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KITTITAS COUNTY DEPARTMENT OF PUBLIC WORKS AGENDA STAFF REPORT AGENDA DATE: November 20, 2018 ACTION REQUESTED: Conduct a Public Hearing to Consider the Formulation of Road Improvement District 2018-01 Wiehl Road BACKGROUND: Public Works has been working to present a proposed road improvement district (Wiehl Road) to the Kittitas County Board of County Commissioners (BOCC) for the past several years. The BOCC issued a Notice of Intent to Formulate Road Improvement District 2018-01 Wiehl Road pursuant to Resolution 2018-162 (10-16-2018). Notices to benefitted property owners were issued via registered mail on October 26, 2018. A total of 38 letters were sent encompassing all properties within the proposed district boundary. Multiple ownership accounts for the total of 38 letters with individual owners receiving separate letters for each legal lot of record. Owing to legal lot status, a total of 73 lots are identified within the benefitted boundary. Of the 74 legal lots, Kittitas County defines nine (9) lots as having to be sold with a mother parcel. This requirement reduces the total number of benefitted lots to 65. Public Works was provided a preliminary petition from benefitted owners identifying a total of 63 benefitted lots. In addition, one owner had six parcels. Until recently, the property owner with six lots committed to covering the cost of three (3) lots within the RID. The basis of RID benefitted lot cost estimate has been based, until now, on a total of 66 benefitted properties. Meeting the BOCC's direction, the cost borne by benefitted properties is set at $600,614. Project costs are currently estimated at approximately $875,000, with the BOCC agreeing to cover the project balance. Using $600,614 in benefitted property owner contributions, a fifteen (15) year cost recovery period, an interest rate of three (3) percent, with the first payment due at the beginning of the recovery period: an annual cost of $740.09 has been forecast per lot for the 66 benefitted lots. Recently, the property owner with six (6) lots has suggested that he is now willing to pay only one (1) assessment. It is Public Works' understanding that the property owner is considering placing a large amount of land into conservancy trust. The effective date of the transfer is unknown. Presuming that all but one lot is transferred to conservancy, the total benefitted lot count reduces to sixty (60).