On June 20, 2017, City Council adopted resolution 7900, a resolution ordering an improvement and preparation of plans and specifications for the SPUC Shakopee Avenue Electric Underground Project 2017-9. The project has been constructed by SPUC and it's subcontractors. The improvements are substantially complete, with final costs for construction at $164,913.47.

The City has incurred $3,587.10 in costs directly associated with administration and engineering for the SPUC project.  These costs are included in the total project cost above.  All costs incurred by the City related to the SPUC project will be reimbursed by SPUC.  All project construction costs have been assumed and paid by SPUC.

The proposed assessment per lot is $606, which is a set amount not based on final project costs and is equal to the fee charged to provide electric service to each lot in a new residential subdevelopment. The attached resolution shows how these costs are being paid and the total cost to be assessed. 

Project financing sources include SPUC and assessments to the benefiting properties.  From the preliminary engineering report to the project completion, the funding summary is as follows:

• SPUC has agreed to cover all associated costs including potential assessment appeals.

• There is no direct cost to the City of Shakopee.