TITLE
title
Resolution to Adopt Special Assessment Rate for Penn State Road and Scaup Duck Avenue Paving Municipal Service Benefit Unit
body
BRIEF OVERVIEW
Pursuant to Florida Statutes, Sections 125.01 and 197.3632, the Department of Public Works received an application from a resident on Penn State Road in May 2022, requesting the creation of a road paving Municipal Service Benefit Unit (MSBU). The Board adopted Ordinance 2022-22 on October 25, 2022, creating the Penn State Road and Scaup Duck Avenue Paving MSBU.
In 2023, due to escalating construction costs, this MSBU project was consolidated with additional projects into a single bid package to solicit more competitive pricing. The estimate was updated to current market amount of $794,819.00. On October 10, 2023, the BOCC approved moving forward with bids.
Final construction was completed July 26, 2024, in the amount of $745,572.50 which is $49,246.00 less than the 2023 estimated cost. The MSBU benefiting property owners' two-thirds construction cost share is $497,049.00. Property owners are also responsible for the engineering design, permitting, inspection and testing cost of $61,855.00 (which is capped at 10% of construction cost), as well as administrative overhead of $7,956.00. The assessment methodology is based on an equal per lot assessment with corner lots paying one-half assessment for each unimproved road. Three owners executed their Unity of Title option, resulting in fifty-two (52) assessable units.
Based on the property owners' cost, the total up-front budget is $566,860.00, creating a one-time assessment of $10,902.00 per unit if paid (or post-marked) by May 9, 2025. Assessments not received by the deadline are automatically financed over a ten-year period at an estimated interest rate of 6.0%, creating an annualized budget of $81,656.00 and a per unit assessment rate of $1,650.00.
FINANCIAL IMPACT
Project cost of $815,383.00 was paid from:
Fund: 1013 - Constitutional Gas Tax, Dep...
Click here for full text