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Council approves preliminary special assessment for alley reconstruction on West Second–Third block

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Summary

The New Richmond City Council approved a preliminary special assessment report for an alley reconstruction between Minnesota and Dakota avenues, setting estimated resident shares and payment options and moving the project to the bidding stage.

The New Richmond City Council on Feb. 10 approved a preliminary special assessment report for the reconstruction of a gravel alley between Minnesota and Dakota avenues, from West Second Street to West Third Street, the city said at a public hearing.

The preliminary report estimates total construction costs just under $30,000. Under the city’s special assessment policy, property owners adjacent to the alley will be responsible for 50% of the cost of the asphalt portion. Council staff said assessments assigned to adjacent properties were calculated by linear frontage and range from about $500 to about $1,250 per parcel.

City staff outlined payment options for affected property owners: a single lump-sum payment at the time of final assessment or equal annual payments over five years at an interest rate of 6 percent. The council approved the preliminary special assessment report and directed staff to proceed to the bidding phase. After bids are received, the council will consider a final special assessment report that will set the actual assessed amounts to owners.

During the public hearing no attendees raised objections, and the council closed the hearing before voting. The vote record shows all aldermen present voting yes, and the motion passed.

The alley reconstruction is scheduled to be included with other 2025 public works projects for bidding; if final bids come in substantially higher than the estimate, staff said the council would be required to hold an additional hearing on any increased assessments.