10/22/2013 - Regular - MinutesCity of Port Orchard
Council Meeting Minutes
Regular Meeting of October 22, 2013
1. CALL TO ORDER AND ROLL CALL
Mayor Tim Matthes called the meeting to order at 7:00 p.m. Mayor Pro-Tern Fred Chang and
Councilmembers Jerry Childs, John Clauson, Rob Putaansuu, Carolyn Powers, Cindy Lucarelli, and
Jeff Cartwright were present and constituted a quorum. Public Works Director Dorsey, City
Treasurer Martin, Deputy City Clerk Fernandez, Office Assistant II Floyd, and City Attorney Jacoby
were also present.
A. Pledge of Allegiance
Robert Geiger led the audience and Council in the Pledge of Allegiance.
2. CITIZENS COMMENT
Kathleen Wilson, Branch Manager of the Port Orchard Library, reported renovations are nearly
finished and invited everyone to their reopening on Friday, November 1, with a Renovation
Celebration Ribbon Cutting Ceremony.
Councilmember Putaansuu would like to recognize Kathleen Wilson for receiving the 'Woman of
the Year' award.
Cathie Currie with Puget Sound Energy, provided a brief presentation on energy efficiency; let
the Council know they will be at McCormick Woods on Saturday, October 26; and will also be going
to homes to talk about energy efficiency.
Nicole Vaught sp.oke about Proposition 1, and also reminded the Council for the past two years,
there have been Town Hall meetings to meet and talk. She mentioned the majority of the Council is
unavailable and are not seen around. In addition, she quoted Article 1 Section 1 of the Constitution
ofWashington State.
KT Arthur asked to have the video shown of the citizen comments shown from the September 24
Council meeting so Council could identify at what point the citizens became threatening and
intimidating. She would like to engage the public officials, so they in turn, could engage the public.
Councilmember Chang replied he did not feel threatened, but he did feel uncomfortable.
Mayor Matthes suggested she should make all her comments just comments and not questions, as
the Council has already weighed in that they would not engage the public.
Gerry Harmon voiced her concerns with the Council choosing to have the UW students work on
the Waterfront Plan, and not the Comprehensive Plan. She also stated people are not going to want
a 'Saturday Coffee'. Citizens want answers at the Council meetings.
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Wayne Patterson read from the Revised Code of Washington (RCW), which specified open
conduct from the Council and serving the people. He mentioned what brought this up is when he
tried speaking to the Council about the reorganization and when the Council said they were
intimidated by citizens comments.
Vance Vaught apologized if he came off as intimidating, that was not his intention. He meant to
show that people care about this City, and they are not here as regulars, but civic-minded citizens.
He said there needs to be more leadership within the Council. The Council needs to reconsider
some of the things they are doing. Also, it is a shame the Festival of Chimes and Lights is being held
on December 7.
3· APPROVAL OF AGENDA
Councilmember Powers MOVED and Councilmember Childs seconded the motion
approving the Agenda. Upon vote, the motion passed unanimously.
4· APPROVAL OF CONSENT AGENDA
A. Approval of Checks Nos. 60583 through 6o663 totaling $303,981.34
B. Approval of October 8, 2013, Council Meeting Minutes
C. Adoption of Resolution No. 025-13, Approving Contract No. 082-13, Authorizing the Mayor
to Execute an Interlocal Agreement with AWC for Participation in the Self-Insured Program
D. Approval of Contract No. 077-13, Authorizing the Mayor to Execute an Agreement with
Master's Touch, LLC for Printing, Inserting and Mailing Services for Utility Bills
E. Approval of Public Event Application: Festival of Chimes and Lights
Councilmember Clauson MOVED and Councilmember Cartwright seconded the
motion approving the Consent Agenda. Upon vote, the motion passed unanimously.
5· PRESENTATION
No presentations were held.
6. PUBLIC HEARING
A. Revenue Sources Hearing-Current Expense Budget 2014
City Treasurer Martin presented the staff report, noting the City legislative body is required to
hold a Revenue Sources Hearing on current expense budget revenue sources for the coming
year's budget, including consideration of possible increases in property tax revenues. (Chapter
251, Laws of 1995. codified as RCW 84.55.120.) The hearing is required before the legislative
body votes on a property tax levy for the upcoming year. The deadline for setting the levy for
property tax collection for 2014 is on or before November 30, 2013. This Hearing is a part of
the public process that leads to an Ordinance being forwarded to the Kitsap County Assessor
along with a Levy Certification in order to set the property tax levy for collection in the 2014 tax
year. The Hearing will include a Power Point presentation of revenue sources and estimates for
2014. "Current expense budget" means that budget which is primarily funded by taxes and
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charges and reflects the provision of ongoing services. It does not mean the capital, enterprise,
or special assessment budgets.
Mayor Matthes opened the Public Hearing at 7:30 p.m.
City Treasurer Martin provided a brief presentation which included:
• RCW requirements;
• Property, Retail and Other Taxes;
• 2014 Revenue from All Sources;
• Budget Revenue Comparison;
• Property Tax Collection History;
• Property Tax Comparisons;
• Retail Sale & Use Tax Revenues;
• Sales Tax Collection;
• Sales Tax Received by Month; and
• Seasonal Revenue Flow;
There being no further testimony, Mayor Matthes closed the public hearing at 7:48 p.m.
B. City of Port Orchard Development Agreement with South Sidney Plaza, LLC
for the Southwest Sidney Plaza Development
Public Works Director Dorsey presented the staff report, noting over the past several years, City
staff have been working diligently on addressing the sanitary sewer capacity needs for the service
area located in and around the Sedgwick/Sidney intersection, aka the Joint Planning Area (JPA).
City efforts include the design and construction of the Tremont Sanitary Sewer Force Main Project
in 2010-2011, the acquisition of the Albertson's Sanitary Sewer Lift Station in 2012, the
implementation of needed sanitary sewer infrastructure upgrades as part of the Cedar Heights JHS
Sidewalk Project and the acquisition of a Sanitary Sewer Lift Station Easement from the South
Kitsap School District for a future sanitary sewer lift station. In addition and as a function of the
City's Land-Use/Entitlements Process, staff has also established Conditions of Approval and
Mitigation Measures for land-use development proposals within the JP A. This evening's Public
Hearing and subsequent Council Action for the Southwest Sidney Plaza Development Agreement
with the South Sidney Plaza, LLC is a critical piece to the overall sanitary sewer service capacity
issue for the JPA. As a reminder, RCW 36.70B.200 provides that a City shall only approve a
Development Agreement following a public hearing.
Mayor Matthes opened the public hearing at 7:49 p.m.
Thair Jorgenson with Rush Design Company, introduced himself to the Council, letting them
know Rush Company is working on the project, and he is here if there are any questions.
There being no further testimony, Mayor Matthes closed the public hearing at 7:50p.m.
7· BUSINESS ITEMS
A. Adoption of Ordinance No. 020-13, Amending Section 2.60.010 Per-Meeting Rate
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City Treasurer Martin presented the staff report, noting Department of Retirement Systems Mary
Rhodes advised that State Retirement System/Elected Officials -A PERS 2 or PERS 3 Elected official
earns service credit on a monthly basis. In order to qualify for the monthly service credit an official
must be compensated for more than 90 times the State minimum wage ($9.32 an hour) in a month as
of January 1, 2014. A councilmember must be compensated $838.80 a month at this time to be
eligible for one month of service credit. To compensate for minimum wage requirement increases
over terms, the City may want to consider councilmember compensation at $1,ooo per month.
MRSC published guidance on councilmember's salary changes: The idea is that Councilmembers
receiving a change in salary must face the voters prior to receiving any change in salary. The state
constitution provides that the salary of a councilmember cannot be increased or decreased during the
term of office or after their election. So for those positions whose term expires at the end of December
2013, the council can increase the salary if the ordinance to do so is enacted prior to the election this
November.
Councilmember Lucarelli stated she cannot accept this due to the economic times we are in.
Councilmember Childs noted he is not in support of this; however, he would like a citizens committee
to review this to address the problem and bring back recommendations.
Councilmember Chang is concerned with the $500.00 per regular meeting amount, which would
keep ahead with the projected minimum wage.
Councilmember Cartwright MOVED and Councilmember Clauson seconded the
motion to approve Ordinance No. 020-13, authorizing setting the Councilmembers
compensation in the amount of $500.00 per regular council meeting. Upon vote, the
motion passed with four affirmative votes. Councilmembers Chang, Lucarelli and
Childs cast the dissenting votes.
B. Approval of Contract No. 083-13, Authorizing the Mayor to Execute a Developers
Agreement with South Sidney Plaza, LLC for the Southwest Sidney Plaza
Development
Public Works Director Dorsey presented the staff report, noting the costs associated with the design
and construction of the Sanitary Sewer Lift Station within the recently obtained Cedar Heights JHS
Easement will be fully funded by the Developer, with reimbursement pursuant to Section 12.9.5 of
the Agreement, whereby the Developer shall be entitled to a credit against the Sewer Capital Facility
Charge. Finally, pursuant to Section 12.1 of the Agreement, the Lift Station construction is required
to be complete and accepted prior to the issuance of a Certificate of Occupancy for a building within
the Southwest Sidney Plaza development.
Councilmember Putaansuu thanked Rush Development for their investment in our community and
acknowledged the school district's cooperation.
Councilmember Putaansuu MOVED and Councilmember Childs seconded the motion
to approve Contract No. 083-13, and authorize the Mayor to execute the Southwest
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Sidney Plaza Development Agreement with South Sidney Plaza, LLC. Upon vote, the
motion passed unanimously.
C. Approval of Contract No. 084-13, Authorizing the Mayor to Execute an
Interagency Agreement with the Department of Enterprise Services for an
Energy Audit
Public Works Director Dorsey presented the staff report, noting the City of Port Orchard was
solicited by Ameresco, an Energy Services Company (ESCO), to perform a no cost Preliminary
Energy Audit for the City's energy dependent facilities, pursuant to the Washington Department of
Enterprise Services (DES) selection program. If during the preparation of the Preliminary Energy
Audit cost effective energy reducing measures are identified, the City will then have the option to
pursue an Investment Grade Audit (IGA), which would lead to cost-effective energy reducing
construction projects and/ or facility upgrades. Step 1 of the selection process is to enter into an
interagency agreement with DES.
Councilmember Chang MOVED and Councilmember Putaansuu seconded the motion
to approve Contract No. 084-13, thereby authorizing the Mayor to Execute an
Interagency Agreement with the Washington Department of Enterprise Services.
Upon vote, the motion passed unanimously.
D. Approval Contract No. 085-13, Authorizing the Mayor to Execute a Lease
Agreement with South Kitsap Soccer Club for Use of the VanZee Park
Public Works Director Dorsey presented the staff report, noting the City received a request from
South Kitsap Soccer Club to lease a portion of Van Zee Park for winter soccer practices beginning
October 1, 2014, through April 30, 2015, with options for extension. This lease was presented to the
Public Properties Committee, which recommended that the lease be brought before the City Council
for consideration.
Councilmember Lucarelli MOVED and Councilmember Cartwright seconded the
motion to approve the lease between the City and South Kitsap Soccer Club and
authorize the Mayor to sign the same.
Councilmember Clauson said the option to extend the lease is completely in the Soccer Club's
hands. It would be better if both parties could agree to an extension.
Councilmember Putaansuu MOVED and Councilmember Clauson seconded the
motion to amend the contract to make the extension provision mutually agreeable.
Councilmember Powers said the Soccer Club could make limited improvements on the premises
and the areas immediately adjacent. She questions that happens when the lease expires.
In response to Councilmember Powers, City Attorney Jacoby noted the lease extension in Section 4,
would requires the Soccer Club to provide written notice to the City Clerk by July 31. The City
would then have to agree to extend the lease.
Upon vote, the motion to amend passed unanimously.
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Robert Geiger provided a brief history of the VanZee Park, and asked the Council to respect Mr.
VanZee's request to not have organized sports at the park.
Councilmember Lucarelli stated the Soccer Club will be providing lighting for the park as it will be
dark, and questioned if anyone else would be using the park in the dark.
Councilmember Clauson noted nothing in this lease addresses ownership of the improvements.
Public Works Director Dorsey noted there is no urgency with this lease, and maybe it should come
back before Council next month.
Councilmember Cartwright indicated he would like more time to review the lease.
Councilmember Cartwright MOVED and Councilmember Clauson seconded the
motion to continue this discussion at the first Council meeting in November.
Councilmember Putaansuu questioned if this would give staff enough time to go before the Public
Property Committee and then revise the contract to bring back before Council.
Councilmember Cartwright MOVED and Councilmember Clauson seconded the
motion to amend the motion to continue this discussion at the second Council
meeting in November. Upon vote, the motion passed with Councilmembers Powers
and Chang casting the dissenting vote.
8. COMMITTEE REPORTS
Councilmember Clauson reported the next Finance Committee is working on the budget, and the
next meeting is November 1, 7:30a.m., all day at City Hall.
Councilmember Lucarelli reported the Festival of Chimes and Lights is moving along for December
7, u:oo a.m. to 8:oop.m. She noted the Festival always falls on the first Saturday in December.
Flyers will be going out in the utility bills. There are 25 sponsors this year. This is the 15th annual
celebration and the theme is 'Seasons to Remember'.
Councilmember Childs reported the Economic Development & Tourism Committee will meet
November 13, 4:00 p.m. at City Hall. He asked Councilmember Lucarelli to consider doing
something to acknowledge December 7· He also attended the KEDA Decision Makers II meeting at
McCormick Woods, where the Live+Work+Playvideo was shown.
Councilmember Putaansuu reported most of the discussion at the Utility Committee meeting was
devoted to Well No. 10, and at the Sewer Advisory Committee meeting they discussed the fire at the
sewer plant.
Councilmember Powers reported the Public Property Committee will meet on November 12, 8:oo
a.m. at the Hideaway Cafe. VanZee Park will be on the agenda. Also, she attended her last Kitsap
Regional Coordinating Council meeting today and gave a brief summary of the meeting.
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Councilmember Chang reported the Lodging Tax Advisory Committee will meet Wednesday,
October 30, 7:00p.m. at City Hall.
9· MAYOR'S REPORT
No report provided.
10. REPORT OF DEPARTMENT DIRECTORS
Public Works Dorsey reported McCormick Park Logging advertisement for bid will be published in
the Friday Port Orchard Independent then uploaded to the Builders Exchange. Bids are due on
November 15, and then brought before Council on November 26 for approval.
City Treasurer Martin thanked the Council and the Utilities and Finance Committees for working
through the outsourcing of the utility billing.
Deputy Clerk Fernandez reported in regards to the City's Facebook page. She received comments
back from the attorney's office, which have been forwarded to the IT Technician for
implementation.
11. CITIZENS COMMENTS
Nick Whittleton thanked the Council for providing committee reports. He appreciates public
service, which should be awarded. Also, having the UW students working on the waterfront plan
does not make sense. He understands it is important; however, the Comprehensive Plan is serious
and needs to be done next year.
Wayne Patterson stated the City is still not reaching out for transparency in regards to
committees. One thing to consider is whenever you have public meetings in an establishment, the
establishment has the right to refuse service to anyone. He read a section of the RCW, which relates
to meetings, actions, and discussions.
KT Arthur shared some statistics on local city managers and their situations.
Gil Michael thanked Mr. Geiger for his decades of service. In addition, he agreed with
Councilmember Cartwright on having a citizen committee discuss increasing the Council salaries;
however, the right thing to do would be to put off receiving the raise, and bring this issue to a
citizen committee. This was poor planning by the Council. He asks the Council to reconsider the
motion.
Robert Geiger noted there used to hours mandated by the State in regards to salaries. He urged
the Council to take what is due to them.
12. EXECUTIVE SESSION
No executive session held.
13. ADJOURNMENT
atthes adjourned the meeting.
Rhi nnon Fernandez, Deputy City Clerk
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