City Council Minutes - 02/21/2017 A
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TIGARD City ofTigard
Tigard Workshop Meeting Minutes
February 21, 2017
1. WORKSHOP MEETING
A. Mayor Cook called the meeting to order at 6:34 p.m.
B. Deputy City Recorder Burgoyne called the roll.
Name Present Absent
Councilor Goodhouse ✓
Council President Snider ✓
Councilor Woodard ✓
Councilor Anderson ✓
Mayor Cook ✓
C. Mayor Cook asked those attending to stand with him for the Pledge of Allegiance.
D. Call to Council and Staff for Non Agenda Items—None.
2. 2017 ANNUAL COURT REPORT
Central Services Director Robinson and Municipal Court Judge O'Brien presented this item. Judge
O'Brien gave an overview of court programs and discussed the top three programs:
• Traffic
• Civil infractions
• Public information
Judge O'Brien discussed highlights of 2016,annual caseload comparisons from 2012-2016,talked
about 2016's most common violations and dispositions,explained the diversion program and the
requirements of the program,went over safety education programs,compliance program and 2016
budget highlights. He discussed the use of electronic resources,including email communication and
an increase of online payments and increased average amount of fines collected,and discussed
expansion to the cellphone statute.
Central Services Director Robinson said that using more electronic communication tools is one of
the goals for next year,and in doing so,will help increase the court's compliance rate. She explained
that currently they are collecting email addresses and sending court related material to both the email
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and mailing address on file.
Council President Snider asked the Judge if he has an opinion or experience about the use of the
Photo Red Light Enforcement program. Judge O'Brien replied there is a concern between policy
and public safety vs citizen privacy. He stated he has worked on several hundred cases involving the
use of photo red light and hasn't seen a large impact to trial cases due to its use. Administratively
there are some challenges,but the study that was done suggests an increase to public safety. Judge
O'Brien explained there is some frustration regarding the use of photo red light due to people not
receiving the original citation because they have moved. He said it can create a challenge because
people believe they are entitled to relief when the law states they may not be.
Mayor Cook asked about the court's new collection agency and if there was an increase in
collections. Ms. Robinson said they started working with the new collection agency in November
and communication and collections have been better.
3. SECOND QUARTER BUDGET COMMITTEE MEETING WITH COUNCIL
Information Services Director LaFrance explained they have a number of new people on the Budget
Committee and asked those in attendance to introduce themselves. Members of the Budget
Committee in attendance were: Mayor John Cook,Council President Snider,Councilor Goodhouse,
City Manager and Budget Officer Marry Wine,alternate member Rajendra Patel,citizen Tom
Schweizer,citizen William Ludwig,Finance and Information Services Director Toby LaFrance,
citizen Stephanie Veal,citizen Clifford Rone,Councilor Anderson and Councilor Woodard. Mr.
LaFrance thanked everyone for coming and introduced additional city staff who would be assisting
with Budget Committee meetings.
Mr. LaFrance discussed the upcoming budget meeting dates,budget training,city funds,
expenditures and revenues and preparation for the FY 2018 budget. He explained how expenditures
and revenues will change over time and gave some history on past expenditures,and how half of the
revenues collected are from property taxes and are not received until the end of November or
beginning of December,so there are approximately four months the city lives off of reserves in the
budget. He talked about the rainy day fund,decisions discussed last year and the memo from the
City Manager to city staff with budget instructions and the need for a"hold the line"budget. He
explained the city is unable to grow staff,but increase in demand is still growing. He discussed the
local option levy and what is needed to provide services the community is demanding. Mr.
LaFrance encouraged members of the Budget Committee to ask questions.
Budget Committee member Ludwig asked if in this round of planning there is more concern with
the FY 2018 budget or the FY 2023 budget. Mr.LaFrance replied both,because anything they do
now impacts future budgets. City Manager Wine added that the intent is to develop a budget that
will make decisions for FY 2018 easier as well as what comes after that. Ms.Wine said there is a
strong emphasis on seeking a local option levy and the city's hope is that the Budget Committee will
be a key player in helping the city plan ahead for future years. She said the next year is relatively
straight forward with balancing the budget and it's really about seeking a local option levy.
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Mr. LaFrance said they were given two very distinctive goals for the upcoming budget cycle and
those are to pursue a local option levy and to continue discussion on the approximately$900,000
which is roughly one percent of the general fund. The hope is that as the Budget Committee is
prioritizing,staff would like to use this time to talk about pursuing a local option levy which will
provide services to the entire community.
Mayor Cook explained if there are services departments want or need,they can be brought forward
to the Budget Committee for discussion,but will need to be done by submitting a white paper. He
said the budget cycle doesn't account for a recession.
Mr. LaFrance said from a revenues standpoint,Tigard has been really good about finding revenue
drops in the bucket;they aren't large amounts,but they have been able to close the gap. He said
they are seeing growth in the community,but not growth to city services.
Budget Committee member Rone asked if current budget information includes at least some results
of the Capital Improvement analysis that was done and how to begin the process for that.
City Manager Wine said the city has completed a building condition assessment and has launched a
Civic Center Visioning project that will give the city a sense of what it might look like if we were to
replace or remodel the existing building. She said one of the distinctions that Mr. LaFrance made is
that capital investments would come from a bond or another kind of investment that comes from a
voter approved measure.
Budget Committee member Rone said they may need more ongoing revenues for additional
investment in addition to going out for a bond,and is glad to see things moving forward with the
River Terrace development.
Mayor Cook thanked the Budget Committee for attending and for all they do.
4. RECEIVE A REPORT ON THE INITIAL PHASE OF PUBLIC OUTREACH FOR
POTENTIAL BALLOT MEASURES
Senior Management Analyst Wyatt introduced John Horvick with DHM and said members of the
Tigard Leadership Team were present for the discussion.
Leadership Team members present included: Public Works Director Rager,Human Resources
Director Bennett,Community Development Director Asher,Assistant City Manager Newton,City
Manager Wine,Library Director Barnes,Community Services Director Robinson,Police
Commander Rogers and Finance and Information Services Director LaFrance.
Mr.Wyatt said they had completed the first telephone and online outreach survey and that this was
the first of three surveys and focus groups before a final report would be issued.
Mr. Horvick provided background on himself, talked about the purpose of the survey,methodology
and key findings. He said they started the survey off broad—"Is Tigard heading in the right
direction"and continued to ask satisfaction related questions. He explained there is a high
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percentage of those surveyed that are satisfied with services and the value received,however,
confidence is slightly lower. He went over city services provided and where they ranked in overall
satisfaction and value for which services tax payers are willing to pay more,overall attitude towards
city funding,if taxes were increased how should that be allocated,overall response of who should be
paying more (businesses or residents),and if voters would support a Photo Red Light program. He
said there doesn't seem to be much of an appetite now for a tax increase and talked about
recommendations so that voters feel they are getting a good bang for their buck.
Mayor Cook asked Mr. Horvick what the next steps are going forward. Mr. Horvick said they have
an opportunity to do additional surveys and those surveys should tackle narrowing down the policies
and services the city wants to ask voters about,and where there are information gaps in
understanding city financing. Where people get information and who they trust for their
information is important as the campaign is developed.
City Manager Wine said the purpose of bringing these results to council is to discuss what the
community thinks and what the community needs to know. She said the leadership team has
discussed these results and the need for some level of communication so the public is aware that
services could be at risk due to lack of funding. She asked for suggestions on what the city should
include in the next survey.
Mayor Cook explained there could be funding concerns if the community continues to grow and
explained how that would affect the future.
Councilor Goodhouse said they haven't really let the public know what the future looks like and
how funding is allocated and where the city is at vs where the city should be. He said there is a need
to get the word out and to paint the picture of what's actually going on and the best way is to
communicate first before asking for money. Mayor Cook agreed that preparing the public for
investment is key.
Council President Snider stated he is surprised by the findings and that some are inconsistent with
the facts,and he is concerned about this. He talked about the recent failed gas tax measure and how
he is really concerned going forward.
Councilor Woodard said that looking at the survey there are good things that came out of it. He
recommended that in the next survey they focus on population growth and expanding the areas of
participation,so that the data point is larger.
Mr. Horvick said this was a large number of responses to get from a telephone survey and explained
why they had reached out to the areas they had.
Councilor Anderson said he's interested to see how long citizens who respond to the survey have
lived in Tigard;new residents vs residents who have lived in the city longer and what their
satisfaction is.
Mr. Horvick explained that typically voters have a higher education level than non-voters do and
that more females respond to survey's than males.
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Councilor Goodhouse suggested throwing in a question in the next survey regarding Tigard's tax
rate vs other cities and see if the public is willing to increase the tax rate and by how much.
Council President Snider talked about how to ask the question about tax rates in Tigard and how the
city should get across the need for more funding.
Budget Committee member Rone said he doesn't know where the average citizen gets their
information from and that according to a recent survey many are not able to capsulate the data once
they do receive it.
City Manager Wine said the next survey will focus on understanding where the public gets their
information and said that council will need to make a decision whether to put a measure out to
voters,but in the meantime,Tigard can move the needle on what they think the public knows. She
said communication and educating the public is how the city will get information out to the
community in order for movement to be made in increasing awareness.
Council President Snider suggested sending out a city report card to residents.
City Manager Wine acknowledged Council President Snider's concerns about getting the message
out and said the communication team is working on ways to do that.
Mayor Cook will keep engaging the public,increase public outreach and talk more at council
meetings.
Councilor Woodard said education outreach is a good idea to build up a level of confidence and if
council says funding will be in one bucket,they need to make sure it's in that bucket.
Councilor Goodhouse said the average citizen doesn't have time to collect data, so the citizens have
elected and entrusted council to make these kinds of decisions.
5. EXTERNAL FINANCIAL AUDIT&CAFR PRESENTATION WITH MOSS ADAMS
Finance and Information Services Director LaFrance introduced James Lanzarotta and Keith
Simovic of Moss Adams who would be presenting this item and providing information on the FY
2016 audit they performed.
Mr. Lanzarotta said they had completed the audit back in December and were before council to
present those results. He talked about the audit,engagement with staff and the Audit Committee.
He explained they are tasked to look independently at financial records and the city's internal
controls to make sure everything in the books are reflected correctly and then evaluates those to
make sure things are legally compliant. He explained in Oregon the Audit Division governs
compliance,the most significant being the city's budget,budget process and administration of it
once it's been adopted. Additionally,other areas are tested such as the city's procurement process to
make sure the process is transparent and the city is doing things according to statute. Finally,they
do a technical review of the document. He said it was fun to work with city staff and complimented
the Audit Committee on being engaged in the process.
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Mr. Simovic talked about the Comprehensive Financial Report,a separate report for the City Center
Development Agency and a separate letter to the report that highlights the overall governance and
how the audit went. He said the most important thing is issuing the audit report,which is an
unmodified and clean opinion that financial statements were free of material statements or fraud. He
said management was ready when they arrived on site,books were reconciled,and internal controls
that were set in place are operating effectively. He commended staff and said everything,including
the CCDA was in a clean state. Mr. Simovic discussed the few areas of concern;city failed to list
date,time and location of the Budget Hearing on June 14,2016 and there was an over expenditure
of the budget in the Urban Forestry Fund,both being minor concerns,but are listed in the report.
Mr. Simovic discussed the communication letter and its content,stating that Moss Adams issued
everything on December 20`'which is before the state required deadline of December 31. He noted
audit adjustments:
• Correction to the calculation of the right-of-way property.
• Correction to the calculation to capitalized interest.
• Removal of land that was sold throughout the year,but wasn't reflected in the financial
records
• Correction to the recording loss of refunding on the 2011 Library Bond
• Correction to the recording of recognized donations received as revenue and not as
liabilities on the financial statement.
• Correction to the transfer from the gas tax fund to the transportation IP fund that was
recorded in error.
Mr. Simovic said they did not encounter any difficulties in the audit,there were no limitations,no
disagreements with management and only a few minor internal control recommendations,of which
none rose to significant sufficiency.
Mr. Lanzarotta said that Tigard has a fair level of complexity with the Lake Oswego joint venture,
and that city management reached out to them to make sure the city accounts for this in the books
correctly. He said the audit is really designed to determine that the document is accurate and reflects
the correct balances and is not directed towards how the city is operating efficiently or effectively.
He explained there are a number of positive indicators that the city is doing well;one being the that
the city's assets have grown over the last ten years and longer term planning of the city's finances
look good.
Councilor Woodard asked how the city had an over expenditure in the Urban Forestry Fund and
why did the city have the Donation Fund inaccurately listed.
Mr. LaFrance explained that with the Urban Forestry Fund,there was a capital project with invoices
coming in late and there was no time to make the adjustments to the budget. As for the error to the
Donation Fund being tagged as liability,this was due to the timing of year. Mr. Lanzarotta
explained the people who managed these particular donations weren't ready to allocate or spend
funds yet and this adjustment was due more to the methodology in tracking than anything else..
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Council President Snider said these errors in past adjustments have been occurring now for the past
couple of years and said the city needs to be vigilant,and though there isn't an easy solution,this
needs to be fixed.
Mr. LaFrance said that two-thirds of the city's financial team that worked on this audit have recently
gone to work for other organizations,so in the next round of the budget they will have new staff.
6. TIGARD TRIANGLE LEAN CODE UPDATE
Community Development Director Asher,Assistant Community Development Director McGuire
and Associate Planner Caines presented this item.
Mr.Asher said the Tigard Triangle is the future of the city and staff is hard at work to plan this area
to its fullest potential and the use of the Lean Code will be the primary implementation tool. He
provided an overview on the Lean Code,what's included in it and amendments. He said the world
is changing,cities in other states are changing,and there is a new concept of planning for healthy
communities. They are trying to replace requirements that are getting in the way of development
implementation and the Triangle is a good example of this due to the site location. Lean Urbanism
allows for an organic way of development to occur and regulatory requirements have made
development time consuming and expensive and as a result,small businesses are shut out and this is
the reason small sites do not get developed.
Mr. McGuire explained this Code will be different from standard Code in the rest of the city and
that staff is excited about this and they are receiving favorable responses from property owners. He
said creating a set of standards will allow for an over the counter land use process. He discussed the
flooring ratio and minimum density being controlled by building height and lot size,parking will
now be allowed behind building or within the structure and development standards can be adjusted.
Those adjustments can be approved if the development meets the walkability and/or pedestrian
space requirement.
Mayor Cook wanted the public to know this doesn't mean people can develop in wet land areas.
This change does not affect land-use laws,just the city's land-use Code. Mr.Asher explained that
this is a change to the city's Development Code and not the Building Code which are constructed to
meet fire and life safety requirements and there will be no repeal to sensitive lands requirements.
Mr. McGuire explained this will only impact the majority of commercial and residential land areas.
Mayor Cook asked why only four to six story buildings in height would be allowed and not more.
Mr.Asher replied the more generous the height limit is,there is a belief the property is worth more
money,and additionally, staff doesn't think the Triangle neighborhood is a place where towers
should be built.
Councilor Goodhouse asked about parking requirements and issues. Mr.Asher said parking will still
be regulated, however they will not require a minimum amount of parking. He said very few
developers and banks are interested in building structures without parking units,and he believes the
market should regulate the need for parking,and they would like to concentrate more on things like
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streetscape.
Councilor Woodard asked about equitable housing vs affordable;was there any discussion about
affordable housing in this area and does that need to be added to the Development Code. Mr.
Asher said the city doesn't want to regulate income levels in the Code,but they are talking about
affordable housing.
Ms. Caines explained what will be regulated and how to encourage activities within developments:
• Require openings in buildings so that people can see what's going on inside and have
entry points off the street.
• Require there to be space behind windows that will promote pedestrian interaction.
• Allow parking and loading areas to be located behind buildings and be screened in.
• Encourage private plazas and courtyards that can be used by the public, so that activity
inside the buildings will spill out into the plaza/street.
• Focus on retaining existing trees onsite for preservation of canopy covering and
requiring additional trees to the site and in parking lots.
She said the Triangle area is unique and connectivity and transportation is important. She said street
sections will be standardized throughout the Triangle so there is connection outside the Triangle.
Ms. Caines explained that because smaller developments cost more,they are proposing street
sections be at a specified threshold,however,in lieu of meeting this requirement,the developer
would be required to do something in exchange,like dedicating the right-of-way.
Council President Snider asked what the implications are to funding for not requiring certain
improvements. Ms. Caines explained a big piece of this would be urban renewal,requiring the right-
of-way dedication and increasing the city's "fee in lieu"option.
Mr.Asher said that one of the key concepts is that the city has to think incrementally;and often
times,small developments don't pencil out and do not make it past the door to pre-application. He
feels that the city needs to be more imaginative in their thinking in order to make these smaller
developments affordable,and this is one way to accomplish that.
Ms. Caines said staff is still working on edits and said the city attorney has looked at what has been
done so far. She said planning staff is also working with engineering staff to review and make sure
it's where they want it to be before going forward,getting feedback from some of the property
owners and developers in the Triangle and asking how to develop a large site over time. She talked
about adding alleyways behind buildings.
Councilor Goodhouse asked if businesses could face alleyways. Mr.Asher said they could,but it
would be more difficult in making the site work,and the key thing is to include access for other
things in areas where street frontage is treated more for pedestrian use. The more the city regulates
the street frontage (like they are doing),the more important it is to make sure the site isn't being cut-
off for other things.
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Ms. Caines said that in addition to looking at modifying the Code,staff is looking at the
Transportation System Plan Amendments and doing a traffic analysis.
Mr.Asher went over the schedule and said the hearing process is scheduled to begin in May,will go
before the Planning Commission in June and before City Council sometime in August.
Council President Snider asked what developers think about this. Mr.Asher said that most are not
interested in reading Code unless they have a current project underway,but that they are starting to
speak with property owners and developers.
Mayor Cook said there are aspects of the Lean Code that are good and people are saying they like
parts of it and said it will be interesting to see how all aspects of it are interacted. Mr.Asher
explained they are trying to make the requirements easier and less expensive.
7. NON AGENDA ITEMS—None.
8. EXECUTIVE SESSION—None.
9. ADJOURNMENT
At 9:26 p.m. Council President Snider motioned to adjourn the meeting and Councilor Woodard
seconded the motion. Motion was approved by unanimous vote of council.
Name Yes No
Councilor Goodhouse ✓
Council President Snider ✓
Councilor Woodard ✓
Councilor Anderson ✓
Councilor Mayor Cook ✓
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