11/09/2010 - Regular - MinutesCity of Port Orchard
Council Meeting Minutes
Regular Meeting of November 9, 2010
1. CALL TO ORDER AND ROLL CALL
Mayor Lary Coppola called the meeting to order at 7:00p.m. Mayor Pro-Tem Rob Putaansuu and
Councilmembers Fred Chang, Jerry Childs, John Clauson, Jim Colebank, Fred Olin, and Carolyn
Powers were present and constituted a quorum. City Clerk Kirkpatrick, Public Works Director
Dorsey, Treasurer Martin, Development Director Weaver, Deputy Clerk Rinearson, and City
Attorney Jacoby were also present.
A. Pledge of Allegiance
Larry Curies led the audience and Council in the Pledge of Allegiance.
2. CITIZENS COMMENT
Patrick Lucus questioned the need for Council to hold meetings outside of City Hall, noting this is
the reason why the citizen's of Port Orchard provided a new City Hall.
3· APPROVALOFAGENDA
The following items were removed from the Consent Agenda and placed under Business Items:
• Adoption of Resolution No. 038-10, Revising the Job Descriptions for the Positions of
Human Resource Coordinator and Treasurer
Councilmember Olin MOVED and Councilmember Childs seconded the motion to
approve the Agenda as amended. Upon vote, the motion passed unanimously.
4· APPROVAL OF CONSENT AGENDA
A. Approval of Claim Warrants Nos. 54465 through 54566 in the amount of $372,134.94;
October's Payroll Warrant Nos. 143401 through 143478 in the amount of $674,534.01; and
Treasurer's check book in the amount of $1,954,824.35.
B. Approval of the October 26, 2010, Council Meeting Minutes
C. Setting Meeting for Work Study Session to November 16, 2010, at 7:00p.m. at City Hall
D. AdoptioH of ResolHtion No. 038 10, Revising the Joe Descriptions for the Positions of Haman
ResoHree Coordinatm and TreasHFer
E. Approval of Contract No. 065-10, Authorizing the Mayor to Execute an Agreement with Gordon
Sound Production for Sound System during the Festival of Chimes and Lights
Councilmember Colebank MOVED and Councilmember Clauson seconded the motion
to approve the Consent Agenda as amended. Upon vote, the motion passed
unanimously.
Minutes of November 9, 2010
Page 2 of 9
5· PRESENTATION
A. Proclamation: National Pancreatic Cancer Awareness Month
Mayor Coppola read the National Pancreatic Cancer Awareness Month Proclamation into the
record.
B. South Kitsap Water Reclamation Facility 2011 Budget
Larry Curies, General Manager of the West Sound Utility District, provided an update on the South
Kitsap Water Reclamation Facility (SKWRF), noting the following:
• Name changed from the Joint Waste Water Facility to the South Kitsap Water Reclamation
Facility;
• Budget is based on a 52% share from the District and 48% share from the City;
• Currently serve approximately 25,000 people;
• Funding for 2011 will allow completion of some critical repairs;
• 2011 Cost per ERU is $21.50 for equipment replacement;
• City's share ofthe funding is $59,772 and the Districts share of the funding is $66,ooo;
• Septage will be discontinued until the system can handle it;
• Leachate funded projects are to rebuild one secondary clarifier and to seal the original
concrete decks;
• Grant revenues are not included in the budget totals;
• The reclaimed water distributions system will be partially funded from the Department of
Ecology and EPA grants;
• Puget Sound Energy will help fund the replacement of the air blower and other
modifications;
• The facility has crossed trained all staff;
• Working with various schools to inspire future facility workers;
• Major programs for 2011 include primary clarifiers, computer improvements, repair the
upper driveway, design the administrative wall, replace heads in the aeration basin, replace
the 1996 pickup truck, improve energy efficiency and alternative energy, and Biosolids
management;
• Future projects that need to be done include glass wall replacement and rebuilding the
secondary clarifiers;
• To help generate revenue the facility will contract with other entities to assist in getting their
operations up and running; and
• Future challenges include funding depreciations, major repairs and replacement of original
equipment, staff training, payment of annual debt, and expanded capacity to process bio-
solids.
6. PUBLIC HEARING
A. McCormick Division Three Development Agreement with GEM 1, LLC
Minutes of November 9, 2010
Page 3 of 9
Development Director Weaver presented the staff report, noting the public hearing is for a
Development Agreement between GEM 1 and the City of Port Orchard, related to the Preliminary
Plat of McCormick North, Division III. The City and GEM 1 desire to enter into a Development
Agreement, as authorized by RCW 36.7oB.170, which will establish procedures and standards for
the review and approval of McCormick North Phase III. This Agreement is intended to set forth the
uses that will be permitted on the Property, the development standards that will apply, the period
oftime within which the development standards will apply, and the method and manner in which it
may be developed. The Planning and Public Works departments as well as the Hearing Examiner
have reviewed the preliminary plat and city attorney reviewed developer's agreement and the
combined documents are in compliance the city Comprehensive Plan and applicable Port Orchard
Municipal Code and all other state and local regulations.
Mayor Coppola opened the Public Hearing at 7:41p.m.
Bob Johns, attorney for GEM 1, voiced his support of the Agreement, was available to answer any
questions, and looked forward to working with the City.
There being no further testimony, Mayor Coppola closed the Public Hearing at 7:42p.m.
B. Regarding Street Vacation of a Portion of the Alley Located in the Plat of Pottery
Hill Addition to Sidney
City Clerk Kirkpatrick presented the staff report, noting Mr. and Mrs. Jason Hill and Ms. Mary
Joan Buonanno have submitted a Street Vacation application to vacate a portion of City right-of-
way located in the Plat of Pottery Hill Addition to Sidney. A certified check in the amount of
$3,450, for the full appraised value was received. The application was forwarded to the Public
Property Committee for review. The Committee recommended that a Public Hearing be set for this
matter. The attached color map shows the proposed area to be vacated, which does not impede
access to the adjacent property.
Mayor Coppola opened the Public Hearing at 7:43 p.m.
Bob Jay, neighbor, voiced his support in the City allowing Mr. and Mrs. Hill to take ownership of
the proposed property, as he believes it's a good idea.
There being no further testimony, Mayor Coppola closed the Public Hearing at 7:44p.m.
7· BUSINESS ITEMS
A. Adoption of Resolution No. 038-10, Revising the Job Descriptions for the Positions
of Human Resource Coordinator and Treasurer
City Treasurer Martin presented the staff report, noting while Human Resources (HR) have always
been critical to the success of any organization, they have assumed an increasingly greater
importance that is being recognized inside and outside of any organization. HR provides a wide
variety and range of knowledge, skills, and abilities whose successful performance contributes to
the attainment of the City's overall goals. The role of HR has evolved since its historical reference as
Minutes of November 9, 2010
Page 4 of 9
personnel management. HR represents an extension of the basic functions of selection, training,
and compensation to the dynamic interaction of how personnel functions with each other and with
the strategic and planning objectives of the City. In recognition of HR's duties, tasks, and activities,
the Mayor is requesting Council approval to align the Human Resources Coordinator position
within the office of the City Treasurer. The position currently reports directly to the Mayor with
support from the Deputy Clerk and Office Assistant II. The change results in the HR coordinator
reporting to the Treasurer, who will provide supervisory support, and coordination with the Mayor,
Council, and Finance Committee.
Councilmember Powers MOVED and Councilmember Colebank seconded the motion
to approve Resolution No. 038-10, revising the job descriptions for the positions of
HR Coordinator, Treasurer, Deputy Clerk, and Office Assistant II as described in
Exhibits A,B,C, and D respectfully. Upon vote, the motion passed unanimously.
B. Approval of the October 19, 2010, Work Study Session Minutes
Councilmember Putaansuu MOVED and Councilmember Colebank seconded the
motion to approve the October 19, 2010, Work Study Session Minutes. Upon vote, the
motion passed with six affirmative votes and one abstaining vote. Councilmember
Clauson cast the abstaining vote.
C. Adoption of Ordinance No. 021-10, Approving Street Vacation of a Portion of the
Alley Located in the Plat of Pottery Hill Addition to Sidney
City Clerk Kirkpatrick presented the staff report, noting earlier in the meeting the Council held a
public hearing to consider a request by Mr. and Mrs. Jason Hill, to vacate a portion of City right-of-
way located in the Plat of Pottery Hill Addition to Sidney.
Councilmember Colebank MOVED and Councilmember Clauson seconded the motion
to adopt Ordinance No. 021-10, approving the Petition to Vacate a portion of City
right-of-way located in the Plat of Pottery Hill Addition to Sidney, with the
compensation of $3,4so received for the Street Vacation to be distributed so/so
between the Street Fund and the Designated Unreserved Fund Balance for Parks.
Upon vote, the motion passed with five affirmative votes and two dissenting votes.
Councilmember Chang and Putaansuu cast the two dissenting votes.
D. Adoption of Ordinance No. 022-10, Setting the amount of Property Tax to be
Levied for Year 2011, Including Administrative Refunds
City Treasurer Martin presented the staff report, noting on October 26, 2010, a public hearing on
revenue sources for the current expense (general fund) budget was held. The hearing included a
discussion on any increases in the property tax being considered. The ordinance reflects a 1%
increase in property taxes from 2010, showing a comparison of 2011 levy amounts to 2010 levy
amounts.
2010 levy
1% increase
$1633,331
-0-
2oulevy
1% increase
$2,sos,ss7
23,044
Minutes of November 9, 2010
Page 5 of 9
New constructions
Annexation
Total Taxes
Refunds
Total2010
45,841
827,413
$2,506,585
1.991
$2,508,587
New constructions
Annexation
Total Taxes
Refunds & Abatements
Total2010
64,668
27,794
$2,623,093
3,114
$2,626,207
Further, Treasurer Martin clarified that the 2011 levy annexation amount is an estimate until final
the levy calculation is completed by the Kitsap County Assessor's Office.
Projected 2011levy rate 2.111387 calculates a tax of $211.14 on a house assessed value of $wo,ooo.
In response to Councilmember Chang, City Treasurer indicated the two largest revenue sources of
the City is the property and sales tax which share all the lined expenses including the largest
expenses of the 2% cost of living COLA increase, increased in medical cost, and three additional
police vehicles to help with public safety; and the 1% increase is not going to anything particular it
will help the City not fall behind in not keeping up with the rising inflation costs.
Councilmember Chang voiced his opposition as he remained uncertain as to where the increased
property tax is applied to and whether or not the need exists.
Councilmember Colebank voiced his opposition of increasing taxes to the citizens of Port Orchard.
Councilmember Putaansuu MOVED and Councilmember Clauson seconded the
motion to adopt Ordinance No. 022-10, to set the 2011 property tax levy and the
amount of property taxes to be raised for the budget year of 2011. Upon vote, the
motion passed with five affirmative votes and two dissenting votes.
Councilmembers Colebank and Chang cast the two dissenting votes.
E. Adoption of Resolution No. 039-10, Approving a Special Funding Allocation From
the Community Events Fund 107 and Authorizing any 2010 Ending Cash Balance to be
Carried over as Reserves for 2011
City Clerk Kirkpatrick presented the staff report, noting the Community Events Fund 107, which is
the Hotel/Motel Tax fund, would have an estimated ending 2010 cash balance of $32,000. In
discussing this matter with the Committee Chair Fred Chang, staff was directed to call a meeting of
the Lodging Tax Advisory Committee to review a special request received from Councilmember
Childs for the Festival of Chimes and Lights. A copy of the Committee's minutes has been provided
to the Council. The applicant has requested an additional $4,500 to help offset additional costs for
advertising, printing, promotion, and operational costs necessary to put on the festival, including
new decorations and the use of a boom truck to put up/take down decorations at City Hall. Based
upon the City Treasurer's projections, this will leave a carryover balance of approximately $27,500,
which the Committee recommends be put into reserves for 2011, to allow the Lodging Tax Advisory
Committee to meet in late February 2011 to discuss whether the funds should be allocated or
remam as reserves.
In response to Councilmember Olin, Councilmember Chang indicated the Committee decided to
reserve the balance of the overage; and in February when the actual revenues come in; the
Minutes of November 9, 2010
Page 6 of 9
Committee will notify the applicants of the additional funding and meet to determine how funds
will be spent.
Councilmember Chang MOVED and Councilmember Childs seconded the motion to
adopt Resolution No. 039-10, approving the special funding allocation requests from
the Festival of Chimes and Lights in an amount not to exceed $4,500; and for any
ending 2010 cash balance to be put into reserves for 2011, and to allow the Lodging
Tax Advisory Committee the opportunity to determine whether the funds should be
allocated or remain as reserves. Upon vote, the motion passed unanimously.
F. Adoption of Resolution No. 040-10, Authorizing the Mayor to Execute a
Development Agreement with GEM 1, LLC for the Development Standards and
Processing ofthe McCormick North Platt, Division III
Development Director Weaver presented the staff reporting, noting the City and GEM 1 desire to
enter into a Development Agreement, as authorized by RCW 36.70B.17o, which will establish
procedures and standards for the review and approval of McCormick North Phase III. This
Agreement is intended to set forth the uses that will be permitted on the Property, the development
standards that will apply, the period of time within which the development standards will apply,
and the method and manner in which it may be developed. The McCormick North Division III is a
Preliminary Plat consisting of 129 acres. Within the boundaries of this project are four zoning
designations, Greenbelt, Residential 20 units per acre (R-20), Employment (Eo) and Mixed Use
Development Mxd). Proposed development within the R-20 zone includes 159 single-family units
and two future development tracts for a total density range of 255-459 dwelling units. In addition
to the residential lots eighteen non-residentiallots for commercial development will be created in
the Employment Industrial zoning designation.
Councilmember Olin MOVED and Councilmember Colebank seconded the motion to
adopt Resolution No. 040-10, authorizing the Mayor to enter into a Development
Agreement between the City and GEM 1. Upon vote, the motion passed unanimously.
G. Approval of Contract No. 066-10, Relating to Development Agreement for Transfer
Development Rights (TDR) Grant Program with the Department of Commerce
Development Director Weaver presented the staff report, noting the Port Orchard Planning
Department was awarded by the Washington State Department of Commerce a $97,000 planning
grant to study a potential Transfer of Development Rights (TDR) Program. A prerequisite for the
completion of the grant agreement is a development agreement, directing the Port Orchard
Planning Department to pursue and analyze a potential TDR program as part of the 2011
Department work program. The contract has been reviewed by the City Attorney for a development
agreement with the Department of Commerce in establishing the scope of work and deliverables for
a TDR grant submitted in combination with a subsequent signed grant agreement.
Councilmember Childs MOVED and Councilmember Colebank seconded the motion
to approve Contract No. o66-1o, for a development agreement regarding Planning
Department preparation of a potential Transfer Development Rights (TDR) Grant
Program with the Department of Commerce. Upon vote, the motion passed
unanimously.
Minutes of November 9, 2010
Page 7 of 9
H. Approval of Local Agency Agreement No. 5 to Contract No. 011-05, Authorizing the
Mayor Pro-Tern to Execute Agreement No. 5, regarding the Tremont Street Widening
Project for Additional Right-of-Way Acquisitions Funds with the Washington
Department of Transportation
Public Works Director Dorsey presented the staff report, noting on September 7, 2010, the Kitsap
Regional Coordinating Council (KRCC) Executive Board approved the City of Port Orchard's
request for $250,000 in additional Tremont Street Widening right-of-way acquisition funding. On
October 1, 2010, formal notification of authorization for the City's $250,000 request was received
by Puget Sound Regional Council (PSRC) Executive Director Bob Drewel. Local Agency Supplement
No. 5, attached herewith, will be executed by WSDOT Local programs upon Council action and then
forwarded on to the Federal Highway Administration (FHWA) for obligation.
Councilmember Powers MOVED and Councilmember Olin seconded the motion to
authorize the Mayor Pro-Tempore to execute Local Agency Agreement Supplement
No. 5 to Contract No. 011-05, as required to obligate the additional $250,000 in right-
of-way acquisition funding for the Tremont Street Widening Project. Upon vote, the
motion passed with six affirmative votes and one abstaining vote. Councilmember
Colebank cast the abstaining vote.
I. Approval of Contract No. 067-10, Authorizing the Mayor to Execute an Agreement
with CodePros for Building Code Inspection Services
Development Director Weaver presented the staff report, noting the City of Port Orchard was
approached by CodePros regarding provision of supplemental building inspection and plan check
services. These services would be available to the development community upon request via the
Expedited Permit Process under Port Orchard Municipal Code or to supplement vacancies due to
sickness or vacation based upon the Departments' reliance upon a single building inspector. The
contract would allow an additional option for needed building inspections during periods where the
City Building Inspector is unavailable. The resulting contract would ensure that the supplemental
inspection or plan check services provided by CodePros would be compliant with City code and
similar for equitable services provided by other contractors. The contract was reviewed by the City
Attorney on November 1, 2010.
Councilmember Putaansuu MOVED and Councilmember Colebank seconded the
motion to approve of Contract 067-10, authorizing the Mayor to sign an agreement
with CodePros for on-call building inspection and plan check services effective
November 1, 2010. Upon vote, the motion passed unanimously.
J. Approval of the South Kitsap Water Reclamation Facility's 2011 Budget
City Treasurer Martin presented the staff report, noting the purposed 2011 South Kitsap Water
Reclamation Facility Budget is presented for Council approval. The proposed budget reflects
$2,704,700 in revenues (not including grants), inclusive of the City's contribution of $10o,ooo and
$1,285,100, totaling $1,385,100. The expenditure budget is $1,896,900. The capital Improvement
portion of the budget is $95,000.
Minutes of November 9, 2010
Page 8 of 9
Councilmember Colebank MOVED and Councilmember Clauson seconded the motion
to approve the 2011 South Kitsap Water Reclamation Facility Budget. Upon vote, the
motion passed unanimously.
Councilmember Olin MOVED and Councilmember Colebank seconded the motion to
excuse ,Councilmcmber Powers from the November 23, 2010, Council meeting. Upon
vote, the motion passed unanimously.
8. CITIZENS COMMENTS
Jerry Harmon requested that the Council take into consideration the services provided to the
citizens and what is in the best interest of our community when deciding on whether or not to
increase taxes.
9· COMMITTEE REPORTS
Councilmember Olin reported the Public Properties Committee received a proposal from the Port of
Bremerton regarding taking over ownership of the Water Street boat ramp, which the Committee
was not recommending. Further, Councilmember Olin requested the Council make a determination
on which option to pursue for the Bay Street Pedestrian Pathway to assist staff in moving forward
with obtaining grant funding for the project.
Councilmember Olin MOVED and Councilmember Powers seconded the motion that
the City move to direct staff to complete the Bay Street Pedestrian Pathway to include
Alternate No. 1 for that portion ofthe pathway leading from Peninsula Feed along Bay
Street towards Comfort Inn. Upon vote, the motion passed with six affirmative votes
and one dissenting vote. Councilmember Childs cast the dissenting vote.
Mayor Coppola read an email he received from a citizen who voiced their opposition of the Port of
Bremerton taking ownership of the Water Street boat ramp.
Councilmember Putaansuu reported the Utilities Committee will be looking into ways to help fund
infrastructures to bring the new wells online in 2011.
Councilmember Childs announced the Economic Development Tourism Committee "~II be held on
November 10, 2010, at 5:30p.m. at City Hall.
10. MAYOR'S REPORT
The Mayor Coppola reported on the following:
o Attend the Good Roads Committee in Olalla regarding the City's priorities for the roads in
2011;
o Attended Association of Washington Cities Regional meeting;
o Attend the Kitsap Regional Coordinating Council retreat to discuss the 2011 goals and
priorities;
o Met Kitsap Transit regarding their 2011 budget;
Minutes of November 9, 2010
Page 9 of9
• Attended the Kitsap Regiona l Coordina ting Council Board meeting;
• Attended the Board of Hea lth Board m eeting;
• Attended the Kitsap County Hous ing Authority Board meeting ;
• Meet with De lilah and Patty Gregory from Bellville, IL regarding bringing a fes tival t o the
City;
• Met with the Finance Committee and Department Directors rega rding the City's 2011
budget;
• Met with Kitsap County Housing Authority Ex ec utive Director and Treasurer regarding the
re newing a line of credit;
• Met with a constituent rega rding an Economic Deve lopment idea;
• Met with the executive committee of the Kitsap Region al Coordinating Co uncil regarding
the 2011 schedu le and wo rk plan; and
• Met with a group of downtown business owners rega rding sign regulations.
11. REPORT OF DEPARTMENT DIRECTORS
Public Works Director Dorsey provided a n update on the Tremont Corridor indi ca ting that the
approximately 6o% of the right-of way acquisitions are acquired and wo rking t o provide the PS&E
specifications and plans to Olympia for review; the Bay Street Seawa ll project p assed the f ile review
from Washington De partment of Transportation; and the Tremont/P ottery water issue is still in
review .
Deve lopment Direc tor Weaver provided a n update on t h e Kit sap County Planning Commission
meeting regarding the McCormick reservoir a nd the two McCo rmi ck Stormwater ponds. He n oted
the County Pla nning Commission s upp ort ed the parcels to be included in the Urban Growth Area,
which allows u s to bring the parcel we ow n into the City.
City Treasurer Martin met with Kitsap Transit and a Credit Card specialist rega rding the security of
credit ca rds and m ove me nt of m on ey a nd found the meeting to b e produ ct ive; a nd thanked the
Council for their comments on taxation and budgets , which h e found t o be thoughtful.
At 9:14p.m. Mayor Coppola reco nvened the meeting aft er a s -minute r ecess.
12 . EXECUTIVE SESSION
At 9:19 p.m. Mayor Coppola recessed the meeting for a 15-minute executi ve session regarding
potential litigation in accordance with RCW 4 2.30.110(B). City Attorney Jacoby and City Clerk
Kirkp atrick were invited to attend and the Mayor a nnounced that no actio n wo uld be taken as a
result of the executive session.
At 9:34p.m. Mayor reconvened Council back into regular session.
13. ADJOURNMENT