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City Council Packet - 04/16/1992 f I I Owl Council Agenda Item T I G A R D C I T Y C O U N C I L MEETING MINUTES - APRIL 16, 1992 • Meeting was called to order at 5:38 p.m. by Mayor Edwards. ' 1. ROLL CALL Council Present: Mayor Jerry Edwards; Councilors Judy Fessler, Valerie Johnson, Joe Kasten, and John Schwartz. Staff Present: Patrick Reilly, City Administrator; John Acker, Acting Senior Planner; Loreen Edin, Administrative i Services/Risk Manager; Liz Newton, Community Relations i Coordinator; and Catherine Wheatley, City Recorder. STUDY SESSION Update to Council - Water Issues City Administrator Reilly distributed: • A "Water White Paper" (attached) which was prepared after workshop meetings with representatives from Tigard, Durham, King City, and the Tigard Water District with information supplied by James Montgomery Engineers. (Note: This Committee is hereinafter referenced as the "White Paper Committee.") All Committee members have reviewed the White Paper and indicated agreement with its content. • An April 16, 1992, letter from the Tigard Water District Chair, Audrey Castile, which was received late afternoon on this date. (This item has been f iled with the meeting packet material.) The letter advises: "...we believe it is in the best interest of our constituents to remain Tigard Water District, and not change the form of the District or its Board at this time." - "The Tigard Water District would like to work with you to determine how we can more fully involve you in our planning processes, and keep you informed of our activities." Council discussed the process to date and enumerated the options available at this time. Mayor Edwards said it was time to decide, in conjunction with those jurisdictions who have been involved in the process, whether it was time to go ahead with a merger of some sort or to step back. Council discussed the above-referenced CITY COUNCIL MEETING MINUTES - APRIL 16, 1992 - PAGE 1 letter from the Water District briefly; clarifying questions would a_L r h,g, AG--V A -4~ t P! '."3.i.:-' - ±-1,- _a_ _ ? - a---- _r . i-J ~.a.ac. "r,ivi.iaoxxva+ u-.'i~.a.iay it4l.t.a. il evening. The following includes the major topics the Council noted in discussion: • How a merger concept would evolve with affected jurisdictions. • City of Tigard issue: One district for the entire City, including the Metzger area now in the Tualatin Valley Water District (TVWD). • Agreement proposal to keep the Tigard Water District intact; representation would be from the three cities. Unincorporated area would receive the same service as city residents. • City concerns include land use issues, growth management, and the need to plan for growth in the urban area of interest. • The Urban Growth Boundary and Tigard Water District Boundary is consistent. • Issues, which need to be addressed, affecting local water decisions are coming from the State and region. • Water source is of prime concern; a coordinated, concentrated effort will be needed from all jurisdictions. • Water rates, by the year 2050, will be similar to charges rate payers now pay for electricity. • The proposal, from the White Paper Committee, would mean that the Water District would become a stand alone operation; that is, not a department of any of the cities. • Bob Santee, responded to Councilor Fessler's questions, as to why he thought it was a good idea for the cities to merge the water district as proposed. Primarily, he noted the cities would have more influence with other jurisdictions over critical water decisions which would be made soon. • A merger, through intergovernmental agreements, could not be accomplished by July 1 because of statute requirements and the amount of negotiation and issue solving that will be required. In fact, this will be at least an 18-month process even if all goes relatively smoothly. CITY COUNCIL MEETING MINUTES - APRIL 16, 1992 - PAGE 2 i a a ggg~ Will M11 I C Council meeting recessed: 6:02 p.m. Council meeting reconvened: 6:20 p.m. Ed Tenny of James Montgomery Engineers reviewed a flow chart depicting a Tigard Water Sysiem Study Withdrawal/Dissolution Proceedings. He advised that numerous decisions must be made along the way if this was the direction taken by the participating jurisdictions. He noted it was his experience that this type of process was emotional and never without °'wrinkles." WORKSHOP MEETING Groups represented included: • City of Tigard City of Durham • City of King City Tigard Water District • Unincorporated Area (Note: Attached is an attendance list from a "sign-in sheet" passed around the room.) Ed Tenny of James Montgomery Engineers reviewed the scenario if the decision was reached to establish a joint operation of the water system which included the three cities, the unincorporated area, C the Tigard Water District, and portions of the Tualatin Valley Water District. Intergovernmental agreements would be drawn up ` which would address concerns for employees, governing structure, asset ownership, debts, and protection of the unincorporated area. Tigard Water District (TWD) Board Chair, Audrey Castile, reported on the view of the issues by the TWD Board. The Board reviewed the White Paper information and decided it would be in the best interest of TWD to remain TWD but to work toward the end result as proposed in the White Paper. The TWD Board questioned the timing; that is, what was the necessity of merging now? The Board's concerns were centered on the well-being of their constituents, development of the intergovernmental agreements, and the need for more communication among the affected cities and the TWD. Chair Castile referred to the fact that the Board recently hired a consultant, Jeri Chenelle, to facilitate communication. Additional comments from TWD Board members included the following: • The needs of the community are the No. 1 consideration of the TWD Board. TWD knows well the needs of their customers. CITY COUNCIL MEETING MINUTES - APRIL 16, 1992 - PAGE 3 • What improvements could the cities offer to TWD customers? • The cities' concerns for growth management were acknowledged. TWD would be willing to communicate to Raw allow more choices. Discussion then opened up for general comments. Remarks included the following: • This process was triggered because of concerns when the Metzger and Wolf Creek Water Districts consolidated (nour k-qown as the Tualatin Valley Water District). It was made more apparent at that time that local management of the Tigard Water District could disappear. Thus, it was decided to study the possibility of this occurring, along with what other options were available. • There was discussion on Metro and its increasing aggressiveness being felt in the everyday decisions of cities. The word "clout," meaning the collective ability of the cities to express their constituents' viewpoint more effectively, was referenced several times throughout the meeting. • There is "writing is on the wall" that there will probably only be three or four water providers within the next 10-20 years. Tibia area cared by the TWD will be in a better position if this area has identified its own water source. • The Boundary Commission can initiate consolidation without the TWD's consent. • Source and supply are components of the "bigger picture." If the cities withdraw their areas from the water district and form a,joint water agency, this would offer some protection and give the area time to work on this bigger picture. If this was delayed, it would become more difficult to accomplish. • Water rates will increase; in fact, there will be a rate increase of 28% this fiscal year. • The City of Tigard is now served by two water districts, Tigard Water District and the Tualatin Valley Water District. Tigard would want its residents served by one water agency. i • The goal would be to keep the TWD intact and to protect current employees. CITY COUNCIL MEETING MINUTES - APRIL 16, 1992 - PAGE 4 IMM1111:11 III 111;jji 11 51 ii 11! 1 Z • There was discussion on what a joint water agency would look like. This was compared to the Washington County Consolidated Communications Agency which was formed through a process provided in the ORS. This agency is providing service to several jurisdictions through IGA's. • IGA's would be negotiated at the very beginning of the process. Also, IGA's would address and provide safeguards for concerns. • Concerns expressed to the TWD Board included: a. Using water to "force" annexation. i b. Diversion of funds for non-water system expenditures might occur because water-rate revenue falls outside the cap established by Ballot Measure 5. • Responses of possible solutions to the above concerns were: ' a. IGA's would be formulated. Through the IGA's, the interests of the unincorporated area would be protected. b. The agency, as proposed at this time, would be formed under ORS 190; there would be no diversion of funds as rates can only reflect costs. i • Annexation policies were discussed. The question was 1 asked: Why don't the cities annex out to their urban growth boundaries? The response to this question outlined the issues faced by cities with regard to timing of annexation. When developed to urban density, these areas do use urban services and should help pay the cost of these services. • There was discussion and questions from TWD and City of Tigard representatives as to the vision and planning for the future. • Chris Thomas, attorney working with the James M. Montgomery Company reviewed issues of concern to the TWD employees. There are provisions set out in the ORS which ~ protect employment and status of current employees. The TWD Board would have an opportunity to spell out additional conditions for the employees in an IGA. i lCITY COUNCIL MEETING MINUTES - APRIL 16, 1992 - PAGE 5 i f i V C • There was discussion on the two separate agreements which the TVWD and TWD have to purchase water. These agreements may not be considered an asset; they are based on amounts available from other sources. There was discussion on the need for regional planning and identification of sources. • There was review of a joint effort to examine regional water issues spearheaded by the Portland Water Bureau. Local jurisdictions have participated. • The unincorporated area needs to be informed/educated to understand the process and options. He-u this is presented through "publicity and attitudes" is very important. • A key focus will be the educational process and to work as a team. • TWD will continue to operate as a district until completion of the process outlined on the flow chart. • The White Paper Committee, consisting of Water Board ' chairs, city administrators, mayors, and an unincorporated area representative, will work on C_ education process, timeline, and balances/checks. • Another full multi-jurisdictional meeting will be held in July. Meeting recessed 8:58. i Study Session meeting reconvened at 9:10 p.m. with Tigard Council and staff. Council authorized the Administrator to continue to use the consultant as needed. The TVWD issue (i.e., Metzger area) would be addressed later the Committee should get started. The City I Administrator will keep TVWD updated. 1 I _ CITY COUNCIL MEETING MINUTES APRIL 16, 1992 - PAGE 6 i i i Q There was brief discussion on a media blitz to get information out to people. ADJOURNMENT: 9:25 p.m. Qtte: Catherine Wheatley, City Recorder or, City of Tigard J //off ~~/oZ Date: =0416.92 i 1 CITY COUNCIL MEETING MINUTES - APRIL 16, 1992 - PAGE 7 I Attendees - Multi-Jurisdictional Water Issue Meeting - 4/16/92 C^ Held in the Town Hall, Tigard City Hall Name Representing R. Joe Kasten City of Tigard G. R. Edwards City of Tigard Valerie Johnson City of Tigard John Schwartz City of Tigard Judy Fessler City of Tigard Pat Reilly City of Tigard Roger Gano City of Durham Beverly Froude Unincorporated area Gerry McReynolds City of King City Jeri Chenelle Tigard Water District John Miller Tigard Water District Audrey Castile Tigard Water District Bob Wyffels Tigard Water District Clarence Nicoli Tigard Water District Denis Borman Tigard Water District Jon Kvistad Tigard Water District Robin Franzen Correspondent, Oregonian Bill Reinert Regal Courier, King City Jack Polans King City resident Bonnie Turner Tigard Water District Diane Kuhn Tigard Water District Lorry Christian Tigard Water District Stephen Winchester Tigard Water District Randy Volk Tigard Water District Richard Sattler Tigard Water District Rusty Thomas Tigard Water District Samuel Morrison Tigard Water District Traci Morrison Carol Callaway Unincorporated area Bruce Griswold City of Lake Oswego Hill Hampton City of Tigard Resident Ed Murphy City of Tigard Loreen Edin City of Tigard Ed Tenny James Montgomery Engineers Bob Jossis James Montgomery Engineers Chris Thomas Subconsultant to Montgomery Engineers John Buol City of King City Cathy Wheatley City of Tigard OEM CITY COUNCIL MEETING MINUTES - APRIL 16, 1992 PAGE 8 WATER WHITE PAPER The Twd in conjunction with the Cities of Durham, KC and Tigard have been examining the future of the TWD. This review is in response to the increasing political, economic and technical complexities associated with being. in the water business. The primary purpose of this is to keep the district's operation intact and secure, building on its history of excellent community service. Water users within the district will not notice any change in how water is being delivered. Residents of unincorportated areas served by the district would be served the same as city residents. The district would be governed by the three cities instead of an independently elected board. This change in governance structure would preserve local control of the district. The change would also provide greater opportunities to plan capital needs more efficiently and effectively; to pursue cost saving measures through consolidation; and to better coordinate growth management. The Cities of Durham, KC and Tigard, as a result of being in the water business, would have the ability to influence the regional water decisions now being discussed. Current discussions are focused on the region's long term water source and the need to consolidate water districts. The TWD plans to conduct an community education effort to discuss the potential changes within the district as well as to bring district residents up to date regarding the regional water decisions. In April there will be joint meeting of the Tigard Water District and and the Cities of D, KC and Tigard to discuss the potential governing structure. i i I i I COMMUNITY NEWSP ,P S, INCO Legal TT 7231 Notice f P.O. BOX 370 PHONE (503) 684-0360 BEAVERTON. OREGON 97075 Legal Notice Advertising o p Tearsheet N~ , r 3 ® City of Tigard PO Sox 23397 0 Duplicate Aff o Tigard, OR 97223 ,r • ^ ,a ti MIMI Q C M s s} AFFIDAVIT OF PUBLICATION ~ ~ =k•' a STATE OF OREGON, ass j' ` ; ► COUNTY OF WASHINGTON, f.` I, Judith Koehl m~® p - Y } being first duty sworn, depose and say84ia T71t1esvert~sing } Director, or his principal clerk, of the 1 s a newspaper of general ir 4ion s defined in ORS lQ3.010 arc in the eu da J, and 193.020: published ac aforesaid go n pnd slate; ti} t the, r_ y g cxa~ it y Gouncx~ Me-tin .a c a printed copy of which is hereto annexed, was published in the entire issue of said newspaper for One successive and is t0c } consecutive in the following issues: ~E" F x acs _ 03 April 9, 1992 - efor'em9 this 9th d ayof A_ iL 1992. Subecribedand.erroM to . Notary Public for Oregon My Commission Expires: AFFIDAVIT C CITY OF TIGARD, OREGON AFFIDAVIT OF NOTIFICATION In the matter of the proposed &Oc..wa ( Gvy~Kshy STATE OF OREGON ) County of Washington ) ss City of Tigard ) I I, ~ i ne_ tohecd P , being first duly sworn, on oath, depose and say: That I notified the following persons by phone or personal contact of the Notice of Special Meeting for the Council Meeting of 44 /1 (In 1q Z , a copy of said written notice being hereto attached and by reference made a part hereof on the day of C TQi~ r t , 19. CONTACT METHOD: PHONE PERSONAL DATE TIME Tigard Times Reporter at 684-0360 Name: leek M-ess!Lka? X gllq a Ion -my- :Donn-&- sc 4~~'u Oregonian Reporter at 297-8861 or 639-9867 Name:"*iv-. F:,ranr , X X 3 C~ducSaeL ~~h;r~ King City Regal Courier at 639-5414 Name: d~ i5a-- 2S}- x ~(rt~ ~J ~lv7`.£C.E W~5' pvs~ed' i n lvhb Chu-Ll2ti~ ~0~~~ Subscribed and sworn to before me this I471 day of d '19 OFFICIAL SEAL R9, JOANN HAYES C NOTARY PUBLIC-OREGON Notary is for Oregon COMMISSION NO.006513 MY COMMISSION EXPIRES MAY 5, 1995 My Commission Expires: 5 1 ~9 `mil logWcathyAnf<not i C NOTICE OF CITY OF COUNCIL WORKSHOP MEETING Notice is hereby given that a Council Workshop meeting has been called by the Tigard City Council for April 16, 1992, 5:00 p.m., at the City Hall Town Hall Conference Room, 13125 S.W. Hall Boulevard, Tigard, Oregon. The purpose of the Council workshop meeting is to review information pertaining to the recent study and work completed with regard to water issues for the City of Tigard. The Council will then meet with the jurisdictions of Durham, King City and the `t Tigard Water District at 7:00 p.m. in the Town Hall, 13125 S.W. Hall Boulevard, Tigard, Oregon for a joint discussion on water issues. Catherine Wheatley, City Record r April 14, 1992 notice i i r t 1 f C i r~ i I U7r- 4 i , ,I rr c. cJ fD c C~ LAID C. AL44-t~ pal I, tl~ aos n r r %i . b cc"rul izma Amt. hOA- 'aj F q i h r WATER WHITE PAPER The Twd in conjunction with the Cities of Durham, KC and Tigard have been examining the future of the TWD. This review is in response to the increasing political, economic and technical complexities associated with being. in the water business. The primary purpose of this is to keep the district's operation intact and secure, building on its history of excellent community service. Water users within the district will not notice any change in how water is being delivered. Residents of unincorportated areas served by the district would be served the same as city residents. The district would be governed by the three cities instead of an independently elected board. This change in governance structure would preserve local control of the district. The change would also F provide greater opportunities to plan capital needs more NMVM efficiently and effectively; to pursue cost saving measures through consolidation; and to better coordinate growth management. The Cities of Durham, KC and Tigard, as a result of being in the water business, would have the ability to influence the regional water decisions now being discussed. Current discussions are focused on the region's long term water source and the need to consolidate water districts. The TWD plans to conduct an community education effort to discuss the potential changes within the district as well as to bring district residents up to date regarding the regional water decisions. In April there will be joint meeting of the Tigard Water District and and the Cities of D, KC and Tigard to discuss the potential governing structure. r i c lC TIGARD WATER DISTRICT 8777 S.W. BURNHAM ST. April 16, 1992 P.O. BOX 230000 TIGARD. OREGON 97223-9917 PHONE (503) 639-1554 Honorable Mayors, Councilmembers and Representatives Cities of Durham, King City, Tigard and Unincorporated Areas Dear Mayors, Councilmembers, and Representatives: The Tigard Water District appreciates your interest in working with us to address the important needs of our constituents. We are enthusiastic about working with you and strongly want to include you in whatever ways we can. The Board of Commissioners of Tigard Water District has carefully considered our previous discussions with you, and the "white paper" which was submitted regarding assuming governance of providing water within the boundaries of Tigard Water District by the three cities and unincorporated areas. After careful consideration, we believe it is in the best interest of our constituents to remain Tigard Water District, and not change the form of the District or its Board at this time. We share your concerns about the need for a long term water source. We have been working for some time to establish a long-term, reliable, high quality supply of water. We agree that water has become a regional issue, and that it is imperative for Tigard Water District to continue to participate in regional discussions, studies, and action. We also agree that you are impacted bit those regional discussions, and we would like you to be part of our regional voice. It would be to our collective advantage for all of us to participate in these discussions. United we would certainly exhibit greater strength for our area. We invite you to participate and advise us of your concerns and ideas. We can be more powerful if we work together in any matters where collective lobbying efforts are appropriate. The Tigard Water District would like to help you address concerns about growth in the unincorporated county areas of our service district, but there are legal issues which must be addressed before we can commit to any action. Our legal obligation to provide water in our District must first be carefully scrutinized before we can address this issue further. We will be happy to make inquiries of our attorneys, and perhaps you could do the same with your attorneys on our behalf. We acknowledge that we could have done a better job of communicating with you regarding our plans and services. We believe that if you were fully informed of our activities, you would not have the concerns that you do. The Tigard Water District would like to work with you to determine how we can more fully involve you in our planning processes, and keep you informed of our activities. Since our constituents are your constituents also, and since some of our services do impact the services you offer, we would like to have more dialogue. In summary, Tigard Water District wishes to remain a separate entity as it is currently structured, without entering into an official "merger" or consolidation with the cities and •f r Honorable mayors, Councilmembers and Representatives Cities of Durham, Icing City, Tigard and Unincorporated Areas April 15, 1992 Page 2 unincorporated areas to govern the District. We are prepared to offer the following to bring you into our business affairs on a more informed basis: 1. We hope you will advise us and/or participate in negotiations for a long- term source of water. 2. We would be happy to meet with you to talk about our long range capital improvement plans and other activities planned for the District. 3. We want to explore forming Inter Government Agreements in the future as a way to decrease or contain costs. 4. We will investigate further what legal options there may be for addressing your concerns about providing water service for growth management purposes. 5. We invite you to participate in discussions about regional water provision_ and advise us on the direction you believe would be most advantageous for our patrons. The Tigard Water District wishes to keep harmonious relations with the cities and unincorporated areas we serve, and we look forward to working jointly on various projects as we have in the past. The current discussions with the City of Tigard to share our fuel tanks is just one example of the ways in which we can continue to work together. If there are other ways we can eliminate duplication or work together more efficiently, the Board wishes to do so. We really want to have you advise us of your concerns, and we encourage you to participate in developing the strategy in the negotiations which are continuing. We thank you for your time and your forthrightness in the discussions we have had about your desires, and we are confident that we can be congenial partners as we provide services independently to our constituents. Sincerely, Audrey Castile, it Board of Commissioners Tigard Water District PROCEED WITH FORMATION OF A JOINT WATER AGENCY f Provides a means to manage The cost of water is growth. increasing and will continue to do so. Long term water supply Allows a more integrated situation is uncertain - (This approach to service planning will need to be addressed and delivery. regardless of what the governing structure). Provides the ability to Time/effort will need to be influence regional water spent by the City to become source planning and decisions. better informed and to implement the plan. i Possible economic efficiencies. in billing, equipment sharing, etc. There would be a single water purveyor for the City. Control of water decisions remain local. i I DISTRICT REMAINS AS IS No effort is expended to As a special district, be implement the change. consolidated/reformed, thus local control is lost. Future rate increases are an Future rate increases are an issue of only the District. issue of only the District. City manages growth with only existing tools. f The City has no voice in regional water discussions. The City continues to be served by two special districts. Long term planning for water is not interigal to land use, transportation, and other City planning functions. ja/Water2.Tbl WAKINOM OEM= 111111 11 ~w ~DOF'paAO@IlAG88E1d}2fF8 (2) (9) (4) (8) Daw CRY HEARLVO MWDI VIYOl RF90LU1TON8 N077CEB Cli'1 CRY CRY D- (25) rhtd~W.urOw. S H..ripp 1ypi IVfIMn.Y poM4h.d.pd loud WITHDRAWAL WRHDRAWALORDINANCtl M Npd Pry A. fat.O...a.l 14u Blu-efTWD M.WiIhA..n Froq old..~.PW.e d<^f.Tailw.ndar Ob1iA.eion (14) Re.olveim o< 11YD S.r..d Per rrdn.yArzeneA TWD. P.tilim 6Nd.iW CRY/IWD IGA (y) COUNTY TMD D1880LLYTON (18) %'~yeDOd -~P90LRllO=~ 7WOFdu I~ n TypD. 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CTIYTFOJ.i.t Om Yw Ope-1im P°IOA Dldui.. 7nWer (22) (22) 90 Days - - 14 Days I TIGARD WATER SYSTEM STUDY I WITHDRAWAUDISSOLUTION PROCEEDING s