no specific sales data has been collected for this assignment. The general market comments are based on past appraisals, experience, and market information. Pictures of the streets were taken on December 6, 2018 by William Waytas. The appraiser also viewed aerial/satellite image on the county GIS website and Google street view images. A project feasibility report was provided; the conclusions and information from the report were a part of the overall consulting letter analysis. The feasibility report is retained in the appraiser's workfile. PROJECT The City of Edina is proposing to reconstruct the streets as previously noted. Per request, you desire to know the benefit (if any) as it impacts properties in the project area. Motivation for the road improvement project stems from deteriorating road surface and/or base. Secondary motivations appear to be to improve public sidewalks, as well as spot repairing public utilities. NageII Appraisal Incorporated I 952.544.8966 Page 1 AREA DESCRIPTION The City of Edina is a first ring suburban community located approximately 15 minutes south of Downtown Minneapolis. The population was 47,941 as of 2010 census (an increase of 1.1% from the 2000 census). The 2016 estimated population is 51,350 (an increase of 7.1% from 2010). Commercial and industrial users are scattered throughout the city, however, major commercial (Southdale Center) is located along France Avenue South and major industrial near Highway 100 and I- 494. The remainder of the city is mostly made up of single-family residential homes. Edina has a reputation as a stable community. Access to most shopping and surrounding communities is within 5 to 15 minutes. Most existing buildings in the area range from average to good quality. Single family homes generally range in value between $300,000 and $1,000,000+ for the overall city. Within a 1/2 mile radius of the project area, the average home price over the past three years is around $490,000 (MLS statistics). Most homes are average to good quality. SUBJECT PROPERTIES The project area primarily consists of single-family residential homes. EXISTING STREETS & UTILITIES Physical Condition of the Existing Road: The existing road improvements are asphalt with road base. Some of the streets have concrete curb and gutter while others do not. The road condition, based on the visual inspection of the streets is rated to be poor/fair. There are signs of transverse and alligator cracking, along with some areas of graveling. The streets within the project, per feasibility report, were originally constructed between 1925 and 1960. Also within the project are gravel and concrete alleys. Note: The city feasibility report indicates that the PCI rating for the project area is 27 out of 100. Physical Condition of Existing Utilities: The utilities within the neighborhood are public sanitary sewer and public water. The city is proposing to update the utilities as described on the next page. Functional Design of the Road: The existing paved road is very dated, in poor/fair condition, and does have substantial large cracks. The road condition is rated to be poor to fair. There are signs of transverse and alligator cracking, along with areas of graveling. Roads in poor to fair condition do not meet the expectations of typical market participants in this suburban market for re-development, resale price, and/or updating the current uses. Overall, the existing street improvements are in fair/poor condition, are beginning to look dated and reflect likewise on the adjoining and side street properties. In addition, gravel alleys are generally considered to be below market standards. Within the city, and even within the project, there are concrete alleys, which are generally considered to be more appealing. Page 2 Nagell Appraisal Incorporated 1952.544.8966 PROPOSED ROAD IMPROVEMENT The city is proposing to reconstruct the streets within the project area. Per the engineering feasibility report, the existing road and base will be removed. In its place will be 8" of new road base, plus 2.5" of asphalt plus an additional 1.5" asphalt wear course. New concrete curb and gutter will be installed as well (or replaced as needed on streets with concrete curb and gutter). The report indicates the road requirements will meet a minimum 20-year pavement design life. The roads will be 27', except for Beard Avenue South, which will be 24'. This is necessary to construct a new sidewalk. The streets within the project are being reduced in width from 28'-30' down to 24' to 27'. In addition to the streets, some residents requested that the gravel alleys be paved with asphalt. This will improve access and maintenance of the alleys. The city will also make drainage improvements as well. Note: The concrete alleys are not part of this project. Public utilities are not a primary part of this project. That said, the city will be putting a cured in-place liner in the sanitary sewer lines, as well as updating all the water mains and services. Given the existing condition of the road, the proposed project is logical. If any of the above descriptions change, the benefit due to the project could differ. HIGHEST AND BEST USE The subject project area is located in the eastern portion of the city. The properties in the project area are single-family residential. Owners in the subject area appear to update their property as needed when site and building components wear out or become dated. Owners in the overall area commonly pave their driveways or maintain parking lots as needed, recognizing it adds value when done. Therefore, it is logical to update the road to the subject properties as needed, as these are essential property characteristics that are expected in this market. An informed buyer would consider the condition of the road and traffic flow/management. A well- constructed and good condition road provides aesthetic appeal to a property and efficient/safe traffic flow. Given a choice, a potential informed buyer would likely prefer a newer road with good traffic flow over a deteriorating road with fair traffic flow. If replacement of components of real estate near the end of their economic life in a home or building is postponed, it can be costlier in the long run; delays in replacing components can result in incurring higher interim maintenance costs and potential difficulty in marketing the property. Also, it is typical for the cost of the replacement of an improvement to increase over time. That said it is logical and prudent for market participants to update/replace dated components when needed. Therefore, the highest and best use of the surrounding properties in the project area is for the continued residential use with the proposed infrastructure improvements. NageII Appraisal Incorporated 1952.544.8966 Page 3 DISCUSSION OF MARKET BENEFIT Listed below are the factors that will be taken into consideration concerning the potential benefit to the properties. Description Existing Change Improvements 1) Road Surface Poor/Fair; gravel alleys New, paved, good; paved alleys 2) Base Condition Poor/Fair New, good 3) Curb None, Fair to Average, concrete New or replaced where appropriate 4) Drainage Average, less effective in some areas Average, drainage fixed where appropriate 5) Storm Sewer Yes Yes 6) City water Dated New 7) City sewer Dated New liner, 100-year life 8) Sidewalk Concrete in areas, average Concrete in areas, average 9) Street Lights Average Average 10) Functional Design of Road Dated Good 11) Traffic Management Average Average 12) Pedestrian Use (biking, walking, etc.) Fair Good 13) Median n/a n/a 14) Road Proximity to Properties n/a n/a 15) Dust n/a n/a 16) Visual Impact on Properties Fair Good Based on the preceding grid, the subject properties will improve in 9 of the 16 categories. Market participants generally recognize that roads need replacing when nearing the end of a long economic life. A typical buyer in the subject market commonly prefers a good condition paved road surface road versus an inferior condition paved road surface. In addition to visual benefit, new street improvements provide better and safer use for pedestrians (biking, walking, stroller, rollerblading, etc.) and drivers. The new streets will enhance potential for re-development and/or updating the current properties. Properties that indirectly/directly abut or have driveways/access that exit on the new street will benefit. Based on past appraisals, experience, and general market information, it is not uncommon for properties similar to those in the subject market to realize an increase in price for new street improvements. Page 4 NageII Appraisal Incorporated I 952.544.8966 Discussion of Market Benefit — Continued Given the scope of the project, the age/quality/condition of houses, properties in the area with newer street improvements could see an average price benefit of: • Single family (street) $7,500 to $12,000 per buildable lot Note: Homes that have frontage on a new street and frontage on a street not within the project (i.e. a corner lot) would have a benefit of half the amount above if the driveway exists onto a project street or 25% of the amount above if no driveway on a project street. Given the scope of the project, the age/quality/condition of houses, properties in the area with newer alley improvements could see an average price benefit of: • Single family (alley) $2,500 to $4,500 per buildable lot NageII Appraisal Incorporated I 952.544.8966 Page 5 CONCLUSION The benefit amount noted above should not be construed or relied on as being an appraisal, but are general observations based on the overall market. If an appraisal were made on the individual properties, the actual benefit amount could vary from market observations above. If you have additional questions, please do not hesitate to contact us. Sincerely, Ethan Waytas, MAI William R. Waytas, SRA Certified General MN 40368613 Certified General MN 4000813 Enclosures: Location Map, Aerial Map View of Project, Subject Photos, Qualifications www.nagellmn.com Page 6 NageIl Appraisal Incorporated I 952.544.8966 LOCATION MAP Page 7 Nagel! Appraisal Incorporated 1952.544.8966 KkliEtrd • r r Lake ,Rice lake Galf-TeiraC LakOreig-f) f= cCir L — Prl Yf LI Richilek Pie Lek Lake Cornelis shPerk - _ _ - i Parkes r—r— loss! Center le Itesnanao La Circle Pines .Corcoran La, Sarah Independence Maple Plain .Orono H E N N E P Long Lake MNord Arm gay ll Whyzata West Ann- El Ifi k etona Mound Spring Park' Minn kr lake rtriste Itfinnoodta oDeeph en Tonka Bay. ExceIetaI Shorewood—Aria/nips Lake Lotus Lake Minnewasbla Lake Cite Lam MAke Bear Beach Brooklyn Park Eagle Lake Pi Lake Lrosby Lake 5 Spring Lake Park. Mounds Yew. Friciley-o Pleasant Lake .Shoreuiew *Arden Hills White Beer Lake. , Wine ear Goose Lake Mahlomedi Lake 0 WASHINGTON r- Oak Park Heights BaYkin .Lake Elmo ...___iLhaapleantorl. „North =11-4 "b ,MINN SOT A Valley eapoll1regs . : New Yednals* Brighton I Heights .:.- , R A E Y ? obbinsda *Columiilik.a• 4' ---=_, -.c lights 4=" '61i RkIIka.ilie i Canada St.A tinny ' ° T . \ New II e. Crystal two) ine La I N _.Cold Paul Newport St, Paul near Park Cottage ;rove .Grove leighte Lake LPigs W Eye Aftor .a Stillwater Bloomington. • riN1wILJ uuuL LILJLILTAALTLILJAJLLTIALII L I Illnneh •Arden\1 k Perk •' ' PearL • Tupa Park it E N▪ . Grass -1...)kr t 62 L[ W E easy Park ,Sal ,se if Medina Plymouth° North F AERIAL VIEW OF PROJECT MAP *Red line reflects the project street areas *Yellow line reflects the project alley areas Page 8 Nagel! Appraisal Incorporated 952.544.8966 Street scene Street scene House within project area Street scene SUBJECT PHOTOGRAPHS NageII Appraisal Incorporated I 952.544.8966 Page 9 Subject Photographs - continued . ,.p, House r within project area ,.; .. . --. - _ 'or . ..., •----,--...---- ._ _ : Street scene -...r.,,,j,..T • I v., . •••••••i'l,'.1:- i i , - Street scene (ff Or.'` • ..r. ..- ,... ...,Z.-; .....4...--- . r.....40°...' ' - • .7. ..";...':if-.-. --" - 0/11E7 . -:-...,--141,. • •••..-0.• - 0-1::•#44.°. lk -.0 'P.' . ,- . . --t ••-:!`A.:111-.4 •4..-- .-4011 -.,,,,i........ -pall., ......,o ... -‘..k7, .., -.4.- ..., - , 41 Street scene Page 10 Nagell Appraisal Incorporated 1952.544.8966 Street scene Street scene Street scene Street scene Subject Photographs — continued Nagel) Appraisal Incorporated 952.544.8966 Page 11 QUALIFICATIONS Appraisal Experience Presently and since 2006 Ethan Wavtas, MAI has been employed as an employee of Nagell Appraisal Incorporated, an independent appraisal firm (10 employees) who annually prepare 1,500 +1- appraisal reports of all types. He is currently a full time licensed certified general real estate appraiser, partner, and director of the company's IT department. Properties appraised: • Commercial - low and high-density multi-family, retail, office, industrial, restaurant, church, strip- mall, fast-food, convenience stores, auto-service and repair, cinema, numerous special use properties, golf courses, and subdivision analysis. • Residential — single-family residences, hobby farms, lakeshore, condominiums, townhouses, REO and land. • Eminent Domain — extensive partial and total acquisition appraisal services provided to numerous governmental agencies and private owners. • Special Assessment — numerous street improvement and utilities projects for both governmental and private owners. • Clients - served include banks, savings and loan associations, trust companies, corporations, governmental bodies, relocation companies, attorneys, REO companies, accountants and private individuals. • Area of Service - most appraisal experience is in the greater Twin Cities Metro Area (typically an hour from downtown metro). Numerous assignments throughout Minnesota. Testimony Court, commission, mediation testimony, etc. has been given Professional Membership, Associations & Affiliations License: Certified General Real Property Appraiser, MN License #40368613 Holds the MAI designation from the Appraisal Institute Education Graduate of the University of Minnesota: College of Science and Engineering, Twin Cities Campus Bachelor of Science in Computer Science, with distinction, 3.86 GPA. General & Professional Practice Courses & Seminars Basic Appraisal Procedures Basic Appraisal Principles 2012-2013 15-Hour National Uniform Standards of Professional Appraisal Practice General Appraiser Sales Comparison Approach General Appraiser Income Approach — Part 1 General Appraiser Income Approach — Part 2 Advanced Income Capitalization General Appraiser Report Writing and Case Studies Real Estate Finance, Statistics and Valuation Modeling 2014-2015 7-hour National USPAP Update Course General Appraiser Site Valuation & Cost Approach Advanced Market Analysis and Highest & Best Use Advanced Concepts & Case Studies Quantitative Analysis Page 12 Nagell Appraisal Incorporated I 952.544.8966 Curriculum Vitae -- continued Appraisal Experience Presently and since 1985, William R. Waytas has been employed as a full time real estate appraiser. Currently a partner and President of the Nagell Appraisal & Consulting, an independent appraisal firm (10 employees) who annually prepare 1,500 +I- appraisal reports of all types. Mr. Waytas was employed with Iver C. Johnson & Company, Ltd., Phoenix, AZ from 1985 to 1987. Properties appraised: • Commercial - low and high-density multi-family, retail, office, industrial, restaurant, church, strip- mall, fast-food, convenience stores, auto-service and repair, hotel, hotel water park, bed & breakfast, cinema, marina, numerous special use properties, and subdivision analysis. • Residential — single-family residences, hobby farms, lakeshore, condominiums, townhouses, REO and land. • Eminent Domain — extensive partial and total acquisition appraisal services provided to numerous governmental agencies and private owners. • Special Assessment — numerous street improvement and utilities projects for both governmental and private owners. • Review — residential, commercial and land development. • Clients - served include banks, savings and loan associations, trust companies, corporations, governmental bodies, relocation companies, attorneys, REO companies, accountants and private individuals. • Area of Service - most appraisal experience is in the greater Twin Cities Metro Area (typically an hour from downtown metro). Numerous assignments throughout Minnesota. Professional Membership, Associations & Affiliations License: Certified General Real Property Appraiser, MN License #4000813. Appraisal Institute: SRA, Senior Residential Appraiser Designation, General Associate Member Employee Relocation Council: CRP Certified Relocation Professional Designation. International Right-Of-Way Association: Member HUD/FHA: On Lender Selection Roster and Review Appraiser DNR: Approved appraiser for Department of Natural Resources Testimony Court, deposition, commission, arbitration & administrative testimony given. Mediator Court appointed in Wright County. Committees President of Metro/Minnesota Chapter, 2002, Appraisal Institute. Chairman of Residential Admissions, Metro/MN Chapter, Al. Chairman Residential Candidate Guidance, Metro/Minnesota Chapter, Al. Elm Creek Watershed Commission, Medina representative 3 years. Medina Park Commission, 3 years. Nagell Appraisal Incorporated I 952.544.8966 Page 13 Curriculum Vitae -- continued Education Graduate of Bemidji State University, Minnesota. B.S. degree in Bus. Ad. During college, summer employment in building trades (residential and commercial). Graduate of Cecil Lawter Real Estate School. Past Arizona Real Estate License. General & Professional Practice Courses & Seminars Course 101-Introduction to Appraising Real Property. Numerous Standards of Professional Practice Seminar. Fair Lending Seminar. Eminent Domain & Condemnation Appraising. Eminent Domain (An In-Depth Analysis) Property Tax Appeal Eminent Domain Business Practices and Ethics Scope of Work Construction Disturbances and Temporary Loss of Going Concern Uniform Standards for Federal Land Acquisitions (Yellow Book Seminar) Partial Interest Valuation Divided (conservation easements, historic preservation easements, life estates, subsurface rights, access easements, air rights, water rights, transferable development rights) Commercial/Industrial/Subdivision Courses & Seminars Capitalization Theory & Techniques Highest & Best Use Seminar General & Residential State Certification Review Seminar Subdivision Analysis Seminar. Narrative Report Writing Seminar (general) Advanced Income Capitalization Seminar Advanced Industrial Valuation Appraisal of Local Retail Properties Appraising Convenience Stores Analyzing Distressed Real Estate Evaluating Commercial Construction Fundamentals of Separating Real Property, Personal Property and Intangible Business Assets Residential Courses & Seminars Course 102-Applied Residential Appraising Narrative Report Writing Seminar (residential) HUD Training session local office for FHA appraisals Familiar with HUD Handbook 4150.1 REV-1 & other material from local FHA office. Appraiser/Underwriter FHA Training Residential Property Construction and Inspection Numerous other continuing education seminars for state licensing & Al Speaking Engagements Bankers Auditors Assessors Relocation (Panel Discussion) Publications Real Estate Appraisal Practice (book): Acknowledgement Articles for Finance & Commerce and Minnesota Real Estate Journal Page 14 NagelI Appraisal Incorporated 1952.544.8966 Report Type Real Estate Consulting Letter Report Effective Date December 6, 2018 Prepared By: Ethan Waytas, MAI, Appraiser William R. Waytas, SRA, Appraise Nagel! Appraisal Incorporated 12805 Highway 55, Suite 300 Plymouth, Minnesota 55441 Tel: 952.544.8966 I Fax: 952.544.8969 Client Subject Property City of Edina Attn: Chad Miliner, Director of Engineering 4801 West 50th Street Edina, MN 55424 Street Improvement Project Todd Park E Neighborhood Edina, MN 55436 File # V1812003 NAGELL APPRAISAL INCORPORATED 12805 Highway 55 #300 Minneapolis 952-544-8966 Plymouth, MN 55441 St. Paul 651-209-6159 Established in 1968 Central Fax 952-544-8969 City of Edina December 10, 2018 Attn: Chad Millner, Director of Engineering 4801 West 50th Street Edina, MN 55424 To Chad Millner: Per your request, this is a letter report to assist the city for guidance regarding a street improvement project within Edina (see attached map for the location of the streets in the project). The project is the reconstruction of Brookside Terrance and Motor Street. This report is not an appraisal, but rather provides a preliminary opinion of a general range of market benefit, if any, for similar properties. SCOPE OF ASSIGNMENT In accordance with your request, a drive-by viewing of the properties has been made along with some general market comments regarding benefit (if any) for the proposed street improvement project as it relates to the subject market. As noted in the engagement letter, no specific sales data has been collected for this assignment. The general market comments are based on past appraisals, experience, and market information. Pictures of the streets were taken on December 6, 2018 by William Waytas. The appraiser also viewed aerial/satellite image on the county GIS website and Google street view images. A project feasibility report was provided; the conclusions and information from the report were a part of the overall consulting letter analysis. The feasibility report is retained in the appraiser's workfile. PROJECT The City of Edina is proposing to reconstruct the streets as previously noted. Per request, you desire to know the benefit (if any) as it impacts properties in the project area. Motivation for the road improvement project stems from a desire to convert the last (per report) gravel street in the city to a paved roadway. Secondary motivations appear to be to spot repair public utilities. NageII Appraisal Incorporated 1952.544.8966 Page 1 AREA DESCRIPTION The City of Edina is a first ring suburban community located approximately 15 minutes south of Downtown Minneapolis. The population was 47,941 as of 2010 census (an increase of 1.1% from the 2000 census). The 2016 estimated population is 51,350 (an increase of 7.1% from 2010). Commercial and industrial users are scattered throughout the city, however, major commercial (Southdale Center) is located along France Avenue South and major industrial near Highway 100 and I- 494. The remainder of the city is mostly made up of single-family residential homes. Edina has a reputation as a stable community. Access to most shopping and surrounding communities is within 5 to 15 minutes. Most existing buildings in the area range from average to good quality. Single family homes generally range in value between $300,000 and $1,000,000+ for the overall city. Within a 1/2 mile radius of the project area, the average home price over the past three years is around $475,000 (MLS statistics). Most homes are average to good quality. SUBJECT PROPERTIES The project area primarily consists of single-family residential homes. EXISTING STREETS & UTILITIES Physical Condition of the Existing Road: The existing road improvements are gravel with no curb, gutter, or storm sewer. The streets within the project, per feasibility report, were originally constructed between 1910 and 1927. Note: The city feasibility report indicates that the PCI rating for the project area is 0 out of 100. Physical Condition of Existing Utilities: The utilities within the neighborhood are public sanitary sewer and public water. The city is proposing to update the utilities as described on the next page. Functional Design of the Road: The existing road is gravel, very dated, and in poor/fair condition Roads in poor to fair condition do not meet the expectations of typical market participants in this suburban market for re-development, resale price, and/or updating the current uses. Overall, the existing street improvements are in fair/poor condition, are beginning to look dated and reflect likewise on the adjoining and side street properties. Note: Per city, this is the last gravel street in Edina. The market clearly excepts paved roadways. Page 2 Nagel! Appraisal Incorporated I 952.544.8966 PROPOSED ROAD IMPROVEMENT The city is proposing to reconstruct the streets within the project area. Per the engineering feasibility report, the existing road and base will be removed. In its place will be 8" of new road base, plus 2.5" of asphalt plus an additional 1.5" asphalt wear course. New concrete curb and gutter will be installed as well, along with new storm sewer. The report indicates the road requirements will meet a minimum 20- year pavement design life. Note: The road width will be 15' to 20', which is comparable to the before situation. Public utilities are not a primary part of this project. That said, the city will be putting a cured in-place liner in the sanitary sewer lines, as well as constructing and installing new fire hydrants and gate valves. Given the existing condition of the road, the proposed project is logical. If any of the above descriptions change, the benefit due to the project could differ. HIGHEST AND BEST USE The subject project area is located in the northern portion of the city. The properties in the project area are single-family residential. Owners in the subject area appear to update their property as needed when site and building components wear out or become dated. Owners in the overall area commonly pave their driveways or maintain parking lots as needed, recognizing it adds value when done. Therefore, it is logical to update the road to the subject properties as needed, as these are essential property characteristics that are expected in this market. An informed buyer would consider the condition of the road and traffic flow/management. A well- constructed and good condition road provides aesthetic appeal to a property and efficient/safe traffic flow. Given a choice, a potential informed buyer would likely prefer a newer road with good traffic flow over a deteriorating road with fair traffic flow. If replacement of components of real estate near the end of their economic life in a home or building is postponed, it can be costlier in the long run; delays in replacing components can result in incurring higher interim maintenance costs and potential difficulty in marketing the property. Also, it is typical for the cost of the replacement of an improvement to increase over time. That said it is logical and prudent for market participants to update/replace dated components when needed. Therefore, the highest and best use of the surrounding properties in the project area is for the continued residential use with the proposed infrastructure improvements. NageII Appraisal Incorporated I 952.544.8966 Page 3 DISCUSSION OF MARKET BENEFIT Listed below are the factors that will be taken into consideration concerning the potential benefit to the properties. Description Existing Change Improvements 1) Road Surface Gravel New, paved, good 2) Base Condition Poor/Fair New, good 3) Curb None New, concrete, good 4) Drainage Fair to Average Good 5) Storm Sewer None New 6) City water Average New hydrants, gate valves 7) City sewer Dated New liner, 100-year life 8) Sidewalk None None 9) Street Lights Average Average 10) Functional Design of Road Dated Good 11) Traffic Management Average Average 12) Pedestrian Use (biking, walking, etc.) Fair Good 13) Median n/a n/a 14) Road Proximity to Properties n/a n/a 15) Dust n/a n/a 16) Visual Impact on Properties Fair Good Based on the preceding grid, the subject properties will improve in 10 of the 16 categories. Market participants generally recognize that roads need replacing when nearing the end of a long economic life. A typical buyer in the subject market commonly prefers a good condition paved road surface road versus an inferior condition paved road surface. In addition to visual benefit, new street improvements provide better and safer use for pedestrians (biking, walking, stroller, rollerblading, etc.) and drivers. The new streets will enhance potential for re-development and/or updating the current properties. Properties that indirectly/directly abut or have driveways/access that exit on the new street will benefit. Based on past appraisals, experience, and general market information, it is not uncommon for properties similar to those in the subject market to realize an increase in price for new street improvements. Page 4 NageII Appraisal Incorporated I 952.544.8966 Discussion of Market Benefit — Continued Given the scope of the project, the age/quality/condition of houses, properties in the area with newer street improvements could see an average price benefit of: • Single family (street) $12,000 to $15,000 per buildable lot Note: Homes that have frontage on a new street and frontage on a street not within the project (i.e. a corner lot) would have a benefit of half the amount above if the driveway exists onto a project street or 25% of the amount above if no driveway on a project street. NageII Appraisal Incorporated I 952.544.8966 Page 5 CONCLUSION The benefit amount noted above should not be construed or relied on as being an appraisal, but are general observations based on the overall market. If an appraisal were made on the individual properties, the actual benefit amount could vary from market observations above. If you have additional questions, please do not hesitate to contact us. Sincerely, Ethan Waytas, MAI William R. Waytas, SRA Certified General MN 40368613 Certified General MN 4000813 Enclosures: Location Map, Aerial Map View of Project, Subject Photos, Qualifications www.nagellmn.com Page 6 Nagel! Appraisal Incorporated I 952.544.8966 --trb Lge=sh ake. — S1--1 Meedoetvtok Lake LOCATION MAP 3 1L 11 N n---- f Pa G. o 1IL rz Park t4 il aid orT E Li_ _, -] ,., if 1 '', .,--21 'ia. J , _ '''- ' i _1,___11 1-4 „ ,t 1-7- .)70 .1 i - 1 ., .3 g 7 — v, ,k. I. -. li ,., ; irigmand. r ri I v--- rpf'g i ' 11 i 11_. 4 I 7 b” j ICIJS''.71 r[.,, IR 'AU ____LII,e- PI11;' L - r Vetrir Peat -11 Page 7 Nagel! Appraisal Incorporated I 952.544.8966 *Red line reflects the project street areas AERIAL VIEW OF PROJECT MAP Page 8 Nagel! Appraisal Incorporated 1952.544.8966 NageII Appraisal Incorporated I 952.544.8966 Street scene House within project area House within project area Subject Photographs — continued Page 10 Nagel! Appraisal Incorporated 1952.544.8966 QUALIFICATIONS Appraisal Experience Presently and since 2006, Ethan Waytas, MAI has been employed as an employee of Nagell Appraisal Incorporated, an independent appraisal firm (10 employees) who annually prepare 1,500 +1- appraisal reports of all types. He is currently a full time licensed certified general real estate appraiser, partner, and director of the company's IT department. Properties appraised: • Commercial - low and high-density multi-family, retail, office, industrial, restaurant, church, strip- mall, fast-food, convenience stores, auto-service and repair, cinema, numerous special use properties, golf courses, and subdivision analysis. • Residential — single-family residences, hobby farms, lakeshore, condominiums, townhouses, REO and land. • Eminent Domain — extensive partial and total acquisition appraisal services provided to numerous governmental agencies and private owners. • Special Assessment — numerous street improvement and utilities projects for both governmental and private owners. • Clients - served include banks, savings and loan associations, trust companies, corporations, governmental bodies, relocation companies, attorneys, REO companies, accountants and private individuals. • Area of Service - most appraisal experience is in the greater Twin Cities Metro Area (typically an hour from downtown metro). Numerous assignments throughout Minnesota. Testimony Court, commission, mediation testimony, etc. has been given Professional Membership, Associations & Affiliations License: Certified General Real Property Appraiser, MN License #40368613 Holds the MAI designation from the Appraisal Institute Education Graduate of the University of Minnesota: College of Science and Engineering, Twin Cities Campus Bachelor of Science in Computer Science, with distinction, 3.86 GPA. General & Professional Practice Courses & Seminars Basic Appraisal Procedures Basic Appraisal Principles 2012-2013 15-Hour National Uniform Standards of Professional Appraisal Practice General Appraiser Sales Comparison Approach General Appraiser Income Approach — Part 1 General Appraiser Income Approach — Part 2 Advanced Income Capitalization General Appraiser Report Writing and Case Studies Real Estate Finance, Statistics and Valuation Modeling 2014-2015 7-hour National USPAP Update Course General Appraiser Site Valuation & Cost Approach Advanced Market Analysis and Highest & Best Use Advanced Concepts & Case Studies Quantitative Analysis Nagell Appraisal Incorporated 1952.544.8966 Page 11 Curriculum Vitae -- continued Appraisal Experience Presently and since 1985, William R. Waytas has been employed as a full time real estate appraiser. Currently a partner and President of the Nagell Appraisal & Consulting, an independent appraisal firm (10 employees) who annually prepare 1,500 +/- appraisal reports of all types. Mr. Waytas was employed with Iver C. Johnson & Company, Ltd., Phoenix, AZ from 1985 to 1987. Properties appraised: • Commercial - low and high-density multi-family, retail, office, industrial, restaurant, church, strip- mall, fast-food, convenience stores, auto-service and repair, hotel, hotel water park, bed & breakfast, cinema, marina, numerous special use properties, and subdivision analysis. • Residential — single-family residences, hobby farms, lakeshore, condominiums, townhouses, REO and land. • Eminent Domain — extensive partial and total acquisition appraisal services provided to numerous governmental agencies and private owners. • Special Assessment — numerous street improvement and utilities projects for both governmental and private owners. • Review — residential, commercial and land development. • Clients - served include banks, savings and loan associations, trust companies, corporations, governmental bodies, relocation companies, attorneys, REO companies, accountants and private individuals. • Area of Service - most appraisal experience is in the greater Twin Cities Metro Area (typically an hour from downtown metro). Numerous assignments throughout Minnesota. Professional Membership, Associations & Affiliations License: Certified General Real Property Appraiser, MN License #4000813. Appraisal Institute: SRA, Senior Residential Appraiser Designation, General Associate Member Employee Relocation Council: CRP Certified Relocation Professional Designation. International Right-Of-Way Association: Member HUD/FHA: On Lender Selection Roster and Review Appraiser DNR: Approved appraiser for Department of Natural Resources Testimony Court, deposition, commission, arbitration & administrative testimony given. Mediator Court appointed in Wright County. Committees President of Metro/Minnesota Chapter, 2002, Appraisal Institute. Chairman of Residential Admissions, Metro/MN Chapter, Al. Chairman Residential Candidate Guidance, Metro/Minnesota Chapter, Al. Elm Creek Watershed Commission, Medina representative 3 years. Medina Park Commission, 3 years. Page 12 Nagell Appraisal Incorporated I 952.544.8966 Curriculum Vitae -- continued Education Graduate of Bemidji State University, Minnesota. B.S. degree in Bus. Ad. During college, summer employment in building trades (residential and commercial). Graduate of Cecil Lawter Real Estate School. Past Arizona Real Estate License. General & Professional Practice Courses & Seminars Course 101-Introduction to Appraising Real Property. Numerous Standards of Professional Practice Seminar. Fair Lending Seminar. Eminent Domain & Condemnation Appraising. Eminent Domain (An In-Depth Analysis) Property Tax Appeal Eminent Domain Business Practices and Ethics Scope of Work Construction Disturbances and Temporary Loss of Going Concern Uniform Standards for Federal Land Acquisitions (Yellow Book Seminar) Partial Interest Valuation Divided (conservation easements, historic preservation easements, life estates, subsurface rights, access easements, air rights, water rights, transferable development rights) Commercial/Industrial/Subdivision Courses & Seminars Capitalization Theory & Techniques Highest & Best Use Seminar General & Residential State Certification Review Seminar Subdivision Analysis Seminar. Narrative Report Writing Seminar (general) Advanced Income Capitalization Seminar Advanced Industrial Valuation Appraisal of Local Retail Properties Appraising Convenience Stores Analyzing Distressed Real Estate Evaluating Commercial Construction Fundamentals of Separating Real Property, Personal Property and Intangible Business Assets Residential Courses & Seminars Course 102-Applied Residential Appraising Narrative Report Writing Seminar (residential) HUD Training session local office for FHA appraisals Familiar with HUD Handbook 4150.1 REV-1 & other material from local FHA office. Appraiser/Underwriter FHA Training Residential Property Construction and Inspection Numerous other continuing education seminars for state licensing & Al Speaking Engagements Bankers Auditors Assessors Relocation (Panel Discussion) Publications Real Estate Appraisal Practice (book): Acknowledgement Articles for Finance & Commerce and Minnesota Real Estate Journal Nagell Appraisal Incorporated 1952.544.8966 Page 13 \ The CITY of EDINA 2019 Street Reconstruction Public Hearings Introduction December 10, 2018 The CITY of EDINAAgenda •Infrastructure Projects •General Schedule •Assessment Policy •MN Statue Chapter 429 – Benefit www.EdinaMN.gov 2 The CITY of EDINAInfrastructure Projects •Vision Edina -“provide effective and valued public services and maintain a sound public infrastructure” Multi-Modal Transportation Network – Roads, Sidewalks, Bicycle Facilities Clean & Safe Drinking Water Sanitation Storm Water -Flood and Drainage Service, Clean Water www.EdinaMN.gov 3 The CITY of EDINAInfrastructure Projects •Maintenance Groups Divided into groups based on original plat and similar sized lots Used neighborhood naming convention for main label Divided neighborhoods into groups (A,B,C, etc.) www.EdinaMN.gov 4 The CITY of EDINAInfrastructure Projects •INSERT GRAPHIC UTILTY INFRA www.EdinaMN.gov 5 The CITY of EDINAInfrastructure Projects – ’12-’18 www.EdinaMN.gov 6 The CITY of EDINAInfrastructure Projects www.EdinaMN.gov 7 The CITY of EDINAInfrastructure Projects www.EdinaMN.gov 8 •Impervious slide The CITY of EDINA2019 Projects •Indian Trails B & C – 93 properties •Indian Hills C – 16 properties •Chowen Park A & B – 308 properties •Todd Park E – 7 properties www.EdinaMN.gov 9-C The CITY of EDINAGeneral Schedule •Public Hearing - December 2018 •Construction – 2019 •Final Assessment Hearing – Fall 2020 www.EdinaMN.gov 10 The CITY of EDINAAssessment Policy www.EdinaMN.gov 11 •Assigned to benefitting properties of the public improvements per State Statute Chapter 429 •Edina’s Policy –Assessments Cover 100% of roadway •- Roadway and driveway removals •- Subgrade materials •-Asphalt pavement •- Restoration – retaining walls, landscaping, seeding •- Indirect Costs – engineering, finance, soil investigations, mailings The CITY of EDINAAssessment Policy www.EdinaMN.gov 12 •Assessable costs include all project costs not allocated to other funding sources. (utilities, PACS, MSA) Staff concerns with picking and choosing specific items based on concerns of the assessment amount. Consideration of past and future projects Or difference of opinion on condition of an element. Potential Discussion on the Assessment Policy Options or policy revision to account for variations in projects The CITY of EDINAAssessment Policy www.EdinaMN.gov 13 •Assessable costs include all project costs not allocated to other funding sources. (utilities, PACS, MSA) Subcuts – large variation between projects Birchcrest / Golf Terrace – $2,800 - $3,800 per REU or 22% - 32% Lighting Braemar Hills (2010) – $1,000 or 15% Walls, Railings, and Lighting Valley View Road (2015) - $2,600 or 35% Retaining Walls – Occur in some scale on almost every project The CITY of EDINAAssessment Policy www.EdinaMN.gov 14 •Final assessment amount will be set one year after project completion (Fall 2020) •- Pay entire amount upon receiving bill to avoid future interest charges •- Pay 25%; balance rolls to property taxes over 15 years •- Roll entire amount to property taxes over 15 years •- Defer payment if 65 years of age or older and meet specific income requirements The CITY of EDINAMN State Statute Chapter 429 www.EdinaMN.gov 15 •Benefit Question 2018 Day Group Study General Review of Edina’s Assessment Policy 3 Different Density Neighborhoods Range $10,000 – $15,000 and $15,000 - $20,000 Dias - NagellAppraising Completed General Benefit Letters Each Project Area Considered Tonight Range of Benefit Realized from Street Reconstruction Assessment amounts confirmed (exception = retaining walls) The CITY of EDINAInfrastructure Projects •Years 2012 – 2018 Roads: 40 miles or 20% of the network (200 miles) Watermains: 11.3 miles or 5% of the network (236 miles) 345 Fire Hydrants or 18% of the total (1945) 468 Gate Valves or % of the total ( Sanitary: 19.8 miles or 10% of the network (199 miles) Sidewalks: 11.6 miles www.EdinaMN.gov 16 The CITY of EDINAIndian Trails B & C Neighborhood Roadway Reconstruction BA-452 Public Improvement Hearings December 10, 2018 The CITY of EDINA •93 properties •1.0 miles of road •16,341 square yards of street pavement •9 existing fire hydrants •18 existing sanitary manholes www.EdinaMN.gov 2 Project Details The CITY of EDINA •Ductile iron and copper pipes •(1.25-2” copper pipes undersized) •Relatively few breaks •Original fire hydrants •(not current City standard) •Gate valves nearing end of useful life www.EdinaMN.gov 3 Existing Watermain Condition The CITY of EDINA •Replace all gate valves and upgrade hydrants to City standard with Storz connection •Replace portions of existing main and associated water services •Verify appropriate hydrant spacing and add hydrants if needed to meet public safety standards www.EdinaMN.gov 4 Proposed Watermain Improvements The CITY of EDINA •Clay, reinforced concrete and ductile iron pipes in fair condition •Inflow and infiltration (I&I) occurring in system •Localized sanitary sewer pipe defects •-Root intrusion and encrustation account for majority of problems www.EdinaMN.gov 5 Existing Sanitary Sewer Condition The CITY of EDINAProposed Sanitary Sewer Improvements •Install cured-in-place pipe liners to reduce I&I •Replace manhole castings and rings www.EdinaMN.gov 6 The CITY of EDINAExisting Storm Sewer Condition •Most street have concrete curb and gutter •Corrugated metal and reinforced concrete pipes •Localized surface drainage issues, verified by resident comments www.EdinaMN.gov 7 The CITY of EDINAExisting Storm Sewer Condition •The CWRMP identified multiple areas of modeled flood inundation within the project area •A number of home structures could be impacted •Sally Lane – 36” storm sewer extension associated with 2015 Valley View Road project www.EdinaMN.gov 8 The CITY of EDINAProposed Storm Sewer Improvements •Concrete Curb and Gutter: •- Full installation on •Shawnee Cir and Overholt Pass •- Full replacement on •Bello Dr www.EdinaMN.gov 9 CM3CM10 Slide 9 CM3 why full replacement on Bello? Chad Millner, 12/6/2018 CM10 60% in poor condition Chad Millner, 12/6/2018 The CITY of EDINAProposed Storm Sewer Improvements •Concrete Curb and Gutter: •- Spot replacement on Comanche Ct, Sally Ln, Paiute Cir/Dr/Pass •- Size adjustment to the Comanche Court Cul-de- Sac. – drainage issues to address www.EdinaMN.gov 10 The CITY of EDINAProposed Storm Sewer Improvements •Modifications to roadway and storm sewer network to improve existing drainage issues •Install sump drain pipe (where feasible) www.EdinaMN.gov 11 The CITY of EDINAProposed Storm Sewer Improvements •Barr Engineering to evaluate the feasibility for Sally Lane and Paiute Pass area, as well as other areas of flood inundation identified within the project limits. •If easements are necessary, staff will communicate and coordinate with property owners prior to selecting an improvement method. www.EdinaMN.gov 12 The CITY of EDINA •Streets originally constructed in 1960s Bello (1992) •Street widths vary between 25’ and 30’ •Primarily silty sand base material www.EdinaMN.gov 13 Existing Roadway Condition The CITY of EDINA •City of Edina Network Average Pavement Condition Index - 72 Indian Trails B & C – 35 (after patching) •Sally Lane – Pavement repair associated with the 36” storm sewer extension as part of 2015 Valley View Road project www.EdinaMN.gov 14 Existing Roadway Condition AS11 Slide 14 AS11 All streets were surveyed in 2016, after pavement replacement/overlays on Shawnee, Overholt, and Sally. Today's projected average PCI of 35 includes these small sections of relatively new pavement. Andrew Scipioni, 12/6/2018 The CITY of EDINA •Recycle existing pavement material infeasible •Subgrade corrections as needed •Construct new roadway section www.EdinaMN.gov 15 Proposed Roadway Improvements The CITY of EDINALiving Streets Plan www.EdinaMN.gov 16 •27’ width typically recommended for Local streets •- Less impervious surface 5.5 acres in 2008 •- Storm water management •-Traffic calming •- Reduced life cycle cost The CITY of EDINALiving Streets Plan www.EdinaMN.gov 17 •Narrower proposed street widths: With or without wall construction •- Shawnee Circle – 24’ •- Overholt Pass – 21’ CM7CM12 Slide 17 CM7 what are widths without wall construction? Chad Millner, 12/6/2018 CM12 same with or without for future wall Chad Millner, 12/6/2018 The CITY of EDINA •Natural stone retaining walls along Shawnee Circle and Overholt Pass •Walls originally constructed between 1960 -1971 •Range in height from 0.5’ to 8’, most exceeding 4’ •Erosion and bulging evident www.EdinaMN.gov 18 Existing Retaining Wall Condition The CITY of EDINA •Hired a structure engineer to review Structural and City opinion walls nearing the end of useful life should be reconstructed •Reviewed 4 options 2 options for Precast modular block ( “Big Block”) 2 options for natural stone walls www.EdinaMN.gov 19 Proposed Retaining Wall Improvements The CITY of EDINA •Key criteria via resident discussions: o - Minimize impacts – trees, landscaping •-Wall Materials - aesthetics www.EdinaMN.gov 20 Proposed Retaining Wall Improvements The CITY of EDINA •Recommendation: Leave existing walls in place, construct new natural stone walls in front with porous concrete backfill www.EdinaMN.gov 21 Proposed Retaining Wall Improvements The CITY of EDINAExisting Right-of-Way Conditions •Landscaping features •Mailboxes www.EdinaMN.gov 22 •Irrigation systems •Pet fences The CITY of EDINA www.EdinaMN.gov 23 Item Subtotal Total Funding Source Roadway $ 1,097,956 Retaining Walls $ 275,000 Roadway: $ 1,372,956 Special Assessments Sanitary Sewer $ 366,400 Watermain $ 1,256,340 Storm Sewer* $ 883,790 Utilities: $ 1,325,660 City Utility Funds Total Project: $ 2,698,616 *Includes concrete curb and gutter •Engineering, clerical and finance costs, contingency included Estimated Project Costs The CITY of EDINA www.EdinaMN.gov 20 •Assigned to benefitting properties of public improvements per State Statute 429 •Cover 100% of roadway costs •- Roadway and driveway removals •- Subgrade materials •- Retaining walls – road purposes •-Asphalt pavement •- Restoration – retaining walls, landscaping, seeding •- Indirect Costs – engineering, finance, soil investigations, mailings Special Assessments The CITY of EDINA www.EdinaMN.gov 25 •93 properties (88.01 REUs) •- 1 REU per single-family home •- 0 - 0.67 REU for previously assessed properties •- 0.5 REU for corner properties Estimated Assessments The CITY of EDINA www.EdinaMN.gov 26 •$1,372,956 / 88.01 REUs = $15,600 per REU - $12,475 for roadway - $3,125 for retaining walls •$1,097,956 / 88.01 REUs = $12,475 per REU Estimated Assessments The CITY of EDINA •Assessable costs include all project costs not allocated to other funding sources. (utilities, PACS, MSA) Based on Nagell Letters, option to assess only Shawnee and Overholt properties for walls (9-10 REU’s) Assessment just based on cost - more than $40,000 Assessment based on benefit – up to $18,000 Generate ~$50,000 of the $275,000 Potential Discussion on the Assessment Policy Options or policy revision to account for variations in projects www.EdinaMN.gov 27-C Assessment Policy The CITY of EDINA6520 Belmore Ln (Presidents C) •~8’ tall •~260’ long www.EdinaMN.gov 28 The CITY of EDINA4728 W 70th St •~6’ tall •~130’ long www.EdinaMN.gov 29 The CITY of EDINA6932 Valley View Rd •~8’ tall •~193’ long www.EdinaMN.gov 30 The CITY of EDINA •Final assessment amount will be sent one year after project completion (Fall 2020) •- Pay entire amount upon receiving bill to avoid future interest charges •- Pay 25%; balance rolls to property taxes over 15 years •- Roll entire amount to property taxes over 15 years •- Defer payment if 65 years of age or older and meet specific income requirements www.EdinaMN.gov 31-C Assessment Payment Options The CITY of EDINAProject Schedule www.EdinaMN.gov 32 Project Open Houses 2016 and 2017 Neighborhood Informational Meeting August 13, 2018 ETC Engineering Study Review October 25, 2018 Receive Engineering Report December 4, 2018 Public Hearing December 10, 2018 Bid Opening March/April 2019 Award Contract / Begin Construction Spring 2019 Complete Construction Fall 2019 Final Assessment Hearing Fall 2020 The CITY of EDINARecommendation www.EdinaMN.gov 33 •Staff believes this project is feasible, cost effective and necessary to improve the public infrastructure •Approve Resolution No. 2018-131 •Authorize Indian Trails B & C Neighborhood Roadway Reconstruction •(Improvement No. BA-452) The CITY of EDINAQuestions? www.EdinaMN.gov 34 Thanks for your time! The CITY of EDINAPaving per REU www.EdinaMN.gov 35 Neighborhood Estimated Assessment per REU # of REUs SquareYards of Paving Square Yards of Paving per REU Indian Trails B&C $ 15,600 88.01 16,341 185.67 Indian Hills C $ 13,300 13.5 2,195 162.61 Todd Park E $ 11,700 5.0 992 180.30 Chowen Park A&B (roadway) $ 9,000 268.0 32,274 120.43 Chowen Park A&B (alley) $ 3,500 62.0 2,953 47.63 The CITY of EDINAConstruction Project Resources •Current Project Info •Maps •Plumber List •City Extra Sign-Up www.EdinaMN.gov 36 The CITY of EDINA2018 Projects •Normandale Park D – 94 properties •Bredesen Park A – 28 properties •Bredesen Park E – 6 properties (Industrial) www.EdinaMN.gov 37 The CITY of EDINA •Assessable costs include all project costs not allocated to other funding sources. (utilities, PACS, MSA) Subcuts – large variation between projects Birchcrest / Golf Terrace – $2,800 - $3,800 per REU or 22% - 32% Lighting Braemar Hills (2010) – $1,000 or 15% Walls, Railings, and Lighting Valley View Road (2015) - $2,600 or 35% Retaining Walls – Occur in some scale on almost every project Indian Trails B/C - $3,125 or 20% www.EdinaMN.gov 38-C Assessment Policy The CITY of EDINA6201 Vernon Ct (Bredesen Park B) •~8’ tall •~200’ long www.EdinaMN.gov 39 The CITY of EDINA6201 Knoll Dr S (Blake Rd) •~8’ tall •~167’ long www.EdinaMN.gov 40 The CITY of EDINA7121 Schey Dr (Gleason Rd) www.EdinaMN.gov 41 •~7’ tall •~187’ long The CITY of EDINA www.EdinaMN.gov 42 •~6’ tall •~116’ long 6791 Brendan Ct (Indian Hills A) The CITY of EDINA7500 York Ave (Edinborough C) •~5’ tall •~891’ long www.EdinaMN.gov 43 The CITY of EDINAEdina Ct (Country Club C) •0-4’ tall •~713’ long (total) www.EdinaMN.gov 44 The CITY of EDINA4949 Malibu Dr (Parkwood Knolls B) •~5’ tall •~464’ long www.EdinaMN.gov 45 The CITY of EDINA6421 Mildred Ave (Normandale Park A) •~5’ tall •~180’ long www.EdinaMN.gov 46 The CITY of EDINA5610 Interlachen Cir (Highlands E) •~5’ tall •~156’ long www.EdinaMN.gov 47 The CITY of EDINA529 Arthur St (Presidents D) •~5’ tall •~105’ long www.EdinaMN.gov 48 The CITY of EDINA5020 W 70th St •~5’ tall •~104’ long www.EdinaMN.gov 49 The CITY of EDINAInterlachen Blvd (Parkwood Knolls F) •~4’ tall •~200’ long www.EdinaMN.gov 50 Date: December 10, 2018 Agenda Item #: V.B. To:Mayor and City Council Item Type: Report / Recommendation, Other From:Aaron T. Ditzler, PE, Assistant City Engineer Item Activity: Subject:PUBLIC HEARING: Indian Hills C Neighborhood Roadway Reconstruction, Improvement No. BA-455, Resolution No. 2018-134 Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: If the Council determines the project to be necessary, cost-effective and feasible, Council shall adopt Resolution No. 2018-134, accepting the engineering study and approving Indian Hills C Neighborhood Roadway Reconstruction, Improvement No. BA-455, authorize plans and specifications to be completed and bids taken. INTRODUCTION: City staff initiated this project. The project proposes to reconstruct Gleason Terrace and Saint Albans Circle. It involves pavement reconstruction, new curb and gutter in some areas, and upgrading utilities. The overall project cost is estimated at $379,200. Funding will be a combination of special assessments and City Utility funds. Staff has analyzed the project and feels that the project is necessary, cost-effective, and feasible from an engineering standpoint. ATTACHMENTS: Description Resolution No. 2018-134 Staff Presentation RESOLUTION NO. 2018-134 ORDERING IMPROVEMENT FOR INDIAN HILLS C NEIGHBORHOOD ROADWAY RECONSTRUCTION IMPROVEMENT NO. BA-455 WHEREAS, a resolution of the City Council, adopted the 7th day of November 2018, fixed a date for a council hearing on Improvement No. BA-455, the proposed improvement of Indian Hills C Neighborhood Roadway Reconstruction; and WHEREAS, ten days mailed notice and two weeks published notice of the hearing was given, and the hearing was held thereon on the 10th day of December 2018, at which all persons desiring to be heard were given an opportunity to be heard thereon; NOW THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF EDINA, MINNESOTA: 1. Such improvement is necessary, cost-effective, and feasible to update aging infrastructure. 2. Such improvement is hereby ordered. 3. The city engineer is hereby designated as the engineer for this improvement. The engineer shall prepare plans and specifications for the making of such improvement. 4. The city council declares its official intent to reimburse itself for the costs of the improvement from the proceeds of tax exempt bonds. Dated: December 10, 2018 Attest: Sharon Allison, City Clerk James B. Hovland, Mayor STATE OF MINNESOTA ) COUNTY OF HENNEPIN )SS CITY OF EDINA ) CERTIFICATE OF CITY CLERK I, the undersigned duly appointed and acting City Clerk for the City of Edina do hereby certify that the attached and foregoing Resolution was duly adopted by the Edina City Council at its regular meeting of December 10, 2018, and as recorded in the Minutes of said Special Meeting. WITNESS my hand and seal of said City this ______ day of __________, 20___. _______________________________ City Clerk The CITY of EDINAIndian Hills C Neighborhood Roadway Reconstruction BA-455 Public Improvement Hearing December 10, 2018 The CITY of EDINAProject Details •16 properties •0.15 miles of road •2,195 square yards of street pavement •2 existing fire hydrants •5 existing sanitary manholes www.EdinaMN.gov 2 The CITY of EDINA •Ductile iron and copper pipes •(1.5” copper pipes undersized) •Original fire hydrants •(not current City standard) •Gate valves nearing end of useful life www.EdinaMN.gov 3 Existing Watermain Condition The CITY of EDINA •Replace all gate valves and upgrade hydrants to City standard with Storz connection •Replace undersized copper main and associated water services •Verify appropriate hydrant spacing and add hydrants if needed to meet public safety standards www.EdinaMN.gov 4 Proposed Watermain Improvements The CITY of EDINA •Clay and ductile iron pipes in fair condition •Inflow and infiltration (I&I) occurring in system •Localized sanitary sewer pipe defects •-Root intrusion and encrustation account for majority of problems www.EdinaMN.gov 5 Existing Sanitary Sewer Condition The CITY of EDINA •Install cured-in-place pipe liners to reduce I&I •Replace manhole castings and rings www.EdinaMN.gov 6 Proposed Sanitary Sewer Improvements The CITY of EDINA •All streets have concrete curb and gutter •Reinforced concrete and plastic pipes •Localized surface drainage issues, verified by resident comments www.EdinaMN.gov 7 Existing Storm Sewer Condition The CITY of EDINA •Spot replacement of concrete curb and gutter •Modifications to roadway and storm sewer network to improve existing drainage issues •Install sump drain pipe (where feasible) www.EdinaMN.gov 8 Proposed Storm Sewer Improvements The CITY of EDINA •Review existing curb •- Condition •- Drainage •Proposed utility improvements •- Significant vs. basic •Evaluate curb to remain •Storm sewer utility fund •- Prioritize drainage over aesthetics www.EdinaMN.gov 9 Curb Replacement Method Selection The CITY of EDINA •Streets originally constructed 1969-1978 •30’ average width •Silty sand, clayey sand base www.EdinaMN.gov 10 Existing Roadway Condition The CITY of EDINAExisting Roadway Condition www.EdinaMN.gov 11 •City of Edina Network Average Pavement Condition Index - 72 •Indian Hills C - 14 •Pavement reaching end of useful life The CITY of EDINA •Completely reconstructed to the subgrade •Recycling existing pavement material infeasible •Subgrade corrections as needed •No changes in existing widths or parking availability www.EdinaMN.gov 12 Proposed Roadway Improvements The CITY of EDINA •Landscaping items •Mailboxes •Irrigation systems •Pet fences www.EdinaMN.gov 13 Existing Right-of-Way Condition The CITY of EDINA www.EdinaMN.gov 14 Item Subtotal Total Funding Source Roadway: $ 179,550 Special Assessments Sanitary Sewer $ 32,160 Watermain $ 72,910 Storm Sewer* $ 94,580 Utilities: $ 199,650 City Utility Funds Total Project: $ 379,200 *Includes concrete curb and gutter •Engineering, clerical and finance costs, contingency included Estimated Project Costs The CITY of EDINA www.EdinaMN.gov 15 •Assigned to benefitting properties of public improvements per State Statute 429 •Cover 100% of roadway costs •- Roadway and driveway removals •- Subgrade materials •-Asphalt pavement •- Restoration •- Indirect Costs – engineering, finance, soil investigations, mailings Special Assessments The CITY of EDINA www.EdinaMN.gov 16 •16 properties (13.5 REUs) •- 1 REU per single-family home •- 0.5 REU for corner properties •$179,550 / 13.5 REUs = $13,300 per REU Proposed Assessments CM2 Slide 16 CM2 create SY paving graphic / table for all in case we need to discuss how lot size affects the assessment amount Chad Millner, 12/6/2018 The CITY of EDINA •Final assessment amount will be sent one year after project completion (Fall 2020) •- Pay entire amount upon receiving bill to avoid future interest charges •- Pay 25%; balance rolls to property taxes over 15 years •- Roll entire amount to property taxes over 15 years •- Defer payment if 65 years of age or older and meet specific income requirements www.EdinaMN.gov 17 Assessment Payment Options The CITY of EDINA www.EdinaMN.gov 18 Project Open Houses 2016 and 2017 Neighborhood Informational Meeting August 13, 2018 ETC Engineering Study Review October 25, 2018 Receive Engineering Report December 4, 2018 Public Hearing December 10, 2018 Bid Opening March/April 2019 Award Contract / Begin Construction Spring 2019 Complete Construction Fall 2019 Final Assessment Hearing Fall 2020 Project Schedule The CITY of EDINA www.EdinaMN.gov 19 •Staff believes this project is feasible, cost effective and necessary to improve the public infrastructure. •Approve Resolution No. 2018-134 •Authorize Indian Hills C Neighborhood Roadway Reconstruction •(Improvement No. BA-455) Recommendation The CITY of EDINA •Current Project Info •Maps •Plumber List •City Extra Sign-Up www.EdinaMN.gov 20 Construction Project Resources Date: December 10, 2018 Agenda Item #: V.C. To:Mayor and City Council Item Type: Report / Recommendation From:Aaron T. Ditzler, PE, Assistant City Engineer Item Activity: Subject:PUBLIC HEARING: Chowen Park A & B Neighborhood Roadway Reconstruction, Improvement No. BA-451 & A-279, Resolution No. 2018-132 Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: If the Council determines the project to be necessary, cost-effective and feasible, Council shall adopt Resolution No. 2018-132, accepting the engineering study and approving Chowen Park A & B Neighborhood Roadway and Alley Reconstruction, Improvement Nos. BA-451 & A-279, authorize plans and specifications to be completed and bids taken. INTRODUCTION: City staff initiated this project. The project proposes to reconstruct Abbott Avenue, Beard Avenue, Chowen Avenue, Drew Avenue, Ewing Avenue, York Avenue, Zenith Avenue and West 59th Street. It involves narrowing most roadways, reconstructing the gravel alleys, installing new sidewalk, curb and gutter and upgrading utilities. The overall project cost is estimated at $6,427,780. Funding will be a combination of special assessments, Pedestrian and Cyclist Safety Funds and City Utility funds. Staff has analyzed the project and feels that the project is necessary, cost-effective, and feasible from an engineering standpoint. ATTACHMENTS: Description Resolution No. 2018-132 Staff Presentation RESOLUTION NO. 2018-132 ORDERING IMPROVEMENT FOR CHOWEN PARK A & B NEIGHBORHOOD ROADWAY AND ALLEY RECONSTRUCTION IMPROVEMENT NOS. BA-451 AND A-279 WHEREAS, a resolution of the City Council, adopted the 7th day of November 2018, fixed a date for a council hearing on Improvement Nos. BA-451 and A-279, the proposed improvement of Chowen Park A & B Neighborhood Roadway and Alley Reconstruction; and WHEREAS, ten days mailed notice and two weeks published notice of the hearing was given, and the hearing was held thereon on the 10th day of December 2018, at which all persons desiring to be heard were given an opportunity to be heard thereon; NOW THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF EDINA, MINNESOTA: 1. Such improvement is necessary, cost-effective, and feasible to update aging infrastructure. 2. Such improvement is hereby ordered. 3. The city engineer is hereby designated as the engineer for this improvement. The engineer shall prepare plans and specifications for the making of such improvement. 4. The city council declares its official intent to reimburse itself for the costs of the improvement from the proceeds of tax exempt bonds. Dated: December 10, 2018 Attest: Sharon Allison, City Clerk James B. Hovland, Mayor STATE OF MINNESOTA ) COUNTY OF HENNEPIN )SS CITY OF EDINA ) CERTIFICATE OF CITY CLERK I, the undersigned duly appointed and acting City Clerk for the City of Edina do hereby certify that the attached and foregoing Resolution was duly adopted by the Edina City Council at its regular meeting of December 10, 2018, and as recorded in the Minutes of said Special Meeting. WITNESS my hand and seal of said City this ______ day of __________, 20___. _______________________________ City Clerk The CITY of EDINAChowen Park A & B Neighborhood Roadway and Alley Reconstruction BA-451 & A-279 Public Improvement Hearings December 10, 2018 The CITY of EDINAProject Details •308 properties •1.9 miles of road •0.4 miles of gravel alleys •0.5 miles of concrete alleys •32,274 square yards of street pavement •26 existing fire hydrants •29 existing sanitary manholes www.EdinaMN.gov 2 The CITY of EDINAExisting Watermain Conditions •Cast iron pipes in poor condition •Many breaks relatively •Original fire hydrants •(not current City standard) •Gate valves nearing end of useful life www.EdinaMN.gov 3 The CITY of EDINAProposed Watermain Improvements •Replace all watermain pipe and services •Replace all gate valves and upgrade hydrants to City standard with Storz connection •Verify appropriate hydrant spacing and add hydrants if needed to meet public safety standards www.EdinaMN.gov 4 The CITY of EDINAExisting Sanitary Sewer Conditions •Clay pipes in fair condition •Inflow and infiltration (I&I) occurring in system •Localized sanitary sewer pipe defects •-Root intrusion and encrustation account for majority of problems www.EdinaMN.gov 5 The CITY of EDINAProposed Sanitary Sewer Improvements •Spot trunk pipe repairs and cured-in-place pipe liners to reduce I&I •Replace manhole castings and rings www.EdinaMN.gov 6 The CITY of EDINAExisting Storm Sewer Condition •Most streets in the neighborhood do not have concrete curb and gutter •Corrugated metal and reinforced concrete pipes, relatively few inlets •Localized surface drainage issues, verified by resident comment www.EdinaMN.gov 7 The CITY of EDINAExisting Storm Sewer Conditions •The CWRMP identified multiple areas of modeled flood inundation within the project area for both the 10-percent and 1-percent-annual-chance flood event •A number of home structures could be impacted www.EdinaMN.gov 8 The CITY of EDINAProposed Storm Sewer Improvements •Modifications to roadway and storm sewer to improve existing drainage issues •Replace curb and gutter (poor condition, water services, storm sewer, sump drains) •Install sump drain pipe where feasible www.EdinaMN.gov 9 The CITY of EDINAProposed Storm Sewer Improvements www.EdinaMN.gov 10 •Storm sewer extension on ChowenAvenue •Backyard depression area resident correspondence •Future backyard storm connection CM1CM3 Slide 10 CM1 discuss owner interaction Chad Millner, 12/6/2018 CM3 add slide with backyard zoom. Chad Millner, 12/6/2018 The CITY of EDINAExisting Roadway Condition •Streets originally constructed in 1920s-1960 •Existing street widths vary between 28’ and 30’ •Primarily silty sand base material •City of Edina Network Average Pavement Condition Index - 72 Chowen Park A&B – 27 www.EdinaMN.gov 11 The CITY of EDINAProposed Roadway Improvements •Recycle existing pavement material infeasible •Subgrade corrections as needed •Construct new roadway section •27’ street widths proposed with the exception of Beard Avenue (24’ width) www.EdinaMN.gov 12 The CITY of EDINALiving Streets Plan www.EdinaMN.gov 13 •27’ and 24’ street widths •- Less impervious surface •- Storm water management •-Traffic calming •- Reduced life cycle cost •Parking along sidewalk side •- Improved line of sight •- Pedestrian safety CM2 Slide 13 CM2 5.5 acres less since 2008 Chad Millner, 12/6/2018 The CITY of EDINAPedestrian Facilities Plan •Plan updated in 2018 with addition of Beard Avenue in the Chowen Park neighborhood. •-Plan approved at Public Hearing Feb. 13, 2018 •-2 Citywide public meetings •-3 Pop-up workshops •-Website and questionnaire www.EdinaMN.gov 14-A The CITY of EDINAProposed Sidewalk •Beard Ave (24-foot) •-5-foot sidewalk and 5- foot boulevard on east side •-Sidewalk on the east side is continuous with existing walk to the south •- Future sidewalks adjacent ato project area www.EdinaMN.gov 15 The CITY of EDINAW. 58th Street Reconstruction •Anticipated in 2020 •W. 58th Street and Chowen Park limits •Municipal State Aid •Public Participation www.EdinaMN.gov 16 The CITY of EDINAExisting Gravel Alley Conditions •Alleys originally constructed in 1920s-1960 •Existing alley widths vary between 10’ and 15’ •Poor gravel alley base indicated by soil borings •Localized surface drainage issues, verified by resident comments www.EdinaMN.gov 17 The CITY of EDINAExisting Concrete Alley Condition •Alleys originally constructed in 1920s-1960 •Concrete pavement in fair condition www.EdinaMN.gov 18 The CITY of EDINAProposed Gravel Alley Improvements •Subgrade corrections as needed •Construct new section for gravel alleys •2.5” and 1.5” of asphalt base and wear course, respectively •Petition for paving along one gravel alley www.EdinaMN.gov 19 AS1 Slide 19 AS1 2014 Alley Improvement project, post-construction Andrew Scipioni, 12/6/2018 The CITY of EDINAExisting Right-of-Way Conditions •Landscaping features www.EdinaMN.gov 20 •Outwalks/steps •Irrigation systems/ pet fences The CITY of EDINA www.EdinaMN.gov 21 Item Subtotal Total Funding Source Roadway: $ 2,412,000 Special Assessments Alley: $ 217,000 Special Assessments Sanitary Sewer $ 377,180 Watermain $ 1,952,140 Storm Sewer* $ 1,379,860 Utilities: $ 3,709,180 City Utility Funds Sidewalk: $ 89,600 PACS Fund Total Project: $ 6,427,780 *Includes concrete curb and gutter •Engineering, clerical and finance costs, contingency included Estimated Project Costs The CITY of EDINA www.EdinaMN.gov 22-C •Assigned to benefitting properties of public improvements per State Statute 429 •Cover 100% of roadway and alley costs •- Roadway and driveway removals •- Subgrade materials •-Asphalt pavement •-Restoration •- Indirect Costs – engineering, finance, soil investigations, mailings Special Assessments The CITY of EDINAEstimated Roadway Assessments www.EdinaMN.gov 23 •308 properties (268 REUs) •- 1 REU per single-family home •- 0.5 REU for corner properties •$2,412,000 / 268 REUs = $9,000 per REU The CITY of EDINAEstimated Alley Assessments www.EdinaMN.gov 24 •62 properties (62 REUs) •- 1 REU per single-family home •$217,000 / 62 REUs = $3,500 per REU The CITY of EDINATotal Estimated Assessments •$3,500-$12,500 •$3,500 –Alley only •$9,000 – Road only •$12,500 – Road and Alley •Remaining www.EdinaMN.gov 25 AS2 Slide 25 AS2 3 properties will recieve no assessment, they are included in the assessment roll and mailing list for the project as they may still be impacted by construction activity Andrew Scipioni, 12/6/2018 The CITY of EDINAAssessment Payment Options •Final assessment amount will be sent one year after project completion (Fall 2020) •- Pay entire amount upon receiving bill to avoid future interest charges •- Pay 25%; balance rolls to property taxes over 15 years 5 years for alleys •- Roll entire amount to property taxes over 15 years 5 years for alleys •- Defer payment if 65 years of age or older and meet specific income requirements www.EdinaMN.gov 26-C The CITY of EDINAProject Schedule www.EdinaMN.gov 27 Project Open Houses 2016 and 2017 Neighborhood Informational Meeting August 13, 2018 ETC Engineering Study Review October 25, 2018 Receive Engineering Report December 4, 2018 Public Hearing December 10, 2018 Bid Opening March/April 2019 Award Contract / Begin Construction Spring 2019 Complete Construction Fall 2019 Final Assessment Hearing Fall 2020 The CITY of EDINARecommendation www.EdinaMN.gov 28 •Staff believes this project is feasible, cost effective and necessary to improve the public infrastructure •Approve Resolution No. 2018-132 •Authorize Chowen Park A & B Neighborhood Roadway and Alley Reconstruction •(Improvement Nos. BA-451 & A-279 ) The CITY of EDINAQuestions? www.EdinaMN.gov 29 Thanks for your time! The CITY of EDINAPaving per REU www.EdinaMN.gov 30 Neighborhood Estimated Assessment per REU # of REUs SquareYards of Paving Square Yards of Paving per REU Indian Trails B&C $ 15,600 88.01 16,341 185.67 Indian Hills C $ 13,300 13.5 2,195 162.61 Todd Park E $ 11,700 5.0 992 180.30 Chowen Park A&B (roadway) $ 9,000 268.0 32,274 120.43 Chowen Park A&B (alley) $ 3,500 62.0 2,953 47.63 The CITY of EDINAConstruction Project Resources •Current Project Info •Maps •Plumber List •City Extra Sign-Up www.EdinaMN.gov 31 Date: December 10, 2018 Agenda Item #: V.D. To:Mayor and City Council Item Type: Report / Recommendation From:Aaron T. Ditzler, PE, Assistant City Engineer Item Activity: Subject:PUBLIC HEARING: Todd Park E Neighborhood Roadway Reconstruction, Improvement No. BA-454, Resolution No. 2018-133 Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: If the Council determines the project to be necessary, cost-effective and feasible, Council shall adopt Resolution No. 2018-133, accepting the engineering study and approving Todd Park E Neighborhood Roadway Reconstruction, Improvement No. BA-454, authorize plans and specifications to be completed and bids taken. INTRODUCTION: City staff initiated this project. The project proposes to reconstruct Brookside Terrace and Motor Street. It involves asphalt pavement construction of the gravel street, new curb and gutter, creek sediment removal at the storm sewer outlet and upgrading utilities. The overall project cost is estimated at $353,240. Funding will be a combination of special assessments and City Utility funds. Staff has analyzed the project and feels that the project is necessary, cost-effective, and feasible from an engineering standpoint. ATTACHMENTS: Description Resolution No. 2018-133 Staff Presentation RESOLUTION NO. 2018-133 ORDERING IMPROVEMENT FOR TODD PARK E NEIGHBORHOOD ROADWAY RECONSTRUCTION IMPROVEMENT NO. BA-454 WHEREAS, a resolution of the City Council, adopted the 7th day of November 2018, fixed a date for a council hearing on Improvement No. BA-454, the proposed improvement of Todd Park E Neighborhood Roadway Reconstruction; and WHEREAS, ten days mailed notice and two weeks published notice of the hearing was given, and the hearing was held thereon on the 10th day of December 2018, at which all persons desiring to be heard were given an opportunity to be heard thereon; NOW THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF EDINA, MINNESOTA: 1. Such improvement is necessary, cost-effective, and feasible to update aging infrastructure. 2. Such improvement is hereby ordered. 3. The city engineer is hereby designated as the engineer for this improvement. The engineer shall prepare plans and specifications for the making of such improvement. 4. The city council declares its official intent to reimburse itself for the costs of the improvement from the proceeds of tax exempt bonds. Dated: December 10, 2018 Attest: Sharon Allison, City Clerk James B. Hovland, Mayor STATE OF MINNESOTA ) COUNTY OF HENNEPIN )SS CITY OF EDINA ) CERTIFICATE OF CITY CLERK I, the undersigned duly appointed and acting City Clerk for the City of Edina do hereby certify that the attached and foregoing Resolution was duly adopted by the Edina City Council at its regular meeting of December 10, 2018, and as recorded in the Minutes of said Special Meeting. WITNESS my hand and seal of said City this ______ day of __________, 20___. _______________________________ City Clerk The CITY of EDINATodd Park E Neighborhood Roadway Reconstruction BA-454 Public Improvement Hearing December 10, 2018 The CITY of EDINAProject Details •Last gravel road in Edina •7 properties •0.11 miles of road •827 square yards of street pavement •1 existing fire hydrant •3 existing sanitary manholes www.EdinaMN.gov 2 The CITY of EDINA •Ductile iron and copper pipes •(1.5” copper pipes undersized) •Original fire hydrant •(not current City standard) •Gate valves nearing end of useful life www.EdinaMN.gov 3 Existing Watermain Conditions The CITY of EDINA •Replace all gate valves and upgrade hydrants to City standard with Storz connection •Replace undersized copper main and associated water services •Verify appropriate hydrant spacing and add hydrants if needed to meet public safety standards www.EdinaMN.gov 4 Proposed Watermain Improvements The CITY of EDINA •Clay and reinforced concrete pipes in fair condition •Inflow and infiltration (I&I) occurring in system •Localized sanitary sewer pipe defects •-Root intrusion and encrustation account for majority of problems www.EdinaMN.gov 5 Existing Sanitary Sewer Conditions The CITY of EDINA •Install cured-in-place pipe liners to reduce I&I •Replace manhole castings and rings www.EdinaMN.gov 6 Proposed Sanitary Sewer Improvements The CITY of EDINA •Corrugated metal and reinforced concrete pipes, relatively few inlets •Localized surface drainage issues, verified by resident comments www.EdinaMN.gov 7 Existing Storm Sewer Conditions The CITY of EDINA •Gravel surfaces discharge directly to Minnehaha Creek •Sediment accumulation in Creek www.EdinaMN.gov 8 Existing Storm Sewer Conditions The CITY of EDINA •New concrete curb and gutter •(combination of bulkhead and surmountable) •Modifications to roadway and storm sewer network to improve existing drainage issues •Install sump drain pipe (where feasible) •Remove sediment from Minnehaha Creek www.EdinaMN.gov 9 Proposed Storm Sewer Improvements The CITY of EDINA •Streets originally constructed 1910-1930 •Gravel surfaces with no curb •Existing street widths vary between 12’ and 35’ •0.8’-1’ gravel, substandard base material indicated by soil borings www.EdinaMN.gov 10 Existing Roadway Conditions The CITY of EDINA •Trees/vegetation •Boulder, timber walls •Irrigation systems •Pet fences www.EdinaMN.gov 11 Existing Right-of-Way Conditions The CITY of EDINA •Recycle existing gravel where feasible, import additional material to construct adequate base layer •Subgrade corrections as needed •2.5” and 1.5” of bituminous base and wear course, respectively www.EdinaMN.gov 12 Proposed Roadway Improvements The CITY of EDINA www.EdinaMN.gov 13 •27’ width typically recommended for Local streets •Several unique factors to consider; •- Narrower ROW (40-50’ vs. 60’) •- Property impacts (trees, landscaping) •- Limited vehicle traffic - Existing character of neighborhood •Narrower street widths are proposed for Todd Park E Living Streets Plan The CITY of EDINA •Brookside Ter (north of W 44th St) •- 15’ width •- 32’ cul-de-sac •- One-sided parking (east side only) www.EdinaMN.gov 14 Proposed Roadway Improvements The CITY of EDINAProposed Roadway Improvements •Brookside Ter (south of W 44th St) •- 20’ width •- One-sided parking •(east side only) •- Apron entrance to gravel •Motor St •- 20’ width •- One-sided parking (north side only) www.EdinaMN.gov 15 The CITY of EDINAProposed Roadway Improvements •Proposed parking restrictions mimic existing conditions www.EdinaMN.gov 16 The CITY of EDINAProposed Roadway Improvements •Curb and gutter installation will minimize snowplowing damage www.EdinaMN.gov 17 The CITY of EDINA www.EdinaMN.gov 18 Item Subtotal Total Funding Source Roadway: $ 58,500 Special Assessments Sanitary Sewer $ 56,420 Watermain $ 98,960 Storm Sewer* $ 139,360 Utilities: $ 294,740 City Utility Funds Total Project: $ 353,240 *Includes concrete curb and gutter •Engineering, clerical and finance costs, contingency included Estimated Project Costs The CITY of EDINA www.EdinaMN.gov 19 •7 properties (5.0 REUs) •- 1 REU per single-family home •- 0.5 REU for corner properties •- 0 REU for properties with no access to streets •$58,500 / 5 REUs = $11,700 per REU Estimated Assessments The CITY of EDINA •Final assessment amount will be sent one year after project completion (Fall 2020) •- Pay entire amount upon receiving bill to avoid future interest charges •- Pay 25%; balance rolls to property taxes over 15 years •- Roll entire amount to property taxes over 15 years •- Defer payment if 65 years of age or older and meet specific income requirements www.EdinaMN.gov 20 Assessment Payment Options The CITY of EDINA www.EdinaMN.gov 21 Project Open Houses 2016 and 2017 Project Workshop August 2, 2018 Neighborhood Informational Meeting August 13, 2018 ETC Engineering Study Review October 25, 2018 Receive Engineering Report December 4, 2018 Public Hearing December 10, 2018 Bid Opening March/April 2019 Award Contract / Begin Construction Spring 2019 Complete Construction Fall 2019 Final Assessment Hearing Fall 2020 Project Schedule The CITY of EDINA www.EdinaMN.gov 22 •Staff believes this project is feasible, cost effective and necessary to improve the public infrastructure. •Approve Resolution No. 2018-133 •Authorize Todd Park E Neighborhood Roadway Reconstruction •(Improvement No. BA-454) Recommendation