11/13/2012 - Regular - MinutesCity of Port Orchard
Council Meeting Minutes
Regular Meeting of November 13, 2012
1. CALL TO ORDER AND ROLL CALL
Mayor Tim Matthes called the meeting to order at 7:00p.m. Mayor Pro-Tem Jerry Childs
and Councilmembers Fred Chang, John Clauson, Rob Putaansuu, Carolyn Powers, Jim
Colebank, and Cindy Lucarelli, were present and constituted a quorum. City Clerk
Rinearson, Police Chief Townsend, Public Works Director Dorsey, City Treasurer Martin,
Deputy City Clerk Fernandez, and City Attorney Jacoby were also present.
A. Pledge of Allegiance
Ms. Joan Mabbutt led the audience and Council in the Pledge of Allegiance.
2. CITIZENS COMMENT
There were no citizen comments.
3· APPROVAL OF AGENDA
The following items were removed from the Consent Agenda:
• 4Achanged to Business Item 7B
• 4F changed to Business Item 7C
• Add New Consent Item 4G Excusing Councilmember Childs from October 23, 2012,
Council Meeting and Councilmember Powers from the November 27, 2012, Council
Meeting.
Councilmember Chang MOVED and Councilmember Lucarelli seconded the
motion approving the Agenda, as amended. Upon vote, the motion passed
unanimously.
4· APPROVAL OF CONSENT AGENDA
A. l ... pproval of Claim V/aFFants, Payroll & Treasurer's eheek book
B. Approval of the October 16,2012, Work Study Session Meeting Minutes
C. Approval of October 23, 2012 Council Meeting Minutes
D. Setting Meeting for a Work Study Session to November 20, 2012, at 7:00p.m. at City
Hall
E. Approval of Contract No. 076-12 Authorizing the Mayor to Execute Interagency
Agreement No. CAA13388 with the Administrative Office of the Courts for
Interpreter Funding Reimbursement
F. l ... ppmval of Contract No. 001 13, l ... uthorizing the Mayor to Execute a Lease and
Maintenance }.cgreement vAth Kelley Imaging Systems for Public Vlofks Shop Copier
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Page 2 of7
G. Excuse Absences of Mayor Pro-Tern Childs from the October 23, 2012, Council
Meeting and Councilmember Powers from the November 27, 2012 Council Meeting
Councilmember Clauson MOVED and Councilmember Putaansuu seconded
the motion approving the Consent Agenda as modified. Upon vote, the motion
passed unanimously.
5· PRESENTATION
A. Proclamation: Pancreatic Cancer Awareness Month
Mayor Matthes read the Pancreatic Cancer Awareness Month proclamation into the record
and presented the proclamation to Ms. Mabbutt, who thanked the Council for their
continued support. Ms. Mabbutt and Ms. Chambers gave a brief presentation on pancreatic
cancer and the state of research as of today.
B. 40 Under Forty Presentation
Ms. Coppola explained the 40 Under Forty program; and presented the 40 Under Forty
Class of 2012.
6. PUBLIC HEARING
No Public Hearings were held.
7· BUSINESS ITEMS
A. Adoption of Resolution No. 034-12, Setting the Amount of Property Taxes to
be Levied for the Year 2013 Pursuant to RCW 84.44.120
City Treasurer presented the staff report, noting on October 23, 2012, a Public Hearing on
revenue sources for the current expense (general fund) budget was held. The Hearing
included a discussion on property tax being considered to be collected in 2013. Below is a
comparison of next year's levy amount to this year's leV)' amount.
2012levy $2,202,693 2013levy $2,202,693
1% increase 1% increase -0-
New construction New construction 47,840
Annexation Annexation 25~5Z2
Total Taxes $2,202,693 Total Taxes $2,202,693
Refunds Refunds -0-
Total2012 $2,202,693 Total2012 $2,276,105
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State law (RCW 84.52.043) establishes maximum levy rates for the various types of taxing
districts (the state, counties, cities and towns, fire districts, library districts and the like).
Total 2013 levy amount is estimated to be $2,276,105 based upon an estimated maximum
$1.73 per thousand of assessed valuation. 2013levy annexation amount is estimated until
the final levy calculation is completed by the Kitsap County Assessor.
Projected 2012 levy rate of $1.73 calculates a tax of $346.00 on a house assessed value of
$200,000.
Councilmember Putaansuu said the junior taxing districts are putting a squeeze on the
City's property taxes, leaving the 2013 budget short by $250,000 from what we had last
year.
Councilmember Clauson said the assessed valuation for the City is less and has also had a
negative affect on our property taxes.
Councilmember Clauson MOVED and Councilmember Putaansuu seconded
the motion to adopt Resolution No.034-12, to set the 2013 property tax levy
and the amount of property taxes to be raised for the budget year of 2013.
Upon vote, the motion passed unanimously.
B. Approval of Claim Warrants Nos. 58495 through 58567 in the amount of
$375,643.54, October's Payroll Warrant Nos. 144819 through 144866 in the
amount of $530,901.77 & Treasurer's check book in the amount of
$2,342,350.22.
Councilmember Clauson explained the removal of the claim warrants was to. avoid a
conflict of interest. In the claims this month is the settlement amount for the purchase of
the Coppola property as part of the Tremont acquisition, and wanted to clarify with City
Attorney Jacoby whether or not Councilmember Colebank and Mayor Matthes should
recuse themselves.
City Attorney Jacoby agreed that Mayor Matthes and Councilmember Colebank should
recuse themselves.
Mayor Matthes and Councilmember Colebank left the meeting at 7:36 p.m. Mayor Pro-Tern
Childs continued the meeting. '
Councilmember Clauson MOVED and Councilmember Lucarelli seconded the
motion to approve the claims, warrants, payroll and Treasurer's check book.
Upon vote, the motion passed unanimously. Councilmember Colebank was
recused.
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Page4 of7
Mayor Matthes and Councilmember Colebank returned to the meeting at 7:37p.m. Mayor
Matthes continued the meeting.
C. Approval of Contract No. 001-13, Authorizing the Mayor to Execute a Lease
and Maintenance Agreement with Kelley Imaging Systems for Public Works
Shop Copier
City Clerk Rinearson presented the staff report, noting the Public Works Shop currently has
a three-year agreement with Kelley Imaging Systems to lease a Toshiba Copier. The current
lease expires in December 2012. The agreement also includes an annual Maintenance
Agreement for the copier. The Maintenance Agreement for the copier includes all services,
parts, labor and supplies (including toner and developer) excluding paper and staples.
The proposal is to continue the lease agreement with Kelly Imaging Systems at the same
monthly rate of $115 a month plus tax and the same yearly maintenance agreement of $345
per year plus tax. There have been no issues with the current copy machine and the volume
used is trivial; for those reasons it is recommended that the current machine be kept and
the lease/maintenance agreements be renewed.
City Attorney Jacoby pointed out in the lease agreement there is a provision that states that
the City has the right to purchase the equipment at fair market value. He recommended
amending the agreement to strike that clause. Second class cities are required to use the
competitive bid process if they purchase equipment valued more than $7,500. MRSC has
opined that a lease with an option to purchase is a form of purchasing.
In response to Councilmember Chang, City Clerk Rinearson said the number of pages the
shop uses each month is around 900 copies.
Councilmember Clauson MOVED and Councilmember Colebank seconded the
motion to approve the Mayor to execute Lease and Maintenance Agreement
No. 001-13, as approved by the City Attorney with Kelley Imaging Systems for a
Public Works Shop's copier. Upon vote, the motion passed unanimously.
8. COMMITIEE REPORTS
Councilmember Clauson reported the Finance Committee is working on the budget.
Councilmember Childs reported the next Economic Development/Tourism Committee
meeting is November 14, 2012 at 3:30p.m.; and they will be discussing the planning of the
Festival Chimes and Lights event. Councilmember Lucarelli added that the event planning
is on schedule, they are working on the details, and the tree is up.
Councilmember Powers reported the next Public Properties Committee meeting is
December 11, 2012. Councilmember Lucarelli reported on the meeting stating the
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discussions were on L~adership Kitsap's bench proposal, new snow and ice policy, private
street notations, and Givens field use by a soccer club.
Councilmember Colebank reported on the November 8, 2012, PSRC Transpol meeting
where they voted to recommend the Executive Board approve $30 million in additional
2012 PSRC funds for 35 regional projects, including the PO Bay Street Pedestrian Pathway.
Additional discussion was held on regional transit coordination and funding, update on
prioritization projects, and developing recommendation for the 2013 legislature. He
reported the KRCC Transportation Policy Board discussed next steps to fund SKIA,
Transportation 2040 prioritization, and how to incorporate a safety metric in project
recommendations. On November 16, 2012, he will attend the Peninsula Regional
Transportation Planning Organization meeting.
Councilmember Powers announced the KRCC Board will have a legislative breakfast on
December 4, 2012; and everyone is invited.
Councilmember Putaansuu reported the next Sewer Advisory Committee is January 16,
2013. They received a two year operating budget for the sewer treatment plant. There are a
number of capital projects on the horizon and the bond debt is half way paid. The City has
more building activity and connections than WSUD. There is a potential that we may have
to contribute more money to the plant two years out.
Councilmember Putaansuu reported the next Utility Committee meeting is January 11,
2013. They discussed the step conversions. Staff is gathering positive testimony to share
with the next group of home owners that will be asked to participate in the conversion. Well
No. 9 project is on budget and on time.
9· MAYOR'S REPORT
The Mayor Matthes reported on the following:
• Town Hall Meeting scheduled November 15, 2012, at 6pm in the Council Chambers.
• A citizen compliment regarding the police department's service and aid.
10. REPORT OF DEPARTMENT DIRECfORS
Public Works Director Dorsey reported the November 27, 2012, Council agenda will have
the snow route update and snow route policy for the Council to consider; the City received
$340,000 for the Bay Street Pedestrian Pathway, which will be used for the easement
acquisition; and Public Works is in receipt of $259,000 for the Cedar sidewalk project this
summer.
City Treasurer Martin reported his department is in the middle of a software conversion.
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City Attorney Jacoby announced there will be an Executive Session following the meeting.
He also said that on December 6, 2012, possessing an ounce of marijuana will be legal, and
the Liquor Control Board is to create a regulatory scheme to regulate the growing,
distribution, sale, and taxing of marijuana by December 2013. Another wildcard is waiting
to see what the Federal government might do.
In response to Councilmember Childs, City Attorney Jacoby said the medical marijuana
regulations are separate from recreational use legalization. The City will not renew the
moratoria. The City may need to modify land use codes to regulate the location of stores.
In response to Councilmember Powers, City Attorney Jacoby said regulations need to be
adopted by the State of Washington to sell marijuana.
In response to Councilmember Chang, City Attorney Jacoby said the City may have to
amend the business license code to be in compliance with State Law once the Liquor
Control Board establishes its regulations.
In response to Councilmember Clauson, City Attorney Jacoby does not know how the
Council will handle their oaths regarding upholding the Federal and State laws, when the
two laws are conflicting.
City Clerk Rinearson reported she noticed the meeting for Roger Brooks at SEEFilms
Cinema on November 26, 2012, should any Councilmember wish to attend and the Clerk's
Office has made more changes to the City's website.
11. CITIZENS COMMENTS
There were no citizen comments.
12. EXECUTIVE SESSION
At 8:15 p.m. Mayor Matthes recessed the meeting for a 20.,.minute executive session
regarding potential litigation in accordance with RCW 42.30.11o(B). City Attorney Jacoby
announced that a statement might be made as a result ofthe executive session.
At 8:35p.m. Mayor Matthes continued the executive session for an additional15 minutes.
At 8:48 p.m. Mayor Matthes reconvened the meeting back into regular session.
Councilmember Clauson read into the record that the Council completed their Executive
Session and that the City Council would like to go on record as acknowledging receipt of a
settlement proposal from Engley Diversified, and the Council has directed the City
attorneys to draft a response for the Council's consideration at a future Executive Session.
13. ADJOURNMENT
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Mayor Pro-Tem Childs moved adjournment of the meeting. At 8:49p.m. Mayor Matthes
adjourned the meeting.
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Timothy C. Matthes, Mayor