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06/21/2011 - Work Study - Minutes1. Call to Order City of Port Orchard Council Meeting Minutes Work Study Session of June 21, 2011 Mayor Coppola called the meeting to order at 7:00p.m. Mayor Pro-Tem John Clauson and Councilmembers Fred Chang, Jerry Childs, Rob Putaansuu, Jim Colebank, and Fred Olin was present. City Clerk Patti Kirkpatrick, Administrative Assistant Jenine Dennison, City Attorney Greg Jacoby, Treasurer Allan Martin, and Public Works Director Mark Dorsey were also present. Absent: Councilmember Carolyn Powers. 2. Presentation: Water Rate Update Public Works Director Dorsey provided a brief presentation on the Water Rate Study, noting the following proposed rate increase options: • Increase $12.00 per month in 2011 (immediate); • Increase $6.oo per month in 2011, and an additional $6.oo per month in 2014 (3- year ramp; and • Increase $4.00 per month in 2011, an additional $4.00 per month in 2013, and an additional $4.00 per month in 2015 (4-year ramp). Council Direction: Council directed staff to advertise for two Public Hearings; one to be held July 26, 2011, and the other to be held August 9, 2011, with notices for the Public Hearing to be sent to newspapers and online ads; as well as postcards to be sent to all utility customers no later than July 10, 2011. Council also directed Public Works Director Dorsey to provide a fourth option (D) which is to increase rates $6.oo in 2011, and $6.oo in 2014. 3· Discussion: Lobbyist Contract Briahna Taylor with Gordon Thomas Honeywell provided the Council with a brief update on what had been accomplished in the past legislative session. She mentioned that there has been progress in a number of areas with work still to be done, such as with the public records reform; relocation of Harbor Lines, which is an 18 month process; and amending the Public Facilities District statutes. Further, she explained several benefits of the City using a Lobbyist, which included helping to develop projects, working with the local legislative delegations, developing strategies, positioning projects, and also having an everyday presence in Olympia. The City currently pays $2,500 for Lobbying services, and if the City chooses to renew the contract, which expires at the end of June, the fee would increase to $3,000, which is a similar amount paid by other Cities. Council Direction: Council directed the City Clerk to place the Lobbyist contract on the June 28, 2011, meeting agenda. 4· Discussion: Lodging Tax Policy June 21, 2011, Work Study Session Minutes Page 2 of2 Councilmember Childs provided the Council with a current view of the 2011 Lodging Tax Advisory Committee's (LTAC) recommendations. He believed the Hotel/Motel Tax funds belong to the citizens, and how that money is handled is very important. He stated that the funds are used to promote tourism for the City, promote our hotels and motels, and should also be used to generate and promote revenue and increase economic development. He supported using a portion of the surplus funds for upgrading the City's website, Sunday foot ferry service, and the Festival of Chimes and Lights. Council Direction: Council directed that after this matter is discussed by the Lodging Tax Advisory Committee (LTAC), the City Clerk will bring their recommendations forward to the Economic Development/Tourism Committee for further review and recommendation, with final recommendation being brought forward to a work study session before being included into the budget process. Further, Council directed that a spreadsheet be brought forward at the work study session that shows each step in the process including what each entity requested, LTAC recommendation, and Economic Development/Tourism Committee Recommendation. At the request of Public Work Director Dorsey, the next Utility Committee meeting will be held on Thursday, August 11, 2011, 7:30 a.m. at Myhre's. 5· Next Work Study Session-Tuesday, July 19, 2011