NU City Council Talks Levee Funding 08 Feb 12

The New Ulm City Council on Tuesday discussed how the city will pay for it’s share of a proposed flood levee along the Minnesota River. Half of the $2-million cost of the levee is being paid for with state bonding dollars. New Ulm must come up with the other $1-million. New Ulm City Manager Brian Gramentz says that Tuesday’s meeting was simply to decide upon a funding formula, and that more public hearings and other meetings on the levee will be coming soon. Approximately $253,000 of the cost of the levee will come from special assessments on the affected properties, with the rest coming from city bonding. Properties along the levee route will be charged a $3,000 per-parcel flat rate, and then an additional charge based on the elevation of the property. Assessments will be for 20 years at a 2.75% interest rate. The 10 block-long levee is scheduled to be constructed along South Valley and South Front Streets in New Ulm beginning this July, with a completion date in late October.