Special Assessment Districts (SAD)
Public water mains and sanitary sewers are typically extended to
serve established neighborhoods by means of the special assessment
process. The Engineering and Environmental Services Department provides
petitions with cost estimates for future water and sewer extensions in
the planning phase of creating a Special Assessment District (SAD).
SAD Petition Process for Water or Sewer Construction
The creation of a special assessment district requires a petition
with estimated project costs to be circulated by the residents in the
proposed district. The petition must be signed by a majority of both
land area and homeowners. After a successful petition is submitted,
engineering plans and specifications are developed for public bidding.
The Township will hold two Public Hearings for those residents in the
proposed district before proceeding with the construction project and
establishing the special assessment. The financing of the project is
contingent upon the available funding at the time the petition is
submitted to the Township.
If the final special assessment cost after receiving sealed public
bids exceeds more than 10% of the cost presented on the petition, then
the project will be placed on hold for 30 days. A new petition may be
circulated with the updated bid cost in that 30 day period or the
project may not proceed. The actual final assessment cost will be billed
at the start of construction and may be financed up to twenty (20) years
at 6% interest on the unpaid balance.
Contact the EESD by phone at 248.594.2800 for more information.
Creating a Special Assessment District for Road Paving Improvements
in Bloomfield Township
Public roads in residential subdivisions are owned by the Road
Commission for Oakland County (RCOC). Paving improvements in
subdivisions are commonly done through the RCOC using the Special
Assessment process. Another option is for Bloomfield Township residents
to request the Township to create a Special Assessment District, under
Public Act 188 of 1954, for paving subdivision roads. Through an
agreement with the RCOC, the Township can create a Special Assessment
District to pay for the road improvements.
In a Special Assessment District, the property owners benefiting from
the road paving project pay for the entire cost of the project through
an assessment. The project costs include the engineering, financing, and
construction of the project.
The creation of a Special Assessment District requires an official
petition, with estimated project costs, to be signed by the residents in
the proposed Special Assessment District. This petition must be signed
by a majority of the property owners in the proposed Special Assessment
District and also include the majority of the total frontage on the
road. After a successful petition has been approved by the Township
Board of Trustees, engineering plans and specifications are developed
for public bidding. The Township Board of Trustees will hold Public
Hearings for the residents in the proposed district before proceeding
with the construction and imposing the special assessment. The financing
of the project is contingent upon the available funding at the time the
petition is approved by the Township Board of Trustees.
The Michigan construction season is roughly six months, therefore
sufficient time for planning is recommended. Below is how a Special
Assessment District can be established for road improvements in a
residential subdivision through the Township:
- Township residents are encouraged to circulate an
Interest Form before requesting an official petition
from the Township. The purpose of this form is to identify support for
the road improvements from the majority of the property owners in the
subdivision. The RCOC requires the Expression of Interest Form before
they will proceed with a preliminary plan and cost estimate. This
document is not required under Public Act 188 or by the Township. The
use of the Expression of Interest Form is at the Township’s discretion
in considering the need to prepare the official petition.
- The Expression of Interest Form is submitted to the Bloomfield
Township Engineering and Environmental Services Department (EESD). The
EESD will verify that more than 50% of the property owners are
interested in proceeding with a road improvement project. When verified,
the EESD will forward the completed Expression of Interest Form to the
RCOC for a preliminary engineering plan and a cost estimate. The
preliminary costs are based on information obtained by the RCOC
performing onsite surveys and taking pavement cores. It may take the
RCOC from six months to a year to provide this comprehensive information
back to the Township. In some cases where the RCOC is not able to meet
the Township’s schedule for paving then, at the Township’s discretion,
consulting engineers may provide theses engineering services.
- The Township Engineering and Environmental Services Department
(EESD) will prepare the official Township petition for the project with
the preliminary cost estimate including engineering, financing and
construction. The official petition contains directions for the petition
circulator(s) and the property owners, as well as, a description of the
proposed Special Assessment District and the scope of work. It takes the
EESD about two to three weeks to complete the petition documents.
- The official Township petition will be given to the residents who
provided the Expression of Interest Form. If a homeowner’s association
board is initiating the road improvement, the official petition will be
provided to the association’s board officers or representatives. This
official petition requires signatures that represent the following: (1)
more than 51% of the recorded owners of land for the total frontage of
the roads slated for improvement, and (2) more than 51% of the property
owners within the Special Assessment District. It is recommended but not
required under Public Act 188, that the petition circulators present the
official petition to all property owners in the proposed Special
Assessment District. Any property owner not in favor of the project
should not sign the petition.
- The official Township petition must be returned to the Township
Assessor’s Office for verification of signatures. There is no expiration
date on a petition, but each petition identifies a target return date
necessary to meet the upcoming construction season.
- After the petition has been verified by the Township Assessor, the
Township Board of Trustees will consider accepting the official petition
at one of their regular meetings held on the second and fourth Mondays
of each month. If approved, the Township Board of Trustees will set a
date for the Public Hearing of Necessity. Formal notice will be
published by the Township Clerk for the Public Hearing inviting comments
on the proposed project from all property owners within the district.
- At the Public Hearing of Necessity, the Township Board of Trustees
will listen to comments from property owners within the district. The
Township Board of Trustees will vote to proceed or reject the project.
If the Township Board of Trustees votes to proceed, this authorizes the
project’s design engineers to complete the construction drawings and
specifications for public bidding. At this same meeting, the Township
Board of Trustees will schedule the Public Hearing of the Assessment
- The project will then be advertised for public bidding. After
actual sealed bids are received for construction, the EESD will
determine the total project costs. This cost is then used by the
Township Assessor to prepare the final assessment roll which includes
the cost assigned to each individual property owner. If the assessment
amount increases by more than 10% of the estimated cost, Public Act 188
requires an additional public hearing before the Public Hearing of the
Assessment Roll meeting. At this additional public hearing, the Township
Board of Trustees will decide whether or not to proceed with the project
and continue with the Public Hearing of the Assessment Roll. At the
Public Hearing of the Assessment Roll, property owners are given the
opportunity to comment on the final assessment. If the Township Board of
Trustees adopts the resolution confirming the assessment roll, the RCOC
engineers can proceed with the project. Residents within the district
have 30 days to appeal their assessment to the Michigan Tax Tribunal.
- Once the project is approved and the assessment confirmed, the
property owners will be invoiced their assessment concurrent with the
start of construction. Property owners have the option to pay the
assessment in full or finance the assessment up to fifteen (15) years.
Assessments being financed will be billed annually along with their
winter tax bill.
Contact the EESD by phone at 248.594.2800 for more information.
Newly Paved Roads