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08/27/2007 - Regular - MinutesPRESENT: Kim E. Abel, Mayor City of Port Orchard Council Meeting Minutes Regular Meeting of August 27, 2007 Council Members: Mayor Pro-Tem Wyatt, Chang, Clauson, Diienno, Geiger, Powers, and Putaansuu ALSO PRESENT: Public Works Director Abed, Planning Director Long-Woods, City Treasurer Tompkins, City Clerk Merlino, Deputy Clerk Kirkpatrick, and Assistant City Attorney Jacoby. 7:00 P.M. CALL TO ORDER Mr. Ron Rider led the audience and Council in the Pledge of Allegiance. PUBLIC HEARING Pre-Annexation Comprehensive Plan and Zoning for Christina Phelps Property Planning Director Long-Woods presented the staff report, noting that the property owner, Christina Phelps, had submitted a Petition for Annexation for one parcel of .61 acres, located on the west side of Bethel Avenue, at 2517 Bethel, Parcel No. 4625-000- 001-0105. The parcel is across from a commercially zoned area and the applicant intends to extend commercial uses on this parcel. The applicant requested "commercial" zoning designation. The annexation request will go before the Boundary Review Board (BRB) for final approval on September 13, 2007. Mayor Abel clarified that no action will be taken; however, at a future meeting staff would provide an ordinance for the proposed annexation. At 7:05 p.m. Mayor Abel opened the Public Hearing. Christina Supenich, representing Christina Phelps, advised she was available to answer any questions regarding the proposed annexation. There were no further public comments. At 7:05 p.m. Mayor Abel closed the Public Hearing. Pre-Annexation Comprehensive Plan Designation for the Tallman Property Planning Director Long-Woods presented the staff report, noting that the property owners had submitted a Petition for Annexation to annex six parcels totaling Minutes of August 27, 2007 Page 4 of 9 approximately 22.29 acres. The parcels are contiguous to the existing city limits and are located northwest of the intersection of Sidney and Sedgwick Roads. The applicants were requesting to come into the City as "Commercial" with future zoning requests through a site-specific rezone. Ms. Long-Woods recommended designating the parcels "Commercial/Greenbelt" on the City of Port Orchard's Comprehensive Plan, and become effective upon approval of the annexation. Mayor Abel clarified that no action would be taken; however, at a future meeting staff will provide an ordinance for the proposed annexation. At 7:09 p.m. Mayor Abel opened the Public Hearing. Mr. William M. Palmer, Land Use Consultant representing Mr. Tallman, pointed out that Blackjack Creek crossed under the highway a few feet south of the proposed property for annexation. He asked the Council to consider removing the "Greenbelt" designation because Blackjack Creek did not appear to enter the proposed annexed parcels. Should the survey show differently, Mr. Palmer would modify the site maps to reflect that as a "Greenbelt" area. In response to Council Member questions, Mr. Palmer explained that a "Greenbelt" could affect potential development and there may be more advantages to push the buffer out in one area but not in others. He would be able to provide survey information when the matter comes back before the Council for second reading. Mr. Richard Brown explained that the property owners have met with Indian tribal councils and Geo-Tech to ensure the culvert was in good condition. It is their intention to work with various community organizations to improve fish habitat and stream enhancement. There were no further public comments. At 7:27 p.m. Mayor Abel closed the Public Hearing. Council Member Diienno requested staff provide an updated map of the annexed areas at the next meeting. Zoning Amendment for Home Occupations (to be continued) Planning Director Long-Woods presented the staff report, noting that the Council had placed a moratorium on Home Businesses in April 2007. The Council had directed the City Attorney to draft proposed changes to the zoning ordinance and municipal code to revise some of the requirements to allow home occupations, home professions, and cottage industries within the City. In addition the Planning Commission had been Minutes of August 27, 2007 Page 9 of 9 directed to review the proposed changes and make a recommendation back to the full Council. The Planning Commission has subsequently met and have referred their changes back to the City Attorney for comment and editing and to have the draft changes ready for Council review at their next regular meeting. At 7:30 p.m. Mayor Abel opened the Public Hearing. Mr. Gil Michael, 228 Seattle Avenue, urged the Council to continue the item to allow for discussion after the public and Council had the opportunity to review changes to the proposed draft. Council Member Putaansuu moved and Council Member Dilenno seconded the motion to continue the public hearing on "Home Businesses" to the September 10, 2007 Council Meeting. Upon vote, the motion passed unanimously. APPROVAL OF AGENDA A 5-minute executive session on property acquisition was added to the agenda. AUDIENCE COMMENTS Kathy Michael, 228 Seattle Avenue, requested a procedural change during the Downtown Overlay District public comment period. She felt this was an important issue and in order to be fair she requested the Council allow for people to comment and not be limited to three minutes. Should public comments exceed the meeting time limit, she asked that the Council consider continuing the item to their next regular meeting. Council Member Wyatt moved and Council Member Geiger seconded a motion to allow audience comments without the three-minute rule and requested audience members to limit repetitive comments. Upon vote, motion passed unanimously. Mr. Richard A. Brown voiced concern with the proposed Bethel Corridor Project and anticipated taxation in order to fund the project. He was concerned that the current plan did not address all the issues of the Bethel Corridor and asked for the City to meet with Kitsap County to further discuss ways to fix the problems at a lesser cost to taxpayers. CONSENT AGENDA Council Member Wyatt moved and Council Member Putaansuu seconded the motion approving the Consent Agenda. Upon vote, motion passed unanimously. Minutes of August 27, 2007 Page 9 of 9 A. B. c. Approval of Claim Warrants #48240 through #48306 totaling $241,220.90. Minutes of the August 13, 2007 City Council Meeting Minutes of the August 6, 2007 DOD Meeting At 7:47 p.m. the Council moved into a 5-minute executive session for discussion of property acquisition. BUSINESS ITEMS: Approval of 2007 Asphalt Overlay Project Public Works Director Abed presented the staff report, noting this was a part of the City's annual overlay program. Two bids were received to do the work as follows: Ace Paving $162,874.00 Hot Mix Pavers $138,556.00 The Engineer's estimate was $95,000. The City had budgeted $105,000 ($100,000 from the Paving Program plus $5,000 from the Parking Lot #1) for this purpose; however, around $10,000 from the budgeted amount was used for support engineering. This left a budgeted available balance of $95,000. Public Works Director Abed recommended the Council award the contract to the lowest bidder, Hot Mix Pavers, Inc. for a total amount not to exceed $138,556, with $95,000 coming from the current Street Fund budgeted expense and $43,556 from the City's Property Tax Banked Capacity Designated Fund Balance. Mr. Abed explained that references were checked for Hot Mix Pavers and the responses were favorable in that Hot Mix Pavers was a responsible company that provided excellent quality work. Council Members voiced concern that delaying approval of the contract could result in the loss of the contract and whether the streets chosen were in desperate need of repair or had the highest traffic volumes. Council Member Diienno moved and Council Member Wyatt seconded the motion to continue this item to the September 10, 2007 meeting and referred the matter to the Street and Alley Committee for review. Upon vote/ motion passed with four affirmative votes and three dissenting votes. Council Members Power~ Geiger, and Wyatt cast the three dissenting votes. Approval of 2007 Wastewater Treatment Plant Budget Modifications Public Works Director Abed presented the staff report, noting that there was no increase to the bottom line, that this was just a reallocation of funds in the existing budget. In addition, when the 2007 Wastewater Treatment Plant budget was done, it posted a debt payment of around $1,000,000. In order to offset this, the Sewer Advisory Committee (SAC) agreed to use $300,000 of the connection fees for debt Minutes of August 27, 2007 Page 9 of 9 payment. Subsequently, the annual debt payment was made and the uncommitted amount is available to cover emerging and unanticipated needs of the Plant. Council Member Geiger moved and Council Member Wyatt seconded the motion to approve the Wastewater Treatment Plant (WWTP) Budget Modifications for a total amount not to exceed $300,000. Upon vote, the motion carried unanimously. At 8:17 p.m. Mayor Abel called for a 7-minute break and reconvened the meeting at 8:24p.m. First Reading Regarding Approval of Ordinance No. 025-07 Adopting the Downtown Overlay District Regulations -Open for Public Comments Assistant City Attorney Jacoby presented the staff report, noting that the proposed ordinance creates a "Downtown Overlay District" (DOD), development standard for the Central DOD subarea, and establishes a new Port Orchard Municipal Code Title 18 "Zoning and Development." Mayor Abel invited those in the audience to present any comments to the Council at this time. Ms. Gerry Harmon, 906 Kitsap Street, expressed concern that the DOD plan did not allow for maintaining the historical significance of the downtown business community and felt it would destroy the town. Mr. Ron Johnson, 926 Kitsap Street, spoke on whether or not the downtown district truly needed more than one parking garage. He liked portions of the DOD document, especially requiring retail on the main floor of commercial buildings, and if done correctly, the overlay of downtown could be beneficial to the community. Ms. Stephanie Bailey, 624 Kitsap Street, voiced concern that her home was no longer within the DOD boundaries and requested that the Council include her home within the DOD district boundaries. Mr. Gil Michael, 228 Seattle Avenue, read into record a letter from Jerry Childs thanking the Council for its efforts on behalf of the local citizens. Mr. Childs asked the Council to revisit the EDAW plan, which provided redevelopment plans complete with artist renderings, market analysis, and funding sources. He further urged the Council to honor and value past heritage through the preservation of the historic commercial district which creates a visible link to Port Orchard's unique maritime past. Minutes of August 27, 2007 Page 9 of 9 Ms. Kathy Michael, 228 Seattle Avenue, presented questions that she wanted the Council to consider prior to approving the DOD document. She voiced concern with the following items: • Where did the idea for taller buildings came from; • Where is the statistical information from other small towns; • Where did the local town character go; • By whose authority were the DOD plans defined; • Were visual aids on the proposed designs available for community members to review to ensure the Plan was compatible with the existing historic downtown core; • What were the projected costs to build a new parking garage and the impacts to the area; and • If this were being proposed within the three blocks surrounding your own home, would the plan still look like this? Ms. Dana Harmon, 824 Kitsap Street, concurred with the prior comments, noting that if the Council chose to proceed with the plan, that it needed more work and suggested the following changes: • Section 18.96.020 --Move item 1 down • Section 18.96.030 --Add the words "seaport" and "character" • Section 18.96.140 -Change to read units that are 3 bedrooms or greater shall have 2 parking spaces per unit. In addition, she spoke of the community of Los Gatos, California whose council implemented a height and story pole that allowed affected residents and business owners to visually "see" the proposed building before it is constructed. She urged the Council to consider implementing a story pole to allow residents to "see" what the building would look like before it was built. Beth Cattrell, 623 Dekalb Street, stated she grew up in Port Orchard, which she felt was once a very compact, functioning economic area that had everything within walking distance. Since the community has grown so much, it was becoming more difficult to keep the downtown core functioning. She urged the Council to deal with infrastructure first such as removing telephone poles that block residential views and the fill sites for Bay Street businesses. She was concerned that the City Council was letting people who did not live or vote in Port Orchard take away property values of those residents who lived above the downtown core area. She urged the Council to table the DOD plans or to drastically revise them. Mr. Lary Coppola, 103 Rockwell Avenue, advised that he had not talked to one resident who favored the 55' height requirement. Minutes of August 27, 2007 Page 9 of 9 Ms. Deb Townsend, owner of 802-804 Bay Street, stated that redevelopment of this area was not only necessary, but it could be done in a way to meet the historic design guidelines proposed by the regulations. She grew up in Los Gatos, California and explained that the permit process in Los Gatos was long and complicated and could take up to three years before a permit was issued to build. She supported the DOD project and urged the Council to move forward on the issue, which would allow local businesses to begin building and/or remodeling the downtown core area. Mr. Phil Hoffman, owner of the barbershop building located at 812-816 Bay Street, thanked the Council for looking progressively towards the future. Mr. Ron Rider, 714 Bay Street, wanted to build something that the community would be proud of. He stated that many plans had been studied and many hours spent discussing the DOD Plans. He urged the Council to make the DOD their priority and to adopt the plan as soon as possible. Mr. Gil Michael, 228 Seattle Avenue, concurred with the prior comments, however voiced the following concerns: • Section 18.96.010(2) Wings. He opposed deleting the wings, the entire footprint must be treated as a whole to get the best diversification. • Maps. In some places the line delineating the boundaries of the DOD are unclear. • 18.96.050 Conditional Uses/Permits. The section needed to include that the project will be evaluated on its conformance to its neighbor. • There should be a section in the ordinance that addresses evaluation of the view protection area. He wanted to make sure that the DOD plans were what the public wanted. • 18.96.170 Heights. He supported this option, but felt additional height should provide an additional amenity. • 18.96.100(2)(a-b) needed to be put back into the document. • 18.96.110 Conditional Use Permits. Urged the Council to address that there was no provision in the document allowing for an evaluation of the amenity versus the height. He suggested putting in language for an evaluation clause that pertained to what the amenity gives to the height and how the height restricts the character of the neighborhood. • Requested that a design review committee be established so that the process is clear. Mr. Michael stated that the developers will come if you build it, regardless of the zoning requirements and/or restrictions. Ms. Cindy Lucarelli, 926 Kitsap Street, stated that community residents were unhappy and frustrated that there was still no plan or vision of where the community is heading. She said the current document does not address all of the needs of the community and Minutes of August 27, 2007 Page 9 of 9 questioned whether or not current residents would be able to live in the community should the current DOD plan be adopted. She urged the Council to formulate a new plan. Ms. Gerry Harmon, 906 Kitsap Street, reiterated that should the Council adopt the current DOD plan then the quality of life in Port Orchard would change. She was concerned that land values have exceeded home values and wondered how that would affect the future local economy. At this time, no further audience comments were received. Council Member Dilenno noted several items that the Council had previously come to a consensus on, but were not reflected in the DOD Plan as follows: • Section 18.96.110(11) should have been stricken; • Section 18.96.050(c) should be the value of the proposed building and land; • Section 18.96.110(12) wanted to revisit this issue as to the actual intent if the atrium was enclosed then it could be locked from public access during evening hours; and • Section 18.96.110(13) wanted a discussion on whether or not the requirement of businesses to have restrooms available did that equate back to an amenity? Mayor Abel noted that in section 18.96.050 Conditional Use Permits had been discussed that the height would remain the same and references to the bulk be taken out of the plan. After a brief discussion, the Council directed that both height and bulk should remain in the current draft as well as tying in that any building over 40,000 square feet would be required to have an additional amenity attached to it in order to obtain the conditional use permit. Council Member Wyatt moved and Council Member Geiger seconded the motion to continue the meeting to 10:15 p.m. Upon vote, the motion passed unanimously. Council Members discussed the need for a Design Review Board and whether the Board should be advisory, should the Board consist of Port Orchard residents, and what are the parameters of the Board. Council Member Dilenno moved and Council Member Powers seconded the motion to continue the DOD discussion to the September 10, 2007 meeting, to have Council Members Clauson, Dilenno, and Putaansuu meet with the City Attorney to draft the creation of a Design Review Board and present it at the September 10, 2007 meeting, and to move the second reading to the September 24, 2007 meeting. Upon vote, motion passed unanimously. Minutes of August 27, 2007 Page 9 of 9 Continued Discussion: Admissions Tax This item was before the Council at its August 13, 2007 meeting and was continued to this meeting. Council Member Chang moved and Council Member Diienno seconded the motion to move this item to the October 8, 2007 meeting. Upon vote, the motion passed unanimously. ADJOURNMENT At 10:15 p.m. Mayor Abel adjourned the meeting. Kim E. Abel, Mayor