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City Council Packet - 10/01/2004COUNCIL STRATEGIC PLANNING SESSION October 1, 2004 Location - Sydney Sherwood's home, 10305 SW 87th, Tigard, OR Present: Mayor Craig Dirksen, Councilor Tom Woodruff, Sydney Sherwood and Nick Wilson Staff Present: Craig Prosser, Bill Monahan. Citizens: John Frewing, Gretchen Buehner, Sally Harding arrived at 2:00pm. Meeting called to order at 1:10 pm. 1. Reviewed Agenda 2. Reviewed Council Goals through September 2004 utilizing the Goal Update document. Items discussed: ~~~~^+own Business Task Force Accomplishments- actions that lead to accomplishments: Council support, money in CIP, composition of Task Force doubling in size, Tri-Met: we got their attention and now extensive public outreach is planned. jL4W ation Financing Task Force was reconstituted and new members added, Street Maintenance Fee was established, need to get Task Force together with Council, need to enhance connectlons with METRO, ODOT and find out where do TSP & ODOT plans mesh? Communication from ODOT still does not happen. Third highway package will focus on freight corridors nothing for local governments (reported at Mayor's meeting). MSTIP process looking more positive for the 2004-2012; period, need on-going dialogue with ODOT (Matt Garrett scheduled to meet with Council on 11/9/04). Tri- Met Is talking about re-routing #58 to serve Bonita and bus shelter needs are being planned for. Parks Recreation Survey completed and Board taking information to community. Youth Forum on- going, and discussed the possibility of tying in with TTSD on grant applications using the Tigard Turns the Tide non-profit. Grnwth Management Bull Mountain was discussed, as well as timeframe for Comp Plan - November 23, Council discussion scheduled with Jim Hendryx to bring alternatives for discussion. Get stakeholders involved early. What Is our Comp Plan? There is a need for an orientation for Council and citizens. Discussed Change/Modification of plan vs. creating for ist time. What implications does this have? Nick: Run through options with Council first- advance prep is advised. Page 1 Tigard City Council Strategic Planning Session October 1, 2004 Craig: Clarify expectations up front and get definitions and parameters. CD staff capacity to handle necessary workload needs to be reviewed. Also, UGB 63 & 64 requires attention, if Tigard plans for these areas. Communication Meetings with the elected bodies is going well and should be expanded as well as expanded communications with citizens. Tigard Beyond Tomorrow is underway and the Youth Council is going well. Youth Representation on Boards and Commissions en discussionolvement has increased. Would like to encourages nrbe used face Council CAP is building a foundation which then and improved community appearance. Neighborhood identity is an issue. Fifth Tuesday- Discussed idea of Council and citizens meeting with no agenda for no more than 2 hours. Issues for Council are: How to do it without over-burdening Council members. Also discussed how to manage Council e-mails: who responds, how quickly to respond, respond to a-mails or focus on work program? Discussed Planning process roles, process and expectations and how to tie to Comp Plan Process. Annual Citizens Fair is in the works. 3. Tentative Agenda Review October 19 r Add Skate Board Task Force. We need ns availability ty for big meeting w ill h money, where does money come from? Rich Carls determine when the discussion can be scheduled. Council also reviewed having more, shorter meetings rather than fewer, longer meetings is a goal of Council 4. Financial Review has been Craig Prosser reviewed the April 2003 document. Significant progress interest in made have some in many areas to review and increase fees. Council increasing sewer and water franchise fees which would be added to rates. Further review of this issue is needed. questioned Council discussed the issues related to Tigardd'so w afford tax rate. Council and features whether the community is ready to pay more services needed to be like some other cities. The Budget Committee will be scheduled to meet with Council in February or March, will follow the Council Goal Setting 2005 to update the Strategic Financial Plan This discussion and precede the budget process. Page 2 Tigard City Council Strategic Planning Session October 1, 2004 5. Council Direction Nick: Physical makeup of City is a key concern of s is. par, cacific Highway traffic and fixing up downtown. Ash Street suggested helping 99W Things going too slow, we need results. Craig: Systematic approach to "finish out" streets, (upgrade farm road) Entryways to neighborhoods are two issues. Nick: Streetscape & lighting, public art is a need, need 2 public projects - public space (square) Main Street & something at south end of downtown. Craig: Major entry points - Welcome to Tigard portals should be included, Entry to Parks, Portal signs and signs directing to the parks, lack park -Walnut Street access is needed, discussed aggressively pursuing abandoned RR ROW caused by Commuter Rail so City can use the area. Tom: Identity, ambiance, make parks attractive - encourage donations and suggest a gathering place downtown. Sydney: Concentrate on Downtown. CWS Master Plan for Durham Treatment Plan was discussed - citizens don't know about expansion plans. How can city prevent loss of pond and fountains - rather than react? ` Buffer in code. Nick - Regulate dynamic signs in the community, keep 99W from becoming 82nd Avenue. Forest Deferrals preventing clear cutting no logging without permit. Look at condition of existing properties, review Code Enforcement - regulations and becoming proactive and tie to Fifth Tuesday. Concentrate on Tigard and its needs. 6. Bull Mountain Craig- suggested resolutions be passed by Council to confirm commitments made during the Annexation Process. The resolutions are: • Parks SDC's - Current SDC's are not adequate, will use other money and - reiterate phasing of taxes; • Begin early hiring of police- 10 or more; • Begin aggressive search for potential parkland on BM; Recognize BM as separate district to maintain identity and expand to other areas and Neighborhood Associations; • Over next 5 years give 30% of CIP budget; • Include Bull Mountain in the Comp Plan process. Suggested we take a look at Bull Mountain voting patterns for identifying next possible issues if the annexation measure fails. There may be areas where smaller annexations make sense. Page 3 Tigard City Council Strategic Planning Session October 1, 2004 7. Council Goal Setting Think about having a facilitated session, bonding, training. tors was -Sign. Code was addressed. Status of agreement lhrealon sidewalksdiscussed as cau sing concehn.n Buehner mentioned that realtors continue to place signs Meeting adjourned. William A. Monahan, lty Manager Attest: 4,5yo llty o igar Date: Page 4 Tigard City Council Strategic Planning Session October 1, 2004 STATE OF OREGON ) County of Washington ) ss. City of Tigard ) being first duly sworn (or affumed), by oath (or affirmation), depose and say: 0-0 _--_L2 , / That on _ - - . I notified the followin people/organizations by fax of the Special Meeting o the City Council on with a copy of the Notice of Special Meeting being hereto attached and by reference made a part hereof, on the day of arbara Sherman, Newsroom, Tigard Times (Fax No. 503-546-0724) P eve Lindsley, Regal Courier, (Fax No. 503-968-7397) Q Newsroom, The Oregonian, Metro SW (Fax No. 503-968-6061) S nature o ~erson who Performed Notification ed and sworn (or firmed) before me this, -day of Subscn Or_ewn LaQ✓ , 20_D OFFICIAL SEAL JANE MG GARVIN ?hatur otary Public for Oregon NOTARY PUBLIC-OREGON e of N COMMISSION N0.378318 MY COMMISSION EXPIRES MAY 28, 2008 I:WDMGREERIFORMStAFFIDAVITSVIFFIDAVIT OF NOTIFICATION - SPECIAL MEETING.DOC a CITY OF TIGARD NOTICE Of SPECIAL CITY COUNCIL MEETING Please forward to: Barbara Sherman, Newsroom, Tigard Times (Fax No. 503-620-3433) Regal Courier, (Fax No. 503-968-7397) Patrick Harrington, The Oregonian, (Fax No. 503-968-6061) Friday, October 1, 2004 1:00 P.M. 5:00 P.M. 10305 SW 87' Avenue Tigard, Oregon, 97223 Notice is hereby given that a Strategic Planning meeting is scheduled for October 1, 2004. The meeting is scheduled from 1:00 p.m. to 5:00 p.m. at the following location: 10305 SW 87th Avenue,` Tigard. For further information, please contact Assistant to the City Manager, Liz Newton or Deputy City Recorder, ]aneMcGarvin by calling 503-639-4171 or at 13125 SW Hall Boulevard, Tigard, Oregon, 97223. eputy City Recorder, lane McGarvin Post: City Hall Lobby Date of Notice: September 27, 2004 I:\adm`.cathylccakc mtg nolicesln06k spec mtg strategic planning 041001.doc9123104 City of Tigard, Oregon Affidavit of Posting In the Matter of the Proposed Notice of Special Meeting STATE OF OREGON ) County of Washington ) ss. City of Tigard ) being first duly sworn (or affirmed), by oath (or affirmation), depose and say: That on S ~s~u(9 c1~ at -~,00- (a.m. I Posted inTigard City Hall, 13125 SW Hall Boulevard, Tigard, Oregon, a copy of Notice of Special Meeting for the City Council meeting of with a copy of said Notice being hereto attached and by reference made a part hereof, on the day of - 20_Q-y-- Signature of Pers n who Performed osting Subscribed and sworn (or affirmed) before me this day of 20b . Signature of No ary Public for Oregon OFFICIAL SEAL JILL M BYARS NOTARY PUBUCOREGON COMMISSION NO.38'IM AY COMMISSION EXPIRES JUNE 14, 2008 I:\ADM\GREER\FORMS%AFFIDAVITSWFFIDAVITOF POSTING - SPECIAL MEETING.DOC The public is welcome to attend this meeting and all City Council meetings, except for Executive Sessions. Executive Sessions are called only when the Council must discuss legal issues, labor relations, or other such natters allowed by law. Tigard City Council Strategic Planning Workshop October 1, 200t° 1'. Introduction a. Define the goal for today - b. What do we want to accomplish c. What is the outcome? 2. Review of work to date a. Recent Council Goal Setting Discussions - August 5, 2003 (see minutes, attached) i. Downtown area opportunities & redevelopment ii. Economic Development iii. Tri-Met Service iv. Bull Mountain Annexation v. Library site White House vi. Transportation financing b. City Planning Efforts i. Budget ii. Transportation System Finance iii. 'Parks Master Plan iv. Water Supply v. Bull Mountain Annexation Study vi. Urban Renewal vii. Strategic Finance Plan 3. Council Discussion a. Council Roles & Priorities - i. Accomplishments and Achievements from past year ii. Councilor interests and priorities iii. How will Councilors and staff work together to accomplish these priorities? iv. Internal and external relationships 1. Identify key contacts to assist in accomplishing priorities 2. Identify key meetings needed to advance Council priorities v. 2005 1. Identify key goals to focus on early in 2005 4. Next Steps a. Additional Strategic Planning Workshops9 b. Quarterly Plan/Goal updates? c. Coordination with other Goal setting/Planning processes and efforts. Agenda Item No. _ * Meeting of 9 - 9- 0 Minutes for Special City Council Meeting of August 5, 2003 Location -10305 SW 871', Tigard, OR Home of Councilor Sydney Sherwood Mayor Jim Griffith opened the special Council meeting at 2:15 p.m. The purpose of the meeting was to conduct a City Council Strategic Planning Discussion. Present at the meeting at 2:15 p.m. were Mayor Jim Griffith, Councilors Sydney Sherwood, Brian Moore. Craig Dirksen. and Nick Wilson as well as City Manager Bill Monahan. Lucy, Councilor Sherwood's cat, arrived at 3:40 p.m. The Council first discussed Its goals for the day. Council emphasized that it was open to identify unique ideas, identify projects to undertake, and suggest unique features for present projects. Immediately there was a discussion of the downtown area and the opportunities present as a result of commuter rail. Councilor Dirksen, the Council liaison to the downtown citizen group, emphasized a need for public projects to encourage private developers to invest in the downtown. He suggested a public plaza or square, housing for elderly needing public transportation, and other public investment. After much discussion, Council suggested that staff contact Jeff Tashman, a consultant on urban renewal. Mr. Tashman will be asked to meet with the downtown task force and the City Council possibly in September or October, 2003. The purpose of the discussion will be to talk about the economics of the downtown area and whether or not the economics can support Tigard's ideas for redevelopment. Mr. Tashman will be asked to discuss the Tualatin experience and opine which elements of the Tualatin concept would conceivably work in Tigard. He also will be asked to give some general advice on financing opportunities, in particular tax increment financing. Council discussed tax increment financing and recognized that a charter amendment exists which prohibits Tigard from undertaking a tax increment financing district without first receiving support of the voters. The charter amendment, placed in the charter in 1983, was formulated at a time that the implications of tax increment financing were different than they are today. Mr. Tashman will be asked to explain to the City Council how tax increment financing presently, works. Economic development was also discussed. Bill Monahan explained that an opportunity is scheduled for a discussion with the Economic Development Partners, a non-profit made up of several local jurisdictions as well as Portland Development Commission. In January the City Council suggested that consideration of an economic development program be discussed during 2003 as part of its Council Goals. Bill will report to the City Council on August 26 on his recommendation regarding the opportunity to join the Partners and potentially to create the position of Economic Development Director. Council also discussed Td-Met service. There Is significant interest in creating inner-city bus service in Tigard.: Bill will work with Finance Director Craig Prosser to initiate discussions with Tri-Met to better understand the numbers presented by Tri-Met which, according to Tri-Met, illustrate that Tigard receives more bus service than is paid for by locally generated Tri-Met tax. In essence, Craig will be asked to perform an audit of Tri-Met similar to that performed on other franchises in the City. Tri-Met `will be pressed to justify their numbers. Staff will also develop strategy to investigate the feasibility of inner-city bus service. Perhaps a demonstration program can be set up with a local company like RAZ. The City of Wilsonville has a successful Tigard City Councl Meeting Minutes - August 5, 2003 Page 1 program, thus staff will check with Wilsonville regarding the costs of delivering an inner-city service. Bull Mountain was discussed. The Council gave direction to staff to continue to move forward in bringing an annexation plan to City Council in September. At the same time, staff will work with Washington County to discuss communication opportunities to present information to the entire community. The White House on the library site was discussed. Council would like to make a decision In the next several months whether the house should be preserved or removed from the site. Coundl suggested that it would like to tour the house sometime in the next few weeks. It was suggested that to justify preserving the house there needs to be a use, but not an office or house. Once Council has toured the facility, a discussion of options will occur. If a decision is made to save the house, Council suggested that others need to be involved. As the meeting drew to a dose, Councilor Wilson suggested that the next discussion topic be transportation. The street maintenance fee Is coming back for discussion, by Council. If funds are freed up from the gas tax monies, Council needs to give direction on what to do with the freed-up dollars. The meeting concluded at 5:45 p.m. it am A. Monahan, City Manager Attest: Mayo City rd Date: ,rnn1~D,+ c~DO~ cwn~,carrwecc~ Tigard City Council Meeting Minutes August 5, 2003 Page ,2 Council Goals for 2004 DRAFT GOAL 1- FINANCIAL STRATEGY A. Develop and implement a sustainable long-term financial strategy for issues such as: 1. General Fund needs 2. Library 3. Transportation 4. Parks and open space 5. Washington Square regional center 6. Central Business District 7, Water system 8. Extension of urban services through annexation FT~i>!`irc Q~4aer Update , v gY' third quarter of calendar year 2004 Financra(Str ate issues worked on durrng this pPnod in de: _Prepared and presented several special analyses related to the possible annexation of Bull,-` tItho~i~itairi _ - ~;~k~Cpnt uetl participation"of the Joint Audit of Qwest and Venzon franchise fees. C'ontued an audit of"Nh/ Natural franchise fees in cooperation withh Salem, Portland, and ~ .s2ve al other cifr2s::;The~audit-is expected to be concluded in Ocfioher or November r,- Council approiled a new franchise with NW Natural that Jincludes an i ncrease m thei'franchise t the 2% fee"rate'from;3% to 5%. NW Natural has adjusted customer billings 'to reflect increase. he Pares SDC study udu e;d a draft report. The public review process has begun Began work on the.`FY°2005 10 Financial Forecast : Conducted a quarterly nieetmg of the Budget;Commiftee, which among other Topics rev~gwedfentialtifinanc(ahlmpacts on'Tgard.from tdvg,sfafewide ballot measures Second Quarter Update: The second quarter of calendar year 2004 has been very active for the City in financial matters. Issues worked on during this period include: o Developed and adopted the FY 2004-05 Budget, Finalized the Five Year Financial Forecast based on that budget, Updated City "fees and charges, o Reviewed the Privilege Tax with the Budget Committee as a possible new revenue source, o Prepared several special analyses related to the possible annexation of Bull Mountain, o ' Continued participation of the Joint Audit of Qwest and Verizon franchise fees - after two years of negotiations with Verizon, the cities' auditor was finally allowed on site to review Verizon's books, and Verizon has committed to complete this audit before the end of the calendar year, Initiated an audit of NW Natural franchise fees in cooperation with Salem and Portland - several other cities are now joining this effort, Concluded negotiation of a new franchise with NW Natural that includes an increase in the franchise fee rate from 3% to 5%, Initiated a study to update the City's Parks SDC, Developed several financial analyses in support of the City's negotiations of the contractual reimbursement from Clean Water Services in exchange for maintaining part of CWS's service area, implemented the City's new Street Maintenance Fee and began collections, Called the 1993 Bancroft Bonds early, saving the City $8,000 in interest costs DRAFT First Quarter Update: ' Goal 1 Departments have been putting together budget requests and the City Manager has been developing his Proposed Budget in response to Council direction to budget conservatively. The Budget will be constructed to push the need to go to voters for a local option levy out as far as possible. Staff briefed Council in a workshop session on the drivers in the financial forecast to help answer the question why declining General Fund balances are projected. Understanding the drivers will help to develop appropriate responses. Staff has continued to support the discussion of the Bull Mountain annexation by developing special analyses as needed and responding to citizen inquiries. GOAL 2 - TIGARD CENTRAL BUSINESS DISTRICT A. Support the activities of the Downtown Task Force as it defines a vision for redevelopment. B. Select a consultant to carry out the Transportation Growth Management (TGM) grant to create a redevelopment plan based upon the recommendations of the Task Force and Council C. Choose a financing mechanism, such as tax increment financing, for carrying out the redevelopment plan or vision. D. Broaden the Task Force to include citywide representations %i rd Quarter Update bm , l he rtaslForceis preparing for extensive community outreach through the :Community Oialogsbg Meld from Late Sepfer,7be,~ through dcfober. The Task Farce s holding smah group; dscuss►ons (12 15 peo41e1ao:r~ave.th"e'con~m.unityhelp"develop th~.:Tigard Downtown , Improvemeht:Plan.'Itls important that the entire community be involved - this is the community!s plan. B&B P? nt Source donated printing and paper for 2500 brochures to publicize the process. 7 askfForce has also `been meeting with 7-Wet V influence fhe Commuter Rai(afafion design and irnplement fFie.station design"recommendations the Task Farce's Station'Design Reco ,-Mend.dab'o s repo from (vlarc~03. A 00 l#B .araer~et Was selected Thp City signed the IGA with ODOT The plan process began in a" 0sa ~kAugus ,sand , 'Vbe d pleh9d June 30: W #C Not y f a p icable..`Fina c gmechan►sms will be addressed in the Tigard Downtown n Plan; theTask~Force hasn't reached that part of fhe work program #D €CarripletedMin June. (24 rpembers with a Youth,Advlsory,GouncrlyRepresenfafrve) Second Quarter Update Goal 2A: Council appointed an additional 12 members to the Downtown Task Force. Parametrix was selected in June as the consultant for the Downtown redevelopment program. Goal 2B: The IGA between ODOT and the City needs to be adopted by the Council to proceed with the plan and work program. Goal 2C: Not yet applicable. Financing mechanisms will be addressed in the redevelopment plan. Goal 2D: The Council also passed a resolution on March 9 that expanded the. Task Force to reflect Tigard's broad constituency and Downtown stakeholders. The recruitment has been completed and the Task Force consists of 24 members. First Quarter Update pRAF 1 Task Goal 2A Council passed a resolution on 319104 thatraacknowl Thee ges th on effortslso dof the that alForcent and commends its members for completing the work an expanded Downtown Task Force. ODOT finalizes Task Force members be invited to continue serving on Request for Proposals of work. w(rk.RFP Once seeking consultants Goal 2B Staff is working with ODOt finalize the project's its review, an Intergovernmental Agreement will be completed. This groundwork will take place in the next quarter, culminating in a consultant's selection. redevelopment plan. in the Goal 2C Not yet applicable. sed anSec mechanisms second eso utionllon Mach 9 that expanded the Task Fo ce Goal 2D The Council also pass to reflect Tigard's broad constituency and Downtown stakeholders. The recruitment process is now under way. GOAL 3 - TRANSPORTATION A. Aggressively pursue solutions to congestion of state, county and city facilities that cross through Tigard. Task Force. 1. Reforming the Transportation Financing a. Explore outside funding sources task force b. To recom oe t es and funding needs foastate andhc ty faci t es,functions 2. Identify project pr and state facilities in Tigard a, Prioritize all project needs - city, county b. For priority facilities which are controlled by another entity, I . Discuss the project with the entity which has jurisdiction over the facility; and 2; Negotiate a funding solution which could include partial city funding; and 3. Offer to improve a related city transportation problem tin exchange for the other entity completing a need transportation outdthel improved facity, upon projct 4. Offer to accept jurisdiction of Understanding andedentifypand letion. B. Continue working with Tri-Met to carry fund additional improvements w th ODOT representatives at least once n u 2004 to discuss state road C. Council shall meet with facilities in Tigard and the related funding needs and priorities. Third Quarter Update (From Cora :unity Development) it a lied fora number of transif-oriented sidewalk Frl grants Thduringthe e proposed period. #8. i he C y Pp The streets invoiv include to bus stops Hall, Center,, Garrett and help c Bate a safer and more, transit friendly pro~ects.wi11 improve-access community. The City and TriMet completed'a fourth ou~oX'teiy fiffee ~Chambe eo'f Commerce regarding service and facility improvement needs. App, - t ' Based"on the comments, received , business: commiftee members participated in the meeing. in the four outreach meetings conducted so far, TriMet Bonita Road It alsof'studying . der g provide seven hours of service along the presently unserv nclu the feasibility of rerouting lines 62 or 92 to se rVe~Barthe use o~the p'a'rkrngf lots for bus rider contacting.'two'churches along HWY 99W r6' ar in g parking, TriMet and the City together are looking at bus shelter, needs within the City.:'At'. four bus stops in Tigard that meef the shelter installation boardings per day thresholds ,present, (35 per day) are without bus shelters Third Quarter Update (From Engineering) DRAFT ifrrograrrr~ F1(uC CJJ,V~ ,vul NF , of Greenburg Road improverrlentsbefween Shaa,~~e.@ar g has heart au~tiorizedlfor deign and ng a ~F C ar,* .~±✓ne~nEirirnaRnnr ot►f~n5r~notatigrl protect 1s> o ;hP ~deman~~e , ~r tff~.` Uee • u ~ Raa:~1, improvemen s shat rn#y enhance the, commufer ra►t p k / , P !t_ sth _rat►ay{be econ~mendedsbyrifhe,Downtownlm roveme t Ptan foaO~ Ary "r 1~h sans orfation ~rrranc► ►g"SfCafegres Tas FOrree as reconstituted b Reso utron N X114=51 o~ Q 5 t the ounc►t meeting an Jamul = 3 004 At hat samAm in Resolution , o k, Vs ed commnding,fhe o~igrnaME Forbe niemharsaa~nd c'or~~~leting the ^Tas~f~o~ce . ~ q f e TheLrecon~iifufed Task Forcew►Ifexp(ore potentia(xfundmg ohe original task forc our major street improvements. UDR r rk 6vith TnMet on the commuter, ra►liprolecf In additro :oat 3~ ~jhe .City stiff continues to wo ~n flie ►nrtial stages The, $75 000 ►nclu$ded ►n the Caprfal OM roverne,nt Plan is ieUowntaw~ltnP,~ a. a 4 mprovPmeritProgrant for FY 2004-05 iitay~be~used to Gnstr c tfansportation r d . 15 "W, ct and pi ss biv other imfarelate ovemenfs t~teo~~cft fxc s n~cuarr 4~, A I a WE Z e anal f ~t~reatr~ fcolu~~s'P # at strew, At79 o xsi► :itree acoCrJor foroy•seconda accesa f :fhe, n ed cummu#e ra ( arid-dol ►de La ?oftheq nu ~Str of E ensloCt ► e~=sf ee, jos rn ended to evenrually~become p ~t . ~I t ?v r,M®R t x ch~wou a d;rWaln Street east of Hrghway 99W fi!en nor ~c Ioeg Ash -)Ire& tt0 G Peet to cf►nz►ke[~e# Second Quarter Update jfrom Community Development) Goal 313: A joint City-TriMet roundtable was held with social service and housing providers in April. The participating agencies included Community Partners for Affordable Housing, the Good Neighbor Shelter, the Senior Center and eight other Tigard-based organizations.` The meeting focused on how the respective agencies' clients use transit and on transit access and coverage improvement needs. In May, TriMet made a presentation to the Downtown Task Force. In June, TriMet presented the program to the Planning Commission. Second Quarter Update (from Engineering) Goal 3A1 The reconstitution of the Transportation Financing Strategies Task Force is scheduled for the Council meeting on July 13, 2004. At that same meeting, a resolution commending the original Task Force members is scheduled for Council consideration and action. The Oregon Grocery Association will be represented in the reconstituted Task Force. Invitations were issued to the Tigard Chamber of Commerce and Washington Square management to provide representation on the Task Force. There has been no response from the Chamber and Jack Reardon of Washington Square said he could not serve, but would ask for a representative from the Westside Economic Alliance. If representatives from those groups are submitted, they could be added by amending the resolution to add those members. Once the Task Force is reconstituted, the initial meeting can be set, possibly in late July or early August 2004. Goal 3A2a A list of high priority projects regardless of jurisdiction was developed and presented for Council review and discussion at the workshop meeting on February 17, 2004. This list included high priority intersection projects along Highway 99W to move east-west traffic more effectively. A project to widen McDonald Street at the Highway 99W intersection to provide a dedicated right-tum lane and to extend the stacking on the left-tum lane from McDonald Street to Highway 99W is included in the Capital Improvement Program for FY 2004-05. This project should improve east-west traffic movement while allowing motorists to access Highway 99W more readily. Goal 38 The amount of $75,000 was included in the Capital Improvement Program for FY 2004-05 to allow for joint projects to be undertaken by the City and TriMet to provide pedestrian connections DRAFT between transit amenities such as bus stops and key acti ityth enters. Some of t Commuterhese funds Project I The used for improvements in downtown Tigard inconjunction sidewalks at key locations in the City to provide a safe path funding could also be used to extend existing to school for children. rea will be Goal 3C Anew representative to the Oregon Transportation Commission from requested tom et with Counc Ilataa workshop appointed this summer. This new representative will q meeting in the fall to discuss Tigard's transportation project needs. First Quarter Update (Update from Engineering Department) Goal The Transportation n for street improvement projects. Because parti pat on from the to and Jack rce Comm to evaluate potential sources of revenue ue ard business community has been lacking on ts Task Force, the beenh requested to providelgrepresen atives to serveeon the Task Reardon of Washington Square have request Economic Force. Jack Reardon indicated that he was business community. ty booked, but The Chamberdhas not yeti esponded The Task Alliance to provide someone from the bus Force membership should be finalized in early May. resented for Goal 3A2a A list of high priority projects regardless onuF'E lruary w117, as2 0 IThes l st included h gh priority Council review and discussion at the workshop meeting intersection projects along Highway 99W to move east-west traffic more effectively. o carry out the Goal 36 The Engineering Department continued wasl ne udwith ed nnthetCap tal ImprovementsiProgramons of Memorandum of Understanding. An amount of $75,000 for FY 2004-05 to allow for joint projects to be undertaken by the City and TriMet to provide pedestrian key The centers for fundin connections between transit amenities such at kebloc tionsantlhe C'i yttolprovide a safe path to s schoolcou also be used to extend existing sidewalks a y children. Goal 3C Matt Garrett, the Region 1 Manager from Oregon Department of Transportation (ODOT), met . establishing dialogue with City. Council: at its workshop. meeting onlemMarch 16, entat 2of 004. This is the first ODOT had been pro ided high priority step in with ODOT that could eventually: lead to imp earlier with the list of high priority projects, most of which involved Highway 99W intersections with City treets. Mr. Garrett emphasized that strong support from the business community is important when it s comes time to select projects for implementation. his message was passed on to the Tigard Chamber of Commerce by both Council and the City Manager. (Update from Community Development Department) Goal 3B A joint City-TriMet roundtable meeting lude Community Partners for Affordable Housing,t he is coverage meeting will set for April 7th. The participating agencies me orga Good Neighbor Shelter, the Senior Center and eight otht r Tigo d ans t ac ess andions. The focus on how the respective agencies clients use transi and improvement needs. Similar o treach me eti c with the Downtown Task Force and Planning Commission are set for May and une, GOAL 4 - PARKS AND RECREATION Committee to: A. Meet with the Park and Recreation Advisory 1. Discuss the vision of the Task Force and the Council related to the City need for parks and recreation. 2. Discuss possible acquisition needs and financing for the City of Tigard as well as unincorporated Bull Mountain. B. ct and neighboring 3. Discuss options and interest with the Tigard Tualatin School Distri in discu Continue to participate the school district's funding needs. cities to consider C. Meet with he Skate the efforts of the Youth Forum. a plan of action. D. Continue to support DRAFT Third Quarter Update (~Ipdte from Public Works ®epartment) munity parksand recreation assessment survey was conducted m August, Goa14AQ Acom S u Re ort was'presented to.Council and the Park and Recreation: and;the Executive mmary p: d .(PRAB) onSeptember21, 2004Three~hundred and eight tRe -66 o~3tb bed pae were I e, S6, Advisory,, Boar suNeyed. The Council directed the PRAB to fo'C f h Counc I ton what coons should'.'be considered ,p'rocesshich will.lead to a recorrimendation 1_Y . arks and recreation`services toifather additional put Bimput and gage public o behalf ofp sin i igupp' hold several community meeting g d velop and ort of fhe final' recommendatior) en Space Task `Force created a BuII, Mountain Loaf 4A2 ; The Bull Mountain Park and Op ark deye`lopment projacts for -the Bull Park's Concept Plan w hic h sets forth land acquisition and p ountam%area: If was presenfed.fo Counon June n2u date of the Par System Mater th Plant et results of the annexation favor annexation then a' p osed updat6&SD - Methodology will be initiated and the results will be'encompo a~ d Nov/De'c 2004, and effective January scheduled forCouncil consideration, and app, 2005 r..r: ~r ased 53% the creation o,a 'Goal 4A3, ' The'surveyrevealed that the residenfsn sere ces~lThe survey also ,concluded that ~separate.taxing;distiict fo provide parK'and recreafio well'overaialf (57%) favored the creation of a Recreation Division operated byahe City.: rGoal 4B There is nothing to report on this at this time. Goat 4C The Task Force continues meetintg the`Skate Park Task Force. Skating The Balloon Festival donated~approximately_ $1,600 o as. A port demonstrations are tentafively,scheduled f mine what h efrmthe pacTigard BI t'6n parking would'byif ahe. city parking lot has tieenroped off to help deter 151000 square" foot skate park was built City f I• staff hasmet weth skate parkgmemb Ds and aer :wP en the City Hall remode ing'is completed. Y skate park building contractor to discuss the current dell g~i11 d for fhe ilCouncil wo kshopon ign if A eneral skate park update is presently necessary. g December 21,:2004. Third Quarter Update; (Update from City Administration) ; ' 4D ` The youth Forum made progress during fh oprams and activi'besa'iThe bylaws of Gpai ort p g ,organization of a community, coalition to supp -youth Y nt'to 'reprise tha the 501(c)3 organization are being reviewed wt tep to support you h t inactive organization to serve the coordination role for the community's DRAFT Second Quarter Update (Update from Public Works Department) Goal '4A1 A community parks and recreation assessment survey has been recommended to Council for consideration on July 20. If Council approves the survey interviews will begin in either late July or August. The executive summary, setting forth the findings has been scheduled for September 21. Goal 4A2 The Bull Mountain Park and Open Space Task Force created a Bull Mountain Parks Concept Plan which sets forth land acquisition and park development projects for the Bull Mountain area. It was presented to Council on June 22. Council accepted the "white paper". Goal 4A3 This question will be addressed in the upcoming community parks and recreation assessment survey and reported in a future goal report. Goal 4B There is nothing to report on this at this time. Goal 4C The Task Force continues meeting on, and pursuing their fundraising efforts. The Task Force had a booth at the Balloon Festival. They also conducted skateboarding demonstrations at the Festival. The wood floor they skated on was donated by Dave Nicoli. Dave intends to make a sizeable donation to the skate park if festival revenues permit it. Goal 4D (Update from Administration) During the second quarter, the Youth Forum members focused on supporting building a Community Coalition of Youth Service Providers in the community to formalize a partnership that will qualify for grant funds to support youth programs and activities. First Quarter Update (Update from Public Works Department) Goal 4A1` The first joint meeting between the City Council and the Park and Recreation Advisory Board was held on March 9, 2004. On April 22, 2003, the Tigard City Council re-established the Tigard Park and Recreation Advisory Board. Within three months, seven Tigard residents were appointed by the Council to serve on the Board. They are Shelley Richards, Jason Ashley, David Baumgarten, Scott Bernhard, Michael Freudenthal, Darrin Marks and Carl Switzer. Two Ex-Officio members have been appointed, Barry Albertson, to represent the Tigard-Tualatin School District, and Eileen Webb, to represent the Tigard Planning Commission. Since being formed, the Advisory Board has toured many of Tigard's parks and facilities. They have heard presentations about the City's' park budget, Parks Capital Improvement Plan, and the general City of Tigard visioning process as it applies to Parks and Recreation. Additionally, they have reviewed Master Plans for Cook Park, Bonita Park, Summerlake Park, Skate Park, and Fanno Creek Park. They have also been briefed on the efforts of Rich Carlson's effort, along with many others, toward creating a Tigard Skate Park for our city's youth. The Board has adopted goals and a mission statement which reads "The Purpose of the Park and Recreation Advisory Board into advocate for park and recreation opportunities fora growing Tigard." They have also created an e-mail address, parkrecboard(a ci.tiaard.or.us, and the Board now has a webpage on the City's website. Issues discussed at the first joint meeting were: a) what has the Board learned, b) Board goals, c) Board interest in conducting a community assessment survey aimed at community interest in parks and recreation programs - this project is well on its way, Council was updated on 4/12), d) Council Goal `#4, e) vision of the Board and Council related to the city's need for recreation (COT Recreation Div/Dep't)-survey related, f) possible park land acquisition needs and financing for the City of Tigard as well as unincorporated Bull Mountain - significant work has been done on this with the Bull Mountain Parks and Open Space Task Force-a "White Paper" will be submitted soon, AF T g) skate park-survey related, and h) options and interest in creating a park and recreation district-survey related. untain Goal 4A2 The Bull Mountain Park and Open nd Space development projects fortl he Bull Moounta in aaeaS Concept Plan which sets for land acquisition a park between Although the plan has not been finalized, it has identfied "White Paper". The projects nttPaarlks Sy stem Mas er _ P anOwill be This plan will be an integral part of the roved b the Task Force, Park and updated once the Bull Mountain Parks Concept Plan is app by Recreation Advisory Board and the City Council. Basically, the Bull Mountain plan will become a part of the City's Parks System Master Plan. Goal 4A3 This question will be addressed in the upcoming community parks and recreation assessment survey. Goal 46 There is nothing to report on this at this time. Goal 4C On February 10, the TCouncil met with the Skate Park Task Force in a joint meeting. The ask Force, along with city staff and elected officials, meeting again on results of that meeting led to the sing Iacti itiesstructure. public and, atelg ants rin-kind fund February 25 at a general meeting aimed at and adultlfund rain were identified, such as: various youth a formed donations of materials and labor, at raising to Force raise the needed mo ey. These committees are now raising committees to begin fund r g efforts meeting, some more than others, to organize the fund raising campaign. The committees are: Communication Committee Youth Fund Raising Activities Committee Adult Fund Raising Activities Committee "Grants" Fund Raising Committee Goal 4D During the first quarter, the Youth Forum focused after school on supporting tithe at Police Fow ertany Twality League's (PAL) efforts to build a Tigard chapter and provide extend Middle Schools. GOAL 5 - GROWTH MANAGEMENT A. Continue Bull Mountain annexation information preparation leading to a July 2004 Council action on the Annexation Plan. B. Form subcommittees and review their completed White Papers. C. Designate a subcommittee which will review the Planed Development section of the Community Development Code, led by the Planning Commission. D. Develop a framework/timetable fora Comprehensive Plan update. plane the plan and zoning for the E. Negotiate with Washington County staff to determine funding will prepar UGB Areas 63 and 64, and identify the source g for the . Third Quarter Update: #A. City Council conducted public hearings on the Bull Mountain Ann ee ttio Plan annexatio in July and . - August. Council accePted the Annexation Plan as,an a oryguide n In August, Council moved is place the City issue anId territory under con ideratio orla~exation. A separately before the voters of majority of voters in both the City and the unincorporated territory Will need to support the. ,measure in order for annexation to occur. Streets; Planning, and #B. Bull Mountain. subcommittees deb the e~ findings, Papers clusf io na and recommendations to Police. The subcommittees present Council in June: Council accepted the White Papers. The White Papers will be used in ;determining the;delivery, of services for Bull Mountain.should annexation occur. URAFT ou , cfl d p 'rated a Plarned3Develu merit Coi~►mlttee' foyevafuafe pfanried clue elop~lnerYf, H of p: pc s ofthe'Commurtrty-DPvelepmPnt Code, Tfte committee continues to'meet;anc,,ls py - idgve(opfrtg a series ofracommendations to improye Tigard' planned deveiopmenr process. ( tThe Planning:Comrnission confihues to meet on°developipg-an approach' to updating the tCoreiignsive Plan. -Their recommendations will be presented to Council before uie end of eear F4',.-'As directed by Councii star; is awaitingthe outcome of the Bull,Mountain Annexation, vote f ~ ib4'le•procezding further wiih'this effort. Y w. „u Second Quarter Update Goal B: Bull Mountain subcommittees were appointed and developed White Papers for Parks, Streets, Planning, and Police. Goal C: Planned Development committee members have been interviewed by Council and appointed. Their first meeting was April 14, 2004. The committee is continuing to work on PD programs. Goal D: The Planning Commission continues to work on a Comprehensive Plan update program. The objective is to finalize the Planning Commission recommendations by September for Council review and action in the fall. Goal E: Staff is collecting preliminary information related to the scope of concept plans for the UGB expansion areas. First Quarter Update Goal 56 Bull Mountain subcommittees were appointed and are meeting to develop _a program/scope for four areas of analysis: Parks, Streets, Planning, and Police. Goal 5C Planned Development committee members have been interviewed by Council and appointed. Their first meeting is scheduled for April 14'n Goal 5D The Planning Commission continues to work on a Comprehensive Plan update program. The objective is to finalize the Planning Commission recommendations by June for Council review and action in summer. Goal 5E Staff is collecting preliminary information related to the scope of concept plans for the UGB expansion areas. GOAL fi - COMMUNICATION A. Increase Tigard's communication with other local officials and elected bodies through active participation of City Council members and staff. B. Improve and expand communication with citizens, particularly communicating successes and future concerns._ C. Support the Tigard Beyond Tomorrow goal to maximize citizen involvement opportunities through educational programs by implementing a citizen leadership series. D. Investigate the possibility of supporting the mission of the Tigard Youth Advisory Council "to empower, improve and connect the lives of Tigard's youth" by adding a youth representative to all City boards and committees. E. Investigate the possibility of supporting the Tigard Beyond Tomorrow strategy to "encourage public participation through accessibility and education with an annual citizens' fair for community events and businesses." Third Quarter Update: Goa16AY During the third quarter, City Council and/or staff continued to participate with regional ;partn'ers at the CDBG Advisory Board; WC,-LS,, CLAB, the 'IWB, M' PAC, the' Regional VVafer,Consortium, the Senior Center Board, the Tigard Chamber of Commerce, the"Tualatin. Basin Natural Resource Coordinating Committee and the-,Westside Economic Alliance. The Council also met with members of the Park and_Recreation,Adyisory Board,.,the.Pie q DRAFT SfruciIVn;clifl, vNw n„y , ~l 6B. F;o`cds on•Tigarcl Ov f iewla~st 3 months 4F r 'Cnee 1 9' ess~ Ideas' or efa R~" ` `p _ ray fh t CCU were diseds' 6c , ~,m Gba'u6C N.o`'progrzss was madetnathis area dung#hth(rd quarter: ; a f~M, J0 I "1 t;_ al GD >'outh ,4dvisoryGod'ncil;', epresentafives"a etr~ow serving on the Downtown',Taslc rAA l,F 6 and the park and Recreation~Board M fGoa! 6E ~ ~ ryCih, staff participated`) he Tiaard 8las T g p p Works depaCfine t and~tli~ . ~ , ~ h t? f dvrsoCo~rncrl and SlfatqParkaskce a ciatetlnYthe parade, _theIPb(ic ors '°od x r epen' showcased some e ur ment and the'Eng►nennaDepartmEnf had;asa `of q P P Yr~, N1, i Capifal~provement Projects. _ Second Quarter Update Goal 6A During the second quarter, City Council and/or staff met with regional partners at CDBD Advisory Board, WCCLS, CLAB, the IWB, MPAC, the Regional Water Consortium, the Senior Center Board, the Tigard Chamber of Commerce Board, WCCCA, WCCC, the Tualatin Basin Natural Resource Coordinating Committee and the Westside Economic Alliance. The Council met with the Tualatin City Council and the Tigard-Tualatin School District on April 5. In addition, representatives of the Regional Economic Development Partners made a presentation to City Council on April 20. Metro Executive, David Bragdon, met with the Council on May 18. Goal 6B Improvement and expansion to communications efforts included the following: Focus on Tigard- Over the last 3 months, Focus topics included the Downtown Plan, Budget 101 and Bull Mountain Annexation Plan Website - During the last quarter, staff posted a Downtown Survey and the Tigard Beyond Tomorrow Vision Survey. Staff is able to generate customized reports from the survey data that is posted on-line and into the system from paper surveys that have been submitted ® Committee for Citizen Involvement (CCI) - In May, staff recommended the CCI, made up of City of Tigard facilitators to begin regular discussions about ongoing citizen involvement efforts and ways to expand communications with citizens. Goal 6C Staff has collected course outlines and materials for leadership series conducted in Beaverton and Lake Oswego. The next step is to finalize the schedule and topics for Tigard's citizen leadership series. Goal 61) The Planning Commission, Downtown Task Force and Park Board have requested youth representatives. Goal 6E Staff is working with the Tigard Blast Committee to combine the Citizens Fair with the Blast scheduled for Saturday, September 18. Coordinator meetings are scheduled for the week of July 12. First Quarter Update Goal 6A During the first quarter of 2004, City Council members and/or staff met with Community Development Block Grant Advisory Board, Washington County Cooperative Library Services, Cooperative Library Advisory Board, Intergovernmental Water Board, Metro Policy Advisory Committee, KAI- I ' Regional Water Consortium, Senior Center Board, Tigard Chamber of Commerce Board, Washington County Consolidated Communications Commission, Washington County Coordinating Committee, Tigard Festival of Balloons Planning Committee, Tualatin Basin Natural Resource Coordinating Committee, and the Westside Economic Alliance. Goal 6B Improvement and expansion to communication efforts included the following: Focus on Ti and Focus on Tigard continues to be a valuable tool to inform citizens about upcoming events, programs and projects, and educate citizens about current programs. Over the last six months, Focus topics have included the Capital Improvement Program, Bull Mountain annexation, water, the street maintenance fee, community events, and the volunteer program. Beginning with the April program, the format was changed so the focus topic is presented first with announcements closing the program. Communication Plan - As part of the budget process, staff included a brief listing of their proposed communication plan for each major program or project. Including this information in the budget shows the Budget Committee, Council, and citizens how information will be disseminated on all major city programs and projects and serves as a reminder for staff on the variety of communication tools available. There continues to be an emphasis on developing communication plans when projects and programs are initiated to ensure a proactive approach to communication and information sharing. Web Site - Staff continues to add new features to the web page. Park reservations are now available online through the city's web page. In the last six months, visits to the city's web site have increased from 34,859 to 39,888 per month. Cable Television-The Network Services Division has implemented an in-house civic studio training program. City staff members are currently being trained by Chris Myers, the city's Network Services Technician who is also trained as a Producer/Director/Camera Operator. One staff person has completed the training. The goal of the training program is to expand the city's cable program production capacity and maximize the use of the civic studio. Goal 6C A preliminary schedule has been developed for a citizen leadership series to start in October. Topics will include government finance, land use, transportation, and citizen involvement. Staff and guest speakers will present the material to the participants. It is expected that the program will be limited to 25 participants. Goal 6D The City Council has appointed Lindsey Boyce, President of the Tigard Youth Advisory Council, as an ex officio member of the Council. Lindsey reviews the Council meeting material, asks questions and enters the, discussion, but does not vote. Goal 6E A tentative date, Saturday, September 25, has been set for the Citizens' Fair. Planning for the event will begin this spring. i1admtcity counc1Ngoals0004tcounal goals -quarter 31goal update • quarter3 goal report.doc9=04 0 Strategic Financial Plan Report April 8, 2003 City of Tigard ■ Table of C®ntents Introduction 1 Background 1 Methodology 2 Next Steps in Plan . 3 Council Priorities Summaries Major Issues . 5 Other Issues . 6 Other Jurisdictions' Issues . 7 Major Issues Tigard Local' Option Property Tax Levy..................................... 11 Bull Mountain Annexation......... 13 New Revenue Source(s) 15 Long Term Water Supply and Water Rates... 17 Recreation' District Creation, or Annexation to THPRD........... 19 Transportation Bond 21 Parks and Open Spaces Acquisition Bond 23 Other Issues Parks Reservations Fee 27 Room' Reservations Fees..... 29 Traffic Citation Assessment Fee 31 Non-Resident Police/Fire Service Fee 32 Franchise Fees 33 Land Use Fees 35 Urban Renewal...... 36 Water Revenue Bond 38 Street Maintenance Fee 40 Mechanical Building Fees......................................................... 42 Urban Services 43 City Buildings - Maintenance, Repair, Expansion..................... ` 44 Library ,Fees............ 46 Skate Park Construction 48 Other Jurisdictions' Issues WCCLS Local Option Levy 51 Introduction At its 2003 Goal Setting Session, the Tigard City Council identified development of a Strategic Finance Plan as its number one goal for 2003. The Council met in a workshop session on February 18, 2003 to consider information presented by staff on upcoming fiscal challenges and opportunities. Based on that information, the Council identified key priorities to be addressed over the next several years. The following report presents the Council's priorities along with summary-level background information on each of the issues considered by Council Background Over the past several years, Tigard has enjoyed a sound financial condition. Primary operating fund balances have remained strong. Tigard has worked hard to limit growth of expenditures and to manage existing revenue sources. Nevertheless, the long term outlook for City finances revealed declining fund balances as revenues fail to match the growth in expenditures. The growth in the City's primary General Fund revenue source, property taxes, was limited by Constitutional amendment to no more than 3% per year plus a proportional share of the value of new construction. Other key revenue sources (such as franchise fees and business taxes) are dependent upon the economy and have been affected by the recent` recession. On the expenditure side, Cost of Living increases, the cost of health insurance benefits, and increased retirement system costs for a portion of the City workforce have increased labor costs more than 5% per year. And, like the private sector, the City has seen its costs for oil and gas, utilities, and key services increase faster than the overall rate of inflation. In addition, citizens expect increasing levels of service at high quality. The City's most recent five year financial forecast revealed more sharply declining fund balances with a"General Fund deficit occurring possibly as early as FY 2003-04. This forecast clearly reflected recent economic conditions and price increases. Based on this information, City administration directed all departments to remove all new initiatives (except for the opening of the new library) from the five-year forecast. Staff also implemented a hiring slow-down and efforts to cut discretionary spending in the current fiscal year (FY 2002-03).; The five-year financial forecast was then re-run based on the new information. The revised forecast projects a General Fund deficit in FY 2004-05. Under the Oregon constitution, governments are prohibited from experiencing deficits. Because of this outlook, Council directed the development of a long term financial strategy. i I Methodology In dealing with any sort of financial issue, there are two basic approaches: Raise revenues and cut expenditures. The FY 2003-04 budget process has been developed to elicit information about how city expenditures might be reduced. This information will be presented to the City Budget Committee as part of the FY 2003-04 Proposed Budget, so it was not specifically addressed by Council as part of its discussions on the Strategic Finance Plan. The Council identified priorities for the City, and gave staff preliminary direction to start developing and researching some new or increased revenue options, but for the most part, will not take any final action on those options until the Budget Committee has had the opportunity to review expenditure plans. In reviewing information presented by staff, Council first developed a list of criteria and factors it used in evaluating issues. These criteria and factors are: ■ Existing services ® User Fees (voluntary) Broad-based Existing source (increase rather than new) ■ Cost of collection ■ Non-resident contributions The Council then reviewed the list of twenty issues presented by staff. They deleted one issue (Skate Board Park) and added one issue (Library Revenues). Council then organized the 20 remaining issues into two categories: Major and Other. Major issues are large issues affecting a broad range of citizens and businesses, or which require a citywide vote for implementation. Other issues are generally narrower in scope, or which may be implemented without a citywide vote. (One issue, Urban Renewal, will require a citywide vote under the Tigard City Charter, but its application affects only a to-be-defined district within the City.) Following the identification of the two categories, Council identified three top priorities within each category: Major Other Local Option Property Tax Fee Increases Bull Mountain Annexation Urban Renewal New Revenue Sources Water Revenue Bond 2 The following sections contain summary level information on each of the issues considered by Council. Next Steps in the Plea The Strategic Finance Plan is intended to provide a road map for the City over the next two to three years as it addresses financial issues. Not everything identified within the Plan will be implemented. Some things not included within the Plan will be done. The Plan does, however, provide an overall framework to use in approaching financial 'issues,' Staff has already begun to conduct additional research and to develop issues identified as priorities for the Council. This information will be brought to Council within the timeframes identified for each individual issue in the following sections of this report. In the meantime, staff is in the process of developing the City Manager's Proposed FY 2003-04 Budget. As part of this process, staff is looking at options to reduce City spending. The Proposed Budget will be presented to the City Budget Committee on April 28, 2003. With all of this information in hand, the Council and the Budget Committee will determine the appropriate mix of expenditure reductions and revenue increases to address the City's financial challenges. e 3 Long Term Financial Issues Council Priorities Major Issues (Citywide vote required and broad impact; big issue) Method of Potential Fund(s) Approval/ Priority Timing Issue Impacted Amount Implementation 1 2004 Tigard Local Option General TBD Citywide vote Property Tax Levy (Revenue) 2 2004 Bull Mountain General plus Differing Council Annexation others impacts on resolution, (Revenue & various Citywide vote, or Expenditure) funds and Bull Mountain operations vote 3 2004 New Revenue General TBD Council Source(s) (Revenue) Ordinance & Resolution Other TBD Long Term Water - Water $80 to $90 Council Supply (Expenditure) million Resolution Other TBD Urban Services General plus TBD TBD others (Revenue & Expenditure) Other ? Recreation District General TBD Citywide (or Creation, or (Expenditure) larger) vote, or Annexation to Council initiation Tualatin Hills Parks of annexation and Recreation District Low 2006 Transportation Gas Tax, TIF $25 million Citywide vote General Obligation (Revenue & Bond Expenditure) Low ? Parks and Open Parks CIP, TBD Citywide vote Spaces Acquisition & General Construction General (Revenue & Obligation Bond Expenditure) 5 Long Term Financial Issues Council Priorities Other Issues (More limited impact, or implemented by Council action) Priority Potential Fund(s) Method of Timing Issue Impacted Amount Approval/ Implementation 1 2003 Parks Reservations General To Be Council Fee Increase (Revenue) Determined Resolution (TBD) 1 2003 Room Reservations General TBD Council Fee (Revenue) Resolution 1 2003 Traffic Citation General $10/citation Council Assessment Fee (Revenue) $67,000 per Resolution year 1 2003 Non-Resident General TBD Council Police/Fire Service (Revenue) Resolution Fee 1 ' 2003 Franchise Fee General $720,000 to Council Increases (Revenue) $989,000 Resolution per ear 1 2003 Land Use Fee General TBD Council Increase (Revenue) Resolution 2 2005 Urban Renewal Several TBD Citywide vote (Revenue) 3 Summer Water Revenue Water $8.84 to Council 2003 Bond (Revenue) $20.84 Resolution million Other 2003 Street Maintenance Gas Tax $1.6 million Council Fee - (Revenue) per year Ordinance & Resolution Other 2003 Mechanical Building Building TBD Council Fees (Revenue) Resolution Other TBD City Buildings - General $990,000 City Budget Maintenance, (Expenditure) Repair, and Expansion Other TBD Library Revenues General TBD Council (Revenue) Ordinance & Resolution, WCCLS Contract Long Term Financial Issues Other Jurisdictions Potential Method of Timing Issue Amount Approval Implementation May 2004 WCCLS Operating Levy $50 million over 5 Countywide vote years 26¢ per $1,000 2003 PERS Increases Employer rates state projected to triple (or more) January Failure of Measure 28 TBD State 2003 2003 Tri-Met Payroll Tax Unknown Tri-Met L Strategic Major Issues _ 9 Tigard Local Option Property Tax Levy Issue Summary Definition: A Local Option Property Tax Levy is allowed under the Oregon Constitution (Measure 50) to increase the local property tax rate to pay for needed services. It cannot exceed a period longer than 5 years, after which, it must be re-approved by voters. It can be used for any purpose (i.e. General Fund support) or it can be dedicated to specific services (i.e. Library, Parks, Police, etc.) Revenue Required/Revenue Potential: It is not yet known how much the City would require from a Local Option Property Tax Levy. That is dependent upon what combination (if any) of additional revenues or cuts in expenditures the Council wishes to pursue. A tax rate of 27¢1$1,000 of assessed valuation will raise $1,000,000 per year. Work Completed to date: No work on a Local Option Property Tax Levy has been done to date. Departments have preliminarily forecasted funding needs, but those forecasts have not yet been reviewed by the Budget Committee. Implementation Action Required: A Local Option Property Tax Levy must be approved by Council and placed on the ballot for approval by Tigard voters. It may only be voted on at one of the following elections 1. May, subject to double-majority requirement 2. November of an odd-numbered year, subject to double majority requirement 3. November of even numbered year, subject to simple majority. Timing: If a Local Option Levy is approved by voters in May 2004, the first revenues would be received by the City in November 2004. If the Levy is approved by voters in November 2004, the first revenues would be received by the City on November 2005. Advantages: ® Broad based revenue source Easily understandable (traditional funding source, familiar to voters) Stable If approved as a rate per $1,000, it will grow with growth in assessed values Well-established collection mechanism in place Disadvantages: Short term solution - it expires after 5 years, and then must be renewed by voters Oregon voters have been limiting property taxes for the last 10 years. Tigard voters may not choose to increase their property taxes. ® Competition on the ballot from other jurisdictions` requesting voters to approve funding measures 11 Competition and confusion with WCCLS measure likely to be on the ballot in 2004 Recommendation: Continue to research and explore options with the goal of placing this issue before voters in May or November 2004. Council Priority/Discussion: Major Issue -1 It will be important to coordinate this levy with other measures on the ballot, particularly the potential WCCLS Local Option Levy. Bull Mountain Annexation Issue Summary Definition: Annexation of approximately 1,400 acres and 7,300 residents in the Bull Mountain area to the southwest of Tigard. Revenue Required/Revenue Potential: As of November 2001, General Fund Operating costs to serve the Bull Mountain area were estimated at $2.2 million per year. General Fund operating revenues were estimated at $3.8 million per year, so the area would more than pay for operating costs. Several capital funds, however, were projected to experience significant deficits in providing needed capital improvements to the area: Gas Tax -`($345,000), Traffic Impact Fee - ($7.6 million), and Parks CIP $18.3 million). Staff is currently reviewing this previous analysis to refine and update this information. Work Completed to date: This annexation has received extensive review by staff and public discussion. Staff prepared a preliminary annexation report which identified potential operating and "capital costs and revenues. Staff is currently updating that study. Council has discussed this annexation on several occasions. In addition, the City has conducted two open houses in the Bull Mountain area to solicit residents' issues and concerns. Implementation Action Required: State law allows several methods for accomplishing an annexation: 1. Double Majority - petition from and majority of residents with a majority of the land value of the area. Annexation would be approved by the City Council. 2. Vote of the subject area - a vote of all residents in the affected area, with a majority deciding the question. 3.Vote of the subject area and the City, with a majority deciding the question. Timing: The timing of further discussion of this issue is not yet determined. Timing of the annexation itself is critical. If the annexation becomes effective after March, the City will be responsible for providing services for up to a year and a half before residents start paying for those services. Advantages: Improved services to residents of the Bull Mountain area, including police patrol, road maintenance, and other city services. Revenues are projected to more than cover the cost of those services. Residents' obtain a voice in the governing and direction of the City of Tigard. Residents of the Bull Mountain area would start paying for those services that they currently use, including parks, library, and arterial roads outside of the area. 13 Disadvantages: e The City of Tigard would assume responsibility for major capital needs of the area, primarily parks and roads. Revenues will not cover the costs of these facilities. • Strong resident opposition could create hard feelings which could jeopardize other City initiatives: Recommendation: o Continue working with residents and Washington County to analyze the benefits and costs of annexation. • _ Update the annexation study to refine cost, revenue and service needs analyses. Work to educate Bull Mountain and City residents of the issues surrounding annexation of this area. Council Priority/Discussion: Major Issue - 2 14 New Revenue Source(s) Issue Summary Definition: There are many potential sources of revenue used to varying degrees by other jurisdictions within Oregon and nationally. It may be to the City's advantage to consider one or more of these sources to supplement other General Fund revenues. A partial list of potential sources includes such items as: ■ Construction Excise Tax ■ Local Gas Tax ■ Local Hotel/Motel Tax ■ Local Sales Tax ■ Off-Street Parking Tax ■ Payroll Tax Renter Service Fee ■ Utility Account Tax Revenue Required/Revenue Potential: Revenue potential of various options has not been determined. Potential candidates (if any) need to be identified before revenue potentials can be researched. Work Completed to date: None Implementation Action Required: Most of these types of revenue sources could be implemented by Council action. They would all be subject to referral, and some are more likely to generate interest in referral than others. Timing: Generally speaking, development of anew revenue source is quite time consuming. In addition to the time required to research identified options and to structure a proposal, it is also generally advisable to develop an extensive public involvement process, which can also be time consuming. Most likely the earliest a new revenue proposal could be brought to Council would be in late 2004. Advantages: Advantages of new revenue source will vary by the specific source developed. In general, however, new revenue sources will help to diversify the City's revenue base. This will help to insulate the City from fluctuations in the economyan- d will spread the burden of paying for City services. If constructed properly, new revenues can also increase equity within the City's revenue structure. Disadvantages: New revenue sources are rarely popular. Specific sources may generate high levels of opposition form specific interest groups. This opposition could affect other City initiatives 15 If the source chosen is entirely new, there may not be a readily available collection mechanism. If it is necessary to set up a revenue collection mechanism, administration of the new revenue source could be expensive. Recommendation: Direct staff to identify a preliminary list of potential revenue sources and to research issues related to those sources. Schedule a Council (or Budget Committee) workshop to present the results of that preliminary research. Make a determination following this workshop session whether or not to proceed with any new revenue sources. Council Priority/Discussion Major Issue - 3 Explore options and potential for a local Beer and Wine Tax. Long Term Water Supply and Water Rates Issue Summary Definition: Tigard's vision document and Council goals both identify securing a long term water supply as an essential objective of the City. Revenue Required/Revenue Potential: Tigard is currently participating in two efforts to secure its long term water supply: the regionalization of the Bull Run system with a collection of approximately 12 agencies, and joining the Joint Water Commission (JWC) and expanding the Scoggins Dam / Henry Hagg Lake complex. The Bull Run regionalization proposal has developed a range of ownership models and scenarios that all hinge on the City of Portland regionalizing its water supply system and establishing a sale price. This option will cost the City of Tigard between $67 and $88 million dollars over the next 20 years. The JWC proposal hinges on the ability to secure permits and approvals to modify Scoggins Dam. The JWC proposal would cost the City of Tigard between $91 and $93 million dollars over the next 40 years. In summary, Tigard could be faced with making financial commitments with costs that best current estimates average approximately $80 to $90 million dollars over the next 20 to 40 year period. Both of these projects are consistent with and addressed specifically in the City's visioning documents. To help put these numbers in perspective, a $5 dollar per month increase in each monthly water bill in the Tigard Water Service area would raise approximately $1 million dollars annually. Work Completed to date: The City has completed two phases of study on the Bull Run regional process and is awaiting the City of Portland's determination of its interest and a sale price. The JWC' project is proceeding through feasibility and environmental impact, and it will be approximately two years until staff can confidently say the project will move ahead. Implementation Action Required: The Intergovernmental Water Board will initially produce a recommendation to the City Council. Following that, the City Council will need to indicate its approval. The cost of the preferred option will be paid for by issuance of Water Revenue bonds, repaid over a 20 to 30 year period. Council would approve issuance of the Water Revenue Bonds by ordinance. Timing: Staff is currently beginning the negotiation process with the JWC staff to allow for a limited partnership arrangement for Tigard, hopefully as early as FY 2003/04. This "first 17 increment" of investment could cost up to $12 million dollars. Decisions by Portland on sale price and continuing the regionalization decision are currently on hold, and Portland's schedule is unknown. The next major decision for the Scoggins Dam project is approximately two years away. Advantages: The advantages of securing a permanent supply source are many: control, financial stability, adequate future supply, and quality control top the list. Disadvantages: Cost. Because the Tigard Water Service Area is so late in securing its source the costs are high, and Tigard will not have the benefit of time to spread costs over a long period. Recommendation: Staff will continue to update Council on options and costs, with a future recommendation to authorize issuance of one or more water revenue bond to purchase some portion of future supply as options finalize. Council Priority/Discussion: Major Issue - Other 18 Recreation District Creation, or Annexation to Tualatin Hills Parks and Recreation District Issue Summary Definition: Creation of a new Recreation District to service the Tigard/Tualatin area, or requesting annexation of this area to the Tualatin Hills Parks and Recreation District (THPRD). Such an action would be designed to improve parks and recreation services to area residents and to provide services not currently available. This issue, if implemented could help to address the Skate park Construction issue and the Parks and Open Spaces Bond issue, listed separately in this report. Revenue Required/Revenue Potential: To be determined Work Completed to date: Two years ago, a proposal was placed before area voters to create and fund the Atfalati Recreation District. The proposal was rejected by voters. No further action has been taken. Area residents have begun discussing this option again. Implementation Action Required: For creation of a new district, cities in the proposed area would have to pass resolutions of support, followed by action by the Washington County Commission to place the proposal on the ballot. An approving vote by residents of the proposed district would be required. For annexation to THPRD, it is not yet known what initiating action would be required. Presumably either cities within the area tote annexed and citizens could petition the THPRD Board for annexation. Timing: Unknown. Discussions in the community are at a very preliminary stage. Advantages: Creation of a new special district would provide additional parks and recreation opportunities to area residents if the measure also creates a sufficient funding base (presumably through a new permanent property tax rate for the new district.) Annexation to THPRD would accomplish the same end, by extending THPRD's existing tax rate to the newly annexed area. THPRD's permanent operating tax rate is $1.3073 per $1,000 of assessed valuation. Disadvantages: ■ Either option will increase property taxes to area residents Creation of a new district will multiply the number of overlapping jurisdictions, which could cause some confusion among residents and coordination issues between jurisdictions. Annexation to THPRD could also cause some confusion among residents and coordination issues between jurisdictions. 19 Recommendation: Take no action at this time. Monitor developments to see how this issue develops. Council priority/Discussion: Major Issue - Other The city will likely not be the major player on this issue. It appears to b If t ising t movehrou togh the School District discussions concerning closure of the hoof pools. create a new special district gels, however, the City will have to pass a resolution stating its position. If the City passes a resolution of support, this issue may impact the City's ability to achieve other priorities. I 20 Transportation Bond Issue Summary Definition: A Transportation Bond is a funding mechanism whereby a local jurisdiction can sell bonds to perform transportation-related improvements. It requires a Citywide vote and the repayment of the bonds over a typical 10 or 20 year period would come from an increase in the local property tax rate. Revenue Required/Revenue Potential: Approximately $25 million is the revenue needed to address some of the key transportation-related improvements needed to improve local circulation in the City. The increase in the tax rate needed to support this amount would be dependent on the interest rate, on the City's assessed value, and on the length of the bond issue period. A bond issue for $25 million at an assumed interest rate of 4.75% over a 10 year period would be 90¢ per $1,000 of assessed value. At a 20-year period with an interest rate of 4.50%, the rate would be 55¢ per $1,000 of assessed value. Hence, the expected range in election year 2006 would be between 50¢ and $1.00 per $1,000 of assessed value for a bond issue in the amount of $25 million: Work Completed to date: A Council-appointed Transportation Bond Task Force. selected a list of transportation, safety, sidewalk, andpedestrian/bikepath projects to meet the City's goals of improving traffic safety, improving traffic flow, and enhancing pedestrian and bike transportation. Council approved the proposed list of projects and submitted a Proposed Transportation Bond in the amount of $16 million as Ballot Measure 34-20 in the November 7, 2000 general election. The proposed bond issue did not pass. The need to address the major transportation improvement needs of the City has grown even more urgent since then. In January 2002, Council adopted the Tigard Transportation System Plan. This plan provides an extensive list of projects necessary to accommodate current and future traffic. It provides the basis for project selection for a future transportation bond issue. Implementation Action Required: A Citywide vote of approval is needed for a bond issue. This requires simple majority in a general election, but requires a double majority in any other election. Timing: The earliest that a bond issue could be submitted is in the 2006 general election. This is in recognition of the other ballot issues that need to be submitted in the 2004 election year. Advantages: The reasons for proposing a Transportation Bond are as follows: Accelerates the design and construction of major transportation projects to increase capacity and enhance traffic flow. Some of these improvements are needed now to address current traffic problems. 21 • Improves traffic and pedestrian safety through intersection improvements and separation of various modes of travel (bike lanes and sidewalks) as part of the improvements. Disadvantages: The drawbacks to the Transportation Bond are: • It requires a vote of the citizens to increase their property tax. The voters have not shown an inclination to favor such an increase. • Competition on the ballot from other jurisdictions may work against passage. • May conflict with other City initiatives, depending upon what happens in election year 2004. Recommendation: The recommendation is that the City plan for a Transportation Bond issue in the amount of $25 million to be submitted to the voters in election year 2006. This would require creation of a committee or task force to select projects that voters would deem as essential. It would also require a concerted effort by the City, City Council, and the community to conduct a public awareness campaign to convince the voters to approve the bond issue. Council Priority/Discussion: Major Issue - Low This issue was assigned a low priority primarily because it is not expected to be ready to go to the voters until 2006. 22 Parks and Open Spaces Acquisition Bond Issue Summary Definition: A Parks and Open Spaces Acquisition Bond is allowed under Oregon Statutes. General Obligation bonds require a citywide vote, and if approved, authorize a special debt service property tax levy. The City could also issue other types of bonds, which do not require voter approval, but would have to identify a source of revenue to be pledged to annual debt service payments. The City currently does not have such a source of revenue. In 1999 the City adopted a 10-year Park System Master Plan. This Park System Master Plan was the result of a comprehensive, collaborative effort between the citizens of Tigard, Tigard staff, and consultants. Tigard's Park System Master Plan is a comprehensive needs assessment and long range plan for meeting the community's parks and recreation needs over a ten-year period. The plan identifies many projects totaling over $21,000,000. The plan examines the impacts of the community's growing demand for services, the effects of related planning efforts, the implications of demographic changes, and the contributions made by the park system in providing relief from high density urban development. Further, the plan sets forth a Capital Improvement Program (CIP) which functions as a framework plan or tentative list of projects for a ten-year period. The CIP is reviewed and updated annually to reflect the changing needs of the community and changes in available funding for financing park capital projects. Decisions regarding the actual expenditure of funds for individual park capital projects are incorporated into the City's annual budget process. Revenue Required/Revenue Potential: The revenue required to accomplish the projects identified for the next 5-years (FY 03-04 thru FY 07-08) is approximately $4,000,000. SDC generated revenue, based on recent actuals, are down over the last few years (approximately $350K per year). As long as the economy remains as it is, it is projected that SDC funds will continue to remain flat during the next few years. A successful park and open space bond measure would provide the necessary revenues to acquire and development parks. A tax rate of 270 per $1,000 of assessed valuation will raise $1,000,000 toward annual debt service. Work Completed to date: loo work on a Parks and Open Spaces Bond Measure has been done to date. Implementation Action Required: A bond measure must be approved by Council and placed on the ballot for approval by Tigard residents. Timing: To be determined 23 Advantages: A bond measure would provide the funds necessary to supplement SDC funds for the acquisition and development of parks and open spaces ® Easily understandable (known funding source, familiar to voters) Disadvantages: ® Tigard residents have been asked to increase taxes on several occasions over the past several years. Specifically, the successful passage of the new Library Bond and the School District Bond. ® Although additional bond funds would be advantageous, the projections show limited funding for parks operations and maintenance. The City may not be able to adequately maintain new facilities. Recommendation: Do not consider a bond measure until the City is able to fund operating costs. Council Priority/discussion: Major Issue - Other The Council expressed several concems about this issue: It may conflict with the City's number 1 priority -gaining voter approval for a Local Option Levy, the City does not currently have sufficient funds to maintain and operate the parks it already has, and it is not clear how this issue would relate to the possible creation of a new parks and recreation district. 24 1 t ra k Finance 1 Issues Other 25 Parks Reservations Fees Issue Summary Definition: Resident and Non-Resident fees and charges for the use of park facilities, primarily shelter rentals, have been in effective for many years. The City currently charges non-resident's double the resident fee. Although funds derived from fees and charges'are nominal, they help defray maintenance costs. Revenue Potential: It is possible to increase the amount of revenue derived from fees and charges, thereby recovering a larger proportion of the cost of taking reservations and providing services to groups. Current Park Reservation Fees Application Fee $10.00 Covered Picnic Area Rental Tigard Based Rental Rate Groups up to 50 $6.00/hour 51 to 100 $8.00/hour 101 to 150 $15.00/hour 151 to 200 $20.001hour 201 to 250 $25.001hour Non-Tigard Based Rental Rate Groups up to 50 $12.00/hour 51 to 100 $16.00/hour 101 to 150 $30.001hour 151 to 200 $40.00/hour 201 to 250 $50.00/hour Soccer/Ballfields Tigard Based Rental Rate $4.00/hour Non-Tigard Based Rental Rate $8.00/hour Work Completed to dater A study of local area 2002 fees and charges has been completed. Public Works staff is currently preparing a recommendation to increase fees and charges. A substantial fee increase will be necessary if the City is to have fees and charges comparable to surrounding jurisdictions. Implementation Action Required: Increased fees and charges must be approved by City Council Timing: It anticipated that a recommendation to increase fees and charges will be made during the budget approval process. 27 Advantages: Increased revenues will help to defray increasing maintenance costs Tigard fees will be more in-line with neighboring jurisdictions. Disadvantages: Even though a substantial rate increase may be approved, the yield will remain nominal Residents will not like increase Recommendation: Continue with analysis and make recommendation that puts Tigard's fees more in-line with neighboring jurisdictions. Council Priority/Discussion: Other Issues -1 28 Room Reservation Fees Issue Summary Definition: Room rental fees are currently charged for using the Tigard Senior Center and in limited circumstances the Town Hall and Water Auditorium. A fee could be charged to users for use of all City rooms. Revenue Required/Revenue Potential: At this time, the revenue potential is unknown. Room use fees will be set at a rate that covers the cost of staff time, utilities, and wear on the facilities. With the completion of the new Library there will be additional revenue potential through that complex. In addition to the community room, there are two rooms within the Library that may be made available for renting during the Library's business hours. Also, the proposed re-model configuration for the current Library building allows for two meeting rooms that could be rented by the public during non-business hours. Current Meeting Room Reservation Fees & Deposits Cleaning Deposit (Non-Senior Center) Groups of 80 or less $150.00 Groups of more than 80 $250.00 Cleaning Deposit (Senior Center) Groups of 80 or less - no food/bev $50.00 Groups of 80 or less -food/bev $150.00 Groups of more than 80 - no food/bev $100.00 Groups of more than 80 - food/bev $250.00 Red Rock Creek Conference Room Class 1 and 2 $0.00 Class 3 $10.00/hr Class 4 $15.00/hr Richard M. Brown Auditorium Class 1 and 2 $0.00 Class 3 $30.00/hr Class 4 $35.00/hr Senior Center Activity Room Class 1 and 2 $0.00 Class 3 $10.00/hr Class 4; $20.00/hr Class 5: $25.00/hr 29 Senior Center Classroom or Craft Room $0.00 Class 1 and 2 $5.0 .00 Class 3 Class 4 $10.00/hr Class 5 $15.00/hr Town Hall $0.00 Class 1 and 2 Class 3 $20.001hr Class 4 $25.00/hr Water Lobby Conference Room Class 1 and 2 $0.00 $10.0 .00 Class 3 Class 4 $15.001hr Work Completed to date: No significant work has been done to date. Implementation Action Required: Room use fees are part of the City's Room Use Policy which was adopted by City Council. Policy changes, including the classification of room users and room rental fees, will need to be approved by City Council. Timing: Present the changes to the Room Use Policy to City Council by the end of May. If City Council approves the changes to the Room Use Policy, the changes in classification and fee amounts will become effective for reservations made from July 1, 2003 forward. Advantages: ® The City will recover a larger portion of the cost of operating the program. ® It is a benefit-related fee. In other words, only those who use the rooms will incur the cost. ® The City will be providing citizen's with a low cost alternative for their personal room use. Disadvantages: Current room users will perceive the fee as a reduction in services. This will be especially true of non-profit groups. Recommendation: Proceed with updating the City's Room Use Policy. Council Priority/Discussion: Other Issues -I 30 Traffic Citation Assessment Fee Issue Summary Definition: A Traffic Citation Assessment Fee is an additional al chviolation. arge Tlevied his on all lis in persons who plead or are found guilty of committing a charge addition to any fine or assessment levied by the municipal court. Revenue Required/Revenue Potential: The current base fine for a traffic violation is $50. In addition, the court collects additional charges for the Oregon Court System (unitary assessment) and Washington County. These additional costs total $49. The total to the offender is therefore $99. (A portion of this may be waived by the judge.) A Traffic Citation Assessment Fee would be $10 per ticket, raising the total cost to the offender to $109. Based on 6,700 citations issued per year, this charge would raise $67,000. Work completed to date: Information on a similar charge imposed by the City of. Milwaukie has been collected. Tigard's charge could be modeled on the City of Milwaukie ordinance. icipal Implementation Action Required: Council would would the shave unadd this Code to create authority for the assessment. The Council charge to the Master Fee Resolution. Timing: To be determined. This charge could be implemented by June 2003. Advantages; • The charge would help pay for police programs, including traffic enforcement, training, education, and community programs. • The charge is targeted to those who generate costs in the Police department through violation of traffic codes. Disadvantages: • The addition of this charge would raise total costs charged to traffic offenders to an amount greater than the base fine ($59 vs. $50) • Unless otherwise specified in Code, the municipal judge could waive this charge, thereby reducing collections Recommendation, Consider adopting a Traffic Citation Assessment Fee by June 2003. CouncH Prforhy/Dtscussion: Other Issues 1 31 Non-Resident Police/Fire Service Fee Issue Summary Definition: A Non-Resident Police/Fire Service Fee is a special fee charged to non- City, adult residents each time they receive service from the City. This type of fee is charged by several fire departments, including the City of McMinnville, for a variety of services, including traffic accidents. Revenue Required/Revenue Potential: To be determined Work Completed to date: None. Some minimal research has been done by the Police Department, but no in depth work has been done. Implementation Action Required: Council would adopt an'ordinance authorizing a fee and would then adopt a resolution amending the City's Master Fee Resolution Timing: The Police Department reports that it could have research completed in about one month. Following that, Council could adopt this fee by June 2003. Advantages: ® Non-residents would pay for services they receive that they do not currently pay for through payment of taxes or other means. ■ This would help off-set Tigard taxpayers' costs for providing services to major regional attractors, such as Washington Square and Highway 99. ■ Money raised would help pay for services in the Police Department which might otherwise have to be scaled back. Disadvantages: ■ Collection could be difficult since, by definition, all payers would be out-of-town residents. ® Other communities could feel that the reciprocity. by which they provide services to Tigard residents while they are in other communities may be compromised. Recommendation: Continue to research this proposal, with particular emphasis on the collection mechanism. Prepare a report for Council consideration within the next two months. Council Priority/Discussion: Other Issues - 1 Although this item was ranked as a #1 priority with the Other Issues category, along with other new fees and fee increases, Council expressed concern that this would be a difficult fee to collect. Staff was directed to research this issue further, but it may be dropped from further consideration. 32 Franchise Fees Issue Summary Definition: The City charges private utility companies a fee for use of public rights-of- way to string their wires, or lay pipes and conduit. The fee is calculated as a percentage of the utility's gross revenues collected within the City of Tigard. State law limits the maximum fess and taxes to no more than 5% for gas and electric and 7% for telecommunications. The City currently charges 5%eThelectric e City doles not charge is water utility 3%, and telecommunications companies and sewer utilities any fee, though many cities do. Revenue Required/Revenue Potential: Raising would raise approximately $720,000 per fees to 5% (the same as telecommunications) year for the General Fund. Raising telecommunication franchise fees from 5% to 7% would raise approximately $134,000. Charging a 5% franchise fee to the City's water utility would raise approximately $135,000 per year. Work Completed to date: No work has been done on this issue to date. Implementation Action Required: Council resolution or ordinance. Timing: The Northwest Natural Gas franchise agreement and many telecommunications franchise agreements require 180 days notice before any increase in the franchise fee: Advantages: Builds off an existing collection that is in place and well established Broad based - it affects 'a wide variety of payers (though utility bills) ■ Relatively stable revenue source Electric and natural gas utility rates have recently been lowered (following large increases last year). This will minimize impact on utility customers. o Increasing gas and electric franchise fees to 5% would achieve equity among the private utilities. Disadvantages: ■ Increased fees will be passed on to utility customers, thereby increasing their bills Understate law, the incremental increase suggested would be itemized on ` customer bills o Telecommunications companies are challenging local franchise authority nationally and in Oregon. Increasing franchise fees could add to this push. Recommendation: ® Consider raising gas and electric franchise fees to 5% 33 Do not increase telecommunications franchise fees. Maintain those at 5% to achieve equity among the private utilities e Explore options for charging a franchise fee of no more than 5% on public utilities (water and sewer.) If options are feasible; consider instituting water and sewer franchise fees. Council Priority/Discussion: Other Issues -1 Land Use Fees Issue Summary Definition: The City charges applicants for land use actions a variety of fees to recover costs associated with those applications. Fees were last increased in 2002, but that fee increase did not include any costs incurred by Engineering and Public Works in reviewing and processing applications. Support for Long Range Planning activities directly relating to development activity was also not recognized. Revisions to land use and building fees are necessary to capture costs associated with processing of land use applications. Revenue Required/Revenue Potential: To be determined. This issue will be studied to develop a fee structure that will include recovery of costs for time worked by Engineering, Public Works, and Long Range Planning, in addition to time worked by Current Planning. The total revenue potential cannot be accurately determined until that study takes place. Work Completed to date: Limited work has occurred to date. Time tracking procedures will be in place shortly. Implementation Action Required: Council approval Timing: Revised fees could be acted upon by Council by July 2003 Advantages: Development pays proportionate share of direct and indirect costs associated with processing land use and building applications. o General Fund support of development activities would be reduced. Disadvantages: Land use fees increase. Development-related fees could be higher in Tigard than in surrounding jurisdictions. Development-related fees supporting Long Range Planning activities are not common. Recommendation: m Proceed with analysis; include time tracking to determine costs. Develop a fee proposal to present to Council by July 2003 Council Priority/Discussion: Other Issues -1 35 Urban Renewal Issue Summary Definition: Creation of one or more urban renewal districts to generate dedicated revenues to pay for needed improvements in the Washington Square Regional Center, Downtown Tigard, and/or Commuter Rail Line. The Tigard Charter currently prohibits any renewal districts without an approving vote of the people. Revenue Required/Revenue Potential: To be determined. The Washington Square regional Center Plan identifies substantial improvements needed in that area, with costs to match. These costs can only be partially covered by existing revenues and fund sources. Work Completed to date: Council has received three informational briefings of the mechanics of urban renewal and urban renewal financing. Council has approved the Washington Square Regional Center Plan and the Washington Square Regional Center financing plan, which identify needed improvements and potential costs. Washington County is actively pursuing funding for the Commuter Rail Line and is exploring urban renewal as a means of providing funding for a portion of the improvements required, particularly in the area of Commuter Line Stations, of which Tigard will have two. The Central Business District has discussed plans for needed improvements, but to date, not central vision or plan has emerged. Implementation Action Required: City Charter prohibits the formation of any urban renewal district without an affirmative citywide vote. `Council could refer one of two measures to the people: 1. An amendment of City Charter to remove the requirement for a citywide vote, or 2. Approval of one or more urban renewal districts. Timing: To be determined Advantages: Creation of a dedicated funding source, that grows with growth in assessed values in the urban renewal district, that can be used to pay for needed improvements. Public improvements paid for by urban renewal will spur private investment that will further increase values in the district, and will accommodate job and housing , growth 36 e Once the urban renewal plan is accomplished and all costs are paid for, the assessed value is returned to the general tax roles and help pay for citywide service. Disadvantages: e Urban renewal "locks up" growth in assessed values during the life of the urban renewal plan, thereby limiting growth in tax revenues for all overlapping taxing jurisdictions. Urban renewal mechanics are complicated and difficult to explain to the public in an election setting. e Creation of an urban renewal district requires the active support of major property owners within the proposed district. Recommendation: a Continue to explore urban renewal as an option for Tigard ® Work with property owners in the Washington Square Regional Center and the Tigard Central Business district, and with Washington County to assess the level of interest and support for urban renewal. e Develop a proposed timeline for resolution of this question. Council Priority/Discussion: Other Issues - 2 Council recognized that this issue will require a citywide vote, either to form the district(s) or to remove the charter requirement for a citywide vote to remove the charter provision. This was placed in the Other Issues Category because it will primarily affect those areas chosen for inclusion within an urban renewal district, should one be formed. If the decision is made to attempt to amend the City charter to remove the provision requiring a citywide vote to form a district, this issue will proceed in a two-step process (charter amendment, then formation of one or more districts). 37 Water Revenue Bond Issue Summary Definition: A water revenue bond is a type of bond backed by future water revenues (as compared to a general obligation bond which pledges property taxes as repayment). Tigard is considering this type of bond to finance capital improvements and possibly the up front or "buy in "costs the City would incur to secure a long term water supply. Revenue Required/Revenue Potential: The City will be considering the use of water revenue bonds to finance all or a portion of the upcoming water reservoir/pump station/transmission piping project package, named the 550 ft Service Zone Water Supply System Improvements. This group of projects is currently estimated to cost $8.84 million dollars. In addition to the above, the City has been invited to enter into negotiations to become a partner in the Joint Water Commission (JWC). The City hopes to negotiate an ownership percentage that would allow the City to obtain up to 4 million gallons per day (MGD), and to allow the costs to Tigard to be paid over time as a component of water purchase costs. The JWC could require this to be a cash arrangement. Staff anticipates completing this negotiation by April, 2003. Buy in costs could range from $2 to $3 per gallon. Assuming the most expensive, where the City would be successful in obtaining 4MGD at a cost of $3 per gallon and the current JWC owners demanded cash, Tigard would need to raise an additional $12 million dollars via revenue bonds. In summary, Tigard could be looking to issue up to $20 million dollars of revenue bonds within the next two years. Both of these projects are consistent with and addressed specifically in the City's visioning documents. Work Completed to date: The City has currently done two things in anticipation of these expenses: the Council passed a resolution that sets water rates for the next three fiscal years, and the City has retained a consultant to develop a water financial planning and rate model to better evaluate out options and scenarios. This rate model also will be important in the issuance of water revenue bonds. Implementation Action Required: The Intergovernmental Water Board will initially produce a recommendation to the City Council. Following that, the City Council may authorize the issuance of revenue bonds by ordinance. 'riming: Staff work will begin soon, with the actual issuance of the bonds anticipated late in 2003 or early 2004 Advantages: Revenue bonds are excellent funding mechanisms for utility capital improvements for three reasons: (1) they do not compete with other public funding 38 based on general revenues and they do not require voter approval, (2) they extend the concept of "cost of service" principles where a user of a utility pays their proportional share of the cost to provide that specific service, and (3) they spread the cost of an improvement to future users of that improvement (intergenerational equity). Revenue bond repayment periods are generally also shorter than the useful life of the project they j fund. In addition the current costs of borrowing money are very favorable. Disadvantages: Not using bonding of some type puts our utilities into the business model of pay cash as you go which is not viable where such large amounts of capital are needed. In addition, revenue bonds carry have a higher interest rate than general obligation bonds, because their repayment is based on the financial stability of the system and not on an unlimited power to tax. Recommendation: Staff will continue to update Council on options and costs, with a future recommendation probably being to authorize issuance of one or more water revenue bond issuances. Council Priority/Discussion: Other Issues 3 39 Street Maintenance Fee Issue Summary Definition: The Street Maintenance Fee is a monthly fee based on use of the transportation system, and is typically based on trip generation rates. The fee would be charged to each household and business in the City and would be collected through the City's regular monthly sewer and water bill. The intent is to have the users of the road system share the costs of the corrective and preventative maintenance needed to keep the street system operating at an adequate level. The revenue received through the fee would be dedicated to maintenance of the street system. Revenue Required/Revenue Potential: Approximately $1,605,000 is needed for the following: $800,000 for street maintenance, $445,000 for street light and traffic signal system energy and maintenance costs, $270,000 for rights-of-way maintenance on collectors and arterials, and $90,000 for sidewalk maintenance on collectors and arterials. The proposed charge for single family residential structures is $2.54 per month, and for multi-family units $1.76 per month per unit. Work Completed to dater The implementation of this fee was recommended to the City Council over a year and a half ago by the City's Transportation Financing Strategies Task Force, a citizen task force formed to evaluate and recommend to Council feasible alternative funding sources for street maintenance and street expansion needs.` The Task Force conducted an extensive public process to enhance citizen awareness of the need for the proposed fee and to receive input from citizens and businesses. The proposed fee has been discussed with Council several times and is again scheduled for further Council discussion at the March 18, 2003 workshop meeting. Council direction on the possibility of adoption will be requested at that meeting. Implementation Action Required: Council has the authority to establish the Street Maintenance fee. The proposed fee would be adopted by ordinance and the rates to be charged would be established by resolution. Timing: If Council does approve implementation, the effective date for the fee would be set several months after Council adoption of the ordinance and resolution. This would give the City of Tigard staff sufficient time to setup the fund and do the necessary work to ensure that the amounts can be incorporated on the utility bills without a glitch in the billing process. Advantages: The following are the reasons for adopting the fee: Would provide a new, stable source of revenue for street system maintenance. 40 • The gas tax revenues are not restricted to maintenance, but can be used for a wide variety of needed street improvements. However, these funds have been used primarily for maintenance because of the large maintenance backlog and the inadequacy of the current gas tax rate to address anything beyond that. The proposed Street Maintenance Fee would supplement the gas tax and would be used in the maintenance of the street system. This would allow use of some gas tax revenues to address reconstruction, installation of crucial pedestrian connections, and other street improvement needs. • Would allow the City to establish a long-term plan to address the $4 million backlog in street maintenance needs. • Early adoption of the fee could establish that new revenue source before the state legislature proposes any preemptive action directed against implementation of street utility fees. Disadvantages: The following are the drawbacks to adoption of the fee: • The fee would have residential land uses pay 28% of the total amount with the rest coming from non-residential land uses. Some businesses oppose it because of its heavy charges to the commercial sector. Some opponents are labeling the fee as a tax. Depending upon how the fee is structured, it could be construed as a tax. • The Oregon Grocery Industry Association has threatened to take legal action to stop implementation of the fee. • It could be referred to the voters through the initiative process. • The implementation of the fee could interfere with other City initiatives, such as a possible operating levy and a transportation bond issue. Recommendation: The recommendation is that City Council adopt the fee and direct implementation. This would raise new revenue for urgently needed maintenance of the street system. Many cities have either taken action or are seriously contemplating initiation of a similar fee. Future legislative action could affect the fee adoption, if delayed. Council PrioritylDiscussion: Other Issues - Other The Council position on this issue has not yet been decided. Some members have expressed strong support. Some members have expressed strong reservations, particularly about the timing of this issue. Council will hold further discussions on this issue. 41 Mechanical Building Fees Issue Summary Definition: Mechanical Building fee increase to recover costs. Fees for building and plumbing are not proposed for increase. These fee increases will not affect the General Fund. Revenue Required/Revenue Potential: Unknown at this point. Mechanical fees are budgeted in the Building Fund. Overall, the Building Fund is in good condition due to cost recovery of the other specialty fees for other trades (building, plumbing, etc.), but fees from the other trades are subsidizing the mechanical trades. Policy established by state law discourages (but does not prohibit) subsidies between the trades. Work Completed to date: All building fees were increased in 1999 and 2000 after 20 or more years of no increases. These increases were accomplished following a building study and several public hearings. No work has been done since 2000 on any building fee increases: Implementation Action Required: Adoption of resolution establishing revised fees following a public review process mandated by state law. Timing: Fee increase should be coordinated with yearly fee updates in June 2003. Advantages: • Mechanical permit fees will be made current and will pay for the cost of providing service. e A mechanical fee increase will decrease the subsidy from other building specialty trades for the cost of mechanical inspections and plans checks. Disadvantages: • Any increase will increase costs for builders and remodelers and could be passed on the purchasers of new and remodeled buildings. • The building industry has traditionally opposed Tigard building fee increases. Recommendation: Proceed with fee study and consider increasing fees by dune 2003. Council Priority/Discussion: Other Issues - Other 42 Urban Services Issue Summary Definition: Services for areas outside existing City limits, but within the City's urban services boundary (other than Bull Mountain). This includes the areas to the south and west of Bull Mountain soon to be brought into the urban growth boundary. Revenue Required/Revenue Potential: Unknown at this point. Work Completed to date: No work has been completed to date on this issue. Implementation Action Required: At some point, the City will be required to provide public "services to areas outside the existing City limits but within the City's urban services boundary. This will not occur until after those areas are annexed. No work to identify those potential costs and revenues has been done to date. Public Facilities and Service Plans are needed to assess existing and future needs. Timing: To be determined. Considerable resources will be necessary to complete necessary studies. Advantages: , ® Improved services to residents of the urban services area, including police patrol, road' maintenance, and other city services. ® Residents obtain a voice in the governing and direction of the City of Tigard. ® Residents of the urban services area would start paying for those services that they currently use, including parks, library, and arterial roads outside of the area. Disadvantages: ® The City of Tigard would assume responsibility for capital needs of the areas. These needs could be substantial. ® Resident opposition could create hard feelings which could jeopardize other City initiatives. Recommendation: ® Conduct a preliminary, high-level survey to attempt to define major service issues within these areas. ' • Identify logical areas of opportunity /need. ® Prepare a preliminary timeline for additional work, consistent with existing staff resources and workload. Council PrioritylDisoussion: Other Issues - Other 43 City Buildings - Maintenance, Repair, Expansion Issue Summary Definition: The City owns and operates several buildings, including City Hall, the old Library, the Police Department, the Niche, the Senior Center, the Public Works Building and annex, and Canterbury Water facility. In addition, the City operates the Water Building, which is owned by the Tigard Water District. The City does not have a dedicated source of funding to provide for the maintenance, repair or expansion of these facilities. The City has traditionally set aside General Funds in anticipation of future building needs. Revenue Required/Revenue Potential: Projects identified to date include: • FY03/04 Projects o HVAC Replacement Project for the Senior Center - $50,000 o Seismic Upgrade Project for the Police Dept.- $40,000 o Access Control for Water Building Facility & Canterbury Water Facility security - $90,000 o Space Planning for the Water Building - $30,000 o Construction Drawings & Construction Administration for Old Library/City Hall Remodel - $136,050 o Office Renovations Old Library/City Hall - $500,000 • FY04/05 Projects o ` Office Renovations Old Library/City Hall - $600,000 • FY05/06 Projects o ` Water Building Renovations - $500,000 • FY06/07 Projects o Senior Center Seismic Upgrade - $45,000 In addition to identified projects, there is a need for contingency funds for needs that may arise during the planning period. The total cost of remodeling and upgrading the old library and City Hall for new uses is estimated to cost $1.16 million. The City currently has a set aside of $1 million for this project. No set aside exists for other identified needs. Work Completed to date: A seismic study of city facilities was performed in 2000 to identify the seismic upgrade needs of the facilities. A consultant was hired this fiscal 44 year to identify current and future space needs for the City and to provide a layout of the space usage of the old library and the City Hall based on those needs. This study is near completion. Implementation Action Required: Projects will be identified and approved in the City's Capital Improvement Plan. Annual funding is provided through approval of the City Budget. Timing: It is anticipated that the projects identified will be implemented according to the budget approval of the fiscal years indicated if necessary funding is available. Advantages: e Provides for greater security of facilities e Meets the long term growth needs of the City Provides for a safe and effective work environment for staff and the public e ' Improved use of facilities to provide better customer service Provides for more meeting rooms for public use Disadvantages: ® No dedicated funding source. Capital funding need must compete with operating funding needs. o Delaying projects would result in increased cost of projects and increased safety and or security risks Recommendation: ® Develop a capital plan for all City facilities, including identifying renewal and replacement and upgrade needs. Develop a policies and a plan for funding renewal and replacement needs during the annual budget process. Present recommendations to the City Budget Committee and the City Council for ' their review and approval. Council Priority/Discussion: Other Issues Other 45 Library Revenues Issue Summary Definition: Several potential sources of revenue have been used to varying degrees by other public libraries within Oregon and nationally. If the City wishes to explore other revenue sources to supplement General Fund revenues, a partial list of potential sources could include: • Increase existing fine structure • Potential Coffee Bar-New Library • Review current level of existing fees • Develop new or increased fees for some services • Investigate charging a fee for circulation of specific items within the collection • Work with other libraries in the County cooperative to revise the funding formula to more accurately reflect how libraries are used. Revenue Required/Revenue Potential: Revenue potential of various options has not been determined. Potential candidates (if any) should be identified before focusing research on specific revenue potentials. Work Completed to Date: Preliminary research has been conducted on increasing the existing fine structure. All members of Washington County Cooperative Library Services must agree to an increase in the fine structure in order for that increase to be implemented. Some other potential revenue items must also be reviewed within the - context of the existing contractual agreement between the City of Tigard and Washington County for providing library services. The City has completed a preliminary analysis and development of an RFP for the selection of a coffee bar vendor. The coffee bar for the new library may draw people to visit the library and provide an enhanced overall experience for the public. Further research would be required to determine how much revenue the coffee operation may generate for the City. More people visiting the library and borrowing materials will help to generate additional revenue from WCCLS as the current formula is heavily dependent upon the level of circulation of library materials. Tigard Library has been involved in extensive discussions regarding revisions of the Washington County Cooperative Library Service (WCCLS) funding formula to better reflect the changing ways in which libraries are used. The current formula generates $1,224,500 for the Tigard Library in FY 2002-03. This level of funding is expected to drop approximately $150,000 next fiscal year due to the loss of the WCCLS Local Option Levy last November. The current funding formula is heavily dependent upon circulation increases. To the extent that circulation at any one library increases at a lower rate than the average for the system as a whole, that library loses funding. This 46 has happened to the Tigard Library over the past few years. The current formula does not recognize the population served, nor does it recognize the amount of taxes that service population pays to WCCLS. The City is continuing efforts to revise the funding formula. A member of the City Council has also suggested exploring fees for borrowing a portion of the collection, such as videos and DVDs. Such a fee is feasible, but it would counter the historical mission of public libraries to provide free materials to the public. It may also lower circulation, which would, in turn, lower funding from WCCLS. Implementation Action Required: Some types of revenue sources would need to be implemented by agreement with WCCLS. Others could be implemented by Council action. Timing: The time required to implement new or increased fees and charges at the Library is unknown. It would vary by type of fee or charge. Discussions with WCCLS member libraries would likely take time. In addition, a total new fee, such as a video rental fee, would most likely require an extensive public involvement/review process. Most likely, the earliest a new revenue proposal could be brought to Council would be in late 2003. Advantages: New revenue sources could help diversify the City's revenue base. This might help to insulate the City from fluctuations in the economy and will spread the burden of paying for City services. Disadvantages: The WCCLS contract guarantees free access to collections for everyone in the County in accordance with the nation's historic commitment to public libraries. Charging fees for library materials and services could have a number of negative impacts. The increase in library use has been attributed partly to the recession as an alternative for people to look for new jobs and provide educational opportunities for their families in these tight economic times. Specific sources may generate high levels of opposition from library users. This opposition could affect other City initiatives, as well as a possible effort to pass the countywide library levy in 2004.< Directly, it may affect the positive community support for the new library. If the source chosen is entirely new, there may not be a readily available collection mechanism. Recommendations: Continue to work to revise the WCCLS funding formula to obtain a more equitable` distribution of funds. o Research` potential revenue generation` from coffee bar in new library. 0 Work with other WCCLS libraries on a possible library fine increase. Review revenue options to identify possible new sources. Council Priority/Discussion: Other Issues -'Other 47 Skate Park Construction Issue Summary Definition: A local Skate Park Task Force recommended to Council that the City provide funding for the design of a potential skate park facility in Tigard. The council approved up to $20,000 to design a facility. The design was approved by Council on November 26, 2002. The design can be built in three phases (15K, 20K & 25K square feet). Currently the Task Force has not been able to find a site for the skate park. Locations at a City park and on School District property have run into strong opposition due primarily because of locations close to neighboring homes. Further, fundraising efforts have not gotten off the ground, having been delayed by the inability to secure a site location. Revenue Required/Revenue Potential: The following revenues are required for construction of a skate park in Tigard. ® 15K sq. ft. $642,000, fundraising = $392,000 and $250,000 funding source undetermined at this time (auxiliary costs such as parking, infrastructure, street improvements, restrooms, etc.) ® 20K sq. ft. $769,000, fundraising = $519,000 and $250,000 - funding source undetermined 0 25K sq. ft. $877,000, fundraising = $627,000 and $250,000 - funding source undetermined Potential revenues for the construction of the Skate Park and auxiliary costs are 1) dependent on any fundraising efforts by the Task Force, and 2) making a determination as to who will pay for the auxiliary costs `estimated at $250,000. With the economy being what it is right now, and into the foreseeable future as well, it will undoubtedly be a daunting task for the Task Force to raise anywhere from $392,000 to $877,000. Further, operational funds are decreasing significantly, making it difficult, if not impossible, to keep up with the expanding maintenance workload. New facilities would only exacerbate this condition. Work Completed to date: A skate park design has been approved by Council. A comprehensive site location process continues. Fundraising has not begun. Implementation Action Required: If a site is secured, Council, along with the Task Force leadership must decide how the $250,000 in auxiliary costs, construction drawing and specifications, etc. will be funded. Construction drawings and specifications must be completed. Either the Task Force or the City will seek bids for the construction of the skate park. This also must be determined. 48 Timing: Two major processes remain incomplete at the present time. Securing a site has proven as daunting a task as is a fundraising campaign in the current economy. Reductions in funding for operational costs to adequately cover current and upcoming increases in maintenance, services, and capital outlay, create a heavy burden on the existing staff to handle the parks division workload. Advantages: e, Building a skate park now would be well received by the kids in Tigard. Building now would, more than likely, cost less than building in the future. Disadvantages: a A huge fundraising campaign would be difficult in any economic condition. However, during current economic conditions, the Task Force's fundraising process will not only daunting, but probably unattainable at the present time. e A site has not been secured. At the present time, and in the foreseeable future, increased operational funds are not available to cover the additional workload created by a new facility of this magnitude. Recommendation: 1) Continue looking for a location for the skate park. 2) Before the City contribute funds (if Council decides to do so) to the construction of the Skate Park, the following issues must be resolved: ® A site must be secured e Economic conditions must improve e A decision must be made regarding who will be responsible for the auxiliary costs associated with the construction of the skate park e Long term funding for Parks operations, and maintenance must be secured A successful fundraising campaign must be completed or be well-on-its-way Council Priority/Discussion: Other Issues - Delete Council directed to delete this item from further consideration as a financial issue. If the skateboard park is to proceed, it will need to be funded entirely by donations and fund raising. No City money will be used to construct the park. 49 F Issues Jurisdictions' Other .50 WCCLS Local Option Levy Issue Summary Definition: A countywide Local Option Property Tax Levy for library services is allowed under the Oregon Constitution (Measure 50) to increase the local property tax rate for needed services. It cannot exceed a period longer than 5 years, after which it must be re-approved by voters. Funding from a countywide levy would be distributed to all member libraries through a formula based on circulation and a variety of other factors. Revenue Required/Revenue Potential: It is projected that the tax rate of this levy will be approximately 26¢/$1,000 of assessed valuation. This will raise approximately $10,000,000 per year. Work Completed to Date: A countywide levy for library operational funding was placed before voters in November 2002. The measure failed by approximately 600 votes. A Needs Analysis for the levy was completed in 2002, as was a phone survey. A citizens' group was formed in 2002 to provide information to Washington County voters concerning the benefits of the levy. Significant background information has been compiled concerning this issue. Tigard has been actively working with WCCLS staff and other member libraries to revise and update the existing funding distribution formula. Implementation Action Required: A WCCLS Local Option Property Tax Levy must be approved by the County Board of Commissioners and placed on the ballot for approval by Washington County voters. It may only be voted o at one of the following elections: 1. May, subject to double-majority requirement 2. November of an odd-numbered year, subject to double-majority requirement, 3. November of an even-numbered year, subject to simple majority. Timing: If the WCCLS Local Option Levy is approved by county voters in May 2004, the first revenues would be received by the County in November 2004. If the Levy is approved by the voters in November 2004, the first revenues would be received by the County in November 2005. Advantages: Easily understandable-will be used to restore cuts to library service countywide. ® Well-established collection mechanism in place Broad-based revenue source Historically,` Washington County voters have `supported library levies 51 Disadvantages. • Short-term solution--it expires after 5 years, and then must be renewed by the voters e Competition on the ballot from other jurisdictions requesting voters to approve funding measures e Competition and confusion with the Tigard local option levy likely to be on the ballot in 2004 e Washington County voters have been reluctant to vote for tax levies in the recent past. 'Successful passage may be related to factors outside government control Recommendation: Continue to research and explore options to create stable library revenue sources. e Support the information campaign about the WCCLS levy if it is placed before voters in May or November 2004. e _Continue to work with Washington County and other WCCLS libraries to develop an equitable formula for distribution of WCCLS revenues. Council Priority/Discussion: The Council discussed this issue, its importance for the finding' of the library, and the importance of coordinating this issue with other City initiatives. The Council took no position on this issue at this time. 52