City Council Minutes - 04/25/2005 Agenda Item No. 44, 1
For Agenda of June 14, 2005
COUNCIL MINUTES
SPECIAL TIGARD CITY COUNCIL MEETING
APRIL 25, 2005
■ Mayor Dirksen called the meeting to order at 5:30 p.m.
■ Council Present: Mayor Dirksen; Councilors Harding (arrived at 5:35 p.m.,
Sherwood, Wilson, and Woodruff.
1. DISCUSSION (Continued from April 19, 2005)—STRATEGIC FINANCE
PLAN ISSUE PAPERS
Interim City Manager Prosser and Interim Finance Director lmdieke
reviewed this agenda item with the City Council, which was continued from
the April 19, 2005, City Council meeting.
Interim Finance Director Imdieke advised that after hearing comments from
the City Council last Tuesday night, he organized the issues into four major
categories (charts are on file in the City Recorder's office):
1. Feedback Requested
2. Items Imp lementedlCompleted
3. Work in Progress
4. Long-Term Issues
Interim City Manager Prosser advised that the Executive Staff had started
preparing information on this item in August/September 2004; some of the
issues are included in the budget and others have been completed. There
are some issues remaining for which staff still needs some City Council
direction.
Interim Finance Director Imdieke reviewed with City Council those items
where feedback is requested.
Councilor Harding arrived at 5:35 p.m.
The following items were discussed:
■ Increased legal costs and annexation issues — Interim Finance
Director Imdieke noted that City Council had looked at this
item before and it might be time to look again at in-house legal
services. Interim City Manager Prosser suggested this item
could be reviewed, if desired, during the presentation of the
COUNCIL MINUTES —APRIL 25, 2005 page 1
budget. The proposed budget assumes that the contract
arrangement is to be continued. The budget figures include
not only the City Attorney costs for the Ramis, Crew firm but it
also includes contract costs for the labor attorney. Interim City
Manager Prosser noted it would be highly unlikely that the City
would be able to find an in-house attorney that would have
both specialties. In response to a question from Councilor
Woodruff, Mayor Dirksen and Interim City Manager Prosser
advised the Charter specifies that the City Attorney reports to
the City Council. There was discussion about having staff
prepare cost information for in-house v. contractual attorney
services. Mayor Dirksen noted there are issues to consider
the City has a variety of legal needs and it is likely that some
legal work would need to be contracted out if in-house legal
services are established. Examples of some issues that need
legal expertise include: labor, governance, and land use.
Legal fees associated with lawsuits are often covered by the
City's insurance carrier.
Interim Finance Director Imdieke asked if the City Council had
any preference for the type of expertise that would be provided
by in-house legal counsel. Mayor Dirksen suggested
expertise in governance procedures and land use. Interim
City Manager Prosser advised staff will prepare information for
review by the Budget Committee on in-house v. contracted
legal services.
In response to Councilor Wilson, Interim City Manager Prosser
explained the request for an increase in legal fees is based on
feedback from departments as they estimate what their legal
needs might be for the next budget year. Initially, one item of
concern pertained to increased costs associated with Ballot
Measure 37, which has not impacted legal fees so far. Interim
Finance Director lmdieke noted some major areas for
additional legal support included the Comprehensive Plan
Update and some land use questions associated with urban
renewal.
■ Solid Waste Management/Recycling/Code Enforcement—
Interim Finance Director lmdieke noted interest was expressed
to have additional attention paid to Code Enforcement along
with some Metro mandates relating to business recycling.
Perhaps it's time to add a staff person to address solid waste
and environmental issues. The two haulers franchised to do
business in Tigard have expressed some degree of support for
COUNCIL MINUTES—APRIL 25, 2005 page 2
raising the franchise fee from 3 percent to 5 percent. The
haulers would like to have some kind of commitment from the
City that there would be educational recycling efforts that tied
in with what the haulers are doing. It is hoped that the City
would be successful in receiving some grant dollars from
Metro for educational programs. The $156,000 to be
requested for this item would be generated by a 2 percent
increase in the franchise fee in solid waste.
There was discussion on Metro's mandatory programs and the
unknowns of how Metro would enforce. Interim City Manager
Prosser advised that Tigard's position is that it does not
support a mandatory program. Tigard supports an outreach
approach to work with businesses. The recovery (through
recycling) goal is 62% and businesses are currently at 59%
(regionally) and based on this, Councilor Harding commented
that a full-time recycling coordinator would not be justified.
Interim City Manager Prosser noted that Tigard's commercial
recovery rate is lower than the regional rate of 59%. Councilor
Harding noted there is some recycling (shredded documents)
that are not being taken into account.
Interim Finance Director Imdieke said that the region has
taken the "low hanging fruit" to attain the 59%; it will become
more difficult to get to the next level of tonnage, which is why
an "organics" program is being considered with some
experimental programs involving restaurants in the City of
Portland. Curbside recycling has been successful for
residential. Councilor Woodruff noted that recycling programs
cost far more than the revenue received for the recycled
materials.
Councilor Woodruff advised he does not have concern with
funding requests when a funding source has been identified.
Interim City Manager Prosser noted that when the figures for
this item were put together, it was not known that there would
be a request for a solid waste rate increase.
There was discussion about the timing of the increases in fees
resulting in an increase in customer rates. Interim Finance
Director Imdieke noted that if rates are raised, an increase in
service should also occur. The rate review must be done by
the City Council by June 30, 2005
■ MSTIP Needs— Interim City Manager Prosser noted this was
included for review by City Council at the time when it was
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thought that another MSTIP levy would be proposed by the
County. At this time, it appears that the County is slowing
down this process and has asked cities to submit lists of
projects. There are county-level discussions occurring and
cities are expressing concerns that projects for cities are not
appearing on the next MSTIP list. Councilor Harding
confirmed that additional work needs to be done on the
concerns with the MSTIP list; she said she has asked for the
criteria used for project selection. Discussion followed about
how projects had been identified and funded in the past.
Interim City Manager Prosser advised that staff would prepare
a memo noting Tigard's concerns about the MSTIP project
selection process so Councilor Harding could take this with
her to the next Washington County Coordinating Committee
meeting.
■ Recreation Programs— Interim Finance Director Imdieke
noted the amount requested was submitted by the Park and
Recreation Advisory Board regarding a bond measure for
some type of recreation center. After discussion, Council
consensus was that this would be a low priority. There is
potential for a regional center sponsored by the Salvation
Army.
Interim City Manager Prosser advised an issue paper would
be brought to the Budget Committee to consider placing
dollars in the budget to be available to match grant
applications for recreation activities.
■ Right-of-Way Review— Interim City Manager Prosser noted
this item pertained to right-of-way maintenance. Maintenance
of right-of-way areas abutting private property is the
responsibility of the property owners. There are examples
(e.g. Durham Road) where property owners have frontage
along two roads and the property owner is cut off from access
by a wall. The larger dollar amount shown reflected the cost if
the City Council decided right-of-way maintenance should be
provided to properties along major arterials. The smaller
amount represented an allocation to be set aside to provide
grants to neighborhoods or individuals to help them maintain
right-of-way property. These amounts were not included in
the proposed budget. Mayor Dirksen said he would not be
supportive of the larger number but would be interested in
discussing a cooperative arrangement with citizens (smaller
number). There will be an issue paper prepared for review by
the Budget Committee.
COUNCIL MINUTES—APRIL 25, 2005 page 4
Councilor Wilson noted this issue continues to be of concern
in the community. He referred to areas in other cities where
these right-of-way areas are maintained, which adds to
property values. He said he would support further discussion
about making "in-roads in this area." He suggested a small
pilot project could be implemented. Mayor Dirksen noted he
would also be interested in a pilot project on a road, such as
Durham Road, to determine what costs might be. There was
discussion about programs in other cities.
Councilor Woodruff suggested this be reviewed with the
neighborhood association near Durham Road. Councilor
Harding suggested that contracting out for services for
maintenance also be explored. Councilor Sherwood noted
concerns for fairness since much of the right-of-way along
Durham Road is being maintained by adjacent property
owners and, essentially, the area that is not being maintained
is next to Summerfield.
■ Parks and Open Space Acquisition — Interim Finance Director
Imdieke advised that this item is directly tied to the need for
some matching funds to be used with the SDC's. The issue
paper suggests a bond measure for open spaces or property
acquisition. Interim City Manager Prosser advised there will
be an issue paper presented on this item during the budget
process. Mayor Dirksen noted the priority on this item was"Y
and he said he would like to see it moved to a "1." Interim City
Manager Prosser and Interim Finance Director Imdieke
reviewed some of the financing strategies recommended to
address a ten-year Parks Master Plan. More up to date
figures will be available during the budget process.
■ Environmental Program — Interim Finance Director Imdieke
said this was in conjunction with the potential to do some
natural resources planning and environmental awareness. The
issue paper proposed dollars be made available to "purchase
expertise." This will not be proposed in the budget, so if City
Council wants staff to do something on this, City Council will
need to give staff that direction.
Councilor Harding she would like to see a total number that is
being recommended to be spent on consultation fees. Interim
Finance Director Imdieke suggested that he ask the
department that prepared this issue paper prepare costs for
the "total package."
COUNCIL MINUTES —APRIL 25, 2005 page 5
Interim Finance Director lmdieke noted the Local Option
Property Tax, Franchise Fee for Water& Sewer, Privilege Tax,
and Telecommunications Registration Fee are all tied together.
With regard to the Local Option Property Tax, eventually the
City will be faced with a deficit and will need to look at some
long-term alternative funding sources. Interim Finance Director
Imdieke noted that many surrounding jurisdictions have placed
a franchise fee on water and sewer to collect money for
General Fund programs. The Privilege Tax and
Telecommunications Registration Fee are questions the City
Council will be asked to consider to determine whether they
would prefer a fee approach or the local option levy. Mayor
Dirksen noted that before considering new revenue sources,
the City should make sure it is collecting payment for
everything for which it is entitled. Mayor Dirksen said that
franchise fees on water and sewer should be a first priority. He
said he would prefer the Local Option Property Tax be dropped
back to Priority 3 as this should be a last resort. Several
Council members indicated they agreed with Mayor Dirksen. .
Passport Agency—City Council agreed the staff should
proceed with providing this service.
There was brief discussion on providing notary services. City
Recorder Wheatley advised the City currently provides this
service at no charge. Notaries are limited on the amount they
can charge and this would not provide a significant amount of
revenue. The City does not charge for notary services.
■ Councilor Woodruff cautioned about the fee approach as the
City looks for additional revenue. Generally, fees can be
charged without going to the voters; then, when it becomes
necessary to ask voters to consider additional taxes, they may
feel as if they have been "nickel and dimed" and are not willing
to vote yes once they have a chance to vote. Mayor Dirksen
noted the City should be very"up front" about any fees it does
charge and let residents know why the City is charging a fee.
Interim City Manager Prosser noted it is good to have a
diversified revenue base.
■ Councilor Sherwood noted that the County might not place a
WCCLS funding proposal before the voters in 2006. Interim
City Manager Prosser noted the County is waiting to hear how
COUNCIL MINUTES—APRIL 25, 2005 page 6
the annexation issues are dealt with by the State legislature
before making the decision on the timing for a WCCLS levy.
2. ADJOURNMENT: 6:18 p.m.
r_e_�t_ c:
—Catherine Wheatley, City Recorder
Attest:
Mayor, City of Tigard
Date: (�U5
I
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