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City Council Minutes - 09/18/2001 MINUTES TIGARD CITY COUNCIL MEETING September 18, 2001 1 . WORKSHOPMEETING 1 .1 Mayor Griffith called the meeting to order at 6:32 p.m. 1 .2 Roll Call: Mayor Griffith; Councilors Dirksen, Moore, Patton and Scheckla. 1 .3 Pledge of Allegiance 1 .4 Council Communications& Liaison Reports None 1 .5 Call to Council and Staff for Non Agenda Items City Manager referred to the Administrative Items for Review Agenda, which is on file with the City Recorder. These items were reviewed in more detail at the end of the meeting. 2. DISCUSSION OFSIDEWALK MAINTENANCE ON MAJOR COLLECTORS City Manager Monahan referred to a request from the Summerfield Civic Association to delay the discussion of this item until November 20, 2001 . Consensus of the City Council was to reset this agenda item as requested. (Agenda Item No. 4 was discussed at this point in the meeting.) 3. BUDGET COMMITTEE MEETING oo Budget Committee Chair George Burgess called the meeting to order at 7:09 p.m. oo Roll Call: Chair Burgess Committee Members Benner, Dirksen, Griffith Moore, Moser, Patton, Scheckla, Sherwood, and Zuffrea. 3.1 Update on Financial Issues - Cook Park Project/O ECDD Loan Finance Director Prosser updated the Budget Committee on the Cook Park loan in the amount of $2.29 million. This item isalso one of the mattersto be review in the Supplemental Budget Hearing (see Item 3.2). Additional details on this loan are on file with the City Recorder. - Photo Radar Several positions had been designated in the Budget for the anticipated enforcement and processing relative to implementation of Photo Radar. Mr. Prosser reported that the cost:benefit ratio of the program does not appear to work for the City of Tigard. This program was tabled. COUNCIL MINUTES— September 18, 2001 page 1 - Telecommunication Franchise (Qwest vs. The City of Portland) M r. Prosser briefly reviewed the court case with regard to the Qwest vs the City of Portland franchise fee matter. This case could impact the City of Tigard. Qwest has advised the City of Tigard they will not be sending the franchise fees usually collected by the City until the outcome of the above- referenced case is known. The amount usually received from Qwest is approximately $45,000 per year. Verizon advised that they will continue to pay franchise fees, but under protest. If Qwest is successful, Verison will expect a refund. The total amount of franchise fees collected by the City of Tigard that could be affected is$420,000 per year. League of Oregon Cities has hired a financial expert to sort through the issues relating to the Qwest matter. It was noted that the City may need to start thinking about a reserve amount for franchise fees during the Budget process. - Other Items Mr. Prosser added that a position was added in the Finance Department. One of the responsibilities of this new position is to review all fees and charges A draft summary of current fees and charges was distributed to departmentsfor review. 3.2 Supplemental Budget Hearing - Open public Hearing: Budget Committee Chair Burgess opened the public heari ng. - Present Staff Report: A detailed outline of the funds that were under review for this supplemental budget hearing is on file with the City Recorder. The supplemental budget focused on the Parks SDCs and Underground Utility Fees Finance Director Prosser reviewed the information that had been previously distributed to the Budget Committee. - Receive Public Testimony: There was no public testimony. - Close Public Hearing: Budget Committee Chair Burgess closed the public hearing. - Budget Committee Consideration: Motion by Budget Committee Member Benner, seconded by Budget Committee Member Moser, to approve the Supplemental Budget for the City of Tigard and refer it to the City Council for a Public Hearing on October 9, 2001 . COUNCIL MINUTES— September 18, 2001 page 2 The motion passed by a unanimous vote of Budget Committee members present (10-0)- Chair Burgess and Committee Members Benner, Dirksen, Griffith Moore, M oxer, Patton, Scheckla, Sherwood, and Zuffrea all voted yes. 3.3 Status of Fiscal Year 2000-01 Year-End (preliminary results) Finance Director Prosser reviewed the status of the FY 2000-01 year-end budget. Mr. Prosser distributed the unaudited ending fund balances for the current fiscal year and reviewed the information with the Budget Committee. He noted that most fund balances looked good. ❖ Budget Committee M eeting Adjourned- 7:33 p.m. ❖ Council Meeting Reconvened: 7:35 p.m. Agenda Item No. 5 wasdiscussed at thistime. 4. UPDATEON INSURANCE PROGRAM Risk Manager Loreen Mills introduced this agenda item regarding updated information for the City's insurance program for property, casualty, and worker's compensation. Ms. Mills introduced Ron Graybeal, the City's Agent of Record. Mr. Graybeal summarized information on worker's compensation, property and liability insurance as well as introducing the proposal that it may be time for the City to confider becoming self-insured. A PowerPoint presentation was delivered to the City Council and a copy of the presentation is on file with the City Recorder. The City participates in City County Insurance, which is a " pool," and not an insurance company. The process of how to determine whether self-insurance is the way to proceed reviewed. The processwould include an actuarial study to determine the amount of funds to set aside to cover a percentage of potential claims Another step would be to determine where certain additional insurance policies should be purchased to limit the aggregate losses The funding mechanics, claims handling, and a traditional insurance comparison would also need to be reviewed. Self-insurance would not be proposed for employee medical benefits or workers' compensation. An actuarial study will be completed in December or January and recommendations will be brought to the City Council to determine whether a self-insurance program should be incorporated into the Budget process. COUNCIL MINUTES— September 18, 2001 page 3 City Council meeting recessed at 7:06 p.m. and the Budget Committee convened at 7:09 p.m. (See Agenda Item No. 3.) 5. DISCUSSION OFSTRATEGIESTO ADDRESSAFFORDABLE HO USING Community Development Director Jim Hendryx introduced this agenda item. Associate Banner Duane Roberts presented the staff report and referred to a FbwerFbint presentation (both of which are on file with the City Recorder). The issue before City Council was whether the City should grant Community Partners for Affordable Housing's(CPAH) request for a$10,000 fee reduction. Ms. Jill Sherman, representing CPAH, gave an overview of affordable housing financing. Associate Planner Duane Roberts reviewed the staff recommendation as contained in the Council Agenda Item Summary. City Manager Monahan noted that the rent-free office space that the City donates to CPAH will be made available through this year only. In response to a question from Councilor Scheckla, Associate Banner Roberts noted that the City Attorney's advice was to avoid waivers of fees, however, a potential option is that the City would give money from the General Fund to CPAH for fees. Discussion followed on what types of affordable housing is offered in other communities in the area. It was noted that it was difficult to find projects that qualify for affordable housing funding. Council members discussed social service funding and the Council goal with regard to affordable housing. There was also some discussion about setting funding that was targeted for affordable housing opportunities rather than have these requests be combined with social service funding requests during the budget process. City Manager Monahan said that a Council decision should include setting standards for funding criteria for affordable housing. He informed the Council that Hawthorne Villa (a low-income housing center) will likely ask for a tax abatement from the City of Tigard. He advised that the City Council should decide the level of contribution for affordable housing from the City's budget. In addition, Mr. Monahan noted that in a few years the City will need to determine whether the Tigard taxpayers should be asked for a five-year operating levy in order to keep the General Fund at a level to maintain current programs COUNCIL MINUTES— September 18, 2001 page After discussion on the staff recommendation to provide $8,000 in fee relief to CPAH, the Council consensus was that a budget amendment transferring $8,000 from the General Fund to CPAH should be placed on an upcoming agenda for Council consideration. In addition, Council indicated that affordable housing contributions (whether it should be separated from social services when considering the budget) should be discussed during the next goal-setting session. 6. COUNCIL LIAISON REPORTS. None. 7. NON-AGENDA ITEMS. None. > City Manager Review Administrative Items oc Mayor Griffith reported the success of a "walk" that occurred on Saturday, September 15, as a memorial resulting from the tragic events of September 11 . This candlelight walk started at Main Street and ended at City Hall. The event was well organized and well attended. There was also an event in memory of victims and to show patriotic support last Friday at Cook Park. cc An agenda was distributed to the City Council for the September 25, 2001 , City Council meeting. Cable television coverage for the Council meeting will begin at 6:30 that evening. Tigard's 40th " Birthday" was on September 11 , 2001 , but because of tragic events in New York the celebration planned for that day was postponed to September 25, 2001 . oc Information was distributed to the City Council in its mail distributed last week regarding the League of Oregon Cities Conference, November 9-11 , 2001 , in Eugene, O regon. oc City Manager Monahan noted there was interest expressed by the downtown merchants to conduct the holiday tree lighting on Main Street at Liberty Park. After brief discussion, the consensus of City Council was to support the holiday tree lighting at Liberty Park rather than hosting the tree lighting at the City Hall. cc Community Development Director Hendryx distributed a memorandum dated September 17, 2001 , from Albert Shields to Bill Monahan regarding the house that is to be moved to Cornelius but is now located on SW North Dakota Street. A copy of this memorandum is on file with the City Recorder. This structure should be removed from its current location this upcoming weekend. Staff is working with Emmert Construction so that situations such as this are avoided or are taken care of more quickly in the future. oc Councilor Dirksen reported on a recent Water Consortium meeting. He advised that Commissioner Sten was recommending moving forward with a regional water provider. Future proposals discussed included a water maintenance program and a potential water conservation rebate to customers COUNCIL MINUTES— September 18, 2001 page 5 8. EXECUTIVE SESSION: Canceled. 9. ADJOURNMENT: 9:09 p.m. Catheri e Wheatley, City Recorde Attest: yor, i y i rd Wa-t-e: ✓ of U COUNCIL MINUTES — September 18, 2001 page 6