03/19/2013 - Work Study - MinutesCity of Port Orchard
Council Meeting Minutes
Work Study Session of March 19, 2013
7:00 p.m. Call to Order
Mayor Matthes called the meeting to order at 7:00p.m. Mayor Pro-Tem Fred Chang and
Councilmembers Carolyn Powers, Jerry Childs, John Clauson, Rob Putaansuu, Cindy
Lucarelli, and Jim Colebank were present. Public Works Director Mark Dorsey, Acting
Planning Director Tom Bonsell, City Clerk Brandy Rinearson, City Attorney Greg Jacoby
and Office Assistant II Jenine Floyd were also present.
Mayor Matthes lead the audience and Council in the Pledge of Allegiance.
1. Discussion: Code City/City Manager
Mark Hoppen, City Administrator for the City of Black Diamond, provided information
on understanding the options, process, and schedule for reclassifying as a code city
and/ or reorganization from a mayor-council to a manager-council form of government.
He noted since 1965, the City of Port Orchard has had the capacity to become a code city.
Being a code city provides all the options of any other forms of cities as they emerge and
give them home rule, which means they get to decide a broader range without any
particular restrictions.
He further explained in 1990, he became a Councilmember for the City of Gig Harbor,
and at the end of two years, he became the City Administrator until 2006. In 1992 there
was a failed election for a change of government and he wanted to know why. In doing
research, he found articles based on studies which included the history of city
administrators, city managers, and changes in government, which he provided to the
Council.
He explained the City of Black Diamond rejected a city manager form of government in a
recent election, mentioning Black Diamond is a coal town with a core of working class
folks, and were not receptive to a change in the form of government.
He also provided arguments for, and against, each form of government. If you have a
public debate over what you want to do, most people will have the same arguments. In
terms of efficiency and effectiveness, it does not matter what type of government you
have; it matters what is best for the interaction between the citizens and the political
bodies.
In response to Councilmember Childs, Mr. Hoppen replied he is advocating for
professional management, not a particular form of government. He discussed the
mayor's role in each form of government, noting the mayor will always have a strong
role in government.
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In response to Councilmember Powers, he said if you look into the literature, there are a
few cities that have changed their type of government, but there is only one city that
changed back.
City Attorney Jacoby stated there are four options for reorganization and
reclassification:
• Option 1-Reorganize as a council-manager plan of government; but remain a
second class city;
• Option 2 -Reclassify as a non-charter code city, adopt, but keep the mayor-
council plan of government under Chapter 35A.12 RCW;
• Option 3-Reclassify as a code city and reorganize as a council-manager plan of
government in one step; and
• Option 4-Reclassify as a code city and reorganize as a council-manager plan of
government in two steps.
He discussed the steps in each option, explaining timeframes, ballot measures, and
resolutions or ordinances the Council may need to pass.
In response to Councilmember Childs, City Attorney Jacoby stated the Council could
decide to become a code city or change of government by ordinance, unless the citizens
present a petition stating they would like this done by ballot.
In response to Councilmember Putaansuu, City Attorney Jacoby noted two measures
may be put on the same ballot.
In response to Mayor Matthes, City Attorney Jacoby agreed the City could hire a city
administrator right away, depending on if the budget would support the salary.
In response to Mayor Matthes, Mr. Hoppen stated the salary could range anywhere from
$no,ooo to $130,000, for a good city administrator or a city manager. The council
would need to discuss the job description and reach a group consensus to figure out the
role of the mayor.
In response. to Councilmember Chang, Mr. Hop pen noted during any form of
government, the mayor can have influence on decisions, and still report to
councilmembers. Most city managers understand that boundaries need to be
established between the legislative role and the administrative role.
In response to Councilmember Powers, Mr. Hoppen mentioned during a city
administrator form of government, with a strong mayor, the mayor still holds the
legitimate authority. While the mayor does not do as much in the day to day, the mayor
is still responsible. In a council/manager form of government, the mayor, in addition to
their role as a Councilmember, has a ceremonial function.
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City Attorney Jacoby stated that for Option 1, the Council needs to make a decision by
the end of April due to deadline constraints.
Mr. Hoppen left the meeting at 7:55p.m.
Councilmember Childs stated during a visit to Port Townsend, he was very impressed
with how the city manager worked with the Council. It would be nice to receive
consistent management of our City to take us forward with our projects.
In response to Councilmember Chang, City Attorney Jacoby explained in a city manager
form of government, the city manager would attend some of the regional meetings that
the mayor currently attends, although there are political benefits to having the mayor
attend those meetings.
Councilmember Chang said the advantages of changing from a part-time to a full-time
mayor are that the mayor is able to attend more regional meetings.
Councilmember Putaansuu stated Bainbridge Island has an annual election among the
Councilmembers to elect their mayor.
Council Direction: Council directed staff to add this to the April16, 2013, Work Study
Session for more discussion; and to invite a City Manager to speak to their roles of the
City.
2. KPUD Wi-Fi Proposal
Public Works Director Dorsey reported Public Utility District No. 1 of Kitsap County
(KPUD) is requesting use of City Hall and the Port Orchard branch of the Kitsap
Regional Library for wireless antenna installation, which would create free internet
access in the downtown area. The only commitment would be the City would need to pay
a minimal, annual power usage.
David Jones with KPUD explained this is a pilot program. They currently have fiber
throughout the County. They are finding that running fiber into each business or home
is expensive, so they are looking at technologies which they could use to expand, and
find out if there is a value to expanding broadband further in the County. Currently,
Poulsbo has several antennas installed in the downtown business core. KPUD would like
to put this in several different venues and see what people and businesses do with this,
and find out if this would be a good long term solution.
In response to Councilmember Clauson, Mr. Jones stated he had a conversation with the
Port last week regarding what they are providing for the Marina. It was discussed that if
KPUD infringes on them, they will back off since the Port was in existence first.
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However, Mr. Jones explained that the Port is excited because KPUD might be able to
reach areas they are not able to.
In response to Councilmember Colebank, Mr. Jones replies they calculated the annual
power cost to be around $25 to $50 a year and KPUD will be paying for the installation
cost of the antennas. They have some ideas on how to collect money if this becomes a
success.
Public Works Director Dorsey noted there is a draft agreement with KPUD, which is
based on month to month. If we decide not to do this, we could opt out with a 30-day
notice.
In response to Councilmember Childs, Mr. Jones said the transmitters range from
$3,000 to $9,000. If fiber is already installed in a facility, the transmitter would range
about $3,000. If you do not have fiber, you would need two antennas installed. He
further explained that the antennas are rather small. KPUD would like to not invest a lot
of money into this until they know how well this will work. There might be some
businesses that choose not to renew, but KPUD's interest is to see if the technology is
what the people want.
Public Works Director Dorsey noted it is the people's choice to connect to the internet or
not.
Mr. Jones stated they are asking for two potential connections with the City, but there
might be other areas which they could use as well. They have already had eight or nine
downtown businesses who are interested in this program. If the City could move
forward with the agreement, it would speed the process up.
Council Direction: Council directed staff to bring forward an agreement at the March
26, 2013, Council meeting, approving the use of City Hall and the Port Orchard branch
of the Kitsap Regional Library for wireless antenna use.
3· Discussion: Blaclgack Creek Trail
Acting Development Director Bonsell reported the City of Port Orchard obtained a grant
for the design and . construction of the Blackjack Creek Trail. The City was unable to
adhere to the requirements of the grant through a series of missteps and the State of WA
Recreation and Conservation Office (RCO) has terminated the RCO funding obligation.
The City is required to payback funds in the amount of $10,090.94, which RCO has paid
towards grant funding. This needs to be done by April30, 2013. He further explained on
November 18, 2010, the City signed an agreement with the RCO Funding Board,
formally accepting a grant to construct the Blackjack Creek Trail. The total amount of
the trail design and construction was estimated at $144,622, which the City committed
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to fund $84,622 in forced accounts, volunteers, and cash. In the first week of January
2013, the Acting Development Director of Community Development became aware of
the uncompleted project and reviewed the documents to determine the status of the
project. The goal was to finish the project prior to the June 30, 2013, RCO deadline.
During the discovery process, they determined that easements had not been secured
which would allow trail construction on private property. When the property owners
were contacted, at least one indicated that permission would never be forthcoming.
Mayor Matthes set up a meeting with the hesitant property owner, where he again
indicated that permission would not be granted.
Allison O'Sullivan, with the Tribe, and Gina Piazza ,with WA Fish and Wildlife, had
made comments with concerns regarding trail design to the former Director that went
unanswered. A site visit was conducted with Allison, Associate Planner Haro, Adam Cole
with RCO, Sara Thirtyacre of the RCO and the Acting City Development Director to
assess the site and to evaluate the unauthorized trail clearing that had been of concern to
Allison O'Sullivan. The site . visit indicated that some unsupervised trail
clearing/ construction had occurred and it was unlikely that the required NEP A permit
would be approved. Approximately six weeks later, they had another meeting which
included the City Engineer, in attempt to save the project and came to the following
conclusions:
• According to the project agreement, the City had approximately five months to
obtain any easements or required property acquisitions from the date of signing
the RCFB agreement. To date, we still have not received the necessary
easements;
• The City has been reimbursed $10,090.94 from RC who is requesting repayment
by April30, 2013;
• Through the process of review, it was discovered the requested grant amount of
$144,000 was not sufficient to complete this project. A closer grant estimate
should have been $250,000;
• The boardwalk design prepared by the previous Director is incomplete and would
require engineering and would not be able to be constructed by volunteers;
• There was in fact unauthorized clearing and trail building that occurred that may
have caused slopes to become somewhat unstable; and
• Since this is federal money, a NEPA is required. A NEPA had not been applied for
and it was indicated to us that because of the unauthorized clearing and trail
building, it was unlikely that NEP A would be approved.
In response to Councilmember Clauson, Public Works Director noted work on the trail
was done last spring by community service. It was requested for them to do advance
brushing for the surveyor.
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Acting Development Director Bonsell stated, due to a lack of supervision and direction,
the community service workers did not receive clear instructions, and cleared more than
what was needed.
In response to Councilmember Clauson, Acting Development Director Bonsell replied
this issue was brought to his attention the second week in January, when he started to
look into the project.
In response to Councilmember Powers, Acting Development Director Bonsell explained
the City was told by RCO that we will not be penalized for future projects and there may
be a way to recoup some of the funds that were spent. In addition to the $10,090.94, the
City spent $14,600 towards completion ofthe project.
Acting Development Director Bonsell said the City Treasurer mentioned the funds could
come out of the Real Estate Excise Tax (REET) funds.
Councilmember Colebank stated we should bite the bullet and pay RCO, but is there any
mechanisms being looked at to keep a project like this from slipping through the cracks
again?
Acting Development Director Bonsell replied that they are more aware of the timelines
and process.
In response to Councilmember Clauson, Public Works Director Dorsey replied most of
the funds were spent in surveying and time spent by the previous Development Director
in the project design.
Council Direction: Council directed the Finance Committee to look into what other
funds the $10,090.94, could come out of, instead of using REET funds.
4· Discussion: Timberland Designation
Acting Development Director Bonsell reported the Port Orchard Planning Department
received a request from Errol Dow to convert approximately 13.79 acres into
Timberland. Mr. Dow owns ten contiguous parcels containing approximately 15.56
acres. Of the 15.56 acres, Mr. Dow proposed to convert about 13.5 acres into designated
land. The property is situated between Old Clifton Road and Anderson Hill Road.
Adjacent to Old Clifton Road is a ravine with a Category III stream. Access to the larger
portion of the site is from easement roads that intersect Anderson Hill Road. The
property is zoned industrial, but because of limited access, industrial development is
problematic. If the Timberland Designation is approved, Mr. Dow will receive a reduced
assessed value ai:td therefore, the amount of taxes owed on the property. Accessing the
largest portion of the property is almost impossible.
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He further explained, Mr. Dow has submitted a Forest Stewardship Plan, and is working
on getting a conversion option plan from the Department of Natural Resources. If this
conversion occurs, and in ten years someone comes in and converts the land back, they
would have to pay the back taxes for the previous seven years.
In response to City Attorney Jacoby, Acting Development Director Bonsell noted they
are asking the Council to consider approving the request and changing the assessed
value, which would require a resolution approving the conversion.
Mayor Matthes stated the same amount of taxes will be collected; it is just shifting the
tax burden to other property owners.
In response to Councilmember Clauson, Acting Development Director Bonsell noted
there is no time limit or urgency for this conversion.
Mr. Dow stated his research shows his taxes are around $4,000 to $5,000 a year, and if
he brought that back in, he would have to pay that amount back, plus a penalty if he did
this within seven years.
Council Direction: Council directed staff to add this to the April16, 2013, Work Study
Session for more discussion, and asked for more information on the process, the
possible loss of City tax revenue, and the amount that would be possibly put on other tax
payers.
5· Discussion: Pet Variance
City Clerk Rinearson mentioned the Clerk's office has had several pet variance requests
in the past 18 mqnths, and Port Orchard Municipal Code (POMC) states they need to
only provide a reason of hardship to the Council to consider an approval of the variance.
Councilmember Chang stated it would make sense, if someone is applying for a pet
variance, to get permission from the surrounding neighbors.
Public Works Director Dorsey asked how much would be the appropriate length for the
surrounding neighbors.
Councilmember Putaansuu stated maybe just the immediate neighbors, and the City
should have a formalized process for a pet variance. We have an ordinance that should
be enforced, and a variance which needs a process.
Council Direction: Council directed the City Clerk to create a draft pet variance
application and provide at the April19, 2013, Work Study Session for Council review.
6. Discussion: Sidney Street End
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Public Works Director Dorsey stated in the 2013 budget, the City Council budgeted to
provide a decorative and defined street -end to replace the existing, currently raised, curb
circle at the end of Sidney Street. He explained one option is to construct a concrete or
granite medallion, or construct what Bremerton has, which is a drivable medallion
featuring a compass rose. This could be granite or concrete. We could also use or modify
their design. One of his concerns is the impact of changing Kitsap Transit's routes for
construction of the project.
In response to Councilmember Putaansuu, Public Works Director Dorsey stated project
could cost between $100,000 and $150,000.
Public Works Director Dorsey stated this was originally conceptualized as a way to get
rid of the round curb in the middle of the street-end. The City could also go out
tomorrow to saw cut, pave it, or put in a concrete medallion, and be done with it.
Councilmember Childs pointed out that he likes the design. He mentioned back in 2010,
discussions were held regarding having a plaza in that location, and while he likes this, it
is putting the cart before the horse.
Councilmember Powers noted that putting something down at the Sidney street -end was
discussed during a Public Property meeting, but she was not aware this was going to
become a $200,000 project. She believes this is something the committee needs to
approve, and maybe should also be working with the public.
Public Works Director Dorsey replied he is just looking for direction from the Council.
There is $30,000 in the budget for this project.
Mayor Matthes noted the medallion would be 22 feet long.
In response to Councilmember Powers, Public Works Director Dorsey noted the
compass rose medallion would not establish branding of any nature. We have plenty of
opportunity to come up with our own design.
Councilmember Colebank mentioned to get rid of the problem, take the curb out and
just repave it.
Councilmember Powers said the Public Properties Committee spoke about enhancing
that area without spending a lot of money. She does not think it should just be asphalt,
just something attractive down there without breaking the bank and infringing on other
properties.
Councilmember Lucarelli agrees with Councilmember Powers, stating she likes the idea
of doing something decorative and otherwise improves what is down there.
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Councilmember Chang pointed out that maybe this is a good opportunity for someone
else to come up with a design, or have a community contest for the 22 foot medallion.
In response to Don Ryan, Public Works Director Dorsey stated there are water pipes
three feet under the road, due to a fountain being located there at one time.
Don Ryan, president of the Port Orchard Bay Street Association, mentioned he sees a lot
of service trucks coming and going; however; big trucks cannot go through the current
diameter of the street-end because it is so narrow. Some of the trucks have to go
halfway, stop, and back up to continue. That type of weight would damage the road
overtime. He states if it is just a small fixed now, it would still have to be fixed more in
the future.
Public Works Director Dorsey replied it would be designed to handle a lot of traffic and
weight.
Council Direction: Council directed Public Works Director Dorsey to construct a
small compass rose medallion and to keep it at the budget or under $30,000.
Public Works Director Dorsey left the meeting at 9:22p.m.
At 9:22 p.m., Mayor Matthes reconvened the meeting after a five-minute break.
7· Discussion: Lodging Tax Surplus Funds
City Clerk Rinearson reported at the end of January, the Treasurer determined there
was $16,ooo in Lodging Tax surplus funds, which needs to be reported to the Chair of
the Lodging Tax Advisory Committee (LTAC). There are three options:
• Do not expend the funds;
• Open up the eligibility of the funds to the 2012 applicants; or
• Open up eligibility of the funds to all organizations.
Councilmember Childs said he suggest putting all the money in reserves for unforeseen
tourism related activates.
In response to Councilmember Powers, City Clerk Rinearson stated if you open up the
funds for allocation, it will need to go through the formal LTAC process, before funds
can be spent.
City Attorney Jacoby noted if you decide to put the money in reserves, and in six months
from now the Council decides to use the money for a City need, it will still need to go
through the LTAC process.
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Councilmember Chang mentioned he has heard about a chocolate festival happening
near the end of the year, and he believes they have not asked for any funding, but they
might be promoting the event themselves. We might also want to wait to find out what
the legislature decides regarding the sunset clause.
Councilmember Powers mentioned the City may want to come up with a proposal for
ferry service if there is enough business for people to come in on Friday and Saturday
nights. She questions how many businesses will stay open until 9pm or 10pm to
accommodate people coming in from the foot ferry.
Councilmember Chang said Bremerton is supportive, but they want us to provide some
Sunday service as they have a Sunday Farmers Market, which is from 10:00 a.m. until
2:00 p.m. It was discussed having the foot ferry only run on Sunday's during the market.
He also stated there is no urgency in deciding what to do with the surplus funds.
Council Direction: Staff was directed not to open the surplus of funds for public
process at this time, rather keep them in reserves.
8. Discussion: Foot Ferry Service
Councilmember Clauson left the meeting at 9:38p.m.
Acting Development Director Bonsellleft the meeting at 9:39 p.m.
Councilmember Childs stated 2013 foot ferry service has been discussed at several
meetings, including the Economic Development and Tourism Committee meetings. One
of the issues is asking what our partners, the City of Bremerton and the Port of
Bremerton, are going to do. Being able to fund the foot ferry would benefit the City and
bring more business, mentioning more service in the evening and on Sunday's.
City Clerk Rinearson noted the City's portion for 2011 was $5,300, which is about 1/3
the total cost.
Councilmember Childs reported on the 2012 foot ferry service, explaining how many
riders used the foot ferry and the cost to run the foot ferry.
City Clerk Rinearson read an email she received from Ginger Wayne with the Port of
Bremerton, stating the Port is willing to contribute up to a maximum of $5,500 under
the following conditions; all three entities (City of Bremerton, City of Port Orchard and
the Port of Bremerton) need to participate, and the Harbor Festival, Fathoms 0' Fun
Summer Festival, Fathoms 0' Fun 4th of July, the Cruz, Blackberry Festival and the
Taste of Port Orchard will be covered in the same manner as the past.
March 19, 2013, Work Study Session Minutes
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Councilmember Putaansuu stated it sounded like we were considering eliminating
Sunday ferry service, but if we cut back to 4 hours on Sunday, and spend those
additional hours on Friday and Saturday nights, then it should be revenue neutral.
Councilmember Chang noted there is an agreement that Sunday ferry service did not
perform impressively last year, but some holiday Sunday's brought in over $3,000. If we
could offer consistency for Friday and Saturday nights, it would be a great enticement
for people to use the foot ferry.
City Clerk Rinearson reminded the Council that the proposal times for the use of funds
are for May through September.
Councilmember Chang said we do not yet know what the ridership will be for this year,
but we have to do better this year in promoting the ferry service.
Councilmember Childs noted Labor Day weekend last year consisted of over 3,000
riders. He further asks if there is anything else in the City that we should be focusing on
using our funding on, rather than on foot ferry service.
In response to Councilmember Powers, Councilmember Childs stated if we do not get
the ridership, then we have to question doing it again for the next year. We should
maybe work with the Port Orchard Bay Street Association in doing a business
partnership or plan and put together a strong ad campaign so people know we have this
semce.
Don Ryan, president of the Port Orchard Bay Street Association, said they are prepared
to be a part of that by using social media, TV, and/ or radio to get the word out. I:Ie also
mentioned partnering with Kitsap Transit.
Councilmember Childs stated the Port of Bremerton is a reluctant partner. They believe
that this should be Kitsap Transit's responsibility.
Councilmember Putaansuu mentioned the challenge with the transit agency, is they
cannot just operate the foot ferries without the transit agency running their entire
service, which includes the access program and county-wide services.
Don Ryan announced construction has started on the Port Orchard Market. They hope
to be open by Fathoms weekend; however, there is an understanding that everyone will
do what they can to bring people to the market and other businesses, including getting
the foot ferry up and running during tourist times.
City Clerk Rinearson reminded the Council that $6,500 in lodging tax funds were
awarded for the foot ferries. In addition, she noted if the sunset clause does not renew
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then on June 30, 2013, operational expenses cannot be used from lodging tax funds,
which includes ferry services.
Council Direction: Council directed staff to add this discussion to the April 16, 2013,
Work Study Session.
At 10:02 p.m., Mayor Matthes adjourned the meeting.