City Council Minutes - 08/20/2013 Citi of Tigard
° Tigard City Center Development Agency and City
Council Meeting Agenda
TIGARD August 20, 2013
1. WORKSHOP MEETING
A. Council President Henderson called the City Center Development Agency and City Council
to meetings to order at 6:32 p.m. 1J
B. City Recorder Wheatley called the roll.
Name Present Absent
Mayor Cook ✓
Council President Henderson ✓
Councilor Buehner ✓
Councilor Snider ✓
Councilor Woodard ✓
Staff: City Manager Wine,Assistant City Manager Newton,Finance and Information Services
Department Director LaFrance,Community Development Director Asher,City Engineer Stone,
Streets and Transportation Senior Project Engineer McCarthy,Sewer/\Vater/Storm Senior Project
Engineer Murchison and City Recorder Wheatley.
C. Council President Henderson led meeting attendees in the Pledge of Allegiance
D. Council President Henderson asked for Council Communications &Liaison Reports:
Councilor Woodard said the Recreation Steering Committee met. They are in the final
sessions putting together an RFP that would lay out a scope for a recreational consultant.
Councilor Woodard noted discussions will be coining up soon at the Metropolitan Area
Communications Commission (MACC) regarding MACC's interactions with Comcast.
Councilor Woodard referred to the recent National Night Out event. He visited seven
neighborhoods. Most of the feedback he received was positive. One concern was raised:
On 105`h Avenue at North Dakota Street an enquiry was made as to why there is not a walk
path for the bridge. He took a picture of the structure on the Beaverton side and said this
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20,2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 97223 1503-639-4171 1 www.tigard-or.gov I Page 1 of 19
might be a viable option for Tigard as well. He has shared information with city staff on this
matter and will forward additional information to City Manager Wine. He observed runners
traveling through this area and witnessed some close calls with vehicular traffic—safety
measures are needed;i.e., signs to slow traffic. Councilor Buehner recalled discussions in the
past about providing walkways at this location.
Councilor Woodard noted a problem behind the former A-Boy plumbing store,which has
become a gathering spot for homeless people who are often drinking alcohol and leaving
behind beer cans, etc. There's also graffiti on the back of this newly painted building. He's
taken pictures and will forward these to City Manager Wine. He suggested the solution
would be to construct a fence to keep people out of this area.
JR Councilor Snider advised he and Councilor Buehner have a joint report to make on
recent activity of the Water Partnership Oversight Committee:
• The project is moving forward with activity occurring at the river intake pump
station and the water treatment plant site.
• A couple of small- to medium-sized projects ran into difficulties during the bid
process. Due to some pre-qualification issues,some bidders were disqualified and
rejected by the partnership. Those decisions were appealed and a couple of bidders
were determined to be qualified to bid.
• A different strategy has been assumed for the horizontal,directional drilling under
the river. It looked as if there might only be one bidder because of the limited
number of companies that do this type of work in the country. A request for
proposals will be issued,which will be rated by staff followed by negotiations with
one or more of the proposal submitters.
• Several additional activities on the project were mentioned,including procurement of
several permits.
IR Council President Henderson advised the Tigard Downtown Alliance is making
progress in its formation activities. He hopes in the next couple of months there will be
more to report and things are looking good for this organization's formation.
VCouncilor Buehner attended the downtown Street Fair held last Saturday,which was
well attended. She noted she had difficulty locating a particular vendor and suggested that
maps identifying vendors' stalls would be helpful for this event in the future.
10 Councilor Woodard said he also attended the downtown Street Fair and he has some
suggestions for improvements when the time is right to do so. In general, he thought the
event was good. City Manager Wine advised the Tigard Area Chamber of Commerce is the
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20,2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 972231503-639-4171 1 www.tigard-or.gov I Page 2 of 19
primary organizer of the Street Fair. She said staff could relay comments for improvement
to the Chamber or the comments could be made directly to the Chamber
E. Council President Henderson asked Council and Staff for Non-Agenda Items.
8 City Manager Wine said the city received an invitation for training on November 7 by
the Naval Post-Graduate School Center for Homeland Defense and Security Mobile
Education Team. The Washington County emergency management partners have invited
Tigard to participate. The invitation was directed to elected officials and department
directors. The seminar will look at a catastrophic earthquake scenario.
City Manager Wine said the Community Development Department staff is working
with Linn Transit to organize a tour of their rapid bus transit operations.
2. BRIEFING ON CAPITAL IMPROVEMENT PLAN (CIP) PROJECTS
City Engineer Stone presented the staff report:
• He referred to the status report submitted to the City Council in their packet materials.
• He briefly noted the projects listed in the status report.
o Many of the street projects are in the design phase Some are under construction. He
referred to budget numbers, expenditures and the overall percentage of completion for
each of the projects. He explained that the city is partnering on some of the projects
and the status report occasionally shows a disproportionate amount of money spent
when correlated to the percentage of project completion.
o The status report is a snapshot view of the events for the last quarter. The report does
not reflect the actual amount of money spent over a series of fiscal years.
o Councilor Woodard suggested including a start date of the status report would be
helpful as this would assist hum in discerning how well the project is proceeding. After
some discussion, City Engineer Stone said he could,in the future,attach another sheet
to the quarterly report summarizing the projects and schedule with major activities
identified: right-of-way acquisition,permitting and construction. Engineering
Manager McMillan commented staff is working on a format to show the schedule for
capital improvement projects showing designs,permits,right-of-way acquisitions and
construction.
o Some of the parks projects are completed and some are in the design phase. A good
portion of these projects are under construction. Construction contracts were awarded
for East Butte Heritage Park, the Dirksen Nature Park,Jack Park,Fanno Creek House
and the Fanno Creek Trail.
o Water projects listed show many that are in the design, construction or permitting
phases. The report shows some that are on hold because of permitting required or a
circumstance that required the work to be stopped.
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20,2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 972231503-639-41711 www.tigard-or.gov I Page 3 of 19
o Sanitary sewer projects generally relate to upsizing of existing lines due to capacity
problems or are projects included with other capital projects.
o Storm water projects include many that are associated with city facilities
Councilor Buehner said that with the Lake Oswego/Tigard water project, once work is ready
to be done at the pump station (near Bonita Road),two sets of pipes will be upgraded. She
asked about the schedule for this work. City Engineer Stone said that Utility Division
Manager Goodrich has identified two projects and is working on projecting when they will
have to be constructed. One of the projects identified is to connect a pipeline to the 530
and 550 zone.
Councilor Woodard commented on the East Butte Heritage Park Residents in this area,
during the National Night Out, only had nice things to say about the sewer district and the
park. The one negative comment was about traffic speeds in the area. City Engineer Stone
said this park is about 70 percent complete.
Councilor Buehner noted when slurry seal was applied in her neighborhood, she attached
notices to mailboxes in the area so people would know when their street and neighboring
streets were going to be worked on. She said she heard a comment during National Night
Out that the initial mailing was received and residents were aware of when their own street
was going to be sealed, but were confused about when neighboring streets would be done.
She suggested posting notices a week in advance on the mailbox complexes when certain
areas are going to be sealed. Streets and Transportation Senior Project Engineer McCarthy
said
qq he'd make a note to do this for next year's slurry seal projects.
�J Council President Henderson noted this report is for the 4`' quarter ending on June
30"'. Most of the projects are multi-year projects. When stating the percentage of the
project done, he would like information about whether the project is on schedule as
projected for the year so he would have a sense of how well the projects are progressing.
1J Council President Henderson referred to the Fanno Creek House. The budget was
$65,000 and expenditures to date are now$121,000,showing 90 percent completion. He
said he noticed the budget adjustment made to accommodate the increased cost. The
project has been ongoing over several years. City Engineer Stone said the increase in project
work was because some of the work anticipated to be done by staff was done by the
contractor.
Councilor Snider said he found the status report to be helpful as it is easy to identify
the budgeted amount versus what was spent during the fiscal year. Adding more
information would be helpful if it coincides with the purpose of the report and commented
on identifying what is trying to be achieved with the report.
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20,2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 97223 1503-639-41711 www.tigard-or.gov I Page 4 of 19
�J Discussion followed on the reporting process and the end of the year fiscal year
reconciliation where there are ending balances for the CIP projects,depending on how much
of the project was completed in the fiscal year City Engineer Stone clarified that by the
nature of where the construction season falls in Oregon versus the end of the fiscal year,
many times a project has just started in the 4`" quarter. City Manager Wine noted efforts are
underway to redefine how capital projects are budgeted.
�J City Manager Wine advised the purpose of bringing this agenda item before the City
Council tonight was to respond to a request for an update about the status of CIP projects.
These updates are scheduled on a quarterly basis.
Q Councilor Woodard said he is looking to receive enough information on the CIP
projects so he can respond to constituents with as much information as possible, thereby
furthering good public relations and adding to the perception of transparency in the city's
operations. He added that the CIP projects represent expenditure of taxpayer dollars and he
appreciates an understanding of the tool set used to prepare the report. With a few tweaks,
the
eegqreport format would be "perfect" for his purposes.
1J Councilor Snider said he is unsure if council needs to know what the fiscal year
budgeted amount is as it relates to what has been spent to date. He said the real question is,
"How much have we budgeted to do the project..." and the budget year is irrelevant. He
said he would like to see something that is more global in scope and, therefore,more
interpretable.
�J City Manager Wine acknowledged that the council,in its oversight role,probably wants
to know the time period over which the project is to be completed and the amount of
money budgeted and to be able to determine whether it is on time,on budget and how is the
performance to deliver the project. Councilor Snider added the carryover issue is more of a
budget,mechanics question and is irrelevant from an oversight perspective. Councilor
Woodard offered that he was looking to determine whether the project was staying within
budget or whether savings could be achieved while delivering quality work.
IR Discussion followed whether the report was providing the information each of the
council members were wanting. City Engineer Stone reminded City Council that the report
represents a snapshot for a four-month period. IR Councilor Buehner suggested staff
include in the report whether the project is on budget and on time.
IJ City Manager Wine advised staff plans to report CIP project status on a quarterly
schedule and the comments offered by the council members tonight have been useful for
staff to consider information to include in these reports. City Engineer Stone said the
process is evolving and he will consider the City Council comments to improve the reports.
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20,2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 972231503-639-41711 www.tigard-or.gov Page 5 of 19
Council President Henderson commented that the fourth quarter report is more significant
and should reflect how well the CIP projects progressed during the fiscal year. Discussion
followed on the need to make it clear with regard to the projects from a budgetary and
financial status perspective, especially in the fourth quarter report.
�J
3. DISCUSSION ON CAPITAL IMPROVEMENT PROGRAM (CIP) PROJECT
PRIORITIZATION �q
Finance and Information Services Director LaFrance presented the staff report: 0
• The city is currently receiving input from citizens over the Internet on the next set of CIP
projects.
• Once the list is made,a prioritization process is followed.
• Priorities are matched up with funding through the budgetary process.
• Council, during the process last year, requested to have earlier involvement in setting
priorities. Feedback from the council was requested on a proposal for council's
participation in the priontization process This proposal included:
o Two hours have been set aside in the November workshop for council to work on
project prioritization.
o A method to weight input from several groups is needed. Currently each
identified group is given equal weight.
o Generally, council does not get too involved with the prioritization of sewer,
storm water, and water (with exception of the partnership) projects. Most of the
council members'involvement interests are in the streets,parks and capital
facilities of the city campus. The November workshop focus will be in these
areas.
o Prior to the November workshop, staff will provide a written summary of each of
the projects to be considered by council. During the workshop council will have a
blank score sheet as they hear a brief description of proposed projects. Council
will be asked to take the score sheet home and within a couple of weeks provide
staff with the top five priorities within each of the systems.
o Individual council feedback will be tallied by staff with a report to the City Council
listing the overall council CIP priorities.
o The council will have another opportunity to agree or disagree with the stated
priority list.
o City Council will have equal input to priorities provided by other parties (advisory
groups and staff) who have input into the process.
o Once the prioritization list is established,the next phase is to enter into the
budgeting cycle. Staff will bring forward a proposed budget that tries to fund the
highest priorities.
o As members of the Budget Committee and then as City Council, council members
will have final say on what is actually funded.
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20,2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 97223 1 503-639-4171 1 www.tigard-or.gov I Page 6 of 19
Council discussion followed on the proposed CIP pnoritization process:
• 1B Councilor Woodard said he thinks it is a good idea to know how other boards
and committees prioritize. He noted the perspectives brought forward by each of
these groups with each being privy to information that could affect how
consideration should be given to a project's priority. Time is often lost when trying
to find out how one project became a priority over others. Without going into a big
production, he said he would like to see something built in the process that gives the
opportunity to look at the prioritization of projects. He said he thinks the scorecard
is a good idea. Finance and Information Services Director LaFrance summarized
Councilor Woodard's suggestion to have the staff and other groups go through the
prioritization process and then submit this to the City Council along with the
scorecard.
• @ Councilor Buehner said the special boards and committees are focused on a
certain area Traditionally,it has been the City Council's responsibility to seriously
consider the input from the boards and committees; they should have more weight
in the priority setting. The City Council does not have the same in-depth knowledge
the specialists possess. Years ago, the Planning Commission was being under-
utilized and the council made one of the commission's assignments to conduct a
review and hold a public hearing on the proposed CIP. This process worked well.
She suggested the city go back to using the Planning Commission to review the CIP.
Councilor Buehner noted the great amount of time it will take to educate council on
all of the proposed projects She views her job on the council to oversee the"large
picture."
• �J Councilor Snider acknowledged the proposal from Finance and Information
Services Director LaFrance was thoughtful and logical. With regard to the
consideration of how to weight the input to follow up on Councilor Buehner's
points, he suggested that community boards should have 50 percent,council 25
percent and staff 25 percent. He said he also saw the vandity of Councilor
Woodard's proposal for more of a council review and final veto opportunity on the
proposals forwarded from the other groups. He noted Councilor Woodard wanted
to have input because of information the council might have that other groups might
not; however,it would be difficult to quantify these factors. Using a rigorous
ranking process to guide prioritization sometimes results in a priority list that ends
upbeing different than what you thought it would be
• �1 Council President Henderson said he would like to see information for the
council to review to determine if the list makes sense when compared to the strategic
plan. This is the council's responsibility and he would not envision a totally different
P6
list from what is submitted to the council.
• I Councilor Woodard explained he did not want to have "veto" rights on the CIP
priority list. In his early service on the council he saw there were gaps due to a lack
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20,2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 972231503-639-41711 www.tigard-or.gov I Page 7 of 19
of cross-pollination of information among the groups. He is looking for a better way
to bring all the information together and for an opportunity prior to the budget
process to gain more understanding of the prioritization lists offered by the boards
and committees.
J In response to a question from Council President Henderson, Finance and Information
Services Director LaFrance advised that whatever process is put into place,we can take the
final prioritization and present it to the Cite Council. The council can then decide to whether
to accept, enhance and/or make changes to the list. City Manager Wine explained that in the
past,by the time the proposed budget is presented, so much has gone into the ranking of
projects and the input of boards that it seemed "late" to make any changes. The purpose is to
give council an earlier opportunity for input.
IR City Manager Wine said the current phase of the CIP is the "call for projects." This
means that anyone in the city can send a message to the City Engineer suggesting a project for
the CIP. This phase will be over at the end of September. After this process, staff could
report to the council the results of the call for projects. Another proposal would be,at the
point when the prioritization process with the boards and commissions is complete, staff can
report the results to the City Council providing a window into the prioritization process.
,1Buehner again referred to the previous use of the Planning Commission and
gave more detail on how that process worked. After the hearing, the commission's
recommendation would be forwarded to council and placed on an agenda well in advance of
when the proposed budget was released. Councilor Snider cited the fundamental purpose of
the request by council was to have an opportunity to have final review of the proposed
priorities. Councilor Buehner offered another way to keep council informed about
perspectives of the boards and committees would be to have council liaisons provide other
council members with a written review.
IJ Assistant City Manager Newton was on staff when the Planning Commission was utilized
as Councilor Buehner described. The situation at that time was different—there was no active
Park Board, there was no Transportation Comrnittee and the Planning Commission served in
the role of providing a lot of those types of oversights. She said she thought it worked well
for the citizens to get access to the process. Street projects received the most input. The
difficulty for staff was that they did not get input on sewer,water, storm or on parks. There
was a hole in the CIP process.
1B Councilor Buehner said her support of the Planning Commission process was because it
was a way to keep the public involved.
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20,2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 972231503-639-4171 1 www.tigard-or.gov I Page 8 of 19
�J Finance and Information Services Director LaFrance acknowledged the staff does not go
out to the public as a whole to weigh-in on priorities. The current process is to utilize the
representatives of the public that council has appointed to the advisory groups by asking them
to participate in a prioritization process. The Planning Commission members have advised
staff that they have representatives serving on other boards and committees and they are
comfortable with the process in place.
lie
4. RECEIVE BRIEFING ON A REQUEST TO ABANDON LOCAL IMT)ROVEMENT
DISTRICT (LID) NO. 1
City Engineer Stone presented the staff report. Key points:
• He outlined the status of LID No. 1 for the Tigard Triangle.
• He provided background information on the LID:
o District was formed in 2008 for improvements along 68`h,69`h,70`h as well as
Dartmouth.
o The majority of the property owners formed the LID.
o Current staff has researched this matter. The),met with former City Engineer Gus
Duenas who reported that dust after this LID was formed the economy fell.
o At the request of one property owner, the project never moved forward to the
design phase. Construction plans have not been completed. A minimal amount of
right of way was acquired from one of the LID participants.
• He advised he received requests from a couple of the property owners that the city
officials give a status update of the LID and determine whether to proceed with the
construction of the improvements. The LID could be abandoned or the LID could
remain in place until such time there is interest by the participants to move forward.
• The purpose tonight is to determine what the council's pleasure is with regard to what
should be done with this LID. Another public hearing could be held on the issue.
�J Council questions and discussion:
• Councilor Snider asked who originally prompted the creation of this LID? City Engineer
Stone said he understands the driving force behind the formation of this LID was Specht
Development. They control a significant portion of the impacted properties.
• Councilor Woodard commented that he has no experience in reviewing LIDS. He said he
needs time to gather information.
• City Engineer Stone advised he has heard from two property owners that they would like to
have the LID abandoned. Mr. Specht contacted City Engineer Stone saying he does not
want the LID abandoned and prefers to have it remain in its current state; formed, but
inactive.
• Councilor Buehner advised she was on the City Council when this LID was formed. There
were plans for major redevelopment, especially by Mr. Specht. She agreed that the
TIGARD CITY COUNCIL MEETING MINUTES-AUGUST 20,2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 972231503-639-41711 www.tigard-or.gov I Page 9 of 19
"economy tanked" but it is finally starting to come back. At this time, her inclination is to
leave the LID in its current state to see what happens in the next year or two.
• Councilor Woodard asked for information about what type of commitment is made by the
city when an LID is formed. Staff responded:
o City Engineer Stone. The original estimates for the construction costs for the LID
were $2-2.5 million. Additional soft costs would raise this amount to about$3
million.
o City Manager Wine: The mechanics of an LID were reviewed. Once the district is
created, the improvements are made and then the property owners are assessed to
their proportionate benefit. The assessments represent the share the property
owners pay towards these improvements. She acknowledged to Councilor
Woodard, that this is similar to how the sewer reimbursement districts are
administered.
o City Manager Wine: The types of improvements an LID provides include streets,
sidewalks and connections to utilities.
o City Engineer Stone: In response to a question from Councilor Woodard, he said
he understands that the only way a property can be removed from the LID is to
hold a public hearing with proper notifications made. At least two-thirds of the
property owners must be in agreement.
• Councilor Snider noted several property owners are present and suggested they each be
given two to three minutes to present their perspective on this LID. Consensus of the
council was to allow the property owners to speak on this matter.
• In response to a question from Council President Henderson, City Engineer Stone said the
construction would be done through a public contract and would be built using the same
process the city follows for a capital improvement project. The money would be budgeted
and then the city would proceed with the construction of the improvements. The city
fronts the costs of the construction,which is repaid by the property owners through
assessments. City Engineer Stone explained there are three options:
o The city can front all of the money for construction.
o The city can pre-assess the local improvement district based on the estimate.
�q o The city can post-assess and the city would sell bonds
Comments from property owners from LID No. 1:
• Kazem Nadri advised he and his wife own property at the following location in the Tigard
Triangle: 11905 SW 69`h Avenue. They did not advocate the LID at time of formation in
2008. They have the smallest piece of property within the LID and purchased this property
for their future retirement plans. The amount of their assessment was a hardship. He said
the property is falling apart and they need to do some improvements on their own. If the
city reconsiders the LID, he and his wife would proceed with improvements required by the
city as they set about to remodel.
o Council President Henderson asked City Engineer Stone if he had any comments on
this testimony. City Engineer Stone said he did not have knowledge or the condition
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20, 2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 972231503-639-41711 www.tigard-or.gov I Page 10 of 19
of Mr. Nadri's property. He referred to the LID map and noted Mr. Nadri's
property has frontage along 69`h Avenue (Tax Lot 7601) so some of the planned
improvements would encompass this property.
• John Kearney advised he lives in Portland, Oregon. He is one of the owners of Dartmouth
Townhomes. This property abuts Dartmouth Street,between 69`h and 70`h Avenues. He
said he and his partners purchased the property in 2005.They received city approval for
seven condominiums. Immediately after they were approved, the LID was formed and they
learned they were going to be assessed $140,000.
At the time Mr. Kearney purchased the property it was "finished all the way around the
perimeter" They were asked to widen Dartmouth Street to the benefit of the cite and not to
them. They were also asked to re-do the street, curbs and gutters that they had already paid
to have put in. At the time, he said Councilor Buehner suggested that something be done
for them because of the improvements already completed. Mayor Dirksen at the time said
that because they were only residential use (commercial rights had been transferred), some
consideration should be made.
Mr. Kearney said at this time there are no plans for the LID work to be done. The property
owners are unable to have the work done themselves. He said this property has been for
sale for nearly five years. The Specht property has also been listed for sale for several years
He noted there is no cost estimate nor is there a timeline for the work to be completed.
They are trying to sell the property and there are no buyers. Mr. Kearney said they bought
the property for$500,000 and it is on the market now for$125,000 because they have had to
lower the price because of the$140,000 LID assessment. Their project can no longer be
built because their approvals have expired. He added he thought the LID was a great idea,
but they have already done their job in beautifying their property on the perimeter. He said
they would like to be excluded from the LID. In response to a question from Councilor
Buehner,he clarified they are requesting their entire property be excluded from the LID.
In response to a question from Councilor Snider about the boundaries of the LID, City
Engineer Stone advised there were a couple of parcels that front on Dartmouth that are part
of the LID and are not contiguous to the rest of the LID area because some of the
improvements were done
�J
• Greg Specht, 15325 SW Beaver Creek Court,Beaverton, Oregon, advised his company was
the petitioner in 2006 for this LID. This followed the previous Tigard Triangle LID created
in 1999 for land south of Dartmouth on SW 69'h Avenue on which they developed the
123,000 square foot Tigard Corporate Center. The project was built on speculation in 1999
and they still own the project. This project would not have occurred without this LID.
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20, 2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 97223 1503-639-4171 1 www.tigard-or.gov I Page 11 of 19
The current LID took about two years to process and there was a significant amount of
money spent by them and the city to get the LID to this point. The LID followed all of the
procedures required and then the economy downturned. Specht planned to build a 70,000
square foot budding that received land use approval by the City of Tigard; however, this was
"put on the shelf' in late 2007.
Mr. Specht said the LID is a valuable tool that the City of Tigard can use to improve land
within the Tigard Triangle that needs improvement He said there have been a lot of time,
effort and money that went into the creation of the district. There are a lot of studies going
on right now. The Triangle is a key piece of the ongoing high capacity transit study. He
noted the Tigard Triangle Strategic Plan is going on now as well. Mr. Specht said it would
be short-sighted to abandon the LID at this time as it would benefit the city as did the 1999
LID.
He said he was unaware of the circumstances for the two other property owners who
addressed the council this evening or what is being required of them. He said, "...there are
too many moving parts in the evolution of the Triangle and the evolution of this part of the
City of Tigard...to abandon the LID. There's no cost to the City of Tigard to hang on to
it."
Mr. Specht says he owns 4.25 acres within this LID and it is not worth what he paid for it.
However,with the economy is in recovery and he anticipates he will eventually develop this
property. He acknowledged that this property is for sale,but it's not going anywhere as
there is not much market for this product now,which is slowly coming back.
I In response to a question from Council President Henderson,Mr. Kearney said the
sewer is in Dartmouth and extends about three feet into Mr. Specht's property.
Summary for next steps:
1J Council President Henderson suggested this matter be taken into consideration and the
property owners will be advised on what the next steps will be.
!CJ City Manager Wine advised there is time held on the City Council agenda for this matter in
September. The hope tonight was for staff to receive direction to determine if there was any
consensus by the council about what they would like to see back from staff
IJ Councilor Woodard commented on his understanding of the situation. One of the interested
parties would like to be removed from the LID so they could make improvements and move
forward. Another interested owner is concerned because of the pending assessment of$140,000 if
the LID is to move forward. He had process questions about whether there is flexibility to consider
accommodation of the requests made by the property owners City Engineer Stone advised that,
assuming the project is completed and bonds sold, the city would have alien on the property for the
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20,2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 97223 1503-639-41711 www.tigard-or.gov I Page 12 of 19
value of assessments. Typically, this would fall under Bancrofting bonding methodology with
payments due twice a year. City Engineer Stone responded to a question from Councilor Woodard
and agreed that if you were living on your property and had no plans to develop your property you
would still be assessed and you would be required to make payments.
City Manager Wine said the mechanism to create the district is about the proportionate benefit to
each property and there is no amendment available to how the hen is structured for properties
within the LID. There are options and each have an implication. These options include:
• Leave the district as it has been without having made the improvements —it is basically
sitting there with no progress made.
• Abandon the LID—would mean the improvements would never be made and this tool
would be lost for a means to fund improvements. Abandonment would alleviate some of
the other issues the LID is creating for other property owners. There is the possibility the
LID could be reconstituted in the future with a different formation. The LID formation
process is lengthy.
• Go ahead with the improvements and assess the properties.
Councilor Buehner said she commented in 2008 that,given the fact that there had already
been substantial improvements placed on Dartmouth,should there be some adjustment made to
recognize that those had already been constructed. At the time, the city engineer said this should be
evaluated as we are ready to go ahead to decide how much that amelioration would be. But then,
the economy stalled out and the LID just sat. The response was that,"yes,we should probably do
something,but that something never got explored..."
R:J Councilor Snider said he sympathetic to the concerns of the property owners. He asked Mr.
Kearney why he thought he was unable to sell the property. Mr. Kearney replied it is a combination
of a lot of factors,including the pending hen on the property because of the LID. Councilor Snider
referred to the unknown assessment amounts with no plans to go forward with the LID. Mr.
Kearney said he heard from City Engineer Stone in July there are no plans for the LID,so the
property owners cannot even arrange to have this work done independently.
19 Mr. Specht commented on the effort in 2006/07,which included preliminary plans and
estimates associated with those plans. There were specific improvements proposed for every piece
of property. The cost of those improvements resulted in the future potential assessment for each
of the properties to be applied upon completion of the LID. This information should be available
in city documents. Money was spent to get through to the preliminary engineering studies to price
the cost of the improvements and allocate the assessments appropriately.
IR Mr. Kearney pointed out that when this was adopted,it was done under an emergency
measure. He also was under a non-remonstrance, so he was precluded from arguing about the
formation of the LID. This non-remonstrance was a condition of the Site Development Review
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20, 2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 97223 1 503-639-4171 1 www.tigard-or.gov I Page 13 of 19
(SDR),and this SDR has since expired,which is why he is now arguing against the LID. In
response to a question from Councilor Buehner, he said they paid for an extension on the SDR and
the extension was granted. When lenders saw there was a potential$140,000 lien on the property,
they said they would not finance construction of the project.
RJ In response to a question from Councilor Woodard,City Engineer Stone advised that when an
LID is formed, an engineer's report is prepared. This report gives a rough description of where the
project is,who is going to pay for it,what are the improvements and identified estimated costs. One
alternative is to front the costs by the city. City Manager Wine said an LID is a financing
mechanism. The city would be in a position of selling bonds to pay for the improvements.
!fJCouncil President Henderson asked if the LID could be changed City Engineer Stone
advised that the council adopted a resolution forming the LID. Specific properties required to
reimburse the costs of the improvement district are named in this resolution. (City Recorder's Note.
See Resolution No. 06-10, Resolution No. 07-75 and Ordinance No. 08-03.) If the boundaries are to be
changed, then City Engineer Stone recommended that the council conduct another public hearing.
IR Councilor Buehner said there were several other properties along Baylor Street originally
proposed to be included in the LID that were excluded from the LID when it was formed.
Councilor Buehner discussed with Mr. Specht the fact that some of his properties were also
eventually excluded from this LID,which were on Baylor Street. The street improvement proposed
in the LID would not extend to Baylor Street
0 Councilor Snider asked City Engineer Stone if he has received any input from any other
property owners inside the current LID that are not here tonight. City Engineer Stone said he has
not heard from any other property owners; however, the only way to get input from all the property
owners would be to notice a public hearing.
19 Councilor Snider said he was troubled with the concept that this created and imposed burdens
on individual landowners with nothing being done for five years. City Engineer Stone and City
Manager Wine commented that this is an unusual situation. Councilor Snider asked for consensus
from the other council members to conduct a public hearing to consider removing Tax Lots 7600
and7601from the LID.
1J City Manager Wine summarized that there is not a lot of flexibility in the law associated with
the mechanics of changing an LID. The city would need to potentially abandon the LID and then
reform it. City Engineer Stone said the city attorney would need to weigh-in,but he thought the
council could consider changing the boundaries of the LID;however,proper notification must be
given and a hearing conducted.
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20, 2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 97223 1 503-639-4171 1 www.tigard-or.gov I Page 14 of 19
8 Councilor Snider said he believes this represents an undue burden on property owners and
making them watt longer is unfair. An alternative aught be to pre-assess and move forward with the
infrastructure improvements specified within the LID.
10 Mr. Kearney made a suggestion affecting his properties. He noted the 72"' intersection is being
improved to handle increased traffic using gas tax and traffic impact fees. He said his property is
similar in that the road will be widened to put in a bike lane and accommodate more vehicles. This
benefits the city and does not benefit his property. He said this improvement could be funded by
gas tax or traffic impact fees and would be more equitable. He responded to a question from
Councilor Woodard and advised the perimeter improvements on his property have already been
made.
10 Mr. Nadn's property has 75 feet of frontage.
IR Engineering Manager McMillan commented on the triangular piece of property owned by Mr.
Kearney. Land use decisions were made on this property before Mr. Kearney purchased the parcel.
Engineering Manager McMillan said the code requires that improvements should be made to a
certain street width with a set aside for an 11-foot nght-of-way preserve strip. This was why there
was a non-remonstrance in the SDR. At the time, the city had the developer do the improvements
around the perimeter of this property. She said Tom Sterns'development did these improvements
when they built an office building at 68`"Avenue. The floor area ratio (FAR) was taken off the site
now owned by Mr. Kearney and transferred to Mr. Sterns'property,which is why he was required to
build the improvements. The city purchased the right of way along the Kearney site and there is a
documented land use decision that this street is to be built to the ultimate width. This is stated
within the land use case. Regardless whether this property is removed from the LID,it will be
Kearney's property's burden to build this in some manner when the property is developed. When
the TVF&R building was constructed, the builder chose to build the full improvements. The
Kearney property was pulled into the LID due to this history—it looks odd and appears not to be
contiguous. However it is contiguous if you follow the curb lines.
4J In response to a question from Councilor Snider,Engineering Manager McMillan clarified that
the requirements are tied to the original land use (the Tom Stern development),which is when the
original curb and sidewalks were built. Councilor Snider commented that this would be true for
anything—what the LID provides is a funding mechanism so the work can be done. He said that
would be irrespective because the land use requirements would still drive the fact that the work
would have to be done. Engineering Manager McMillan said this property (and other properties)
could be removed from the LID and the property owner could construct the improvements. She
said the point is those improvements will have to be made for the property to develop.
ORMr. Specht said that it seemed to him that if the widening of Dartmouth was a requirement
when Mr. Kearney purchased the land, the land use approval for that development was public
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20,2013
City of Tigard 113125 SW Hall Blvd,Tigard,OR 97223 1 503-639-4171 1 www.tigard-or.gov I Page 15 of 19
record and the conditions of approval were known at that time. So, the widening of Dartmouth,as
a requirement of any future development would have been known and was available to the buyer.
This was not a surprise.
8 Mr. Kearney said that it was a surprise to them because when they had their approval issued on
November 7,2007, they had a three-week period in which to challenge or appeal. During that
appeal period, they asked city staff person Greg Berry whether there any LIDS coming because that
was identified in their SDR (Item No. 29). Mr. Berry told them there were no LIDS planned.
However, from what Mr. Specht has said,in 2005 and 2006,they were working on this LID. Three
weeks after Mr. Kearney's appeal period ended for the SDR,they received the notice of the
imminent LID affecting this property.
,10 Mr. Specht commented he thought the condition for widening the road was attached to Mr.
Sterns development. Mr. Kearney said this was not a condition for widening but to reserve the
right of way for the future.
I1 Council President Henderson advised the city will review this matter. Property owners will
receive notice of any future consideration by the council. City Manager Wine added that staff will
conduct additional research based on some of the issues that have come up this evening.
5. BRIEFING ON AN INTERGOVERNMENTAL AGREEMENT TO PROVIDE SEWER
SERVICE TO RIVER TERRACE
Sewer/Nater/Storm Senior Project Engineer Murchison presented the staff report. The purpose
of the IGA is to reimburse Clean Water Services and the City of Beaverton for the construction of
the sewer line that is part of a Washington County road project along Scholls Ferry Road. Staff
recommends that the council review the IGA. Staff will return to the council in September to
consider the approval of the IGA.
G
6. DISCUSSION ON TOPICS FOR UPCOMING COMMUNITY SURVEY
Assistant City Manager Newton presented the staff report. This is the opportunity for the council
to weigh-in on the topics or issues of interest. The survey this year will be more robust than last
year. Ms. Newton advised the online version of the survey would especially play a bigger role and
focus groups would be utilized to attempt to target a variety of community demographics.
Council comments regarding survey topics:
• Councilor Snider is interested in finding out how people feel about the city securing the
additional 4 mgd for water through the partnership with Lake Oswego.
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20,2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 97223 503-639-4171 1 www.tigard-or.gov I Page 16 of 19
• There was some discussion whether there are plans are to ask any questions about the
public art since the last communication from the council to the artist was to develop an
alternative to his original proposal. The art concepts could be part of the survey process;
i.e., the focus group.
• Councilor Buehner supported an inquiry about the public's view on the four-day work
week at City Hall and the Thursday closure of the Library.
• Council President Henderson would like this survey to parallel (somewhat) the previous
survey for comparison. Assistant City Manager Newton indicated there plans to have
areas of similarity and also new topics to probe on other issues.
• Councilor Woodard commented on the success of the National Night Out and ways to
build on this;i.e., contact people who hosted the event in their neighborhood to determine
if they would be willing to get people out for a Town Hall meeting. Through his
investigation he found out that AARP would offer their"people poll" technology to the
city at no cost. He spoke to finding opportunities to bring in people to interact who
typically do not. Assistant City Manager Newton referred to the scientific aspect of the
survey and the need to tap into the variety of demographics. The"people poll"would
represent another data point.
• There was discussion about a "cafeteria plan" segment of the survey process. Councilor
Snider thought it would be interesting to have people select whether or not they even
wanted to have certain services provided. Assistant City Manager Newton advised service
q priority is an area on the survey.
Council President Henderson recessed the City Council meeting and convened the City Center
Development Agency meeting.
7. CONSIDER A RESOLUTION AWARDING A TARGETED IMPROVEMENT PROGRAM
MATCHING GRANT
Redevelopment Project Manager Farrelly presented the staff report. The proposed resolution
would award the Agency's second Targeted Improvement Program Matching Grant. The grant is
to go to a unique business that is a potential catalyst to attract new customers and businesses to
Main Street. The recommended business is Jeffrey Allen Home Decor. Redevelopment Project
Manager Farrelly gave background on the proposed grant recipient's business operations. A
PowerPoint slide presentation showed a rendition of the proposed business on Main Street, this
presentation is filed with the packet materials.
Redevelopment Project Manager Farrelly reviewed the proposed improvements to the building for
the business.
Staff and the Urban Renewal Improvement Projects Joint Committee offered that this business
has a strong commitment to good urban design and a real potential to rebrand downtown and
Main Street. On July 30, the Joint Committee formally considered the application and found the
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20,2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 972231503-639-4171 1 www.tigard-or.gov I Page 17 of 19
owners experience and business plan to be strong and recognized the matching grant will leverage
almost three times the amount of grant money in private investment The Joint Committee
recommended to the City Center Development Agency Board approval of a $75,000 matching
grant.
Councilor Buehner, who serves on the Joint Committee said she was extremely impressed with the
proposal and the committee strongly recommended CCDA Board approval.
Mr. Peter Luong of Jeffrey Allen Home Decor, owner of the building, discussed with council his
plans for the business and property in the downtown They specialize in unique antique
furnishings and decor and attract people from all over the state.
�J Motion by Director Snider, seconded by Director Buehner, to approve CCDA Resolution
No. 13-03.
CCDA RESOLUTION NO. 13-03 --A RESOLUTION AWARDING A TARGTED
IMPROVEMENT GRANT TO JEFFREY ALLEN HOME DECOR
The motion was approved by a unanimous vote of City Center Development Agency Board
members present.
Chair Cook Absent
Director Buehner Yes
Director Henderson Yes
Director Sruder Yes
Director Woodard Yes
JRCCDA Director Henderson announced the CCDA Executive Session:
• EXECUTIVE SESSION: The Tigard City Center Development Agency will go into
Executive Session to discuss real property negotiations under ORS 192.660(2) (e).All
discussions are confidential and those present may disclose nothing from the Session.
Representatives of the news media are allowed to attend Executive Sessions,as provided by
ORS 192.660(4), but must not disclose any information discussed. No Executive Session
may be held for the purpose of taking any final action or making any final decision.
Executive Sessions are closed to the public.
(Executive Session convened at 9:08 p.m. and concluded at 9:42 p.m.)
8. NON AGENDA ITEMS• None
9. COUNCIL LIAISON REPORTS: None.
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20,2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 97223 1503-639-4171 1 www.tigard-or.gov I Page 18 of 19
10. ADJOURNMENT—9:42 p.m.
Motion by Councilor Snider, seconded by Councilor Buehner, to adjourn.
The motion was approved by a unanimous vote of City Council present.
Mayor Cook Absent
Council President Henderson Yes
Councilor Buehner Yes
Councilor Snider Yes
Councilor Woodard Yes
I
.�..r
Catherine Wheatley, City Recor er
Attest: C
Mayor, 1of Tigarrd
Date: /
I:\adm\cathy\ccm\2013\final minutes\08 august\130820 final.docx
TIGARD CITY COUNCIL MEETING MINUTES—AUGUST 20,2013
City of Tigard 113125 SW Hall Blvd.,Tigard,OR 97223 1503-639-41711 www.tigard-or.gov I Page 19 of 19