Chapter 12.12 PUBLIC IMPROVEMENTS

Editor’s note – People’s Ordinance Number 33 adopted by referendum states in part that the City shall not order construction of any improvement where assessments are levied against property owners except after approval of the property owners in the district to be assessed.

Article I. In General

12.12.010 Definitions and rules of construction.

(a) Definitions. The following words, terms and phrases, when used in this chapter, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning:

City Manager means the City Manager of the City, his designee or the City Finance Director.

Costs of an improvement or any similar term means all capital costs incurred in connection with any improvement authorized, including, but not limited to, land acquisition costs, architectural, engineering and inspection fees, soil testing expenses and consulting charges, acquisition, construction or installation costs pertaining to any improvement, allowances for contingencies, legal and other professional fees, the costs of issuing any bonds to finance any improvement, bond printing discount or reserve costs, interest costs, and any related costs necessary to or relating to the levy of special assessments to pay for any of the foregoing.

District means a public improvement district.

Interested party means a landowner or interested person as further defined in this chapter.

Landowner means any person who is the owner in fee of any undivided interest in real property or any improvements permanently affixed thereto. As used in this definition, “owner in fee” includes a contract purchaser of real property obligated to pay general taxes, an heir of a deceased owner, or a devisee of a deceased owner under a will admitted to probate, but does not include a contract seller of property with respect to which the contract purchaser is deemed to be the owner.

Mailed notice means notice by certified or registered first class postage prepaid United States mail within the time required for notice.

Net effective interest rate means the net interest cost of securities divided by the sum of the products derived by multiplying the principal amount of the securities maturing on each maturity date by the number of years from their date to their respective maturities. In all cases, net effective interest rate shall be computed with regard to the approved schedule of maturities or estimated mandatory redemptions.

Net interest cost means the total amount of interest to accrue from the date of securities to the date of maturity, less the amount of any premium or plus the amount of any discount at which such bonds or securities are being or have been sold. In all cases, net interest cost shall be computed with regard to the approved schedule of maturities or redemptions.

Posted notice means notice by continuous posting for three days at City Hall prior to the event to which the notice relates.

Published notice means notice by publication in a newspaper of general circulation within the City one time by one publication not more than 30 days nor less than 10 days prior to the event to which the notice relates.

Special benefit means a benefit to a particular property within a district separate and apart from general benefits to the City as a whole, which may include, but is not limited to, the following:

(1) Any increase in the market value of the property;

(2) Any adaptability of the property to a superior or more profitable use;

(3) Any increase in convenience or reduction in inconvenience accruing to a particular property owner, including the facilitation of access to a residence or a commercial establishment; or

(4) Any increase in patronage of a commercial establishment due to the availability of additional, better located, or less expensive access/parking.

Special improvement fund means a special fund authorized by this chapter.

Special operation and maintenance fund means a fund authorized by this chapter.

Special surplus and deficiency fund means a fund authorized by this chapter.

Street means and includes avenues, boulevards and other highways.

(b) Rules of Construction. The term “real estate or property” shall include all land within the limits of the City either platted or unplatted, regardless of lot or land line and the franchises of any railroad within any street improved under this chapter. Lots, plats, blocks and other subdivisions may be designated in accordance with any recorded plat thereof, unplatted lands by any definite description thereof and franchises by the name of the corporation owning such franchise.

(Code 1994 § 28-1)

Cross reference(s) – Definitions generally, GJMC 1.04.020.

12.12.020 Authority to make improvements, assess costs.

The City shall have the power to make local improvements and to assess the cost thereof wholly or in part upon the property benefitted as provided in this chapter.

(Code 1994 § 28-2; Code 1965 § 18-1)

12.12.030 Construction specifications.

All public improvements shall be constructed in accordance with the Charter, ordinances and specifications prescribed and authorized by the City Council and the City Manager or his designee.

(Code 1994 § 28-3; Code 1965 § 18-2)

12.12.040 Statutory procedures for forming districts.

In addition to the method and procedures for the formation of improvement districts as set out in this chapter, the City Council may follow those methods and procedures for the formation of districts as established in the State statutes. In the absence of a provision in this chapter, an applicable provision of the State statutes shall govern.

(Code 1994 § 28-4; Code 1965 § 18-3)

12.12.050 Findings – Limitation of actions.

All findings and determinations of the City Council with respect to the matters required by this chapter to be considered shall be final and conclusive upon all parties in interest. No ordinance or resolution or action of the City Council relating to the organization of any district, the authorization of any improvements, the approval of any method of apportioning assessments, the issuance of any bonds, or the levy of any special assessments shall be challenged after the expiration of 30 days from the effective date of any such ordinance, resolution or action.

(Code 1994 § 28-5; Code 1965 § 18-72)

12.12.060 Ratification of actions.

All actions not inconsistent with the provisions of this chapter heretofore taken by the officers of the City, elected or appointed, directed toward the establishment of improvement districts are hereby ratified, approved and confirmed.

(Code 1994 § 28-6; Code 1965 § 18-73)

Article II. Districts Created by City Council

12.12.070 Types of improvements authorized.

The Council may, in districts to be prescribed, order the construction, reconstruction, replacement, renewal or extension of:

(a) Paving, grading, curbing, guttering or otherwise improving the whole or any parts of any streets, alleys or other rights-of-way in the City or any combination of improvements;

(b) Grades, crosswalks, culverts, drains, manholes, catchbasins;

(d) Any local improvement and renewals or extensions thereof which benefit the land abutting such improvements, such as sidewalks, water mains;

(e) The necessary construction and the installation of lighting;

(f) Sewage disposal works and renewals or extensions thereof;

(g) Other public works as may be considered necessary and authorized by the City Council;

(h) Providing of landscaping and beautification of an area or areas within the district or for the providing of other aesthetic improvements.

The Council may also create local improvement districts for the purpose of developing an improvement plan for a district with subsequent formation of smaller districts.

(Code 1994 § 28-26)

12.12.080 Prerequisites to establishment of districts.

(a) In establishing any improvement district, the City Council shall observe the following:

(1) Before ordering any improvement, the Council shall adopt details and specifications for the improvement; determine the number of installments and the time in which the cost shall be payable; determine the rate of interest on the unpaid installment; and determine the lands to be assessed for the improvements. The City Manager shall provide an estimate of the total cost of such improvements and a map of the lands to be assessed, exclusive of the cost of collection and other incidental costs.

(2) The Council shall, by advertisement for one issue in a newspaper of general circulation, give notice to the owners of the real estate in the district and to all persons generally interested, without naming such owners or persons, of:

(i) The kinds of improvements proposed;

(ii) The number of installments and the time in which the cost of the improvements will be payable;

(iii) The rate of interest on unpaid installments;

(iv) The extent of the district to be assessed, by boundaries or other brief description;

(v) The probable cost as shown by the total estimate of the City’s engineer(s);

(vi) The maximum total estimate per front foot where the assessment is made per front foot, or per square foot of lot where the assessment is made according to the area that will be assessed upon any lot or lands in the district and, in case the assessment shall be made otherwise than per front foot or square foot, the maximum share to be assessed upon any lot or lands in the district or to any persons shall be stated according to the method of assessment adopted;

(vii) The time, not less than 30 days after advertisement, when the Council will consider the proposed improvements and hear all complaints and objections that may be made by the owner of any real estate to be assessed or any interested persons; and

(viii) The fact that the map and estimates and all proceedings of the Council are on file and can be examined at the office of the City Clerk during business hours at any time within the 30 days, by any interested person.

(b) Except as provided in this section, all improvements made under the provisions of this article shall be constructed by independent contractors and all contracts shall be procured and let by the City Manager with the approval of the City Council. The City may, under the provisions of this article, provide for the doing of the work by hiring labor and may arrange for the purchase of the necessary material under the supervision of the City Manager.

(c) Districts may be formed by the City Council pursuant to petition(s) of the owners for any improvement provided in this article. The petition must be subscribed and acknowledged in the manner provided by law for acknowledgements of deeds of conveyances of real estate, by the owners or their agents duly authorized by power of attorney. No petitioner, heir, successor or assign shall be permitted to withdraw his name from the petition after such petition has been filed with the Council unless the Council fails to order such improvements upon petition within the time specified in the petition filed. On all projects the Council shall have discretionary power to elect the type and specifications of the project and materials.

(d) All proceedings by the Council may be modified, confirmed or rescinded at any time prior to the adoption of the resolution authorizing the improvements; provided, that no substantial change in the district, map details, specifications or estimate shall be made by the City Council without further notification equivalent to that made in the first publication of the notice to the property owners.

(e) If at the time of the adoption of the resolution authorizing the improvements, any real estate in the district has the whole or any part of the proposed improvements, conforming or approximately conforming to the general plan, the Council may adopt the same in whole or in part, or make the necessary changes to make the same conform to the general plan. The owner of such real estate shall, when the assessment is made, be credited with the amount which is saved by reason of adopting such existing improvements.

(f) The findings of the City Council by resolution that any improvements provided for in this article are duly ordered after notice was duly given, or that petition or remonstrance was or was not filed, or was or was not duly subscribed and acknowledged by the required number of owners, as in this article provided, shall be conclusive in every court.

(Code 1994 § 28-27; Code 1965 § 18-4(a) – (d), (g) – (i))

12.12.090 Assessment of costs.

(a) In case of any improvement made pursuant to this article, the cost of such improvements, or such part thereof as may be assessed against the property specially benefitted, may be assessed without regard to lot or land lines, on a frontage, zone or other equitable basis in accordance with benefits as the same may be determined by the City Council.

(b) When the City Council determines that any improvement authorized by this article results in special benefits to both the City and the abutting property owner, that portion of the cost of the improvement which results in special benefit to the City may be assessed against the City and be payable in installments, as provided in this article. The determination by the City Council as to the property to be assessed and the amount of special benefit shall be conclusive.

(Code 1994 § 28-28; Code 1965 §§ 18-5, 18-6)

12.12.100 Adjustment of assessment for irregularly shaped property.

When any real estate is V-shaped or of any irregular form, the Council may make adjustment or change in the assessment thereon as equitable and just, or may refuse to make any adjustment or change.

(Code 1994 § 28-29; Code 1965 § 18-9)

12.12.110 Sidewalk construction – Reconstruction.

The City Council may order the construction or reconstruction of sidewalks other than in improvement districts whenever in the opinion of the Council that shall be proper, because sufficient sidewalks have been laid in the vicinity to make it reasonable that intervening sidewalks should be provided, or existing sidewalks should be reconstructed. In all such cases, the City Council shall notify the owner to construct or reconstruct such sidewalks within 30 days, or other period of time established by the Council, from the date of service of notice. The notice shall be in writing and served in person upon the owner, if within the City, and if not, it may be served by certified mail or by publication for 10 days. The owner shall have the right to construct or reconstruct sidewalks with plans and specifications of the City. If the owner fails to timely complete the improvements or otherwise be in default, the Council may have the required work done, either by the City acting through its officers, agents or employees or by others and when done, issue to the person, City or other corporation doing the work its certificate therefor stating the just amount due. The certificate shall draw interest at the rate established by the Council until paid, and when recorded in the office of the County Clerk and Recorder shall be a lien upon the benefitted property, and such amount may be recovered by the holder of the certificate against the owner in any court of law. Such lien may be foreclosed by the holder of such certificate if not paid within 30 days of its date. The City Council may, by resolution, provide further means of construction or reconstruction of sidewalks upon failure of the owner to do so within the limits specified by notification, such as by the inclusion of the area in the improvement district. Upon passage of a resolution creating an improvement district, the owner may not thereafter do or have done the construction or reconstruction of sidewalks, but such construction or reconstruction may be done only under the improvement district.

(Code 1994 § 28-30; Code 1965 §§ 18-12 – 18-14)

12.12.120 Acquisition of property by eminent domain.

As deemed necessary by the City Council to facilitate any improvement authorized by this article, rights-of-way and other real estate or property may, upon the order of the Council, be purchased or acquired by eminent domain on behalf of the City and the whole cost thereof shall be included as a cost of an improvement district, as may be determined by the City Council.

(Code 1994 § 28-31)

12.12.130 Construction of bridges, viaducts, tunnels by railroads.

The Council may, by resolution, require railroad companies to construct, at their own expense, bridges and their approaches, tunnels or other conveniences at public crossings and viaducts and approaches over railroad tracks where the same cross or extend along public highways or streets. Whenever the Council shall deem any such improvement necessary, it may by resolution require the construction of such improvement, the character and location of such proposed improvement to be therein described of sufficient certainty and an estimated cost to be stated. Where a viaduct or tunnel crosses or passes under the tracks of several railroad companies, the Council may apportion the cost thereof equitably among the different companies owning the tracks.

(Code 1994 § 28-32; Code 1965 § 18-26)

12.12.140 Certificate of completion and cost.

Upon completion of any improvement authorized by this article, the City Manager shall prepare a statement showing the whole cost of the improvement, or such parts thereof as completed, including costs of collection, real estate or property acquisition (including the costs, fees and charges associated with any condemnation), and incidental costs, including interest, and apportioning the same upon each lot or tract of land to be assessed. The statement shall be certified by and filed in the office of the City Manager.

(Code 1994 § 28-33; Code 1965 § 18-27)

12.12.150 Notice of completion and cost – Hearing.

(a) The City Manager shall for three consecutive days advertise in a newspaper of general circulation that: such improvements have been or are about to be completed and accepted; specifying the whole cost of the improvements; the share so apportioned to each lot or tract of land or parcel; the part to be paid by the City; and that any complaints or objections may be made in writing by owners or interested persons to the City Council by filing with the City Manager within 30 days from the first publication of notice. Complaints or objections will be heard and determined by the City Council at its first regular meeting after such 30 days and before the adoption of any ordinance assessing the costs of improvements.

(b) At the meeting specified in the notice provided by subsection (a) of this section, the Council shall hear and determine all complaints and objections. The Council may thereupon make modifications and changes as equitable and just, or may confirm the apportionment. The Council shall thereafter, by ordinance, assess the cost of improvements against all real estate or property in the district and against such persons in proportions determined.

(Code 1994 § 28-34; Code 1965 § 18-28)

12.12.160 Lien for assessments – New assessments.

All assessments made pursuant to this article, together with all interest thereon and penalties for default in payment thereof and all costs in collecting such assessments, shall constitute a perpetual real estate lien equivalent to general property (state, county, city, town or school) taxes. No sale of such property to enforce any general state, county, town or school tax or other lien shall extinguish the perpetual lien of such assessment. As to any subdivision of any land assessed pursuant to this article, the assessment shall in each case be a lien upon all portions of the subdivision without any regard to proportion or area. No delay, mistake, error, or irregularity in any act or proceeding authorized by this article shall prejudice or invalidate any final assessment, but the same may be remedied by subsequent amending acts or proceedings, as the case may require. When so remedied, the assessment shall take effect and have the priority as of the date of the original act or proceeding. If any court of competent jurisdiction declares any final assessment made pursuant to this article invalid, then the City Council may, upon notice as required for the making of an original assessment, make a new assessment in accordance with this article.

(Code 1994 § 28-35; Code 1965 § 18-30)

12.12.170 Preparation, form of assessment roll.

The City Manager shall prepare a local assessment roll showing each piece of real estate assessed, the total amount of the assessment, the amount of each installment of principal and interest, if the assessment is payable in installments, and the date or manner in which such installments will become due. No error, failure, neglect or default on the part of the City, County Treasurer or County Assessor in complying with recordation, certification or collection of any assessment shall invalidate any tax or assessment or affect the underlying lien.

(Code 1994 § 28-36; Code 1965 § 18-31)

12.12.180 Payment, collection of assessments.

(a) All assessments upon real estate made pursuant to this article shall be due and payable within 30 days of the final publication of the assessing ordinance without demand; provided, that all such assessments may at the election of the owners be paid in installments with interest as provided. Failure to pay the whole assessment within 30 days shall be conclusively considered and held to be an election on the part of all persons interested, whether under disability or otherwise, to pay in installments. All persons electing to pay in installments shall be conclusively considered and held as consenting to such improvements, and such election to pay in installments shall be conclusively held and considered as a waiver of any and all right to question the powers or jurisdiction of the City to order or construct the improvements, the quality of the work, the regularity or sufficiency of the proceedings, the validity or correctness of the assessment, or any other objection or matter. The number of installments, the period of payment and the rate of interest shall be determined by the City Council in its sole and absolute discretion.

(b) All installments of principal and interest for assessments under this article shall be payable at such times as may be specified by the assessing ordinance; provided, that the County Treasurer shall be permitted, without the assessment of penalty or penalty interest, to collect installments in accordance with statutory provisions for the collection of general taxes. When installments are to be paid annually, failure to pay any installment, whether of principal or interest or both, when due shall cause the whole of the unpaid balance to become due and payable immediately and the whole amount of the unpaid principal and accrued interest shall thereafter draw interest at a rate established by the City Council. At any time prior to the date of sale, the owner may pay the amount of all delinquent installments together with interest and shall thereupon be restored to the right to pay installments in the same manner as if default had not occurred.

(Code 1994 § 28-37; Code 1965 §§ 18-31 – 18-37)

12.12.190 Payment of delinquent assessments – Sale of real estate or purchase by City – Report of collections – Actions by Council.

(a) The County Treasurer shall receive payment of all delinquent assessments against any real estate, together with interest and other charges and, in case of default in the payment of any installment of principal or interest when due, shall advertise and sell any and all real estate concerning which such default is suffered for the payment of the due but unpaid installment or installments with interest thereon. Such sales and advertisements shall be made at the same time or times and in the same manner and under the same conditions and penalties and to the same effect as are provided by the general laws of the State for the sale of real estate in default of payment of general taxes. The holder of a certificate from the County Treasurer, including the City, showing payment of an assessment, may have subsequent assessments endorsed thereon under the same terms and conditions as provided by the general laws of the State for the endorsement of subsequent taxes on tax certificates.

(b) At any sale by the County Treasurer of any real estate in the City for the purpose of paying any special assessment, the City Manager or his designee may purchase any such real estate without paying for the real estate in cash and shall receive certificates of purchase in the name of the City. Such certificates shall be received and credited at face value, with all interest penalties and other charges accrued, to the City Manager on account of the assessments in pursuance of which the sale was made. The certificates may thereafter be sold by the City Manager at face value, with all interest and penalties accrued. The City Manager shall assign the certificates and the proceeds shall be credited to the fund created by ordinance for the payment of assessments. Assessments shall be made without recourse upon the City in any event. Any such sale and assignment shall operate as a lien in favor of the City and of the holders of certificates as provided by law in the case of sales of real estate for default in payment of general taxes. The owner of any divided or undivided interest may pay his share of any assessment.

(c) All collections made by the County Treasurer upon any assessments in any calendar month shall be accounted for to the City Manager on or before the tenth day of the next succeeding calendar month with separate statements of all collections for each improvement or assessment.

(d) In carrying out the provisions of this article, the City Council shall act by resolution in all cases, except that the cost of all improvements shall be assessed by ordinance.

(Code 1994 § 28-38; Code 1965 §§ 18-38 – 18-41)

Article III. Districts Created by Petition

12.12.200 Authorized.

The establishment of a district may be accomplished by petition by the procedure set forth in this article.

(Code 1994 § 28-61; Code 1965 § 18-64)

12.12.210 Form of petition – Filing.

The petition establishing a district shall set forth the name of the proposed district, a legal description thereof, a statement that if the district is established the City shall acquire, construct, install, finance and operate improvements within the district and defray the costs of doing so by levying special assessments against the property within the district, and a request for the establishment of a district. The petition shall be subscribed by more than 50 percent of the landowners in the district and also by landowners with property within the district comprising more than 50 percent in the aggregate of the valuation for assessment of all property therein. The petition shall be filed in the office of the City Manager. Counterpart petitions may be filed and together shall be regarded as one petition.

(Code 1994 § 28-62; Code 1965 § 18-64(a))

12.12.220 List of landowners in proposed district – Notice.

Upon receipt of a petition for establishment of a district, the City Manager shall cause to be prepared a list of all landowners as of the date of filing. Such list shall be prepared from the official records of the County Treasurer and from such other reliable information as may be available. The City Manager shall give published notice of the date of the intended completion of the list, affording all persons claiming to be landowners an opportunity to present evidence satisfactory to the City Manager of their rights to be included on the list of landowners. Any person who fails to present evidence prior to the date of completion of the list, as announced in the notice thereof, shall be deemed to have waived any objection to the sufficiency of the petition or the failure of the City to give mailed notice to such person of any subsequent proceeding, and the published notice required by this section shall specifically state upon completion of such list that the City Manager shall fix a place and time not less than 20 days nor more than 40 days thereafter for a hearing on the petition before the City Council. The City Manager shall give published and mailed notice to all landowners of the pendency of the petition and of the place and the time of the hearing thereon. Such notice shall also set forth the name of the proposed district, a legal description thereof and a statement that if the district is established the City shall acquire, construct, install, finance or operate improvements within the district and defray the costs of doing so by levying special assessments against the property within the district.

(Code 1994 § 28-63; Code 1965 § 18-64(b))

12.12.230 Hearing on petition – Challenges – Rulings.

At the hearing called pursuant to this article, the City Council shall determine if the petition complies with the requirements of this article and shall determine the qualifications of the subscribers to the petition and the genuineness and sufficiency of the signatures thereon. Any landowner having information relevant to such determinations shall be afforded the opportunity at such hearing to present such information. Unless challenged at the hearing by an interested party having such information, the information contained in the list of landowners prepared by the City Manager shall be presumed correct. In the event of any such challenge, the City Council shall hear and rule upon the challenge. Regardless of whether any challenge is made, the City Council shall make a finding as to its accuracy and completeness. All rulings on challenges and findings concerning the accuracy and completeness of the list shall be embodied in any ordinance adopted pursuant to this article. Any petition may be amended to conform to the facts or to correct technical defects and, whether or not so amended, may be recirculated for the purpose of obtaining additional signatures.

(Code 1994 § 28-64; Code 1965 § 18-64(c))

12.12.240 Establishment of district.

If the City Council finds that the petition complies with the requirements of this article and that it bears the requisite number of signatures, it shall by ordinance declare the district established, giving it the name required by this chapter and an appropriate number and describing its boundaries in accordance with the petition, or any amendment thereto, necessitated by the proceedings.

(Code 1994 § 28-65; Code 1965 § 18-64(d))

Article IV. Improvements

12.12.250 Procedures generally.

The City Council shall proceed with respect to the acquisition, construction or installation of improvements within any district as follows:

(a) Any improvement authorized by this article shall be initiated by resolution of the City Council declaring its intention to acquire, construct or install such improvement. Such resolution shall describe with particularity the nature and location of the improvement, refer to plans and specifications and maps on file with the City Manager, estimate the costs of the improvement, and specify the manner in which such costs will be defrayed. If the costs are to be defrayed in any part by special assessment against the property benefitted, the resolution shall also describe the properties to be assessed, set forth the method of apportioning the total cost among such properties, and state the share of such cost to be assessed against each property. The resolution shall also fix a place and time for public hearing before the City Council on the matters contained in the resolution.

(b) The City Manager shall give published notice of the adoption of the resolution and of the place and time of the hearing on the matters contained therein. The City Manager shall also give mailed notice thereof to all landowners scheduled to bear any portion of the assessment burden, if the scheduled cost is to be defrayed, in whole or in part, by special assessments. Such notice shall describe the matters required to be contained therein by this article. Such notice shall also state that the City Council may not proceed if written protests to the acquisition, construction, or installation of the proposed improvements are filed with the City Manager on or before the date of the hearing by landowners scheduled to bear 50 percent or more of the assessment burden, if any portion of the scheduled cost is to be defrayed by special assessments.

(c) At the hearing, the City Council shall review the nature, location and cost of the proposed improvements and the method of financing such improvements. If any portion of the cost is to be defrayed by special assessments, the City Council shall receive expert testimony concerning the special benefits to be conferred on the properties to be assessed and the fairness of the method of apportioning assessments. Any such method may take into consideration such factors as the City Council deems relevant, including without limitation the following factors:

(1) The distance of the improvements from the property to be assessed;

(2) The need for parking for each property;

(3) The valuation for assessment of each property;

(4) The square footage of each property;

(5) The square footage of usable floor space with respect to each property and the use thereof; and

(6) The availability of existing facilities with respect to each property.

Any method must result in the levy of assessments upon every property assessed not in excess of the special benefit conferred thereon and among all such properties in rough approximation to the special benefits conferred. The City Council shall afford all landowners scheduled to bear any portion of the assessment the opportunity to be heard on the matters before it. Any objection to the method of apportioning the assessment not made at such hearing shall be deemed waived. Any objection to the amount proposed to be assessed not made at such hearing shall be deemed waived to the extent of such amount. The City Council shall determine the sufficiency of protests filed. If the City Council finds that written protests to the acquisition, construction or installation of the proposed improvements have been filed with the City Manager on or before the date of the hearing by landowners scheduled to bear 50 percent or more of the assessment who have not previously signed a petition for formation of the district, it shall not proceed. If the City Council finds that insufficient protests have been received as provided in subsection (b) of this section, the City Council shall rule upon all objections made, may make such adjustments in the nature, location and cost of the improvements as may be warranted, and shall by ordinance authorize the acquisition, construction or installation of the improvement and, if appropriate, the assessment of the cost thereof in accordance with the method approved. By ordinance, the City Council shall also fix an interest rate to be paid on unpaid installments.

(d) Except in cases in which the City receives aid from an agency of the federal government, the City Manager shall give published notice for bids on all contracts for work or material or both involving an expense of $10,000 or more in connection with any improvement within a district. The City Council may reject any and all bids and if it appears that the City can perform the work or secure material for less than the lowest bid, it may proceed to do so.

(Code 1994 § 28-86; Code 1965 § 18-67)

12.12.260 Special assessments.

Whenever the cost of any improvement or the cost of operating or maintaining any improvement is to be defrayed in whole or in part by special assessment, the following procedure shall be observed:

(a) Upon completion of any improvement or upon completion from time to time of any part thereof and upon acceptance thereof by the City Manager or when the total cost of any improvement or any such part thereof can be definitely ascertained, the City Manager shall cause to be prepared a statement showing the whole cost of the improvement and the portion thereof to be defrayed by special assessment. Such cost may be either greater or lesser than that originally approved by the City Council and may include additional expenditures, the nature and amount of which were unforeseen at the time of the authorization of the improvement. Such statement shall also contain an apportionment of the cost to be assessed among the properties to be assessed in conformity with the method previously approved. Such statement shall be filed in the office of the City Manager.

(b) The City Manager shall give published and mailed notice to all landowners scheduled to bear any portion of the assessment burden that the proposed apportionment has been completed and of the hearing thereon. The notice shall specify the whole cost of the improvement, the portion to be defrayed by special assessment, the amount to be assessed against each property, and that any complaints or objections to the proposed assessments which are made in writing by any landowner scheduled to bear any portion of the assessment burden and filed with the City Manager on or before the date of the hearing will be heard and determined by the City Council before the passage of any ordinance assessing the cost of such improvement.

(c) At the time specified in such notice or at some adjourned time, the City Council shall hear and determine all such complaints and objections. If the City Council determines that the assessment is inequitable in any case, the City Council shall make a just and equitable assessment based upon the benefits accruing to the property assessed by reason of the improvement(s) made.

(d) The City Council shall by ordinance apportion and assess the cost of the improvement. The passage of such ordinance shall be prima facie evidence that the assessments have been lawfully levied.

(e) Any clerical or technical errors or mistakes in the levy of assessments may be corrected by amendatory ordinance. Such corrections shall take effect as of the date of the original assessing ordinance.

(f) All assessments, together with all interest thereon, penalties for default in payment thereof, other authorized charges and all costs incurred in collecting the same shall constitute, from the date of the passage of the assessing ordinance, a perpetual lien in the several amounts assessed against each property and shall have priority over all other liens except general tax liens.

(Code 1994 § 28-87; Code 1965 § 18-68)

12.12.270 Reapportionment of assessments.

Whenever due to a change in the use of property assessed for the cost of any improvement, or due to other changes within the district and upon the request of any interested party, the City Council may reapportion the cost of the improvement among the property benefitted thereby as follows:

(a) Reapportionment proceedings shall be commenced only in the discretion of the City Council by resolution declaring its intent to reapportion. Such resolution shall contain a proposed schedule of reapportioned assessments showing with respect to all properties previously or prospectively to be assessed the net change in the assessment obligation. The resolution shall also fix a place and time for a public hearing before the City Council on the proposed reapportionment.

(b) The City Manager shall give published notice of the adoption of the resolution and of the place and time of the hearing on the proposed reapportionment. The City Manager shall also give mailed notice thereof to the landowners with respect to all properties previously or prospectively to be assessed. Such notice shall summarize the resolution and set forth in detail the matters required to be contained therein by this section. Such notice shall also state that the City Council may not proceed if written protests to the proposed reapportionment are filed with the City Manager on or before the date of the hearing by landowners scheduled to bear 50 percent or more of the proposed assessed burden as reapportioned.

(c) At the hearing so set, the City Council shall afford all landowners scheduled to bear any portion of the assessment burden as reapportioned the opportunity to be heard. Any objection not made at such hearing shall be deemed waived. The City Council shall determine the sufficiency of the protests filed. If the City Council finds that written protests to the proposed reapportionment have been filed with the City Manager on or before the date of the hearing by the affected landowners, it shall not proceed. If the City Council finds that insufficient protests have been received as provided in this section, the City Council shall rule on any objections and shall by ordinance reapportion the assessment in accordance with a proposed schedule or any amendment thereto necessitated by the proceedings. In reapportioning the assessment, the City Council shall at the hearing thereon receive expert testimony concerning the special benefits conferred on the properties subject to assessment and the fairness of the proposed method of reapportioning the assessments. Any such method may take into consideration such factors as the City Council deems relevant, including without limitation the factors stated in this article. Any such method must, however, result in the levy of assessments upon every property assessed not in excess of the special benefits conferred thereon and among all such properties in rough approximation to the special benefits conferred.

(d) No such reapportionment shall become effective until after the expiration of the limitation of actions period prescribed in this article or until after all judicial or further City Council proceedings in connection with any action commenced within such period shall have been completed, whichever is later. Reapportioned assessments shall be collected as provided in this article, except that the reapportioned assessments payable in installments shall be payable on the same installment schedule as originally prescribed by the City Council. No assessment shall be reapportioned more frequently than once in any 12-month period and no such reapportionment shall reduce the aggregate amount of the assessment payable when such assessments constitute in whole or in part the security for any bonds of the City then outstanding.

(Code 1994 § 28-88; Code 1965 § 18-69)

12.12.280 Collection of assessments.

All assessments levied as provided in this article shall be collected as follows:

(a) The City Manager shall cause to be prepared an assessment roll in book form, showing in suitable columns each property assessed, the total amount of each assessment, if applicable, the amount of each installment of principal and interest, and the date when the whole amount or each installment will become due. The assessment roll shall also have suitable columns for use in the event of payment of the whole amount or of any installment before due and of payment of any penalty.

(b) Payment in full of assessments levied pursuant to this article may be made to the City Manager without interest at any time within 30 days after the passage of an assessing ordinance.

(c) At the expiration of such 30-day period, the City Manager shall prepare an assessment roll, therein showing all payments made and the date of each, which roll shall be certified by the City Clerk under the seal of the City and delivered to the County Treasurer for the collection of the same.

(d) The owner of any partial interest in any property assessed may pay such owner’s share of any assessment upon producing evidence of the extent of such separate interest satisfactory to the City Manager or County Treasurer having charge of the roll.

(e) All collections made by the County Treasurer upon such assessment roll in any calendar month shall be accounted for and paid over to the City Manager on or before the tenth day of the next succeeding calendar month, with separate statements for all such collections for each improvement.

(f) All special assessments shall be due and payable within 30 days after the passage of the assessing ordinance without demand. The City Manager shall give mailed notice to the landowners of the property assessed.

(g) The City shall have the following rights and remedies with respect to any sale by the County Treasurer of any property for the purpose of paying any special assessment made under the provisions of this article:

(1) The City may purchase any such property without paying for such property in cash and shall receive a certificate of purchase therefor in the name of the City. The certificate shall be received and credited at its face value, with all interest and penalties accrued, on account of the assessments in pursuance of which the sale was made. Any such certificate may thereafter be sold by the City at its face value, with all interest and penalties accrued and assigned to the purchaser in the name of the City. If all bonds issued in payment for the improvement have been discharged in full, such certificate may be sold by the City for the best price obtainable at public sale, at auction or by sealed bids in the manner and under the same conditions as provided in this article. Such assignment shall be without recourse and the sale and assignment shall operate as a lien in the favor of the purchaser and as assignee as provided by law in the case of sales of real estate in the default of payment of general property tax.

(2) The City as purchaser has the right to apply for a tax deed on any such certificate of purchase at any time after three years from the date of issuance thereof, and any such deed shall be issued as provided by law for issuance of tax deeds for the nonpayment of general property tax.

(3) If the City is the owner of the property by virtue of a tax deed, or is the owner of the property otherwise acquired, in satisfaction or discharge of the lien represented by any such certificate of sale, it may sell such property as provided by ordinance and/or City Charter.

(4) If the City is a holder of a certificate of purchase, it may bring a civil action for foreclosure thereof, joining as defendants all persons holding record title, persons having or claiming any interest in the property or the proceeds of foreclosure sale, all government taxing units having taxes or other claims against such property and all unknown persons having or claiming any interest in such property. Any number of certificates may be foreclosed in the same proceeding. In such proceeding the City, as plaintiff, is entitled to all relief provided by law in actions for an adjudication of rights with respect to real property.

(Code 1994 § 28-89; Code 1965 § 18-70)

12.12.290 Special assessment bonds.

For the purpose of paying all or such portion of the cost of any improvement constructed under the provisions of this article as may be assessed against the property specially benefitted thereby and not otherwise paid, the City Council may issue special assessment bonds of the City as provided in this section without an election. If the cost of any improvement is not known with certainty, such bonds may be issued upon estimates approved by the City Council.

(a) Special assessment bonds issued pursuant to the authority of this article may be in such form and bear such date as may be prescribed by the City Council. Such bonds shall mature a sufficient number of years from their date so that payment may be made from assessments levied therefor but subject to call as provided in this article. Such bonds shall be subscribed by the presiding officer of the City Council with the seal of the City affixed thereto and attested by the City Clerk. Such bonds shall bear such rate or rates of interest as may be determined by the City Council, not exceeding the maximum net effective interest rate specified by the City Council prior to the use of such bonds in payment for improvements or the sale thereof. Such interest shall be payable annually or semiannually and evidenced by one or two sets of coupons executed with the facsimile signature of the City Manager. The holders of such bonds may look for the payment thereof solely to, and the bonds shall be secured solely by, a pledge of the appropriate special improvement fund established therefor into which shall be deposited all moneys received on account of special assessments levied against the properties in the district specially benefitted by the acquisition, construction and installation of the improvements financed by the issuance of the bonds. Notwithstanding the foregoing, the City may at its option apply any other funds legally available therefor to the payment of the bonds. All moneys collected from such assessments for any improvement shall be applied to the payment of bonds issued until payment is made in full of all bonds, both principal and interest. The bonds may be used in payment of the cost of the improvement, or the City Council may sell the bonds at public or private sale on such terms as it may determine at a price sufficient to pay such costs.

(b) All such bonds shall be negotiable instruments within the meaning of State statutes, as amended.

(c) Whenever the City Manager has a sum of money to the credit of any special improvement fund exceeding six months’ interest on the unpaid principal of the bonds issued therefor and outstanding, he shall call in a suitable number of such bonds for payment by giving published and mailed notice to the holder or holders of all bonds to be so redeemed. For this purpose, the holder of any bond may at any time furnish his postal address to the City Manager. At the expiration of 30 days from such publication of notice, interest on the bonds so called shall cease. The notice shall specify by number the bonds called and all such bonds shall be paid in direct numerical order.

(Code 1994 § 28-90; Code 1965 § 18-71)