HomeMy WebLinkAbout01/03/2017 Regular City of Springfield
Regular Meeting
MINUTES OF THE REGULAR MEETING OF
THE SPRINGFIELD CITY COUNCIL HELD
TUESDAY JANUARY 3,2017
The City of Springfield Council met in regular session in the Council Chambers,225 Fifth Street,
Springfield, Oregon, on Tuesday January 3, 2017 at 7:00 p.m.,with Mayor Lundberg presiding.
ATTENDANCE
Present were Mayor Lundberg and Councilors VanGordon, Wylie,Moore, Stoehr,Woodrow and
Pishioneri. Also present were City Manager Gino Grimaldi, City Attorney Mary Bridget Smith, City
Recorder Amy Sowa and members of the staff.
PLEDGE OF ALLEGIANCE
The Pledge of Allegiance was led by Mayor Lundberg.
BUSINESS FROM THE CITY ATTORNEY
1. Springfield Mayor and Council Members—Oath of Office
City Attorney Mary Bridget gave the Oath of Office to Mayor Lundberg and Councilors Moore,
Stoehr and Pishioneri.
SPRINGFIELD UPBEAT
CONSENT CALENDAR
1. Claims
2. Minutes
a. November 28, 2016—Work Session
b. December 5, 2016—Work Session
c. December 5, 2016—Regular Meeting
3. Resolutions
4. Ordinances
5. Other Routine Matters
IT WAS MOVED BY COUNCILOR WOODROW WITH A SECOND BY COUNCILOR
MOORE TO APPROVE THE CONSENT CALENDAR. THE MOTION PASSED WITH A
VOTE OF 6 FOR AND 0 AGAINST.
ITEMS REMOVED FROM THE CONSENT CALENDAR
PUBLIC HEARINGS -Please limit comments to 3 minutes. Request to speak cards are available at
both entrances. Please present cards to City Recorder. Speakers may not
yield their time to others.
City of Springfield
Council Regular Meeting Minutes
January 3,2017
Page 2
1. Ordinance Regarding Collection,Enforcement,Administration and Distribution of the Local
Marijuana Gross Receipts Tax.
ORDINANCE NO. 1 —AN ORDINANCE AMENDING THE SPRINGFIELD MUNICIPAL
CODE SECTIONS 7.1001 THROUGH 7.1006 AND 7.1010 THROUGH 7.1014 TO
INCORPORATE STATE MARIJUANA TAX PROVISIONS FOR THE COLLECTION
ENFORCEMENT,ADMINISTRATION AND DISTRIBUTION OF THE LOCAL
MARIJUANA GROSS RECEIPTS TAX, REPEALING SECTIONS 7.1007-7.1009,AND
CONTAINING A SEVERABILITY CLAUSE.
Bob Duey,Finance Director, presented the staff report on this item.
At the November election, local voters passed a measure allowing a 3% local gross receipts tax on the
sale of recreational marijuana and related products. To satisfy State requirements the City must
amend local ordinances to align with the program requirements. Staff first presented a recommended
ordinance and asked Council to hold a first reading public hearing on this ordinance on December 5"'.
Since that time the State has requested that additional information be provided in the ordinance. The
City Attorney's Office has reviewed this request and drafted a revised ordinance that meets these
requirements. Because the changes could be viewed as significant it is recommended that a first
reading and public hearing be held again with the second reading scheduled for January 17"'.
Mr. Duey explained the changes to the ordinance.
Mayor Lundberg opened the public hearing.
1. Kris McAllister, Springfield, OR. Mr.McAllister asked that the Council educate themselves
on this issue in all aspects. He distributed written testimony as well.His concerns are with
zoning and planning surrounding the taxed product which has been put forth by the City. For
the past two years, staff has not been able to do develop local focused ordinances, instead
leaning heavily on work done by other cities and states in similar situations;while being
unable to discuss potential options due to limited staff time allowed on the topic. In the past,
he has suggested a non-binding advisory board to aid both the Planning Commission and staff
in presenting concepts that not only help Springfield revenues,but also its businesses and
local consumers. In light of the continually changing expectations from the State,and the
desire for a community to shape its own destiny,he proposes an ad hoc task force on the topic,
to generate information and identify obstacles,with a report to be presented after the August
break on Springfield's Cannabis Plan. This committee could consist of appointed community
members,producers and processors licensed within the City. It would allow the community to
assess and create its own standard,while proceeding with growth and stability in mind.As the
9"'largest city in the state,perhaps we can set the example of how to be inclusive, and
productive. While he is not especially concerned about the state of the responsible adult use
system,he has witnessed the erosion of the compassionate medical system due to excessive
local and state fees, over regulation without adequate reform and community silence in return
for tax revenues from captive audiences. Excessive fees and licenses,with fewer allowed
legitimate players,make for higher rates across the board, especially for those priced out of
their medical cards, forced to purchase larger amounts at inflated costs. These sick people,
who are not planned for by their city, or their OLCC dealer, suffer,move to opiates or cheaper
black market medicine. Perhaps further engagement can be had if the staff tasked with
cannabis were not assuring citizens that they would have ample time to participate in public
City of Springfield
Council Regular Meeting Minutes
January 3,2017
Page 3
discourse, only to have unrealized deadlines known for a year and a half, forcing Council to
make last minute ordinances with muted public access, or risk having no action allowed
through statutes as demonstrated by the initial processing behind this tax. Our Council stated
this was an opportunity to build up our economy, provide local jobs for our displaced workers,
and set a standard apart from Eugene. If this Council wishes later, he is willing to share the
experience of trying to navigate our City's process since it began handling dispensaries and
legalization on an official capacity. He appreciates the time to speak before Council.
Mayor Lundberg closed the public hearing.
Mayor Lundberg said she would like to be responsive and look into what we might be overlooking.
Mr. Grimaldi said he would schedule a meeting with staff to meet with Mr.McAllister to get more
information from him and report back.
NO ACTION REQUESTED. FIRST READING ONLY.
BUSINESS FROM THE AUDIENCE
1. Rocko O'Donnell, Eugene,OR Mr. O'Donnell said they are Imperial Trading which is
located on 16'b Street behind Bullfrog Enterprises. They have been in Springfield doing
business since 2010. They focus on cannabis growing and medicinal oil processing. They love
being in Springfield; part of the business community, contributing tax dollars, and providing
premium,well-regarded products. Imperial owns the property where the business is located,
but a street ordinance classification will compromise operations, and likely force them to
move the business. They are asking the City Council to consider grandfathering Imperial's
business so they can continue to operate, hire more employees, expand and thrive in
Springfield. The industry is in its beginning stages, and they want to be in Springfield as it
matures, stabilizes, and thrives. They hope to thrive with it and contribute more over time to
the City financially and culturally,that benefits everyone. They feel and know great things are
ahead for Springfield, and the Imperial team would be grateful if the Council would consider
allowing them to stay at their current location and continue to operate. He thanked them for
their consideration.
COUNCIL RESPONSE
Mayor Lundberg asked for follow-up on his concerns.
Mr. Grimaldi said someone would meet with Mr. O'Donnell tonight or tomorrow.
CORRESPONDENCE AND PETITIONS
BIDS
ORDINANCES
BUSINESS FROM THE CITY COUNCIL
1. Mayor/Council Committee Assignments.
City of Springfield
Council Regular Meeting Minutes
January 3,2017
Page 4
The Springfield Charter and Council operating policies require that the Mayor make and formally
confirm Mayor/Council committee assignments.
Mayor Lundberg referred to the committee assignments on the attachment.
Councilor Wylie confirmed those assignments begin immediately.
2. City Council President Appointment.
The Springfield Charter and the City Council Operating Policies and Procedures provide that at the
first regular meeting in January after each general election,the Council shall elect by ballot one of its
members as President of the Common Council.
Mayor Lundberg said they would take nominations and then each person would vote.
Councilor Wylie nominated Councilor Moore for Councilor President. Councilor Stoehr seconded.
Councilor Pishioneri nominated Councilor VanGordon for Council President. Councilor Woodrow
seconded.
Councilor Wylie said in the past they had chosen the person with the longest tenure as the Council
President. She would hope they would continue to do that and would assume it is Councilor Moore's
turn.
Votes were as follows:
Councilor Moore-3 in favor(Wylie,Moore and Stoehr)
Councilor VanGordon—3 in favor(VanGordon, Woodrow and Pishioneri)
City Attorney Mary Bridget Smith said because there was a tie,Mayor Lundberg could vote to break
the tie per Charter rules.
Mayor Lundberg voted for Councilor VanGordon.
IT WAS MOVED BY COUNCILOR WOODROW WITH A SECOND BY COUNCILOR
PISHIONERI TO APPOINT COUNCILOR VANGORDON AS COUNCIL PRESIDENT. THE
VOTE WAS 4 IN FAVOR AND 0 AGAINST (3 ABSTENTIONS—WYLIE,MOORE AND
STOEHR)
3. Business from Council
a. Committee Reports
b. Other Business
Councilor VanGordon said he attended the G Street OASIS meeting today. For the first time,they
were able to generate their December statistics. Thirty-two families are in the program. Counting
their kids,that is 119 people in our community who are getting support through this program. That
translated to 84 visits to the day center for services,with 84 volunteer hours. They have moved six
people to permanent housing. Two additional people had left the area and returned home. They're
seeing a real challenge finding affordable housing and people have to find housing outside the
area.Next month,they will look at the school attendance rate to see if there is an increase. They
City of Springfield
Council Regular Meeting Minutes
January 3,2017
Page 5
have three regular volunteers and will try to get more from the church so they can provide more
services.
Councilor Moore she, Councilor Pishioneri and Mayor Lundberg attended the Flame Dedication
Ceremony last week. It is a beautiful flame and she appreciated meeting the artist.
BUSINESS FROM THE CITY MANAGER
1. City Attorney Contract Renewal.
Bob Duey,Finance Director,presented the staff report on this item.
The current contract with the firm of Leahy,VanVactor, Cox and Melendy has expired. Staff
completed an evaluation process of the firm's services and made the results available to the Council's
Finance&Judiciary Committee that shared and discussed the results with the firm's representatives.
The Finance&Judiciary Committee is making the recommendation that a new contract with the firm
be approved by the full Council as a 2-year contract with the terms and conditions identified in the
new contract and described in the briefing memorandum.
Mr. Duey reviewed the new contract and the evaluation process, and noted that the City Attorney's
office received a positive evaluation. The recommendation from the Finance/Judiciary Committee is
to sign the two-year contract through June 30, 2018 with the proposed rate increases. They also
recommended that in order to remain transparent,they should go out for a Request for Qualifications
(RFQ)before the end of the two-year extension. They recognize that the quality of the firm is
excellent, but feel it is important for transparency to go out for bid on occasion.
Councilor Pishioneri added that the Finance/Judiciary Committee looked closely at the numbers and
could not argue against the proposed fees. They have been a great firm and great to work with, getting
very positive evaluations. Going out for a Request for Proposals(RFP)has nothing to do with quality
of service,but is to fill their fiduciary responsibility to look at the services the City contracts with to
make sure the City is getting what they pay for. It was many years ago when they last went out for an
RFQ.
Councilor VanGordon asked if the first rate change was to get them caught up to market rate.
Mr. Duey said it was partly that, but not quite a full increase to bring it to market. It would be fully to
market rate after the second year.
Councilor Wylie agreed they should go out for an RFP to be straightforward and open.
Mayor Lundberg said since costs are changing, she would also like to look at the possibility of in-
house counsel. It may be something we could look into and it could work out better for the City.
Councilor Wylie said if they went to an in-house Counsel they would need to contract out for some of
the other services.
Mayor Lundberg said that is correct and is what they do now.
Councilor Pishioneri said he was open to that as long as they do their due diligence for their fiscal
responsibility.
City of Springfield
Council Regular Meeting Minutes
January 3,2017
Page 6
Mr.Duey said changing city attorneys would require a transition period. He would suggest looking
into the option of an in-house option first, and then decide if they want to go out for an RFP.
Councilor Pishioneri said he wants to make sure they do it right.
Councilor VanGordon said he would be behind the two-step process. It makes sense.
Councilor Woodrow said we are in a good position and have time to get where we want to go and do
the research. She likes the two-step process as suggested.
IT WAS MOVED BY COUNCILOR WOODROW WITH A SECOND BY COUNCILOR
PISHIONERI TO APPROVE THE RENEWAL OF THE LEAHY,VANVACTOR, COX AND
MELENDY CITY ATTORNEY'S CONTRACT WITH A TWO YEAR CONTRACT THAT
WOULD EXPIRE ON JUNE 30,2018. THE MOTION PASSED WITH A VOTE OF 6 FOR
AND 0 AGAINST.
Mayor Lundberg welcomed new councilor Leonard Stoehr.
ADJOURNMENT
The meeting was adjourned 7:38 p.m.
Minutes Recorder Amy Sowa
-61r-ist a&L-u' er - Sean VanGordon
-Mayer Council President
Attest:
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