The city of Anoka plans to spend almost $1.9 million to reconstruct about half a mile of streets in its Swede Town neighborhood this year.
The council unanimously approved plans and specifications for the project Feb. 16 and authorized staff to seek bids.
The project includes the following street segments:
• Sixth Avenue from Jackson to Harrison Street.
• School Street from 150 feet west of Sixth Avenue to Second Avenue.
• Van Buren Street from Sixth to Seventh Avenue.
Work will include total reconstruction of the streets, including replacement of curbs, gutters, sidewalks, streetlights, sanitary sewer and watermain. The watermain will also be extended on School Street, and three streetlights will be added in the project area.
Homeowners on affected streets can expect special assessments of about $8,110 for a typical 80-foot residential lot. They have the option to pay the assessment over a 10-year period at a 5% interest rate.
Some residents, including Barb Thurston, Council Member Erik Skogquist’s mother, objected to the interest rate during a public hearing Jan. 19.
Skogquist supported lowering the rate and suggested the city base its interest rate on the prime rate. In order to be fair to everyone, he suggested recalculating the rate annually for all residents making payments on street assessments. In other words, the assessments would have variable interest rates from year to year.
Ultimately the council decided, over Skogquist’s objection, to stick with its longtime practice of charging 5% interest, saying residents can seek financing from a bank at a lower interest rate if they wish.
Bids for the project are due March 16. The council plans to consider the bids and award a contract April 5.
Construction is slated to begin in May with completion by the end of October.