Harvest Develop. - Aff. HousingCITY OF DUBUQUE, IOWA
MEMORANDUM
July 12, 2001
TO:
FROM:
SUBJECT:
The Honorable Mayor and City Council Members
Michael C. Van Milligen, City Manager
7/16/01 Work Session - Harvest Development
In the September 2000 City Council Goal Setting Session, owner-occupied Affordable
Housing was selected as a priority. Since that time the City Council appointed a broad-
based citizen task force to study the issue and develop recommendations. The work of
that task force is not yet complete.
I received the attached April 17 letter from Harvest Development Group seeking
financial assistance with their development of the 70 acres they purchased from the
Hilby family on Asbury Road. They are proposing creating 160 residential lots in four
phases. This is not an affordable housing issue, but it does have some relation to the
development of owner-occupied housing in the Dubuque City limits.
The attached chart showing residential development in the City will demonstrate the
significant potential that a problem exists in our community with a lack of new owner-
occupied construction. In a town of 60,000 people, less than 100 single-family homes
are being built each year from the period of 1990-2000. If you look at the more recent
past from 1996-2000, only 56 single-family homes are being built each year on average,
with only 40 homes built in the year 2000.
Our community will not thrive and grow if homes are not being built. Also, building
those homes in the corporate city limits prevents sprawl and provides the greatest
return on existing infrastructure, like sewer, water and streets.
I have thoroughly reviewed the Harvest Development request with staff and I do not
believe that most of their requests are affordable, however, their request for assistance
in the area of sanitary sewer work is affordable within the City's Capital Improvement
Program and should be given serious consideration. One important caveat I would
have is that if assistance for this project is to be further considered, that it only be
provided for the owner-occupied components of the project and not the multi-family
rental component or the commercial component.
I further believe that the request for a commitment from the City to develop a small park
in the development if the land is donated is reasonable.
The attached memorandum from Assistant City Engineer Gus Psihoyos and Planning
Services Manager Laura Carstens explains the request and the staff recommendation
more thoroughly.
I look forward to the discussion at the Monday, July 16, 2001, 5:30 p.m. worksession
which will be held at the Library auditorium.
Michael C. Van Milligen --
MCVM/ksf
Attachment
cc: Mr. Marry McNamer, Secretary/Treasurer of Harvest Development Group
Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Laura Carstens, Planning Services Manager
Bob Green, Water Plant Manager
David Harris, Housing & Community Development Director
Mike Koch, Public Works Director \
Gus Psihoyos, Assistant City Engineer
City of Dubuque
Number and Value of Residential Units Built 1990 - 2000
Two Multi. Total Value of
Single- Family Family Residential Residential
Family. Units Unite Units Con. atruo, flon
1990 110 12 77 199 $14,749,638
t991 116 4 34 154 $11,958,749
1992 170 6 98 274 $20,449,067
t993 126 30 75 231 $16,662,639
1994 105 22 105 232 $15,789,433
t995 84 22 103 209 $14,927,159
t996 65 14 50 129 $t1,151,341
t997 57 4 69 130 $11,325,894
1998 67 14 57 136 $20,419,693
1999 54 14 17 85 $8,080,111
2000 40 24 ..-63 --_127 $!! 758 890.
Total ...994 ~t66 -..748 ....-1908 ~1~T~272t114
Average 99.4 16.6 74.8 190.8 $15,727,211
Value
per
........ Unit
$74,119
$77,654
$74,632
$72,133
$68,058
$71,422
$86,445
$87,122
$147,969
$95,060
$94,720
Dollar values are NOT adjusted for changes in costs of living and inflation
Source" Cify of Dubuque Building Services Department building permit data
Prepared: March, 2001
CITY OF DUBUQUE, IOWA
MEMORANDUM
July 3, 2001
TO:
FROM:
Michael Van Milligen, City Manager
Gus Psihoyos, Assistant City Engineer
Laura Carstens, Planning Services Manager
SUBJECT: Harvest Development Group - Request for City Assistance
This memo transmits information regarding a request by Harvest Development Group, Ltd.
for City assistance to facilitate development of a proposed residential subdivision on
Asbury Road. Enclosures include the letter of request from Martin McNamer, a partner in
Harvest Development Group, Ltd., a map of the project site, a staff analysis of the
development group's eight requests for City assistance, and background information on
costs.
The City Council is scheduled to consider this information at a work session on Monday,
July 16, 2001.
Please let us know if additional information is needed.
Enclosures
CC
Pauline Joyce, Administrative Services Manager
Mike Koch, Public Works Director
Bob Green, Water Department Manager
David Harris, Housing and Community Development Director
Barry Lindahl, Corporation Counsel
Harvest Development Group Ltd.
Proposal for City Assistance to Facilitate Development
Harvest Development Group, Ltd. is a business corporation that has purchased approximately
70 acres of land north of Asbury Road between Resurrection Church and Dennis Kitchen
Funeral Home. The property previously was the Hilby farm. A map of the project is attached.
Harvest Development plans to develop this site in four phases with up to 160 residential lots.
Phase 1 will include 30- 40 lots. Approximately 44 acres of the property will be developed for
single-family homes. Another 9.1 acres are zoned for one- and two-family residential
development. Along the north portion of the property, 9.6 acres are zoned for moderate-
density multi-family residences of one to six units. Commercial zoning for neighborhood
shopping is planned for 8.3 acres at the southwest comer.
Harvest Development is requesting that the City of Dubuque provide assistance to this project
in order to facilitate residential development within the city limits. Harvest Development
expects the City's assistance will allow development to proceed more quickly and at less risk
to the developers. With reduced risk, the developers' costs are reduced as well. Harvest
Development expects the City's assistance to result in lower lot costs to prospective
purchasers.
One of the City Council's current goals is to address the issue of affordable owner-occupied
housing. Several of the partners in Harvest Development Group, Ltd. are participating on an
Affordable Owner-Occupied Housing Committee that is examining the issues involved and
identifying possible ways to address them. This committee is scheduled to wrap up its work
this summer, with presentation of a report to the City Council this fall.
This project is not affordable housing, but it does have a large owner-occupied component.
A letter from Martin McNamer, one of the partners in Harvest Development Group, Ltd., is
attached. Mr. McNamer's letter lists eight requests for City assistance. City staff has prepared
an analysis of these eight requests for the City Council's consideration.
In addition to the recommendations outlined in this analysis, staff has the following general
recommendations for the City Council to consider if financial assistance is provided to Harvest
Development Group, Ltd.
a. The City must determine what will be acceptable collateral for any City expense related to
loan(s) for the development of this project. Staff recommends that the City require first
mortgage position on the land, personal guarantees or an irrevocable letter of credit.
b. The City must establish a development agreement that gives Harvest Development specific
performance standards, and provides remedies for failure to meet these standards.
Page 1 of 4
Harvest Development request #1: Sanitary Sewer
a. That the City finance the construction cost of installing the sanitary sewer for each phase,
including the sewer main, manholes, and lateral lines.
b. The amount advanced by the City for each phase would be allotted equally to the
residential lots in each phase.
c. As each lot is sold, Harvest development will reimburse the City by an amount equal to the
total cost incurred by the City divided by the number of residential lots in that phase.
d. Under this plan, the City will be fully reimbursed for its initial costs upon the sale of all lots
within the development phase.
Estimated Cost for Sanitary Sewer: $426,000
Phase 1: $163,700 for installation of the sewer mains, manholes and laterals.
Phase 2:$114,100 for installation of the sewer mains, manholes and laterals.
Phase 3:$148,200 for installation of the sewer mains, manholes and laterals.
City Staff recommendation:
The City would be able to finance the construction costs for installation of the sanitary sewer
for each phase, because we have $800,000 budgeted for projects like this.
The City could be reimbursed as each residential lot is sold within each particular phase;
however, the City should establish a time limit for the payback, regardless of how lot sales are
progressing. We suggest a time limit of 5 years for complete payback of the per lot
assessments for each phase.
Also, in each phase the developer would pay the proportion of the project that is commercial
immediately upon completion of the sewer project.
The City would need to bid this as a City project.
The City would need to establish a "per acre" or a lineal foot limit for the sewer assessment.
Harvest Development request #2: Street Lights
That the City furnish and install the street light poles and lights, with Harvest Development to
pay the cost of trenching.
Estimated Cost for Street Lights: $32,000
Phase 1:$15,500 for steel street light poles.
Phase 2:$7,800 for steel street light poles.
Phase 3:$9,300 for steel street light poles.
City Staff recommendation:
The City does not have money budgeted for street lights, so staff does not recommend
providing the requested assistance.
Page 2 of 4
Harvest Development request #3: Waiver of Hook-up Fees
That the City not assess any sewer or water hookup fees or connection charges.
Estimated Cost for Waiver of Hook-up Fees: $79,900
Water: $13,200
Sanitary Sewer: $58,000 for Resurrection sewer, and $8,700 for Bonson interceptor sewer
City Staff recommendation:
The City could delay the water and sewer hookup fees, and then be reimbursed as each
residential lot is sold within each particular phase, with all fees paid within 5 years. All
commemial lot hook-up fees would be paid according to the City's existing payment policy.
Harvest Development request ~1: Waiver of Inspection Fees
That the City waive any and all inspection fees charged by the City Engineering Division.
Estimated Cost for Waiver of Inspection Fees: $120,000
Based on an estimated development cost of approximately $4 million and the rate of 3% for
inspection fees.
City Staff recommendation:
The current City policy is to collect 3% of the estimated development cost up front for City
Engineering fees. The actual inspection cost incurred by the Engineering staff is calculated at
the close out of the project, at which time final bill adjustments or credits are made. Inspection
fees are part of the Engineedng's funding sources. Since the City uses these inspection fees to
reduce property tax support of the Engineering Division, staff does not recommend waiving the
inspection fees.
Harvest Development request #5: Relocation of Resurrection Sewer
That the City pay to relocate the existing sewer line that runs through the property to serve
Resurrection Church, in order to accommodate the lot development and plat layout for Harvest
Development's project.
Estimated Cost for Relocation of Resurrection Sewer: $76,300
Cost for removal and replacement of the existing line that was installed as part of the
Resurrection Church sanitary sewer project includes sewer main and manholes.
City Staff recommendation:
Staff recommends that assistance for this cost be handled in the same manner as
recommended above for assistance with the construction cost for sanitary sewer, with the
developer paying as each residential lot is sold with a 5-year cap.
The proportionate share of the development that is commercial would pay at completion of the
relocation project.
Page 3 of 4
Harvest Development request #6: Purchase of Playground Equipment
That the City purchase and install playground equipment within 18 months following the
platting and dedication of a one-half acre city park, which will be a part of Phase 1.
Estimated Cost for Purchase of Playground Equipmenb $35,000
Based on budget in FY02-06 CIP for playground equipment for park land on Southern Avenue.
City Staff recommendation:
City staff recommends providing this assistance in 30 months, rather than the requested 18
months. This time extension will allow the Leisure Services department to submit a request for
the FY03-07 ClP budget to fund the installation of playground equipment at this site.
Harvest Development request #7: Sanitary Sewer Extension
a. That the City extend, at City expense, the sanitary sewer main from the residential
development to the east of Harvest Development's property, to the east property line near
the northerly portion of the project site.
b. Harvest Development then would connect to this sewer to serve the northerly portion of the
project site, which probably will be the fourth and final phase.
c. The sewer extension by the City could be done at any time within the next 5 years.
Estimated Cost for Sanitary Sewer Extension: $135,000
Based on length of sewer extension and current construction costs for sewer installation.
City Staff recommendation:
The proposed sewer extension would go through undeveloped property that is accessed by
Bonson Road. The owners of this property have not filed a development plan or plat.
The City does budget for sewer and water extensions. Staff recommends that the City
consider budgeting for construction of this sewer extension.
The City should not install this sewer extension until a development plan is in place for the
adjacent property. In this way, the City can ensure that the sewer extension will conform to
both the Harvest Development plat and the development plan for the adjacent property.
Harvest Development request #8: Street Stub
Harvest Development agrees to dedicate a 60-foot right-of-way for a public street on the
northerly end of the project site to serve as access to and from adjacent land.
Estimated Cost for Street Stub: $ - 0 -
The City requires that developers provide this type of street connection to adjacent properties.
City Staff recommendation:
As required for other developments, the 60-foot right-of-way for a public street must be
dedicated and the street stub must be paved at the developer's expense to the property line.
Page 4 of 4
Exhibit A
Proposed Rezoning
Harvest Development Group, Ltd.
AG
R-1
R-1
AG
C-2
AG
J~
Applicant: Martin McNamer/
Harvest Development Group, LTD.
Location: 4100 Asbury Road
~ Proposed area to be rezoned to R-2
from C-2
Harvest Developmemt Group, Ltd.
c/o ,Martin J. McNamer
5070 Wolff Road, P.O. Box 767
Dubuque, IA 52004-0767
April 17, 2001
Mr. Michael Van Milligen
City Manager
City Hall
Dubuque, IA 52001
Dear Mr. Van Milligen:
I a~writing to you on behalf of Ma~vest Development Group, Ltd. (hereinafter
referred to as '~Marvest Development"), a recently formed corporation owmed by
me amd some of my business associates. Harvest Development is purchasing,
for residential development purposes, approx~mmtely 70 acres of land north
of Asbury Road and located between ~esurrection School and Dennis Kitchen
Funeral Home. The lend will be platted and developed in four phases ~,a
contain up to 160 good-sized residential lots. Phase I will include approx-
t~tely 30 - 40 lots. Thi~ project wi il be perhaps the largest residential
development within the City of Dubuque during the past 20 - 30 years. The
upfront costs to be paid by the investing shareholders are very substantial
and include, without lim6tation, land acquisition cost, professional engineering
and sur~eying services, legal ~penaes, and grading.
Harves[ 'Development is respectfully requesting the City of Dubuque's assistance
and cooperation in the carrying out of this ambitious development project.
The City~ help will allow the development to proceed more quickly and also
result in lo,er lot costs to prospective purchasers. As you are awa~e, our
development will be competing with several other proposed residential develop-
ments with~, .the city of Asbury. It is in the best interests of both Marvest
Development and the City of Dubuque to work together in a way that w~]] facilitate
our project.
Followimg are our proposals:
We request that the City of Dubuque finance the construction cost of
installing the sanitary sewer for each phase, including the sewer main
lime, manholes, amd lateral lines. The amount advanced by the City as
to each phase would be allocated equally to the residential lots within that
particular phase. As each lot is sold, Harvest Development will reimburse the
City by an amount equal to the total cost incurred by the City divided by
the number of residential lots in that phase. Under this plan, the City
~uld be fully reimbursed for its initial costs upon the sale of all lots
within the development phm~e. The City's only financial loss will be the
time value of the money advanced for the sewer construction. We believe
tb~ will be partially offset by allowing Harvest Development to sell the
lots at a lower ~ma more competitive price, which will, iu turn, add to the
City's tax base.
Harvest Development Group, Ltd.
c/o Martin J. McNamer
5070 Wolff Road, P.O. Box 767
Dubuque, IA 52004-0767
Mr. Michael Van Mtlligen
April 17, 2001
Page 2
3.
4.
5.
Harvest Development requests the City of Dubuque to furnish and install
the street light poles and lights. We will pay the cost of trenching.
We request that the City not assess amy sewer or water hookup fees to
H~rvest Development.
We are asking the City to waive any and ~11 "imspection fees" which the
City has collected in the past for inspection services.
The existing sewer llne which rams through the property will have to be
relocated to accuaaaodate the lot. development and plat layout. We are
asking the City to pay this expense.
Harvest Development will dedicate approx{mmtely one-half acre for a city
park. We request that the City of Dubuque purchase amd install playground
equipment within 18 months following the platting of the city park area,
whlch will be a part of Phase I.
The residential development which lies adjacent to and east of our development
is ~erved by a city se~er. We are asking the City, at the City's expense,
to extend this sewer main line to our east property line near the northerly
most~ortion of our property. Harvest Development could then cc~mect to
this sewer for the purpose of serving the northerly portion of our develop-
ment, which will probably be the fourth amd final phase. This sewer
extensio~ by the City could be done at any time within the next five years.
Marvest Development is agreeable to dedicating to the City of Dubuque a
60-foot wide right of way for a public street ou the northerly end of our
development. This street would be available to serve as access to and from
a possible future development by adjacent land holders.
I would welcome the opportunity to meet with you aud your staff to discuss the
above proposal in greater detail.
Th~k you for your consideration.
Sincerely,
Harvest Development Group, Ltd.
Martin 5. Me~amer
Harvest View Estates Subdivision
Sanitary Sewer Removal & Replacement
Item
No. Description
1 11406.01 i Flowable Mertar
2 i1501.101 iSanita~y Sewer Pipe, 8"PVC
3 [1501.221 ! Sanitary Sewer, Manhole Sidewal148"
4 i1501277 iSanitarySewer, Manhole Base 48"
5 i1501.225 iSanitarySewerDropManhole48-
6 / 1506.02 jRemoval ef Manholes
7 f1103.0214 iExcavation, Class12 (Rock)
Quantity Unit Unit Price
Amount
38i CY ! $90! $3,400
1,9251 LF $25! $48,100
801 LF $175i $14,000
81 ~ch ~ $2501 $2,000!
1 t Each $2,500f $2,500
5t Each ,$300 $1,500~
li LS i $4,Sl0 $4,~00;
Item
No.
Item
No.
PHASE 1 SUBTOTAL
$76,300
Description
Quantity Unit Unit Price
Amount
PHASE 2 SUBTOTAL
Description
Quantity Unit Unit Price
Amount
PHASE3SUBTOTAL
PROJECTTOTAL
$76,300
Estimate Reference Information
i Flowable Mortar
i The existing 8" Sanitary Sewer (1470 LF) will be filled with Flowable Mortar.
iSanitary Sewer, Manhole Sidewall 48"
Sanitary Sewer Manholes estimated at an average depth of 10'.
WHKS & co.
New Subdivision
Ci~ of Dubuque, Iowa
Special Cost
Estimate
Page 1 of 3
Harvest View Estates Subdivision
New Sanitary Sewer
Item
No.
Description Quantity Unit Unit Price Amount
IiI !1501.101
i1501.221
4 1501.225
~ 5 1501.291
i? t
iSanitery Sewer Pipe, 8" PVC
!Sanitary Sewer, Manhole sidewall 48"
3 ~1501.222 ISanitary Sewer, Mani'mle Base 48"
!Sanitary Sewer Drop Manhole 48"
~Sanitary Sewer, 4" C.I.P. Latem!
6 I1501.292 ISanitary Sewer, 4" Tap and Saddle
7 i1103.0214 iEzcavat~n, Cless12 (Rock)
3,075 LF $251 $76,900
90 LF $175 $15,800
9[ Each { $250 $2,300
li Each [ $2,500i $2,500
I $35,100
2,3401 LF $151
$23,400
LS $7,690
PHASE 1 SUBTOTAL
Item
No.
1 1501.101
2 1501.221
3 !1501?'22
Description
iSanitary Sewer Pipe, 8" PVC
Quantity Unit Unit Price Amount
ISanitary Sewer, Manhole Sidewall 48"
!Sanitary Sewer, Manhole Base 48"
4 11501.225
5 ~1501.291
6 11501.292
7 !1103.0214 tE.~cavafion, Class12 (Rock)
Sanitary Sewer Drop Manhole 48"
Sanitary Sewer, 4" C.I.P. Lateral
I 1,~5 LFI $251 s49,1oo
! 70 LF I $175I $12,300
i 71 Each I $250i $1,800,
i 11 Each $2,5001 $2,500
1,740I LF $151 $26,100
Each
$3001 $17,400
1~ LS $4,9101 $4,900
ISanitary Sewer, 4" Tap and Saddle
PHASE 2 SUBTOTAL
$114,100
Item
Descrip§on
Quantity Unit Unit Price Amount
! 1501.101 ~ Isanitary Sewer Pipe, 8" PVC
I1501.221 ISanitary Sewer, Manhole Sidewat148"
1501.222 ~Sanitary Sawer, Manhole Base 4,8,"
1501.225 ISanitary Sewer Drop Manhole 48
~1501.291 !Sanitary Sewer, 4" C.LP. Lateral
31 7 i1103.0214 iExcavafion, Class12 (Rock)
3,125 LF I $25i $78,100
100 LF I $1751 $17,500
101 Each i $250i $2,500
! 11 Each ! $2,500~ $2,500
1,590i LF i $15t $23,900
! 53t Each t $300~ $15,900
I 1t LS t $7,8101 $7,800
6 f1501.292
iSanitary Sewer, 4" Tap and Saddle
PHASE 3 SUBTOTAL $148,200
PROJECT TOTAL $426,000
Estimate Reference Information
I Sanitary Sewer, Manhole Sidewall 48" ';
i Sanitary Sewer Manholes estimated at an average depth of 10'. I
WI-IKS & Co.
New Subdivision Special Cost
City of Dubuque, Iowa Estimate Page 2 of 3
Harvest View Estates Subdivision
Street Lights
Description Quantity Unit Unit Price
Item
Description,
10 Each ! $1,5501
PHASE 1 SUBTOTAL
Quantity Unit Unit Price
Amount
$45,5oo
$15,500
Amount
Item
11907.01
ISteel Street Light Pole
Descr'~fion
iSteel Street Light Pole
5i Each
PHASE 2 SUBTOTAL
Quantity Unit Unit Price
PHASE3SUBTOTAL
$1,550
$7,800
$7,800
Amount
$1,550; $9,300
$9,300.
PROJECT TOTAL
$32,600
WHKS ~ c~
..New S~bdivision
City of Dubuque, Iowa
Special Cost
Estimate
Page 3 of 3
CITY OF DUBUQUE, IOWA
MEMORANDUM
July 3, 2001
TO:
FROM:
Michael Van Milligen, City Manager
Gus Psihoyos, Assistant City Engineer
Laura Carstens, Planning Services Manager~.~
SUBJECT: Harvest Development Group - Request for City Assistance
This memo transmits information regarding a request by Harvest Development Group, Ltd.
for City assistance to facilitate development of a proposed residential subdivision on
Asbury Road. Enclosures include the letter of request from Martin McNamer, a partner in
Harvest Development Group, Ltd., a map of the project site, a staff analysis of the
development group's eight requests for City assistance, and background information on
costs.
The City Council is scheduled to consider this information at a work session on Monday,
July 16, 2001.
Please let us know if additional information is needed.
Enclosures
Pauline Joyce, Administrative Services Manager
Mike Koch, Public Works Director
Bob Green, Water Department Manager
David Harris, Housing and Community Development Director
Barry Lindahl, Corporation Counsel
Harvest Development Group Ltd.
Proposal for City Assistance to Facilitate Development
Harvest Development Group, Ltd. is a business corporation that has pumhased approximately
70 acres of land north of Asbury Road between Resurrection Church and Dennis Kitchen
Funeral Home. The property previously was the Hilby farm. A map of the project is attached.
Harvest Development plans to develop this site in four phases with up to 160 residential lots.
Phase 1 will include 30 - 40 lots. Approximately 44 acres of the property will be developed for
single-family homes. Another 9.1 acres are zoned for one- and two-family residential
development. Along the north portion of the property, 9.6 acres are zoned for moderate-
density multi-family residences of one to six units. Commercial zoning for neighborhood
shopping is planned for 8.3 acres at the southwest comer.
Harvest Development is requesting that the City of Dubuque provide assistance to this project
in order to facilitate residential development within the city limits. Harvest Development
expects the City's assistance will allow development to proceed more quickly and at less risk
to the developers. With reduced risk, the developers' costs are reduced as well. Harvest
Development expects the City's assistance to result in lower lot costs to prospective
purchasers.
One of the City Council's current goals is to address the issue of affordable owner-occupied
housing. Several of the partners in Harvest Development Group, Ltd. are participating on an
Affordable Owner-Occupied Housing Committee that is examining the issues involved and
identifying possible ways to address them. This committee is scheduled to wrap up its work
this summer, with presentation of a report to the City Council this fall.
This project is not affordable housing, but it does have a large owner-occupied component.
A letter from Martin McNamer, one of the partners in Harvest Development Group, Ltd, is
attached. Mr. McNamer's letter lists eight requests for City assistance. City staff has prepared
an analysis of these eight requests for the City Council's consideration.
In addition to the recommendations outlined in this analysis, staff has the following general
recommendations for the City Council to consider if financial assistance is provided to Harvest
Development Group, Ltd.
a. The City must determine what will be acceptable collateral for any City expense related to
loan(s) for the development of this project. Staff recommends that the City require first
mortgage position on the land, personal guarantees or an irrevocable letter of credit.
b. The City must establish a development agreement that gives Harvest Development specific
performance standards, and provides remedies for failure to meet these standards.
Page 1 of 4
Harvest Development request #1: Sanitary Sewer
a. That the City finance the construction cost of installing the sanitary sewer for each phase,
including the sewer main, manholes, and lateral lines.
b. The amount advanced by the City for each phase would be allotted equally to the
residential lots in each phase.
c. As each lot is sold, Harvest development will reimburse the City by an amount equal to the
total cost incurred by the City divided by the number of residential lots in that phase.
d. Under this plan, the City will be fully reimbursed for its initial costs upon the sale of all lots
within the development phase.
Estimated Cost for Sanitary Sewer: $426,000
Phase 1:$163,700 for installation of the sewer mains, manholes and laterals.
Phase 2:$114,100 for installation of the sewer mains, manholes and laterals.
Phase 3:$148,200 for installation of the sewer mains, manholes and laterals.
City Staff recommendation:
The City would be able to finance the construction costs for installation of the sanitary sewer
for each phase, because we have $800,000 budgeted for projects like this.
The City could be reimbursed as each residential lot is sold within each particular phase;
however, the City should establish a time limit for the payback, regardless of how lot sales are
progressing. We suggest a time limit of 5 years for complete payback of the per lot
assessments for each phase.
Also, in each phase the developer would pay the proportion of the project that is commercial
immediately upon completion of the sewer project.
The City would need to bid this as a City project.
The City would need to establish a "per acre" or a lineal foot limit for the sewer assessment.
Harvest Development request #2: Street Lights
That the City fumish and install the street light poles and lights, with Harvest Development to
pay the cost of trenching.
Estimated Cost for Street Lights: $32,000
Phase 1:$15,500 for steel street light poles.
Phase 2:$7,800 for steel street light poles.
Phase 3:$9,300 for steel street light poles.
City Staff recommendation:
The City does not have money budgeted for street lights, so staff does not recommend
providing the requested assistance.
Page 2 of 4
Harvest Development request #3: Waiver of Hook-up Fees
That the City not assess any sewer or water hookup fees or connection charges.
Estimated Cost for Waiver of Hook-up Fees: $79,900
Water: $13,200
Sanitary Sewer: $58,000 for Resurrection sewer, and $8,700 for Bonson interceptor sewer
City Staff recommendation:
The City could delay the water and sewer hookup fees, and then be reimbursed as each
residential lot is sold within each particular phase, with all fees paid within 5 years. All
commercial lot hook-up fees would be paid according to the City's existing payment policy.
Harvest Development request #4: Waiver of Inspection Fees
That the City waive any and all inspection fees charged by the City Engineering Division.
Estimated Cost for Waiver of Inspection Fees: $120,000
Based on an estimated development cost of approximately $4 million and the rate of 3% for
inspection fees.
City Staff recommendation:
The current City policy is to collect 3% of the estimated development cost up front for City
Engineering fees. The actual inspection cost incurred by the Engineering staff is calculated at
the close out of the project, at which time final bill adjustments or credits are made. Inspection
fees are part of the Engineering's funding sources. Since the City uses these inspection fees to
reduce property tax support of the Engineering Division, staff does not recommend waiving the
inspection fees.
Harvest Development request #5: Relocation of Resurrection Sewer
That the City pay to relocate the existing sewer line that runs through the property to serve
Resurrection Church, in order to accommodate the lot development and plat layout for Harvest
Development's project.
Estimated Cost for Relocation of Resurrection Sewer: $76,300
Cost for removal and replacement of the existing line that was installed as part of the
Resurrection Church sanitary sewer project includes sewer main and manholes.
City Staff recommendation:
Staff recommends that assistance for this cost be handled in the same manner as
recommended above for assistance with the construction cost for sanitary sewer, with the
developer paying as each residential lot is sold with a 5-year cap.
The proportionate share of the development that is commercial would pay at completion of the
relocation project.
Page 3 of 4
Harvest Development request #6: Purchase of Playground Equipment
That the City purchase and install playground equipment within 18 months following the
platting and dedication of a one-half acre city park, which will be a part of Phase 1.
Estimated Cost for Purchase of Playground Equipment: $35,000
Based on budget in FY02-06 CIP for playground equipment for park land on Southern Avenue.
City Staff recommendation:
City staff recommends providing this assistance in 30 months, rather than the requested 18
months. This time extension will allow the Leisure Services department to submit a request for
the FY03-07 ClP budget to fund the installation of playground equipment at this site.
Harvest Development request #7: Sanitary Sewer Extension
a. That the City extend, at City expense, the sanitary sewer main from the residential
development to the east of Harvest Development's property, to the east property line near
the northerly portion of the project site.
b. Harvest Development then would connect to this sewer to serve the northerly portion of the
project site, which probably will be the fourth and final phase.
c. The sewer extension by the City could be done at any time within the next 5 years.
Estimated Cost for Sanitary Sewer Extension: $135,000
Based on length of sewer extension and current construction costs for sewer installation.
City Staff recommendation:
The proposed sewer extension would go through undeveloped property that is accessed by
Bonson Road. The owners of this property have not filed a development plan or plat.
The City does budget for sewer and water extensions. Staff recommends that the City
consider budgeting for construction of this sewer extension.
The City should not install this sewer extension until a development plan is in place for the
adjacent property. In this way, the City can ensure that the sewer extension will conform to
both the Harvest Development plat and the development plan for the adjacent property.
Harvest Development request #8: Street Stub
Harvest Development agrees to dedicate a 60-foot right-of-way for a public street on the
northerly end of the project site to serve as access to and from adjacent land.
Estimated Cost for Street Stub: $. 0 -
The City requires that developers provide this type of street connection to adjacent properties.
City Staff recommendation:
As required for other developments, the 60-foot right-of-way for a public street must be
dedicated and the street stub must be paved at the developer's expense to the property line.
Page 4 of 4
~arvest Development Group, Ltd.
c/oMartin J. McNamer
5070 Wolff Road, P.O. Box 767
Dubuque, IA 52004-0767
April 17, 2001
Hr. Michael Van Hilligen
City Manager
City Hall
Dubuque, IA 52001
Dear Mr. Van Milligen:
I am vrriting to you on behalf of Harvest Development Group, Ltd. (hereinafter
rsferred to as '~Harvest Development"), a recently formed corporation owned by
me and some of my business associates. Harvest Development is purchasing,
for residential development purposes, approximately 70 acres of land north
of Asbury Road and located between F~esurrection School and Dennis Kitchen
Fmneral Home. The land will be platted and developed in four phases
contain up to 160 good-sized residential lots. Phase I will include approx-
Imately 30 - 40 lots. This project will be perhaps the largest residential
development within the City of Dubuque during the past 20 - 30 years. The
upfront costs to be paid by the investing shareholders are very substantial
and include, without l~m~tation, land acquisition cost, professionml engineering
and surveying services, legal ~xpenses, and grading.
Harvest Development is respectfully requesting the City of Dubuque's assistance
and cooperation in the carrying out of this ambitious development project.
The City~.s help will allow the development to proceed more quickly and also
result in lower lot costs to prospective purchasers. As you ara aware, our
development will be competing with several other proposed residential develop-
ments within .the city of Asbury. It is in the best interests of both Harvest
Development and the City of Dubuque to work together in a way that will facilitate
our project;
Following are our proposals:
We request that the City of Dubuque finance the construction cost of
installing the sanitary sewer for each phase, including the sewer main
line, m-nholes, and lateral lines. The amount advanced by the City as
to each phase would be allocated equally to the residential lots within that
partic,,lmr phase. As each lot is sold, Harvest Development will reimburse the
City by an amount equal to the total cost incurred by the City divided by
the number of residential lots in that phase. Under this plan, the City
would be fully reimbursed for its initial costs upon the sale of all lots
within the development phase. The City's only financial loss will be the
t/me value of the money advanced for the sewer construction. We believe
this will be partially offset by allowing Harvest Development to sell the
lots at a lower and more competitive price, which will, in turn, add to the
City's tax base.
Harvest Development Group, Ltd.
c/oM atria J. McNamer
5070 Wolff Road, P.O. Box 767
Dubuque, IA 52004-0767
Mr. Michael Van Mflligen
April 17, 2001
Page 2
Harvest Development requests the City of Dubuque to furnish and install
the street light poles and lights. We will pay the cost of trenching.
We request that the City not assess any sewer or water hookup fees to
g~,-~est Development.
4. We are asking the City to waive any and all "inspection fees" which the
City has collected in the past for inspection services.
The existing sewer line which runs through the property will have to be
relocated to acco~,,,,~date the lot. development and plat layout. We are
~sking the City to pay this expense.
Harvest Development will dedicate approx~mmtely one-half acre for a city
park. We request that the City of Dubuque purchase and install playground
equipment within 18 months following the platting of the city park area,
which will be a part of Phase I.
The residential development which lies adjacent to and east of our development
is served by a city sewer. We are asking the City, at the City's expense,
to extend this sewer main line to our east property line near the northerly
most portion of our property. Harvest Development could then connect to
this sewer for the purpose of serving the northerly portion of our develop-
ment, which will probably be the fourth and final phase. This sewer
extension by the City could be done at amy time within the next five years.
Harvest Development is agreeable to dedicating to the City of Dubuque a
60-foot wide right of way for a public street om the northerly end of our
development. This street would be available to serve as access to and from
a possible future development by adjacent land holders.
I would welcome the opportunity to meet with you and your staff to discuss the
above proposal in greater detail.
Thank you for your consideration.
Sincerely,
Harvest Development Group, Ltd.
MarTin J. M~amer
Secretary-Treasurer
Harvest View Estates Subdivision
Sanitary Sewer Removal & Replacement
Item
No.
Description Quantity Unit Unit Price Amount
1 i 1406.01 Flowable Mortar i 38i CY
2 [1501.101 ~ Sanitary Sewer Pipe, 8"PVC i 1,925[ LF
3 i1501.221 ~SanitarySewer, ManholeSidewa 48" I 80I LF
4 ! 1501.222 i Sanitary Sewer, Manhole Base 48"
5 [1501.225 Sanitary Sewer Drop Manhole 48"
6 1506.02 Removal of Manholes
7 1103.0214 IExcavation, Class12 (Rock)
81 Each,
Ii Each
5t Each
$901
$25t
$1751
$25ot
~,5ooJ
$300t
$4,810t
$3,400
$48,100
$14,000
$2,000'
$2,500
$1,500
$4,800
Item
No.
PHASE 1 SUBTOTAL
$76,300
Description QuantJt7 Unit Unit Pdce Amount
PHASE 2 SUBTOTAL
Item
No. Description Quantit7 Unit Unit Price
Amount
PHASE 3 SUBTOTAL
PROJECT TOTAL
$76,300
Estimate Reference Information
! Flowable Mortar
i The existing 8" Sanitary Sewer (1470 LF) will be filled with Flowable Mortar.
!Sanitary Sewer, Manhole Sidewall 48"
Sanitary Sewer Manholes estimated at an average depth of 10'.
~S &
New Subdivision
Ci_~. of Dubuque, Iowa
Speeial Cost
Estimate
Page 1 of 3
Harvest View Estates Subdivision
New Sanitary Sewer
item
No.
Description Quantity Unit Unit Pdce Amount
1 1150t.101 Sanitary Sewer Pipe, 8" PVC
2 i1501.221
3 i1501.222
4 !1501.225
5 i1501.291
ISanitaq/Sewer, Manhole Sidewall 48
ISanitary Sawer, Manhole Base 48"
tSanitary Sewer Drop Manhole 48"
[Sanitary Sawer, 4" C.I.P. Lateral
6 i1501.292 !Sanitary Sewer, 4"Tapand Saddle
' 7 i1103.0214 tExcavafion, Class12 (Rock)
3,0751 LF i $25i $76,9001
90i LF t $175! $15,8001
9i Eacht S2501 $2,300i
Each! $2,500i ,500!
1I LS I $7,690!
$35,100i
$23,4O0[
$7,700i
Item
No.
1 11501.101
PHASE 1 SUBTOTAL
$163,700
Description Quantity Unit Unit Price Amount
tSanita~y Sewer Pipe, 8" PVC
,i 1,965i LF ~i $25! $49,1001
t 70j LF I $1751 $12,300i
1501.221 i Sanitary Sawer, Manhole Sidewall 48"
150t.222 iSanitary Sawer, Manhole Base 48"
1501.225 iSanitary Sewer Drop Manhole 48"
Each i $250t $1,800!
Each t $2,5001 $2,500!
1501.291 !Sanitary Sewer, 4" C.LP. Lateral
1,7401 LF i $151 $26,100t
581 Each i $300! $17,400!
li LSi $4,9101 $4,9001
PHASE 2 SUBTOTAL $114,100
11501.292 Sanitary Sewer, 4" Tap andSaddle
t1103.0214 Excavation, Class12 (Rock)
Item
No.
Description Quantity Unit Unit Price Amount
I ! 1501.101 [Sanita~, Sewer Pipe, 8' PVC
2 !1501.221 iSanitarySewer, Manhole Sidewal148"
3,125t LF r $25! $78,1001
1001 LF r $1751 $17,500i
3 i1501 ??? ISanitary Sewer, Manhole Base 48" 101 Each ! $250i $2,500
4 ~,1501.225 iSanitary Sewer Dmp Manhole 48" 11 Each i $2,500i $2,500!
5 11501.291 !Sanitary Sewer, 4" C.I.P. Lateral
6 11501.292 =,sanitary Sewer, 4" Tap and Saddle
1,590i LF ! $15i $23,900i
53t Each i $300!
$15,900i
7 i1103.0214 iE. xcava~on, Class12 (Rock) li LS t $7,810! $7,800i
PHASE 3 SUBTOTAL $148,200
PROJECT TOTAL $426,000
Estimate Reference Information
!~nitary Sewer, Manhole Sidewall 48"
Sanitary Sewer Manholes estimated at an average depth of 10'.
New Subdivision Special Cost
City of Dubuque, Iowa Estimate Page 2 of 3
Harvest View Estates Subdivision
Street Lights
Item
No. Description Quantity Unit Unit Price Amount
! 10 Each
item
I 11907.01
$1,5501 $15,500i
, Steel Street Light Pole
PHASE SUBTOTAL
$15,500
Description Quantity Unit Unit Pdce Amount
i1907.01 !Steel Street Light Pole { 5i Each i $1.550t $7,8001
PHASE 2 SUBTOTAL $7,800
Item
No. Description Quantity Unit Unit Price Amount
I i1907.01 !Steel Street Light Pole $9,300
6i Each $1,550;
PHASE 3 SUB~ ~TAL
PROJECT TOTAL
$9,300
$32,600
WHKS. c~
New Sul~tivizion Special Coat
Ciky of Dubuque, Iowa Estimate Page 3 of 3
Exhibit A
Proposed Rezoning
Harvest Development Group, Ltd.
AG
AG
R-1
C-2
AG
Applicant:. Martin McNamer/
Harvest Development Group, LTD.
Location: 4100 Asbury Road
Proposed area to be rezoned to R-2
from C-2
Proposed ~ ~ ~ ~ b R~
fran ^G