06/14/2011 - Regular - MinutesCity of Port Orchard
Council Meeting Minutes
Regular Meeting of June 14, 2011
1. CALL TO ORDER AND ROLL CALL
Mayor Lary Coppola called the meeting to order at 7:00p.m. Mayor Pro-Tern John Clauson
and Councilmembers Fred Chang, Jerry Childs, Jim Colebank, Fred Olin, and Carolyn
Powers were present and constituted a quorum. City Clerk Kirkpatrick, Police Chief
Townsend, Public Works Director Dorsey, Deputy Clerk Rinearson, and City Attorney
Jacoby were also present.
Excused: Councilmember Rob Putaansuu
A. Pledge of Allegiance
Jim Avery led the audience and Council in the Pledge of Allegiance.
Mayor Coppola, with the Council's consent, moved "Citizens Comment" to be held at the
end of "Presentations."
2. APPROVAL OF AGENDA
Councilmember Childs MOVED and Councilmember Colebank seconded the
motion approving the Agenda. Upon vote, the motion passed unanimously.
Councilmember Putaansuu was absent.
Councilmember Clauson MOVED and Councilmember Colebank seconded the
motion to excuse Councilmember Putaansuu from tonight's Council meeting.
Upon vote, the motion passed unanimously. Councilmember Putaansuu was
absent.
3· APPROVAL OF CONSENT AGENDA
A. Approval of Claim Warrants Nos. 55667 through 55773 in the amount of
$946,227.26; May's Payroll Warrant Nos. 143831 through 143885 in the amount of
$500,716.36; and Treasurer's check book in the amount of $2,302,085.05
B. Approval of the May 17,2011, Work Study Session Minutes
C. Setting Meeting for a Work Study Session to June 21, 2011, at 7:00p.m. at City Hall
D. Adoption of Ordinance No. 007-11, Accepting Donation Agreement No. 049-11, of a
2002 BMW Motorcycle
E. Approval of Contract No. 035-11, Authorizing the Mayor to Execute an Amended
Agreement with Kitsap County for Transfer Development Rights Grant Program
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Councilmember Clauson MOVED and Councilmember Powers seconded the
motion approving the Consent Agenda. Upon vote, the motion passed
unanimously. Councilmember Putaansuu was absent.
4· PRESENTATION
A. Presentation: First Annual Jingle Bell Run/Walk
Ms. Sheila Cline presented the following:
• Started planning in January for events to hold during the year though out the
county;
• Within the last four months, 14 booths have been set up promoting the event;
• 82 participates have registered and 8 Teams, with 26 only being from Port Orchard;
• Secured 6 cash sponsors, totaling $3,300 and received many in-kind sponsors;
• Currently raised $5,055, which is a 1/3 of what the Arthritis Foundation has set for
our goal;
• Plan on attending many more events;
• Goal for the events are set by the Arthritis Foundation, which is to have 275
participants, 14 Teams, and $4,500 in sponsor dollars and net of $15,000;
• As a committee they set their goals of having soo participants, but would love 1,000
participants, and a net proceed of $30,000;
• Presented JB, the Elf, official ambassador;
• JB participated in the Dingy Race;
• We are constantly talking up the town and how wonderful the Chimes and Lights
event is;
• Registration until June 21, 2011, is $15 and will go up in $5 increments until the
actual event; and
• Committee appreciates the City's encouragement and support of the Jingle Bell Run.
B. Presentation: Property Tax Assessment
Mr. Jim Avery, Kitsap County Assessor, presented the following:
• Explained that no matter the valuation increase was the City will only receive 1% of
the tax received;
• Expressed being an advocate of the City's and Silverdale's efforts in the annexation;
• We are not over assessing to cover the shortfall of under assessed properties;
• Try to appraise property on every January of the year;
• Mass appraisal method is used in all assessor's offices throughout all the counties in
the State;
• Goal of the assessor is to be equal as possible throughout the County;
• 1/6 of the County is inspected every year, in 2010 it was South Kitsap;
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• 2010 was South Kitsap's turn to determine the proper property values;
• Made mistakes 6-years ago in the assessments, due to changes in computer software
and personnel, causing mistakes in some property's square footage and the mistakes ~
were caught in 2010, resulting in the increased valuations;
• Commercial properties are harder to assess than residential due to limited sales,
which results in the assessor having to use other means like income producing
potential to set the values;
• Challenge is not enough sales to determine the actual value;
• Upon receipt of property tax valuation, there is a appeal process should the property
owner disagree;
• Average appeal rate is approximately under 1% of all property owner throughout
Kitsap County;
• Majority of the downtown Port Orchard property tax went down, with a few
exceptions to the larger buildings;
• Of the exceptions many was behind the market values;
• Methodology is better than six years ago; and
• Within a month will see an approximate s% reduction in property taxes for South
Kitsap.
In response to Councilmember Powers, Mr. Avery explained that the methodology
throughout the State is the same. However, about half of the counties do a 4-year cycle,
which is an archaic system; were more larger counties have changed to annual evaluations
to keep the taxes fairly predictable; and of the majority of the cases of the Board of
Equalization less than half are settled out of court and the other half is heard before the
board.
Rick Flaherty, CEO of Leader International, expressed his concerns of the County's
process to assess commercial properties; as some properties increased from 25% to sao%.
Mr. Flaherty offered a solution that as residential properties decrease by 7-8% to adjust
them by 1-2% and apply the difference in the reduction to commercial properties to keep
the commercial industries supplying jobs to the local economy, which will allow the
community to remain stable.
Fred Karakas, Owner of Olympic Bike Shop voiced concerns regarding his tax assessment
and questioned the County's model of the assessing, noting it should be relooked at.
In response to Councilmember Powers, Tim Matthes, Chair of the Board of Equalization,
explained how this Board operates, noting they don't look at the amount of cases that
should go down, rather they rely on the Law, which requires that the appellant must
provide clear and convincing testimony that the assessor is wrong in order to have a
property valuation reversed, which does put the citizen at a disadvantage.
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Gil Michael questioned whether the "Law is being followed" and that maybe this matter
needs to be addressed by the County or State legislature.
C. Presentation: City Wellness Award
City Clerk Kirkpatrick presented the 2011 WellCity Award at the Achievement Level to the
Mayor, Council, and Employees. The AWC Employee Benefit Trust Board of Trustees
believes the employor plays a vital role in building a workplace that supports healthy
behaviors. Therefore, Trust members that earned this distinction would receive a 2%
discount on Regence BlueShield/ Asuris Northwest Health medical premiums for employees
and spouses in 2012.
Councilmember Clauson recognized the significance of this award and suggested the
Finance Committee look at rewarding the City's Wellness Committee for its efforts in
achieving this award, such as increasing the budget for them to attend more training and/ or
maybe help pay employees registration for health promotion related activities.
5· CITIZENS COMMENT
John Ready, President of the Port Orchard Bay Street Association, asked the Council to
support the funding of Sunday foot ferry service during the summer months, which would
allow for an increase in ridership between the two ports and to offer residents an alternative
mode of transportation between the two communities.
Councilmember Clauson declared a conflict of interest as he is an employee of Kitsap
Transit, and recused himself from the discussion at 8:20 p.m.
Councilmember Olin MOVED and Councilmember Powers seconded the
motion for the City to fund a one-third share of the costs to operate a Sunday
Foot Ferry service for the summer. Upon vote, the motion passed
unanimously. Councilmember Putaansuu was absent and Councilmember
Clauson was recused.
6. PUBLIC HEARING
There were no Public Hearings.
7. BUSINESS ITEMS
A. Approval of the May 24, 2011, Council Meeting Minutes
Councilmember Childs MOVED and Councilmember Chang seconded the
motion to approve the May 24, 2011, Council meeting minutes. Upon vote, the
Minutes of June 14, 2011
Page 5 of 9
motion passed with five affirmative votes and one abstaining vote.
Councilmember Clauson cast the abstaining vote and Councilmember
Putaansuu was absent.
B. Adoption of Ordinance No. 008-11, Approving 2009 Water System Plan
Amendment -2011 Update
Public Works Director Dorsey presented the staff report, noting the Grovvt:h Management
Act (GMA) requires that each city that plans under the GMA periodically review, and if
needed, revise its capital facilities plan(s) to ensure compliance with the Grovvt:h
Management Act. Therefore, on January 6, 2010, a SEPA Checklist for the 2009 Water
System Plan amendment (updating the 2007 Water System Plan adopted via Resolution
No. 026-07) was completed and distributed. On February 5, 2010, the City of Port Orchard
issued a Programmatic Determination of Non-Significance (DNS) for the 2009 Water System
Plan amendment and on April13, 2010, the Port Orchard City Council adopted the amended
2009 Water System Plan via Resolution No. 005-10. All comments received during the
SEP A comment period were incorporated into the document. City Staff then continued to
work with the Washington State Department of Health-Office of Drinking Water (DOH-
ODW) on Plan approval. On March 22, 2011, a Public Hearing was finally held to receive
additional public comment on the revised 2009 Water System Plan amendment, being the
2011 update which now includes Washington DOH-ODW approval. The DOH-ODW
approved 2009 Water System Plan amendment was developed in consideration of the goals
of the GMA for the development of local Capital Facilities Plans and reflects a careful
balancing of these goals within the local conditions of the City of Port Orchard. This update
was developed from and is consistent with the Port Orchard Comprehensive Plan.
Councilmember Olin MOVED and Councilmember Clauson seconded the
motion to adopt Ordinance No. 008-11, approving the 2009 Water System Plan
amendment -2011 update as approved by the Washington State Department
of Health -Office of Drinking Water. Upon vote, the motion passed
unanimously. Councilmember Putaansuu was absent.
C. Approval of Contract No. 050-11, Authorizing the Mayor to Execute
Construction Contract with Pacific Coast General, LLC for Tremont
Sanitary Sewer Project
Public Works Director Dorsey presented the staff report, noting on May 13, 2011 the Pottery
Force Main and Tremont Detour Project PS&E (aka, Tremont Sanitary Sewer Project) was
made available to bidders through a variety of media, with sealed bids due by 11:00 a.m. on
June 3, 2011. On June 3, 2011 at 11:00 am the City Clerk opened all sealed bids received (six
bids in all) and read aloud the bid results. The qualified low bidder for the project was Pacific
Coast General, LLC with a bid of $823,232.20 (including tax where applicable). The
Engineer's Estimate for this project was $1,265,271.67.
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Councilmember Powers MOVED and Councilmember Clauson seconded the
motion to approve Contract No. 050-11, authorizing the Mayor to execute a
construction contract with Pacific Coast General, LLC in an amount not to
exceed $823,232.20, for the Pottery Force Main and Tremont Detour
Construction. Upon vote, the motion passed unanimously. Councilmember
Putaansuu was absent.
D. Approval of Contract No. 051-11, Authorizing the Mayor to Execute an
Agreement with N.L. Olson and Associates for 2011 Roadway Asphalt
Overlays
Public Works Director Dorsey presented the staff report, noting N.L. Olson & Associates,
Inc. (NLO) was selected from the 2011 Professional Services Roster to perform professional
engineering and surveying services for the 2011 Roadway Asphalt Overlay Project based on
both qualification and efficiency. NLO is a local engineering/surveying/geotechnical firm
with a substantial topographic survey file. Both the qualification of their staff and their
ability to quickly and efficiently prepare Ad-Ready Plans, Specifications & Estimate (PS&E)
is crucial in the City's ability to complete this task within the 2011 Budget cycle. NLO has
prepared a complete and cost effective project scope and associated budget, not to exceed
$19,500. The PS&E will be prepared in such a manner as to allow City staff the flexibility to
commence with the overlay projects as the approved 2011 Budget dictates. Mr. Dorsey
noted that any work within the current PS&E that is unable to be completed in 2011 will be
carried over to 2012.
Councilmember Clauson MOVED and Councilmember Colebank seconded the
motion to approve Contract No. 051-11, authorizing the Mayor to execute an
agreement with N.L. Olson and Associates, Inc. for the 2011 Roadway Asphalt
Overlay Project PS&E in an amount not to exceed $19,500. Upon vote, the
motion passed unanimously. Councilmember Putaansuu was absent.
E. Approval of Contract No. 052-11, Authorizing the Mayor to Execute an
Agreement for Construction Administration Services with BHC Consultants
for the Tremont Sanitary Sewer Project
Public Works Director Dorsey presented the staff report, noting BHC Consultants, LLC is
listed on the City of Port Orchard's 2011 Professional Services Roster and recently completed
the Pottery Force Main and Tremont Detour PS&E (aka, Tremont Sanitary Sewer Project.)
The City's Public Works Department staff will work cooperatively with BHC staff to provide
the necessary Construction Administration during the course of this project. The 2011
Budget contemplated $1.4 million total construction cost. The Construction Contract was
awarded to Pacific Coast General, LLC in the amount not to exceed $823,232.20. The
remaining budget allocation would be used to fund Material Testing (Krazan & Associates,
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Page 7 of9
Inc.) and the Construction Administration would be given to BHC Consultant, LLC based
upon their proposal in the amount not to exceed $39,950.
Councilmember Chang MOVED and Councilmember Childs seconded the
motion to approve Contract No. 052-11, authorizing the Mayor to execute an
agreement with BHC Consultants, LLC, for the Pottery Force Main and
Tremont Detour Construction Administration in an amount not to exceed
$39,950. Upon vote, the motion passed unanimously. Councilmember
Putaansuu was absent.
8. CITIZENS COMMENTS
Gerry Harmon spoke in opposition of the water rate increase, stating the less water used
would cause less stress on the system; and on the City of New York's website you can watch
a video on a Port Orchard business delivering a boat to New York.
9· COMMITTEE REPORTS
Councilmember Olin reported the Public Property Committee met earlier in the day
regarding a speed bump on Perry Avenue, which the City engineer would be responding to
and resulted in no further action to be taken by Council; Skate Park Association is moving
forward with having the Skateboard Park at the Jackson Park on Lund; Committee will
continue to look at Van Zee Park regarding drainage issues; and the Committee
unanimously agreed to dedicate the remaining budgeted funds to replace some equipment
at Central Park, which was a direct result of the City's Loss Control Audit that noted unsafe
equipment at the Park.
Councilmember Colebank reported his attendance at the Sewer Advisory Committee for Mr.
Putaansuu and Mr. Olin regarding University of Washington Grad Students who are
conducting a study on fossil improvements for the Sewer Treatment Plant; attended the
Puget Sound Regional Council Transportation Board meeting regarding a committee
working on prioritizing all the projects, and attended the Kitsap Economic Development
Alliance Board retreat.
Councilmember Childs announced the. Economic Development Tourism Committee will
meet on Wednesday, June 15, 2011, at 5:30 p.m. at City Hall and will be discussing the
Festival of Chimes and Lights and Jingle Bell Run updates. Mr. Childs expressed interest in
having a Committee look into providing a utility assistance program for citizens and to
present an award or proclamation to the barber who is retiring after 40 years of being in
business in the downtown.
Councilmember Olin stated he would add the discussion of a utility assistance fund
program to the next Utilities Committee meeting agenda and will report back to the
Council.
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Councilmember Clauson asked that a presentation for Mr. Ernie Marino acknowledging his
40 years of business with the City be added to the June 28, 2011, Council meeting agenda.
Councilmember Clauson reported the Finance Committee met with the Lobbyist regarding
their proposal and accomplishments of this legislative session; the sales tax receipt is higher
than budgeted indicating it is up by 4.6%; the Interlocal agreement with Kitsap County
regarding revenue on the annexations is due and that the City has been saving up for and in
a good position to make the payment; Treasurer put together a calendar of the budget
development meetings; the IT person shared the current network and computer system of
where are computer are and the age of the computers, including a rotating schedule; and
the rooms the servers are located in are experience heat issues and it is recommended that a
coolant system be installed to protect the system.
10. MAYOR'S REPORT
The Mayor Coppola reported on the following:
• Talking with other cities and county for consolidation in services along with Kitsap
Regional Coordinating Council, as the meetings are not moving forward and
suggested they bring in a facilitator;
• Attended a presentation of the Kitsap Credit Union and Kitsap Sun Healthy
Tomorrow Award regarding his grandson receiving an award for donating to the
South Kitsap Helpline;
• Attended the Puget Sound Regional Council General Assembly;
• Attended the Artwalk and grand re-opening of the downtown theater;
• Judged the Seagull Calling Festival;
• Met with a group working on the Bethel annexation;
• Attended the Housing Authority Finance Committee;
• Met with Principles of the Paladin Data Systems regarding a possible upgrade to our
building/planning software program;
• Met with a major property owner regarding property taxes and other issues;
• Attended the opening ceremony for Relay for Life;
• Attended CENCOM Policy Board meeting;
• Met with the Boys and Girls Club regarding their efforts;
• Met with Karen Rogers with Exeltech;
• Attended the Entrance Conference for our Annual State Audit;
• Attended the Kitsap Regional Coordinating Council Executive Board meeting;
• Attended the Board of Health meeting;
• Attended the Housing Authority Board meeting were they adopted the 2012 budget;
• Met with Rodger Hopkins, Director of the Seattle Office of Business Administration,
as he is wanting to helping companies;
• Met with Dick Davis regarding residents of McCormick Woods concern;
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Page 9 of9
• Met with a citizen that was having problems at night on his street;
• Attended the Port Orchard Chamber luncheon;
• Attended the Mainstream Presentation at South Colby Elementary, as the are
interested in learning what is going on in the City;
• Attended the Kitsap Economic Development Alliance retreat;
• Met with Port of Bremerton and representative who are interested in establishing an
Marina Industry Cluster in Port Orchard;
• Participated in a tour of Gig Harbor YMCA; and
• Met with another citizen regarding his property tax assessment.
11. REPORT OF DEPARTMENT DIRECTORS
Public Works Dorsey reported that the water rate discussion would be brought back on the
August Work Study Session and participated in discussion on possible funding for the
Cedar Sidewalk project; and the initial kick off meeting regarding the DeKalb Pier project.
City Clerk Kirkpatrick reported that in effort to help increase the City's sales tax base and
tourism economy, she ·was working with Shawn Cucciardi, McCormick Woods, and Patty
Graf-Hoke, Visitor and Convention Bureau, to entertain some 400 Microsoft visitors ori
July 11, 2011. She explained that a majority of them will be participating in a golfing
tournament, while the rest will be touring our community and this was a great opportunity
to show off what South Kitsap has to offer.
12. EXECUfiVE SESSION
At 9:13 p.m. Mayor Pro-Tern Clauson recessed the meeting for a 19-minute executive
session regarding potential litigation in accordance with RCW 42.3o.no(B). City Attorney
Jacoby and Public Works Director Dorsey were invited to attend; and Mayor Pro-Tem
Clauson announced that no action would be taken as a result of the executive session.
Mayor Coppola and Councilmember Colebank left the meeting at 9:14p.m.
At 9:32p.m. Mayor Pro-Tem reconvened Council back into regular session.
13. ADJOURNMENT