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<br />if the service is ordinarily provided by the City from its general fund revenues unless the <br />service is provided in the district at an increased level. ~ 428A.03, subd. 1. <br /> <br />C. What are the advantages of a special service district? <br /> <br />The creation of a special service district is an alternative to a special tax <br />assessment under Minn. Stat. Chapter 429. The primary advantage of a special service <br />district appears to be that there are fewer statutory requirements for implementing a <br />special service district as compared to a special assessment. On the other hand, the <br />implementation of a special service district requires the cooperation of at least some of <br />the property owners within the proposed service district. ~ 428A.08 states: <br /> <br />No action may be taken under section 428A.02 unless owners of 25 percent <br />or more of the land area of property that would be subject to service <br />charges in the proposed special service district and owners of 25 percent or <br />more of the net tax capacity of property that would be subject to service <br />charges in the proposed special service district file a petition requesting a <br />public hearing on the proposed action with the city clerk. <br /> <br />In contrast, a special assessment can be initiated either by petition or by the <br />Council itself. Finally, a hearing is required for each calendar year in \vhich a service <br />charge is imposed within a special service district (~ 428A.03) unless the initial <br />resolution imposing a service charge for more than one year meets the initial notice <br />requirements of ~ 428A.I0. These notice requirements include an explanation of the <br />maximum charge to be imposed in anyone year and the maximum number of years a <br />charge will be imposed. <br /> <br />D. Can a special service district be created to cover the cost of aesthetic <br />improvements? <br /> <br />Yes. Minn. Stat. 428A.0 1 states, "Special services has the meaning given in the <br />city's ordinance but special services may not include a service that is ordinarily provided <br />throughout the city from general fund revenues of the city unless an increased level of the <br />service is provided in the special service district." This seems to give the City great <br />latitude to include a purely aesthetic improvement as a "special service" under the statute. <br />Furthermore, nothing in the statute authorizing the establishment of special service <br />districts prohibits establishing such a district or imposing a charge for an aesthetic <br />improvement. Finally, special assessments are allowed for aesthetic improvements, <br />including planting, trimming, care and removal of trees on public streets (Minn. Stat. <br />429.021, subd. 1(7) and the beautification of streets and sidewalks (Minn. Stat. 429.021, <br />subd. 1 (1)). As a result, because a special service district is an alternative to a special <br />assessment, a special service district can be established to fund an aesthetic improvement. <br /> <br />2 <br />