2007-405-Order No. 2007-034 Recorded 3/30/2007v1E DESCHUTES NANCY COUNTY CLERKDS ~J ~OO~'~OJ _ COMMISSIONERS' JOURNAL 03/30/2007 03;01;55 PM LEGAL OUNSEL VIII IIIIIIIIIIIIIIIIIIII) III 200 - 40 I For Recording Stamp Only BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON An Order declaring the intention to create a Local Improvement District known as Pumice Butte L.I.D. for the improvement of Certain Dedicated Public Road Known as all of Pumice Butte Road from Shoshone Road to Shoshone Road within Deschutes River Woods Subdivision, Known as * ORDER NO. 2007-034 Pumice Butte L.I.D., Deschutes County, Oregon Accepting the Engineer's Feasibility Report , Setting the Hearing for Remonstrance, and Authorizing the Road Director to Give Notice of Said Hearing. WHEREAS, the Board of County Commissioners, By Resolution 2006-115 initiated the improvement of a certain dedicated public road known as Pumice Butte L.I.D.; and WHEREAS, the County Engineer has investigated the feasibility of making the improvements, estimated the cost of the improvements, proposed a method of assessment and estimated the amount of the assessments against each of the specially benefited properties, in accordance with 12.48.150 of the Deschutes County Code; and WHEREAS, the Board has considered the Engineer's report and has determined to proceed with the proposed improvements, subject to the notice and hearing requirements of Chapter 12.48 of the Deschutes County Code; and WHEREAS, the Engineer conducted a mail poll of all the owners of all specially benefited lots within the L.I.D. in accordance with Section 12.48.166 of the Deschutes County Code. The poll approval rate is 60% of the owners of land representing over 60% of the total amount of the estimated assessment for the proposed local improvement; and WHEREAS, Section 12.48.170 of the Deschutes County Code requires that the Board provide notice to specially benefited property owners and set a hearing for the purpose of hearing remonstrances to said improvements; now, therefore, THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON, HEREBY ORDERS as follows: Section 1. That the Engineer's report relating to the improvement of a certain dedicated public road known as Pumice Butte Road Deschutes County, Oregon, marked Exhibit "A", attached hereto and by this reference incorporated herein, be accepted and hereby approved. Section 2. That a hearing be set on April Building, Board of Commissioner's Hearing Room hearing remonstrances to said improvements. 25, 2007, at 10:00 a.m. at the Deschutes County Services 1300 NW Wall Street, Bend, Oregon for the purpose of PAGE 1 OF 2- ORDER NO. 2007-034 - PUMICE BUTTE LID Section 3. That, subject to the hearing process set forth by Chapter 12.48 of the Deschutes County Code, the LID be formed and the improvements carried out as described in said Engineer's Report. Section 4. That the Road Department Director be authorized to notify benefited property owners of the said hearing and proposed improvement, in a form substantially as contained in Exhibit "B", attached hereto and by this reference incorporated herein. DATED this --day of , 2007. ATTEST: Recording Secretary BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON C AEL . D ~ hair NNIS R. LU ce Chair TAMM OE Y,Co4roi o ner PAGE 2 OF 2- ORDER NO. 2007-034 - PUMICE BUTTE LID -DES C^ Page 1 of 5 i EXHIBIT "A" 0 AA MEMORANDUM TO: Board of County Commissioners FROM: Michael Barta, Design Engineer DATE: November 17, 2006 SUBJ: Feasibility Study for the Pumice Butte Rd L.I.D. Road Department 61150 SE 27th St. • Bend, Oregon 97702 (541) 388-6581 • FAX (541) 388-2719 This report is made pursuant to Section 12.48.150 of the Deschutes County Code concerning the engineering investigation by the Deschutes County Road Department for proposed local road improvement. Deschutes County received a petition from certain property owners to improve a road known as that portion of Pumice Butte Rd located in Deschutes River Woods Subdivision. Due to this petition, the Deschutes County Board of County Commissioners initiated a Local Improvement District (LID) by Resolution No. 2006-115 signed on August 30, 2006. The Resolution was referred to the Deschutes County Road Department for the completion of a feasibility study for the proposed local improvement in accordance with Deschutes County Code 12.48.150. This report constitutes the engineer's findings. GENERAL DESCRIPTION OF THE ROAD AND SURROUNDING AREA The area in which the road improvements are sought constitutes a rural community located 2.5 miles south and west of Bend, Oregon. This community is accessed from Highway 97 by way of Baker Rd and then on to Shoshone Rd. Baker Rd intersects Highway 97 about 1.2 miles south of Bend. Shoshone Rd intersects Baker Rd at mile post (mp) 1.58 and Pumice Butte Rd intersects Shoshone Rd at mp 0.26. Baker Rd is designated as a rural collector street near Shoshone Rd and Shoshone Rd is designated as a rural local street near Pumice Butte Rd on the Transportation Plan Map. Pumice Butte Rd is classified as a rural local street. All of the lots within the boundaries of this LID either abut directly on Pumice Butte Rd or use it as their only access and have street addresses on this street. Pumice Butte Rd is not County maintained and presently unpaved and gravely. This road was originally platted in 1962 for the Deschutes River Woods Subdivision. It was not constructed to current County standards and since it is an unpaved road it is prone to washboards, rutting and Quality Services Performed with Pride Page 2 of 5 dust between the times it is graded. The best time to grade this road is in the spring and fall when the moisture content of the base material is high. During the summer months grading is ineffective and washboards, ruts and dust problems all occur within a few weeks of being bladed. Magnesium chloride can be used as a dust deterrent; however it becomes ineffective and must be reapplied after a heavy rain storm. During the winter months the ground is often frozen making grading impossible. A map of the area is attached hereto as Exhibit 1. OPTIMAL LOCATION AND EXTENT OF THE IMPROVEMENT Pumice Butte Rd is classified as rural local street by the Deschutes County Transportation Plan. This means that the purpose of this road is to carry local traffic and primarily serve lots abutting the subject street. See DCC 17.08.620(F). Since Pumice Butte Rd is included in the LID boundary and connects to existing County maintained road (Shoshone Rd), this is an optimal location and extent of the project. The proposed improved roadway will facilitate orderly development throughout the neighborhood as well as effective maintenance of the improvements. BOUNDARIES OF THE LOCAL IMPROVEMENT DISTRICT DCC 12.48.130 requires that properties to be assessed be included within the boundaries of a designated LID. Properties to be included in a LID are properties that are benefited by the proposed local improvement. A map showing the roads and LID boundary proposed for improvement is attached as Exhibit 2 of this report. Properties abutting or have their only accesses from the road improvement are presumed to benefit from such construction. Accordingly, except as noted herein, the boundaries of the LID have been drawn to include those properties abutting or have their only access from the improved road. Since this road is designated as a rural local road, it will be constructed to standards appropriate for a rural local road. A map of the Local Improvement District is attached hereto as Exhibit 2. DESCRIPTION OF THE CONSTRUCTION DESIGN The construction standards for local streets are found in the County Code under DCC 17.48.010. Roads within the Deschutes River Woods area are governed by relevant standards under DCC Title 17, Table A, Rural County Roads. Those standards require a pavement width of at least 24 feet, a base depth of 6 inches of crushed aggregate and a surface of 0-9 oil-mat or 2" of Asphalt Concrete (AC). The road must be designed to the safety and design standards of the American Association of State Highway and Transportation Officials (AASHTO). These standards as adapted to rural local streets reflect the designation and function of the improvement as a local street. This engineer's report has been drafted anticipating that the work to be done will meet the rural local road construction standards: Mobilization - normal mobilization costs incurred in preparation of the work. Page 3 of 5 Construction Surveying - setting slope stakes, subgrade stakes, and base stakes for the contractor to construct the road. Traffic Control - signs and flaggers will be provided to warn, safeguard, guide, and inform the public and workers. Sub grade - earthwork will be required to construct subgrade within the roadway cross section. There will be some construction required to provide proper drainage. Base - placing, shaping, compacting, and fine grading of base rock will be required. A six inch depth of aggregate base will be utilized for the roadway and a four inch depth of aggregate base for the driveway approaches. Paving - the roadway will be a 2" asphalt concrete surface. The pavement width for Pumice Butte Rd within this LID will be 24 feet. Miscellaneous - resetting mailboxes, moving utilities, and drainage work may be involved. Engineering and Administration - the expenses incurred by the County in the preparation of plans and specifications, inspection, surveying, accounting, payment collection, and interim financing costs. From the staff s review of the proposal and the site, it does not appear that there is anything that would make the proposal unfeasible from a technical standpoint. All right-of-way is dedicated to the public and measures 50 feet in width. The road to be improved is already laid out and in use. The terrain is generally flat and rolling in nature and minor excavation or embankment will be required. CONSISTENCY WITH LAND USE REGUATIONS There are two considerations to be looked at in assessing whether the proposed improvements are consistent with zoning requirements. First, whether the class of the road improvement is one that would require land use approval and second, whether the requirements of the applicable zones would require land use approval. Since this modernization does not include adding a lane, the proposed improvements would be considered to be a Class III road or street project. Class III road and street projects are those involving modernization, traffic safety improvements, maintenance, repair, or preservation of a road or street. See DCC 17.08.030, definition for "Road and street project". Improvements falling within this classification do not, as a general rule, require a land use permit. The proposed improvement project is located within a Rural Residential Zone (RR-10). Class III road improvement projects in RR-10 zones are outright permitted uses. See DCC 18.60.020 (F). The proposed project is consistent with RR-10 zoning and may proceed without obtaining permits. Page 4 of 5 DETERMINATION OF MAXIMUM ACTUAL COST Under DCC Chapter 12.48; assessments for local improvements may include, in the costs to be assessed to benefiting properties, the "actual cost of the local improvement project". Actual costs include all direct and indirect costs incurred by the County to undertake a capital construction project such as that proposed by Resolution No. 2006-115. "Actual costs" includes but are not limited to; the cost of labor, materials, supplies, equipment rental, property acquisition, permits, engineering, financing, legal, administration, depreciation, amortization, reserve for delinquencies, or defaults and debt service. Administrative expenses may include those incurred in preparation for formation of a local improvement district, such as meeting with property owners, preparing and processing the feasibility report, and providing notice and conducting hearings. Since Pumice Butter Rd is not County maintained and the County has no plans to pave it, the property owners will be responsible for the cost to construct subgrade, base, and asphalt concrete pavement. The engineer has estimated the construction cost for the roadway to be $395,607.04. Therefore, the property owners' maximum actual cost for the proposed local improvement is $7,912.14 per assessment. The construction cost estimate is based on 2005-2006 project costs for similar types of construction. A detailed schedule of the cost estimate is attached as Exhibit 3. PROPOSED METHOD OF ASSESSMENT The recommended method of assessment, to arrive at a fair apportionment of the actual cost of the local improvement to the properties specially benefited, is to divide the total cost of the project or maximum actual cost, which ever is less, by the number of benefited lots. This per lot apportionment method is recommended due to differing lot sizes, shapes, frontage lengths, the presence of corner lots and it takes into account densities prescribed by zoning in the area. The differences amongst the lots make for difficulties in apportionment of an alternative method based on frontage or acres. However, if the properties can be legally divided without going through the land use process the property is assessed for having the status of being as many lots that it can be divided into. The boundaries of this LID have been drawn to include only those properties that abut or directly access the proposed improvements. All included properties are zoned RR-10. Given the existing zoning, the size of the subject parcels, and the nature of existing development in the area, it is reasonable to assume that future development on the vacant lots or legally subdivided lots in the proposed LID will be for residential uses. SPECIAL BENEFITS TO ASSESSED PROPERTIES After the improvements are finished, all properties proposed to be assessed will have the entirety of their access be by way of a paved road designed and constructed to County standards. County standards reflect the safety and design criteria of the Association of State Highway and Transportation Officials (AASHTO). Page 5 of 5 Direct access from paved roads will improve response time for emergency service vehicles, such as fire trucks and ambulances. Emergency service vehicles will not be required to slow down to negotiate bad stretches of road. Direct access from paved roads will reduce wear and tear on vehicles and generally make access to the properties for the entire length of the access more convenient. Direct access from paved roads will reduce dust raised by vehicles traveling past residences on aggregate roads. Direct access from paved roads will enhance the property values on a real market value standard Unimproved roads require frequent maintenance to keep them from getting rutted and wash boarded. Often, the washboards and ruts will reappear on the surface of the road after only a week and the road will need to be regraded. For these reasons, the assessed properties specially benefit from the proposed improvements. DESCRIPTION AND ASSESSED VALUE The names of the property owners of record, a property description, assessed value of each lot or parcel to be specially benefited by the local improvements and included within the LID boundary, and the not to exceed cost are attached as a benefited property list for this LID. A benefited properties list is attached as Exhibit 4 of this report. MAXIMUM ASSESSMENT AGAINST EACH LOT The maximum assessment against each lot or parcel to be included in the LID is: $395,607.04 / 50 assessments = $7,912.14 This is the assessment against each lot that the County agrees not to exceed, if the actual costs are less than the engineer's estimate then the assessment against each lot will be reduced proportionately. FINANCIAL CONSIDERATIONS DCC 12.48.150(B) addresses minimum requirements for the financial feasibility of the proposed project. A financial feasibility study from the County Finance Director was performed to evaluate the financial feasibility of the project. A Financial Analysis by the County Finance Director is attached as Exhibit 5 of this report. Exhibit "2" Feet 0 400 800 SEC 23 T18S R11 E wm Key .62 Road Miles, 51 Taxlots , , , Roads in LID Other Roads Pumice Butte LID Co t R d Printed: November 13, 2006 un y oa s Deschutes County Road Department N the ntormasm on flee map was dWL%d eom dlgltal datahasas on ' M oQ- O-h U .aaty:0.15. Care me taken in an aaatldn ofthls ' -r henrNNnvnr (~5 yrn r.diN map, but k is prwidad as is. Desdrutes CantY-notaccept any nsppnsibllity fa errors, oRllsium a postlaml ecaraty in the d9w data a the underlying records. There are no vtar oxp,, ramps, or r , DCt2 mane iK ;farcna?t r. L L, p , -ihna ..1-Pill +.•in a . hnplpd, ndudng drewamarty of merchantaNity a fhross far e w - nddrb. M A)bt lint particular purpose, m panyhg this product Ho-, rwdfcatlon ]end, Gp MU ~GC-- Exhibit'3' Cost Estimate Department 61150 SE 27th St. • Bend, Oregon 97702 (541) 388-6581 • FAX (541) 388-2719 Item Quantitv Unit Unit Price Cost Temp Features & Appur. Mobilization 1 ALL $ 22,000.00 $ 22,000.00 Surveying 1 ALL $ 13,000.00 $ 13,000.00 Temporary Signs 128 SF $ 5.00 $ 640.00 Temporary Prot. & Dir. of Traffic 1 ALL $ 5,000.00 $ 5,000.00 Flaggers 400 HRS $ 36.50 $ 14,600.00 Roadwork Clearing & Grubbing 1 ALL $ 7,500.00 $ 7,500.00 Embankment in Place 1,800 CY $ 20.00 $ 36,000.00 Watering 618 MG $ 10.00 $ 6,184.20 Finishing Roadbeds 3,300 LF $ 4.75 $ 15,675.00 Drainage & Sewers Adjusting Boxes 6 EA $ 500.00 $ 3,000.00 Bases 6" Aggregate Base 10,267 SY $ 7.50 $ 77,002.50 4" Aggregate Base 1,500 SY $ 6.00 $ 9,000.00 2' Aggregate Shoulders 1,467 SY $ 4.50 $ 6,600.00 Wearing Surfaces Level 3 (1/2") Dense Graded HMAC 1,000 TON $ 85.00 $ 85,000.00 Driveways 9 EA $ 500.00 $ 4,500.00 Subtotal $ 305,701.70 Const. Contingencies 10% $ 30,570.17 Subtotal $ 336,271.87 Engineering and Administration 15.0% $ 50,440.78 Subtotal $ 386,712.65 Loan Cost 2.3% $ 8,894.39 Total $ 395,607.04 Quality Services Performed with Pride Pumice Butte Road Local Improvement District F- U) O O N N N F- LIJ o) N) r w rn 0 X 69 EA zW _o 0 0 Cl C N N N (D O tt T- N) N N) f` W w cN cN ~ o 5 6c~ 04 O 0 0- OW J w a. 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Assessment to Value Ratios The ratio of assessed property value to the estimated LID assessment is one means of determining the financial risk. The ratios and lot percentages in the LID are as follows: Number of Lots % of Project Ratio Analysis 50 100% 10:1 or greater 0 0.0% 5:1 to 10:1 0 0.0% 2:1 to 5:1 0 0.0% 2:1 or less The following information was compiled by the Deschutes County Road Department: Approximately 3,300 feet of road is to be improved on Pumice Butte Road and fifty lots are to benefit from these road improvements. Engineers cost estimate is $395,607.04 with an estimated per lot assessment of $7,912.14. These are not County maintained roads, the property owners will be responsible for the cost to construct subgrade, base and asphalt concrete surfacing. No one property owner owns more than two lots within the boundaries of the LID. • The Assessor's records show 41 of the 50 lots developed; therefore DCC 12.48.330 "MINIMUM REQUIREMENTS FOR LOCAL IMPROVEMENTS INVOLVING UNDEVELOPED LAND" does not apply. All of the lots exceed the 2:1 value test in A.I. Nine of the lots involved have property taxes owing, so the test in (A.5) has not been met. Please note that some of these nine properties holders historically pay their property taxes in January - March and do not owe taxes from previous years. II. Risk Related Undeveloped Land Approximately 18% (9 lots) of the property within this area are undeveloped. Of the undeveloped properties, all have value to assessment ratios greater than a 13:1 ratio. III. Interim Financing Outside interim financing for this project may be required. If outside financing is required, bonding for these assessments will be required on behalf of property owners. IV. Long-term Financing Ballot Measure 50 has not affected our ability to issue limited tax improvement bonds for a project such as this one, according to our financial advisor for recent bond issues. • _dn Nq Marty Wynne Finance Director, Deschutes County EXHIBIT "B" NOTICE OF PROPOSED ROAD IMPROVEMENT DATE: April 4, 2007 TO: «NAME1)> (NAME2) NAME3)) (ADDRESS) (CITY), (ST) (ZIP) DESCRIPTION OF IMPROVEMENT PROJECT: PUMICE BUTTE ROAD L.I.D. DESCRIPTION OF BENEFITED PROPERTY: (ACCOUNT) Estimated Cost of Improvement: $395,607.04 Estimated Amount of Assessment: $7,912.14 The Board of County Commissioners has initiated the above improvement. The County Engineer has made a favorable report to the Board of County Commissioners regarding the proposed improvement. The Engineer's report relating to the proposed LID is on file and available for public examination. The area affected by the proposed local improvement is all of Pumice Butte Road in the Deschutes River Woods Subdivision, located south of Bend. The benefiting lots that would be assessed for the proposed improvement include those lots abutting the aforementioned road improvements shown on the attached list. Upon completion of the proposed improvement, the road will be accepted into the County Road System, and will be maintained by Deschutes County. IF YOU OBJECT TO THE PROPOSED IMPROVEMENT AND ASSESSMENTS, YOU ARE REQUIRED TO FILE WRITTEN OBJECTION, IF ANY, WITH THE BOARD OF COUNTY COMMISSIONERS, C/O DESCHUTES COUNTY ROAD DEPARTMENT, 61150 S.E. 27TH STREET, BEND, OREGON 97702, WITHIN 20 DAYS AFTER THE MAILING OF THIS NOTICE, OR BY ORAL TESTIMONY AT THE PUBLIC HEARING ON THE PROPOSED IMPROVEMENTS BEFORE THE BOARD OF COUNTY COMMISSIONERS, WHICH WILL BE HELD ON APRIL 25, 2007 AT 10:00 A.M. IN THE DESCHUTES COUNTY SERVICES BUILDING, BOARD OF COMMISSIONERS HEARING ROOM, 1300 NW WALL STREET, BEND, OREGON. If more than 50% of the owners of land representing more than 50% of the total amount of the assessment for the proposed improvement file objections, the proposed improvement will be declared abandoned and no new resolution shall be adopted within a period of one year. If the required numbers of objections are not received, the improvement will proceed and you will be notified of the actual assessment when it is determined by the Engineer. This assessment, as finally approved by the Board of County Commissioners, will be entered into the lien docket of Deschutes County and will be released when the assessment is paid in full. Owners may apply to make payments in installments which can be paid over a ten-year period. BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON TOM BLUST, Road Department Director On Behalf of the Board of County Commissioners