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HomeMy WebLinkAbout06/21/2010 Regular City of Springfield Regular Meeting MINUTES OF THE REGULAR MEETING OF THE SPRINGFIELD CITY COUNCIL HELD MONDAY, JUNE 21,2010 The City of Springfield Council met in regular session in the Council Meeting Room, 225 Fifth Street, Springfield, Oregon, on Monday, June 21,2010 at 7:07 p.m., with Mayor Leiken presiding. ATTENDANCE Present were Mayor Leiken and Councilors Lundberg, Wylie, Leezer, Simmons and Pishioneri. Also present were City Manager Gino Grimaldi, Assistant City Manager Jeff Towery, City Attorney Joe Leahy, City Recorder Amy Sowa, and members of the staff. Councilor Ralston was absent (excused). PLEDGE OF ALLEGIANCE The Pledge of Allegiance was led by Mayor Leiken. SPRINGFIELD UPBEAT CONSENT CALENDAR IT WAS MOVED BY COUNCILOR LUNDBERG WITH A SECOND BY COUNCILOR PISmONERI TO APPROVE THE CONSENT CALENDAR. THE MOTION PASSED WITH A VOTE OF 5 FOR AND 0 AGAINST (1 ABSENT - RALSTON). 1. Claims a. Approval of the May 2010, Disbursements for Approval. 2. Minutes a. June 7, 2010 - Work Session b. June 7, 2010 - Regular Meeting 3. Resolutions a. RESOLUTION NO. 10-37 - A RESOLUTION TO ACCEPT PROJECT P20424. 5TH AND CENTENNIAL OVERLAY. 4. Ordinances a. ORDINANCE NO. 6257 - AN ORDINANCE ADOPTING A FIRE CODE FOR THE CITY OF SPRINGFIELD BY ADOPTING. AMENDING. ADDING AND DELETING SECTIONS TO THE STATE OF OREGON 2010 FIRE CODE AMENDMENTS City of Springfield Council Regular Meeting Minutes June 21, 2010 Page 2 REGULATING AND GOVERNING THE SAFEGUARDING OF LIFE AND PROPERTY FROM FIRE AND EXPLOSION HAZARDS ARISING FROM THE STORAGE. HANDLING AND USE OF HAZARDOUS SUBSTANCES. MATERIAL AND DEVICES. AND FROM CONDITIONS HAZARDOUS TO LIFE OR PROPERTY IN THE OCCUPANCY OF BUILDINGS AND PREMISES AS HEREIN PROVIDED: PROVIDING FOR THE ISSUANCE OF PERMITS AND COLLECTION OF FEES THEREFORE: AND REPEALING ORDINANCE NO. 6204 ADOPTED JULY 16. 2007 OF THE CITY OF SPRINGFIELD. 5. Other Routine Matters a. Approval of the Changes to the Appointed Authorized Representatives of the City of Springfield to Direct Wells Fargo in Connection with the City Retirement Plan Custody Account. ITEMS REMOVED 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. 1. Fiscal Year 2010/11 City Budget Adoption. RESOLUTION NO. 10-38 - A RESOLUTION ADOPTING THE FISCAL YEAR 2010/2011 SPRINGFIELD CITY BUDGET. MAKING APPROPRIATIONS AND LEVYING A PROPERTY TAX. Finance Director Bob Duey presented the staff report on this item. The City Council was requested to hold a public hearing on the Fiscal Year 2010/2011 (FYl1) Approved City Budget, and approve a resolution to adopt the Fiscal Year 2010/2011 City Budget, making appropriations, and levying a property tax. Mr. Duey said the Budget Committee made several changes to the proposed budget during their meetings in May. They added $10,000 for the Museum and $20,000 for the Lane County Veteran's Services Committee. For the Library, they added $15,500 to increase the Latino Liaison position from .8 FTE to full time, $4811 to the children's book budget, and $10,689 for temporary staffing for backup/fill-in to stay open longer hours. They also put in the corrected amounts for the transfer to the ambulance fund. The funding for the revenue bond was moved as it would not be issued in the next fiscal year. Mr. Duey said they were requesting to levy the full permanent rate $4.74/$1000, including $1.09/$1000 for the Police/Courts levy, a .43/$1000 for the Fire levy, and a levy of $3,231,586 for the retirement of bonded debt. Last year's budget was $326M, and the upcoming year's budget being proposed was $278M. The operating budget being recommended was $79,220,511 compared to last year's budget of $77,800,000. The capital budget last year was $103M and the recommended capital budget was about $7.5M. The targets going into budget this year were to put together a budget proposal that left basic services intact, did not go into reserves, and avoided the large number of layoffs in last year's budget, and they were able to do that. Two positions were being left unfunded at this time in F &LS which were part of the fIre merger agreement. City of Springfield Council Regular Meeting Minutes June 21, 2010 Page 3 Mayor Leiken opened the public hearing. No one appeared to speak. Mayor Leiken closed the public hearing. Mayor Leiken complimented staff. Last year was very difficult. He had received some emails from people in the community that had read the article inthe paper about Springfield's budget and congratulated Springfield on thinking ahead. Springfield could have been in dire straits this year if we hadn't made the moves we made last year. He thanked Mr. Grimaldi, staff and the Budget Committee. They should be proud. Springfield stepped up and was a showcase in the State and he congratulated staff and the Budget Committee on that. IT WAS MOVED BY COUNCILOR LUNDBERG WITH A SECOND BY COUNCILOR PISmONERI TO ADOPT RESOLUTION NO. 10-38. THE MOTION PASSED WITH A VOTE OF 5 FOR AND 0 AGAINST (1 ABSENT - RALSTON). 2. Revenue Bond Sale Authorizing Ordinance. ORDINANCE NO.2 - AN ORDINANCE OF THE CITY OF SPRINGFIELD. LANE COUNTY. OREGON AUTHORIZING THE ISSUANCE OF STORMW ATER SYSTEM REVENUE BONDS FOR A TOTAL NOT MORE THAN $10.000.000 AND PROVIDING FOR PUBLIC HEARING. Finance Director Bob Duey presented the staff report on'this item. The Council had adopted a Capital Improvement Program which contemplated significant construction to update and expand storm water management system facilities. The cost of the facilities exceeded the reserves currently available. The Council was requested to approve issuance of revenue bonds in the principal amount not to exceed $10,000,000 in order to finance construction and related expenses for the City's local stormwater system maintenance and expansion. Council's decision to authorize the issuance of revenue bonds for the stormwater program was the fIrst step in the implementation of the recently adopted Stormwater Master Facilities Plan, as the projects in that plan had been incorporated into the City's Capital Improvement Program (CIP). After adoption of the CIP, the Council, on May 17, approved new stormwater user rates which included an increase of 15 percent. The Council's rate decision struck a balance between funding capital needs and the need to maintain user rates at reasonable levels. That rate increase was designed to help support funding of $10 million in revenue bond debt to construct projects where the City already had undertaken an obligation, such completion of the current u.S. Army Corps of Engineers Mill Race Project, and related projects.which supported that effort and a portion of the remaining projects in the CIP, which, altogether, totaled $14.5 million. A second reading of the ordinance would occur on July 6, and would be effective August 6. The City could issue bonds anytime after August 6, but would most likely issue the bonds later in the fall. Staff needed time to do prep work prior to issuing the bonds. The CIP included rehabilitation projects for existing facilities, projects to improve quality of stormwater runoff in the public system, and projects to plan, design and construct new stormwater facilities. Without the bond City of Springfield Council Regular Meeting Minutes June 21, 2010 Page 4 sale, none of the projects could move forward. He explained further what the $10M included. The City's financial advisor on this issue was Western Financial Management and the bond counsel was K&L Gates. Finance and Public Works staff would spend the next two or three months preparing for this sale. Project could be started now and would be completed in the next two or three years. Mayor Leiken opened the public hearing. No one appeared to speak. Mayor Leiken closed the public hearing. NO ACTION REQUESTED. FIRST READING ONLY. 3. Sale of Real Property to Willamalane Park and Recreation District. RESOLUTION NO. 10-39 - A RESOLUTION APPROVING THE SALE OF REAL PROPERTY AND AUTHORIZING AND DIRECTING THE CITY MANAGER TO EXECUTE CERTAIN DOCUMENTS TO CONSUMMATE THAT SALE AND SETTING AN EFFECTIVE DATE. Assistant Public Works Director Len Goodwin presented the staff report on this item. In 1999, the City acquired this property from Roger and Kathy Vinyard as part of securing property rights necessary to complete the Mill Race Ecosystem Restoration Project. At that time the property was appraised at a value of $335,000. The City purchased the property for $350,000. During the discussion leading to development of the Mill Race project, Council agreed that ultimate disposition of the property probably would be to Willamalane so that it might be consolidated into Clearwater Park, which was the adjoining property. At that time, Willamalane was unable to fund the purchase. Recently Willamalane had secured grant funds which would cover a portion of the purchase. The property had now been appraised at $350,000. As part of the Mill Race Project, Willamalane had granted the City both temporary and permanent easements over Clearwater Park for the purposes of the project. In addition, the City, as part of this transfer, would retain an appropriate easement over the Clearwater Lane property and would grant Willamalane an easement over a parcel that the City acquired from Mrs. Earl Ramsey. In addition, Willamalane had committed to providing long term maintenance of the recreational and educational facilities to be built at the Mill Pond as part of the project. Staff from the City and Willamalane had reviewed these easements, and based upon the underlying values of the property, concluded that the net value of the easements, if applied against the appraised value of the Clearwater property, coupled with the estimated value of the services to be provide by Willamalane, would leave a balance of $217,040. (The calculations were shown in Attachment 2 of the agenda packet). The draft sales agreement proposed that Willamalane would pay that amount in cash to the City. The funds for the City's original purchase came from bond proceeds designed for the Mill Race project. The revenue from this transaction would be received into the Drainage Capital Fund and used for City expenses in connection with the project, which was now entering Phase II. City of Springfield Council Regular Meeting Minutes June 21, 2010 Page 5 Mr. Goodwin explained how they calculated the cash balance that Willamalane would pay for this property. By trading the services, the City would not have the ongoing maintenance costs of the property. Mayor Leiken opened the public hearing. 1. Bob Keefer. Superintendent of Wi llama lane Parks and Recreation District. 250 South 32nd Street. Springfield. OR. Mr. Keefer thanked staff fortheir partnership on the Mill Race Project and said it was a great example of Team Springfield. He and City staffhad been talking about this acquisition since 2003. At that time, Willamalane went up to a grant presentation and found out in 2004 they would be awarded the grant. At the same time, the temporary 1-5 bridge was being constructed and created conversion of park land to transportation. They could not get their grant dollars back until the conversion was satisfied. They were just now this week finalizing the conversion and were eligible to receive their grant funds. That's why they were coming to Council at this time. They had tried to be a great partner in many ways and were committed to the project and the Mill Pond. They would continue that type of commitment to the Mill Race Project. The property adjoining Clearwater was a great asset for the entire community and could be a great opportunity to do some environmental education. He appreciated the City's support of the project and of their partnership. Mayor Leiken closed the public hearing. Councilor Lundberg asked if the Vinyard property currently included a rental. She wanted to know what would be done with it once it was purchased by Willamalane. Mr. Goodwin said it was currently rented. The terms of the sale would be that it would be subject to the existing tenancy. He believed Willamalane intended to keep that rental until they were prepared to make changes. ' Councilor Lundberg said she thought that building would be an interpretive center and have a caretaker. Mr. Keefer said for now they would continue the tenancy and work with the tenants,. who could become a caretaker for a short while. They would be doing a master plan for Clearwater Park and would encourage a member of the City Council to be a part of that team along with City staff. During that planning they would talk about the best use. Willamalane felt the Mill Race, Clearwater Park, and Middle Fork Willamette were amazing outdoor recreation resources and could include some type of outdoor recreation facility for teaching outdoor skills or provide environmental interpretation and education. He discussed other ways these properties could be used. He also noted that he was informed by the National Parks Service that this would be the last caretaker residence that they would allow any local provider to buy as part of the grant fund program. Councilor Pishioneri asked if there were plans for overnight facilities at this site. Mr. Keefer said not yet. That could be part of a master plan process for the 60 acres of Clearwater Park which they hadn't yet started. It could be part of it, but would need to go through the master planning process. City of Springfield Council Regular Meeting Minutes June '21,2010 Page 6 IT WAS MOVED BY COUNCILOR LUNDBERG WITH A SECOND BY COUNCILOR PISmONERI TO ADOPT RESOLUTION NO. 10-39. THE MOTION PASSED WITH A VOTE OF 5 FOR AND 0 AGAINST (1 ABSENT - RALSTON). BUSINESS FROM THE AUDIENCE COUNCIL RESPONSE CORRESPONDENCE AND PETITIONS BIDS ORDINANCES 1. An Ordinance Repealing the End Date Clause Contained in the Homeless Overnight Emergency Shelter Program Ordinance. . ORDINANCE NO. 6258 - AN ORDINANCE REPEALING SECTION 2 OF ORDINANCE 6244 WHICH SPECIFIES AN END DATE FOR ORDINANCE 6244. CONTINUING ORDINANCE 6244 IN FULL FORCE AND EFFECT. AND DECLARING AN EMERGENCY. Planning Supervisor Jim Donovan presented the staff report on this item. At its July 20, 2009 Regular Session the City Council adopted Ordinance 6244 allowing overnight parking in certain church parking lots under the authority of the City and the supervision of the St. Vincent DePaul Overnight Parking Program. The ordinance contained a one year sunset clause to allow Council review of community feedback, fmancial impacts and potential expansion of the program. The "END DATE" clause may be implemented, continued or repealed at Council's discretion. Staff and the City Attorney recommend that the sunset clause be repealed and the program extended until such time as Council directs otherwise. The provision was added to the Municipal Code for a trial period of one year and an initial budget not to exceed $7,000 with the understanding that the City Council could modify the program at its discretion. As noted in the briefmg memo in the agenda packet, the program was still relatively new and lightly used. Staff and homeless advocates would continue to work on administrative measures necessary to expand knowledge of the program within the homeless community. This ordinance only repealed the sunset clause of the original ordinance; no other changes were proposed at this time and no additional funding was requested. Staff would continue annual updates with Council on the progress and funding of the program. There were no fmancial impacts at this time. Mr. Donovan provided a brief update on the program and said only two churches had participated in this program to date and the budget remained intact at $7000. He was not sure why this was so lightly used. It could be that people were receiving services from other programs. The Springfield housing department did a great job working with low income families to prevent homelessness, or it could be that people were not meeting the criteria. This program was for Springfield families frrst and families with children. Staff would review the barriers with the Homeless Coalition and City of Springfield Council Regular Meeting Minutes June 21,2010 Page 7 the Faith Council. Administrative changes may be needed within the ordinance for better communication. If revisions needed to be made to the ordinance, he would bring that to Council. Tonight staff was recommending that the end date be repealed and the program be allowed to move forward with its existing budget. Councilor Lundberg said she had been thanked as a City Councilor for approving this program, which was very nice. She appreciated that staff had helped get this into place. IT WAS MOVED BY COUNCILOR LUNDBERG WITH A SECOND BY COUNCILOR PISHIONERI TO ADOPT ORDINANCE NO. 6258. THE MOTION PASSED WITH A VOTE OF 5 FOR AND 0 AGAINST (1 ABSENT - RALSTON). BUSINESS FROM THE CITY COUNCIL 1. Committee Appointments 2. Business from Council a. Committee Reports 1. Mayor Leiken welcomed the members of the Oregon Boys State who were in the audience. He said he had the opportunity to speak with the group over the last couple of years and always enjoyed meeting them. 2. Councilor Leezer said she had planned to challenge each of the council members to volunteer to be handcuffed to a Change for Change parking meter for one hour for fundraising, but found that the City couldn't do that because it was SUB's biggest fundraiser. 3. Councilor Wylie said she and Community Relations Manager Niel Laudati did a presentation to Rotary on where property taxes went for services. The emphasis was on how much money the City had to send off to the State and Federal governments, yet the City provided the majority of services the citizens relied on. It was a wonderful presentation and well received. 4. Councilor Simmons said at the joint elected officials (JEO) meeting, he spoke with Councilor Clark from Eugene. Councilor Simmons said it might be appropriate to install those "Change for Change" meters in downtown Eugene. 5. Mayor Leiken said he attended Star Wars Day on Saturday, which was part of Springfield's 125th Anniversary Celebration. The characters (Darth Vader, storm troopers, Princess Leah,.etc.) were all very authentic. Mr. Laudati had photos of the characters in the Council Chambers with Darth Vader wearing the 'Mayor' sash at the Mayor's place. There was a full crowd at the event, and kids and adults were both enjoying themselves. Mr. Towery said there were about 650 people attending. City of Springfield Council Regular Meeting Minutes June 21, 2010 Page 8 BUSINESS FROM THE CITY MANAGER 1. Resolution to Amend the City Retirement Plan's Tax Remedy. RESOLUTION NO. 10-40 - A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SPRINGFIELD AMENDING THE CITY OF SPRINGFIELD. OREGON RETIREMENT PLAN. Human Resources Director GretCi Utecht presented the staff report on this item. She pointed out that Everett Moreland, the City's attorney for the City's pension fund, was available to answer questions. The 1991 Oregon Legislature made PERS benefits subject to state income tax. The Oregon Supreme Court ruled that benefits for service after the date of the law (September 29, 1991) could be taxed, and benefits for service performed before that date could be taxed only if a "remedy" (benefit increase) was provided. Public safety employees who retire from Public service were required to pay taxes on their benefit. PERS and the City's Retirement Plan provided for a tax remedy for public safety retirees, for some of the Oregon income tax on their benefit The 2009 Oregon Legislature changed the PERS tax remedy from being based on Oregon's highest personal income tax rate (11 %) to being based on a 9% tax rate. Although the City's Retirement Plan sets the amount of the tax remedy payments for public safety employees on Oregon's highest personal income tax rate, the Retirement Plan's tax remedy was not required to exceed the PERS tax remedy. A proposed Plan amendment to base the Retirement Plan's tax remedy on a 9% tax rate (same rate as PERS) was attached to the agenda packet. The amendment would apply to tax remedy payments made after 6/30/09, as long as the City Council adopted the amendment by resolution by 6/30/10. The tax remedy rate for the City's plan the past two years had increased. Should the City Council choose to not adopt the amendment, tax remedy payments would be based on an 11 % tax rate for FYl1, thereby impacting the City's pension fund by at least an additional 2%. The amendment would benefit both the City and public safety retirees by ensuring that tax remedy payments were set at a rate of no less than and no greater than 9%, rather than fluctuating in the event that Oregon's highest personal income tax rate changed. (For instance should Oregon adopt a sales tax there could be an accompanying decrease in the highest personal income tax rate.) Staff and legal counsel for the City Retirement Plan recommend approval of the attached resolution. Ms. Utecht said they contacted the unions regarding this change and there were no concerns. This change kept the rate stable. Mayor Leiken asked if the 11 percent was based on individuals making $125,000 a year or families making $250,000 a year. Mr. Moreland said that was what he recalled. City of Springfield Council Regular Meeting Minutes June 21, 2010 Page 9 IT WAS MOVED BY COUNCILOR LUNDBERG WITH A SECOND BY COUNCILOR PISHIONERI TO ADOPT RESOLUTION NO. 10-40. THE MOTION PASSED WITH A VOTE OF 5 FOR AND 0 AGAINST (1 ABSENT - RALSTON). BUSINESS FROM THE CITY ATTORNEY ADJOURNMENT The meeting was adjourned at approximately 7:38 p.m. Minutes Recorder Amy Sowa Attest: Cit~~