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HomeMy WebLinkAbout02/06/2012 Work SessionCity of Springfield Work Session Meeting MINUTES OF THE WORK SESSION MEETING OF THE SPRINGFIELD CITY COUNCIL HELD MONDAY, FEBRUARY 6, 2012 The City of Springfield Council met in a work session in the Jesse Maine Meeting Room, 225 Fifth Street, Springfield, Oregon, on Monday, February 6, 2012 at 6:00 p.m., with Mayor Lundberg presiding. ATTENDANCE Present were Mayor Lundberg and Councilors Pishioneri, VanGordon, Wylie, Moore, Ralston and Woodrow. Also present were City Manager Gino Grimaldi, Assistant City Manager Jeff Towery, City Attorney Mary Bridget Smith, City Recorder Amy Sowa and members of the staff. Mayor Lundberg asked Councilor Ralston to provide an update on his recent hip surgery. Councilor Ralston said all went very well and he was improving daily. 1. . Amendment of SDC Fees and Charges. Planning Supervisor Jim Donovan and Community Development Manager John Tamulonis presented the staff report on this item. The Springfield City Council made policy decisions on City fees and user rates and had the discretion to temporarily modify or suspend the collection of such fees and charges for economic development or other purposes deemed necessary by the Council. The attached Resolution authorized an amended system development charge (SDC) collection structure for the period beginning April 1, 2012 and ending December 31, 2012. The continued slow pace of recovery had challenged the City's ability to continue to provide adequate service levels. The economy seemed close to a point where positive news might come, and at that marginal point, it was possible that providing,some form of stimulus might push Springfield across the tipping point. The last stimulus effort, which was limited to one and two family residential construction, did provide a very limited benefit. Since what would be the most beneficial to the local economy would be job creation from large scale commercial and industrial development, a temporary reduction focused on that segment might prove more productive, particularly at this point. The proposed change with respect to large scale development would not have any near term adverse revenue impact, since current forecasting techniques did not assume any such large scale development. Incentivizing large scale anchor developments would result in marginally lower total revenues over the long -term as surrounding developments occurred and offset the incentives. These reduced revenues may have the effect of delaying completion of capital projects funded by SDC revenues. This could present challenges if the level of growth triggered needs for capital construction before sufficient funds had accumulated. The 50 percent reduction on other SDC revenues was likely to have an impact on SDC revenues in the near term. For FY 2012 the City had currently projected total local SDC revenues at $1.45 million, with $610,000 received through December. This change could result in total revenues for FY 2012 coming in at about $1 million. For FY 2013, current projections called for total local SDC revenues of $1 million. This change could reduce those revenues by half, although to the extent that the change stimulated development, that shortfall could be reduced, although likely not eliminated. City of Springfield Council Work Session Minutes February 6, 2012 Page 2 Mr. Donovan said during recent senior staff discussion of economic development issues, local trends, as well as national trends, were identified. There had recently been increased interest in the Planning division, and interest in the Sustainable City Year projects. Staff felt the City was approaching a tipping point economically and there was an opportunity to provide some stimulus to trigger recovery and increase confidence in the community sooner rather than later. The resolution before Council included a proposal on SDC fees and some restructuring and discounting. Size and job creation triggers were included in the proposal for reductions. He explained. Staff decided to rely on Springfield's own successes in the past and used those as a model rather than enlisting consultants to review this proposal. Mr. Tamulonis said a number of targets were looked at for these reductions, including history of past practices in the City. This SDC reduction could cause some shortage of SDCs in the short-run, but it should work out in the long -run. This could be a good stimulus for a number of jobs in Springfield. Councilor Pishioneri said he thought this was a great idea and was very innovative. He asked for an example of what 50,000 square feet and 100 employees would look like based on other businesses already in place. Mr. Tamulonis noted businesses in the area such as Cabella's, Councilor Pishioneri asked if 100 employees were too many for this proposal. Mr. Tamulonis said a typical office building was approximately one employee per 300 square feet of building. Mr. Grimaldi said there was no danger in lowering that figure slightly. Councilor Pishioneri suggested reducing the number of employees. Mr. Grimaldi said the Council could consider the SDCs they would normally have received without a reduction or waiver. Mr. Donovan provided an example of SDCs for a comparable size business. Councilor Pishioneri said they needed to be looking to encourage businesses that might not employ 100 people. He supported the reductions proposed, but with fewer employees under Sections 2 and 3. Councilor Moore agreed. She didn't want to discourage a business because of the number of employees required. Mr. Tamulonis said by encouraging the higher number of employees, they were encouraging a commercial investment, rather than a warehouse. Councilor Moore said she appreciated the information and the opportunity to review this again in November to re- evaluate. Councilors Woodrow and Wylie were in agreement. City of Springfield Council Work Session Minutes February 6, 2012 Page 3 Councilor Ralston said he didn't want to limit a business coming in, but noted that 500 square feet was not a very large area. Councilor Pishioneri said he wanted to be in a position to encourage as much as possible. Mr. Donovan said they could go with 75 employees or 50 employees. Councilor VanGordon- said he would be comfortable with lowering the number to 50 employees. The companies would need to qualify in other ways. Mayor Lundberg said there could be a scenario where a business wanted to move, but they would not be adding employees. Mr. Tamulonis said the resolution included language allowing businesses in that situation to receive the discount. Mayor Lundberg said she was glad to hear that. She noted that for everything that was built, other vendors would be brought in to build and complete the building. She asked how they would handle an Enterprise Zone. Mr. Tamulonis said they could qualify for tax breaks if they met the requirements of an Enterprise Zone, which included growth in employment. Those eligible for the Enterprise Zone ranged from two to six businesses. It would be a separate activity. The City didn't have a lot of vacant industrial buildings, and this incentive could bring new buildings. Mr. Towery said Lane Metro Partnerships listed 44 businesses in the area with over 100 employees, and 40 businesses with .50 -99 employees. Mayor Lundberg asked if Willamalane had been informed about this proposal. Mr. Grimaldi said he met with Bob Keefer who was going to check with the Willamalane Board President to see if they wanted to offer incentives. He had not heard back yet. Mayor Lundberg said it would be nice if Willamalane would do the same regarding their SDCs. That would be a discussion between elected officials. She would like it to be a full package for businesses coming' into Springfield. Council, consensus was for support of this resolution. Councilor Ralston asked about the cost to the City. Mr. Grimaldi said there were no dollars being expended. If development occurred that was going to go in anyway, the City would lose out on that revenue. The City had prepared a Capital Improvement Program (CIP) based on conservative estimates. This program could push a couple of projects from the CIP out further than originally planned. Mr. Paschall said most SDC's were programmed out to FY 14 and FYI 5. Staff would need to re- assess the project list as they entered those fiscal years. He noted some of the projects that were in the Plan. Mr. Grimaldi said the thing that drove the projects was development. With no development, there was no need for projects. City of Springfield Council Work Session Minutes February 6, 2012 Page 4 Councilor Pishioneri said Section 3 also related to redevelopment. I Mr. Tamulonis said downtown already had a 50% discount on SDCs. This would be a good time to partner with the Springfield Economic Development Agency (SEDA) to pay a portion of the SDCs in downtown. He could bring that proposal to the SEDA Board. Councilor Pishioneri also noted other SDCs that would be affected. He asked about Springfield Utility Board (SUB). Mr. Grimaldi said Springfield Utility Board (SUB) was done differently. He explained. Councilor Pishioneri asked if the City was set up to have an economic development approach with our TEAM Springfield partners. He would like to see a nuts and bolts plan of what each agency was willing to do to provide incentives and create a certain climate in Springfield. Mr. Grimaldi said he would bring that up during an upcoming meeting with TEAM Springfield members. i Mayor Lundberg said a group had been formed and was scheduled to meet. Mr. Tamulonis noted that Willamalane SDCs only came into play in residential development. Councilor Moore confirmed that this would go forward now and the discussion with TEAM Springfield members would occur later. Yes. Mr. Grimaldi said there was a difference for SUB as there was a cost in putting in infrastructure for electricity. SUB had been good to the City in looking at unique ways to address development. Mayor Lundberg said 50 employees was an adequate figure. Mr. Donovan said during tonight's regular meeting, he would propose the resolution with the amendment in Section 2 to 50 employees. 2. Update on Police Department Goals and Activities. Police Chief Jerry Smith presented the staff report on this item. The Springfield Police Department continued to respond to the law enforcement needs of the community through emergency response, visible patrols, operation of the municipal jail, and coordination with community service programs. This Work Session item constituted a progress update with Council. In June of 2011, the Department hired Brain Austin as our new Animal Control Officer. The response from his co- workers and from the community had been very positive. The Animal Control Program i was reaching out to the community in new and innovative ways in order to provide efficient, cost 1 effective services. Uniform Crime Reports Statistics were showing a positive trend, especially in property crime numbers. The most recent numbers available, from 2010, showed a significant decrease in the number of reported property crimes in Springfield, and we saw that trend continuing. j The Municipal Jail continued to be a positive force in the community, holding municipal offenders O City of Springfield Council Work Session Minutes February 6, 2012 Page 5 accountable for their actions, and giving the municipal judges a means by which to enforce their court orders. i The Police Department had begun early discussions to renew the Public Safety Operating Levy, which could likely go to the voters this November. The Department intended to bring more specific proposals to the Council for consideration by early Spring. Chief Smith distributed a chart showing person/property behavioral crimes from 2002 through 2011. He noted the large reduction in all property crimes between 2008 and 2011. This reduction could be due to the opening of the Jail, although there could be other factors. There was also a reduction in all other crimes between 2010 and 2011. He then distributed a document with graphs showing Municipal Court revenue and bail funds received. There was a close parallel between the two and both had increased. Councilor Wylie asked about the conviction surcharge. Chief Smith said it was a percentage of the offenders' conviction. He explained. Those funds went towards jail operations. Councilor Moore asked about the dip in the middle of 2009. Chief Smith said it was prior to the Jail opening and was one of the normal ups and downs. The Springfield Jail was performing as expected, but Lane County was looking at some serious deficits which would impact the number of jail beds the County could keep open. That meant more people committing felons would be released. With so many being released, those people were not likely to show up in Court, causing the Failure to Appear process. The Municipal Court was able to resolve that issue with the new jail, which increased bail money revenue. He discussed the cost difference to run the Municipal Court compared to the Circuit Court, the Circuit Court being much higher. Another impact of the reductions in the Sheriff's budget was how to handle crimes outside of, but close to City limits. Currently, if a life threatening event occurred close to City limits, City police stabilized.the situation until the Sheriff arrived. After July, the Sheriff would be down to 16 or less hours a day for patrol. Without that patrol, the City Police Department had some policy decisions to make about that type of situation and City coverage. Councilor Ralston asked if this only included areas within the urban growth boundary (UGB). Not necessarily. He said it seemed there was a logical boundary that Springfield could follow. Chief Smith said he did not have a recommendation at this time, but that would be something they would need to look at in the near future. The Prosecutor's Office was also facing large cuts through the County, so many felonies would not be prosecuted. Mr. Grimaldi noted another impact with the County cuts. The Lane County Justice Court may close if they no longer had a need to run that court. The Justice Court rented the space from the City, so that would be a direct impact financially. The Medical Examiner could also potentially go away. Other departments in the County that would be cut could include the Assessor's office which could impact the City regarding revenue. There were a lot of decisions that needed to occur at the County before the City started to react. Councilor Moore said they had previously talked about annexation policies. Loss of the Sheriff's patrol could be another incentive for people to annex to the City in order to get police service. City of Springfield Council Work Session Minutes February 6, 2012 Page 6 Chief Smith said the County juvenile department also faced cuts and that would also have an impact. The City was dependent on County resources, so their cuts did impact the City. Currently, Springfield Police was stable in staffing. They didn't expect any retirements in the coming year, or any that were moving. The Animal Control program was going well with the new officer. The officer was doing a great job and was using FaceBook information communicating with the community about location of dogs, which saved time. He spoke regarding the new Police vehicles purchased for the coming year. He felt the Tahoe was the best vehicle ,package, but had concerns about the image of going to those vehicles with the upcoming levy. The Chevy Caprice was now being manufactured as a Police vehicle and was comparable to the Dodge. Councilor Pishioneri said he thought the Tahoe was a better vehicle for patrol. He agreed that the downside was public perception. He asked if they could stagger the purchase of the five vehicles between the Caprice and the Tahoe. Chief Smith said the five Caprices' were already ordered. Councilor Pishioneri said he was concerned about officer safety with the Caprice. Tahoe's were higher off the ground and easier to get in and out. Councilor Woodrow said during the last Police Planning Task Force (PPTF) meeting, she suggested setting up a system of remuneration if the City had to begin accommodating the County's calls. Councilor VanGordon agreed. Once the facts were known, it would be important to talk about what the City could consider. Councilor Moore had a good point about police protection as a benefit of annexation. There was concern about the moral issue when calls came in outside the City. Councilor Wylie asked about State Police and if they could respond if the County was not functional. Chief Smith said the State troopers at the Springfield office would do the best they could, but they also had limited resources. He further discussed example situations. Chief Smith said the Police Department was interested in in -car camera systems. It would help the department with crimes and also when complaints were received by citizens about officer behavior. The cost was quite expensive. Eugene had a system that had some issues that were now resolved. The department was looking ahead for that type of system. Chief Smith noted that two officer received the Life Saving Award during an awards night on Saturday, February 4, 2012. The first officer saved a woman who was trying to jump from an upper story balcony at RiverBend Hospital. The other officer applied a tourniquet on someone with a gunshot wound that had hit a major artery in their leg. Councilor Woodrow asked for an estimate of what the in -car cameras cost. Chief Smith said about a quarter million dollars for the whole system. i Mr. Grimaldi said replacement costs would also need to be built into the total cost. Councilor VanGordon asked if there was a cost savings related to in -car cameras. City of Springfield Council Work Session Minutes February 6, 2012 Page 7 Chief Smith said the in -car cameras would not cover the costs. The cameras would be most beneficial in investigations in crime and accident scenes, as well as complaints against officers. Councilor Wylie said it was a wonderful idea and provided important documentation. Chief Smith said people's perceptions were often different in stressful situations and in -car cameras could show what actually happened. Mayor Lundberg said the Police levy would be coming up for renewal soon. Once the County figures and cuts were known, it would affect Springfield's levy. Springfield could be called upon to pick up some of the slack, so that was something to consider. She appreciated Chief Smith attending tonight's work session. The numbers were positive and showed our Police force was functioning well to keep our community safe. ADJOURNMENT The meeting was adjourned at 6:58 p.m. Minutes Recorder — Amy Sowa Christine L. Lundberg Mayor Attest: Amy Sowa City Recor r